Adani ties up with Brazil’s Embraer to manufacture regional jets in India: Report

Adani Group has reportedly partnered with Brazil's Embraer to manufacture Embraer's regional jets in India. These jets, designed for short- to medium-haul routes with seating for 70 to 146 passengers, are expected to improve regional air connectivity and support India's aviation industry growth.

According to a report in Times of India, Adani Aerospace recently signed a memorandum of understanding with Embraer in Brazil. A formal announcement is expected later this month at the Hyderabad Air Show. Details on the location, investment, and timeline for the final assembly line have not been disclosed.

This comes as India aims to join a select group of countries with a commercial fixed-wing aircraft final assembly line. The country is the fastest-growing aviation market globally, with domestic airlines having over 1,800 aircraft on order. The government has also been encouraging global aerospace leaders to set up assembly lines in India to build local expertise and create jobs.

The Adani-Embraer partnership is expected to improve regional connectivity, especially as Airbus and Boeing face long delivery times for new single-aisle aircraft, the report added.

An official source told the daily that policy support is under consideration, including fiscal incentives for orders from the final assembly line. Incentives may reduce as orders increase, for example, after every 50 orders.

Embraer already operates nearly 50 aircraft of 11 types in India across commercial, defence, and business aviation sectors, the report said. Its Indian subsidiary is exploring further business opportunities to meet rising domestic demand for regional jets.

Raul Villaron, Embraer senior vice president, said India will need 500 aircraft with 80 to 146 seats in the next 20 years, showing strong demand and the need for a local assembly line.