What's Happening?
Embraer has announced the addition of Aerocardal to its network of authorized service centers, marking a significant return to the Chilean market. Aerocardal, which operates a large maintenance, repair, and overhaul (MRO) facility at Santiago’s Arturo Merino Benitez International Airport, will provide line maintenance and AOG support for Embraer’s executive fleet. This partnership is expected to enhance Aerocardal's MRO business and offer growth opportunities for its engineering staff. The collaboration does not include aircraft sales, but positions Aerocardal advantageously for potential future sales by Embraer’s commercial division in Chile.
Why It's Important?
The partnership between Embraer and Aerocardal is crucial for both companies. For Embraer, having a local service center strengthens its sales pitches in Chile, potentially leading to increased market penetration. For Aerocardal, the partnership expands its service offerings and could lead to future business growth, especially if Embraer decides to sell larger aircraft in Chile. This collaboration also simplifies the sourcing of spare parts, although customs procedures remain a challenge. The deal could lead to improved logistics and cost management, benefiting both companies and their customers.
What's Next?
Aerocardal is optimistic about future opportunities, including potential sales of Embraer airliners to Chilean airlines. The company is preparing to support larger aircraft, which could become a reality in the next few years. Discussions with Embraer executives may lead to improved customs procedures, reducing the time required for importing spare parts from Brazil. This strategic partnership is expected to evolve, potentially leading to expanded services and increased business for Aerocardal.
