Summary
LATAM strategically connects Santiago with key North American cities to solidify its dominance in South America.
American Airlines maintains the crucial Miami-Santiago route to secure its Latin American market share.
Delta’s Atlanta-Santiago route strengthens its global network and taps into the expanding U.S.-Chile trade markets.
With Chile’s stunning landscapes, robust economy, and Santiago’s growing influence as a South American hub, it’s no surprise that U.S. carriers are heavily invested in these routes. But it’s not just about filling seats—it’s about strategic positioning in an increasingly competitive market. Let’s dive into the numbers and see what’s really going on.
Routes overview
Chile’s capital, Santiago (SCL), is connected to several major U.S. cities through a series of nonstop routes. These aren’t just random flights; they’re carefully selected routes that reflect the airlines’ broader strategies. LATAM, American Airlines, and Delta Air Lines are the key players here, each bringing something different to the table.
Photo: Miguel Lagoa | Shutterstock
Route
Distance (miles)
Operations (Aug 2024)
Total Seats
Aircraft Type
Why It Matters
LATAM
JFK⇔SCL
5,096 (10,192 RT)
31 (62 RT)
16,689
Boeing 787-8
This route connects New York’s financial hub with Santiago, facilitating business and corporate travel.
LATAM
LAX⇔SCL
5,569 (11,138 RT)
31 (62 RT)
17,074
Boeing 787-8 and 787-9
Links Los Angeles with Santiago, tapping into the entertainment industry’s growing connections between Hollywood and Chile.
LATAM
MCO⇔SCL
4,307 (8,614 RT)
10 (20 RT)
4,940
Boeing 787-8
Orlando might seem like an odd choice, but it’s all about capturing the South American leisure market flocking to Florida’s theme parks. Flights are currently scheduled Thursdays and Sundays.
LATAM
MIA⇔SCL
4,117 (8,234 RT)
53 (106 RT)
31,022
Boeing 787-8 and 787-9
Miami is the Latin American capital of the U.S., and this route is crucial for both business and family travel between the regions.
American
MIA⇔SCL
4,117 (8,234 RT)
31 (62 RT)
14,508
Boeing 787-8
Miami is American’s stronghold, and this route is key to maintaining their market share in South America while connecting corporate and leisure travelers to Santiago.
Delta
ATL⇔SCL
4,695 (9,390 RT)
31 (61 RT)
19,269
Airbus A350-900
Delta’s connection from its Atlanta hub to Santiago helps strengthen its global network and taps into the growing U.S.-Chile trade and tourism markets.
Source: Cirium, an aviation analytics company
Breaking down the strategies
So why are these airlines flying these routes? It’s not just about business and leisure, though those are certainly big factors. It’s about control of lucrative markets, control of key routes, and control of strategic hubs.
According to
Focus Economics
, Chile is one of Latin America’s wealthiest nations. Chile’s nominal GDP is the fifth largest in Latin America and among the highest in per capita terms, after Puerto Rico and Uruguay.
LATAM: LATAM’s dominance in South America is undisputed, and its strategy is clear: consolidate that dominance by tying Santiago to key North American cities. These routes are not just about catering to demand; they’re about asserting LATAM’s position as the go-to carrier for intercontinental travel in the region. By anchoring its hub in Santiago with routes to the financial capitals of New York and Los Angeles, and the tourism hotspot of Orlando, LATAM ensures a steady flow of passengers and cargo. Plus, the Miami route is a lifeline for the diaspora and businesses with deep ties to the U.S. LATAM knows its market, and it’s making sure no competitor can muscle in without a fight. American Airlines: For AA, the Miami-Santiago route is more than just a connection—it’s a lifeline to Latin America. Miami is the focal point of American’s international operations in the region, and holding onto that market share is crucial. Santiago is not just another dot on the map; it’s a growing hub that links American to the rest of South America. Maintaining this route helps AA keep a foothold in a region where competition is increasing, particularly from LATAM and Delta. American is also looking at the freight potential, with Chile being a significant exporter of goods like wine and fresh produce. Delta Air Lines: Delta’s decision to connect Atlanta with Santiago is a calculated move in their global strategy. Atlanta is Delta’s powerhouse hub, and linking it with Santiago gives Delta a strong presence in South America. This route allows Delta to offer a one-stop connection from Chile to virtually anywhere in the world via Atlanta, which is a major selling point for both business and leisure travelers. Moreover, Delta is making a play for the cargo market, recognizing the growing trade between the U.S. and Chile, particularly in sectors like agriculture, technology, and mining.
We toured the recently opened new international T2 in Santiago’s airport.
Market dynamics and challenges
While these routes might seem straightforward, the market dynamics are anything but. The U.S.-Chile market is influenced by various factors, including economic conditions, political stability, and even seasonal demand. For instance, the tourism market is heavily influenced by Chile’s appeal as a destination for adventure travel, with its diverse landscapes ranging from the Atacama Desert to Patagonia. Conversely, the business travel market is driven by Chile’s strong mining sector and its role as a gateway to South America for multinational corporations.
The LATAM Lounge is located in Santiago de Chile’s new Terminal 2. Photo: Daniel Martínez Garbuno | Simple Flying.
However, these airlines are also navigating a landscape filled with challenges. Rising fuel costs, fluctuating exchange rates, and the lingering effects of the COVID-19 pandemic continue to impact operations. Additionally, there’s the competition—not just from within the U.S., but also from European carriers that offer one-stop connections to Santiago via their hubs.
Aircraft Choices: What’s Flying and Why
The aircraft choices on these routes aren’t random either. Each plane is chosen for its ability to maximize efficiency, capacity, and range.
Boeing 787-8 and 787-9 Dreamliner: This is the perfect plane for long-haul routes like JFK-SCL and LAX-SCL. It’s fuel-efficient, capable of flying long distances, and offers a good balance of passenger capacity and comfort. The Dreamliner is also a quieter aircraft, which is a bonus for passengers on these long flights.
Wrapping it up
In the end, the U.S.-Chile routes are a battleground for market share, brand loyalty, and global connectivity. LATAM, American Airlines, and Delta Air Lines are executing strategies that will shape their future in one of the world’s more dynamic aviation markets. These routes are about more than just transporting passengers from point A to point B—they’re about securing the future of these airlines in a competitive and ever-changing market.
So, the next time you see one of these flights on the departure board, remember: there’s a lot more going on behind the scenes than just getting passengers from point A to point B.
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Publish date : 2024-08-06 13:00:00
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