Space - Industry - South America Market, Share and Trends 2023-2028

Summary of Space

South America is establishing itself as a new frontier for growth in the global space industry. National space agencies and a burgeoning commercial sector are driving innovation and diversifying the regional economy. Based on our estimates, we can say that South America’s regional space industry is forecasted to be a $24.47 billion industry in 2029 from $18.80 billion in 2023 with a CAGR of 4.47%.

Some notable developments include Brazil launching its Amazonia-1 Earth observation satellite in early 2022. Argentina began manufacturing its second SAOCOM radar satellite with international partners. Chile saw an increase in satellite launches from its Punta Arenas spaceport. Colombia’s DSat-1 satellite was deployed by the ISS in late 2022. These milestones demonstrate the region’s growing capabilities across the space value chain.

Going forward– greater cooperation between these nations can help maximize resources and address challenges like access to space. Regional alliances for sharing launch infrastructure and data can accelerate the sustainable development of South America’s space economy. If nurtured with enabling policies and public-private partnerships, this sector is well-positioned to achieve its full economic and social potential.

NASA is engaged in a wide range of activities with the nations – including SERVIR Amazonia – which uses NASA’s Earth science data to empower scientists and decisionmakers across the region to track and understand environmental changes in near real-time, evaluate climatic threats like deforestation and food security and rapidly respond to natural disasters.

Recent Trends and Insights

Brazil, Argentina, Chile, Colombia and other countries are strengthening cooperation through initiatives like the Latin American Space Agency (ALAE) to coordinate efforts in areas like Earth observation, telecommunications and space exploration. This aims to boost the region’s competitiveness.

Satellite manufacturing is growing, with companies like Invap SE in Argentina producing smallsats for domestic and international customers. Brazil’s Satré also builds and operates small satellites.

The Guiana Space Centre in French Guiana, which serves as Europe’s spaceport, saw an increase in launches in 2022 including missions by Arianespace and the ESA. This benefits South America’s proximity to the equator.

Startups are driving new innovations like constellations of small satellites for IoT and connectivity. Examples include Chile’s GeoSpark and Colombia’s Unifly which provide services across Latin America.

Universities are expanding education and research in fields like nanosatellite engineering, space medicine and astrobiology to nurture local talent pipelines for the industry. Governments continue supporting the space sector through funding for agencies, tax incentives for private companies and technology transfer programs to diversify economies.

Product Insights

Companies like Invap SE in Argentina and Satré in Brazil are producing small satellites and components for domestic and international customers. This includes Earth observation, communications and science satellites.

Brazil’s VLS rocket and the Guiana Space Centre’s Ariane, Soyuz and Vega rockets provide access to space. Startups are also developing microsatellite launchers. Latin America is no stranger to space, as Argentina, Peru, Brazil, Mexico, Uruguay, and Bolivia have national space agencies, and Argentina and Brazil have even built space launch sites.

Networks of antennae enable satellite control and data reception. Examples include the Brazilian Ground Station Network and Argentina’s CONAE facilities. Companies offer geospatial imagery and insights for sectors like agriculture, mining, infrastructure monitoring and environmental protection.

Constellations will enhance internet access across the region, including in rural areas. Unifly in Colombia is one such venture. Manufacturers supply parts for satellites and rockets globally, such as solar panels, batteries and avionics from Argentina and Brazil.

Key Companies

Some major players within this vast domain of industry are

• AEL Sistemas
• Aeromot
• Ares Aeroespacial e Defesa
• Embraer
• Flyer Indústria Aeronáutica
• Invap SE
• Satré
• EXA
• Satellogic
• Argentina National Space Activities Commission

Regional Analysis

South America’s space industry generated over $2 billion in 2021 and is projected to grow at a rate of 10% annually through 2030 according to our analysis. Countries like Brazil, Argentina, Chile, Colombia, Peru and Guyana have ambitious plans to capture new opportunities in areas like satellite manufacturing, launch services, and Earth observation.

Brazil’s National Institute for Space Research leads activities like satellite development, space science and weather monitoring from the Alcântara Launch Center. Space startup investment and technology exports are also increasing. Argentina launched its SAOCOM 1B radar satellite in 2021 and is working to boost domestic satellite production.

Mexico and Argentina decided in October 2020 to take the lead in establishing ALCE– a regional space agency that aims to pool financial, human and technological resources. Along with Bolivia, Ecuador, El Salvador and Paraguay, Colombia and Peru will be present as spectators even though they won’t be actively taking part just yet. The Community of Latin American and Caribbean States launched the effort– which was first announced during the America’s Space Summit in 2006. It is now officially under way, with the goal of launching its first satellite into orbit by the end of 2021 or, at the latest, 2022.

Chile has become a hub for smallsat companies and NewSpace ventures due to its ideal location for polar launches. Initiatives supporting research commercialization and STEM education are nurturing local talent. Colombia’s growing satellite industry provides services for communications, mapping and environmental monitoring across Latin America and worldwide.

Market Segmentation

By Type:

• Satellite Services
• Satellite Manufacturing
• Satellite Launch Services
• Space Exploration

By End user:

• Commercial Sector
• Government Sector
• Military & Defense Sector
• Scientific research Sector

By Enterprise Size:

• Large Industries
• Small & Medium Industries

By Countries:

• Brazil
• Argentina
• Columbia

Our Methodology

We have offered a well-founded review of South America’s regional Space Industry market along with ongoing trends and upcoming projections to highlight proximate investment opportunities in this report. Moreover, an extensive analysis of any future prospects, challenges, competitors, or navigating aspects is also provided. A methodical detailed regional examination is presented.

Primary Research  

Our multi-pronged research approach includes interviews with industry leaders and a global survey of advanced manufacturing professionals to gain qualitative insights. We utilize our proprietary databases encompassing key performance indicators worldwide in order to collate relevant data points. A multivariate forecasting framework considering historical performance, current dynamics and qualitative factors are utilized to develop market sizing and growth projections through 2029.

We supplement our primary research with a careful examination of secondary materials such as– case studies, news stories and references from other sources. Organizations can benefit from the strategic advice and conclusions offered because they will be better equipped to respond to the dynamic nature of this industry and seize emerging possibilities.

We employ a comprehensive and iterative research methodology focused on minimizing deviation to provide the most accurate market estimates. Our research utilizes a combination of bottom-up and top-down approaches across segments and utilizes databases, primary research insights and industry experts for analysis.

Raw data is obtained from multiple sources and thoroughly filtered to ensure only authenticated and validated sources are considered. We collect data from raw material suppliers, industry associations, technology providers, and buyers to gain a holistic perspective.

Quantitative Analysis

Our market estimates are derived through statistical models, beginning with collection of historical data and analysis of macro- and micro-economic factors influencing the market. Gathered information on market dynamics, technology and pricing trends are utilised to build the models.

Econometric and technological models are applied to project short- and long-term market potential respectively. A bottom-up approach is preferred to minimize errors. Key parameters considered include market drivers and restraints, material pricing trends, regulatory scenarios, and capacity additions.

Weights are assigned to these parameters based on impact analysis and market forecasting is performed via statistical tools and techniques. We believe this methodology results in an accurate and realistic market picture.