Adani Defence & Aerospace and Brazil's Embraer signed an MoU to set up a Final Assembly Line (FAL) for the E175 regional jet
The upgraded pact, signed in the presence of Brazil's President and India's Commerce Minister, positions India closer to assembling commercial passenger jets domestically.
With demand for 500 aircraft in the 80-146 seat segment over 20 years, the move is seen as a major boost to India's regional aviation ecosystem.
Adani Defence & Aerospace and Brazil's Embraer on Saturday signed an MoU to establish a Final Assembly Line (FAL) for the E175 regional jet as part of India's Regional Transport Aircraft (RTA) programme.
The deal was signed in the presence of Commerce Minister Piyush Goyal and Brazil's President Luiz Inacio Lula da Silva.
3 February 2026
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This also marks an upgrade from an earlier pact signed in January and is seen as a big step forward to develop an integrated RTA ecosystem in India. Following this, India could soon become a site for assembling commercial passenger jets.
Point to note: The E175 is a small commercial airplane that can carry up to 88 passengers and is designed for short to medium-distance flights. It is widely used around the world for regional travel, the kind of flights that connect smaller cities or towns with major airports.
Commenting on the matter, Jeet Adani, Director of Adani Defence and Aerospace, said regional air travel is crucial for India's economic growth and that the plan strengthens strategic ties between India and Brazil.
"The E175 has a global track record of enabling efficient, high-frequency regional operations and India is a key growth market in that segment," said Francisco Gomes Neto, President and CEO of Embraer.
As one of the world’s fastest growing aviation markets in terms of passenger traffic, India is expected to require at least 500 aircraft in the 80-to-146 seat segment over the next 20 years. This reflects a strong demand for efficient regional and short-haul connectivity driven by smaller, efficient jets.
Notably, the Adani Group had earlier announced an investment blueprint exceeding ₹6 lakh crore across aviation, clean energy, urban infrastructure, digital platforms and advanced manufacturing.
The plan, presented at the 56th World Economic Forum (WEF) annual meeting in Davos, signal a shift towards integrated, technology-led infrastructure platforms aligned with India's long-term growth priorities.
