U.S. and Mexico Enter into Air Agreement

Last Friday, the United States and Mexico entered into an agreement, called the U.S.-Mexico Aviation Agreement, to expand access to passengers and cargo transfer. The U.S. State Department says that the beginning date will be January 1, 2016 but the Wall Street Journal reports that it will begin on January 1, 2015.

The arrangement between the two countries fell short of the U.S.-hoped for Open Skies Agreement similar to what exists with the EU and many other nations. Open Skies allows for greater airline control over routing, capacity, and pricing. Nevertheless, the State Dept says this will offer “significantly increased market access for passenger and cargo airlines to fly between any city in Mexico and any city in the United States.” In addition to increased routing opportunities, cargo service will be expanded to destinations previously denied.

In their press release, the State Dept also noted this will strengthen the relationship between the two countries by “facilitating greater trade and tourism.” That seems to be a curious statement given that only a few weeks ago, the same State Dept updated their warning to travelers entering Mexico. Perhaps they meant it will help trade and tourism on the U.S. side of the border.