US targets Mexican flights, threatens Delta-Aeromexico alliance in trade dispute

The Trump administration on Saturday announced plans to take action against Mexico following the Mexican government’s move to cut flight slots and relocate cargo carriers from Mexico City’s main airport, steps that US officials say unfairly impact American airlines.

Transportation Secretary Sean Duffy warned that the US Department of Transportation may begin disapproving Mexican flight requests unless the country addresses concerns stemming from decisions made in 2022 and 2023.

In response to what it calls unfair treatment of US airlines, the US Department of Transportation (DOT) plans to impose stricter controls on Mexican flights and is considering terminating the antitrust immunity granted to the joint venture between Delta Air Lines and Aeromexico.

“By restricting slots and mandating that all-cargo operations move out of MEX, Mexico has broken its promise, disrupted the market, and left American businesses holding the bag for millions in increased costs,” Duffy said.

Duffy said Mexico’s decision to cut flight slots and force cargo airlines to relocate operations from the overcrowded Benito Juarez International Airport (MEX) to the more remote Felipe Angeles International Airport (AIFA) violates the bilateral air services agreement between the two countries.

He argued these actions favored Mexican carriers and placed US airlines at a disadvantage. “Joe Biden and Pete Buttigieg deliberately allowed Mexico to break our bilateral aviation agreement,” Duffy said, blaming the previous administration. “That ends today. America First means standing up for fair treatment of US airlines and workers.”

As part of the new measures, all Mexican airlines must now submit their US flight schedules for DOT approval. Charter flights to and from the US will also face tighter scrutiny.

The DOT also moved to revoke antitrust immunity for the Delta-Aeromexico joint venture, which has operated since 2016, enabling the two airlines to coordinate pricing, capacity, and schedules.

While Delta would retain its equity stake in Aeromexico, it would lose the ability to collaborate on revenue sharing and flight planning.
Delta and Aeromexico criticised the proposal, saying it would harm consumers and hurt both economies by reducing connectivity and tourism.

The airlines warned that ending the partnership could result in the loss of 23 routes, over USD 800 million in economic benefits, and discourage nearly 230,000 travelers from visiting the neighboring countries.

Aeromexico is reviewing the order and said it plans to issue a joint response with Delta in the coming days. The DOT’s decision to revoke approval would not take effect until October, giving the airlines time to contest it further.

The flight relocation controversy traces back to decisions made in 2022 and 2023 under then-President Andrs Manuel Lpez Obrador, who claimed the shift to AIFA was necessary to reduce congestion at MEX.

The DOT also signaled it could take similar action against European nations over airport access limitations, highlighting a broader push to defend US airline interests globally. Mexico’s government and President Claudia Sheinbaum have yet to respond to the new measures.

– Ends

With inputs from agencies

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