Brazil Automotive Aluminium Market Report and Forecast 2025-2034

Brazil Automotive Aluminium Market Size

The Brazil automotive aluminium market is projected to grow at a CAGR of 8.1% between 2024 and 2032. The market is driven by the robust automotive sector and rising demand for electric vehicles.

Brazil Automotive Aluminium Market Outlook

• The automotive sector in Brazil is set to allocate an investment of BRL 41.4 billion by the year 2032.

• Electric vehicle sales in Brazil nearly doubled in 2023, reaching 93,927 by the end of December, compared to only 49,245 the year before. 

• In 2021, Brazil's exports of bauxite and aluminium amounted to US$ 2.9 billion, representing approximately 2.5% of the nation's total export figures.

Brazil Automotive Aluminium Market Growth

The automotive sector in Brazil is set to receive a substantial boost with an anticipated $20 billion (100 billion reais) in investments by 2029. In June 2024, Brazil's motor vehicle sales saw a total of 214,281 units sold, marking an increase from the 194,224 units sold in the previous month. The utilisation of aluminium in the automotive sector has experienced significant growth due to its numerous advantages, such as its lightweight nature, durability, and recyclability. Aluminium is commonly used for various exterior body components like hoods, doors, trunks, and roofs, contributing to the reduction of overall vehicle weight and enhancement of fuel efficiency. As auto manufacturers strive to enhance fuel efficiency, performance, and sustainability, the utilisation of aluminium in vehicle design and manufacturing processes is projected to expand in the coming years.

Aluminium is a commonly utilised material in the manufacturing of electric vehicle battery housings and structures for decreasing weight and enhancing thermal regulation. The lightweight nature of aluminium renders it well-suited for electric motor housings, thereby contributing to the overall efficiency of the vehicle. In 2023, Brazil witnessed a substantial upsurge in the adoption of electric vehicles (EVs), surpassing all projections with 93,927 registrations by year-end. This represented a remarkable 91% increase from 2022, during which 49,245 EV units were sold. By April 2024, Brazil had imported 40,900 electric and hybrid vehicles from China, marking a thirteen-fold increase from the previous year.

Brazil Automotive Aluminium Industry Segmentation

“Brazil Automotive Aluminium Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Form

• Cast Aluminium

• Rolled Aluminium

• Extruded Aluminium

Market Breakup by Application

• Power Train

• Chassis and Suspension

• Car Body

• Others

Market Breakup by Region

• São Paulo

• Minas Gerais

• Rio de Janeiro

• Bahia

• Rio Grande do Sul

Brazil Automotive Aluminium Market Share

Based on the application, the market is segmented into power train, chassis and suspension, and car body, among others. The power train segment is projected to grow at a CAGR of 8.7% during the forecast period of 2024-2032. The utilisation of aluminium in vehicle powertrain components is on the rise, attributed to its beneficial characteristics. Aluminium's weight is considerably less than that of conventional materials such as steel and iron, leading to a reduction in the overall weight of the vehicle. This reduction enhances fuel efficiency and lowers emissions, positioning aluminium as an optimal material for powertrain applications.

Leading Companies in the Brazil Automotive Aluminium Market

Major players are focusing on the adoption of technological advancements and sustainable production practices to gain a competitive edge in the market.

• Adybrass Fundição

• Auricar Com e Ind Ltda. 

• Metalúrgica Fremar - LTDA 

• Orvy Ltda. 

• Vlados Aluminum Ltda. 

• Others

Key Highlights of the Report