South America Factory Automation Market

The factory automation market in SAM is expected to grow from US$ 3,851.75 million in 2022 to US$ 4,978.96 million by 2028. It is estimated to grow at a CAGR of 4.4% from 2022 to 2028.

Increase in the number of product launches

The continuously growing demand for factory automation has compelled the market players to raise investments in developing new and innovative products and software offerings. A few of the major product developments have taken place in recent years. For instance, in September 2022, Fanuc Corporation announced the launch of new FANUC SCARA robots for food and cleanroom applications. The FANUC SR-3iA/C and SR-6iA/C are fast and precise SCARA robots making them ideal for use in food plants and clean rooms. The robots also consist of white epoxy coating for extra durability and IP54 protection guarding against the ingress of contamination from dust and water spray. Similarly, in August 2022, Rockwell Automation, Inc. announced the enhancement in the compact PowerFlex Drive. The PowerFlex 6000T drive can accept up to 13.8 kV primary voltage, which is nearly twice the input voltage. Its real-time operational intelligence can monitor system performance, save energy with economizer mode, deliver faster commissioning with adaptive control, and reduce downtime and repair costs with predictive maintenance alerts. Such advancements in factory automation solutions, supported by high investments by manufacturers to enhance their product portfolio and innovate products as per customer changing requirements, are expected to contribute to the growth of the factory automation market during the forecast period. In addition, new product launches will help end-user industries such as automotive, food & beverages, oil & gas, and mining improve production time.

Market Overview

Based on country, the South American factory automation market is segmented into Brazil, Argentina, and the Rest of South America. South American countries have been slow adopters of technologies. Among all countries in South America, Brazil is estimated to be the most significant contributor to the revenue of the South American factory automation market during the forecast period. The market growth can largely be attributed to growth in the manufacturing industry in this country. Brazilian business leaders are deploying Industry 4.0 technology for all sizes of organizations. The growing awareness regarding digitization is prompting the development of new business models, income streams, and operational processes. For instance, in March 2021, Accenture acquired Pollux, a Brazilian company that specializes in industrial robotics and automation systems, to strengthen its digital manufacturing, operations, and supply chain. The firm's services are used by more than 1000 companies in the manufacturing sector.

Factory Automation Market Revenue and Forecast to 2028 (US$ Million)

South America Factory Automation Strategic Insights

Strategic insights for the South America Factory Automation provides data-driven analysis of the industry landscape, including current trends, key players, and regional nuances. These insights offer actionable recommendations, enabling readers to differentiate themselves from competitors by identifying untapped segments or developing unique value propositions. Leveraging data analytics, these insights help industry players anticipate the market shifts, whether investors, manufacturers, or other stakeholders. A future-oriented perspective is essential, helping stakeholders anticipate market shifts and position themselves for long-term success in this dynamic region. Ultimately, effective strategic insights empower readers to make informed decisions that drive profitability and achieve their business objectives within the market.

South America Factory Automation Report Scope

South America Factory Automation Regional Insights

The geographic scope of the South America Factory Automation refers to the specific areas in which a business operates and competes. Understanding local distinctions, such as diverse consumer preferences (e.g., demand for specific plug types or battery backup durations), varying economic conditions, and regulatory environments, is crucial for tailoring strategies to specific markets. Businesses can expand their reach by identifying underserved areas or adapting their offerings to meet local demands. A clear market focus allows for more effective resource allocation, targeted marketing campaigns, and better positioning against local competitors, ultimately driving growth in those targeted areas.

SAM Factory Automation Market Segmentation

The SAM factory automation market is segmented into component, hardware, type, technology, industry vertical and country. Based on component, the market is bifurcated into hardware and software. The hardware segment registered a larger market share in 2022.

• Based on hardware, the SAM factory automation market is segmented into sensors, controllers, robots, drives, and other hardware components. The robots segment registered the largest market share in 2022.
• Based on type, the SAM factory automation market is segmented into programmable automation, fixed automation, and flexible automation. The fixed automation segment registered the largest market share in 2022.
• Based on technology, the SAM factory automation market is segmented into programmable logic controller (PLC), distributed control system (DCS), supervisory control and data acquisition (SCADA), Human-Machine Interface (HMI), and others. The supervisory control and data acquisition system (SCADA) segment registered the largest market share in 2022.
• Based on industry vertical, the SAM factory automation market is segmented into automotive, food and beverages, oil and gas, manufacturing, mining, and others. The manufacturing segment registered the largest market share in 2022.
• Based on country, the market is segmented into Brazil, Argentina, and Rest of SAM. Brazil dominated the market share in 2022.

ABB Ltd; Bosch Rexroth AG; Emerson Electric Co.; Fanuc Corporation; General Electric Company; Honeywell International Inc.; Mitsubishi Electric Corporation; OMRON Corporation; Rockwell Automation, Inc.; and Siemens AG are the leading companies operating in the factory automation market in the region.