This decision comes on the heels of a series of successful sales of its C-390 Millennium military cargo aircraft to several European nations, including the Czech Republic, Austria, the Netherlands and Sweden. These countries join Portugal and Hungary as operators of the C-390, underscoring the aircraft's growing acceptance and Embraer's expanding footprint in the region.

The new defence office is anticipated to be located in Portugal, a strategic choice given the country's existing relationship with Embraer and its central position within Europe. This initiative aligns with Embraer's broader strategy to penetrate key markets such as the European Union, India, Saudi Arabia and the United States. By establishing a local presence, Embraer aims to enhance its engagement with European clients, streamline operations and better navigate the complex regulatory environment of the European defence industry.

The C-390 Millennium has garnered attention for its versatility, advanced technology and cost-effectiveness. Designed to perform a variety of missions, including cargo and troop transport, medical evacuation and aerial refuelling, the aircraft offers a modern alternative to older models like the C-130 Hercules. Sweden's recent decision to negotiate for the C-390 to replace its aging fleet of C-130s highlights the aircraft's competitive edge and the shifting preferences within European air forces.

Europe represents approximately 14% of the C-390's market potential, making it a critical region for Embraer's defence ambitions. The establishment of a European defence office is expected to facilitate closer collaboration with NATO and European defence agencies, ensuring that Embraer's offerings meet the specific needs and standards of European military operations. This move also positions Embraer to better support its European customers through localised services, training and maintenance support.

Embraer's expansion into Europe reflects a broader trend of globalisation within the defence industry, where companies seek to establish regional hubs to enhance competitiveness and responsiveness to local markets. By investing in a European presence, Embraer not only strengthens its market position but also signals its commitment to contributing to Europe's defence capabilities.