Federal regulators dealt Delta and Aeromexico a serious blow Monday with an order to unwind their joint venture – a final resolution that could force both carriers to cut back on some flights across the border.
The Wednesday evening order from the Department of Transportation would require Delta and Aeromexico to scale back their close partnership by Jan. 1, 2026. Federal regulators argued the Mexican government has violated international aviation agreements by squatting on prized slots in Mexico City (MEX) to shut out competitors – and give Aeromexico and Delta an unfair edge.
It appears to be a final conclusion to a months-long saga between two of North America's largest carriers and the federal government. While their joint venture dates back nearly a decade, the Biden administration first put it on the chopping block last year before handing it off to the Trump administration in 2025.
In a statement, Delta said it was “disappointed that the Department of Transportation has chosen to terminate its approval of the strategic (and pro-competitive) partnership between Delta and Aeromexico, a decision that will cause significant harm to U.S. jobs, communities and consumers traveling between the U.S. and Mexico.”
“We are reviewing the Department’s order and considering next steps,” the airline concluded.
Their cooperation wouldn't completely end – they'd still be partners through the SkyTeam alliance with codeshares, allowing travelers to seamlessly book the other carrier's flights, including with miles. Plus, Delta owns a sizable stake in Aeromexico.
But joint ventures are the closest relationship airlines can forge, allowing them to coordinate on both schedules and price – essentially, allowing them to act as one airline. They're most obvious flying across the Atlantic Ocean, where all three major U.S. airlines have formed substantial joint ventures with foreign partners like British Airways, Air France/KLM, and Lufthansa.
Those close relationships are often a linch pin for carriers adding additional flights to and from each other's hubs. And that's exactly what Delta and Aeromexico have done.
The two carriers have added nearly 20 new nonstop routes across the border over the last decade alone – including 10 alone flying in and out of Mexico City, according to scheduling data from the aviation analytics company Cirium. That includes relatively recent Delta additions like nonstops from Minneapolis-St. Paul (MSP) and Los Angeles (LAX) to Mexico City and a trio of routes across the southern border from Seattle (SEA). Aeromexico has expanded even more rapidly, including more than a dozen new routes added just last year.
Delta and Aeromexico previously warned that “up to two dozen routes could be canceled” if their joint venture was shut down. For now, Delta said Monday that all flights “will continue to operate as normal, unless otherwise contacted by Delta.”
Bottom Line
The Department of Transportation has ordered Delta and Aeromexico to shut down their joint venture come 2026, a move that could have major ramifications for where both carriers fly in the years to come.
