In May, Armada International was invited to learn of Embraer’s plans for international growth during a visit to its subsidiary OGMA’s MRO and production facility at Alverca in Portugal.
Embraer’s President and CEO, Francisco Gomes Neto announced in Portugal that the Brazilian aerospace manufacturer had a profitable 2022. It registered a 19 percent increase in revenue and an order backlog of $17.46 billion, although he added that there had been challenges with the supply chain. In 2023 the Defence & Security revenue is up by 50 percent on 2022 and is growing towards the $1 billion milestone.
The President and CEO of Embraer Defense & Security, Bosco da Costa Junior, told AI that the company was predicting the sales of 490 C-390 Millennium tactical transport aircraft worth a potential $60 billion. With sales of 31 Millennium, which achieved Full Operational Capability (FOC) in March this year with the Brazilian Air Force, the sale of five NATO configured aircraft to the Netherlands to replace its Lockheed Martin C-130H Hercules, was significant. The C-390M scored higher than the C-130J on a number of operational and technical requirements, it requires less maintenance and can provide more effective flights hours, and the estimated life-cycle costs are within the allocated budget.
South Africa as well as Austria, the Czech Republic, Egypt, India, Rwanda, South Korea, and Sweden are potential buyers for the KC-390. A Brazilian Air Force KC-390 was demonstrated to the Peruvian military high command during the multinational Cooperation IX exercise that took place in May. Earlier this year, an order placed by Peru for An-178 military transports was cancelled by the Ukraine manufacturer Antonov following damage to production facilities after Russia’s invasion. With a team including Raytheon Technologies and L3Harris, Embraer have responded to a Request for Information (RfI) for the USAF ‘s Agile Tanker programme with the KC-390 equipped with a flying boom, which according to Bosco da Costa Junior, highlights the flexibility for the Millennium’s development. The company recognises the new Brazilian government’s support of its international defence campaigns
He also introduced the latest development of the Super Tucano which is in service with 16 air forces worldwide. The NATO compatible multirole A-29N will include equipment and features to fulfil NATO’s operational requirements, such as a new datalink and single-pilot operation. It is being marketed as an advanced trainer or light attack aircraft with potential sales of $6.5 billion.
The Defense & Security division is also leveraging on the success of Embraer’s executive jets including the Phenom 100 in the military multi-engine training role and the Praetor in the Airborne Early Warning (AEW) and MRI roles.
Military MRO
With more than 100 years of experience, OGMA Services & Support division includes MRO, modifications, engine overhauls, composites production and aerostructures. Employing 1,700 personnel its defence aviation unit has more than 60 customers from 30 countries and a services contract backlog of nearly $2.7 billion. It carries out checks, repairs and modifications on C-130H, P-3, AC-295, Embraer ISR, Super Tucano and F-16 aircraft, as well as SA330 Puma and EH-101 helicopters. In future OGMA will be responsible for full KC-390 fleet support, including heavy checks, avionics, major structural repairs and engineering and logistic support.
Its main customer is the Portuguese Air Force and it is currently carrying out Mid-Life Updates (MLU) to three F-16AMs to Block 70 configuration, a task that will take over 20,000 man hours over three years. The MLU will extend the life of the F-16s from 5,000 to 8,000 hours and may be applied to the rest of the fleet.
Its engine MRO unit covers Rolls-Royce T56 turboprops, and AE1107 turboshafts which power the Bell/Boeing V-22 Osprey and the PW127 turboprops. A new test bench facility is being built to opens the possibility for the addition of the A400M’s TP400 turboprop.
The aerostructures unit contributes 25 percent of Support & Services revenue producing composite structures including the central fuselage of the Airbus C-295, currently building those destined for the Indian Air Force, and the central fuselage, elevators, sponsons and doors for the C-390 Millennium.
While Embraer’s success had been built on the sales of more than 2,000 E-Jets and 1,650 executive jets, it military sector, boosted by the production of the Saab Gripen E, is experiencing healthy growth.
by David Oliver
