LAN Argentina (Buenos Aires Jorge Newbery) will temporarily suspend its Buenos Aires Jorge Newbery to Bahia Blanca route from July until August on the back of an increasingly acrimonious relationship with the Argentine government.

According to Chile's Santiago Times newspaper, the LAN Airlines (Santiago de Chile) subsidiary told employees in an internal memo that the various conflicts the airline has had with the Argentine government in the last 2 years have been part of a concerted effort to drive the carrier out of local market.

"The various conflicts of the last 24 months are part of a concerted effort by external actors who are conspiring to gradually force us out of the market," it said.

Among the woes listed include the carrier's near eviction from Buenos Aires Jorge Newbery late last year by Argentina’s state-owned airport regulator, ORSNA, as well as a battle with the state-owned handling company, Intercargo, over the use of aerobridges and other groundhandling concerns.

“[Maintenance cuts have] damaged our service and resulted in our planes being grounded for many additional hours, tripling the amount of time in the airport, which has resulted in constant cancelations, rescheduling and [which has] deteriorated the service provided to our passengers.”

While not officially confirmed, it is believed Buenos Aires is leveraging pressure on LAN Argentina to gain access for its own carriers to the Chilean and Brazilian markets, home to both LATAM Group founders, LAN Airlines and TAM Linhas Aéreas (São Paulo Congonhas).