Embraer unveiled its new Praetor 600E with a redesigned cabin in February.
Embraer expects to deliver between 160 and 170 business jets in 2026, up from 155 in 2025, and a 6% increase based on the midpoint range.
The Brazil-based manufacturer ended 2025 with an executive jet order backlog of $7.8 billion, up from $7.4 billion in the same period a year ago, the company reports.
“Executive aviation’s stronger continuing demand, supported by higher delivery volumes, reflected the strength of our portfolio, which was further reinforced by the recent announcement of the next generation of the Praetor 500E and 600E,” said Embraer CEO Francisco Gomes Neto. Embraer announced the next-generation aircraft Feb. 24.
Revenue in the business jet segment for the 2025 fourth quarter totaled $750 million, up 20% from $626 million a year ago because of higher volumes and higher prices, the company said. The segment represents about 30% of total revenue.
Embraer said the increased revenue more than offset the negative impact of U.S. tariffs during the fourth quarter, however.
The Supreme Court’s ruling to strike down U.S. tariffs imposed by the Trump administration a year ago is a positive change, officials said. It will benefit not only Embraer, but its U.S. customers and suppliers as well.
“The huge impact of tariffs was on executive aviation,” said Embraer CFO Antonio Carlos Garcia. Since April when the tariffs took effect, Embraer paid $80 million in tariffs, with the largest percentage—85%—in its executive aircraft division.
Still, “we delivered the same number [of business jets] we delivered last year … percentage-wise, which means it doesn’t matter if you have tariffs or if you have a crisis, [you’ll] always find a way to compensate,” Garcia said.
The tariffs were terminated Feb. 24, 2026, under the International Emergency Economic Powers Act. While Embraer aircraft and engines became exempt from 10% tariffs on that date, the company continues to have inventory in stock on which it has paid the tariffs, the officials said.
“But we’ll deal with that during the year, and this is already included in our projections,” Gomes Neto said. “Of course, we welcome the level playing field in our industry, since Embraer was the only manufacturer to pay tariffs on aircraft exports before.”
It is too soon to say whether Embraer will attempt to recover the money it paid on tariffs, and the OEM is monitoring the situation, officials said.
In the meantime, supply chain issues are improving. However, “it’s still facing a few bottlenecks, but we want to be even more proactive this year than we were last year to anticipate all the issues and act with greater effectiveness,” Gomes Neto said. “We have started doing that already in January.”
While it is monitoring the supply chain, Embraer is more positive this year that issues will improve, he said. The company is expanding capacity in some bottleneck areas in production and is working to continue to improve efficiency in its production lines.
“Now we produce one Praetor or one Phenom in half of the time that we used to do back in 2021,” Gomes Neto said. However, it is moving quickly to reach higher production rate targets in the coming years.
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