Brazilian industry faces digital divide and low confidence

The Brazilian industrial sector is facing a period of uneven technological advancement and cautious economic sentiment. According to the Digital Transformation Index Brazil 2025 by PwC and Fundação Dom Cabral, the industry is experiencing a phenomenon known as “islands of excellence.” While sectors such as automotive, electronics, and pharmaceuticals are highly digitized, a significant portion of the industrial park lags behind due to insufficient investment or lack of technical knowledge.

Simultaneously, the Industrial Entrepreneur Confidence Index (ICEI), released by the National Confederation of Industry (CNI), highlights a divergence in sentiment. While the outlook for the Brazilian economy remains pessimistic at 39.1 points, entrepreneurs maintain a more positive view of their own companies, with an expectation index of 51.3 points. Despite this relative optimism regarding individual businesses, the overall industrial confidence has remained in negative territory for 21 consecutive months, marking its longest streak of low confidence since 2015-2016.