LATAM Airlines has announced a significant order for new Embraer E195-E2 jets. This acquisition includes up to 74 aircraft and could support the airline's expansion in South America, with potential implications for future U.S. routes. The first deliveries are expected in the second half of 2026.
Key Takeaways
- LATAM ordered up to 74 Embraer E195-E2 jets.
- Deliveries for the new aircraft start in late 2026.
- The planes will initially operate within LATAM's Brazilian subsidiary.
- The deal supports LATAM's post-bankruptcy growth strategy.
- Future U.S. connectivity from South American hubs could expand.
New Aircraft Order for Growth
LATAM, based in Santiago, Chile, confirmed on Monday its agreement with Embraer. The deal is for up to 74 E195-E2 jets. These aircraft are designed to seat around 132 passengers in a single-class configuration. The initial deployment of these planes will be with LATAM's Brazilian operations.
Roberto Alvo, CEO of LATAM, stated that this agreement allows the airline to continue its path of profitable growth. He emphasized that the new jets would enhance connectivity by enabling the opening of new destinations. This move reflects a strategic effort to strengthen the airline's market position.
Aircraft Specifications
- Model: Embraer E195-E2
- Passenger Capacity: Approximately 132 (single-class)
- First Delivery: Second half of 2026
- Total Order: Up to 74 jets
- Range: 3,450 miles (3,000 nautical miles)
LATAM's Post-Bankruptcy Recovery
The Embraer order is a key part of LATAM's ongoing recovery and growth. The airline faced significant challenges during the COVID-19 pandemic, leading to a Chapter 11 bankruptcy restructuring in the U.S. This process involved reducing its fleet, cutting routes, and closing its Argentine subsidiary.
Since emerging from bankruptcy in late 2022, LATAM has focused on expansion. It has also strengthened its partnerships with major carriers like Delta Air Lines and Qatar Airways. These alliances are central to its strategy for international connectivity.
"This deal allows us to continue on our path of profitable growth by enhancing that connectivity through the opening of new destinations," said Roberto Alvo, CEO of LATAM.
Expanding U.S. Routes
Since 2022, LATAM has added at least six new routes connecting South America to the United States. These include important markets such as Buenos Aires' Ezeiza International Airport (EZE) to Miami International Airport (MIA). This particular route had been suspended in 2020.
Another significant addition is the route from Sao Paulo's Guarulhos International Airport (GRU) to Los Angeles International Airport (LAX). These new routes demonstrate LATAM's commitment to rebuilding and expanding its international network, especially to key U.S. destinations.
Joint Venture with Delta Air Lines
LATAM has a joint venture agreement with Delta Air Lines. This partnership allows both airlines to coordinate their schedules and fares. This coordination applies specifically to flights operating between the U.S. and South America, enhancing travel options for passengers.
Embraer's Recent Success
For Embraer, the LATAM order marks its second major deal in a short period. Just weeks prior, U.S. low-cost carrier Avelo Airlines placed a landmark order for up to 100 planes. The Avelo agreement was particularly notable as it was Embraer's first order for the E195-E2 in the U.S. market.
These recent orders highlight growing confidence in Embraer's E2 family of regional jets. The E195-E2 is known for its fuel efficiency and operational flexibility, making it an attractive option for airlines looking to expand or optimize their fleets.
Potential for New Routes
LATAM plans to use the E195-E2s primarily for expansion within Brazil. These jets will help the airline compete more effectively with Azul Brazilian Airlines. Azul, despite being smaller, serves significantly more domestic destinations in Brazil, utilizing a diverse fleet that includes Airbus, Embraer, and ATR aircraft.
A decade ago, LATAM considered acquiring smaller jets to enhance its Brazilian network and establish a new hub in the country's northeast. Potential locations included Fortaleza-Pinto Martins International Airport (FOR), Natal International Airport (NAT), or Recife/Guararapes-Gilberto Freyre International Airport (REC). These plans were put on hold due to political and economic instability at the time.
Reviving Northeastern Hub Plans
The new E2 order could revive these plans for a northeastern hub. Such a hub would help LATAM fill out its Brazilian route map. While the E2's range of 3,450 miles is not sufficient for direct Brazil-U.S. flights, more regional connections could support new routes to the U.S. using other, larger aircraft in LATAM's fleet.
Before its restructuring, LATAM previously offered flights from Miami International Airport (MIA) to Recife (REC) and other Brazilian cities like Belem, Manaus, and Salvador. This information comes from aviation analytics firm Cirium, indicating a past interest in these regional connections.
Future U.S. Network Expansion
Looking ahead, LATAM could deploy the E195-E2s to expand its U.S. network from its existing hubs in Bogota's El Dorado International Airport (BOG) in Colombia and Lima's Jorge Chávez International Airport (LIM) in Peru. From these airports, the E2 aircraft can reach various destinations in Florida and the Southeastern U.S.
These regions are areas of strength for LATAM's partner, Delta Air Lines. For example, direct flights from Bogota (BOG) to Austin-Bergstrom International Airport (AUS) are feasible with the E2. Austin is a growing focus city for Delta, making it a strategic target.
- Potential E2 Routes from Bogota (BOG): Austin-Bergstrom International Airport (AUS)
- Potential E2 Routes from Lima (LIM): Various destinations in Florida and Southeastern U.S.
The E2 could also facilitate new routes to Delta's primary hub at Hartsfield-Jackson Atlanta International Airport (ATL). These flights could connect Atlanta to secondary cities in northern South America, further enhancing regional connectivity and passenger options. LATAM has indicated that it might consider flying the E2 at its affiliates in Chile, Colombia, and Peru at a later stage.
