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Embraer sees India, Saudi Arabia, EU, US as strategic defense markets
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Embraer sees India, Saudi Arabia, EU, US as strategic defense markets
Jun 18, 2024 3:07 PM

GAVIAO PEIXOTO, Brazil, June 18 (Reuters) - Brazilian

planemaker Embraer ( ERJ ) sees India, Saudi Arabia, the

European Union and the United States as strategic markets for

its defense unit as it looks to expand sales of the C-390

Millennium, the head of Embraer Defense said on Tuesday.

India has an open tender to buy military planes while Saudi

Arabia, looking to replace an aging fleet of Lockheed Martin's ( LMT )

C-130 Hercules, is currently in "early engagement" with Embraer ( ERJ ),

Bosco da Costa Junior told reporters at an event.

"They don't have an open tender, but they need to replace

their old C-130s. We did a lot of studies and concluded that the

(Embraer ( ERJ )) C-390 could deliver additional capability in this

replacement process," Costa Junior said.

A potential Saudi purchase could reach 25 units, and

Embraer ( ERJ ) expects the country to make a decision in two to four

years, the executive added.

In addition to Embraer's ( ERJ ) home country Brazil, nations

such as Portugal, Hungary, the Netherlands, Austria, the Czech

Republic and South Korea have selected the planemaker's military

transportation aircraft.

Expanding its presence abroad with more C-390 sales has

been a key goal of Embraer's ( ERJ ) defense division, which also sees

Sweden as a potential customer. It has partnerships with

Mahindra in India and Saab in Sweden to

introduce the plane.

Embraer ( ERJ ) has also been "aggressive on several fronts" in

the United States, Costa Junior said, including exploring

opportunities for mergers or acquisitions as well as pitching

the C-390 to the U.S. Marines, Air Force and special forces.

"We do believe that the C-390 could add additional value

to those entities in the U.S.," the executive said. "One thing

is clear to us: We would like to become a partner of the U.S.

government."

Asked if any potential relationship with China could

compromise connections with the U.S., Costa Junior stressed that

Embraer's ( ERJ ) defense business had no relationship or any kind of

discussions with the Asian superpower.

"We are 100% U.S.- and NATO-oriented," he said.

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