Greece inks deal for KC-390 fleet

PARIS — Greece has finalized a deal for a new fleet of up to six KC-390 Millennium aircraft, capping an anticipated sale of the airlifter to Athens and setting a first delivery for next year, Greek Defense Minister Nikoloas Dendias and Brazilian manufacturer Embraer revealed today.

The finalized deal, which includes three aircraft with options for three more, was announced by Dendias as part of a visit from his counterpart, Portuguese Minister of National Defense Nuno Melo. The agreement follows the reported approval in June by a Greek parliament committee for the procurement and follow-on support of three Millennium aircraft, with an expected budget of roughly €600 million ($672 million). 

The purchase of the Embraer aircraft “marks two firsts” for the Hellenic Air Force, Dendias said, according to a Google translation of his remarks released by the Greek Ministry of National Defense: the acquisition of a “jet transport aircraft,” as well as a refueling tanker. Once fielded by the Hellenic Air Force, the Millennium can refuel Greek fighter jets using a hose-and-drogue system, which Dendias called a “huge advantage.” 

Athens plans to acquire the KC-390 via a government-to-government agreement with Portugal, which Dendias confirmed in July. Last year, in addition to upping its own Millennium buy to six aircraft, Lisbon announced options for an additional ten aircraft that could be shared among other NATO members. 

“We are honored by Greece’s decision to acquire the KC-390 Millennium. This choice underscores the trust and confidence that leading NATO members place in our aircraft,” Bosco Da Costa Junior, the president and CEO Embraer’s defense unit, said in a company press release.    

In his remarks, Dendias noted that Portugal will help Greece effectively wield its forthcoming fleet, including for training and operations. Dendias described the aircraft’s significance in world-historical terms, asserting the Turkish invasion of Cyprus in 1974 — a long-simmering tension between the two NATO countries — “could not have happened” if the Hellenic Air Force possessed a tanker aircraft that capable of refueling its fighter jets. 

The sale of the KC-390 marks the seventh European customer for Embraer, which has developed a strong market among NATO nations. Like other international customers, Athens was swayed to replace its aging Lockheed Martin C-130H fleets with the Millennium, which often competes against the newer C-130J. The aircraft can move cargo in addition to refueling among other applications.

The Greek finalized order adds a third customer this year for the Millennium, following deals announced by Colombia and the United Arab Emirates. The Brazilian planemaker eventually hopes to break into the US market with the KC-390 and has offered a dedicated American final assembly line to sweeten the bid. 

In the meantime, Embraer plans to ramp production of the C-390 amid higher global demand, aiming for an annual output of 10 aircraft by the end of the decade.