One of the biggest companies in Brazil (with 7 billion dollars earnings per year), Embraer produces low-cost, lighter small planes (with 50 seats or less), one of the most interesting markets of today's aviation, after paper planes and its variation, toilet paper planes.
Recently, the company was also responsible for kicking some butts at Bombardier, taking control over the small planes market. Bombardier, one of the biggest Canadian companies, answered with a bitter response, not lowering prices or building better planes, but turning Canada's gov't against Embraer and the whole of Brazil's importation.
Update: Canadian government also spread some FUD over Brazil's bovine meat, yelling it was contaminated, making lots of harm. There's no proof of contamination anywhere, and the warning was sent by Canada's international commerce dept, instead of the food and drugs dept, which makes a clear assumption that stating some problem with brazilian meat was in fact a way to get Embraer out of the business.