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The USDOT announced regulatory measures that could potentially end the cross-border joint of Delta-Aeroméxico.
A dispute between the United States Department of Transportation (USDOT) and Mexico has escalated in recent days. The conflict involves allegations that Mexico has violated the Open Skies agreement signed in 2015. In response, the USDOT announced possible regulatory measures that could restrict access for Mexican airlines to the U.S. market, potentially ending the cross-border joint venture Delta-Aeroméxico.
According to a statement from the USDOT, Mexico has been in breach of the bilateral agreement since 2022, when it abruptly rescinded time slots and forced U.S. cargo carriers to relocate their operations. “By restricting slots and forcing cargo carriers to move their operations out of MEX, Mexico has broken its promise, disrupted the market, and left U.S. companies stranded with skyrocketing costs,” declared the Department of Transportation.
Dispute between the USDOT and Mexico’s airport operations
On July 19, Duffy announced a series of America First actions to counter Mexico’s behavior. Among the announced measures, the USDOT issued three key orders:
- A requirement for Mexican airlines to provide information about their current operations to the U.S., to assess compliance with applicable laws.
- A mandate to obtain prior approval for passenger or cargo charter flights to U.S. territory.
- An update to the “show cause” order issued in January 2024, which proposes terminating antitrust immunity for the Delta-Aeroméxico alliance.
The dispute has its origins in the prior administrations of President Joe Biden and former Mexican President Andrés Manuel López Obrador. In 2023, the former Mexican president ordered the relocation of cargo operations from MEX airport to Felipe Ángeles International Airport (NLU), located about 50 km from Mexico City’s center. This measure impacted carriers such as FedEx and UPS and followed a gradual reduction in the number of operations per hour at MEX—from 61 to only 43 between 2022 and 2024.
According to the USDOT, these restrictions were applied “under the pretext of operational limitations” without any visible physical changes to the airport’s infrastructure. Furthermore, the United States argues that Mexico has not restored the rights guaranteed to U.S. cargo carriers under the bilateral agreement.
The DOT also warned that Mexican airlines must submit a detailed report on their cross-border flights by July 29, including aircraft types, frequencies, and schedules, to determine whether any operation violates U.S. law or harms the public interest.
Delta-Aeroméxico: an alliance at risk
One of the most significant effects is the future of the Delta-Aeroméxico joint venture (JV), launched in 2017 with antitrust immunity and currently accounting for 21.8% of the air capacity between Mexico and the U.S. According to data from CAPA, the alliance surpasses American Airlines (19.8%) and United Airlines (15.2%) in market share.
Although the USDOT has provisionally determined that the JV should end, it clarified that only the antitrust immunity would be withdrawn, encouraging both airlines to continue their commercial cooperation through arrangements such as codeshare agreements and loyalty programs. Delta, in an initial response, expressed concern, stating that ending the alliance could significantly harm passengers traveling between the U.S. and Mexico.
This escalation marks a new chapter in a bilateral dispute that has spanned multiple administrations and could redefine the landscape of air connectivity between the two countries. “Let these actions serve as a warning to any country that thinks it can take advantage of the United States,” the USDOT stated in its July 19 announcement.
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