Uruguay, a small South American nation with no official Tesla dealership or corporate presence, has quietly become a hotspot for Tesla enthusiasts. Despite the lack of direct support from the electric vehicle (EV) giant, the country’s Tesla market is growing, thanks to government incentives, a solid charging infrastructure, and the entrepreneurial spirit of private importers. Uruguay’s rise as an unexpected Tesla hub is emblematic of a broader trend: a shift toward electric mobility in Latin America.
The Tesla Phenomenon in Uruguay
Uruguay’s Tesla journey began in 2017, with the import of the first Tesla Model S. The pivotal moment came in 2020, when a Model 3, priced at approximately $82,900, made its way to Uruguay through unofficial channels. Since then, interest in Tesla vehicles has surged, with estimates indicating that by late 2022, around 1,000 electric vehicles were on the country’s roads.
This growth is remarkable considering Tesla has not established any dealerships, service centers, or online sales channels in Uruguay. Instead, private importers have taken the lead, bringing Teslas into the country from locations like China and the United States. Ramiro Duer, an importer based in Uruguay, has played a key role in this trend, importing over 80 Teslas from China in the past year alone through confidential agreements with Chinese dealerships and shipping agents. “The process is long and requires handling all logistics, from paperwork to the long wait times,” Duer explained, highlighting the challenges and dedication involved.
Government Support Fuels EV Growth
Uruguay’s government has been proactive in supporting EV adoption. Policies such as tax exemptions, including a 0% Internal Specific Tax (IMESI) and the removal of import tariffs, make electric vehicles, including Teslas, more affordable for consumers. This policy framework aligns with the country’s broader commitment to sustainability and its ambitious goal to achieve carbon neutrality by 2050.
In addition, the state-owned electricity company UTE has installed charging stations throughout the country, with a concentration in Montevideo, the capital. This infrastructure is essential, as it enables Tesla owners to charge their vehicles reliably, despite Tesla’s absence in the market. Programs such as “Subite Prueba” also encourage businesses to test electric vehicles at no cost, helping companies assess the benefits of switching to EVs for fleet use
Tesla’s Unofficial Community in Uruguay
Without Tesla’s corporate backing, Uruguayan Tesla owners have created their own support network, often relying on third-party mechanics and independent service providers for maintenance. Some owners, like a Model Y owner on Reddit, shared their workaround by using a Mexican SIM card for connectivity and sourcing parts from neighboring countries. “It’s risky, but I’m glad I bought it,” the owner wrote, illustrating the dedication and resourcefulness of Uruguay’s Tesla community.
The presence of Teslas has even become notable in upscale areas like Punta del Este, where the vehicles are seen in school parking lots and outside popular restaurants. This visibility reflects the brand’s aspirational appeal and the growing acceptance of electric vehicles in a country where sustainability has become a priority.
Competitive Landscape and Future Outlook
Tesla isn’t the only EV brand gaining traction in Uruguay. Chinese EV giant BYD, which has an established dealership network in Uruguay, reported a staggering 879% increase in sales, becoming the country’s second top-selling brand in July 2024. Unlike Tesla, BYD’s official presence allows it to meet the demand for EVs through a combination of extensive dealership networks and government-supported infrastructure.
Yet, Tesla’s allure remains strong among Uruguayans, largely due to its innovation-driven reputation. With Tesla’s first dealership in South America opening in Chile in 2024 and its first Supercharger in the region operational, questions arise about whether Tesla might consider an official presence in Uruguay as the market matures.
