MercoPress. South Atlantic News Agency

Latam Airlines granted license to operate domestic flights in Argentina

Latam Argentina folded in 2020, citing an unfriendly business climate

Argentina's Libertarian Government of President Javier Milei has granted Chile's Latam Airlines a full license to operate any domestic flight the company wishes to offer with the aircraft of its choice, thus making it an internal competitor to other carriers serving the market.

 Under Milei's “Open Skies” policies, Transport Secretariat Provisions 46/2025 and 47/2025 appearing in Friday’s Official Gazette mark a potential return to a market the company exited five years ago.

The new regulatory framework grants the Chilean-Brazilian airline broad “ninth freedom” rights, which allow a foreign carrier to operate flights between two points within Argentine territory without requiring a local subsidiary.

Hence, Latam is now permitted to transport passengers and cargo on regular and non-regular domestic routes with no restrictions on flight frequencies, destinations, or aircraft size, it was explained.

Provision 47/2025 specifically mentions a strategic “fifth freedom” route connecting Santiago with Buenos Aires and on to Rio de Janeiro, allowing the airline to pick up passengers in the Argentine capital and fly them to Brazil, thus strengthening regional hubs.

Under the new rules, Latam has fulfilled all legal requirements under bilateral treaties signed between 1996 and 2024, lifting bureaucratic hurdles so that the airline no longer needs new clearances for each new route, provided safety and operational protocols are met.

Latam issued a statement noting that despite the legal green light, an immediate comeback to Argentina's skies will not happen shortly. Latam Argentina folded in 2020, citing an unviable economic and regulatory climate during the pandemic. At that time, it held a 20% share of the local market.

The move has been construed as an end to state-protected monopolies. While Latam currently operates in Argentina only via foreign subsidiaries, the way is now cleared for a rentrée should commercial conditions improve.