In December 2023, the Republic of Korea Air Force selected Embraer’s C-390 as its primary large transport aircraft, intended for a range of missions including peacetime operations and emergency overseas rescues. This decision favored the C-390 over competing options such as Lockheed Martin’s C-130J and Airbus’s A400M. To acquire three C-390s, the Korean military plans to invest a total of 710 billion won by 2026.
Embraer, a Brazilian aerospace company established in 1969, stands among the world’s leading aircraft manufacturers alongside Boeing and Airbus. Despite the C-390 showing comparable cost and performance to its counterparts, Embraer secured a favorable position through its offset orders proposed to Korea. These orders involve the engagement of domestic defense companies in component manufacturing, amounting to an estimated total value of $135 million.
Offset orders are commonly featured in international arms deals, where the purchasing country may stipulate conditions such as technology transfer or the exportation of domestically produced weaponry and components. This practice is integral to the dynamics of international arms trade.
Embraer CEO Francisco Gomes Neto, in a recent interview with ChosunBiz, emphasized the myriad advantages of the C-390 chosen by the Republic of Korea Air Force. He highlighted its superior capabilities in terms of speed, range, and cargo capacity compared to other models in its class. Notably, the C-390 boasts an operational rate of 80%, indicating its high readiness for missions. Operational rate refers to the percentage of time an aircraft is available for active duty, excluding periods of technical issues or maintenance. Typically, military aircraft maintain an operational rate of around 70%.
Neto also expressed keen interest in South Korea’s commercial aircraft market, citing the successful test flights of Embraer’s latest passenger aircraft in Korea in 2023. These tests demonstrated the aircraft’s proficiency in operating effectively at island airports such as Ulleungdo. Neto’s interview with ChosunBiz marks his first domestic interview in South Korea.
South Korea opted for the C-390 over competitors such as the C-130J and A400M.
“We are very grateful for the Republic of Korea Air Force’s decision to select the C-390 Millennium. Throughout the campaign, our global team in Korea and Brazil worked tirelessly to showcase the aircraft’s merits. This evaluation process even included a visit by the Defense Acquisition Program Administration (DAPA) and the Republic of Korea Air Force to our production facility in Brazil.”
What sets the C-390 apart and makes it more competitive than the C-130J and A400M?
“The C-390 stands out as the most modern military tactical transport aircraft available today. It boasts superior speed, range, and payload capacity compared to other aircraft in the medium transport category. Moreover, its versatile platform enables a wide range of missions, including cargo and troop transport, medical evacuation, search and rescue operations, firefighting, and humanitarian missions. The aircraft is capable of operating on temporary or unpaved runways, such as packed earth, soil, and gravel, further extending its operational flexibility.
Equipped with air-to-air refueling capabilities, the aircraft, designated as KC-390, has already demonstrated its aerial refueling capacity both as a tanker and as a receiver. This includes receiving fuel from another KC-390 using pods installed under the wings.”
Which countries have adopted the C-390 so far?
“Since its introduction into service with the Brazilian Air Force in 2019, and more recently with the Portuguese Air Force in 2023, the C-390 has consistently demonstrated its capacity, reliability, and performance. Joint exercises conducted with Brazil and the US have showcased its exceptional interoperability capabilities.
The current fleet of operational aircraft has accumulated over 11,300 flight hours, with operational availability of around 80% and mission completion rates exceeding 99%. These figures proves the aircraft’s exceptional productivity in its category. In addition to Brazil and Portugal, the C-390 has also been selected by Hungary, The Netherlands, Austria, and the Czech Republic.”
What factors led Embraer to develop both civilian aircraft and military transport planes?
“I would like to take a moment to discuss the origins of the C-390. For years, the medium tactical airlift market has been dominated by a single model designed in the 1950s. However, when we collaborated with the Brazilian Air Force to envision the future of tactical airlift, we aimed for a platform that would outperform existing options in the market while significantly reducing costs. With its robust design, enhanced flexibility, state-of-the-art technology, and simplified maintenance, the C-390 is proving to be just that.”
The South Korean government highlighted the significant value of offset trades as the rationale behind the decision to adopt the C-390.
“As part of the C-390 deal, we have established a comprehensive consortium and offset package, which includes the manufacturing of a significant amount of C-390 Millennium parts by Korean partner companies and the development of a local Maintenance Repair and Overhaul (MRO) provider.
Korean companies are already integral parts of Embraer’s global supply chain, and we are excited to further expand our collaborations in the country.”
In South Korea, there is a growing expectation for collaborative aircraft development. Has Embraer previously engaged in joint aircraft development with other countries?
“Aircraft partnerships are deeply ingrained in Embraer’s history. Since our establishment in 1969, we have engaged in numerous aircraft partnerships with a dozen different countries across four continents.
In 2014, the Brazilian Air Force signed a contract for 36 Gripen fighters from Saab (Sweden). Since then, Embraer and Saab have collaborated on what is now the largest ongoing technology transfer project in Brazil. The production line for the Gripen E in Brazil, located at Embraer’s plant in Gavião Peixoto, São Paulo State, has been operational since 2023. This facility, serving as the final assembly line, is the only one for Gripen aircraft outside of Sweden and represents one of the most significant contributions to the Gripen fighter ecosystem in Brazil.
We have also partnered with the Indian Air Force and the Defence Research & Development Organisation (DRDO) to develop the Netra AEW&C aircraft, known as the country’s ‘Eye in the Sky,’ using the Embraer ERJ145 platform.”
What significance does the South Korean market hold for Embraer?
“Korea holds significant importance for Embraer. The country’s aerospace and defense industry is globally recognized for its excellence and meticulous attention to detail, presenting promising opportunities for partnerships. As mentioned earlier, Korean companies are already integrated into Embraer’s global supply chain. Therefore, being chosen by Korea is a significant endorsement, demonstrating confidence in our aircraft, engineering expertise, and the capabilities of our team.”
Embraer is also making efforts to enter the civilian aircraft market in South Korea.
“In May 2023, our E190-E2, the world’s most efficient single-aisle aircraft with the lowest noise and fuel emissions, conducted a demonstration flight in Korea to showcase its short runway performance. This demonstrated that it is the only narrowbody aircraft capable of landing on island airports in Korea. With a range of up to seven hours, the same aircraft is well-suited for airlines to expand regional routes within Korea and to neighboring countries.
Additionally, we delivered a Praetor 600, equipped with capabilities for a wide range of flight inspection tasks, to South Korea’s Flight Inspection Services Center. Our urban air mobility company, Eve, also collaborated with Jeju Air to release a White Paper outlining the technical and business case for urban air mobility on Jeju Island.”
This year marks Embraer’s 55th anniversary since establishment. What factors have contributed to Embraer’s ability to become a leading company in the aircraft market?
“Innovation is at the heart of Embraer. In 2022, approximately 50% of our company’s revenue was derived from innovations developed within the past five years. We pride ourselves on being a company driven by innovation, and our agility and flexibility allow us to tailor solutions to meet the unique needs of our customers.”
