Adani Group has inked an initial pact with Brazilian aerospace major Embraer for setting up a final assembly line for its regional jets in India, a PTI report said.
The report stated that Adani Defence and Aerospace recently signed a Memorandum of Understanding (MoU) with Embraer for setting up the Final Assembly Line (FAL) in India.
The Adani Group, which already has a good presence in the fast-growing Indian aviation sector, will be making its foray into aircraft manufacturing in India in association with Embraer.
Timing and Make In India push
The development also comes against the backdrop of the government pushing for ‘Make In India’ activities in the high-growth civil aviation space. Currently, there are no FALs for civilian aircraft in India.
Last year, Civil Aviation Minister K. Rammohan Naidu stated that the government was in the process of setting up a special purpose vehicle for manufacturing regional transport aircraft and added that necessary policies were in place for India to manufacture planes and their components.
Embraer eyes Indian market
In November 2025, a senior Embraer official said in Bangkok that the aircraft maker is targeting the Indian market because it is an untapped market in Asia.
To tap the “huge opportunities” in India, Embraer had set up its office in the national capital in October 2025. At present, Embraer, whose E-Jets began operations in India in 2005, has nearly 50 aircraft in the country serving the Indian Air Force, government agencies, business jet operators and commercial airline Star Air.
“India is a market with lowest yields worldwide… if you don’t have seat cost that is competitive, then it is very difficult to make it work. With E195-E2 (aircraft) and high density seat configuration, the seat cost is very competitive…,” Raul Villaron, Senior Vice President – Head of Region for Asia Pacific at Embraer, had said.
Embraer’s E195-E2 can have up to 146 seats. The company aims to strengthen its presence in the country’s commercial aviation, defence, business aviation, services, support, and urban air mobility segments.
In 2024, Embraer Defense & Security and Mahindra Defence Systems inked an MoU to evaluate the opportunity to jointly pursue the Indian Air Force’s Medium Transport Aircraft (MTA) programme with the C-390 Millennium.