Embraer, the world’s largest non-western aircraft supplier and a major player in the civil aviation industry of Brazil, is making bold moves to strengthen its position in the rapidly expanding narrow-body passenger jet market in China and India.
The Brazilian firm has set an ambitious target of producing and delivering almost 100 planes annually with up to 150 seats by 2025, representing a significant 75% increase from its previous year’s deliveries.
Embraer’s expansion strategy comes at a crucial time as tensions between China and the United States have resulted in constraints on American aircraft exports to Beijing. The recent decoupling between the two economic rivals is expected to have a further impact on aviation trade, with China traditionally being the largest buyer of Boeing jets.
Embraer has seized this opportunity by securing deliveries of its newest E2 series commercial jet, the E190-E2, to China after obtaining type certification from Chinese authorities. The company is also actively engaged in talks with India to supply passenger jets to Indian airlines by 2024, strategically targeting the world’s fastest-growing aviation market.
Furthermore, Embraer is actively exploring opportunities to supply warplanes to India and potentially establish a manufacturing facility in partnership with a local company. India has expressed keen interest in collaborating with international aircraft manufacturers to produce small planes domestically, as many airports in the country’s civil aviation Regional Connectivity Scheme are not equipped to handle narrow-body aircraft from major players like Airbus and Boeing.
Market research indicates a robust demand for passenger aircraft with 150 seats or fewer in the Asia-Pacific region, including China and India. Embraer sees significant sales potential in the Asia-Pacific market and aims to capture a substantial share of the estimated 8,500 units globally, with at least 2,200 of them expected to be from the region.
With its strategic focus on China and India, Embraer is positioning itself as a key player in Asia’s booming aviation market. Leveraging its expertise and capabilities, the company is determined to meet the rising demand for commercial aircraft in the region and reduce dependence on traditional aircraft manufacturers. As the global aviation landscape evolves, Embraer’s bold moves in China and India are poised to shape the industry’s dynamics and establish the company as a formidable contender in the competitive Asian market.