DOT Leaves Airlines Frustrated, Ends Delta–Aeromexico JV

The US Department of Transportation (DOT), under the Trump administration, has issued an order requiring Delta Air Lines and Aeromexico to terminate their nearly 10-year joint venture by January 1, 2026.

The partnership allowed the two carriers to coordinate flight schedules, pricing, and capacity for US-Mexico routes.

The announcement follows US Transportation Secretary Sean P. Duffy's declaration of new "America First" aviation restrictions targeting Mexican carriers.

The DOT cited breaches of the 2015 US–Mexico Air Transport Agreement, including Delta and Aeromexico’s unfair competitive edge. One concern included Mexico City's Benito Juárez International Airport slot allocation policies favoring Aeromexico.

Notably, the order does not require Delta to divest its 20 percent equity stake in Aeromexico.

The joint venture was established in 2016 and significantly increased cross-border service. Aeromexico planned a 33 percent increase in seats on the US routes in 2025 compared to 2019, while Delta was also set to increase Mexico flights by about 17 percent over six years.

Both airlines expressed disappointment with the order, highlighting the harm to US jobs, communities, and travelers.

Photo by David Syphers on Unsplash