South America Process Automation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026 - 2031)

According to Mordor Intelligence, the South America process automation market size was valued at USD 6.48 billion in 2025 and estimated to grow from USD 6.98 billion in 2026 to reach USD 9.75 billion by 2031, at a CAGR of 6.93% during the forecast period (2026-2031).

South America Process Automation Market Trends and Insights

Industry 4.0 and IIoT Adoption

Industrial Internet of Things deployments are bringing field-device information closer to operating and management decisions across South America. Manufacturers are connecting instruments, controllers, and operational software to improve visibility across production systems. These projects make it easier to move from periodic operating reviews toward more frequent monitoring. Connected architectures also create demand for sensor, edge, and cloud components that work together. The operating case becomes stronger where better data can support maintenance planning and production decisions. The South America Process Automation Market therefore benefits as projects move from individual equipment purchases toward integrated systems.

Industrial Asset Modernization

Modernizing older facilities remains a major source of work for automation suppliers because many DCS and PLC installations are approaching end-of-support. Valmet migrated Irani Celulose's Vargem Bonita mill in Brazil from existing PLCs across the fiberline, evaporation, water-treatment, and causticizing areas without stopping production. The project consolidated separate control nodes into a single platform and improved access to plant data for reliability management. Such work shows that the value of modernization often comes from integrating information, not only replacing hardware. Open networking approaches also reduce concerns about being tied to a single supplier and can make replacement decisions easier. The South America Process Automation Market gains when asset owners treat control upgrades as long-term data infrastructure rather than as a one-time maintenance event.

High Upfront Cost of Automation Projects

Upfront costs remain a significant obstacle for smaller manufacturers in the food and beverage, chemicals, and packaging sectors. Equipment, software, and site-infrastructure upgrades can require capital that smaller businesses cannot release quickly. Brazilian small and medium-sized enterprises lag large firms by up to 2 times in automation adoption rates, with investment costs being the main barrier. Currency volatility adds pressure because many control systems, sensors, and precision instruments are purchased in USD or EUR. A weaker local currency can alter expected returns during project planning and delay approval. Financing arrangements, phased deployment plans, and public loan programs can help, but their reach remains uneven across automation categories.

Other drivers and restraints analyzed in the detailed report include:

1. Demand for Energy Efficiency and Process Optimization
2. Rising Automation Demand in Mining and Metals
3. Shortage of Skilled Automation and Instrumentation Personnel

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Sensors and Transmitters accounted for 20.12% of the South America Process Automation Market share in 2025. Their position reflects continuous requirements for flow, pressure, temperature, and level measurement in oil and gas, mining, pulp and paper, and chemicals. New biofuel and direct lithium extraction facilities add demand because these measurements are specified during plant design. Sensors also create the base data that supports advanced control, maintenance systems, and production analytics. Manufacturing Execution Systems are projected to record the fastest system-type growth at an 8.06% CAGR through 2031. This growth reflects a second phase of investment by operators that have already installed core field instrumentation.

Eurofarma Laboratorios deployed Korber's PAS-X MES at its Itapevi facility in Sao Paulo in 2025, covering more than 200 workstations and 5 production buildings. The rollout included electronic batch records, traceability, equipment setup, cleaning processes, and electronic logbooks. DCS and SCADA continue to hold substantial demand because oil and gas sites and utilities depend on long-duration control contracts. PLC adoption is also increasing in food and pharmaceutical manufacturing where local deterministic control is important. Process safety systems support chemical and lithium facilities that require certified safety functions. Valves, actuators, electric motors, HMI, analyzers, and condition-monitoring equipment complete the system stack and generally grow with broader capital spending in the South America Process Automation Market.

Wired Protocol held 74.31% of the South America Process Automation Market share in 2025. Its installed base remains important in established process plants and in safety-critical applications requiring predictable response times. Oil and gas operators also value protected physical signal paths in hazardous locations. Ethernet-APL has demonstrated the ability to combine power and high-speed data over a single two-wire cable in heterogeneous plant architectures. This capability can increase instrumentation density without requiring an entirely new cable network. It may slow the pace of wired-share loss, although it does not remove the need for wireless connectivity.

Wireless Protocol is projected to grow at an 8.29% CAGR through 2031, the fastest rate among communication segments. Remote mines, distributed water-treatment sites, and lithium facilities can avoid high costs by not having to lay copper cable to every measurement point. Chile and Brazil are using private 5G networks to link autonomous haulage systems, environmental sensors, and remote operating centers. ISA100 and WirelessHART are expanding where process operators need dependable and secure alternatives to the fieldbus. Radio-enabled transmitters carried a 15-30% price premium over wired equivalents. This shift changes the equipment mix and supports higher average selling prices within the South America Process Automation Market.

Complete Report Scope:

• By System Type
  • Supervisory Control and Data Acquisition (SCADA)
  • Programmable Logic Controller (PLC)
  • Distributed Control System (DCS)
  • Manufacturing Execution System (MES)
  • Valves and Actuators
  • Electric Motors
  • Human Machine Interface (HMI)
  • Process Safety Systems
  • Sensors and Transmitters
  • Other System Types
• By Communication Protocol
  • Wired Protocol
  • Wireless Protocol
• By End-User Industry
  • Chemical and Petrochemical
  • Paper and Pulp
  • Water and Wastewater Treatment
  • Energy and Utilities
  • Oil and Gas
  • Pharmaceutical
  • Food and Beverages
  • Other End-User Industries
• By Deployment Mode
  • On-premise
  • Cloud-based
• By Geography
  • Brazil
  • Argentina
  • Chile
  • Colombia
  • Rest of South America

List of Companies Covered in this Report:

1. Endress+Hauser AG
2. Yokogawa Electric Corporation
3. Azbil Corporation
4. KROHNE Messtechnik GmbH
5. Samson AG
6. Pepperl+Fuchs SE
7. Brooks Instrument LLC
8. Badger Meter, Inc.
9. Spirax-Sarco Engineering plc
10. HIMA Paul Hildebrandt GmbH
11. Mettler-Toledo International Inc.
12. AMETEK, Inc.
13. Valmet Flow Control Oy
14. Omega Engineering, Inc.
15. R. Stahl AG
16. WIKA Alexander Wiegand SE & Co. KG
17. SMC Corporation
18. Festo SE & Co. KG
19. Beckhoff Automation GmbH & Co. KG
20. WEG S.A.
21. Metso Corporation
22. Burkert Fluid Control Systems
23. KSB SE & Co. KGaA

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support