In a landmark development for India’s defence aviation sector, Brazilian aerospace leader Embraer Defence & Security and India’s Mahindra Group have signed a strategic cooperation agreement to jointly offer the C-390 Millennium multi-mission transport aircraft for the Indian Air Force’s (IAF) Medium Transport Aircraft (MTA) program.
The partnership marks a major stride towards strengthening India’s airlift capabilities and fostering deeper industrial collaboration between Brazil and India in the defence domain.
This agreement builds upon a Memorandum of Understanding (MoU) signed in February 2024, which laid the foundation for the cooperation. Under the new pact, the two companies have clearly defined responsibilities in marketing, industrialisation, and supply chain development for the C-390 program. Both sides will work closely with India’s defence establishment to identify domestic partners for production, assembly, and lifecycle maintenance of the aircraft.
A core element of the collaboration is its focus on local manufacturing and sustainment infrastructure. The partnership aims to empower India’s aerospace industry by integrating public and private sector companies into the C-390 production ecosystem, aligning with the government’s ‘Make in India’ and ‘Atmanirbhar Bharat’ initiatives.
The C-390 Millennium, developed by Embraer, is a next-generation, multi-role transport aircraft known for its efficiency, flexibility, and low maintenance requirements. It can carry heavier payloads at higher speeds compared to its competitors and can be rapidly reconfigured for various missions including troop and cargo transport, medical evacuation, disaster relief, and aerial refuelling.
Featuring advanced fly-by-wire controls and modern avionics, the C-390 is viewed as a strong contender to replace the IAF’s ageing fleet of An-32 aircraft. Its versatility and rugged design make it ideally suited for India’s diverse operational requirements — from high-altitude bases in the Himalayas to hot and dusty conditions in the plains.
The agreement also reflects Mahindra’s expanding footprint in global aerospace manufacturing. In August 2025, Airbus Helicopters awarded Mahindra Aerostructures a major contract to produce and assemble the main fuselage of the H125 helicopter, following a similar award for the H130 earlier this year. These contracts have positioned Mahindra as a trusted industrial partner for leading global aerospace manufacturers.
Through its defence arm, Mahindra Defence Systems, the conglomerate has already established a strong presence in land systems — producing armoured vehicles, mine-protected vehicles, and tactical support systems for the Indian Armed Forces. The entry into aerospace manufacturing represents the company’s strategic expansion towards becoming a comprehensive defence and aerospace solutions provider.
Defence analysts view the Embraer-Mahindra partnership as a significant milestone that not only boosts India’s air mobility capability but also ensures long-term technology transfer, job creation, and indigenous production within the country.