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An Embraer Phenom 300 awaits service.
Brazilian manufacturer Embraer emphasized its “well-balanced” trade relationship with the U.S. on Feb. 27, saying it does not anticipate that threatened tariffs will limit sales by its Florida-based business jet division.
“The U.S. represents more than 60% of our market for business jets,” Embraer President and CEO Francisco Gomes Neto said. “It’s natural that we expect this market to continue growing.”
Neto commented on the potential of tariffs during a fourth quarter (Q4) and fiscal 2024 earnings call in which Embraer reported record annual revenue of $6.4 billion and backlog of $26.3 billion across its commercial, executive, defense and services and support divisions.
Embraer Executive Jets’ backlog was enlarged to $7.4 billion following an early-February order by Flexjet for 182 Phenom 300E, Praetor 500, and Praetor 600 jets to be delivered from 2026-30, and up to 30 additional Praetor options. Executive Jets revenue of $1.763 billion increased 25% year-over-year, said Embraer, which reported Q4 revenue of $626 million.
The division performs final assembly of Phenom 100 and 300 lights jets and Praetor 500 and 600 midsize and super-midsize jets at its headquarters in Melbourne, Florida. It delivered 130 jets during fiscal 2024 (75 Phenoms and 55 Praetors), including 44 in Q4 (22 Phenoms and 22 Praetors).
Embraer forecasts delivering 145-to-155 business jets in 2025.
U.S. President Donald Trump has threatened to impose steep tariffs on trade with BRICS countries (Brazil, Russia, India, China, South Africa) should they create a common currency as an alternative to the U.S. dollar. Asked if he expects tariffs will limit Embraer’s access to the U.S. market, Neto said he does not anticipate any issues related to trade.
“Embraer [has] very well-balanced trade with the U.S.,” he said. “We have a production plant in the U.S., we have more than 2,500 employees in the U.S. We have been in the U.S. for 45 years.”
Neto added that Embraer-built aircraft have a high degree of U.S. content and said the company’s E175-E1 commercial jet “is basically the only option for regional aviation in the U.S.” He also revived the possibility of building a U.S. version of the KC-390 military tanker, which Embraer has explored with L3Harris.
“Because of this long-term collaboration, we believe the [trade] situation should not change,” Neto said. “At this point, we don’t anticipate any issue or difficulty to introduce our products in the U.S. because we have a good basis there, and as I’ve said before the KC-390 is a potential product to be assembled in the country.”
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