In a landmark development for India’s aerospace sector, Brazilian aviation giant Embraer and Adani Defence & Aerospace have entered a strategic partnership through a Memorandum of Understanding to create a comprehensive regional transport aircraft ecosystem. This collaboration represents a significant advancement in India’s aviation manufacturing capabilities, targeting the establishment of a final assembly line supported by systematic indigenization plans and cooperative efforts in manufacturing, supply chain enhancement, maintenance operations, and pilot training initiatives.
This alliance emerges during a period of exceptional growth in India’s aviation market, where domestic and international passenger traffic witnessed substantial increases of 13% and 22% respectively during FY2024. This expansion has triggered massive fleet augmentation projects, including record-breaking aircraft acquisitions by Air India and IndiGo that could potentially double the nation’s commercial fleet within the next decade. Concurrently, the Indian government has committed over $11 billion toward airport infrastructure development nationwide.
The partnership addresses India’s historical dependency on aircraft imports despite its position as one of the world’s fastest-growing aviation markets. This initiative runs parallel to the government-supported Regional Transport Aircraft project led by National Aerospace Laboratories and Hindustan Aeronautics Limited, which has received budgetary support exceeding Rs125 billion through a newly created Special Purpose Vehicle.
Embraer Commercial Aviation CEO Arjan Meijer identified India as a ‘pivotal market,’ emphasizing that the collaboration merges Embraer’s aerospace engineering expertise with Adani’s extensive capabilities across the aviation value chain. Jeet Adani, Director of Adani Defence & Aerospace, highlighted the critical importance of regional connectivity for India’s economic development, particularly as Tier-II and Tier-III cities drive air traffic growth under the UDAN regional connectivity scheme.
Industry analysts recognize this partnership as a crucial milestone toward establishing commercial aircraft assembly capabilities within India—a long-standing objective for the nation. The agreement aligns with governmental strategies focusing on technology transfer, supply chain reinforcement, and positioning India as a global hub for regional aircraft production. Civil Aviation Secretary Samir Kumar Sinha has reiterated India’s ambition to not only assemble aircraft but also develop domestic competencies through skill development, certification programs, and progressive localization.
With approximately 50 Embraer aircraft already operational across commercial, defense, and business aviation sectors in India—including the Indian Air Force’s Netra AEW&C system and Star Air’s E175 and ERJ145 fleet—the partnership is anticipated to generate substantial employment opportunities in engineering, manufacturing, logistics, and service sectors. This collaboration strengthens India’s transition from being primarily an aviation market toward becoming a significant aerospace manufacturing power, driven by increasing demand, industrial synergy, and strategic self-reliance objectives.