No One Is Buying the Embraer E2. Here's Why...

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Chapters:
Intro - 0:00
Hello Fresh - 1:23
E2 Improvements - 2:35
Sales Woes - 3:23
Problem #1 - 4:06
Problem #2 - 6:54
Problem #3 - 7:50
Is There Anything Embraer Can Do? 10:08
Outro: 12:00
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Commercial aviation is often a zero sum game. Very rarely do big aircraft orders leave all sides satisfied; when the stakes are this high, there are almost always winners and losers. But a few weeks ago, something remarkable happened. Air India placed an order SO big and worth SO much money that nearly everyone walked away happy. Both Boeing and Airbus secured orders for hundreds of new jets, adding over $50 billion to each company’s books. Suffice it to say, this was a day of celebration for all sides.

But despite this momentous occasion, there was one party left on the outside looking in. That would be Embraer - the Brazilian jet maker. Despite its long legacy of building reliable, efficient jets, it's been struggling as of late. This has been punctuated by stagnant sales of its flagship E2 jet, which missed out on Air India’s order bonanza. Now the E2 is a modern marvel, and boasts significant improvements over its predecessors. And yet, the program has flatlined. So what’s going on here - why isn’t anyone buying Embraer jets? And, is there anything Embraer can do to right the ship? Let me explain…

#Embraer #E2 #Airbus #A220

[jamalshafagoj]

There is a lot of politics involved in this kind of purchases. It is really incredible that Brazil can manufacture a top notch plane and compete against the USA and EU aviation industries.

[thelaughingprophet]

I’m a licensed engineer on the ERJ 170 & 190 aircraft. I can tell you it’s a quality aircraft. A real shame that the E2 isn’t selling as well. Embraer a really great company to deal with, they deserve to be successful.

[lmlmd]

I've flown on the E2 - they're great planes, modern and comfortable. Sadly, the A220 isn't just a market leader. It walked into the marketplace, threw all the tables over, had a massive shoot-out, wiped the floor with everyone, stopped to chew some gum, and brought some flowers for the E2s mother on the way out.

[Tulio_Fonseca]

As a Brazilian, I've flown on the E2 several times now. They're awesome, really comfortable and with a low level of noise within the cabin, even at takeoffs. I hope Embraer gets a bigger share of the market on the future.

[CJetsPlanespotting]

I just flew on the E2 for the first time just two days ago. Compared to the original E-Jet series, it is way more comfortable. It’s a shame it’s not selling well because it’s an aircraft I’d definitely recommend.

[barryjones]

I flew from Vienna to Lvov in an Embraer, it was the most comfortable and quietest of all the planes I flown in !!!!

[iridiumcaptain]

Embraer makes really, really good planes. I spent the last 5 years flying the E175 professionally and even being now outdated, it is still one of the most advanced and pleasant-to-fly aircraft in existence. It really is a wonderful aircraft, and while I haven't flown the E2, I am sure it is also a great product. I just hope Embraer can find continued growth and success. Aviation greatly benefits from having their products available on the market.

[jehadeid]

To answer your question, yes, I have flown on the E2 several times. True, it is not a wide bodied jet but its seats offer at times better all-round room than many of its bigger competitors. The Embraer feels solid, very safe and comfortable and the sight of those big engines does inspire a lot of confidence. I truly hope that Embraer will eventually find solutions to this fix.

[PlanesAndGames]

I believe another important factor playing out is the fact that the E-Jets simply don't need to be replaced right now. For context, the E-Jet first flew in 2002, meaning most E-Jets in operation are about 10-15 years old.

[Ozinater]

My company started operating the E195 E2 earlier this year, and we had placed a conditional order for the Bombardier C Series (now the A220) ten years ago which fell through due to political reasons. When the order for the jets was placed, my understanding of the selection of the E2 was that Embraer was willing to "sweeten" the deal substantially given that no other airline in North America had ordered it (we are the North American launch customer), and that there was still a lengthy delivery/order backlog for the A220 (COVID/supply chain induced). It's a new type for us but we don't have a "scope" clause to abide by since everyone is on one seniority list operating whichever aircraft type. I think it was a good decision since the economics of the aircraft are terrific (much like the A220), it's quiet, comfortable, and has genuinely been well received by our passengers who have traveled on it. I have yet to fly on one (or even the E1 for that matter), but when Air Canada was operating the first generation E190, people used to swear that was the most overall comfortable aircraft in their entire fleet (including widebodies). Great airplane- the size of it is what a lot of operators with regional subsidiaries are getting hung up on.

The American regionals can not staff their current operation as is. Given how much money United, American and Delta are throwing at the regionals just to try to keep their flight schedule from crumbling under the weight of the crew shortage. The cost saving incentive of having "cheaper" crews fly seat and MTOW limited regional jets is soon going to be non-existent, regional pilots are rapidly becoming just as expensive as mainline pilots. I could see the scope clause becoming null and void in the not-so-distant future, with the legacy airlines in the US just folding their regionals into the mainline fleet in an attempt to mitigate the pilot recruitment issue. If that happens and the E170/175 E2 becomes viable in the US, I could see the orders for the smaller E2 models alone outpacing the A220. Pilot training is something airlines hate spending money on, and given that the E2 and E1 share the same type rating (as far as I know), the training cost for the thousands of pilots in the US currently flying the E1 transitioning to the E2 are minimal.

[Luke_Go]

The A220 is more of a game changer than many people think. Sadly, for Embraer, this isn't positive.

[oneguy]

I hope Embraer recover from this situation 🇦🇷🫱🏼🫲🏼🇧🇷

[nik.]

The Airbus A220 has definitely impacted the aviation world. While it has the capacity of a regional jet, it has the cruise performance of that of an A321LR (almost) which is amazing. Love that plane.

[AWC]

Just flew on the inaugural Porter YYC-YYZ flight on their 195-E2! Fantastic aircraft to fly on, and the quietest I've ever been on (even quieter than the MAX). Only downside is the small overhead bins and small bathrooms.

[davidsilver]

Very interesting report. Living in Hawaii, I think the E2-195 may be a great replacement for the aging 717's. Since they are 50% cheaper than the A220 and won't be expected to fly transpacific, it might be a great plane for inter-island service.

[sambag.finunu]

One possible market Embraer should explore more is Africa. There is a lot there to gain in regional jets. For sure, the marketshare isn’t a big as the US, but some key players like Royal Air Maroc who are already flying their planes can be a good card to play.

[ccudmore]

Porter is the first and only North American carrier flying the E2. They started service 2 weeks ago.

[alancats]

The quality of Embraer's planes is beyond dispute. It blows my mind, for example, that there hasn't been one passenger fatality on the ERJ series. When you consider that these jets are used primarily for short-haul, regional flights involving many more takeoffs and landings than with larger narrowbody models, that is a simply extraordinary safety record to contemplate; statistically amazing. It's too bad that Boeing pulled out of the contemplated Embraer acquisition (probably in violation of their contractual arrangements) -- I think that tie-up would have made a lot of strategic sense, for both companies.

[JK-rvtp]

Seeing the C-Series success under the Airbus banner is rewarding & depressing at the same time, as an ex Bombardier guy. Bombardier basically gave the program to Airbus for free to avoid bankruptcy.

[JohnnyStrides]

I flew on a new Porter E2 making its inaugural trip from Toronto to Montreal. I know the A220 was designed and engineered here in Canada but I'm glad Porter got the E2, it's a fantastic jet and whisper quiet. The cabin wasn't anything special, but nothing this size ever really is.