This article is based on an official press release from Embraer.

Embraer and Hindalco Sign Strategic MoU to Explore Aerospace Aluminum Manufacturing in India

On February 20, 2026, Brazilian aerospace manufacturer Embraer announced the signing of a Memorandum of Understanding (MoU) with Hindalco Industries Ltd., the metals flagship of the Aditya Birla Group. The agreement establishes a framework to evaluate the manufacturing of aerospace-grade aluminum raw materials within India, marking a significant step in Embraer’s efforts to diversify its global Supply-Chain.

According to the company’s official statement, the partnership aims to identify local partners capable of supplying high-performance materials for the aerospace sector. This initiative directly supports the Indian government’s “Make in India” program, which encourages multinational corporations to manufacture products domestically.

Strengthening the Supply Chain

The collaboration focuses on conducting exploratory activities to assess the feasibility of producing specific aluminum alloys required for Manufacturing. By tapping into Hindalco’s established industrial capabilities, Embraer seeks to build a more resilient and localized supply network.

Roberto Chaves, Executive Vice President of Global Procurement and Supply Chain at Embraer, emphasized the long-term strategic value of the agreement in a statement released by the company:

“This joint action reinforces our focus to identifying local partners that can become our suppliers and, in doing so, accelerate the development of the Indian industrial base. The initiative enhances Embraer’s engagement to advancing the aerospace ecosystem in India, creating long-term value across the entire supply chain.”

Hindalco Industries is recognized globally for its Sustainability practices, having been ranked as the world’s most sustainable aluminum company by the S&P Dow Jones Sustainability Indices for five consecutive years (2020–2024). The company’s subsidiary, Hindalco-Almex Aerospace Limited (HAAL), is currently the only manufacturer of aerospace and defense-grade aluminum alloys in India, holding the critical AS9100 Certification.

Strategic Context: The C-390 Millennium Bid

While the press release focuses on material sourcing, industry observers note that this move aligns with Embraer’s broader campaign to secure defense Contracts in India. Embraer is currently positioning its C-390 Millennium aircraft for the Indian Air Force’s Medium Transport Aircraft (MTA) tender.

To bolster its bid, Embraer has previously partnered with Mahindra to establish a local assembly line should the C-390 be selected. Integrating Hindalco into the supply chain for raw materials would significantly increase the indigenous content of the aircraft, making the proposal more attractive under India’s “Atmanirbhar Bharat” (Self-Reliant India) defense procurement policies.

Sustainability Alignment

The partnership also addresses environmental goals shared by both entities. Embraer has committed to achieving carbon-neutral operations by 2040. Hindalco’s focus on “green aluminum” and its subsidiary Novelis’s leadership in aluminum recycling provide a pathway for Embraer to reduce the lifecycle carbon footprint of its aircraft. The use of recycled secondary aluminum and lightweight alloys is a growing trend in aerospace engineering designed to improve fuel efficiency and reduce emissions.

AirPro News Analysis

We view this MoU as a calculated geopolitical and logistical maneuver by Embraer. Post-pandemic supply chain disruptions have forced major OEMs to move away from single-source dependencies. By establishing a foothold in India, Embraer is not only mitigating risk but also aggressively courting the Indian defense sector.

For Hindalco, this validates its transition from a raw material supplier to a specialized aerospace partner. If this exploratory phase leads to a definitive supply agreement, it could position India as a critical node in the global high-tech manufacturing network, moving the country beyond simple assembly roles and into the production of complex, high-value metallurgical components.

Frequently Asked Questions

What is the primary goal of the MoU?
The Memorandum of Understanding aims to evaluate the feasibility of manufacturing aerospace-grade aluminum in India to support Embraer’s global supply chain.

Who is Hindalco Industries?
Hindalco is an Indian aluminum and copper manufacturing company, part of the Aditya Birla Group. It is a global leader in sustainable aluminum production and recycling.

How does this relate to the C-390 Millennium?
Sourcing raw materials locally in India strengthens Embraer’s bid for the Indian Air Force’s Medium Transport Aircraft contract by increasing the “indigenous content” of their proposal.

Is this a binding manufacturing contract?
No. Currently, it is an MoU to conduct “exploratory activities” and assess potential business opportunities. Definitive agreements would likely follow successful evaluations.

Sources

• Embraer