US orders Delta and Aeromexico to dissolve their partnership over
fairness concerns in Mexico
[September 17, 2025] By
JOSH FUNK
U.S. Transportation Secretary Sean Duffy is following through on his
threat to force Delta and Aeromexico to dissolve their longtime
partnership because of his concerns that Mexico isn't being fair to U.S.
airlines.
Duffy announced Tuesday that the Transportation Department is revoking
the antitrust immunity the airlines have had since 2016 that allowed
them to price and schedule their flights jointly and share revenue. He
said it doesn't make sense to maintain that arrangement as long as
Mexico is giving its domestic airlines an unfair advantage through
limits it placed on passenger and cargo flights into Mexico City several
years ago.
This airline dispute is another front in the broader trade dispute that
has the two countries at odds over President Donald Trump's tariffs and
his concerns about border security. Duffy is focused on whether Mexico’s
actions to force airlines to move out of the main Benito Juarez
International Airport to the newer Felipe Angeles International Airport
more than 30 miles (48.28 kilometers) away violated a trade agreement
between the two countries and gave domestic airlines the advantage.
Before Mexico forced cargo airlines to start using Felipe Angeles in
2022, all the major international airlines had shunned the airport that
is so far from the center of Mexico City that is can take 2 1/2 hours to
drive to the terminal. At the same time, Mexico also cut some of the
slots available at Benito Juarez to allow for construction at the
airport that Duffy says still hasn't happened.
“Empty promises mean nothing. After years of taking advantage of the
U.S. and our carriers, we need to see definitive action by Mexico that
levels the playing field and restores fairness,” Duffy said.
Back when Duffy announced this threat in July, Mexican President Claudia
Sheinbaum said that the transfer of cargo operations from Mexico City’s
main airport to the new one was a technical decision and that any new
change should be based on technical criteria and prioritizing safety.
“There is no reason to impose any sanctions related to this matter,” she
said. According to her, Mexico’s decision was not a decision against any
U.S. airlines, but due to the need to relieve congestion at the
capital’s old airport, Benito Juárez.
She acknowledged that some U.S. companies complained when the change
happened, but she said that they adapted to the new situation.
The two airlines said they are disappointed in Duffy's decision, but
they haven't yet decided whether to challenge it. Delta and Aeromexico
have argued in regulatory filings that they shouldn't be punished for
the actions of the Mexican government and consumers and the economies of
both countries will be hurt by this.
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This photo combination shows an Aeromexico plane as it is prepared
for a flight from Renton Municipal Airport, in Renton, Wash., Nov.
18, 2020 and Delta Airlines employees waving flags at a Delta
Airlines terminal, Jan. 27, 2022, in Los Angeles. (AP Photo/Ted S.
Warren, Marcio Jose Sanchez)
 Mexico is the top foreign
destination for Americans with more than 40 million passengers
flying there last year. Delta and Aeromexico operated more than
30,000 flights between the United States and Mexico last year,
according to the aviation analytics firm Cirium.
Delta said this decision “will cause significant harm to U.S. jobs,
communities and consumers traveling between the U.S. and Mexico.”
Aeromexico said this “overlooks the benefits that the alliance has
brought to connectivity, tourism, and consumers in Mexico.”
The two airlines will continue to cooperate but won't be able to
work together as closely. They said in regulatory filings that they
believe the loss of direct flights would prompt over 140,000
American tourists and nearly 90,000 Mexican tourists not to visit
the other country and hurt the economies of both countries with the
loss of their spending.
Delta and Aeromexico said their alliance hasn't kept other airlines
from competing even as they grew their business. Competing airlines
Viva and Volaris both expanded their operations at Benito Juarez
airport after Interjet went out of business during the pandemic,
although Aeromexico also grabbed half that airline's slots and
expanded in Mexico City.
Duffy's order would take effect in January. Until then, there won't
be any changes to flights or loyalty programs at the airlines.
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