Trump Administration Ends Antitrust Protection for Delta–Aeromexico Alliance

The DOT said that despite earlier cautions, Mexico’s government has not taken steps to address anti-competitive practices. The department’s decision described Mexico as continuing “along a path of market intervention and distortion that adversely affects competition.” Per Bloomberg, U.S. officials argued that Delta and Aeromexico’s dominance on routes between the U.S. and Mexico City gives them an unfair edge, with “unacceptable actual and potential harm for stakeholders, including consumers.”

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Delta responded that terminating the partnership would harm U.S. workers and passengers, while Aeromexico said it “regretted” the decision, stressing that the alliance benefits both consumers and tourism. The two airlines indicated they are reviewing their options but confirmed they will maintain their existing code-sharing agreement.

Related: DOJ Backs Move to Strip Delta–Aeromexico Antitrust Protection

The development comes amid wider strains in U.S.-Mexico relations. According to Bloomberg, Mexico is under pressure as it balances U.S. tariff policies with its commercial ties to China. The DOT also noted that since 2022, Mexican authorities have acted outside a 2015 bilateral agreement by reallocating flight slots away from U.S. carriers and curbing cargo flights at Mexico City’s Benito Juarez International Airport, as part of efforts to shift traffic to a new airport outside the capital.

The end of antitrust protection means Delta and Aeromexico will have to operate their cross-border services independently starting in 2026.

Source: Bloomberg