LATAM and IAG: Latin America dynamics shifting at a dizzying pace

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Significant shifts in alliances and airline operating groups continue as LATAM Airlines Group and IAG have abandoned plans to create a JV after IAG decided to buy Air Europa, which positions the European airline group favourably on routes from Europe to Latin America

But over the long term IAG presumably needs feed within Latin America, particularly South America, that only an operator the size of LATAM can offer.

For now, LATAM has stated that current pacts with the IAG Group – codesharing and interlining – will remain in place. 

The chess game that is currently being played in the Latin American aviation market will be closely watched and for now, no one should venture to predict the winners and losers until all the pieces are in place on the chessboard.

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