Aftermarket is a secondary market of the automotive industry that concerns repairs, replacements, distribution, retailing, installation, and other similar services of all vehicle parts. The Brakes Aftermarkets deals primarily with the brake system of the vehicle.
The Latin America Brakes Aftermarket Market is likely to grow at a CAGR of around 1.20% during the forecast period, i.e., 2021-26, says MarkNtel Advisors. The most prominent factor supporting the market growth is the shift toward producing lightweight & composite vehicles and installing advanced brakes to ensure the utmost safety.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2016-19 |
| Base Year: 2020 | |
| Forecast Period: 2021-26 | |
| CAGR | 1.20% |
| Key Companies Profiled | Akebono Brake Industry, Raybestos, Brembo S.p.A., CARDONE Industries, Continental AG, ZF Friedrichshafen AG, Federal-Mogul Motorparts LLC, MAT Holding, Inc., Power Stop LLC., Others |
| Unit Denominations | USD Million/Billion |
Additionally, the rising penetration for the adoption of electric vehicles shall also support the dynamics of the brakes aftermarkets in the forecast period. The constant technological advancements to avoid skidding or slipping at sudden braking are other crucial aspects expected to propel the market growth during 2021-26.
Covid-19 Outbreak Severely Impacted the Latin America Brakes Aftermarket Market
The Covid-19 pandemic affected almost all industries, where the Automotive sector was no exception & observed the worst effect, and directly impacted the Latin America Brakes Aftermarket Market. Due to the sudden imposition of lockdown & strict movement restrictions, the market underwent significant disruptions in manufacturing & shipping procedures.
In addition, the market also observed issues in transportation & logistics, which produced abrupt changes in consumer purchase behavior. However, with the gradual upliftment of restrictions, the aftermarkets across Latin America are expected to regain their usual pace & liquidity in operations and recover from losses in the coming years.
Independent Aftermarket (IAM) to Lead the Latin America Brakes Aftermarket Market with Largest Share
Based on the Sales Channels, the Latin America Brakes Aftermarket Market segments into Original Equipment Services (OES) and Independent Aftermarket (IAM). Between the two, Independent Aftermarket (IAM) shall reign the market with the largest share in the forecast period. It owes primarily to the increasing number of vehicles older than 2-3 years, which can be brought to an IAM for servicing & brake repairs. The massive customer inclination toward IAM is prominently due to the competitive parts & service pricing.
Additionally, the IAM significantly gains substantial investments & shares from their franchised network as the car ages. The instant & hassle-free service without prior appointments is gaining popularity from the working population having busy schedules. Hence, the segment is likely to dominate the Latin America Brakes Aftermarket Market with the largest share in the forecast period.
Brake Pads to Witness the Fastest Growth in the Latin America Brakes Aftermarket Market
Based on the Product Type, Latin America Brakes Aftermarket Market segments into Brake Pads, Brake Shoes, Brake Rotors, Brake Drums, and Brake Calipers. Of them all, the Brake Pads are more likely to display the fastest market growth in the forecast period. The prime factors supporting the rapid growth include the constant use of brakes due to frequent congestion, propelling better quality brakes & installation services at aftermarkets. Since brake pads are highly responsible for vehicle safety, governments are likely to impose strict regulations to maintain & timely replace their brake pads, resulting in their surging demand across Latin America.
Moreover, the surging trend of adventure sports & racing shall also propel the adoption of Brake Pads and lead them to attain the fastest market growth in the coming years, cites MarkNtel Advisors in their research report, “Latin America Brakes Aftermarket Market Analysis, 2021.”
Market Drivers
The prime factors likely to drive the Latin America Brakes Aftermarket Market in the forecast period include the rapidly increasing demand for improved safety solutions in vehicles and brake replacement through the aftermarkets. Furthermore, the massive investments by market players toward extensive R&D shall further drive the market in the coming years.
Market Restraints
A few factors that might restrain the market from striving in the forecast period include high installation costs of high-tech braking systems & their production and the reliability concerns for aftermarket owing to its massive fragmentation.
Country Landscape
Mexico to Dominate with the Largest Share of the Latin America Brakes Aftermarket Market
Based on the Geography, the Latin America Brakes Aftermarket Market expands across countries like Mexico, Brazil, Argentina, Colombia, and Others. Of them all, Mexico is likely to dominate the market with the largest share in the forecast period. It attributes to the increasing need for timely maintenance & installation of upgraded brake systems to enhance the vehicle's performance.
On the other hand, the rising drive miles per vehicle due to the lifestyle changes and mounting needs to travel long distances shall result in frequent wear & tear, thereby propelling the demand for brake aftermarkets in Mexico.
Furthermore, the rapidly surging internet usage in Mexico is enabling market players to digitize the market and establish a steady pace in the e-commerce sector, thereby propelling the availability & sales of brake systems in the country during the forecast period.
Competitive Landscape
According to MarkNtel Advisors, the leading players in the Latin America Brakes Aftermarket Market are Akebono Brake Industry, Raybestos, Brembo S.p.A., CARDONE Industries, Continental AG, ZF Friedrichshafen AG, Federal-Mogul Motorparts LLC, MAT Holding, Inc., Power Stop LLC., Others.
Key Questions Answered in the Market Research Report:
Market Outlook, Segmentation, and Statistics
Frequently Asked Questions
A. The Latin America Brakes Aftermarket Market is likely to grow at a CAGR of around 1.20% in the forecast period of 2021-26.
A. Akebono Brake Industry, Raybestos, Brembo S.p.A., CARDONE Industries, Continental AG, ZF Friedrichshafen AG, Federal-Mogul Motorparts LLC, MAT Holding, IncPower Stop LLCOthers are a few leading players in the Latin America Brakes Aftermarket Market.
A. Independent Aftermarket (IAM) is projected to attain the highest CAGR and maintain its significant market share during the forecast period.
A. The increasing demand for safety solutions in vehicles and brake replacement in the aftermarkets, coupled with massive investments by market players in extensive R&D, shall further drive the Latin America Brakes Aftermarket Market and create lucrative growth opportunities for market players in the coming years.
A. Due to the sudden imposition of lockdown & movement restrictions, the market underwent significant disruptions in manufacturing & shipping procedures. The market also witnessed issues in transportation & logistics and introduced abrupt changes in consumer purchase behavior. Yet, with the gradual upliftment of restriction, the aftermarkets shall regain their usual pace & liquidity in operations and recover from losses in the forecast period.
