WASHINGTON (Reuters) – The United States and Mexico have reached an agreement to expand passenger and cargo air service that would remove current limits on the number of airlines that can provide passenger service on routes between the two countries, the US Transportation Department said on Friday.
As a result, it said, some routes might see new carriers entering the market, and airlines already in the market could consider offering service to new destinations.
Cargo airlines could also benefit, with expanded opportunities to provide service to new locations unavailable under the current agreement, the department said in a news release.
“Travellers, shippers, airlines, and the economies of both countries will benefit from competitive pricing and more convenient air service,” US Transportation Secretary Anthony Foxx said.
The agreement will not become effective until Jan 1, 2016.