Embraer is between the proverbial rock and hard place. It has an excellent aircraft in the E2 jets but is unable to effectively compete with Airbus given the ability of the latter to combine multiple aircraft types, including the competing A220 and hot selling A321neo, in airline deals.
After Airbus acquired the A220 from Bombardier, Embraer and Boeing had agreed to a merger with the E2 joining Boeing’s fleet, enabling the same type of joint airline proposals used by Airbus. But after Boeing backed out of the transaction, Embraer faces difficult competition from Airbus, which links multiple aircraft in transactions every time it can.
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