Brazil's aerospace leader Embraer is strategically extending its operations in Vietnam, reflecting a wider ambition to intensify Brazil-Vietnam trade and technological partnerships.
Brazil's President Luiz Inácio Lula da Silva stated during the press meeting on September 25, "Brazil aspires to broaden its export spectrum to Vietnam, incorporating advanced machinery and high-tech equipment while enhancing scientific and technological collaborations, especially in innovation.”
Brazil’s aerospace company Embraer has marked its foray into the Vietnamese market, having delivered five E190 aircraft to Bamboo Airways. Established in 1969 and headquartered in Brazil, Embraer is the third-largest commercial aircraft manufacturer globally, specialising in aircraft with fewer than 130 seats. It is known for its elite business jets catering to the affluent.
"Vietnam presents a substantial market, compatible with Embraer’s existing aircraft range designed for shorter routes," said Francisco Gomes Neto, CEO of Embraer, during a meeting with Vietnam's Prime Minister Pham Minh Chinh.
The aerospace giant expressed a keen interest in sustaining the Vietnamese government's support, exploring cooperative opportunities and expanding its market presence in Vietnam.
"We are prepared to implement aircraft maintenance and repair services in Vietnam and supply technological solutions in the aviation sector," said Neto.
Embraer, presently the world’s third-largest commercial aircraft manufacturer, just behind Boeing and Airbus, recorded revenues of $4.6 billion and a profit of $540 million in 2022.
Embraer is renowned as Brazil’s “champion” in the aerospace sector, and the company is meticulously strategising to conquer Asian markets.
According to Nikkei Asia, the company views India and Vietnam as the most promising markets in the region, aligning its expansion strategies to gain significant footholds in these developing economies, known for their rapidly growing aviation sectors and increasing demands for advanced aircraft.
In addition, Brazil's president also voiced a special interest in seeing Vietnam negotiate and enter Free Trade Agreements with the Southern Common Market, envisioning a strengthened trade link between the bloc and ASEAN.
The leaders, post-dialogue, concurred on accelerating exchanges to quickly reach an agreement on Brazil recognising Vietnam's market economy status. They also agreed to promote the signing of agreements to avoid double taxation.
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