Embraer, the Brazilian planemaker, is making efforts to sell its E195-E2 jet to U.S. carriers, positioning it as a “small narrow-body” aircraft. Despite the demand in the U.S. market being primarily focused on the smaller, first-generation E175-E1, Embraer believes there is room for its second-generation plane to gain traction as well. In the third quarter, Embraer secured orders for 23 E175-E1 planes from American Airlines and SkyWest, but it aims to secure its first orders for the E195-E2 in the U.S. market.
According to Chief Executive Francisco Gomes Neto, the E195-E2 can effectively complement the operation of large narrow-body jets. Breaking into the U.S. market with its E2 family would be a significant achievement for Embraer, as it would further enhance its production mix by delivering more second-generation jets than first-generation ones for the first time this year.
Gomes Neto expressed hope that the introduction of new flights by Canada’s Porter Airlines to cities like San Francisco and Tampa would provide an opportunity to showcase the E195-E2 to U.S. carriers. Porter Airlines has ordered numerous planes from Embraer since 2021, becoming the first E2 customer in North America.
While the E195-E2 can accommodate up to 146 passengers, the E175-E1 has a capacity of up to 88 seats. Gomes Neto believes that the E195-E2 should not be seen as a regional plane but rather as a “small narrow-body” that major airlines could operate efficiently, enabling them to offer a higher frequency of flights, explore new routes, and expand their network.
Gomes Neto highlighted the success of airlines like KLM and Brazil’s Azul, which operate both the E195-E2 and larger narrow-body aircraft such as the Airbus A320. He emphasized the efficiency of the E195-E2, stating that it is highly profitable when flown with an 80% load factor. Embraer aims to convince U.S. major carriers of the potential of the E195-E2.
However, Gomes Neto clarified that the demand for the E175-E1 is expected to remain strong, with the company forecasting a demand of at least 300 aircraft over the next decade. As the recent pilot shortage in the U.S. market eases, operators of the E175-E1, which Embraer considers to be the backbone of the U.S. regional aviation market, are likely to focus on fleet renewal efforts.
In conclusion, Embraer sees a significant opportunity in the U.S. market for its E195-E2 jet, despite the dominance of the smaller E175-E1. By positioning it as a “small narrow-body” aircraft, Embraer aims to convince U.S. carriers of its efficiency and profitability. The company remains optimistic about the demand for the E175-E1 while actively working to showcase the potential of the E195-E2 to airlines.
