Embraer strives to sell bizjets in Asia, despite red tape
Embraer is endeavoring to boost executive jets sales and support its existing fleet in Asia, and says that the market is developing well despite widespread red tape that impedes business aviation in the region. On the static display here at the Singapore Airshow, the very large-cabin Lineage 1000E–Embraer’s largest business jet–is making its Asian debut.
The Asia Pacific will account for 1,530 business jets sales, worth $50 billion, over the 2014-2023 period, Jose Eduardo Costas, Embraer’s market intelligence senior v-p, said here on Tuesday. The Brazilian manufacturer still believes China will take the lion’s share with 805 aircraft. Southeast Asia, which includes Singapore, ranks second in the market forecast, at 244 aircraft.
Embraer would not put a number on its projected market share. However, based on the airframer’s current global market share and a purchase intention survey, the number of units sold could be in the 300s over the period in Asia, AIN believes.
Today’s Embraer fleet in Asia stands at 68 jets, including 16 in China. In Indonesia, which several manufacturers regard as the emerging country in business aviation, Embraer claims a 40 percent market share. In India, there are just 14 jets in service but Embraer is adding a second field representative and has signed a memorandum of understanding with Indamer to support the Legacy 500 midsize jet. The MoU extends the maintenance service provider’s mission in India, where it already is qualified for all in-service Embraer executive jets. The second authorized service center for Embraer business jets in the country is Air Works.
Another ongoing effort, hoped to trigger sales, has been in manufacturing. In Harbin, China, the first locally assembled Legacy 650 was delivered last month, after having first flown in August. The Harbin factory used to build ERJ145 regional jets, and its conversion was announced in 2012.
China has been partly relaxing some operational rules that have hampered business aviation in the country. Asked about similar moves by other countries in the region, Costas said that the regulatory environment is not changing. “Business jets are still seen as an emerging luxury activity; there is not a good understanding of their value yet,” he said. He was also referring to taxes and import paperwork.
Finally, Costas highlighted China Southern Western Australia Flying College’s operations, as the academy uses two Phenoms 100s. They fly an average 120 hours per month. The CSWAFC also has recently bought a Phenom 100 full flight simulator.