The aerospace behemoth The Boeing Co. BA and its Brazilian peer Embraer SA ERJ have teamed up to boost the environmental performance of the aviation industry through the ecoDemonstrator program.
Under a Memorandum of Understanding signed between the two aerospace majors at the Brazil-U.S. Business Summit organized by the Brazil-U.S. Business Council, the companies will join forces to test environment-focused technologies. These include reduction of carbon emissions and noise from airplanes. They intend to conduct ecoDemonstrator tests on an Embraer airplane in 2016.
Launched in 2011, Boeing’s ecoDemonstrator Program aims to expedite testing and use of new technologies to cut fuel use, carbon emissions and noise. So far, the ecoDemonstrator Program has tested more than 50 technologies with a Next-Generation 737, 787 and 757.
Recently, Boeing’s ecoDemonstrator 757 completed its first flight using a blend of petroleum jet fuel and sustainable green diesel. Green diesel aims to reduce CO2 emissions by 80% compared to petroleum. Moreover, the ecoDemonstrator aircraft used over 15 different technologies to reduce aircraft weight, wiring, and fuel usage in order to reduce carbon emission (read more: Boeing ecoDemonstrator 757 Flies Cross Country on Green Diesel).
The ecoDemonstrator teamwork between Boeing and Embraer began in 2012 to enhance runway safety and support Embraer's KC-390 defense aircraft program. This year the two companies have even opened a joint biofuel research center in São José dos Campos, Brazil, to execute and coordinate biofuel research with Brazilian universities and other institutions.
Boeing has in the past carried out various technological upgrades. The new winglet and "bug-phobic" wing coatings can perk up aerodynamic efficiency, while software applications can improve in-flight efficiency. Boeing has also experimented on new types of sustainable aviation biofuel. On the other hand, Embraer has integrated environmental nuts and bolts into product development through its Environmentally Sustainable Products Program.
Currently, Boeing and Embraer hold a Zacks Rank #2 (Buy) and a Zacks Rank #3 (Hold), respectively. Lockheed Martin Corp. LMT and Northrop Grumman Corp. NOC are also worth considering carrying the same Zacks rank as Boeing.
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