Finland’s national carrier Finnair announced Monday it will purchase 18 narrow-body aircraft from Brazil’s Embraer to modernize its European operations, marking a significant shift away from current supplier Airbus.
The deal represents Finnair’s most substantial investment in more than 20 years and delivers another setback to France-based Airbus, coming after Embraer’s E2 series aircraft outsold the competing Airbus A220 by a three-to-one margin in the previous year. The Finnish airline also intends to purchase as many as 12 used Airbus A320 or A321 aircraft from the secondary market.
“This is a highly versatile aircraft and one of the quietest on the market,” Chief Executive Turkka Kuusisto told Reuters, speaking about the E195-E2 model.
“It will reduce our CO2 emissions by 30% per passenger carried. In addition to enabling us to operate efficiently within Finland and widely across Europe, it also supports our climate objectives,” Kuusisto explained.
The Brazilian manufacturer’s contract includes provisions for 16 additional planes plus purchasing rights for another dozen aircraft, according to Finnair’s announcement. The airline has also secured agreements with RTX’s Pratt & Whitney division for backup engines and maintenance support.
Kuusisto revealed to Reuters that the company’s complete investment strategy extending through 2029’s conclusion will total approximately 2 billion euros ($2.31 billion), though he declined to provide additional financial specifics.
The state-majority-owned Finnish carrier has weathered significant challenges in recent years, beginning with COVID-19 pandemic disruptions and continuing since 2022 with reciprocal airspace restrictions between Russia and European Union nations following Moscow’s invasion of Ukraine.
Brazil’s Embraer, which specializes in medium-sized aircraft, has capitalized on worldwide increased demand for regional jets as airlines resume fleet upgrades delayed during the pandemic, according to the manufacturer’s CEO Arjan Meijer, who spoke with Reuters in January.
“We look forward to helping Finnair modernise its short-haul fleet to better match demand, reduce emissions, and unlock growth,” Meijer stated following the Finnish airline’s order announcement.
Last year, Finnair indicated it had an urgent requirement to replace 15 aging aircraft from its 29-plane narrow-body Airbus fleet, noting that additional new jets might be purchased to satisfy increasing passenger demand.
The airline’s current narrow-body operations utilize 29 Airbus aircraft across the A319, A320 and A321 models. Finnair’s complete fleet of roughly 80 planes includes 26 wide-body Airbus A330s and A350s for long-haul routes, plus regional operations with 12 ATR 72-500s and 12 Embraer 190s.
