Volaris adjusts growth expectations in response to changes in the Donald Trump administration.

Rosarito Beach, BC - Volaris , the Mexican low-cost airline, announced an adjustment in its growth projections for 2025, going from 13-15% to 7-9%.

Enrique Beltranena, the company's CEO and director, explained that this decision responds to a slowing economic environment in Mexico and the United States, as well as operational challenges and changes in market demand.

First, Beltranena pointed out an economic slowdown in both countries , although not yet classified as a recession, this phenomenon impacted travel demand, especially on international routes between Mexico and the United States, where a reduction in traffic is observed, added to this are the immigration and tariff policies of the Trump government, which led to an adjustment in operational capacity: the airline will transfer part of its resources from cross-border routes to trunk routes in Mexico, focusing on resilient markets such as the visitors, friends and family (VFR) segment, historically less volatile.

Regarding the financial impact, Beltranena clarified that, while the first quarter of 2025 saw losses—a common occurrence in the market—the collapse in its stock price on the stock market reflects trends in the U.S. airline industry rather than Volaris' specific performance. "Our first quarter is always the lowest," Beltranena explained. The stock market situation doesn't necessarily reflect the company's value.

The airline is confident of a rebound during the summer, supported by an increase in bookings. Beltranena emphasized that VFR traffic typically recovers quickly, as occurred after previous events such as the pandemic or the Category 2 aviation crisis.

Among the operational challenges, the Pratt & Whitney engine issue stands out: 32 aircraft remain grounded for maintenance, a problem that will last two to three years. However, the company has a compensation agreement with the manufacturer, which mitigates the financial impact.

New route in Mexicali

During the 49th Tianguis Turistico (Tianguis Turistico), Volaris announced the inauguration of three new routes from Mexicali, the capital of Baja California, to Morelia, which will begin service in July. These routes complement Volaris' existing network in the city and are part of a plan to reinsert operational capacity in Mexicali, translating into more than 272 daily operations combined with Tijuana, offering 35 destinations in total from both cities. This growth is supported by an infrastructure investment exceeding $400 million, primarily allocated to the maintenance hangar in Baja California.