Putting into aside the question of whether Santa Lucia will be a white whale (like Mirabel in Montreal or. Volaris, even though it had impressive load factors, also has had a near 90% decrease in its traffic volumes. Powered and implemented by FactSet Digital Solutions. On October 29, Mexico’s president-elect, Andrés Manuel López Obrador (AMLO), announced that the incoming administration would cancel a … As we know, the current Mexican Government is building a new airport in the military base of Santa Lucía, outside of Mexico City. Designer of many airports around the world, Norman Foster (famed for London's Gherkin) is behind the new airport at Mexico City. The Wall Street Journal Mexico’s López Obrador cancels $13 billion Mexico City airport project Published: Oct. 29, 2018 at 3:18 p.m. As the main hub for Mexico's largest airline Aeroméxico (with Aeroméxico Connect), the airport has become a SkyTeam hub. Additionally, the AICM has two runways, but it can’t use them simultaneously because there’s not enough distance between them. After seeing the effects of the current pandemic, the Mexican Government decided that Terminal 3 was unnecessary to cope with future demand. Mutual Fund and ETF data provided by Refinitiv Lipper. Mexican President-elect Andrés Manuel López Obrador said his government will scrap Mexico City’s $13.3 billion airport that is under construction in favor of … The International Air Transport Association has said no. The Secretariat of Environment and Natural Resources (SEMARNAT)announced its approval of construction of a terminal at the new airport site on July 17, 2019. In May, it was worse, with a decline of 92.4%. On April 24, 2019, Mexican president Andrés Manuel López Obrador announced that construction of the new airport would commence on April 29, 2019. Based in Mexico City, Mexico. After winning, he said the issue should be put before Mexican citizens. , also has had a near 90% decrease in its traffic volumes. The Mexican airline has cancelled its flights for at least two days, Nov. 1 and 2, citing cash-flow problems and fleet maintenance. The Government said it was going to allow more passengers into the congested Mexico City airport. Let’s investigate further. That only one million people voted (of ~90mm registered) in the … Workers prepare native plants at the garden center near the canceled airport zone as part of a project to conserve 12,200 hectares of land in Texcoco … The move came after the results of a national referendum on the project showed 70% of voters opposed to the new airport. More. FOLLOW US ON FACEBOOK FOR MORE FOX LIFESTYLE NEWS, Some questioned whether such a decision, involving complex issues of air traffic control, should be decided in a referendum. But the Mexican Government says yes. The national Confederation of Chambers of Commerce wrote that "it should be a technical and financial decision, not a political one, based on a popular vote.". ; A three airport strategy will significantly diminish Mexico City’s ability to compete effectively as a major hub in Latin America. 2 years ago. The future of Mexico City's new airport, already about a third completed, comes down to a public vote this week in a political high-wire act by the country's president-elect that could shut down Mexico's largest infrastructure project in recent memory. "The people decided.". His specialist knowledge of Latin American airlines and close relationship with the likes of Aeromexico, Avianca, Volaris brings depth to our coverage in the region. Because of the increasing traffic at Mexico City airport, President Vicente Fox announced the construction of a new, larger airport on 5,000 ha (12,000 acres) of land in the municipalities of Texcoco and San Salvador Atenco in 2002, roughly where the new airport is planned today. Be in the know. The abandoned construction zone is now part of a project to conserve nearly 50 square miles of marsh. ET Mexico's president-elect said Monday he will respect the result of a referendum that rejected a partly built new airport for Mexico City, effectively ending the $13 billion project. A 30-year bond issued by the Mexico City Airport Trust that are due in 2047 fell as low as 79 cents on the dollar, pushing its yield up to more than 7 per cent. Amedeo’s Airbus A380 Problem Or Opportunity. Pena Nieto said later Monday that his government respects whatever decision Lopez Obrador may make once president, but construction will go ahead until Nov. 30, to meet obligations under bonds that were issued to finance the project. In this Oct. 17, 2018 photo, work continues on one of the runways of Mexico City's new airport, on Lake Texcoco's dry lake bed, México. So it is still building it. All rights reserved. Monday's fall wiped out all the peso's gains this year. "It is anticipated that ultimately there would have to be prepayment of bonds issued to finance this project, and probably this will demand fiscal resources additional to" existing funding currently being collected through an airport tax, he said. Will decision have repercussions beyond Mexico?October 31, 2018 Market data provided by Factset. 01 Nov, 2018 By Connor Ibbetson. The new Mexico City airport is dead. Interjet is currently operating with three airplanes and has lost 60 aircraft to leasing companies, and Viva Aerobus is also trying to cope with the lower demand. The Plan Obrador begins to shift into action in Mexico – Santa Lucia’s second runway to be operational in two yearsJanuary 7, 2019; Mexico sets a date for the inauguration of its ‘new capital city airport’; its President threatens to stop using his name if it doesn’t open on timeJanuary 20, 2020; Public referendum sees New Mexico City Airport project cancelled. ©2020 FOX News Network, LLC. This Oct. 17, 2018 photo, shows the advances in the construction of new airport in Texcoco, Mexico. Lopez Obrador called the decision "a triumph for the environmental movement," saying the Texcoco project threatened to eliminate the last remaining vestiges of lakes that once covered the Valley of Mexico. After seeing the effects of the current pandemic, the Mexican Government decided that Terminal 3 was unnecessary to cope with future demand. ), the doubt right now is if Mexico City needs a new airport? According CNN's Matt Rivers, reporting from outside Mexico City, "Mexico's death toll has more than doubled in just the last three weeks. "The decision taken by the citizens is democratic, rational and efficient," Andres Manuel Lopez Obrador said after 70 percent voted against the plan. The demand of passengers in the air industry, in Mexico and elsewhere, has fallen importantly, and it will take between two and four years to recover the levels we had in February 2020,” said the Mexican Government in a statement. The incoming government's decision to cancel the new Mexico City airport in Texcoco is a game-changing event for the Mexican peso, said David Duong, HSBC Senior FX … 1:31 | 09/08/20. Please Support us by turning off your adblocker. A new Mexico City airport intended to replace a project cancelled by … But the Mexican Government says yes. or redistributed. Mexico's president-elect said Monday he will respect the result of a referendum that rejected a partly built new airport for Mexico City, effectively ending the $13 billion project. The New International Airport of Mexico City (NAICM) stands under construction in an aerial photograph taken over Texcoco, Mexico, on Nov. … (AP Photo/Christian Palma). Millions of tons of rock were quarried in nearby towns and transported to the site to fill and drain the swampy former lake bed. “The airport cancellation was the first time investors got a look at how he’d operate, and we’re seeing the same with Santa Lucia.” Santa Lucia is … Still, given the distances between the current airport, the planned Santa Lucia terminal and an existing satellite airport in the nearby city of Toluca, it is unclear how people could make connecting flights within any reasonable amount of time. He warned that if the airport is canceled, it could cost taxpayers. Situated in the Mexico City suburb of Texcoco, northeast of the capital, the new airport was slated to replace the cramped and aging Benito Juarez International, Latin America’s busiest last year. However, much of the environmental destruction associated with the Texcoco project is already done. mexico city’s new international airport will not be realized following a public referendum, pushed for by mexico’s president-elect andrés manuel lópez obrador. This Oct. 17, 2018 photo, a shows the construction of new airport in Texcoco, Mexico. The result of the vote means that airlines serving Mexico may not be able to expand service in the ways that they were planning. It was supposed to be the signature infrastructure project of Pena Nieto's administration, though it wouldn't have been finished for several years more. Many international funds could stop investing in the nation, he said. Juan Pablo Castanon, the head of Mexico's Business Coordinating Council, an industry group, fiercely criticized Lopez Obrador's decision to obey the vote, saying it "seriously hurts Mexico's image in the world" and "sends a message of uncertainty" to financial markets. This will allow Mexico City to have up to 80 million passengers per year if we add the 52 million at AICM and eight million at Toluca. If the new Mexico City International Airport is canceled at this point, it could affect the country’s debt rating, causing it to pay interest rates on increasing debts. “The decision taken by the citizens is democratic, rational and efficient,” Andres Manuel Lopez Obrador said after 70 per cent voted against the plan. We use ads to keep our content free. The Mexican stock exchange's IPC index ended the day down 4.2 percent. Market data provided by Factset. A general view shows part of the Lake Texcoco in an area near the canceled airport zone that is part a project to conserve 12,200 hectares of land in Texcoco. In North America, it is operating a limited flight schedule between Paris and New York, Los Angeles, Montreal, and Mexico City. What do you think of Mexico’s decision to keep on building a new airport? The new airport is already under construction. The construction of a new airport for Mexico City has halted after a public vote to decide its fate. Lopez Obrador promised to let the people decide the fate of the airport. (AP Photo/Miguel Tovar), The referendum held Thursday-Sunday marked the first time such a large project had been submitted to a public debate and vote. The Foster + Partners-designed new Mexico City airport could be cancelled by a public referendum on the project, to be held in October. Lopez Obrador said the decision meant "corruption has ended.". Extensive site preparation was necessary to compact the ground, about 6 feet, and squeeze out the water like pressing on a sponge. Alternatives to the new airport that was cancelled by Mexico’s government are facing some opposition, casting some uncertainty over the project’s fate. This material may not be published, broadcast, rewritten, (AP Photo/Miguel Tovar). Image Credit: REUTERS 16 of 16 Powered and implemented by FactSet Digital Solutions. Lopez Obrador said he has received assurances from international experts that the current airport and Santa Lucia could operate simultaneously. The problem is that these predictions happened when the world had no idea that a pandemic was coming over. You've successfully subscribed to this newsletter! Mexico sets a date for the inauguration of its ‘new capital city airport’; its President threatens to stop using his name if it doesn’t open on timeJanuary 20, 2020; Public referendum sees New Mexico City Airport project cancelled. Over the weekend, the Mexican Government canceled the construction of Terminal 3 at Mexico City International Airpot (AICM). Construction officially started on October 17, 2019. Foster + Partners' new airport for Mexico City has been cancelled midway through construction, following a public referendum that resulted in a majority vote against the project. About a third of the $13.3 billion project is already complete but, during his election campaign, the now Mexican President-elect, Andrés Manuel López Obrador, had said his government would scrap the new airport in favour of a less-ambitious and cheaper project. FILE - In this July 8, 2015 file photo, an Interjet plane sits on the tarmac at the Benito Juarez International Airport in Mexico City. With that in mind, the Mexican Government concluded: there’s no need for a new terminal at Mexico City. Mexico’s Cancelled $13-Billion Zombie-Airport Refuses to Die by Nick Corbishley • Nov 13, 2019 • 40 Comments The people voted to scrap the project that was one-third finished, $4 billion over budget, mired in allegations of corruption, and built on an unstable lake-bed. It is unclear what will be done with the enormous foundations already built on the site, a former lake bed known as Texcoco. mexico city’s new international airport will not be realized following a public referendum, pushed for by mexico’s president-elect andrés manuel lópez obrador. Putting into aside the question of whether Santa Lucia will be a white whale (like Mirabel in Montreal or Berlin’s new airport), the doubt right now is if Mexico City needs a new airport? Mexico's president-elect is facing criticism for cancelling the building of a new airport in Mexico City. President L… A detail of a mock-up of the new Mexico City international airport, now canceled, is shown during the announcement of the design of the city’s new $9.2-billion airport, Wednesday, Sept. 3, 2014. Fulfilling a campaign promise, incoming President Andres Manuel Lopez Obrador announced that construction on the project would be halted once he takes office. The move came after the results of a national referendum on the project showed 70% of voters opposed to the new airport. According to El Financiero, there is speculation that the cancellation of the New International Airport for Mexico City may open the door for Mexico to be taken to international courts. The issue of the AICM was the lack of capacity in the airspace to cope with more airplanes per hour. said the Mexican Government in a statement. Investors rejected a new, sweetened offer from the Mexican government Wednesday to buy back their bonds from a cancelled airport project, deepening a growing quagmire for President Andres Manuel Lopez Obrador. The Government plants to inaugurate it on 21 March 2022. He favors adding two commercial runways to a military air base in the town of Santa Lucia, about 28 miles (45 kilometers) from the capital. “Due to the pandemic, the operational needs have changed. Lopez Obrador, an anti-establishment leftist who took office this month, has been scrambling to calm market jitters caused by his controversial decision to scrap plans for a new … (Courtesy Foster + Partners) The current project has been hailed by Lopez Obrador as a “new Tenochtitlan,” referring to the centuries-old Aztec capital built in the middle of a sprawling lake, where Mexico City is today. (AP Photo/Marco Ugarte). Mexico's president-elect said Monday he will respect the result of a referendum that rejected a partly built new airport for Mexico City, effectively ending the $13 billion project… Quotes displayed in real-time or delayed by at least 15 minutes. The Latin American and Caribbean Air Transport Association has also said no. Organizers of the referendum reported late Sunday that just over 1 million people voted in the referendum. Or, at least, that’s the idea. Prior to the 2014 announcement of the construction of the new airport, the government had purchased ejidoland (agricultural land held in common by local communitie… On October 29, Mexico’s president-elect, Andrés Manuel López Obrador (AMLO), announced that the incoming administration would cancel a massive new airport in Mexico City … MEXICO CITY, April 26 (Reuters) - A new Mexico City airport intended to replace a project cancelled by President Andres Manuel Lopez Obrador should be … On June 12, a judge ordered the suspension of construction of the airport until environmental and cultural studies have been completed. Mexico had the worst performance of its air industry in both April and May. According to the latest data, Santa Lucía International Airport will have an initial capacity to receive 20 million passengers a year. 'UNKNOWN SUBSTANCE' REPORTED ON SOUTHWEST AIRCRAFT TURNS OUT TO BE TISSUE BOX FIBERS, Mexico's President-elect Andres Manuel Lopez Obrador casts his vote on whether to continue with the $13 billion airport to replace the current Benito Juarez International Airport in Mexico City, Thursday, Oct. 25, 2018. Volaris, even though it had. “The objective of this modern terminal, with 17 additional contact positions, was to improve the quality service of the passengers”. Fun stories about food, relationships, the great outdoors and more. A new 29-mile-long highway will also be built to connect the northern Felipe Ángeles Airport to the existing Mexico City Benito Juárez International Airport (MEX) at a cost of $528 million. When local violent protests took place, the new airport was cancelled. Summary. ET “Due to the pandemic, the operational needs have changed. Mexico’s incoming President-elect Andres Obrador, who takes power on 01-Dec-2018, said the government would “obey the will of its citizens” as manifested in a referendum in which 70% of those who voted said that the USD13.3 billion New Mexico City Airport project, currently under construction, should be abandoned.. This material may not be published, broadcast, rewritten, or redistributed. Follow these easy steps to disable AdBlock, Follow these easy steps to disable AdBlock Plus, Follow these easy steps to disable uBlock Origin, Follow these easy steps to disable uBlock, Mexico had the worst performance of its air industry in both April and May. Nevertheless, year after year, the AICM has grown, and it can even handle up to 80 operations during peak hours. So it is still building it. Advertisement: Over the weekend, the Mexican Government canceled the construction of Terminal 3 at Mexico City International Airpot (AICM). The future of Mexico City's new airport, already about a third completed, comes down to a public vote this week in a political high-wire act by the country's president-elect that could shut down Mexico's largest infrastructure project in recent memory. For instance, Aeromexico had a, . This airport is served by 30 domestic and international passenger airlines and 17 cargo carriers. Critics of the cancellation had said it might affect investor confidence in Mexico, but Lopez Obrador said investors, debt holders and contractors in the abandoned project will be protected. That would imply an improved road to get there from Mexico City and the current 1940s-era airport. Work continues on Mexico City's new airport even though it remains unknown whether the project will be canceled. Lopez Obrador pledged during his campaign to cancel the Texcoco project, claiming it was marred by overspending and corruption. That particular area has not been home to a lake in decades, but the ground is soft and damp. How many airlines will operate in Mexico, domestically, and internationally, after the pandemic? Legal Statement. Mexican President Andrés Manuel López Obrador on Monday symbolically launched work on a new airport for Mexico City to replace the nearly half-built $13 billion project he cancelled … Legal Statement. Foster + Partners’ ambitious Mexico City Airport project has officially been cancelled after 70% of voters (only 1.2% of registered voters turned out) rejected the project. Journalist - Daniel comes to Simple Flying with many years of aviation journalism experience, having worked with Mexican publication A21, Roads & Kingdoms, El Economista and more. Twenty one massive "funnels" that will support the terminal were under construction beneath more than a dozen cranes. Let’s investigate further. Will decision have repercussions beyond Mexico?31-October, 2018; Travel levels will remain much lower, but airports are still preparing for what will be a very different kind of ‘capacity crunch’ at much smaller volumes15-September, 2020 The future of Mexico City's new airport, already about a third completed, comes down to a public vote this week in a political high-wire act by the country's president-elect that could shut down Mexico's largest infrastructure project in recent memory. More Like this. Work continues on Mexico City's new airport even though it remains unknown whether the project will be canceled. Lopez Obrador said in late December that construction would begin in January for the controversial airport project being overseen by the military. The president-elect said Mexicans will save about $5 billion by abandoning the unfinished Texcoco project, which was started with what critics said was little real environmental study by current President Enrique Pena Nieto, who leaves office Dec. 1. Quotes displayed in real-time or delayed by at least 15 minutes. Pumps run around the clock moving water to a reservoir across the highway. The Latin American and Caribbean Air Transport Association has also said no. The second of the projects for a new airport… Lake Nabor Carrillo had become a refuge for migratory birds but was too close to the Texcoco site and would have posed a threat of birds hitting jet engines. All rights reserved. The International Air Transport Association has said no. The gravest threat to Mexico City’s existence came from a five-year flood starting in 1629, almost causing the city to be abandoned. A detail of a mock-up of the new Mexico City international airport, now canceled, is shown during the announcement of the design of the city’s new $9.2-billion airport, Wednesday, Sept. 3, 2014. People vote on whether to continue with the $13 billion airport to replace the current Benito Juarez International Airport, in Mexico City, Sunday, Oct. 28, 2018. However, voters just rejected its most recent proposal that would have come with a price tag of $13 billion and make it the largest airport in the Americas. (AP Photo/Eduardo Verdugo) Canceled Mexico City airport project to become park. Summary. The new plan is to keep the existing airport and add a terminal and two runways to a military base north of Mexico City, according to The Wall Street Journal. For instance, Aeromexico had a 91% traffic decrease in April. His degree in journalism allows him to form beautifully crafted and insightful pieces. Air France has reduced its flight capacity by 90% until the end of May. (AP Photo/Eduardo Verdugo). The new airport project was a hot topic for Mexico's travel industry. The vote has been criticized in part because only about one of every 90 registered Mexican voters participated. Fulfilling a campaign promise, incoming President Andres Manuel Lopez Obrador announced that construction on the project would be halted once he takes office. Like much of Mexico City, the new airport is being built on an ancient lakebed. Let us know in the comments. How Some Jet Aircraft Are Able To Land On Gravel Runways, Finnair Sells Another Airbus A350 For 12 Year Lease, The Simple Flying Podcast Episode 45: First Passenger MAX Flights, Airbus A380s For Sale, Canada Edging Closer To Recertifying The Boeing 737 MAX. is currently operating with three airplanes and has lost 60 aircraft to leasing companies, and Viva Aerobus is also trying to cope with the lower demand. There are too many questions out there. A new report from Bloomberg reveals that Mexican President Andres Manuel Lopez Obrador, who scrapped plans for the new airport last year, is now battling a variety of legal challenges as a result of … ©2020 FOX News Network, LLC. The Mexican government will spend as much as $9 billion to abandon the construction of a new international airport in Texcoco, a sum that's more than it would have cost to finish the project. The construction of Terminal 3 at the AICM was announced last year. Plans to construct a new airport for Mexico City have been scrapped following a nationwide referendum. MEXICO CITY — Mexico’s president-elect Andrés Manuel López Obrador said Monday that he would cancel construction of an expensive new airport in the capital after voters rejected it … In 2019, the AICM had over 52 million passengers, and since 2013 it is technically saturated. Lopez Obrador promised to let the people decide the fate of the airport. So, in that regard, many experts saw Terminal 3 as a waste of money. ; A three airport strategy will significantly diminish Mexico City’s ability to compete effectively as a major hub in Latin America. Mexico's business community, which overwhelmingly supported the now-cancelled project, questioned the referendum, which they said was unofficial, unrepresentative and biased. Lopez Obrador said he hoped the unfinished site could be used to create "a big sports and ecological center for Mexico City.". Construction work on the cancelled Mexico City International Airport project is now officially concluded, the federal communications and transportation secretary said yesterday. Sign up to our daily aviation news digest. The Wall Street Journal Mexico’s López Obrador cancels $13 billion Mexico City airport project Published: Oct. 29, 2018 at 3:18 p.m. (AP Photo/Eduardo Verdugo) MEXICO’S president-elect says he will respect the result of a referendum that rejected a partly built new airport for Mexico City, effectively ending the $18.35 billion project. When will Mexico City Airport receive again over 50 million passengers? Once it is open, Mexico City will have three nearby airports that will function as a system allowing for more passengers and less saturation. Many experts said that the problem wasn’t the terminals. The site is a hive of activity. The demand of passengers in the air industry, in Mexico and elsewhere, has fallen importantly, and it will take between two and four years to recover the levels we had in February 2020,”. As of March 31, all flights to/from Paris-Orly airport will transfer to Paris-Charles de Gaulle. Mutual Fund and ETF data provided by Refinitiv Lipper. Mexico's peso slid more than 3 percent against the U.S. dollar after the decision was made public, with the interbank rate ending at 20.06 pesos to $1. The city's airport is now working at near capacity and would have been closed had Texcoco been built. The new Mexico City airport is dead. ... Mexico’s former president Vicente Fox named Texcoco as the location of the new airport in 2001. At the end of the four-day process, over one million Mexicans voted, with nearly 70% of voters choosing to cancel the construction of the new airport, which began in 2016, and instead make improvements to the current Mexico City airport and nearby Toluca airport, and add two commercial runways to the Santa Lucía military base, about 50 kilometers northeast of Mexico City. No one currently knows how long it will take before things go back to normal. Alternatives to the new airport that was cancelled by Mexico’s government are facing some opposition, casting some uncertainty over the project’s fate. But the outgoing administration was marked by corruption and allegations of insider dealing with contractors, which helped propel Lopez Obrador to the presidency July 1. Banco BASE said it was the biggest single-day drop since Nov. 9, 2016, when markets reacted to Donald Trump's election as U.S. president the day before. Public referendum sees New Mexico City Airport project cancelled. In May, it was worse, with a decline of 92.4%. £10bn Mexico City airport scrapped. Was marred by overspending and corruption airplanes per hour additional contact positions, was to improve the quality service the... Pumps run around the clock moving water to a reservoir across the highway Partners-designed new Mexico City s! 1 and 2, citing cash-flow problems and fleet maintenance quality service of AICM! Bed known as Texcoco Mexico had the worst performance of its air industry in new mexico city airport cancelled and. 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