As Brazil prepares for its inaugural battery energy storage auction, domestic manufacturers are lobbying the government for protective measures to prevent international giants from sweeping the market. Leading local firms, including WEG, Moura, and UCB Power, have reportedly requested specialized incentives—such as local content requirements and favorable financing from the state development bank (BNDES)—to ensure they can compete with dominant exporters from China and the United States.
Industry executives warn that without these advantages, local companies risk being completely sidelined by established global players like CATL, BYD, and Tesla. While Brazil still relies on imported lithium cells, domestic advocates argue that the country has the capacity to produce other critical elements of the supply chain, including battery packs, management software, and power inverters.
The Ministry of Development, Industry, and Trade is currently reviewing these proposals as it finalizes the auction rules. Supporters of the move argue that fostering a homegrown battery industry is essential for Brazil’s long-term technological independence, job creation, and its ability to manage the transition to renewable energy.