U.S. threatens Mexican airline flights over cargo, competition issues

The Trump medication said connected Saturday it is taking a bid of actions against Mexico implicit the Mexican government's decisions to rescind immoderate formation slots for U.S. carriers and unit U.S. cargo carriers to relocate operations successful Mexico City.

U.S. Transportation Secretary Sean Duffy said successful a connection the section could disapprove formation requests from Mexico if the authorities fails to code U.S. concerns implicit decisions made successful 2022 and 2023. The section is besides proposing to retreat antitrust immunity from the Delta Air Lines associated task with Aeromexico to code competitory issues successful the market.

Mexico is the astir fashionable planetary destination among U.S. hose travelers.

Delta said if the U.S. Department of Transportation withdraws approval, it "would origin important harm to consumers traveling betwixt the U.S. and Mexico, arsenic good arsenic U.S. jobs, communities, and transborder competition."

The Transportation Department said Mexico has not been successful compliance with a bilateral aerial statement since 2022 erstwhile it abruptly rescinded slots and past forced U.S. all-cargo carriers to relocate operations successful 2023.

Mexico's Transport Ministry and large Mexican airlines, including Aeromexico, could not beryllium instantly reached for comment.

Duffy said Mexico was expected to implicit operation to alleviate congestion  at Mexico City's Benito Juarez International Airport (MEX), but that has yet to materialize 3 years later.

"By restricting slots and mandating that all-cargo operations determination retired of MEX, Mexico has breached its promise, disrupted the market, and near American businesses holding the container for millions successful accrued costs," the section said.

The USDOT besides said it could instrumentality enactment against European countries implicit limitations astatine airports. "We are monitoring European States to guarantee that they use the Balanced Approach process for sound abatement astatine their airports and bash not instrumentality unjustified operational restrictions," the section said.

The Transportation Department issued a brace of orders requiring Mexican airlines to record schedules with the section for each their U.S. operations by July 29 and requiring anterior U.S. support earlier operating immoderate ample rider oregon cargo craft charter flights to oregon from the United States.

"Mexico has altered the playing tract importantly for airlines successful ways that trim contention and let predominant competitors to summation an unfair vantage successful the U.S.-Mexico market," the section said. "Mexico's actions harm airlines seeking to participate the market, existing rival airlines, consumers of aerial question and products relying connected time-sensitive aerial cargo shipments traded betwixt the 2 countries, and different stakeholders successful the American economy."

If the U.S. rescinds antitrust support for Delta and Aeromexico, they would beryllium required to discontinue practice connected communal pricing, capableness management, and gross sharing, but Delta would besides beryllium capable to clasp its equity involvement successful Aeromexico, support each of its existing flying successful the U.S.-Mexico marketplace unimpeded and proceed a partnership.