Embraer Builds Dual Aerospace Strategy in India Through C-390 Military and E175 Regional Aircraft Programmes

Brazilian aerospace manufacturer Embraer is building a broader industrial presence in India through two parallel aircraft initiatives that span military and civil aviation. The company is working with Mahindra Group on the C-390 Millennium for the Indian Air Force’s Medium Transport Aircraft programme, while a separate partnership with Adani Defence & Aerospace is focused on creating a regional transport aircraft ecosystem around the E175.

Taken together, the two programmes show that Embraer’s India strategy is moving beyond the sale of imported aircraft. The company is increasingly linking its future in India to local assembly, supply-chain development, maintenance, training and long-term industrial participation.

C-390 Programme Targets the Indian Air Force

Embraer and Mahindra Group are jointly pursuing the Indian Air Force’s Medium Transport Aircraft requirement with the C-390 Millennium. On October 1, 2026, the companies announced that Nagpur had been identified as the proposed location for a potential C-390 Final Assembly Line in India, subject to the aircraft being selected by the Government of India and an order being placed under the IAF programme.

The proposed facility would support local assembly and industrialisation of the aircraft while creating a wider manufacturing and support ecosystem around the programme. Embraer and Mahindra are also working with the Government of Maharashtra on the infrastructure that would be required if the C-390 is selected.

Mahindra Partnership Has Expanded in Stages

The C-390 partnership has developed progressively since Embraer and Mahindra first signed a memorandum of understanding in February 2024. Their cooperation was expanded through a Strategic Cooperation Agreement in October 2025 covering joint marketing, industrialisation and the possibility of developing India into a production hub for the aircraft.

The partnership moved further in February 2026 when the companies announced plans to establish Maintenance, Repair and Overhaul capability for the C-390 in India if it is selected by the IAF. The subsequent identification of Nagpur for a possible assembly facility therefore represents the next step in a broader industrial roadmap covering production, maintenance and lifecycle support.

C-390 Offers 26-Tonne Payload Capacity

The C-390 Millennium is a twin-engine jet-powered military transport aircraft designed for tactical and strategic airlift missions. According to Embraer, it can carry payloads of up to 26 tonnes and perform missions including troop transport, cargo movement, medical evacuation and aerial delivery.

The aircraft is being offered as part of the IAF’s effort to strengthen its medium transport capability. The competition remains open, and Embraer has not announced that the C-390 has been selected. The proposed Nagpur assembly line should therefore be understood as a preparatory industrial commitment rather than a confirmed production programme.

Adani Partnership Focuses on Civil Regional Aviation

Alongside the military programme, Embraer is developing a separate civil aviation partnership with Adani Defence & Aerospace. The two companies signed a memorandum of understanding on January 27, 2026 to establish an integrated regional transport aircraft ecosystem in India.

The agreement covers aircraft manufacturing, supply-chain development, aftermarket services and pilot training. Its broader objective is to support India’s expanding regional aviation market by creating an industrial structure capable of supporting aircraft throughout their operating life rather than limiting the relationship to finished-aircraft imports.

E175 Final Assembly Line Proposed in India

The Adani-Embraer partnership advanced further on February 21, 2026 when the companies proposed establishing a Final Assembly Line for the E175 regional jet in India. The announcement was made in the presence of Brazilian President Luiz Inácio Lula da Silva and India’s Minister of Commerce and Industry Piyush Goyal.

Embraer said the proposed E175 manufacturing ecosystem would support India’s Regional Transport Aircraft ambitions and the expansion of regional connectivity. The E175 belongs to Embraer’s E-Jet family and is designed for short- and medium-haul services linking regional markets.

Two Programmes Serve Different Indian Requirements

The Mahindra and Adani partnerships address different segments of Indian aviation. The C-390 initiative is focused on military airlift, while the E175 programme is aimed at regional commercial aviation.

Their common element is localisation. In both cases, Embraer is seeking to establish manufacturing, maintenance and supply-chain capability in India instead of relying solely on imported complete aircraft. This creates the possibility of a broader aerospace ecosystem serving both defence and civilian requirements.

India Could Become an Embraer Manufacturing Base

The two initiatives reveal a wider industrial strategy. Under the C-390 plan, India could eventually host military aircraft assembly, MRO facilities and a domestic supplier network. Under the E175 programme, India could gain a regional jet assembly capability supported by training, component manufacturing and aftermarket services.

If both projects progress, Indian suppliers could participate in different segments of aircraft production, including aerostructures, systems, tooling, maintenance and support. This could also create opportunities for domestic companies to enter Embraer’s international supply chain.

Nagpur Could Develop Into a Major Aerospace Hub

Nagpur has been identified specifically for the potential C-390 Final Assembly Line because of its industrial base and central location. Mahindra has also been engaging with the Maharashtra government on land and associated infrastructure required for the project.

A large aircraft assembly programme could attract suppliers involved in structures, electronics, tooling, logistics and maintenance. The eventual scale of the ecosystem would depend on the outcome of the IAF competition and the number of aircraft ordered.

Regional Aircraft Manufacturing Could Support Domestic Connectivity

The E175 programme addresses another long-standing industrial requirement in Indian aviation. India’s regional network has expanded significantly, but the country still depends heavily on imported commercial aircraft.

A domestic regional aircraft assembly ecosystem could strengthen maintenance capability, technical skills and supplier participation while supporting routes connecting smaller cities. By combining manufacturing with training and aftermarket support, the Adani-Embraer partnership is designed to build an operating ecosystem rather than a standalone assembly plant.

India-Brazil Aerospace Cooperation Is Expanding

The two Embraer programmes also reflect deeper industrial ties between India and Brazil. Embraer brings decades of experience in commercial, defence and executive aviation, while India is seeking to expand domestic aerospace manufacturing and reduce dependence on imports.

The partnership model gives Embraer deeper access to one of the world’s largest aviation markets while providing Indian companies with opportunities to build experience in aircraft assembly, maintenance and international aerospace supply chains.

Localisation Will Determine the Long-Term Impact

The real industrial significance of both programmes will depend on the depth of localisation achieved. Final assembly is important, but it represents only one layer of aerospace manufacturing.

A mature ecosystem would include local production of structural components, systems integration, testing, spare parts, engineering support and maintenance. Both Embraer partnerships have been framed around this broader approach, suggesting that the company is looking at India as a long-term industrial base rather than merely a destination for aircraft sales.

One Company, Two Parallel Industrial Pathways

Embraer’s emerging India strategy now has two clearly defined pillars. With Mahindra, it is positioning the C-390 for the Indian Air Force while preparing for potential military aircraft production in Nagpur. With Adani Defence & Aerospace, it is building a civil regional aviation ecosystem centred on the E175 and a possible Indian Final Assembly Line.

The two programmes remain subject to separate government and commercial decisions, but together they point to a larger shift in Embraer’s approach to India. The company is increasingly positioning the country as a potential manufacturing, maintenance and aerospace supply-chain base capable of supporting both military and commercial aviation.

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References

Embraer — Embraer and Mahindra Group Advance Plans for C-390 Millennium Industrialization in India; Identify Nagpur as the Location for Assembly Facility, if selected, October 1, 2026.

Mahindra Group — Mahindra Group and Embraer Advance Plans for C-390 Millennium Industrialization in India; Identify Nagpur as the Location for Assembly Facility, if selected, October 1, 2026.

Embraer — Embraer and Mahindra Group Advance Localization Strategy in India with Planned C-390 Millennium MRO Capability, February 19, 2026.

Embraer — Embraer and Adani Defence & Aerospace Announce Strategic Partnership to Establish Regional Transport Aircraft Ecosystem in India, January 27, 2026.

Embraer — Adani Defence & Aerospace and Embraer Propose E175 Final Assembly Line in India, February 21, 2026.

Embraer — Embraer and Mahindra Group Forge Strategic Alliance to Introduce the C-390 Millennium to India, October 17, 2025.

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