Embraer Pauses E175-E2 Development Again, and More

Dear Readers,

Welcome to the AviationOutlook Newsletter.

Your One-Stop source for the most relevant Aviation news briefs and industry insights (MINUS noise).

✅ 1 Email Daily ✅ 5 Min Read ✅ 0 Time Wasted

🫵 YOU become industry-smart!

Here are the 10 Top Aviation Industry Updates for you today.Let’s get started.

Embraer Delays E175-E2 Development Again Due to US Scope Clause Constraints

Embraer says that its board of directors has approved an additional four-year pause in the E175-E2 jet development program.

This is the third major delay, pushing the potential entry into service well into the 2030s.

The decision remains tied to ongoing US scope clause restrictions and continued market demand for the current E175 model.

Key Points

• The pause is directly linked to US mainline scope clause discussions with pilot unions regarding maximum takeoff weight (MTOW) limitations for aircraft with up to 76 seats

• The E175-E2's MTOW of 98,120 pounds exceeds the current US scope clause limit by about 10%

• This is the third pause overall for the program - the first came during the pandemic, pushing entry to 2023, followed by a three-year pause announced in February 2022

• Embraer now plans to resume program development activities after the four-year period ends in February 2029

• The E175-E2 first flew in December 2019 but has struggled to gain market traction due to these regulatory challenges

• While the E175-E2 remains grounded, Embraer's current-generation E175 remains highly popular. It has 164 aircraft in its backlog, with production sold out through 2026

• The larger E190-E2 and E195-E2 models have also proven successful in the market. Embraer recently secured a major order from All Nippon Airways (ANA) for 15 E190-E2s with 5 options

• Embraer executives had previously indicated they saw no movement regarding potential scope clause changes in the near future

• The company delivered 73 commercial aircraft in 2024, including 26 E175s

What It Means

This extended pause represents a pragmatic business decision rather than a program abandonment.

The continued strong demand for the current E175 gives Embraer breathing room while protecting resources from a program with uncertain market access.

This pragmatic approach allows the company to focus on its successful E2 variants while maintaining optionality for the E175-E2's future.

Other Key Aviation Industry Updates for Today 👇

2. Southwest Flight Executes Emergency Go-Around to Avoid Private Jet

A Southwest Airlines flight narrowly avoided collision with a FlexJet Bombardier Challenger at Chicago Midway Airport yesterday morning.

The Southwest pilots performed a go-around maneuver when the private jet entered runway 31C without authorization, despite being instructed to hold short.

The FAA is investigating the incident, which occurred around 8:50 AM local time. The Southwest flight landed safely after the maneuver.

3. Saudi Startup Riyadh Air Expects AOC Soon for 2025 Launch

Riyadh Air expects to receive its Air Operator Certificate soon, allowing commercial operations to begin later this year.

The Saudi startup airline plans to launch in late 2025 with Boeing 787-9 Dreamliners, expanding to 100 destinations by 2030.

The carrier recently acquired a leased 787-9 for training purposes and has ordered 60 Airbus A321neos.

4. FAA Recommends Door Testing for Boeing 757 Converted Freighters

The FAA issued a Special Airworthiness Information Bulletin on February 21, 2025, recommending safety checks on Boeing 757-200 converted freighters.

This follows a 2021 incident where a DHL aircraft's cargo door opened mid-flight. The voluntary guidance advises operators to perform door tests every 5,000 cycles, inspect view-ports for contaminants, check latches for paint defects, and follow cold weather procedures.

The bulletin specifically addresses aircraft modified by Precision Conversions LLC.

5. Daher Expands Aircraft Production to Florida with $30M Investment

French aerospace company Daher secured a long-term lease at Witham Field in Stuart, Florida, investing $30 million to establish a final assembly line for TBM and Kodiak turboprop aircraft.

This development complements Daher's existing Kodiak production in Sandpoint, Idaho.

The company employs 700 people at the Stuart facility, which will continue manufacturing aerostructures as a tier-one supplier.

6. Copa to Launch Four Weekly Flights to Southern California This Summer

Copa Airlines will launch four weekly nonstop flights between San Diego and Panama City starting June 25, 2025.

Operating on Mondays, Wednesdays, Fridays, and Sundays, this service makes San Diego Copa's 17th U.S. destination and third in California.

The new route enhances connectivity between Southern California and Latin America, offering access to Copa's network of 86 destinations across 32 countries.

7. SAS and GE Partnership Enhances Aircraft Operational Efficiency

GE Aerospace and Scandinavian Airlines (SAS) have successfully completed a predictive maintenance initiative for SAS's Embraer E190 fleet.

The collaboration focused on bleed systems and flight controls (ATA chapters 36 and 27), using GE's Event Measurement System to integrate flight data with technical operations insights.

This approach has significantly reduced unscheduled maintenance events and aircraft downtime.

SAS already uses several GE software solutions and plans to explore additional ATA chapters for future predictive maintenance initiatives.

8. Riyadh Air Partners with IBM for AI-Powered Aviation Experience

Riyadh Air and IBM announced a strategic partnership yesterday to integrate IBM's Watsonx AI solutions across the Saudi airline's operations before its late 2025 launch.

The collaboration revealed at the FII PRIORITY Miami Summit, aims to establish Riyadh Air as the world's first digital-native airline.

The AI ecosystem will enhance passenger experiences with personalized services, optimize flight operations, and empower employees through intelligent automation.

9. Amprius SiCore Cells Selected for Fixed-Wing UAS After Field Testing

Amprius Technologies secured a $15 million purchase order from a leading UAS manufacturer for its SiCore cells following successful field trials.

The high-energy-density silicon anode batteries will be integrated into the customer's fixed-wing drone platform, with delivery expected in the second half of 2025.

This order, alongside previous $20M in LEV contracts, validates Amprius' technology in the rapidly growing UAS market, projected to reach $82.65 billion by 2030.

The company uses contract manufacturing partnerships to meet demand without additional capital expenditures.

10. London's Busiest Airport Reviews Terminal Allocations After Ten Years

Heathrow Airport has opened negotiations with 82 airlines about a once-in-a-decade terminal occupancy review, potentially requiring some carriers to relocate their operational bases.

The talks aim to optimize limited space and improve capacity utilization.

While British Airways' move from Terminal 5 is considered unlikely, Star Alliance members at Terminal 2 could be affected.

This review coincides with Heathrow's multi-billion-pound expansion plans, including Terminal 2 and 5 upgrades and a third runway proposal to be submitted this summer.