New Delhi: Embraer is looking to turn India into a major manufacturing and export hub for its C-390 Millennium military transport aircraft. The Brazilian aerospace company is partnering with Mahindra Defence to compete for the Indian Air Force’s (IAF) 60-aircraft Medium Transport Aircraft (MTA) programme. If selected, the partnership could establish a major aircraft production facility in Nagpur, Maharashtra, while targeting growing demand across Asia.
Details of IAF Embraer C-390 Deal
Embraer and Mahindra Defence are jointly offering the C-390 Millennium for India’s ambitious Medium Transport Aircraft programme.
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The Indian Air Force plans to acquire 60 medium transport aircraft under a programme estimated to be worth around ₹1 lakh crore.
The acquisition aims to replace the ageing fleet of Soviet-era Antonov An-32 transport aircraft and strengthen India’s military airlift capabilities.
The programme is also expected to support domestic defence manufacturing by involving Indian companies in aircraft production, technology development and maintenance.
Under the proposed procurement arrangement, the first 12 aircraft will be delivered in fly-away condition, while the remaining 48 will be manufactured in India.
This approach is expected to increase domestic manufacturing capabilities and support India’s Make in India and Atmanirbhar Bharat initiatives.
Nagpur Could Become A Major C-390 Manufacturing Hub
One of the most important developments in Embraer’s India strategy is the identification of Nagpur, Maharashtra, as the potential location for a C-390 Millennium final assembly line.
On October 1, 2026, Embraer and Mahindra officially announced their plans to develop an industrial and support ecosystem for the aircraft in India.
The proposed facility would support aircraft assembly, systems integration, manufacturing engineering and local supply chain development.
The companies are also working with the Maharashtra government to complete the necessary processes and prepare the required industrial infrastructure.
If the Indian government selects the C-390 for the MTA programme, the Nagpur facility could become an important centre for aircraft manufacturing outside Brazil.
The proposed industrial ecosystem could also involve Indian aerospace companies in component manufacturing, training, maintenance and long-term aircraft support. However, the assembly facility remains conditional on the C-390 winning the Indian Air Force contract.
IAF Embraer C-390 Deal: Embraer Sees Demand For 500 Military Aircraft Across Asia
Embraer’s ambitions in India go beyond supplying 60 aircraft to the Indian Air Force. The company sees India as a potential manufacturing and export base for the wider Asian military transport aircraft market.
Embraer Defense & Security President and CEO Bosco da Costa Junior has indicated that Asia could account for around 40 to 45 per cent of the global addressable market for this category of aircraft.
According to his estimates, the Asian market could generate demand for approximately 500 military transport aircraft over the next 20 years.
This represents a major long-term business opportunity for Embraer and its Indian industrial partner.
By establishing production capabilities in Nagpur, the company hopes to use India as a regional manufacturing base to serve potential customers across Asia.
Such a strategy could also create opportunities for Indian aerospace suppliers to participate in international defence manufacturing and export programmes. However, the figure of 500 aircraft represents projected market demand, not confirmed orders or guaranteed exports.
Why The C-390 Millennium Is Important For The IAF
The C-390 Millennium is a modern multi-mission military transport aircraft developed by Embraer.
It is designed to perform several military and humanitarian operations, making it suitable for different operational requirements.
The aircraft has a maximum payload capacity of up to 26 tonnes and can operate from temporary and semi-prepared runways. Its major capabilities include:
- Military Transport: Carrying soldiers, military equipment and essential supplies.
- Cargo Operations: Transporting heavy equipment and other important military cargo.
- Airdrop Missions: Delivering supplies and deploying paratroopers.
- Medical Evacuation: Supporting the transportation of injured personnel.
- Search And Rescue: Conducting rescue operations in difficult environments.
- Aerial Refuelling: Supporting compatible aircraft through specialised refuelling configurations.
- Humanitarian Assistance: Supporting disaster relief and emergency operations.
These capabilities make the C-390 a potential option for strengthening India’s tactical and strategic airlift capabilities.
Its payload capacity also places it within the IAF’s desired 18-to-30-tonne medium transport aircraft category.
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FAQs
The Indian Air Force plans to procure 60 medium transport aircraft under its MTA programme. The proposed arrangement includes 12 aircraft delivered in fly-away condition and 48 manufactured in India.
Embraer is partnering with Mahindra Defence to establish a potential C-390 Millennium aircraft manufacturing and assembly facility in Nagpur, Maharashtra. The project depends on the aircraft being selected for the Indian Air Force’s Medium Transport Aircraft programme.
Embraer sees potential demand for approximately 500 military transport aircraft across Asia over the next 20 years. Manufacturing in India could help the company serve regional markets while developing local suppliers and strengthening India’s aerospace export capabilities.














