Mathilde Carlier
Research Expert covering transportation and logistics
Electric vehicles in Portugal - Statistics & facts
In June 2022, Portugal was one of five European countries proposing to postpone the European Union deadline for reducing light vehicle carbon dioxide emissions by five years, with the aim to reduce them by 100 percent by 2040 instead of 2035. Portugal's annual greenhouse gas emissions from fuel combustion in the transport sector amounted to around 14.83 million tons of carbon dioxide equivalent in 2020, and the country has set targets to decarbonize transportation. As part of this plan, the government increasingly relies on the sale of hybrid and fully electric vehicles, which have lower to no direct emissions. Plug-in electric vehicle sales represented just under a quarter of Portugal's total passenger car sales, including an 11.4 percent market share for battery-electric vehicles (BEVs). This total share of electric vehicle (EV) sales was higher than the European market share as well as Spain's EV sales share.
When comparing Portugal to its nearest European neighbor, the Portuguese EV market appears more in line with the broader European trend, with higher BEV sales than plug-in hybrid electric vehicle (PHEV) sales. However, while the Portuguese new EV sales market is relatively dynamic, electric vehicles still represent a small share of the country's light passenger vehicle fleet. In 2021, around 43,300 BEVs and nearly 47,750 PHEVs were in use, compared to some 80,900 non-rechargeable hybrid vehicles, over 2.2 million petrol vehicles, and close to 3.18 million diesel light passenger vehicles. As of June 2023, the country had yet to manufacture its first BEV model. However, Stellantis announced plans for its Mangualde Production Center to be the first assembly plant in the country to produce battery-electric light commercial vehicles by 2025.
Governmental projections were optimistic regarding the growth of the electric light vehicle fleet, forecasting battery-electric light passenger vehicles to reach approximately 551,000 units in circulation in 2030. In contrast, fully electric light commercial vehicles were expected to record a slower, steadier growth. Behind light passenger vehicles, commercial vans were the second most popular vehicle type for electric propulsion in Portugal. However, fewer non-rechargeable hybrid vans were sold in the country than battery-electric vans, while the opposite is true for light passenger vehicles.
The economic downturn is not the only challenge the industry must tackle. Access to EV charging infrastructure is one of the major hurdles the EV industry faces worldwide, and Portugal records similar obstacles. The country has been steadily expanding its charging network, but most of it was located in the Lisbon district as of February 2023. Lisbon ranked second with over double the available public charging stations recorded in Porto. Like many others, the country relies heavily on alternating current (AC) chargers, which tend to be slower as EV's onboard chargers must transform the electricity into direct current (DC). In the fourth quarter of 2022, there were around 5,200 public AC chargers in Portugal, compared to 1,300 public DC ones.
When comparing Portugal to its nearest European neighbor, the Portuguese EV market appears more in line with the broader European trend, with higher BEV sales than plug-in hybrid electric vehicle (PHEV) sales. However, while the Portuguese new EV sales market is relatively dynamic, electric vehicles still represent a small share of the country's light passenger vehicle fleet. In 2021, around 43,300 BEVs and nearly 47,750 PHEVs were in use, compared to some 80,900 non-rechargeable hybrid vehicles, over 2.2 million petrol vehicles, and close to 3.18 million diesel light passenger vehicles. As of June 2023, the country had yet to manufacture its first BEV model. However, Stellantis announced plans for its Mangualde Production Center to be the first assembly plant in the country to produce battery-electric light commercial vehicles by 2025.
Opportunities for growth
Peugeot—one of Stellantis' subsidiaries—ranked among the best-selling BEV and PHEV brands in 2022, at second and fourth place, respectively. While Tesla was the best-selling fully electric passenger car brand in Portugal that year, three of the five best-sellers were European brands, contrasting with the global BEV market, dominated by Tesla and Asian automakers. This preference for European brands was also observable in the PHEV market, where all five leading brands were from Europe.Governmental projections were optimistic regarding the growth of the electric light vehicle fleet, forecasting battery-electric light passenger vehicles to reach approximately 551,000 units in circulation in 2030. In contrast, fully electric light commercial vehicles were expected to record a slower, steadier growth. Behind light passenger vehicles, commercial vans were the second most popular vehicle type for electric propulsion in Portugal. However, fewer non-rechargeable hybrid vans were sold in the country than battery-electric vans, while the opposite is true for light passenger vehicles.
Challenges to growth
The Portuguese EV market may be vulnerable to external factors, such as the cost-of-living crisis. Most respondents to a mid-April 2022 survey reported that if they had the intention of buying a car, the inflation recorded at the time in Portugal would make them postpone their car purchase to wait for better economic conditions, regardless of whether this purchase would be an EV or a fossil fuel vehicle.The economic downturn is not the only challenge the industry must tackle. Access to EV charging infrastructure is one of the major hurdles the EV industry faces worldwide, and Portugal records similar obstacles. The country has been steadily expanding its charging network, but most of it was located in the Lisbon district as of February 2023. Lisbon ranked second with over double the available public charging stations recorded in Porto. Like many others, the country relies heavily on alternating current (AC) chargers, which tend to be slower as EV's onboard chargers must transform the electricity into direct current (DC). In the fourth quarter of 2022, there were around 5,200 public AC chargers in Portugal, compared to 1,300 public DC ones.
