Court Blocks Trump-Era Order on Delta-Aeromexico Joint Venture

A U.S. appeals court reversed a Trump administration order to dismantle Delta Air Lines and Aeromexico's joint venture. The court highlighted the arbitrary standards applied by the U.S. Department of Transportation compared to other ventures. The joint venture controls nearly 60% of the U.S.-Mexico air traffic market.

The Trump administration's attempt to dismantle Delta Air Lines and Aeromexico's nearly decade-long joint venture was halted by a U.S. appeals court on Thursday. The September 2025 order was initially prompted by the Department of Transportation over competition concerns within Mexico's aviation sector.

The 11th Circuit U.S. Court of Appeals criticized USDOT for its inconsistent market analysis methods, noting the disparity in treatment compared to ventures with Japan. The joint Delta-Aeromexico operation dominates nearly 60% of flights between the U.S. and Mexico, particularly out of Mexico City.

Delta, holding a 20% stake in Aeromexico, argued discrimination against their joint venture, citing less stringent standards for others like United Airlines with Japan's ANA. Despite the setback, neither government had an immediate response. Last year saw USDOT actions against Mexican carriers' U.S. operations.