New Delhi, 21 February 2026 — Adani Defence & Aerospace and Embraer have exchanged an enhanced Memorandum of Understanding (MoU) regarding the establishment of a Final Assembly Line (FAL) in India for the Embraer E175, aligned with India’s Regional Transport Aircraft (RTA) programme.

The MoU was exchanged between Francisco Gomes Neto, President and CEO of Embraer, and Jeet Adani, Director of Adani Defence & Aerospace, in the presence of Luiz Inácio Lula da Silva and Piyush Goyal.

The development follows an initial MoU signed in January 2026 and forms part of a broader roadmap aimed at creating an integrated regional aircraft manufacturing ecosystem in India.

Industrial Ecosystem Development

The proposed industrial partnership seeks to establish a comprehensive ecosystem for the E175 in India, including aircraft manufacturing, supply chain development, aftermarket services, pilot training and the securing of aircraft orders to support the planned Final Assembly Line.

The collaboration also reflects strengthening strategic ties between India and Brazil in the aerospace sector.

Adani Defence & Aerospace stated that regional aviation plays a central role in economic expansion, particularly in support of connectivity initiatives such as UDAN, which is focused on improving air links to Tier-2 and Tier-3 cities. The companies positioned the initiative as aligned with India’s objective of developing an indigenous regional aviation capability under the ‘Aatmanirbhar Bharat’ framework.

Market Context

India is among the fastest growing aviation markets globally in terms of passenger traffic. Industry projections referenced in the announcement indicate demand for at least 500 aircraft in the 80 to 146-seat segment over the next 20 years, driven by regional and short-haul connectivity requirements.

The E175 seats up to 88 passengers and is designed for high-frequency regional operations. The aircraft is positioned as suitable for underserved markets where smaller capacity jets can enable new routes and network expansion.

Embraer Footprint in India

Embraer has an established presence in India, with nearly 50 aircraft across 11 types operating in commercial, defence and business aviation roles.

The proposed Final Assembly Line would represent a significant expansion of Embraer’s industrial footprint in the country, subject to programme progression and order commitments.