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US and Mexico Reach Aviation Agreement

WASHINGTON

Air travel between the United States and Mexico just got easier—or at least that will likely be the case in 2016, after the two countries agreed to further open their air markets in a meeting between U.S. Transportation Secretary Anthony Foxx and Mexico’s Gerardo Ruiz Esparza on Friday, Dec. 18, 2015.

The U.S. Department of Transportation (DOT) said that the treaty, which essentially allows both countries to operate desired passenger and cargo routes with no restrictions, “will strengthen the economic ties between the two countries.” The new agreement includes unlimited market access for U.S. and Mexican air carriers, improved intermodal rights, pricing flexibility and more.

Ultimately the new agreement will remove numerical limitations on the number of airlines that may provide passenger service in U.S.-Mexico markets and will also encourage price competition.

The Wall Street Journal noted that “Mexico was one of the largest countries with which the U.S. lacked a modernized air accord. Others include Russia and China.” Though some hurdles will remain in place.

According to the DOT, the agreement will not enter into force until Jan. 1, 2016, after both parties have completed their necessary internal processes, including ratification by the Mexican Senate.