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Mexico, U.S. Shun Arbitration as Talks Continue on Route Cancellations

A Mexican delegation plans early-December meetings in Washington in a push for a year-end resolution.

Overview

  • Infrastructure secretary Jesús Esteva said both governments are pursuing a negotiated solution rather than international arbitration.
  • Officials met in Washington this week, set a roadmap, and plan to reconvene in early December with the goal of closing the dispute before year-end.
  • The U.S. Department of Transportation canceled 13 MexicoU.S. routes and froze future growth for Mexican carriers, citing anticompetitive effects of shifting cargo from AICM to AIFA.
  • Aeroméxico, Volaris and Viva Aerobus are the airlines directly affected by the U.S. actions.
  • The DOT has proposed banning belly cargo by Mexican airlines on U.S.-bound flights, and no deal has been reached on cargo operations at Mexico City’s AICM.