Changes in the Peruvian automotive industry: rise of electric vehicles and decline of gasoline cars.

The automotive industry in Peru is undergoing a significant change, marked by a drastic reduction in the importation of gasoline vehicles and a notable increase in the arrival of electric and hybrid cars. This phenomenon has intensified in the early months of 2024, where data reflects an alarming drop in imports of traditional vehicles, while sustainable models are rapidly gaining ground. During the period from January to July 2024, figures indicate that the import of gasoline and diesel cars and trucks has drastically decreased, with declines exceeding 20% in both value and volume. In contrast, hybrid and electric vehicles have seen exponential growth in their imports, evidencing a paradigm shift in consumer preferences and a growing awareness of sustainability. The Institute for Research and Development of Foreign Trade of the Lima Chamber of Commerce has reported that imports of gasoline cars fell by 24.87% in value and 23.82% in volume, reaching a total of US$624 million for 50,469 units. This decline is a continuation of the trend already observed in 2023, where a decrease of 5.39% in value and 8.46% in volume was recorded. On the other hand, gasoline trucks, which had shown growth last year, have also experienced a setback in 2024. Imports reached US$103 million for 4,162 units, reflecting a decrease of 21.37% in value and 12.06% in volume. These figures suggest that the internal combustion vehicle market is facing serious difficulties in an increasingly complicated economic and political environment. However, the data on hybrid and electric vehicles presents a radically different picture. Imports of non-plug-in hybrid vehicles have increased by an impressive 30.21% in value and 46.29% in volume. In particular, electric vehicles have recorded astonishing growth, with a 79.66% increase in value and 100% in volume. This growth is driven not only by greater environmental awareness but also by government incentives that are encouraging the adoption of clean technologies. The international context also plays a crucial role in this transformation. China has established itself as the main supplier of electric cars, while Japan remains a key player in supplying hybrid and electric trucks. This supplier dynamic highlights the importance of trade alliances in the transition towards more sustainable mobility. The automotive industry is fundamental to the Peruvian economy, not only in terms of production but also in job creation. The transition to electric and hybrid vehicles could represent an opportunity to revitalize the sector, despite current challenges. The industry's ability to adapt to these new trends will be crucial for its future. As the world moves towards more ambitious targets in emission reduction, it is evident that Peru cannot afford to fall behind. The growing preference for more sustainable vehicles reflects a shift in consumer mentality, with individuals increasingly willing to opt for alternatives that not only benefit the environment but may also be more cost-effective in the long run. In conclusion, the Peruvian automotive industry stands at a crossroads. With the decline of gasoline vehicles and the rise of electric and hybrid models, the future is shaping up for a profound transformation. While the challenges are significant, the opportunity for sustainable growth is clearer than ever. The key will lie in how both consumers and industry players respond to this new reality.