Brazilian planemaker Embraer SA (EMBR3.SA) called on Tuesday for the aviation industry to set limits on state funding of aircraft development, a day after Brazil said it would challenge Canada over government support for rival Bombardier Inc (BBDb.TO).
Embraer Chief Executive Paulo Cesar Silva said the aviation industry’s standards for export financing by state banks had worked well to promote fair competition between Embraer, Bombardier and larger peers Boeing (BA.N) and Airbus (AIR.PA).
“If the industry can establish a framework for aircraft development financing similar to what we have for export financing, then we’ll have a level playing field,” Silva told journalists.
The timing may be tough for an industry accord, however, after Brazil said on Monday it would dispute investments made by the province of Quebec in Bombardier’s CSeries, which helped to develop a direct competitor for Embraer’s E-195.
Read more: Embraer calls for industry limits on aircraft development funding
