Latin America Hazardous Location Motors - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2030)

The Latin America Hazardous Location Motors Market size is estimated at USD 249.84 million in 2025, and is expected to reach USD 309.28 million by 2030, at a CAGR of 4.36% during the forecast period (2025-2030).

Key Highlights

• The electric motor, including hazardous location motors, is the great enabler of rapid industrialization. In the era of Industry 4.0, these motors made mass production and automation possible. But with the deep integration of motors in various industrial platforms, motors are being installed in proximity with multiple materials, which in some cases leads to adverse outcomes, such as dust explosion, etc.
• The increasing demand for hazardous location motors in utility gas plants, grain elevators, flour and feed mills, carbon handling, and processing areas is rendering significant impetus to the market growth in the region. When operating in a hazardous location, using explosion-proof motors is critical for the safety of personnel and equipment. Explosion-proof motors are intended for use in hazardous environments containing flammable gases, dust, or fibers.
• Latin America is witnessing a digital transformation in the public and private sectors to stay competitive in the global economic market. The market for hazardous location motors in the region is primarily driven by factors such as utility providers' rising adoption of smart technology solutions, reduced maintenance and repair costs, and the rising need for energy conservation across end-users.​
• The Latin American economies have been experiencing an economic downturn in recent years. However, the utility industry is one of the significant sectors helping the regional economies to overcome these scenarios. Also, the growing energy concerns and the effort to adopt the cost-effective process are mainly forcing local industrial organizations to invest in energy-efficient equipment and devices, such as hazardous location motors.
• Furthermore, various companies are looking to open their food manufacturing plant in Brazil, further propelling market growth. For instance, recently, Bühler, Cargill, and Givaudan formed a consortium with the Food Tech Hub LATAM and Ital Food Technology Institute to build the Tropical Food Innovation Lab in Campinas, Brazil. The new hub spans 1,300 square meters and is dedicated to developing sustainable food and beverage products in the country.
• Further, the COVID-19 pandemic influenced the overall semiconductor manufacturing market from the demand and supply sides. In addition, the global lockdowns and closure of semiconductor plants also fueled the supply shortage. The effects were also reflected in the studied market. However, many of these effects were short-term. Precautions by regional governments to support utility and semiconductor sectors helped revive industry growth.

Latin America Hazardous Location Motors Market Trends

Petroleum Refining Plants Segment is Expected to Hold a Major Market Share

• The workers in oil & gas industries are exposed to risks like fire and explosion due to igniting flammable vapors or gases. Flammable gases, such as vapors, well gases, and hydrogen sulfide, can be released from trucks, wells, production equipment, or surface equipment such as tanks and shale shakers. Ignition sources include static, open flames, electrical energy, lightning, cutting and welding tools, cigarettes, hot surfaces, and frictional heat.
• There is an upward trend in the Latin American region's production and consumption of oil and gas resources. According to Baker Hughes, the number of active oil rigs in Latin America has followed a generally downward trend in recent years, from 173 units in 2019 to 174 units in December 2023 after the effect of the pandemic. Argentina reported the most significant number of oil rigs in Latin America in 2023, accounting for roughly 32% of active rigs in the region.
• Further, according to CNH (Mexico), in March 2023, crude oil production in Mexico averaged around 1.63 million barrels per day. Approximately 1.53 million daily barrels were produced by Mexico's state-owned oil corporation Pemex. Meanwhile, production from private companies added up to some 97.1 thousand barrels per day in March 2023. The oil output of private companies in Mexico has increased continuously in recent years.
• During the second wave of the pandemic, Brazilian integrated energy company EnP launched a USD 400-500mn project to build a 150km (93-mile) gas pipeline in shallow waters offshore Brazil's southeast region. The Hub Gasines project aims to bring onshore up to 20mn m³/d (706mn cf/d) of natural gas and is expected to be operational in 4-5 years, by which all the residential buildings will easily get the gas supply.
• Recently, Colombian state oil company Ecopetrol completed expansion works at its Reficar oil refinery in Cartagena as it seeks to meet rising domestic fuel demand. This expansion consolidates the Cartagena refinery as a strategic asset to guarantee Colombia's energy sovereignty. Also, this refinery would now produce diesel and gasoline with sulfur content below 100 ppm and 50 ppm, respectively. Such developments are likely to positively impact the region's refinery plants, which will drive the studied market.

Brazil is Expected to Hold a Major Market Share

• Brazil is the most considerable Latin American market, dominating the surrounding regions economically and commercially. The country's manufacturing sector ranks as the third biggest in the Americas. The country is also the world's ninth-largest country and is expected to record a significant share of natural resources. These resources fuel the growth in the number of mines in the country.
• Recently, the Brazilian Company of Innovation and Research (FINEP in Portuguese) launched a BRL 55.5 million (USD 10.3 million) project call to provide non-reimbursable grants. The funding will be used to design innovative products or technologies in the electricity sector, further driving hazardous location motors' usage.​
• In February 2023, Arlanxeo inaugurated a new polybutadiene (BR) production line in Brazil. The new production line supplements Arlanxeo's existing production capacity in Brazil with an additional 65,000 metric tons per year (mt/yr). It reinforces the company's commitment to meeting customer demand for reliable, locally produced BR in Latin America. Such expansion of chemical and petrochemical plants in the region may further drive the studied market growth in the forecast period.
• Also, Brazil's state-controlled oil producer Petrobras announced a 15% increase in its five-year spending plan to USD 78 billion to expand oil refineries.
• Furthermore, recently, Brazilian chemical producer Unigel announced that it had started work on Brazil's first industrial-scale green hydrogen plant. The company will invest a total of USD 120 million in green hydrogen development. It will use electrolyzers from ThyssenKrupp Nucera, the electrolyzer manufacturing subsidiary of the German industrial group Thyssenkrupp AG. These developments and expansions in the energy and petrochemical plant sector will drive the studied market in the country.

Latin America Hazardous Location Motors Industry Overview

The Latin American hazardous location motors market is home to various established vendors that are intensely competing in the market based on product innovations and is moderately fragmented in nature. Apart from innovation, various market vendors are involved in several mergers and acquisitions to gain market share, regional presence, and technological capabilities. Major key players are Brook Crompton, Dietz Electric Co., Inc., ABB Ltd., and others.

The future of the hazardous location motors market in Latin America appears promising, with ongoing investments in safety technologies and infrastructure development expected to bolster growth. Companies that prioritize innovation, energy efficiency, and customer-centric solutions will likely gain a competitive edge in this evolving landscape.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
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