Dubai Air Show: Nigeria’s Overland orders 6 Embraer E175s
Brazilian planemaker Embraer has booked its first order of the Dubai Airshow 2021. Today, the company has announced a firm order for three new Embraer E175 regional jets, plus rights for the purchase of a further three. The customer is Overland Airways, a scheduled and charter operator based in Nigeria.
Day two of the Dubai Airshow has started with another order for commercial aircraft. Following on from the huge Airbus order placed by Indigo Partners yesterday, Embraer has kicked off its orderbook at this year’s Dubai Airshow with an announcement today of a sale for six aircraft.
Three Embraer E175 have been ordered on a firm basis, with an additional three of the same reserved as options. Embraer’s customer is Overland Airways, a scheduled and charter airline operating out of Ikeja, Lagos State.
Speaking at today’s Dubai Airshow, president and CEO of Overland Airways, Capt. Edward Boyo, said,
“We are confident that this is the right moment to invest, as regional aviation is on an optimistic post-pandemic recovery. Our customers will really enjoy all comfort in the E175, and we appreciate our partnership with Embraer.”
The aircraft will be delivered with a premium class cabin configuration and 88-seats from 2023. The deal is worth $299.4 million, at list prices, if all purchase rights are exercised.
Cesar Pereira, Vice-president for Europe, Middle East, and Africa at Embraer Commercial Aviation, commented on the order,
“We are proud of this partnership with Overland and to support their regional expansion. We are seeing growing long-term demand for rightsized aircraft to deliver profitable domestic connections in Nigeria.”
The E175 is Embraer’s smallest of the E-jet family, and the only one not to have been reworked into the new technology E2 configuration. It’s proven to be a popular aircraft during the pandemic, offering incredible efficiency and the right sort of capacity for the depressed market size.
Embraer’s market outlook
Embraer has today published its market outlook for the next 20 years. The planemaker foresees a burgeoning level of growth in the 150-seat and under market, with demand projected to be some 10,900 new aircraft.
Of this market, just over 3,000 will be made up of existing aircraft in the worldwide fleet. Around 6,111 will be replacement aircraft, accounting for 57% of all new deliveries, while just over 4,500 will be additional capacity, used to grow markets. The markets most hotly anticipated to be demanding Embraer-type aircraft is Asia-Pacific, where the size, agility, and efficiency of smaller jets and turboprops make them ideal connectors for second and third-tier cities.
Interestingly, Embraer has doubled its market outlook for the turboprop segment. Back when the clean sheet turboprop was announced, Embraer projected a market size of around 1,000 – 1,100 aircraft. Today’s outlook now doubles this estimation, taking it up to 2,260 aircraft, with a strong focus on Asia-Pacific again.
Although the E175 is still waiting for its next-generation makeover, Embraer has said in the past that it remains committed to bringing it to market. It’s targeted for entry into service in 2024, around the same time as the new turboprop. Nevertheless, the planemaker believes the two aircraft will not compete with each other, as they are targeted at different markets.
