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Future of the Brazilian Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2023

Future of the Brazilian Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2023

Summary

Future of the Brazilian Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2023, published by GlobalData, provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key news.This report offers detailed analysis of the Brazilian defense industry with market size forecasts covering the next five years. This report will also analyze factors that influence demand for the industry, key market trends, and challenges faced by industry participants.In particular, it provides an in-depth analysis of the following -

  • The Brazilian defense industry market size and drivers: detailed analysis of the Brazilian defense industry during 2019-2023, including highlights of the demand drivers and growth stimulators for the industry. It also provides a snapshot of the country’s expenditure and modernization patterns
  • Budget allocation and key challenges: insights into procurement schedules formulated within the country and a breakdown of the defense budget with respect to capital expenditure and revenue expenditure. It also details the key challenges faced by defense market participants within the country
  • Porter’s Five Force analysis of the Brazilian defense industry: analysis of the market characteristics by determining the bargaining power of suppliers, bargaining power of buyers, threat of substitution, intensity of rivalry, and barriers to entry
  • Import and Export Dynamics: analysis of prevalent trends in the country’s imports and exports over the last five years
  • Market opportunities: details of the top five defense investment opportunities over the next 10 years
  • Competitive landscape and strategic insights: analysis of the competitive landscape of the Brazilian defense industry. It provides an overview of key players, together with insights such as key alliances, strategic initiatives, and a brief financial analysis.
Scope
  • Brazilian military expenditure, which stands at US$25.8 billion in 2018, registered at a CAGR of -5.81% during the historic period. There is a huge difference between the planned budget and the executed budget in 2015 due to the economic crisis the country faced. However, the country’s economy is showing some positive signs of recovery, as the 2017 budget marginally surpassed its initially planned estimates.
  • Brazil relies on imports to retain its military edge and, although the country has a decent domestic defense industry, the country relies on imports of cutting-edge defense technologies from the US and European suppliers. During the historic period, the country’s defense imports were the highest in 2012. Aircraft and armored vehicles dominated imports during this period, with Germany and the US being the main suppliers. In order to protect its oil rich reserves in the Amazon basin, Brazil is spending heavily on naval vessel procurements over the forecast period. Brazil has contracted the French defense company DCNS to supply four diesel-electric-powered submarines, based on the Scorpene model.
Reasons to buy
  • This report will give the user confidence to make the correct business decisions based on a detailed analysis of the Brazilian defense industry market trends for the coming five years
  • The market opportunity section will inform the user about the various military requirements that are expected to generate revenues during the forecast period. The description includes technical specifications, recent orders, and the expected investment pattern by the country during the forecast period
  • Detailed profiles of the top domestic and foreign defense manufacturers with information about their products, alliances, recent contract wins and financial analysis wherever available. This will provide the user with a total competitive landscape of the sector
  • A deep qualitative analysis of the Brazilian defense industry covering sections including demand drivers, Porter’s Five Forces Analysis, Key Trends and Growth Stimulators, and latest industry contracts.


  • Introduction
    • What is this Report About?
    • Definitions
    • Summary Methodology
    • About GlobalData
  • Executive Summary
  • Market Attractiveness and Emerging Opportunities
    • Current Market Scenario
      • Primary Threat Perception
      • Military Doctrine and Strategy
        • Table Brazilian – Defense Modernization Priorities
        • Table Brazilian Army – High Priority Projects
        • Table Brazilian Navy – High Priority Projects
        • Table Brazilian Air Force – High Priority Projects
      • Military Fleet Size
        • Table Brazilian Army Strength
        • Table Brazilian Air Force Strength
        • Table Brazilian Navy Strength
      • Procurement Programs
        • Table Brazilian – Ongoing Development and Procurement Programs
        • Table Brazilian – Future Procurement Programs
        • Table Brazil – Top Defense Procurement Programs by Value (US$ Million), 2018–2023
      • Social, Political and Economic Environment and Support for Defense Projects
      • Political and Strategic Alliances
    • Defense Market Size Historical and Forecast
      • Brazilian defense budget is expected to grow at a CAGR of 1.77% over 2019–2023
        • Table Brazilian Defense Expenditure (BRL Billion & US$ Billion), 2014–2023
        • Table Figure 1: Brazilian Defense Expenditure (BRL Billion), 2014–2023
        • Table Figure 2: Brazilian Defense Expenditure (US$ Billion), 2014–2023
      • Development of indigenous defense capabilities, modernization of defense systems, and large defense procurement projects are expected to boost Brazilian defense expenditure
      • Defense budget as a percentage of GDP will remain at an average of 1.21% over the forecast period
        • Table Brazilian GDP Growth and Defense Expenditure as a Percentage of GDP Growth, 2014–2023
        • Table Figure 3: Brazilian GDP Growth and Defense Expenditure as a Percentage of GDP Growth, 2014–2023
    • Analysis of Defense Budget Allocation
      • Percentage allocation towards capital expenditure to remain constant
        • Table Figure 4: Brazilian Defense Budget Split Between Capital and Revenue Expenditure (%), 2014–2023
      • Capital expenditure is anticipated to record a CAGR of 4.81% over the forecast period
        • Table Brazilian Defense Capital Expenditure (BRL Billion & US$ Billion), 2014–2023
        • Table Figure 5: Brazilian Defense Capital Expenditure (BRL Billion), 2014–2023
        • Table Figure 6: Brazilian Defense Capital Expenditure (US$ Billion), 2014–2023
      • The army accounted for the largest percentage share of the overall Brazilian defense budget
        • Table Brazilian Defense Budget Share – (%) Split by Services (Army, Navy, Air Force and Other), 2014–2023
        • Table Figure 7: Brazilian Defense Budget Share – (%) Split by Services (Army, Navy, Air Force and Other), 2014–2023
      • Army to continue accounting for the lion's share of Brazilian defense budget
        • Table Brazilian Defense Budget Allocations in BRL Billion - Breakdown by Services (Army, Navy, Air Force and Others) 2014–2023
        • Table Figure 8: Brazil Defense Budget in BRL Billion - Breakdown by Services (Army, Navy, Air Force and Others) 2014–2023
        • Table Brazilian Defense Budget in US$ Billion - Breakdown by Services (Army, Navy, Air Force and Others) 2014–2023
        • Table Figure 9: Brazil Defense Budget in US$ Billion - Breakdown by Services (Army, Navy, Air Force and Others) 2014–2023
      • Brazilian per capita defense expenditure to increase over the forecast period
        • Table Brazilian Per Capita Defense Expenditure (US$), 2014–2023
        • Table Figure 10: Brazilian Per Capita Defense Expenditure (US$), 2014–2023
    • Homeland Security Market Size and Forecast
      • Brazil's homeland security market is expected to grow at a CAGR of 3.42% over the forecast period
        • Table Brazilian Homeland Security Expenditure (BRL Billion & US$ Billion), 2014–2023
        • Table Figure 11: Brazilian Homeland Security Expenditure (BRL Billion), 2014–2023
        • Table Figure 12: Brazilian Homeland Security Expenditure (US$ Billion), 2014–2023
      • Human trafficking will drive homeland security expenditure
      • Brazil falls under the "some risk" category on the terrorism index
        • Table Figure 13: Terrorism Heat Map, 2018
      • Brazil faces some threats from terrorist organizations
        • Table Terrorism Index, 2018
      • Brazil has a terrorism index score of 1.6
        • Table Figure 14: Terrorism Index, 2018
    • Benchmarking with Key Global Markets
      • Brazil ranks among major global defense markets
        • Table Benchmarking with Key Markets – 2014–2018 vs 2019–2023
        • Table Figure 15: Benchmarking with Key Markets, 2014–2018 vs 2019–2023
      • Brazil is expected to remain among top defense spending countries in the world
        • Table Figure 16: Defense Expenditure of the World's Largest Military Spenders (US$ Billion), 2018 and 2023
      • Brazil is expected to spend an average of 1.15% of its GDP on defense over the forecast period
        • Table Figure 17: Defense Expenditure as a Percentage of GDP of Largest Military Spenders (%), 2018
    • Market Opportunities: Key Trends and Drivers
      • Top Defense Market Sectors by Value (US$ Million) - Projections over 2018–2023
        • Table Top Indian Defense Market Sectors by Value (US$ Million) – 2018–2023
      • Multirole Aircraft
        • Table Figure 18: Multirole Aircraft Market Size (US$ Million), 2018–2023
      • Diesel Electric Submarines
        • Table Figure 19: Diesel Electric Submarine Market Size (US$ Million), 2018 –2023
      • Land-based C4ISR
        • Table Figure 20: Military Land-based C4ISR Market Size (US$ Million), 2018–2023
  • Defense Procurement Market Dynamics
    • Table Figure 21: Top Brazilian Defense Procurements in Terms of Their Supplier Relationships
    • Import Market Dynamics
      • Modernization of defense systems expected to drive arms imports
        • Table Figure 22: Brazilian Defense Import Trend (US$ Million), 2013–2017 (TIV Values*)
      • Germany, US, and France are the major suppliers for Brazil
        • Table Figure 23: Brazilian Defense Imports by Country (%), 2013–2017
      • Aircraft and armored vehicles accounted for 56.7% of Brazilian defense imports
        • Table Figure 24: Brazilian Defense Imports by Category (%), 2013–2017
    • Export Market Dynamics
      • Development of domestic defense capability is expected to fuel exports in Brazil's emerging military industry
        • Table Figure 25: Brazilian Defense Export Trend (US$ Million), 2013–2017 (TIV Values)
      • Indonesia and Afghanistan are the major prospects for Brazilian defense exports
        • Table Figure 26: Brazilian Defense Exports by Country (%), 2013–2017
      • Aircraft accounted for the majority of Brazilian defense exports during 2013–2017
        • Table Figure 27: Brazilian Defense Exports by Category (%), 2013–2017
  • Industry Dynamics
    • Five Forces Analysis
      • Table Figure 28: Industry Dynamics – Porter's Five Forces Analysis
      • Bargaining Power of Supplier: Low to Medium
      • Bargaining Power of Buyer: Medium to High
      • Barrier to Entry: Medium
      • Intensity of Rivalry: Low to Medium
      • Threat of Substitution: Medium to High
  • Market Entry Strategy
    • Market Regulation
      • International and domestic defense procurement deals are primarily decided by competitive bidding
      • Stringent offset requirements for all defense procurements
        • Table Brazil – Offset Guidelines and Agreements
    • Market Entry Route
      • Budgeting Process
        • Table Brazil Budget Formation Timetable
      • Procurement Policy and Process
      • Foreign OEMs follow direct offset route to enter defense market
      • Collaborations provide market entry opportunities
    • Key Challenges
      • Low allocation for defense capital expenditure and delay in the closure of defense deals are the major challenges of the Brazilian defense industry
      • Complying with Brazil's requirement for extensive technology transfer
  • Competitive Landscape and Strategic Insights
    • Competitive Landscape Overview
      • Table Competitive Landscape of the Brazilian Defense Industry
    • Key Public Sector Companies
      • Embraer: Overview
      • Embraer: Products
      • Embraer: Recent Announcements and Strategic Initiatives
      • Embraer: Alliances
        • Table Embraer – Alliances
      • Embraer: Recent Contract Wins
        • Table Embraer – Recent Contract Wins
      • Embraer: Financial Analysis
        • Table Figure 29: Embraer – Revenue Trend Analysis (BRL Billion), 2013–2017
        • Table Figure 30: Embraer – Operating Profit Trend Analysis (BRL Billion), 2013–2017
        • Table Figure 31: Embraer – Net Profit Trend Analysis (BRL Billion), 2013–2017
      • Forjas Taurus SA: Overview
      • Forjas Taurus SA: Products
        • Table Forjas Taurus SA – Products
      • Forjas Taurus SA: Recent Announcements and Strategic Initiatives
      • Forjas Taurus SA: Alliances
        • Table Forjas Taurus SA – Alliances
      • Forjas Taurus SA: Recent Contract Wins
        • Table Forjas Taurus SA – Recent Contract Wins
      • Forjas Taurus SA: Financial Analysis
        • Table Figure 32: Forjas Taurus SA – Revenue Trend Analysis (BRL Million), 2013–2017
        • Table Figure 33: Forjas Taurus SA – Operating Profit Trend Analysis (BRL Million), 2013–2017
        • Table Figure 34: Forjas Taurus SA – Net Profit Trend Analysis (BRL Million), 2013–2017
      • Avibras Industria Aerospacial: Overview
      • Avibras Industria Aeroespacial: Products
      • Avibras Industria Aerospacial: Recent Announcements and Strategic Initiatives
      • Avibras Industria Aerospacial: Alliances
        • Table Avibras Industria Aerospacial – Alliances
      • Avibras Industria Aerospacial: Recent Contract Wins
        • Table Avibras Industria Aerospacial – Recent Contract Wins
      • Companhia Brasileira de Cartuchos: Overview
      • Companhia Brasileira de Cartuchos: Products
      • Companhia Brasileira de Cartuchos: Recent Announcements and Strategic Initiatives
      • Companhia Brasileira de Cartuchos: Recent Contract Wins
        • Table Companhia Brasileira de Cartuchos – Recent Contract Wins
      • Helibras: Overview
      • Helibras: Products
      • Helibras: Recent Announcements and Strategic Initiatives
      • Helibras: Alliances
        • Table Helibras – Alliances
      • Helibras: Recent Contract Wins
        • Table Helibras – Recent Contract Wins
      • Industria de Material Belico do Brasil (IMBEL): Overview
      • Industria de Material Belico do Brasil (IMBEL): Products
      • Industria de Material Belico do Brasil (IMBEL): Recent Announcements and Strategic Initiatives
      • Industria de Material Belico do Brasil (IMBEL): Alliances
        • Table Industria de Material Belico do Brasil (IMBEL) – Alliances
      • Industria de Material Belico do Brasil (IMBEL): Recent Contract Wins
        • Table Industria de Material Belico do Brasil (IMBEL) – Recent Contract Wins
      • Aeroelectronica: Overview
      • Aeroelectronica: Products
      • Aeroelectronica: Recent Announcements and Strategic Initiatives
      • Aeroelectronica: Alliances
        • Table Aeroelectronica – Alliances
      • Aeroelectronica: Recent Contract Wins
        • Table Aeroelectronica – Recent Contract Wins
      • Indústria Naval do Ceará: Overview
      • Indústria Naval do Ceará: Products
      • Indústria Naval do Ceará: Recent Announcements and Strategic Initiatives
      • Indústria Naval do Ceará: Recent Contract Wins
        • Table Indústria Naval do Ceará – Recent Contract Wins
      • Northrop Grumman Brazil: Overview
      • Northrop Grumman Brazil: Products
      • Northrop Grumman Brazil: Recent Announcements and Strategic Initiatives
      • Northrop Grumman Brazil: Alliances
        • Table Northrop Grumman Brazil – Alliances
      • Northrop Grumman Brazil: Recent Contract Wins
        • Table Northrop Grumman Brazil – Recent Contract Wins
      • Lockheed Martin Brazil: Overview
      • Lockheed Martin Brazil: Products
      • Lockheed Martin Brazil: Recent Announcements and Strategic Initiatives
      • Lockheed Martin Brazil: Alliances
        • Table Lockheed Martin Brazil – Alliances
      • Lockheed Martin Brazil: Recent Contract Wins
        • Table Lockheed Martin Brazil – Recent Contract Wins
  • Business Environment and Country Risk
    • Economic Performance
      • GDP Per Capita at Constant Prices
        • Table Figure 35: Brazilian GDP Per Capita at Constant Prices (US$), 2015–2025
      • GDP at Current Prices
        • Table Figure 36: Brazil GDP at Current Prices (US$ Billion), 2015–2025
      • Exports of Goods and Services
        • Table Figure 37: Brazilian Exports of Goods and Services (BRL Billion), 2005–2014
      • Imports of Goods and Services
        • Table Figure 38: Brazilian Imports of Goods and Services (BRL Billion), 2005–2014
      • Gross National Disposable Income
        • Table Figure 39: Brazilian Gross National Disposable Income (US$ Billion), 2010 2014
      • BRL per US$ (Period Average)
        • Table Figure 40: Brazilian BRL per US$, 2015–2024
      • Market Capitalization of Listed Companies
        • Table Figure 41: Brazilian Market Capitalization of Listed Companies (US$ Billion), 2005–2012
      • Market Capitalization of Listed Companies as a Percentage of GDP
        • Table Figure 42: Brazilian Market Capitalization of Listed Companies as a Percentage of GDP, 2005–2012
      • Government Cash Surplus/Deficit as a Percentage of GDP
        • Table Figure 43: Brazilian Government Cash Surplus/Deficit as a Percentage of GDP (BRL), 2005–2009
      • Goods Exports and Imports as a Percentage of GDP
        • Table Figure 44: Brazilian Goods Exports and Imports as a Percentage of GDP, 2005–2014
      • Services Exports and Imports as a Percentage of GDP
        • Table Figure 45: Brazilian Services Exports and Imports as a Percentage of GDP, 2005–2014
      • Foreign Direct Investment, net (BoP, current US$ Billion)
        • Table Figure 46: Brazilian Foreign Direct Investment, net (BoP, current US$ Billion), 2005–2014
      • Net Foreign Direct Investment as a Percentage of GDP
        • Table Figure 47: Brazilian Net Foreign Direct Investment as a Percentage of GDP, 2005–2014
      • Mining, Manufacturing, Utilities Output (BRL Billion)
        • Table Figure 48: Brazilian Mining, Manufacturing, Utilities Output (BRL Billion), 2005–2014
  • Appendix
    • About GlobalData
    • Disclaimer

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