American Airlines Group Inc. (AAL.US) has no intention of joining forces with United Airlines (UAL.US), thus the vision of forming the world's largest airline group is shattered.

American Airlines Group Inc. (AAL.US) has made it clear that they are currently not engaged in any merger negotiations with their competitor United Airlines (UAL.US) and have no interest in doing so. This statement significantly cools the prospects of a deal that could reshape the global aviation industry. Earlier reports suggested that United Airlines' CEO Scott Kirby presented a merger proposal with American Airlines Group Inc. to President Trump in February. However, American Airlines Group Inc. stated in a Friday evening declaration that such a merger would not be wise. In their statement, American Airlines Group Inc. stated: "While adjustments may be necessary in the entire aviation market, a merger with United Airlines would have negative impacts on competition and consumers. Therefore, this move does not align with our understanding of airline governance under this administration and antitrust principles." United Airlines declined to comment. Amidst the impact of the U.S.-Iran conflict, major U.S. airlines are struggling to cope with the pressure of rising aviation fuel prices. The uncertainty of the situation has once again pushed the topic of industry consolidation to the forefront. Kirby told employees in a memo last month that if there is a consolidation in the industry as oil prices and fuel costs rise, the airline company could benefit from it and possibly seize acquisition opportunities. United Airlines and American Airlines Group Inc. are among the top four airlines in the U.S. with a combined market share of over one-third. A merger between the two would create the largest airline in the world. Therefore, any merger between these two aviation giants would raise serious concerns about monopolies and could face strong opposition from consumers, politicians, and other U.S. airlines. It is worth noting that U.S. Transportation Secretary Sean Duff recently hinted in an interview that he would approve possible mergers between U.S. airlines and said that Trump "is happy to see big deals happen". On Friday, as the easing of tensions in the Middle East pushed international oil prices to plummet, American Airlines Group Inc. stocks surged collectively. American Airlines Group Inc. rose over 4%, United Airlines rose over 7%, Alaska Air Group, Inc. (ALK.US) rose over 10%, Southwest Airlines Co. (LUV.US) rose over 5%, and Delta Air Lines, Inc. (DAL.US) rose nearly 3%.