QCOSTARICA — The electric vehicle fleet in Costa Rica has grown by 2,200% in the last 8 years, and 70% of all the electric cars circulating in the country with this technology come from China.
This is the conclusion of an analysis using official data from the Asociación Costarricense de Movilidad Eléctrica (Asomove) – Costa Rican Electric Mobility Association.
To a lesser extent, German electric cars represent 15% of the total and Swedish 4%, rounding out the top 5 with Japan and the UK.
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An electric car is defined as a vehicle whose power comes from one or more electric motors, designed to reducing carbon dioxide emissions into the atmosphere and contribute to the fight against climate change.
According to Silvia Rojas Soto, executive director of Asomove, it has become necessary to modernize the infrastructure of charging stations because not all of them were adapted to Chinese technology, which requires, in particular, chargers with GBT connectors, especially those that are more than seven years old.
Given this situation, Rojas maintains that electricity distribution companies have begun to invest in this modernization process, although it is still insufficient.
Read more: Costa Rica Reached Highest EV Market Share In The Americas In 2022
Incentives
In 2016, when Costa Rica began discussing incentives for importing electric vehicles in the Legislature, there were only 1,056 electric cars in the country. However, according to Asomoe, as of February 28, 2025, there were 23,823 vehicles. The projection is that up to 35,835 will be in circulation by the end of 2025.
According to Rojas Soto, the positioning of these vehicles reflects a first step in raising awareness about environmental conservation and the fight against climate change.
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Rojas emphasized that for every 100 new vehicles in Costa Rica, 15 are electric vehicles.
The organization’s executive director attributed the exponential increase in the electric vehicle fleet precisely to the approval of the Ley de Incentivos (Incentives Law), which was approved in 2017 and signed by President Luis Guillermo Solís in 2018.
Some of the economic and non-economic incentives contemplated in this legal framework are the following:
- Exemption from value-added tax (VAT), selective consumption tax, customs value, and vehicle property tax.
- Exemption from vehicle restrictions in the metropolitan area.
- Exemption from parking meter payments.
- Authorization to park in special spaces.
Regarding the gradual exemption from the motor vehicle property tax, it will be applied based on the vehicle’s age from the moment it is nationalized:
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- 100% exemption during the first year.
- 80% exemption during the second year.
- 60% exemption during the third year.
- 40% exemption during the fourth year.
- 20% exemption during the fifth year.
Read more: Electric vehicles have tax exemptions and benefits different from combustion vehicles
Challenges
According to Rojas, these conditions have promoted greater supply in the country from importing agencies, with prices starting at US$17,000.
One of the main challenges for the expansion of electric vehicles in Costa Rica is modernizing the infrastructure and promoting the installation of more charging stations to facilitate longer trips.
According to the executive director of Asomove, the growth of the electric vehicle fleet is advancing rapidly, while the development of fast-charging stations is much slower. Therefore, she believes it is necessary for electricity companies to prioritize this.
Sustainable Growth
According to Carlos Aguilar, executive director of the Association of Vehicle and Machinery Importers (Aivema), the growth of the electric car market in Costa Rica has accelerated since 2022, a period in which the number of available models and offerings has increased.
Aguilar emphasized that affordable interest rates are one of the main factors influencing market growth, in addition to the safety offered by these vehicles while driving on the roads.
Regarding the preference for the Chinese market, the Aivema representative highlighted the prevalence of higher value in competitive prices, equipment, and technological accessories that characterize these vehicles.
However, Aguilar recognized the urgency of promoting balanced development between supply, demand, and infrastructure, due to the growth of the vehicle fleet, whose expansion is generating congestion on national highways.
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