The US says it will revoke permits for the Aeroméxico-Delta alliance.

The U.S. Department of Transportation (DOT) has preliminarily decided to end the antitrust immunity granted to the Aeroméxico-Delta alliance (granted in 2016) on October 25th, citing changes in market conditions and the fact that Mexico has failed to comply with the current bilateral air travel agreement.

Such an action would also negatively impact the similar agreement sought by low-cost airlines Viva (VivaAerobus) and Allegiant starting in December 2021.

Currently, this immunity allows the two companies to coordinate schedules and prices, as well as share revenue and profits on flights between the two countries.

On Saturday, after the decision was announced, Aeroméxico announced: "Today, the U.S. Department of Transportation (DOT) issued a supplemental order proposing to remove antitrust immunity from the Joint Collaboration Agreement (JCA) between Aeroméxico and Delta Air Lines. We are currently reviewing the order and intend to submit a joint response with Delta in the coming days."

Following the preliminary decision, interested parties have a maximum of 14 calendar days to submit their objections, which must be responded to within the following business days.

In its 2024 activity report, Aeroméxico explained that the alliance with Delta has helped adopt international best practices in a wide range of areas, including revenue management, network scheduling, supply chains, and fleet management.

"Since our JCA went into effect in 2017, we have transported approximately 54 million passengers and operated approximately 420,000 flights covering approximately 610 million miles between Mexico and the United States via 77 non-overlapping routes," he explained.

Among the DOT's arguments is the slow growth in seat supply between the two countries relative to their competitors in that market.

According to their analysis, in 2024 alone, one year after Mexico returned to Category 1 status, the alliance achieved greater growth, 15% compared to its competitors' 13%, as a result of its flights to Raleigh/Durham, Tampa, and Washington-Dulles in the second half of the year.

Additionally, it was explained that the U.S. Congress has mentioned various elements that the DOT must consider when granting antitrust immunity to any alliance, including strengthening the competitive position of local airlines to, at the very least, ensure equality with foreign airlines, including the possibility of maintaining and increasing their profitability in international air transport.

Prior to the DOT's announcement, Aeroméxico had already anticipated this and is clear that "Delta will continue to be one of our company's largest shareholders. Additionally, we believe that our agreements with Delta regarding codeshare, loyalty and reciprocity programs, shared use of our premier lounges, and other synergies, including fuel procurement, will remain in effect.

Meanwhile, Viva's potential alliance with Allegiant remains pending.