This article is based on an official press release from Embraer. See the original release for full details.

Embraer and PGZ Sign Strategic Agreements to Localize C-390 Production in Poland

On December 2, 2025, Brazilian aerospace manufacturer Embraer signed five Memoranda of Understanding (MoUs) with Polska Grupa Zbrojeniowa (PGZ), Poland’s state-owned defense conglomerate. The agreements, signed in Warsaw, outline a comprehensive framework for industrial cooperation that positions the Embraer C-390 Millennium as a primary contender for Poland’s “Drop” military transport replacement program.

According to the official press release, the partnership involves PGZ as a holding company and four of its key operational subsidiaries. The collaboration aims to establish a robust industrial ecosystem in Poland, covering maintenance, component manufacturing, ground support, and potentially a Final Assembly Line (FAL) for the C-390 aircraft.

This move comes as Poland seeks to modernize its tactical airlift capabilities, currently reliant on aging C-130 Hercules aircraft. By offering significant technology transfer and local manufacturing roles, Embraer is directly addressing Poland’s requirement for “Polonization”, the integration of domestic industry into major defense procurement contracts.

Scope of Industrial Cooperation

The agreements delineate specific roles for various Polish defense entities, ensuring that the economic benefits of a potential contract are distributed across Poland’s industrial base. The MoUs cover the following areas of cooperation:

• WZL-1 (Wojskowe Zakłady Lotnicze Nr 1): Based in Lodz, this facility will focus on manufacturing metallic and composite aeronautical structures. The agreement includes provisions for technology transfer and quality assurance cooperation.
• WZL-2 (Wojskowe Zakłady Lotnicze Nr 2): Located in Bydgoszcz, WZL-2 is designated as the center for Maintenance, Repair, and Overhaul (MRO) services. It would likely handle heavy maintenance and painting for a future Polish C-390 fleet.
• WSK “PZL-Kalisz”: Specializing in engines and gears, this entity will cooperate on producing engine components, gears, and complex machined parts, potentially involving heat-treatment processes.
• WBCKT (Centralne Wojskowe Biuro Konstrukcyjno-Technologiczne): This Warsaw-based unit will work with Embraer to develop and supply Ground Support Equipment (GSE), such as power units and diagnostic systems specifically for the C-390.

In a statement regarding the partnership, Bosco da Costa Junior, President and CEO of Embraer Defense & Security, emphasized the long-term nature of the deal:

“The agreements we signed today lay a solid foundation for a long-term partnership that will effectively place Poland at the center of the industrial ecosystem we are creating in Europe.”

Targeting the “Drop” Program

The strategic context for these agreements is the Polish Air Force’s “Drop” operational program. Poland is currently evaluating options to replace its legacy fleet of C-130E and C-130H Hercules transports. The C-390 Millennium, a jet-powered tactical transport, is competing against the Lockheed Martin C-130J Super Hercules and potentially the Airbus A400M.

According to industry data referenced in reports surrounding the signing, the C-390 offers a higher payload (26 tons) and faster cruising speeds (470 knots) compared to the turboprop C-130. Embraer’s proposal includes the establishment of a Final Assembly Line in Poland if the C-390 is selected, a move estimated to generate approximately $1 billion in value and create 600 direct jobs.

Jan Grabowski, Vice President of the Management Board of PGZ, highlighted the value of the technology transfer involved in the MoUs:

“The PGZ Group gains a partner who is one of the largest aviation companies in the world… [This] will translate into increased potential for the Polish defense industry, technology transfer, and the acquisition of new competencies.”

AirPro News Analysis

By AirPro News Editorial Staff

Embraer’s strategy in Poland mirrors its successful approach in other NATO nations, where industrial participation is often the deciding factor in defense contracts. By signing detailed MoUs with four specific subsidiaries rather than a generic agreement with the holding company, Embraer is signaling that its industrial package is “shovel-ready.”

This approach is critical for competing against Lockheed Martin, the incumbent provider. While the C-130J is the logistical “safe choice” due to existing infrastructure, Embraer is leveraging the desire for European strategic autonomy and domestic economic growth. If Poland selects the C-390, it would effectively cement a “C-390 bloc” in Central and Eastern Europe, joining the Czech Republic, Hungary, and Austria in operating the platform. This interoperability could be a significant selling point for regional NATO logistics.

Frequently Asked Questions

What is the C-390 Millennium?
The C-390 Millennium is a multi-mission tactical transport jet designed by Embraer. It is capable of aerial refueling, medical evacuation, search and rescue, and firefighting, and can operate from unpaved runways.

What is the “Drop” program?
The “Drop” program is a Polish military procurement initiative aimed at replacing the Air Force’s aging fleet of C-130 Hercules transport aircraft with modern tactical airlifters.

Does this agreement mean Poland has bought the C-390?
No. These are Memoranda of Understanding (MoUs) establishing the framework for industrial cooperation if Poland selects the C-390. It is a preliminary step to position Embraer for the contract.

Sources

• Embraer Press Release