Japan’s Nidec Corporation (TSE: 6594; OTC US: NJDCY) and
Brazil’s Embraer (B3: EMBR3, NYSE: ERJ) today announced an
agreement to establish a joint venture company, called Nidec
Aerospace LLC (hereunder “JV”), to develop Electric Propulsion
Systems for the aerospace sector. The transaction combines the
complementary synergies and distinct areas of expertise of two
world-class engineering companies to spearhead a new era of air
mobility.
To be unveiled at the 54th biennial Paris Air Show, the JV aims
to unlock new opportunities by providing an agnostic portfolio of
products and services worldwide, driven initially by the growth of
the Urban Air Mobility (UAM) industry.
Nidec Corporation, the world’s leading comprehensive motor
manufacturer, will be backed by Embraer’s more than 50-year history
of complementary aerospace experience to design, certify, produce,
and commercialize next-generation electric propulsion systems based
on well-proven technologies suitable for powering more efficient
and greener aircraft models. The JV will develop and manufacture
the Electric Propulsion System for electric Vertical Take-Off
Landing (eVTOL) vehicles, with the aim of providing the system to
non-eVTOL vehicles in the future.
Nidec Aerospace will be jointly owned, with Nidec owning a 51%
share and Embraer the remaining 49%. The headquarters, located at
Nidec Motor Corporation (NMC) in St. Louis, Missouri, USA, will be
supported by both companies’ existing industrial footprint in
Brazil and Mexico.
“Technological innovation will be a key contributor to the
International Civil Aviation Organization (ICAO)’s commitment to
carbon neutrality by 2050. The JV is a natural extension of both
companies’ respective and continual investments in green
technologies across multiple industries to accelerate global carbon
neutrality,” said Michael Briggs, Senior Vice President and
President of the Motion & Energy Business Unit, at Nidec. “We
are proud to be partnered with Embraer, and are confident that
Nidec Aerospace will spearhead the electrification of aircraft with
our shared drive, complementary expertise, and wide breadth of
technical and manufacturing capabilities.”
Before starting our collaboration, both Nidec and Embraer have a
long history of technological and business collaboration with other
global partners and have been continually exploring a range of
sustainable concepts, prospecting technologies, and
high-growth-potential markets to deliver stronger value to their
respective stakeholders.
“Innovation is our future growth driver and a key pillar of our
strategic plan. That’s why I’m extremely excited about this
strategic partnership with Nidec to develop agnostics solutions for
aerospace sector,” said Francisco Gomes Neto, President and CEO at
Embraer. “Demand for electric propulsion systems is growing
exponentially in the aerospace sector, and we are very confident
that Nidec and Embraer together can accelerate the development of
advanced products to enable the future of sustainable
aviation.”
The JV’s Electric Propulsion System launch-customer will be the
eVTOL manufacturer of Eve Air Mobility (NYSE: EVEX, EVEXW), an
independent company well-positioned to be a global leader in the
Urban Air Mobility (UAM) segment by delivering an effective and
sustainable new mode of urban transportation.
The JV remains subject to antitrust approvals, other possible
regulatory approvals, and customary closing conditions, as well as
both companies’ approval in board of directors. The companies
expect their transaction to close at the second half of 2023.
About Nidec Corporation and Nidec Motor Corporation
Nidec Corporation is the world's leading comprehensive electric
motor manufacturer. Based in Kyoto, Japan, Nidec Corporation offers
motors ranging from micro-size to super large, as well as
application products and services in IT, automation, home
appliances, automobiles, commercial and industrial systems,
environmental, energy, and many other businesses. Nidec is composed
of approximately 340 group companies employing more than 100,000
people all over the world.
With headquarters in St. Louis, MO, Nidec Motor Corporation
(NMC) is the leading manufacturer of commercial, industrial, and
appliance motors and controls. The NMC product line features a full
line of high efficiency motors, large and small, that serve
industrial, residential, and commercial markets in applications
ranging from agriculture, water treatment, mining, oil and gas, and
power generation to pool and spa motors, air conditioning
condensers, rooftop cooling towers, and commercial refrigeration.
NMC also makes motors, controls, and switches for automotive and
commercial markets.
About Embraer
A global aerospace company headquartered in Brazil, Embraer has
businesses in Commercial and Executive aviation, Defense &
Security and Agricultural Aviation. The company designs, develops,
manufactures and markets aircraft and systems, providing Services
& Support to customers after-sales.
Since it was founded in 1969, Embraer has delivered more than
8,000 aircraft. On average, about every 10 seconds an aircraft
manufactured by Embraer takes off somewhere in the world,
transporting over 145 million passengers a year.
Embraer is the leading manufacturer of commercial jets up to 150
seats and the main exporter of high value-added goods in Brazil.
The company maintains industrial units, offices, service and parts
distribution centers, among other activities, across the Americas,
Africa, Asia and Europe.
Cautionary Statement Concerning Forward-Looking
Information
This press release contains forward-looking statements regarding
the intent, belief, strategy, plans or expectations of the Nidec
Group or other parties. Such forward-looking statements are not
guarantees of future performance or events and involve risks and
uncertainties. Actual results may differ materially from those
described in such forward-looking statements as a result of various
factors, including, but not limited to, the risks to successfully
integrating the acquired business with the Nidec Group, the
anticipated benefits of the Transaction not being realized, changes
in general economic conditions, shifts in technology or user
preferences for particular technologies and changes in business and
regulatory environments. The Nidec Group does not undertake any
obligation to update the forward-looking statements contained
herein or the reasons why actual results could differ from those
projected in the forward-looking statements except as may be
required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20230618489974/en/
Media Contact: Nidec Corporation Masahiro Nagayasu +81 75 935
6140 ir@nidec.com
Media Contact: Embraer S.A. Ricardo Santos +55 12 98152 4845
ricardo.santos@embraer.com.br
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