By Gabriel Araujo
(Reuters) -Embraer expects to reach 100 commercial aircraft deliveries per year in 2028, its CEO told Reuters, adding that supply chain issues will likely keep the Brazilian planemaker from hitting that mark sooner.
The world’s third-largest planemaker has increased annual deliveries since 2021 as part of its recovery from the industry crisis triggered by the pandemic. It forecasts between 77 and 85 commercial jet deliveries this year, up from 73 in 2024.
CEO Francisco Gomes Neto has warned previously that supply chain snags would limit production plans for Embraer, which last cleared 100 annual commercial jet deliveries in 2017.
“2026 will still be a more challenging year for commercial jet production,” he said in an interview on Wednesday. “Starting in 2027, we’ll resume our strong growth plan, and I expect that in 2028 we’ll be hitting 100 commercial aircraft per year.”
Last year, Embraer struggled with delays in engine supply for its next-generation E2 jets. While that situation has improved, it now faces issues with fuselage parts from Europe and GE Aerospace engines for its first-generation E1 jets, Gomes Neto said.
“The (delivery) outlook range we’ve been providing the market has allowed us to deliver what we promise, despite all the challenges in the supply chain,” he noted.
“Embraer will continue to grow. We have orders to deliver, there is a backlog, and our production slots are practically closed for 2026 and 2027, and partially for 2028. The challenge now is delivering the aircraft.”
His remarks came after Embraer on Wednesday announced a firm order for 50 E195-E2 aircraft from low-cost carrier Avelo Airlines, the first U.S. deal for E2 jets, expanding its backlog and underscoring solid demand.
It had previously amassed orders this year from clients such as Japan’s ANA and Scandinavian Airlines SAS, which purchased E2 jets, as well as U.S. carrier SkyWest, which placed orders for E1 aircraft.
More E2 orders are possible this year, Gomes Neto said, as several sales campaigns are ongoing. E1 jets, which serve almost exclusively the U.S. market, are not expected to produce fresh sales in 2025.
NO E2 U.S. PLANT
Despite the Avelo order and the new 10% U.S. tariff on its Brazilian-built aircraft, Embraer is not looking at establishing a U.S. E2 commercial jet assembly line, Gomes Neto said.
Any possible plant would hinge on a flurry of new orders, he added, noting that the firm has preferred to focus its campaign to eliminate the tariff on the existing benefits it offers to U.S. suppliers and customers.
“We prefer to present Embraer’s overall business case: over the next five years, our plan is to purchase $21 billion from the U.S. and export $13 billion,” Gomes Neto said.
Embraer makes both generations of its commercial aircraft on a hybrid line at the Sao Jose dos Campos plant in Brazil.
“To create a new line would require a huge investment, which would lead to significant depreciation and make the product less competitive,” Gomes Neto said.
“If we sell thousands of aircraft, get orders for hundreds of planes, then yes – it wouldn’t be feasible to do it all (in Brazil), and a second line could be located closer to the major buyers. But that’s not the case right now,” he added.
The company runs assembly lines for some executive jets in Florida, and has pitched a $500 million line in the U.S. for the C-390 airlifter, should the country decide to purchase the military cargo jet.
(Reporting by Gabriel Araujo in Mexico CityEditing by Brad Haynes and Rod Nickel)
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