Shares of American Airlines fell on Monday after the carrier dismissed speculation about a potential merger with rival United Airlines, citing antitrust concerns and risks to competition.
American Airlines said late on Friday it was not engaged in, nor interested in, discussions about combining with United, pushing back against growing market speculation about a possible tie-up between the two крупней U.S. carriers.
“American Airlines is not engaged with or interested in any discussions regarding a merger with United Airlines,” the company said in a statement.
It added that while consolidation in the airline industry may occur, a deal with United would be “negative for competition and for consumers,” and inconsistent with antitrust principles.
American’s stock fell more than 4 percent in early trading on Monday, reversing gains from the previous session, while shares of United also declined.
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The remarks come after United’s chief executive Scott Kirby publicly floated the idea of a merger earlier this year, arguing that greater scale could help U.S. airlines compete more effectively on international routes.
“Size would help,” Kirby said in a podcast interview, noting that U.S. carriers face stiff competition from Middle Eastern airlines on long-haul routes.
“If we’re bigger and have more offerings, it may be more rational for customers to fly with us,” he said.
A combination of American and United would create the world’s largest airline and significantly reshape the U.S. aviation market.
The two carriers, along with Delta Air Lines and Southwest Airlines, already account for roughly 80% of domestic airline capacity. A merger between American and United alone would give the combined entity about 40% market share, according to industry data.
Such a move would likely face intense regulatory scrutiny, with antitrust authorities wary of further consolidation in an industry already dominated by a handful of large players.
U.S. Transportation Secretary Sean Duffy said earlier this month there could be room for mergers in the aviation sector but cautioned against excessive concentration.
“If there was a merger between some of the larger airlines, they’re going to have to peel off some of their assets,” Duffy said in a television interview, warning that reduced competition could lead to higher prices for consumers.
Legal experts have also expressed scepticism about the likelihood of such a deal receiving approval.
“This would be the biggest of all time. I can’t even see the slightest chance that a court would allow it,” said a U.S.-based antitrust law professor.
The airline industry has undergone significant consolidation over the past two decades, with major mergers including Delta-Northwest and United-Continental reshaping the competitive landscape.
However, regulators have taken a tougher stance in recent years, blocking or challenging deals that could reduce competition or harm consumers.
For American Airlines, the rejection of merger talks signals a focus on independent growth and operational performance rather than large-scale consolidation.
The company, like its peers, continues to navigate rising costs, fluctuating demand and competitive pressures in both domestic and international markets.
Analysts said the market reaction reflects both investor interest in consolidation opportunities and concerns about regulatory barriers.
“Investors sometimes see mergers as a way to unlock value, but the regulatory hurdles in this case would be extremely high,” said an aviation analyst.
While speculation about further consolidation in the U.S. airline sector is likely to persist, American’s statement suggests that any near-term deal between the two крупней carriers remains unlikely.
For now, the focus is expected to remain on capacity management, pricing strategies and competition on key international routes, where U.S. airlines continue to face increasing pressure from global rivals.
