Next in the line of successful CASA transport aircraft, the C-295 is a Spanish-only development of the earlier CN-235 (co-produced by Indonesia). Though superficially almost identical to its predecessor, it is in fact a vastly different aircraft incorporating a stretched fuselage, updated avionics, and new Pratt & Whitney engines which give it superior performance figures. Otherwise it follows the standard rear-loading high-wing cantilever configuration of the majority of modern transports with the additional functionality of being able to operate from short runways. The C-295 has already found export success with a number of countries, notably Poland, Algeria, Brazil, Finland, Jordan, Poland, Portugal, Switzerland, and the UAE. It is also in service with the US Coast Guard and a very strong competitor for the joint US Army and USAF JCT (Joint Cargo Aircraft) program.

The C-295 was initially announced in June 1997 at the Paris Air Show and made its maiden flight the folowing year entering service in Spain in November 2001. No other designations have been applied although the C-295 is also designed for anti-submarine warfare and maritime patrol (as the C-295 Persuader). As is customary with Spanish transports, the M suffix is used for military versions.