Boeing-Embraer venture in response to Airbus-Bombardier? Don’t count on it

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Introduction

Oct. 23, 2017, © Leeham Co.: With the tie-up announced last Monday between Airbus and Bombardier for the CSeries, speculation immediately turned to whether Boeing and Embraer will join forces in some fashion in response.

The speculation is natural. Boeing and Embraer have had several commercial agreements, mostly on the defense side but also in eco-research. But as yet, there hasn’t been a tie-up involving the successful E-Jet program.

Embraer E195-E2.

Don’t look for anything soon that would be a meaningful response to the Airbus-CSeries deal.

Summary
  • Boeing needs a response in the 125-150 seat sector in which the 737-7 MAX languishes and with which the CS300 competes.
  • Boeing has no product offering in the 100-125 seat sector. Embraer doesn’t need Boeing’s help here. The E175-E1 continues to sell and it meets US Scope Clauses.
  • The Embraer E2 program’s first delivery is April next year.
  • Embraer isn’t about to proceed with a new airplane program in the 100-150 seat sector, which is Boeing’s product gap.

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