Brazil's Embraer in talks with HAL, Tata for defence aircraft manufacturing

President and chief executive of Embraer Defense & Security said that the firm expects to announce its partner by December

Aerospace firm Embraer SA is holding discussions with five Indian firms, including Hindustan Aeronautics Ltd (HAL) and Tata Group, to make defence transport aircraft in India, according to a report by Mint. The firm expects to finalise and announce its partner by the end of this year.

Joao Bosco da Costa Junior, president and chief executive of Embraer Defence & Security, stated in an interview that the firm is watching what the big players are doing in India and learning from them. The firm is talking to four or five companies to discuss the Medium Transport Aircraft (MTA) programme, and these companies are from both the government and private sectors.

Regarding whether Embraer is in talks with HAL or Tata group, Costa Junior said," I think you are touching some big players... and we are learning from them, and we are in touch with them as well."

He added that the firm expects to announce its partner by December. He also stated that the potential partnership could also make commercial aircraft.

Costa Junior stated that Embraer is currently visiting the facilities of these firms and evaluating the best match to add value under the make-in-India initiative.

The firm is open to any agreement to help it grow in the Indian market. Costa Junior also said that Embraer is not here to offer just final assembly or parts manufacturing, the company sees India as a hub and, if needed, will share intellectual properties with the Indian government.

Earlier this year, the Indian Air Force (IAF) had issued a Request for Information for a new fleet of 40-80 Medium Transport Aircraft, for which Embraer is offering its C-390 Millennium aircraft. US' Lockheed Martin Corp with its C-130J Super Hercules and Europe's Airbus Defence and Space with its A400M aircraft are Embraer's likely rivals.

Embraer said the company would like to have a strong brand positioning in India irrespective of whether it wins the order. "I would like to have Embraer Defence & Security as a strong brand here in the country. So, of course, I'm looking forward to having a big operation here if I win the MTA (order), but I would like to keep my journey here forever," Costa Junior said in the interview.

Currently, Embraer has around 40 aircraft in India, operating in defence, executive, and commercial aviation.