(Updates with FAA confirmation in paragraphs 1 and 4,
background in paragraphs 5-7, 9)
By David Shepardson
WASHINGTON, Sept 14 (Reuters) - The Federal Aviation
Administration (FAA) said on Thursday it has upgraded Mexico's
air safety rating, a move that will allow Mexican carriers to
expand U.S. routes and add new service.
Reuters reported the planned announcement earlier Thursday.
The May 2021 downgrade by the U.S. regulator was a major
blow to Mexico carriers, as U.S. airlines were able to scoop up
market share. Mexico overhauled its civil aviation law, but
faced several hurdles and spent months in recovering the
Category 1 rating.
The return of Mexico to the highest aviation safety rating
followed "more than two years of close work between the
countries' civil aviation authorities," the FAA said.
Airlines like Aeromexico and Volaris VOLARA.MX can now
add new U.S. routes and potentially carry out marketing
agreements with U.S. carriers. The upgrade also means U.S.
airlines can resume marketing and selling tickets with their
names and designator codes on Mexican-operated flights.
Mexico remains the top international destination for
U.S. airline passengers. Through July, 23.4 million passengers
were on U.S.-Mexico flights, significantly more than the 17.4
million between the U.S. and Canada, the second biggest
destination.
Mexico was downgraded by the FAA to a Category 2 safety
rating in 2021 after the agency found the country did not meet
International Civil Aviation Organization (ICAO) safety
standards.
The FAA provided expertise and resources to "resolve the
safety issues that led to the downgrade."
The Biden administration had told Mexico last week it would
officially recover its Category 1 rating, Mexican President
Andres Manuel Lopez Obrador said on Friday.
In a June audit, the FAA raised concerns about Mexico's
process for post-accident investigations and for carrying out
medical exams for sector employees, meeting minutes obtained by
Reuters showed.
(Reporting by David Shepardson; Editing by Aurora Ellis and
Richard Chang)
((David.Shepardson@thomsonreuters.com; 2028988324;))