Brazil’s Embraer mulls jet production in Russia

BRASILIA, April 16 (BestGrowthStock) – Brazilian Embraer (ERJ.N: ),
the world’s third-largest aircraft manufacturer, is looking at
producing small passenger jets in Russia, the head of Russia’s
VEB bank, a potential partner in the project, told Reuters.

Embraer (EMBR3.SA: ) plans to the airplanes at a Russian
aviation plant in the city of Kazan, and sell them to the local
market as Russian companies — including Sukhoi Civil Aircraft
— do not produce that type of jets.

“We are in talks with our Brazilian partners on the project
of passenger jets with the capacity up to 50 seats for use on
Russian regional routes. We don’t produce such planes in
Russia,” VEB head Vladimir Dmitriyev said.

State-controlled VEB, charged by the government to support
infrastructure projects, estimates the total project costs of
“hundreds of million of dollars” without elaborating.

Brazil’s state-run development bank BNDES is also taking
part in the talks, Dmitriyev said.

Russia is increasingly looking abroad for technologies and
expertise to help diversify its economy from oil and commodities
by developing domestic industry.

Stock Market News

(Reporting by Denis Dyomkin; writing by Dmitry Sergeyev;
editing by Simon Jessop)

Brazil’s Embraer mulls jet production in Russia