Embraer and Mahindra Identify Nagpur for Potential C-390 Assembly

Update, October 5, 2026: This article previously described a ₹6,000-crore investment and 1,000 jobs as if they were confirmed parts of the aircraft project. Embraer and Mahindra’s joint announcement does not specify either figure. Their Nagpur assembly plan remains conditional on India selecting the C-390 and placing an order. We have removed the unverified projections from the headline and report.

Brazilian aircraft maker Embraer and India’s Mahindra Group have identified Nagpur as a potential site for a C-390 Millennium final assembly line. Their October 1 announcement describes preparatory work, not an approved factory or a contract award. The facility would go ahead only if the Indian government selects the C-390 for the Air Force’s Medium Transport Aircraft programme and places an order.

Key takeaways

• Location: Nagpur is the potential location for a final assembly line, according to Embraer and Mahindra’s October 1 statement.
• Condition: The Indian Air Force’s programme must select the C-390 and an order must be placed before the proposed facility can proceed.
• Investment: The companies’ joint statement does not announce a final capital commitment, production start date or employment target.

What has actually been agreed?

The partners say they are working with the Government of Maharashtra on the processes needed to prepare industrial infrastructure. Mahindra executive Vinod Sahay thanked the state for expediting land allotment and related requirements. That is a meaningful preparatory step, but it is not evidence that aircraft production has started or that the Indian Air Force has selected this bidder.

The proposed line would support assembly and industrialisation of Embraer’s C-390 in India. The statement also envisages systems integration, manufacturing engineering and a local supply chain. Those are intended capabilities if the defence programme is awarded to the partnership. The Times of India’s Nagpur report also presents the site as potential and the project as conditional.

For readers following India’s aerospace manufacturing sector, the distinction matters. Identifying land can shorten the time needed to prepare a bid or future project. It does not, by itself, establish the final investment amount, number of jobs, factory opening date or defence procurement outcome. Those milestones require separate disclosures and decisions.

How the aircraft contest affects the plan

The Indian Air Force’s Medium Transport Aircraft programme is the commercial trigger. Embraer and Mahindra are jointly pursuing it with the C-390 Millennium, a multi-mission transport aircraft. Embraer says the aircraft can carry a payload of up to 26 tonnes. That specification is a manufacturer claim about the model, not a statement that India has ordered it.

If the C-390 is chosen and an order is placed, the companies intend to develop local assembly and progressively involve Indian aerospace suppliers. Their announcement says the proposed industrial ecosystem could cover manufacturing, aftermarket services, training and lifecycle support. If another aircraft wins, the Nagpur line described in this announcement may not proceed. Moneycontrol similarly describes the selection and order as conditions.

What came before Nagpur?

The companies signed a strategic cooperation agreement in October 2025 after an earlier memorandum of understanding in February 2024. The agreement covers possible industrialisation, assembly, supply-chain and maintenance activity in India. In February 2026, they separately announced plans to work toward an Indian C-390 maintenance, repair and overhaul capability, again subject to selection under the Air Force programme. The October 2026 statement advances the location discussion but does not remove that condition.

The procurement also has implications for competing bidders. For context, Lapaas Voice has separately covered Lockheed Martin’s proposed India production expansion. Such rival industrial plans are proposals linked to a future award, not evidence of a decision in favour of any aircraft.

What remains unconfirmed?

As of the companies’ October 1 statement, there is no announced C-390 award or firm order from India. The joint statement does not specify the final cost of a Nagpur facility, a confirmed construction schedule, a production date or a job count. Business Standard’s report likewise describes continuing talks and preparations. We will update this article if the partners or the government announce a binding programme decision and verifiable project figures.

Frequently asked questions

Is a C-390 factory being built in Nagpur?

Not on the evidence announced so far. Embraer and Mahindra have identified Nagpur as a potential final-assembly location and are making preparations. A facility remains conditional on the C-390 winning the Air Force programme and receiving an order.

Has the government awarded the C-390 contract?

No award was announced in the partners’ October 1 statement. It explicitly says their industrial plans are subject to selection of the aircraft and placement of an order.

How much will the proposed facility cost?

The joint company statement does not provide a final investment figure. Any proposed number reported elsewhere should be attributed to its source and treated separately from a committed project budget.