Adani, Embraer set to assemble commercial aircraft in India

NEW DELHI: Indian billionaire Gautam Adani’s aerospace and defence arm and Brazil’s aircraft manufacturer Embraer are set to announce a partnership next week to assemble commercial aircraft in India, a source familiar with the matter said on Friday.

The move is expected to provide a major boost to India’s civil aviation sector and would mark a significant win for the Indian government, which has long encouraged global aircraft manufacturers to produce jets locally. Indian airlines currently have more than 1,500 aircraft on order, but planemakers have so far resisted local assembly, citing concerns over commercial viability.

According to the source, Adani Aerospace has signed a memorandum of understanding with Embraer, the world’s third-largest aircraft manufacturer after Airbus and Boeing, to establish a final assembly line for Embraer’s regional jets in India.

Both Adani Aerospace and Embraer earlier this week sent invitations to media outlets, describing the upcoming announcement as a “historic” development for commercial aviation. The formal announcement is scheduled to take place at the office of India’s Ministry of Civil Aviation.

Embraer declined to comment on the development, while Adani Aerospace and the civil aviation ministry did not immediately respond to requests for comment. The proposed partnership was first reported by The Times of India.

Currently, nearly 50 Embraer aircraft of various types are operating in India, including planes used by regional carrier Star Air. However, Embraer’s presence in the country remains relatively small compared to Airbus and Boeing, which dominate the order books of Indian airlines.

Embraer, which opened an office in New Delhi last year, has projected that India will require at least 500 aircraft in the 80- to 146-seat category over the next two decades, underscoring the long-term growth potential of the market.