LATAM Airlines Eyes 30 Regional Jets to Transform South American Travel

The skies over Latin America are busier than ever. In January 2025 alone, a record 42.3 million passengers crisscrossed the region, with Brazil moving 8.6 million travelers—a 5.3% annual jump. To harness this explosive growth, LATAM Airlines, South America’s largest carrier, is poised to make a strategic pivot: negotiating an order for up to 30 new regional jets from manufacturers Embraer and Airbus. This potential fleet overhaul signals a fundamental shift in how the continent connects.

Why LATAM is Betting on Regional Jets

LATAM’s current fleet of 360 aircraft relies heavily on larger Airbus and Boeing models. While efficient for major hubs, these jets struggle on thinner routes between smaller cities or emerging business corridors. Flying half-empty A320s or 737s burns excess fuel and inflates costs—a critical vulnerability as competition intensifies.

The solution? Smaller, nimble aircraft like the Embraer E195-E2 and Airbus A220. These regional jets consume roughly 25% less fuel per seat than traditional narrow-bodies while slashing carbon emissions. For LATAM, this isn’t just operational efficiency; it’s market expansion. Routes previously deemed unviable—think Arequipa to Asunción or Belém to Brasília—suddenly become profitable, unlocking travel for underserved communities. As LATAM’s management noted in recent financial filings, this flexibility is essential to capture Latin America’s projected aviation market growth—from $40 billion in 2024 to $59 billion by 2034.

Economic Ripple Effects and Environmental Wins

Beyond connectivity, the deal carries weight for Brazil’s economy. A major order with São Paulo-based Embraer would bolster local manufacturing and support thousands of jobs—aligning with the Brazilian government’s push toward high-tech industrial growth. “This isn’t just an airline upgrade; it’s a stimulus for national aerospace innovation,” remarked aviation analyst Thiago Alves (Aviation Week, March 2024).

Environmentally, the transition aligns with tightening global emissions standards. The E195-E2 and A220 meet ICAO’s stringent CO₂ benchmarks, helping LATAM advance toward its 2050 carbon neutrality pledge. With aviation contributing 2% of global emissions, fleet modernization is non-negotiable for sustainable growth.

Passenger Benefits: More Routes, Fewer Layovers

Travelers stand to gain significantly. Regional jets enable point-to-point service between secondary cities, reducing reliance on congested hubs like São Paulo-Guarulhos or Bogotá. Imagine flying direct from Cusco, Peru, to Medellín, Colombia—a route impractical for larger aircraft. Shorter boarding times, fewer connections, and competitive fares could democratize air travel across a region where 35% of the population still lacks convenient airport access (World Bank, 2023).

LATAM’s potential fleet shift marks more than an order—it’s a reimagining of South American skies. By embracing efficient regional jets, the airline aims to turn isolated cities into interconnected hubs, fuel economic engines from Brazil to Chile, and slash its environmental footprint. For travelers, it promises simpler journeys; for the continent, it could accelerate an era of inclusive growth. Watch for updates as negotiations with Embraer and Airbus advance this quarter.

Must Know

Q: How many regional jets might LATAM order?
A: Up to 30 aircraft, according to LATAM’s recent financial disclosures. The final number depends on manufacturer delivery timelines and route feasibility studies.

Q: Which models are being considered?
A: The Embraer E195-E2 and Airbus A220—both fuel-efficient, 120-150 seat jets designed for shorter regional routes.

Q: Why is LATAM shifting toward smaller planes?
A: Larger jets often fly half-empty on less-traveled routes, wasting fuel and revenue. Regional jets optimize costs while connecting smaller cities profitably.

Q: Will this lower ticket prices?
A: Likely. Efficient operations and expanded route networks typically increase competition and drive fares down, especially on regional corridors.

Q: How do these jets reduce emissions?
A: They burn 25% less fuel per seat than older narrow-bodies and comply with strict ICAO emissions standards, supporting LATAM’s sustainability goals.

Q: When will LATAM decide?
A: No deadline is set, but industry sources suggest a contract could be finalized by late 2024.