BNDES clears up to R$3.7 billion for Embraer jet exports to Canada

BNDES backs Embraer’s Canadian expansion

Brazil’s National Bank for Economic and Social Development, known as BNDES, has approved between R$3.3 billion and R$3.7 billion in financing to support Embraer aircraft exports to Canada. The credit will cover the sale of up to 19 E195-E2 jets to Porter Aviation Holdings, the parent company of Toronto based Porter Airlines.

The aircraft are scheduled to be delivered by 2030, extending a commercial relationship that has become one of Embraer’s most important in North America.

The financing will be structured through BNDES Exim Post-shipment, a programme used to fund Brazilian exports after goods have been shipped. The operation will also be backed by export credit insurance from the Export Guarantee Fund, or FGE, a federal mechanism that supports overseas sales by Brazilian companies. The fund is managed by ABGF, Brazil’s agency for guarantee funds and guarantees.

According to BNDES, this is the first direct financing by the bank for the export of Embraer aircraft to a Canadian company. For Brazil, the transaction is not only about selling planes. It also reflects the country’s use of public export finance to keep high value industrial production anchored at home while helping national champions compete in global markets.

Aloizio Mercadante, president of BNDES, said the credit strengthens Brazil’s aerospace supply chain and helps Embraer keep its order book moving.

"BNDES support for Embraer exports guarantees the maintenance of the level of production and employment in the national aerospace industry, and the expansion of the market for a more technological aircraft," Mercadante said.

Part of a 75 jet Porter order

The new approval sits within a larger agreement between Embraer and Porter Airlines. The Canadian carrier ordered 75 E195-E2 jets and has already taken delivery of 54 aircraft since deliveries began in 2023.

Three of those aircraft had previously received direct BNDES financing under a transaction approved in December 2025. The latest delivery took place on June 23 this year at Embraer’s headquarters in São José dos Campos, in São Paulo state, during a ceremony attended by representatives of Embraer, Porter, BNDES and ABGF.

Porter Airlines was founded in 2006 and is headquartered in Toronto. Its network covers Canada, the United States, Mexico, the Caribbean and Central America. The company has been using the E195-E2 to build out medium range routes across North America, adding capacity beyond its original regional footprint.

The E195-E2 is the largest jet in Embraer’s E2 family. For Porter, the aircraft also forms part of a passenger experience strategy. The airline configures the cabin with four seats per row, which removes the middle seat, and offers wi-fi, drinks and snacks in economy class.

Felipe Santana, Embraer’s executive vice president for finance and investor relations, said Porter has become one of the world’s largest operators of the E2 family.

"It is a great satisfaction to see the growth of this customer’s fleet and to be able to connect more people with our aircraft, as well as to celebrate the solid partnership with BNDES in supporting our exports," Santana said.

Why the deal matters for Brazil’s industrial base

Export finance is a central tool for aircraft manufacturers because airlines often buy fleets through long term financing packages. For Embraer, access to BNDES credit can help narrow the gap with competitors whose governments also provide export support through credit agencies and guarantee programmes.

The deal also highlights the strategic weight of aerospace in Brazil’s industrial economy. Embraer is one of the country’s most sophisticated manufacturers, with a supply chain that includes engineering, avionics, parts, maintenance and specialised services. Each aircraft exported carries more value than a typical commodity shipment, making the sector important for Brazil’s ambition to sell more technology intensive goods abroad.

For Canada’s Porter, the financing supports a fleet plan already well advanced. For Brazil, it helps secure production visibility through the end of the decade and reinforces Embraer’s presence in one of the world’s most competitive aviation markets.

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