06:00 AM EDT, 09/17/2025 (MT Newswires) -- (Updates to add Aeromexico's comment in fifth and sixth paragraphs)

Delta Air Lines ( DAL ) said that the US Department of Transportation has issued a final order to terminate its joint cooperation agreement with Aeromexico, effective Jan. 1, 2026.

Delta said late Monday that it was "disappointed" with the ruling, warning it would hurt US jobs, communities, and consumers traveling between the two countries.

The partnership allowed the two airlines to coordinate scheduling, pricing, and capacity on US-Mexico routes.

The Department of Transportation cited "ongoing anticompetitive effects," particularly in the Mexico City market, as the reason for the decision, Reuters reported, adding that the order does not require Delta to divest its 20% equity stake in Aeromexico.

Aeromexico said it regrets the US Transportation Department's decision to end its joint venture with Delta as it overlooks the alliance's contributions to connectivity, tourism, and consumer benefits in Mexico.

It added that it is reviewing the order with Delta to determine next steps.