Trade War Shifts E-Commerce Routes: Aerospace Week

This week in aerospace news, the US-China trade war disrupts e-commerce shipments, boosting Latin America, especially Mexico. JetBlue explores a partnership with United, while Amazon advances its satellite internet initiative with 27 Kuiper satellites. Meanwhile, Volaris reports financial losses, and FAMEX 2025 highlights Mexico’s expanding aerospace sector.

Get ready for takeoff—this is the week in aerospace!

US-China Trade War Halves E-Commerce Shipments, Boosts LatAm

The ongoing US-China trade conflict has sharply reduced e-commerce shipments from China to the United States, redirecting significant airfreight capacity to Mexico and other parts of Latin America. According to global freight forwarder Dimerco Express, e-commerce shipment volumes from China to the United States have declined by approximately 50% since mid-April compared to the same period last year.

JetBlue Eyes United Partnership After NEA, Spirit Setbacks

JetBlue is in negotiations for a new partnership with United Airlines, according to three industry sources. The potential alliance, expected to be announced this quarter, marks a strategic shift for JetBlue following the collapse of its Northeast Alliance (NEA) with American Airlines and the blocked acquisition of Spirit Airlines.

Amazon Launches 27 Kuiper Sats, Rivals Starlink’s Internet Plan

Amazon launched 27 satellites from its Project Kuiper on Apr. 27 via an Atlas V rocket from Cape Canaveral Space Force Station in Florida. This milestone advances the creation of a planned constellation of 3,236 satellites designed to deliver global broadband internet, particularly to remote and underserved regions.

Volaris Shares Drop 12%, Hit 5-Year Low on MX$51 Million Net Loss

Volaris shares dropped 12% on the Mexican Stock Exchange (BMV) to MX$8.08, marking their lowest level in five years since the COVID-19 pandemic. The airline reported a net loss of MX$51 million for the first quarter 2025, a stark contrast to the MX$33 million net income it recorded during the same period last year.

Aviation Groups Urge Trump for Tariff Relief Amid Sector Strains

A coalition of 15 aviation groups has met with President Trump and senior administration officials to request a tariff exemption for the sector. Industry representatives are calling for the reinstatement of the 1979 Civil Aircraft Agreement, which once supported a US$75 billion annual US trade surplus in aviation.

Ebrard Unveils R&D Plans to Grow Mexico's Aerospace Industry

Marcelo Ebrard, Mexico’s Minister of Economy, announced plans to boost investment in research and development within the country’s aerospace sector during FAMEX 2025. He emphasized the industry’s vital role in creating high-quality jobs and fostering national economic growth.

Airlines Cut Fares as Tariffs, Uncertainty Lower Travel Demand

Airlines are cutting ticket prices as demand weakens amid growing economic uncertainty, partly fueled by concerns over tariffs. Travel is falling lower on consumers’ priority lists, while companies are scaling back corporate travel as part of broader cost-saving measures.

FAMEX 2025 Draws 48 Nations, Highlights Aerospace Innovation

The sixth edition of the Mexico Aerospace Fair (FAMEX 2025) wrapped up on Apr.26 at Santa Lucía Air Base, drawing hundreds of attendees for four days of exhibitions and events. The fair featured 337 companies and 150 organizations from 48 countries, including the United States and Brazil, showcasing the latest technological advancements and fostering international collaboration.

Boeing 737 MAX Returns from China Amid Rising Trade Tensions

A Boeing 737 MAX aircraft, originally destined for delivery to China’s Xiamen Airlines, has been returned to the United States from Zhoushan—an action seen as indicative of rising trade tensions between the United States and China.

Thrusters Unlimited, Orbital Engenharia Launch Orbital Thrusters

Thrusters Unlimited and Orbital Engenharia announced the creation of Orbital Thrusters, a strategic alliance aimed at the development of aerospace systems for civil and defense applications in Latin America.