Key facts
- Embraer's commercial aviation backlog has surpassed $15 billion.
- The backlog saw a 50% year-on-year increase by the end of the first quarter.
- The company has resolved the primary engine issues impacting its E2 jets.
- Embraer aims to eliminate grounded E2 aircraft due to engine problems by the end of 2026.
- The current aircraft-on-ground rate for E2 jets is 1%.
Brazilian planemaker Embraer announced on Thursday that its commercial aviation division has secured a backlog exceeding $15 billion, marking a 50% increase year-on-year. This figure was disclosed following a recent firm order for 15 E195-E2 jets from lessor Azorra.
Furthermore, Embraer stated that the primary engine issues that have affected its next-generation E2 jets have now been resolved. Rodrigo Silva e Souza, the unit's marketing vice president, informed reporters that the company is well-positioned to meet its guidance of delivering between 80 and 85 commercial aircraft in 2026. He added that Embraer anticipates having no E2 aircraft grounded due to engine problems by the end of 2026.
Engine manufacturers have faced pressure from airlines due to grounded aircraft and increased repair expenses. Embraer reported that the aircraft-on-ground (AOG) rate for its E2 fleet currently stands at 1%, a significant reduction from a peak of 22% in March 2025. The E2 jets are powered by Pratt & Whitney engines, a division of RTX, which are reportedly undergoing improvements to enhance performance in hot and harsh environmental conditions.
Despite the robust backlog, Embraer still has available production slots before 2030, which the company views as a competitive advantage over larger rivals like Boeing and Airbus. Embraer primarily focuses on aircraft seating up to approximately 150 passengers, positioning itself below the market segment occupied by the best-selling A320 and 737 families from Airbus and Boeing.