First Aircraft Designed and Manufactured in Mexico by Oaxaca Aerospace to Launch in 2026

by | May 4, 2025 | FDI Latin America

Introduction: A Milestone in Mexican Aerospace Engineering

In a historic leap for Mexico’s aerospace industry, Oaxaca Aerospace has announced that it will begin production of the Pegasus PE-210A aircraft in 2026. This milestone marks the first time a fully designed and manufactured aircraft in Mexico will enter the commercial market. The announcement was made at the 2025 Mexico Aerospace Fair (FAMEX) at the Santa Lucía Air Force Base near Mexico City, underscoring the country’s growing commitment to developing its domestic aerospace capabilities.

The PE-210A represents a significant achievement for the company, a family-owned operation based in southern Mexico, and for the broader goal of technological independence and industrial innovation within the nation. After 14 years of rigorous design and testing and an investment of nearly $30 million, Oaxaca Aerospace is ready to bring a Mexican-made aircraft to the skies.

Technical Specifications of the Pegasus PE-210A

The Pegasus PE-210A is a two-seat, tandem-cockpit aircraft designed for various tactical, training, and civilian purposes. Its key specifications include:

  • Range: 1,600 kilometers
  • Endurance: Up to 5 hours of flight time
  • Top speed: 210 knots
  • Configuration: Tandem cockpit, suitable for pilot training
  • Mission versatility: Capable of performing surveillance, search and rescue, and recreational aviation tasks

These characteristics make the aircraft ideal for military and civilian operators, especially in regions where cost-effective aviation solutions are in high demand.

Production Timeline and Strategy

According to Raúl Fernández, president of Oaxaca Aerospace, the company aims to begin production within the next year. Initial manufacturing will be tailored to market demand, with five or six units projected in the first batch. Over time, the company’s production capacity could ramp up to 52 aircraft per year at its facility in the state of Oaxaca.

The production facility, already operational, represents one of the few fully integrated aerospace manufacturing sites in southern Mexico. The company’s small but skilled workforce of 25 employees manages the entire design-to-production process, emphasizing local expertise and efficiency.

Partnerships with Leading Institutions

The development of the PE-210A was made possible through collaboration with several prestigious institutions, both domestic and international. These include:

  • National Polytechnic Institute (IPN)
  • Aeronautical University in Querétaro (UNAQ)
  • Polytechnic University of Madrid
  • National Institute for Aviation Research (NIAR), USA

These partnerships provided the technical and research backing needed to achieve international safety and performance standards, enhancing the aircraft’s viability for global markets.

Competitive Advantage: Affordability and Efficiency

One of Oaxaca Aerospace’s most significant advantages is its pricing model. The PE-210A is expected to retail for around $3 million, just 30% of the cost of competing models like the Texan II, which is priced at approximately $10 million. This drastic cost reduction could make the aircraft appealing to developing nations or institutions with limited defense and training budgets.

According to Raúl Fernández, this price point positions the PE-210A as a compelling alternative in a market where affordability and operational simplicity are often key decision-making factors. With low acquisition and maintenance costs, the aircraft can potentially disrupt segments of the light aircraft market traditionally dominated by high-cost options from North America and Europe.

Looking Ahead: The Pegasus P-400T and Future Innovations

In addition to the PE-210A, Oaxaca Aerospace is developing a second, more advanced prototype: the Pegasus P-400T. Designed for light attack missions and advanced tactical applications, the P-400T will feature:

  • A more powerful engine rated at 600 horsepower
  • Reinforced, retractable landing gear
  • Advanced Garmin G1000 avionics suite
  • Compatibility with light weaponry based on mission requirements
  • Potential for future integration with emerging fuel technologies such as hydrogen propulsion

Rodrigo Fernández, general manager of Oaxaca Aerospace, emphasized that the P-400T could offer similar mission profiles to the Texan II but at a fraction of the acquisition and operational costs. This future model is being developed with adaptability in mind, particularly for countries seeking versatile, modern aircraft with low operating expenses.

Target Markets: Emerging Economies Across the Globe

Oaxaca Aerospace sees significant commercial opportunities in emerging markets across Latin America, Africa, and Asia. Used or outdated aircraft dominate many regions, and access to new, reliable, and affordable aircraft is limited. By offering a modern solution that combines cutting-edge technology with low maintenance and operational costs, the PE-210A and future P-400T models could fill a critical gap.

The company estimates it could capture 1% of the global light aircraft market, which translates to approximately 50 aircraft per year, aligning well with its projected manufacturing capabilities. Manuel Pérez Cárdenas, executive advisor to the president of the Business Coordinating Council (CCE), supported this projection, believing the company is well-positioned to meet this goal.

‘Made in Mexico’ and the Government’s Strategic Vision

Oaxaca Aerospace’s success is also tied to a broader national effort to promote the ‘Made in Mexico’ label, particularly in high-tech sectors like aerospace. The company plans to register its aircraft under this designation, aligning with the federal government’s ‘Mexico Plan,’ a strategy to reduce import dependency and strengthen domestic industries amid global trade tensions.

President Claudia Sheinbaum underscored the importance of the aerospace industry during the FAMEX 2025 inauguration. She highlighted projections that the sector could grow by 15% annually, potentially doubling its market size from $11.2 billion today to $22.7 billion by 2029. According to the Mexican Federation of the Aerospace Industry (FEMIA), Mexico currently ranks among the top five countries for foreign investment in aerospace. It is the twelfth-largest exporter of aerospace components worldwide.

A Symbol of Innovation and National Pride

The launch of the PE-210A is more than just a commercial milestone—it is a symbol of Mexico’s technological progress and industrial self-reliance. Oaxaca Aerospace demonstrates that innovation can flourish beyond traditional manufacturing centers by producing an aircraft that meets international standards and addresses real-world aviation needs.

As the company prepares to enter the global market, its story resonates as a powerful example of how determination, investment in education, and cross-border collaboration can elevate a domestic enterprise into a world-class manufacturer. With its eyes set on delivering accessible and adaptable aircraft to countries in need, Oaxaca Aerospace may soon establish itself as a key player in the global aerospace industry.