Brazilian Composites Sector Reports Growth in 2017

May 14 2018

In 2017, sales in the Brazilian composites sector totaled US$ 720 million, 1.9% higher when compared to the previous year. This is the first positive result since 2014, when the Brazilian economic crisis began. The consumption of raw materials increased 23.2%, amounting to 196,000 tons, while the number of jobs fell 0.9%, totaling 59,000 jobs. The figures are from Maxiquim, a consulting firm hired by the Latin American Composite Materials Association (ALMACO).

“The transportation market was crucial for us to achieve this performance, especially due to the high demand for agricultural vehicles, such as tractors and harvesters. It is worth noting that poles for power grids also contributed, hence considering the infrastructure sector,” said Gilmar Lima, president of ALMACO. The differences between the sales and raw material volume indicators are basically due to the price fluctuations registered in the period.

For 2018, Maxiquim’s forecast is that sales should reach US$ 790 million, that is, 9.4% higher than in 2017, while the consumption of raw materials should grow 4.8%, corresponding to 205,000 tons.

“Transportation, agribusiness and infrastructure will continue to grow. In parallel, segments that faced many difficulties over the past two years, such as the construction, wind and gas, should report a recovery. And new niches will continue to emerge, albeit slowly, supported by the flexibility and lightness typical of composites.”

Despite the results reported in 2017 and the optimistic forecasts for this year, the president of ALMACO does not yet consider that the negative phase that has been faced by the composites sector since 2014 has fully ended. For this reason, he said that the companies that integrate the production chain of the material turned their efforts solely to their survival, leaving creativity, knowledge and the maintenance of talents aside. “Now we need to stay alert, rethink our organizations and seek financial and strategic alliances to help us invest in education, innovation and communication.”

According to Lima, ALMACO’s role in this recovery should be that of stimulating and taking companies out of their comfort zone, helping to strengthen not only the manufacturers of raw materials, distributors and processors, but also composite users, the community in general and government entities.

Lucintel Corporate Customers

Market Entry, M & A, Opportunity Screening,...

Private Equity Customers

Buy Side Services (target screening, due diligence, ..)

Market Research Reports

Aerospace & Defense [52]
Chemical [263]
Composites & Advanced Materials [167]
Construction & Industrial [72]
Consumer and Retail [142]
Economic Analysis [86]
Energy & Utility [73]
Finance & Services [10]
Healthcare [79]
Media & Entertainment [16]
Metals & Mining [17]
Technology & Telecommunication [164]
Transportation [141]

Customer Quotes

"With more than 20 years experience in the industry, this is the first time we have come across such an extensive market analysis for our industry." Ven Cote, CEO, ZCL

"The insights we gained from Lucintel work helped with our business plan…a wonderful professional job…" Mike Jackson, Stahlin

"The report from Lucintel is useful not only for business planners, but also for the technology officers wanting to create a roadmap …" Dr. Giulio Ranzo, Booz Allen

"The information is so comprehensive, it has allowed us to identify & focus our business development efforts. It saved months of leg-work." Bill Barz, L&L Products

"We bought Lucintel report because it is the best report about our industry…a complete and appropriate analysis." Cesare Andrenacci, Ferretti

Quick Query

Lucintel Insights in News

Follow us on