Trump administration orders Delta, Aeromexico to end joint venture by January 1

The Trump administration said late on Monday it is ordering Delta Air Lines and Aeromexico to unwind a joint venture by January 1 that lets them coordinate on scheduling, pricing and capacity decisions for U.S.–Mexico flights.

The U.S. Transportation Department in July had proposed the action as part of a number of actions aimed at Mexican aviation. The department said on Monday the action "is necessary because of ongoing anticompetitive effects in U.S.-Mexico City markets that provide an unfair advantage to Delta and Aeromexico."

The U.S. government is not requiring Delta to sell its 20% equity stake in Aeromexico.