PARIS–Embraer believes the market for crossover jets—aircraft with 100-150 seats—is steadily increasing and will form a seam that can be profitably mined by its E2 series of regional jets.
“Airlines are seeing the benefits of bringing in aircraft that complement narrowbodies,” Embraer Commercial Aviation CEO Arjen Meijer said at the Paris Air Show. As one example, he pointed to Omani LCC SalamAir, which recently ordered six E195-E2s as companions to its existing portfolio of Airbus A320s and A321s.
SalamAir realized that it wanted an aircraft that was smaller than its Airbuses but which could offer roughly the same seat cost but with a trip cost that was around 30% lower, he said.
Meijer believes that the rest of this decade will see customers for the Brazilian company’s E1 series of regional jets embracing their E2 successors.
“There’s going to be a big spike between now and 2030,” he said, while noting that there would also be around 1,000 small narrowbodies—Airbus A319s and Boeing 737-700s—that will also require replacement.
Additionally, the cargo market offers opportunities, with the company’s approaching passenger-to-freighter conversion standing to benefit.
“At the moment, there’s a huge focus on small and large turboprops and there’s a very limited number of crossover-sized freighters in the 10-to-20-tonne capacity segment,” Meijer said.
Embraer’s freighter is currently taking shape, with the first example expected to be ready next year. The company believes there will be a demand for around 600 aircraft in this category over the next 20 years, with 37% being replacements of existing aircraft and 63% resulting from expansion of the marketplace.
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