With the entry of Chinese manufacturers into the Brazilian automotive market, a significant change is observed in how the value of used combustion vehicles is perceived. Consumers who bought combustion SUVs a few years ago may now have a direct competitor in a brand new Chinese car when trying to resell their vehicle.
This movement gained momentum in 2023 with the introduction of models like the BYD Dolphin and GWM Haval H6, and intensified between 2024 and 2025 due to continuous launches and price competitiveness. In 2026, the Chinese influence is already noticeable: according to Bright Consulting, these brands accounted for 21.4% of light vehicle registrations in September, more than double the participation recorded the previous year, transforming a mere purchasing alternative into a factor influencing the entire sector's dynamic.
The price dispute in the mid-range
Competition is particularly visible in the price range between R$ 100 thousand and R$ 150 thousand. A buyer interested in a used combustion SUV with two or three years of use can find, within the same budget, an entry-level Chinese electric car, such as the BYD Dolphin Mini. Despite differences in size and purpose, these vehicles begin to compete for the attention of the same consumer, which explains the pressure exerted on the values of used SUVs in this category.
Although some customers prioritize the space and versatility of a traditional SUV, others opt for a new vehicle, which offers embedded technology, factory warranty, and after-sales support, even if they give up a larger body. Thus, market comparison transcends similar models, starting to involve the benefits of distinct categories, requiring a new analysis of cost-benefit in the used segment.
Impact on pricing and challenges for retailers
The main impact of this competition lies in price formation. Historically, the brand-new vehicle served as a crucial reference for the value of a used one. However, when Chinese manufacturers offer discounts, bonuses, or more advantageous financing conditions, this reference is altered, pressuring the depreciation of combustion models and consequently lowering the value of used ones.
For merchants, the challenge is amplified, as a car acquired for stock may need a price reduction to remain competitive, directly affecting profit margins. Data provided by IBV Auto, from Banco BV, indicates that combustion vehicles comparable to those electrified in 2023 suffered a depreciation of 22.2% by September 2026. It should be noted that this drop is not exclusive to Chinese brands, as electric and hybrid vehicles also registered even greater losses in this survey, demonstrating that the pressure on resale value affects various technologies.
Retail adaptation and manufacturer reaction
The current scenario imposes on retail the need to manage inventory with greater rigor. The liquidity and price of the same model can vary regionally, depending on local supply and demand, suggesting that pricing must go beyond traditional references, using updated data, artificial intelligence, and behavioral analysis to optimize sales and profitability.
Established manufacturers are also responding to this dynamic, either through more attractive commercial offers or by investing in equipment updates and electrification. Hybridization projects with flex technology, such as those developed by Stellantis, illustrate the search for solutions suitable for the Brazilian market. However, there is an additional risk in this dispute: preserving the residual value of the vehicles. Very aggressive discounts can boost short-term new car sales but can also distort the price reference for those who already own a car of that brand.
Future prospects of the automotive market
Looking ahead to the coming years, it is expected that the competition will gain new layers. The production of Chinese vehicles in Camaçari, Bahia, and Iracemápolis, São Paulo, adds an important variable related to the recomposition of import taxes. Simultaneously, the recently introduced electric and hybrid vehicles in Brazil are consolidating a broader used market. With potentially lower prices, these models will compete directly with used combustion vehicles, expanding the rivalry beyond new electric models.
This moment is seen as a phase of maturation for the Brazilian market. Combustion vehicles will maintain their relevance, but their competitive capacity will depend less on brand tradition. For buyers and sellers, possessing reliable information about prices, history, maintenance, and vehicle conditions will be essential for more transparent and secure negotiations. Ultimately, the value of a used car will be determined not only by its condition when leaving the dealership but also by the vehicles it will have to compete against at the time of sale.



