The US DOT has granted final approval to the joint venture between Delta Air Lines and the LATAM Group. All predictions are that this will be a powerful force in aviation across North and South America.
The venture means the two airlines will work closely to create a network of connections between the United States/Canada and South America (Brazil, Chile, Colombia, Paraguay, Peru and Uruguay).
Furthermore, the agreement will connect the Americas to the world “like never before”, according to Delta, opening access to more than 300 destinations.
The two airlines predict they will attract up to one million more annual passengers and increase their capacity by more than 68% according to Simple Flying, which adds that American Airlines is top dog with a 25% market share in this Americas market, where it offers 145 945 seats.
The DOT approval, giving antitrust immunity, enables Delta and the LATAM Airlines Group – LATAM Airlines Brasil, LATAM Airlines Colombia, LATAM Airlines Peru and LATAM Airlines Paraguay – to begin the work of unlocking new customer and cargo benefits to add to the existing codeshare routes and the existing reciprocal loyalty benefits.
Roberto Alvo, CEO of LATAM Airlines Group, promised the deal would deliver more and better benefits to LATAM and Delta customers, such as faster connections and the joint accrual of miles in frequent flyer programmes, among others. “I am sure that, over time, we will be able to offer the best connections, while incorporating a sustainable view of the future,” he said. Delta and LATAM are both committed to advancing their goals toward a more sustainable future.
The JV had its roots in 2019, when Delta invested in LATAM and the Latin carrier left the oneworld alliance. The two airlines announced that they would form the leading airline partnership throughout the Americas, with the goal of significantly expanding travel choices across North and South America and offering an industry-leading customer experience. Since then, the partners have achieved a number of milestones that include mutual frequent flyer mile accumulation/redemption; reciprocal elite frequent flyer benefits; shared terminals at hub airports such as New York JFK, São Paulo, Brazil, and Santiago, Chile; and mutual access to 53 Delta Sky Club lounges in the US and five LATAM Lounges in South America.
The first codeshare services in South America started in 2020, and in 2021 expanded to 20 US-South America routes (plus connections to a broad range of domestic and regional destinations from their hubs in Atlanta, New York, Los Angeles, Santiago, Lima, Bogota and São Paulo), improving connectivity between the two regions.
Delta has more than 4 000 flights take off every day, across more than 275 destinations on six continents.
LATAM and its affiliates are the main group of airlines in Latin America with presence in five domestic markets in the region: Brazil, Chile, Colombia, Ecuador and Peru, in addition to international operations inside Latin America and between Latin America and Europe, Oceania, the United States and the Caribbean.
