US Challenges Adani Group's Cargo Shift to Navi Mumbai Airport
US protests Adani’s push to move cargo carriers to Navi Mumbai airport
The Economic TimesImage: The Economic Times
The US Department of Transportation opposes the Adani Group's plan to relocate cargo operations, including FedEx, to Navi Mumbai International Airport, citing violations of the US-India Air Transport Agreement. This move raises concerns over Adani's growing influence in India's aviation sector and could strain US-India relations.
- 01US opposes Adani Group's cargo relocation plan to Navi Mumbai International Airport.
- 02Concerns raised about Adani's control over India's aviation infrastructure.
- 03FedEx is the only American cargo airline currently operating from Mumbai's main airport.
- 04The shift could affect American carriers' access to prime operating slots.
- 05Potential diplomatic tensions arise just after a recent US-India trade deal.
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The US Department of Transportation (DOT) has expressed opposition to the Adani Group's initiative to move cargo carriers, including FedEx Corp., to the newly established Navi Mumbai International Airport. The DOT argues that this plan violates the bilateral Air Transport Agreement between the US and India. Adani Airport Holdings Ltd. plans to shift freight operations between August 2026 and May 2027 due to refurbishment works at the existing Chhatrapati Shivaji Maharaj International Airport, which will temporarily reduce cargo handling capacity by nearly 25%. The US views this relocation as a means for Adani to populate the new airport rather than a neutral operational decision. Adani is the largest private airport operator in India and holds significant influence over the aviation sector, controlling multiple airports across the country. The situation has prompted FedEx to raise concerns with the DOT, which is now working to protect US carriers' rights under the air services pact. This dispute could escalate into a diplomatic issue, especially as it arises shortly after the conclusion of a US-India trade deal.
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The relocation of cargo operations could limit American carriers' access to prime slots at Mumbai's main airport, potentially affecting their operational efficiency and service capabilities.
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