Brazil rewards environmental innovations like TPMS

In 2012, the Inovar Auto programme was established by the Brazilian government. Together with a substantial tax raise on industrialized products, it simultaneously opened up for vehicle manufacturers to apply for tax reductions to keep the previous tax levels.

But there are requirements to qualify for the tax reduction regarding for example fleet fuel consumption, local R&D and production activities, vehicle labelling and fitment of innovative technology. TPMS is regarded as such an innovative technology and gets rewarded with a credit for fleet fuel consumption.

The achievable savings for the vehicle manufacturer can be as high as 500 BRL (~140€) per vehicle. Together with Contran No. 540, which carries over the technical requirements towards TPMS from UNECE R64, this makes the fitment of the same TPMS which are mandatory for example in the EU, Korea, Turkey and Russia also in Brazil very attractive. Additional to the environmental and traffic safety benefits of TPMS, of course.

The first Brazilian OEMs have already invested in TPI and more are expected to follow. The savings are so huge that

In Brazil, consumers are used to frequent punctures and they can buy their tires in the supermarket and have them mounted while they are shopping or even in the boardwalk tire shop along the way. A solution like TPI without fragile and specific sensors in the wheels and no workshop requirements whatsoever appears like the system of choice.

TPI will remain functional, independent from age and service level of the vehicle.