DELTA ALLEGES RETALIATORY MEASURES IN ONGOING QUEST FOR JOINT VENTURE ANTITRUST IMMUNITY
March 25, 2024
On February 9, 2024, after the DOT declined to renew antitrust immunity for a joint venture between Delta Air Lines (“Delta”) and Aeromexico, Delta responded by characterizing DOT’s termination as “premature, punitive, misdirected, and ineffectual.” More specifically, Delta alleges that the tentative termination of its Aeromexico joint venture is a retaliatory measure in an ongoing intergovernmental dispute between the United States and Mexico and is not based on any concerns regarding the competitive effects if the joint venture. Delta’s response comes as DOT continues to express concerns about Mexico’s compliance with the air transport agreement between the two countries as well as the capacity restrictions imposed by the Mexican government at specific airports. According to Delta, rather than terminating the joint venture, DOT should consult with the Mexican government, consider Part 213 schedule-filing sanctions, or possibly arbitration.
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