Embraer’s Has No Plans for Direct Competition with Boeing 737 Max or Airbus A320

Brazil’s Embraer is not presently engaged in designing an aircraft to directly rival the Boeing 737 Max or the Airbus A320. Francisco Gomes Neto, Embraer’s CEO, has clarified that although the company possesses the capability to develop a larger aircraft, they currently lack immediate plans to do so. According to Neto, embarking on such a venture would entail considerable risks and challenges, particularly in terms of the requisite investment and technological innovations.

This comes after a Wall Street Journal report published on Wednesday May 1 indicated that the Brazilian manufacturer had the expertise to “develop a next-generation narrow-body aircraft, it’s first in that market segment”. Citing company sources, the WSJ said that Embraer’s internal assessments revealed that it has the “technological know-how and manufacturing might” to do so.

Embraer is the third-largest civil aircraft manufacturer after Boeing and Airbus. The company has had its fair share of success in its segment, primarily focusing on narrowbody regional jets with up to 150 seats when it comes to its commercial aircraft division.

At present, Embraer’s E195-E2, dubbed the Profit Hunter, stands as the largest aircraft within its E2 jet family. However, it occupies a lower segment compared to the Boeing 737-7 Max or the Airbus A320 family. While the E195-E2 and the Airbus A220-300 share several similarities, such as utilizing engines from the same family, the E195-E2 targets the sub-150 seat market, falling short of the capacity needed to directly compete with the Boeing 737 Max and Airbus A320 models.

Consequently, while Embraer possesses the capability to venture into the higher capacity narrow-body jet market, the company has opted to concentrate on its existing range of jets, which already cater to a significant segment of the market without directly challenging the largest models offered by Boeing and Airbus. Let’s compare the four types:

Boeing 737 MAX

• Passenger Capacity: Varies by model; the 737-8 typically seats 162 to 210 passengers.
• Range: The 737-7 has the longest range of up to 7,130 kilometers, suitable for longer domestic or continental flights.
• Engine Type: Powered by CFM International LEAP-1B engines.
• Wingspan: Approximately 35.9 meters.
• Notable Features: Improved fuel efficiency and updated avionics. It includes the MCAS (Maneuvering Characteristics Augmentation System), designed to enhance the pitch stability of the plane.

Airbus A320neo

• Passenger Capacity: Typically seats 150 to 186 passengers, depending on the configuration.
• Range: Capable of flying up to 6,500 kilometers, making it competitive for short to medium-haul international flights.
• Engine Type: Options include CFM International LEAP-1A or Pratt & Whitney PW1100G.
• Wingspan: 35.8 meters.
• Notable Features: Part of the A320neo (new engine option) family, known for noise reduction and fuel efficiency.

Airbus A220

• Passenger Capacity: The A220-300, the larger variant, can carry 130 to 160 passengers.
• Range: The A220-300 has a range of up to 6,297 kilometers.
• Engine Type: Equipped with Pratt & Whitney PW1500G geared turbofan engines.
• Wingspan: 35.1 meters for the A220-300.
• Notable Features: Known for its fuel efficiency and lower operational costs, ideal for regional routes with high performance.

Embraer E195

• Passenger Capacity: The E195 can seat up to 132 passengers.
• Range: The E195-E2, the newest model, has a range of up to 4,815 kilometers.
• Engine Type: Powered by Pratt & Whitney’s PW1900G engines.
• Wingspan: 35.1 meters for the E195-E2.
• Notable Features: Features a quiet and comfortable cabin, and is well-suited for regional routes.

Each of these aircraft has been meticulously designed to address specific market needs. The 737 Max, for instance, focuses on enhancing a classic model by incorporating modern engines and systems, while the A220 prioritizes efficiency in regional markets. The Airbus A320neo remains a formidable contender in the single-aisle market, striking a balance between capacity and range. On the other hand, the Embraer E195 caters to shorter regional routes with its efficient operations.

Despite being the largest in Embraer’s E2 series, the E195-E2 fundamentally differs in design and market positioning from the Boeing 737 and Airbus A320 series. Its specifications, particularly in terms of size and seating capacity, are tailored to suit the regional jet market rather than competing directly in the larger narrow-body market dominated by the 737 and A320.

Expanding the E195-E2 to rival the 737 and A320 would be a complex endeavor, necessitating a comprehensive redesign. Simply elongating the fuselage wouldn’t suffice; it would require re-engineering critical components such as the wing, landing gear, and engines to meet the increased loads and operational requirements. Furthermore, such a redesign would entail significant certification challenges and substantial financial investments.

Embraer has signaled that, while they possess the capability to develop a larger aircraft, they presently have no plans to enter this market segment. This strategic decision aligns with their current market positioning and avoids direct competition with Boeing and Airbus in a segment where both companies have established dominance.

In a statement, an Embraer spokesperson told Reuters: “Embraer certainly has the capability to develop a new narrowbody aircraft. However, we have a young and very successful portfolio of products developed in recent years, and we are really focused on selling those products and making Embraer bigger and stronger.”

Developing and producing a brand-new aircraft is not an easy feat. Generally, such projects cost billions, hence requiring either a certain niche or sizeable market demand. Embraer lacks experience in the market segment and would face heavy competition from the well-established Boeing and Airbus offerings that continue to attract orders worldwide.

Related news: https://airguide.info/?s=Embraer, https://airguide.info/category/air-travel-business/aircraft-finance/

Sources: AirGuide Business airguide.info, bing.com, aviationweek.com, embraercommercialaviation.com, AeroTime, aviatorjoe.net