Background on the Situation
In August 2022, United Airlines and other major carriers like Delta Air Lines, American Airlines, and the International Air Transport Association (IATA) were notified by Mexican authorities that slots (take-off and landing schedules) previously removed from Benito Juarez International Airport (AICM) in Mexico City due to reduced operations caused by airport congestion would be restored. However, this information had been known within the Mexican aviation industry for over a month and a half.
United’s Defense of Alliances
In a document submitted to the U.S. Department of Transportation (DOT) as part of a case to terminate the antitrust immunity of the Delta-Aeromexico alliance, United Airlines mentioned receiving notification about the slot restoration on August 18. The main reason for United’s comment, dated August 20, was to defend its similar alliance with Japan’s ANA and to express disagreement with Delta’s arguments.
Knowledge of Slot Restoration
According to El Economista, U.S. airlines were aware of the gradual return of slots before the DOT announced new measures against Mexico on July 19. These measures also put at risk a similar authorization for the alliance between VivaAerobus and Allegiant, both low-cost carriers. However, due to seasonal planning for global operations and recent announcements of increased AICM operations from 43 to 44 per hour, airlines cannot immediately utilize the restored slots.
Lack of Public Announcement
Despite the industry’s awareness, neither Mexico’s primary airport nor the Secretaría de Infraestructura, Comunicaciones y Transportes (SICT) had publicly acknowledged the slot restoration. This situation reflects the challenging commercial climate between the U.S. and Mexico.
Impact on Airlines and Passengers
The return of slots at AICM will allow United Airlines and other affected carriers to restore their previously reduced operations. This development is crucial for maintaining connectivity between Mexico and the U.S., ensuring more flight options and potentially better schedules for travelers.
- Increased Flight Options: More flights between the U.S. and Mexico City will provide passengers with greater flexibility in choosing travel times and routes.
- Improved Connectivity: The restoration of slots will help maintain and strengthen the vital air link between the two countries, supporting business and leisure travel.
- Potential for Competitive Pricing: With more flights, airlines may offer competitive pricing to attract passengers, ultimately benefiting travelers.
United Airlines’ Role and Relevance
United Airlines is one of the largest carriers in the world, operating a vast network of routes connecting major cities across the globe. Its alliance with ANA demonstrates its commitment to international partnerships, which can lead to code-sharing agreements and reciprocal benefits for passengers. United’s defense of these alliances highlights their importance in maintaining a competitive edge in the airline industry.
Mexican Aviation Industry Context
The Mexican aviation industry has faced challenges due to airport congestion and regulatory issues. The recent developments regarding slot restoration at AICM are a step towards resolving these problems and improving the overall aviation landscape in Mexico.
Key Questions and Answers
- What are slots in the airline industry? Slots refer to specific take-off and landing time slots allocated to airlines at congested airports, ensuring fair access and efficient airport operations.
- Why were slots removed from AICM in 2022? Slots were reduced due to airport congestion and the need to decrease operations, which led to the temporary removal of some slots.
- When and how were airlines notified about the slot restoration? Airlines, including United, Delta, American, and IATA, were notified by Mexican authorities via a document submitted to the DOT in late August 2022.
- Why did United Airlines comment on the slot restoration? United defended its similar alliance with ANA and expressed disagreement with Delta’s arguments regarding the Delta-Aeromexico alliance.
- When can airlines start using the restored slots? Due to seasonal planning and recent increases in AICM operations, airlines cannot immediately utilize the restored slots.
