Brazil Media and Entertainment
Brazil’s $21.5B music industry relies on imports for most gear, creating strong opportunities for U.S. exporters of quality equipment, tech, and services.
The live music segment, generating roughly $17 billion and growing 31% in event volume in 2025, drives strong demand for professional audio equipment, stage lighting, musical instruments, and event technology solutions, most of which Brazil imports (≈99%). This creates a fast-growing market for U.S. companies to supply high-quality products, integration services, and expertise in event production and logistics.
The Brazilian audio and musical instruments sector, valued at $2.7 billion in 2024, faces high prices, up to twice U.S. levels, due to import duties, cascading taxes, and logistics costs. U.S. exporters can gain a competitive edge by exploring cost-reduction strategies such as establishing local distribution hubs, partnering with Brazilian importers, or assembling products locally to benefit from tax incentives like Ex-Tarifário. High-demand categories include professional headphones, amplifiers, guitars, keyboards, percussion instruments, and digital mixing consoles.
Chinese replicas of musical instruments have gained a notable presence in the Brazilian market over the past decade, driven by their affordability and increasing quality. These instruments are often modeled after popular Western brands but sold at a fraction of the price. While this has made musical instruments more accessible to students and amateur musicians, it has also raised concerns among Brazilian distributors and manufacturers about unfair competition and intellectual property rights. Some professional musicians criticize the replicas for their inconsistent sound and durability.
The market is highly fragmented, with nearly 19,530 registered companies, 88% microenterprises and nearly half are sole proprietorships, making it sensitive to price but open to innovative financing, training, and partnership models. U.S. exporters can capture share by offering bundled solutions combining equipment sales with technical training, after-sales service, and partnership plans. B2B e-commerce platforms, equipment rental programs, and subscription-based solutions are particularly attractive to event producers and recording studios.
Brazil’s recorded music market, driven primarily by streaming (87.6% of revenues), grew 21.7% in 2024. With one of the world’s largest streaming audiences and Spotify holding 60.7% market share, there is growing demand for software solutions, rights management platforms, and analytics tools. U.S. companies can seize opportunities in AI-powered music recommendation, artist monetization platforms, micropayment systems, and cloud-based distribution infrastructure, supporting both major labels and independent artists.
For more information on opportunities for U.S. companies, please contact Diogo Pinto Diogo.Pinto@trade.gov, Media and Entertainment Commercial Specialist, U.S. Commercial Service, São Paulo.