Embraer Pitches KC-390 Millennium for Indian Air Force Contract

Embraer, the Brazilian aerospace powerhouse, is setting its sights on a lucrative contract with the Indian Air Force, proposing the KC-390 Millennium aircraft as part of a plan to supply up to 80 medium military transport planes.

Sao Paulo: Brazilian aerospace giant Embraer that is actively pitching the KC-390 Millennium to the Indian Air Force (IAF) to fulfil a requirement for up to 80 medium military transport aircraft, boasts a 26-tonne payload capacity - reportedly outperforming the C-130J's 20-tonne capacity - while operating from short, unpaved runways.

The KC-390 Millennium is a new generation multi-mission transport and air refuelling aircraft.

The deal is potentially worth up to $12 billion and RFP is expected to be issued in a few months, it is learnt. KC-390 is in direct competition with Lockheed Martin C-130J Super Hercules and Airbus A400M.

KC-390 is 25-30% faster than turboprop competitors and offers lower operational costs, company sources told ET. The KC-390 (turbofan jet engines) can be configured to perform various conventional operations such as troop, VIP and cargo transportation, and more specialised logistical operations like mid-air refuelling.

Embraer said if selected, it will seek to ensure maximum indigenous content and use India as a production base for other Indo-Pacific markets, sources informed. Embraer CEO Francisco Gomes Neto told ET that the company is hopeful of clinching the order for KC-390 and feels that this meet India's expectations.

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Embraer has partnered with Mahindra Group to manufacture KC-390 and establish local Maintenance, Repair, and Overhaul (MRO) capabilities in India if the aircraft is selected by the IAF. "We are fully committed to Make in India," Neto said.

Besides, Embraer and Adani Defence & Aerospace have formed a strategic partnership to establish a manufacturing ecosystem in India. This January, Adani Defence & Aerospace signed a memorandum of understanding (MoU) to develop an integrated regional transport aircraft ecosystem in India. The companies aim to collaborate on opportunities in aircraft manufacturing, supply chain, aftermarket services, and pilot training.

The collaborative industrial partnership will aim to establish an assembly line, followed by a phased increase in indigenisation to advance India's Regional Transport Aircraft (RTA) programme, in alignment with the Aatmanirbhar Bharat initiative and the UDAN regional connectivity vision.

The project features a proposed Final Assembly Line (FAL) for the E175 regional jet. The production and assembly ecosystem is planned for the Dholera Special Investment Region (SIR) in Gujarat. Embraer aims to secure firm orders for over 200 aircraft to officially launch the assembly line.

This potential partnership will leverage Embraer's deep engineering and aircraft manufacturing expertise alongside Adani's aviation value-chain footprint that includes airport infrastructure, aerospace manufacturing, MRO services and pilot training, according to persons familiar with the issue.