SkyWest Orders 60 Embraer E175 Jets in $3.6B Regional Aviation Deal

SkyWest Orders 60 New Embraer E175 Aircraft: A Strategic Move in Regional Aviation

In a significant development for the regional aviation sector, Embraer announced a firm order from SkyWest, Inc. for 60 E175 aircraft, with an option to purchase an additional 50. Valued at approximately US$3.6 billion at list prices, this order reaffirms SkyWest’s position as the largest operator of Embraer’s E-Jet series. Deliveries are scheduled to begin in 2027, marking another chapter in the nearly four-decade-long partnership between the two companies.

This announcement, made during the 2025 Paris Air Show at Le Bourget, highlights the strategic importance of the E175 aircraft in North American regional aviation. The deal not only strengthens Embraer’s backlog for Q2 2025 but also aligns with SkyWest’s long-term fleet strategy to enhance its dual-class service offerings. With 263 E175s currently in operation and 76 more on backlog, SkyWest continues to cement its status as a dominant player in the regional airline market.

The E175 has become a cornerstone of regional aviation in the U.S., offering a balance of performance, efficiency, and passenger comfort. This order is a testament to the aircraft’s reliability and the enduring strength of the Embraer-SkyWest partnership.

Strategic Importance of the E175 in North American Aviation

The Role of the E175 in Regional Connectivity

The Embraer E175 has proven itself as a workhorse in regional aviation, particularly in North America. Its capacity to carry around 76 passengers in a dual-class configuration makes it ideal for connecting smaller markets to major hubs. This flexibility is critical in a country like the U.S., where regional routes serve as feeders to larger airline networks.

SkyWest’s decision to double down on the E175 is in line with broader industry trends. As major carriers continue to rely on regional partners to serve less dense routes, aircraft like the E175 offer the right mix of size and range. The aircraft’s ability to operate efficiently on short to medium-haul routes has made it the go-to choice for U.S. regional carriers.

Moreover, the E175 complies with scope clause agreements in the U.S., which limit the size and weight of aircraft that regional airlines can operate under contracts with major carriers. This regulatory compliance gives the E175 a competitive edge over larger regional jets that fall outside of these limitations.

“The E175 is the cornerstone of regional aviation in North America,” said Arjan Meijer, President & CEO of Embraer Commercial Aviation. “This order underscores SkyWest’s confidence in our aircraft’s performance, reliability, and passenger comfort.”

SkyWest’s Long-Term Fleet Strategy

SkyWest’s latest order is not just a purchase, it’s a strategic maneuver. By expanding its E175 fleet, the airline is positioning itself for long-term growth and adaptability in a rapidly evolving aviation landscape. The choice to maintain a uniform fleet type also brings operational efficiencies, from maintenance to crew training.

Chip Childs, President and CEO of SkyWest, emphasized the importance of the E175 in their future plans: “This order enables us to advance our long-term fleet strategy and to continue to deliver the premier regional product in the industry.” Standardizing around the E175 allows SkyWest to streamline operations while offering a consistent passenger experience.

With the current fleet already standing at 263 E175s, the additional 60 aircraft (with options for 50 more) will significantly increase SkyWest’s capacity. This positions the airline to better serve contracts with major carriers like United, Delta, American, and Alaska Airlines, all of whom rely on SkyWest for regional operations.

Economic and Industry Implications

Impact on Embraer’s Commercial Aviation Segment

This order is a major win for Embraer’s commercial aviation division, which has been focusing heavily on the E-Jet family. The US$3.6 billion order will be included in the company’s Q2 2025 backlog, providing a strong financial boost and signaling continued demand for its regional aircraft lineup.

Embraer has been actively competing with other regional jet manufacturers, most notably Mitsubishi (formerly Bombardier’s CRJ program) and ATR in the turboprop segment. The E175 has remained a strong performer largely due to its scope clause compliance and passenger-friendly design.

Additionally, the order helps Embraer maintain its manufacturing pipeline and supports thousands of jobs across its supply chain. With deliveries starting in 2027, this production timeline ensures long-term stability for Embraer’s commercial operations.

Regional Aviation Trends and Market Demand

The regional aviation market has been undergoing significant changes, particularly in the wake of the COVID-19 pandemic. While long-haul international travel took a hit, domestic and regional routes recovered more quickly, driven by pent-up demand and shifting travel preferences.

Aircraft like the E175 are well-suited for this environment. Their lower operating costs and flexible route capabilities make them ideal for airlines looking to rebuild networks without overcommitting capacity. SkyWest’s order reflects confidence in the sustained demand for regional connectivity in the U.S.

Furthermore, the order may influence other regional carriers to consider fleet upgrades or expansions, potentially triggering a new wave of demand for Embraer’s E-Jet lineup. As airlines seek to modernize fleets and improve fuel efficiency, the E175 remains a competitive option.

Conclusion

SkyWest’s firm order for 60 Embraer E175 aircraft, with options for 50 more, is a strategic move that reinforces its leadership in the regional aviation sector. The decision aligns with broader industry trends favoring efficient, scope-compliant regional jets that can serve as critical links in airline networks.

For Embraer, the deal is a validation of the E175’s market position and a boost to its commercial aviation segment. As the aviation industry continues to evolve, regional aircraft will play an increasingly vital role in connecting communities, supporting economic development, and enabling flexible airline operations. The SkyWest-Embraer partnership, now nearly 40 years strong, appears well-positioned to navigate this future together.

FAQ

What is the value of SkyWest’s new aircraft order with Embraer?
The firm order for 60 E175 aircraft is valued at approximately US$3.6 billion at list prices.

When will the aircraft deliveries begin?
Deliveries are scheduled to start in 2027.

Why is the E175 popular among regional airlines?
The E175 offers an ideal balance of passenger capacity, operating efficiency, and compliance with U.S. scope clause agreements, making it a preferred choice for regional carriers.

How long have SkyWest and Embraer been partners?
The partnership began in 1986 and has grown steadily over nearly four decades.

How many E175s does SkyWest currently operate?
SkyWest operates 263 E175 aircraft, making it the largest operator of the type globally.

Sources

• Embraer