Adani Partners with Brazil’s Embraer to Manufacture Regional Jets in India for the First Time: Report

MoU Signed for Final Assembly Line; Boost to Make in India and Regional Connectivity Under UDAN Scheme

In a landmark development for India’s aviation manufacturing sector, the Adani Group has partnered with Brazilian aerospace giant Embraer to establish a final assembly line (FAL) for commercial regional jets in the country. The memorandum of understanding (MoU) was signed last month in Brazil by Adani Aerospace, marking the first time India will host production of fixed-wing commercial aircraft. This collaboration, reported on January 7, 2026, is poised to enhance regional air connectivity under the UDAN scheme and create thousands of jobs, aligning with Prime Minister Narendra Modi’s ‘Make in India’ initiative.

Partnership Details: From MoU to Production

The tie-up focuses on assembling Embraer’s popular E-Jet family regional aircraft with seating capacities of 70-146 passengers, ideal for short- to medium-haul routes. These jets bridge the gap between turboprops and larger narrowbodies like the Airbus A320 or Boeing 737, perfectly suiting India’s growing demand for tier-2 and tier-3 city connections.

A formal announcement is expected at the upcoming Hyderabad Air Show this month. The FAL location, investment scale, and timeline will be detailed soon. Government incentives potentially tapering after every 50 orders are under discussion to encourage Indian airlines to procure from the local line.

Embraer already has a presence in India with nearly 50 aircraft across commercial, defense, and business aviation, including those operated by regional carrier Star Air.

Strategic Significance: Make in India Takes Flight

This partnership elevates India into an elite group of nations with commercial aircraft FALs, alongside the US, Canada, Brazil, and China. It addresses delivery backlogs from Airbus and Boeing while fostering indigenous expertise.

Adani’s involvement leverages its infrastructure prowess (airports, logistics) and defense ties (previous collaborations with global firms). For Embraer, India represents a “blue ocean” opportunity in regional aviation, with potential orders from carriers like Star Air, IndiGo, and Air India.

Impact on Regional Connectivity and Jobs

The jets will support UDAN’s goal of affordable flights to underserved routes, unlocking connectivity in smaller cities. Production is expected to generate high-skilled jobs in assembly, maintenance, and supply chain, boosting local economies.

Government officials view this as a catalyst for secondary airports in Delhi and Mumbai, enhancing overall aviation growth.

Challenges and Outlook

While groundbreaking, the project hinges on firm orders (target: 200+ units for viability) and regulatory approvals. Embraer’s Indian subsidiary will scout supply chain opportunities, even pre-orders.

Analysts predict this could spur similar FALs from other OEMs, positioning India as an aerospace export hub.

Conclusion

Adani-Embraer’s collaboration to manufacture regional jets in India is a game-changer for ‘Make in India’ in aviation. By bringing final assembly onshore, it promises enhanced connectivity, job creation, and technological self-reliance. As details emerge at the Hyderabad Air Show, this partnership signals India’s ascent as a global aviation manufacturing powerhouse. The skies over regional India are set to get busier and proudly Indian-made.