08 Jul 2025 Press release Transport

Electric vehicles could double jobs in Brazil by 2050, says ICCT study supported by UNEP

Brasília, 8 July 2025 – The local production of electric vehicles (EVs) could double the number of new jobs in Brazil by 2050, according to a groundbreaking study by the International Council on Clean Transportation (ICCT Brazil), carried out with the support of the United Nations Environment Programme (UNEP). Conducted by researchers from ICCT, UNICAMP, and USP, the study highlights that investments in battery manufacturing and workforce training for electromobility can drive a fair energy transition while accelerating the development of a new industrial value chain.

Most of the projected employment growth is concentrated in the service sector—including technical services, engineering, logistics, and commerce—followed by manufacturing segments related to vehicle production, machinery, and electrical equipment. The job creation is primarily driven by increased aggregate demand and the expansion of industries such as battery and electrical component manufacturing. Meanwhile, sectors such as fossil fuels, agriculture, and auto parts are expected to see a decline.

Additionally, the study finds that the income generated (value added) in the EV transition scenario is 85% higher than in the current model, with a more favorable wage distribution (53% of value added going to salaries, compared to 45% today).

“Electric vehicle sales are already growing in Brazil, but we must also consider the social and economic impacts of this transition,” said Marcel Martin, Executive Director of ICCT Brazil.

Another key finding relates to foreign trade: without proactive policies to boost EV exports, Brazil could lose up to 14% of its job creation potential. Nonetheless, even in that case, the EV transition scenario still results in 88% more net jobs than the current model. Recommended policy measures include tax incentives, export credit programs, and strategic trade agreements—especially with other Latin American countries.

Learn more:

🔍 Watch the event:Just Transition in the Decarbonization of the Automotive Industry, organized by UNEP and ICCT Brazil, exploring strategic pathways for a just transition: https://lnkd.in/d7qUDSnK
📄Read the full study: https://lnkd.in/demC5UvA

 

About the ICCT
The International Council on Clean Transportation (ICCT) is an independent, nonprofit organization that provides high-quality, impartial technical and scientific research and analysis. Founded in 2005 and active in Brazil since 2020, the ICCT works with policymakers to support vehicle emissions reductions through improved fuel quality, increased engine efficiency, and the promotion of low- and zero-emission technologies across road, maritime, and aviation sectors.

About UNEP
The United Nations Environment Programme (UNEP) is the global authority on the environment. It works worldwide to address the triple planetary crisis—climate change, nature loss, and pollution—by supporting countries in building low-carbon, nature-positive, and resource-efficient economies.

Media contact:
📧 unep-brazil-news@un.org