LATAM Airlines explores fleet expansion with Embraer and Airbus

LATAM Airlines is eyeing fleet additions of smaller planes like Embraer's E2 model and the Airbus' A220, the firm's Brazil head said on Wednesday.

"We have mapped out what growth could look like with a smaller (capacity) fleet," executive Jerome Cadier told journalists. "And this smaller fleet could come from Embraer, it could come from Airbus, and we're constantly looking for alternatives to increase growth."

In the regional sector, up-to-150-seat aircraft, Embraer's next-generation E2 jets, and the Airbus A220 are both solid competitors. Cadier added that since last year, LATAM has been studying other fleet alternatives. This is because Airbus and Boeing face issues in producing new aircraft and grounding planes requiring mandatory motor inspections.

The head of Brazil's state development bank, BNDES, indicated last month that both LATAM and carrier Gol were in advanced talks for the addition of Embraer aircraft to their fleets. The move is strategic on the part of the airlines toward the adoption of more versatile fleet configurations and efficient fleets to boost regional operations.

On Wednesday, however, LATAM's Chief Financial Officer Ramiro Alfonsin told reporters that nothing was as yet concrete. The carrier continues to weigh the potential advantages against the logistical implications of adding smaller aircraft models into its fleet mix in search of a better growth trajectory.

This concludes the fact that LATAM Airlines is mulling over the Embraer and Airbus models as part of its clear commitment toward fleet efficiency optimization and adjustment with dynamic market demand. This exploration, therefore, would probably place the airline in a better position amid persisting industrial hurdles, leading to sustainable growth and better operational flexibility.