ATLANTA- Delta Air Lines (DL) has filed a petition in the US Court of Appeals for the Eleventh Circuit, seeking judicial review of a Department of Transportation (DOT) decision that revoked its antitrust immunity with Aeromexico (AM).
The case centers on the Delta and Aeromexico’s transborder joint venture, which coordinates flights between the United States and Mexico.
The DOT’s order, signed by Transportation Secretary Sean Duffy, requires Delta and Aeromexico to dissolve their partnership by January 1, 2026, citing Mexico’s restrictions on US carriers’ access to Mexico City International Airport (MEX).
Delta argues that the order threatens competition, customer choice, and cross-border connectivity.
Delta and Aeromexico’s Joint Venture Loss
The joint venture between Delta Air Lines and Aeromexico, launched in 2017, allowed both carriers to coordinate flight schedules, pricing, and shared routes under antitrust immunity, a legal framework that permits such cooperation when it benefits consumers through efficiency and network integration.
However, the DOT determined that the alliance no longer meets competitive standards due to Mexico’s handling of airport slot allocations.
The US government claims that Benito Juárez International Airport (MEX), Mexico City’s main gateway, has restricted landing and takeoff rights for foreign airlines, disproportionately favoring Aeromexico.
According to PYOK, Aeromexico controls most available slots at MEX, while other airlines are directed to use Felipe Ángeles International Airport (NLU), a newer facility located farther from the city center.
Mexican officials assert that Benito Juárez Airport needs major renovations, justifying temporary slot restrictions, but US authorities counter that no substantial construction has begun.
DOT’s Decision and Response
In his final order, Secretary Duffy stated that Mexico’s slot restrictions “grant Aeromexico a structural advantage” and reduce competition in transborder air service.
The DOT concluded that while Mexico promised to return confiscated slots and form a new regulator to manage airport access, those steps did not sufficiently address fairness or transparency concerns.
The U.S. government maintains that these unresolved issues prevent equal market access for US carriers such as Delta, American Airlines (AA), and United Airlines (UA).
Officials believe that the Mexican government’s management of MEX slots undermines open-skies principles designed to ensure fair opportunities for both nations’ airlines.
Delta’s Legal Position
Delta’s court filing seeks to overturn or modify the DOT’s ruling, emphasizing that the alliance has enhanced connectivity and lowered fares for millions of passengers traveling between the US and Mexico.
The airline described the petition as a necessary step to safeguard its investment, operational planning, and customer network.
A Delta spokesperson stated, “The decision to petition for review is not taken lightly but represents the only procedural option available to protect Delta’s and Aeromexico’s shared interests, route networks, and customers.”
The carrier further argued that unwinding the alliance by the DOT’s deadline would be both financially and operationally burdensome.
Delta owns a 20% non-controlling stake in Aeromexico, which remains a privately held company after emerging from Chapter 11 bankruptcy in 2022.
Since 2007, the Mexican government has held no ownership stake in Aeromexico.
Impact on US–Mexico Air Travel
The outcome of this case could redefine how US airlines form international partnerships. If the Eleventh Circuit upholds the DOT’s decision, it could set a precedent limiting joint ventures where one government’s airport policies restrict fair competition.
Industry experts note that the Delta–Aeromexico partnership has been instrumental in expanding direct routes between major US hubs like Atlanta (ATL), Los Angeles (LAX), and New York (JFK) to Mexican destinations such as Mexico City (MEX), Monterrey (MTY), and Cancún (CUN).
The dissolution could lead to reduced flight frequency and higher fares for travelers on these routes.
Conclusion
The Delta–Aeromexico dispute underscores growing tension between aviation partnerships and regulatory oversight.
While both airlines advocate for integration to enhance consumer benefits, the US government emphasizes equal access and market fairness.
The Eleventh Circuit’s decision will ultimately determine whether the alliance can survive under current competitive and political conditions.
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