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The Indian Defence Acquisition Council approved the proposal for 60 medium transport aircraft, with Embraer's C-390 Millennium competing against Airbus and Lockheed Martin. The contract, valued over $2.5 billion, includes 12 ready-to-fly aircraft and 48 to be manufactured locally under the 'Make in India' initiative.

Embraer's partnership with Mahindra Group aims to enhance local production and establish a Maintenance, Repair, and Overhaul (MRO) center in India. The final decision is expected in the second half of 2026.