The U.S. Department of Transportation has escalated its dispute with Mexico, revoking approval for 13 key routes operated by Mexican carriers, canceling all passenger and cargo flights from Mexico City’s Felipe Angeles Airport to the U.S., and freezing growth for ‘belly cargo’ services from Benito Juarez International Airport. These stringent measures, announced by Transportation Secretary Sean Duffy, are a direct response to Mexico’s alleged three-year breach of a bilateral aviation agreement and persistent anti-competitive behavior, impacting major airlines like Aeromexico, Volaris, and Viva Aerobus.
In a significant move impacting international air travel, the U.S. Department of Transportation (DOT) announced on Tuesday, October 28, 2025, that it has revoked approval for 13 current or planned routes by Mexican carriers into the United States. This action is part of a broader crackdown on what the U.S. describes as Mexico’s “blatant disregard” of the 2015 U.S.-Mexico Air Transport Agreement and its “ongoing anti-competitive behavior.”
Transportation Secretary Sean Duffy, a key figure in this administration’s “America First” policy, explicitly stated that Mexico had “illegally canceled and froze U.S. carrier flights for three years without consequences.” He emphasized the administration’s commitment to holding international partners accountable, warning, “No country should be able to take advantage of our carriers, our market, and our flyers without repercussions.”
The Genesis of the Dispute: Mexico’s Non-Compliance
The roots of the current conflict trace back to 2022. According to the U.S. DOT, Mexico ceased to be in compliance with the bilateral aviation agreement established in 2015 when it abruptly rescinded slots for U.S. passenger carriers at Benito Juarez International Airport (MEX), Mexico City’s primary airport. This move affected major U.S. airlines including American, Delta, and United, alongside Mexican carriers Aeromexico, Viva Aerobus, and Volaris.
In 2023, the situation escalated further when Mexico unilaterally forced all U.S. all-cargo carriers to relocate their operations out of MEX with only 108 business days’ notice. Mexico’s stated pretense for these actions was to alleviate congestion and facilitate construction at MEX, but U.S. officials assert that these promised improvements have yet to materialize three years later. The DOT contends that these restrictions have “disrupted the market” and imposed “millions in increased costs” on American businesses, as reported by the U.S. Department of Transportation.
Comprehensive Measures: Routes, Cargo, and Joint Ventures
Secretary Duffy’s order outlines a series of impactful measures designed to address Mexico’s non-compliance:
- Route Revocations: Approval for 13 specific routes operated by Mexican carriers into the U.S. has been revoked.
- Felipe Angeles Airport (AIFA) Restrictions: All combined passenger and cargo flights by Mexican airlines to the United States from Mexico City’s newer Felipe Angeles International Airport are canceled.
- Benito Juarez ‘Belly Cargo’ Freeze: The growth of Mexican carriers’ combined passenger and cargo services – commonly known as “belly cargo” (cargo transported in the holds of passenger aircraft) – between the United States and Benito Juarez International Airport (MEX) is frozen.
- Proposed Belly Cargo Prohibition: Duffy is also proposing to entirely prohibit Mexican passenger airlines from transporting belly cargo between Juarez and the United States. This measure would take effect in approximately three months if finalized.
The disapproved flights include crucial routes:
- Aeromexico: Service between Mexico City Juarez and San Juan; current service between Felipe Angeles and Houston and McAllen, Texas.
- Volaris: Service between Juarez and Newark, New Jersey.
- Viva Aerobus: Proposed services between Felipe Angeles and Austin, New York, Chicago, Dallas, Denver, Houston, Los Angeles, Miami, and Orlando.
Unwinding Antitrust Immunity: Delta and Aeromexico Joint Venture
Beyond direct route and cargo restrictions, the DOT is also targeting existing commercial agreements. Last month, the transportation department ordered Delta Air Lines and Aeromexico to unwind their joint venture. This partnership allowed the carriers to coordinate scheduling, pricing, and capacity for U.S.-Mexico flights, but the DOT cited “ongoing anticompetitive effects in U.S.-Mexico city markets” that provided an “unfair advantage” to the two airlines.
The department initiated a supplemental show cause order proposing the withdrawal of the Delta/Aeromexico joint venture’s antitrust immunity (ATI). ATI is an extraordinary authority that enables common pricing and revenue sharing. While Delta and Aeromexico would still be able to continue “arms-length activities” such as code-sharing and frequent flyer programs, the withdrawal of ATI would force them to discontinue deeper cooperation in pricing and capacity management, as detailed by Reuters.
The “America First” Stance and Broader Implications
Secretary Duffy underscored the U.S. administration’s firm stance, stating, “Until Mexico stops the games and honors its commitments, we will continue to hold them accountable.” This action serves as a strong signal, particularly after Duffy warned European governments last month against imposing unilateral restrictions on transatlantic travel. The DOT is committed to enforcing international agreements to ensure aviation markets remain fair and pro-competitive.
The U.S. DOT also confirmed that Mexico’s continued non-compliance “may impact travel plans for American citizens,” advising passengers to contact their carriers for re-accommodation information. This aggressive enforcement posture highlights a commitment to protecting U.S. carriers and market interests, setting a precedent for how the U.S. intends to address perceived breaches of international agreements in the future.
