The Latin America business area is investing in automation and modularization to reduce cost and complexity and to sustain strong market positions through a sharpened product offering. Local manufacturing is a competitive advantage as several of the main markets, such as Brazil and Argentina, are protected by customs tariffs. A growing middle class provides good opportunities for long-term growth. Sales are driven through well-established brands including Electrolux and Continental in Brazil, Fensa and Mademsa in Chile, Electrolux and Gafa in Argentina, and Frigidaire in the northern part of the region.
Markets and positions
- Brazil is the largest appliance market in the region, dominated by a small number of major manufacturers.
- Market penetration for built-in products and air-conditioners is low but increasing.
- Consumers show increasing interest for energy and water efficiency and other sustainability related topics.
- In 2020, Electrolux had a value market share of about 29% in Brazil, Chile and Argentina combined, with Electrolux brand leadership in the refrigeration and freezer category.