US Court Suspends DOT Order Ending Delta-Aeroméxico Alliance

The US Court of Appeals for the Eleventh Circuit in Atlanta has temporarily halted a government order requiring Delta Air Lines and Aeroméxico to dissolve their cross-border joint venture. The ruling suspends the directive from the Department of Transportation (DOT) while its legality is reviewed. 

The decision to end the joint venture was made by the DOT in September 2025. At the time, the action was deemed necessary because of “ongoing anticompetitive effects in US-Mexico City markets that provide an unfair advantage to Delta and Aeroméxico as two predominant competitors and create unacceptable actual and potential harm for stakeholders, including consumers,” said the DOT. Both airlines argued that their alliance has delivered measurable benefits in connectivity and market efficiency.

The September decision would revoke the antitrust immunity granted in 2016 to the Delta-Aeroméxico partnership. The agency argued that competitive conditions between the two countries had deteriorated following regulatory changes in Mexico, including the relocation of cargo operations to Felipe Ángeles International Airport (AIFA) and the reassignment of time slots at Mexico City International Airport (AICM).

According to the DOT, these measures negatively affected US carriers and disrupted the balance established under the 2015 US–Mexico Air Transport Agreement. The agency stated that Mexico had unilaterally restricted the volume, frequency, and regularity of air services, reducing fair competition in the bilateral market. The US government also recalled that Mexico’s now-defunct Federal Economic Competition Commission (COFECE) had previously warned about opaque slot allocation practices that allegedly favored Aeroméxico.

On Oct. 10, 2025, Delta and Aeroméxico appealed the DOT’s resolution before the Eleventh Circuit Court, claiming that the measure disregarded the benefits the joint venture provided for passengers, tourism, and overall air connectivity. Aeroméxico filed a motion on Oct. 24 requesting a temporary suspension of the order, which was granted on Nov. 12, 2025. The stay allows both carriers to maintain their collaboration while the court examines their legal arguments.

Bloomberg reported that the joint venture enables both companies to coordinate flight scheduling, pricing, and capacity on routes between the United States and Mexico. It also includes reciprocal frequent-flyer benefits and code-sharing agreements. Aeroméxico said in an official release that these mechanisms remain fully operational, ensuring continued service and benefits for customers.

Mexican President Claudia Sheinbaum questioned the DOT’s decision during a Sept. 22 press conference, asserting that Mexico had addressed all technical observations raised by US authorities. She stated that international airlines operating in Mexico had not reported disruptions resulting from the transfer of cargo operations to AIFA and that companies had expressed written support for the measure.

Sheinbaum added that her administration is in communication with Aeroméxico to assess any potential impact on employment, emphasizing the protection of Mexican pilots and the preservation of the company’s competitiveness. She indicated that the Ministry of Infrastructure, Communications, and Transport (SICT) would issue a statement outlining Mexico’s official position on the matter.

The DOT argued that the termination of antitrust immunity was necessary to restore balanced market conditions between the two countries. The department explained that the review of the Delta-Aeroméxico authorization had been delayed since 2020 and that regulatory changes implemented by Mexico since 2022 had worsened competitive disparities.