Heavy equipment industries such as oil and gas, mining and cement have been driving the electric motors market in Latin America. While growth in upstream oil and gas exploration activities has been fuelling the need for low and medium voltage electric motors, external demand for the region’s minerals has been boosting the uptake of electric motors of all power ranges.
New analysis from Frost & Sullivan, Analysis of the Latin American Electric Motors Market (frost.com/ne5b), finds that the market earned revenues of $1.31 billion in 2014 and estimates this to reach $1.64 billion in 2020. The study covers low and medium voltage electric motors.
“Although the oil and gas and mining industries in Latin America will continue to experience strong traction, further investment in these sectors is highly uncertain due to external economic forces such as falling crude oil prices and lower export demand for commodities,” said Frost & Sullivan Industrial Automation & Process Control Research Analyst Aida Paola Conti. “Consequently, the demand for electric motors from these sectors will be reactive rather than predictive.”
On the other hand, infrastructure development activities and in-country consumption of food and beverages will witness moderate growth but open up steady opportunities for electric motor manufacturers. In effect, the stable adoption of electric motors in the infrastructure and food and beverages sectors will counterbalance the effects of a potential slowdown in the oil exploration and mining space.
“While industry growth will be highly dependent on end-user demand, there is a regional consensus toward the adoption of more efficient motors in the following years,” advised Conti. “Thus, there is an opportunity for market participants to expand their product portfolio and leverage additional services to retain and grow their foothold in the market.”
Analysis of the Latin American Electric Motors Market is part of the Power Transmission (motors.frost.com) Growth Partnership Service program. Frost & Sullivan’s related studies include: Global Electric Motors Fact book, Global Electric Drives Fact book, Global Industrial, Bearings and Couplings Market, Global Motor Control Centres Market, and Global Gearboxes and Gear Motors Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
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Analysis of the Latin American Electric Motors Market / NE5B-17