United Airlines CEO Scott Kirby proposed a potential merger between United and American Airlines during a meeting with U.S. President Donald Trump in late February, according to multiple sources. The discussion took place on February 25, three days before the U.S.-Israeli war with Iran triggered a surge in jet fuel prices, prompting airlines to raise fares and fees.
Core Facts & Immediate Action
Kirby pitched the merger idea to Trump administration officials, sources say. The proposed deal would create the largest U.S. airline by market share, significantly reshaping the industry. Both United and American Airlines declined to comment on the reports.
Deeper Dive & Context
Regulatory and Market Implications
A merger between United and American would face substantial regulatory scrutiny, as it would create a dominant player controlling nearly half of the U.S. market. The last major airline consolidation occurred over a decade ago, and regulators may be wary of further tightening an already concentrated industry.
Kirby’s Rationale
Kirby has previously argued that a merged entity would better compete against foreign carriers, which dominate long-haul international routes. In a September 2025 interview, he noted that two-thirds of long-haul seats to and from the U.S. are on foreign airlines, despite 60% of passengers being U.S. citizens. He framed the potential merger as a way to strengthen American competitiveness in global markets.
Industry Reactions
Transportation Secretary Sean Duffy hinted that the Trump administration is open to further consolidation in the aviation sector. However, regulators would likely require evidence that the merger would not harm competition or raise costs for consumers. Industry officials privately expressed skepticism about the merger’s approval chances.
Alternative Expansion Plans
United has also been considered a potential buyer for JetBlue, should market conditions force a sale. Kirby previously suggested that high fuel prices could create opportunities for expansion, though no formal discussions have been reported.
Economic and Political Context
The merger discussion occurred during a White House meeting focused on the future of Dulles Airport. The Trump administration has emphasized reducing U.S. trade deficits, and Kirby framed the merger as a way to bolster American competitiveness in aviation.