Embraer Offers India C-390 Assembly Hub for Asia-Pacific, Contingent on Winning IAF MTA Tender

In a significant strategic move aimed at securing a major Indian Air Force (IAF) contract and expanding its presence in the Asia-Pacific defence market, Brazilian aerospace manufacturer Embraer has proposed establishing a final assembly line for its C-390 Millennium transport aircraft in India.

This offer is contingent upon the company winning the IAF's ongoing tender for Medium Transport Aircraft (MTA).

The ambitious plan not only seeks to supply the 60 to 80 aircraft required by the IAF but also aims to position India as a crucial hub for exports, maintenance, repair, and overhaul (MRO), and training for the C-390 aircraft across the Asia-Pacific region.

If Embraer's bid is successful, the Indian Air Force would become the largest global operator of the C-390 Millennium, possessing more aircraft than all current customers combined, including the Brazilian Air Force.

The IAF's MTA tender was initiated to replace its ageing fleet of Antonov An-32 aircraft. The requirement is for a medium-lift tactical transport aircraft with a payload capacity ranging from 18 to 30 tons. The procurement of 60 to 80 such aircraft represents one of the most substantial military transport acquisition programs globally in recent times.

Embraer's C-390 is competing against established aircraft such as Lockheed Martin's C-130J Super Hercules and Airbus's A400M Atlas. The Brazilian company is promoting the C-390 as a versatile and cost-effective solution, well-suited to India’s diverse operational requirements, including capabilities for high-altitude missions and rapid deployment. The replacement of the An-32 fleet is considered critical for modernising the IAF's airlift capabilities.

This latest proposal builds upon an existing partnership. In February 2024, Embraer signed a Memorandum of Understanding (MoU) with Indian conglomerate Mahindra's Defence Systems wing to jointly pursue the MTA contract. This collaboration, officially announced at the Embassy of Brazil in New Delhi, underscores a commitment to local production under India’s ‘Make in India’ policy.

Embraer's early 2025 announcement to establish a final assembly line if it wins the tender takes this commitment a step further. The envisioned facility would not only cater to the IAF’s needs but also serve as a regional centre for new export sales, MRO services, and comprehensive training programs for countries in the Asia-Pacific.

Embraer's vision for India extends beyond the immediate aircraft sale. The company identifies India’s strategic geographic location, its developing aerospace ecosystem, and its growing defence ambitions as key factors that make it an ideal location for a C-390 regional hub.

"India has the potential to become a centre of excellence for the C-390 in the Asia-Pacific," an Embraer Defense & Security official stated recently. "A final assembly line here would support exports to regional allies, provide MRO services, and train aircrews and technicians, fostering a self-sustaining ecosystem."

The Asia-Pacific region, which includes several nations looking to modernise their air transport fleets such as Indonesia, Vietnam, and the Philippines, presents a significant, largely untapped market for the C-390. These countries are seeking modern yet affordable transport aircraft and could benefit from an Indian-based hub due to geographical proximity and potentially lower operational and support costs compared to hubs in the West or Brazil.

Furthermore, India's existing operational experience with other Embraer platforms, notably the ERJ-145 jet-based Netra Airborne Early Warning and Control (AEW&C) aircraft, provides a solid foundation of technical expertise and infrastructure.

The proposed Indian hub would also incorporate a training academy. This facility would leverage India’s skilled workforce to certify pilots, loadmasters, and maintenance personnel for both Indian and international C-390 operators.

An accompanying MRO facility is planned to ensure long-term aircraft availability and reduce operational costs for C-390 fleets across the region. Embraer has previously implemented similar successful support infrastructure models in Brazil and is reportedly exploring a comparable partnership in Saudi Arabia.

 

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[sanket]

Nice. After C-295, this C-390 will make Bharat Aircraft mfg Hub. Further waiting for MRFA outcome, I have always said Embraer is a dark horse. Good proposal from Embraer. Needs to buy some stakes in Embraer by any company from Bharat.

 

[Just a Patriot]

Nice. After C-295, this C-390 will make Bharat Aircraft mfg Hub. Further waiting for MRFA outcome, I have always said Embraer is a dark horse. Good proposal from Embraer. Needs to buy some stakes in Embraer by any company from Bharat.

Yes, seems like a good news for us... With negotiations, we can also have some TOT included... Jai Hind

 

[Indian1ST.]

These Brazilians sold Embraer 1000 Legacy jets to Pakistan, which have now been converted to MPAircraft by Leonardo South Africa. India must insist on no more sales or supply of spares to Pakistan if these companies want to do business in India.

 

[Enforcer]

Perfect, this aircrafts fits all our needs and its soo good that even European nations are buying them over C-130. I have personally flown many times in an Embraer regional jet and found it to be better than McDonnel Douglas ones or Boeing. Great plane, need to buy around 100 to replace crappy AN-32.

 

[Shanker]

I have my own reasons to welcome this proposal. I believe that Embraer should be encouraged to assemble commercial jets too, either on their own or through licence agreement with Boeing or Airbus. Our government can sweeten such a deal as well through incentives!🙂

 

[Kira]

Perfect, this aircrafts fits all our needs and its soo good that even European nations are buying them over C-130. I have personally flown many times in an Embraer regional jet and found it to be better than McDonnel Douglas ones or Boeing. Great plane, need to buy around 100 to replace crappy AN-32.

I believe the C-295 would gradually replace the Antonov, but the newer and much more capable C-390 can potentially be a fine addition that effectively meets the need for additional cargo capacity and local production. Since Embraer is struggling fiscally, they may be even more open to more ToT and local production of components and spares in the future.

 

[Enforcer]

I believe the C-295 would gradually replace the Antonov, but the newer and much more capable C-390 can potentially be a fine addition that effectively meets the need for additional cargo capacity and local production. Since Embraer is struggling fiscally, they may be even more open to more ToT and local production of components and spares in the future.

C-390 is the real replacement for AN-32. C-295 might get orders just to keep the production lines running.

100 C-390 would make us a powerhouse in strategic airlift capability. We need airlift because our rails and roads infrastructure is horrible and very slow and congested.

 

[pgahlot]

I have been saying this is the best opportunity and India should grab it with both hands. They are ready to share TOT (maybe not 100%) and would make India a hub for export which means more export option. Also this C-390 is a real good transport aircraft.

 

[P.K Senapati]

Brazil is a friendly country.We have some business contact with Embraer in connection to Early warning system.
We should welcome this proposal.We need not only Militaty transport jet assembly line but also cicil jet transport line in cooperation with Brazil.

 

[Alok Gupta]

Even though India already has a couple of C-130J,, the C-390 has better payload capacity, better pricing, has similar landing characteristics and the Brazilian govt will be more dependable than the US. If an assembly line and MRO facilities are developed in India, this will also bring in a lot of ToT to India and may be helpful in developing an Indian version.

 

[Seth S.]

Final assembly line! That's a joke. Nothing short of bare metal to final assembly would be acceptable for such a large order (larger than the total numbers that Embraer has sold worldwide to date).

 

[Leo red]

It's very important to have manufacturing of aircraft including engine in our country. This will help us to have diverse advantage. Also we will need for domestic civilian use. Soon our country will be flooded with demands. Can't depend only on airbus or boeing. Force boeing also to start production in India. Other get this company on board. Also make sure to not to buy products from Pakistan turkey also stop buying from Bangladesh and China. This is right time to buy US oil and bring down trade deficit.

 

[Kira]

C-390 is the real replacement for AN-32. C-295 might get orders just to keep the production lines running.

100 C-390 would make us a powerhouse in strategic airlift capability. We need airlift because our rails and roads infrastructure is horrible and very slow and congested.

From different propulsion systems and cargo capacity, there are many differences between these transport planes.

 

[Parveen Gahlot]

Good if they agree for TOT as well rather than just screw drivering as final assembly line. And I feel they will do that as this would be a huge order.

 

[Enforcer]

From different propulsion systems and cargo capacity, there are many differences between these transport planes.

Exactly, Now in today's world, C-295 is not enough and neither is AN32. Today's battlefield requires C-390 which can transport heavy vehicles and more cargo. Its a natural upgrade to AN32.

 

[Kira]

Exactly, Now in today's world, C-295 is not enough and neither is AN32. Today's battlefield requires C-390 which can transport heavy vehicles and more cargo. Its a natural upgrade to AN32.

True, although the need for more heavier cargo planes like the C-17 will remain unfulfilled.

 

[Dredd]

If we are going to be the biggest customer, then it is better to be a stakeholder in the company with profit sharing in future plane sales. Also, we should push our products like Tejas, LUH, and LCH in Brazil.

 

[M.H.]

These Brazilians sold Embraer 1000 Legacy jets to Pakistan, which have now been converted to MPAircraft by Leonardo South Africa. India must insist on no more sales or supply of spares to Pakistan if these companies want to do business in India.

The sale of the Lineage 1000E and its conversion to maritime patrol aircraft to Pakistan had no involvement from Embraer. The Sea Sultan project has only the involvement of Italy's Leonardo and South Africa's Paramount.

 

[MF]

Final assembly line! That's a joke. Nothing short of bare metal to final assembly would be acceptable for such a large order (larger than the total numbers that Embraer has sold worldwide to date).

Do you really think that Embraer, Lockheed Martin or Airbus will offer much more than a final assembly line? They may even domesticate some percentage of components, but it will not be as large as many would like. And considering how slowly India is acting to select the aircraft for the MTA program, it is likely that by the time the choice is actually made, Embraer will have sold at least as much as or more than a possible order of 60 to 80 aircraft from India.

 

[M.H.]

I believe the C-295 would gradually replace the Antonov, but the newer and much more capable C-390 can potentially be a fine addition that effectively meets the need for additional cargo capacity and local production. Since Embraer is struggling fiscally, they may be even more open to more ToT and local production of components and spares in the future.

Embraer is no longer in financial difficulty. After the end of the agreement with Boeing, the Brazilian company faced losses due to the reintegration of its commercial division in 2020 and 2021. In 2022, Embraer consolidated its return to profitability, which it has maintained to this day, given the good performance of its divisions, especially executive aviation and defense & security.
I believe that the transfer of technology and opening of a local production line by Embraer will depend on the number of aircraft ordered. The costs must be viable for both parties, or the project will be doomed to failure.

 

[MF]

I have my own reasons to welcome this proposal. I believe that Embraer should be encouraged to assemble commercial jets too, either on their own or through licence agreement with Boeing or Airbus. Our government can sweeten such a deal as well through incentives!🙂

Embraer has been assembling commercial jets for decades. However, unlike Airbus or Boeing, its focus is and always has been the regional market. So much so that it has already sold over 1,800 units of the E-Jets E1 and E2.