Calls for ATC Privatization Reemerge Amid U.S. Shutdown

Kevin Rozario

London

November 12, 2025

mod sfo control tower ATCT FlySFO

Distinctive: SFO's control tower.

© FlySFO

The longest ever shutdown of the U.S. government officially ended today (Wednesday) with President Trump signing a bipartisan funding bill that will last until January 30, 2026. During the 43-day period, which began on October 1, air traffic was disrupted, with routes also cut for safety reasons, and there were renewed calls for the privatization of air traffic control (ATC).

Starting November 7, 2025, the Federal Aviation Administration (FAA) initiated a 4% reduction in flight capacity at 40 of the busiest U.S. airports, affecting thousands of flights. The emergency order—driven by severe staffing shortages among unpaid air traffic controllers—ramped up to 6% by November 11, and was set to hit 10% by November 14.

The escalating crisis was not a good look for the United States as major international hubs like Atlanta, New York’s JFK, LAX, and Chicago’s O’Hare were affected. Inevitably, there were renewed calls for the privatization of ATC services, something the last Trump administration unsuccessfully tried to get off the ground.

While there is plenty of resistance to the privatization of U.S. airports, the private sector has made inroads into various aspects of American airport operations, with New York’s JFK being a good case; for example with T6 and the New Terminal One.

Whether ATC may evolve similarly is doubtful, as opposition is even stronger. Notwithstanding the Trump administration's liking of the idea, there is general political resistance, as well as union opposition to any type of structural reform. Even a successful nonprofit model such as NAV Canada, formed under the Civil Air Navigation Services Commercialization Act in 1996, is unlikely to make headway.

JFK T1

Private sector participation is emerging in different ways in U.S. aviation. Shown here is T1 at JFK.

© The Port Authority of New York and New Jersey / Flickr

ATC Privatization: A Step Too Far?

Though ACI North America has not taken a formal stance on ATC privatization, it generally supports investment in modernization and operational resilience. Meanwhile, Airlines for America (A4A) backed the 2017 Trump administration proposal to spin off ATC, but has made no comment this time around.

On the other hand, the Aircraft Owners and Pilots Association (AOPA) has made its opposition very clear. The organization felt that during the shutdown, its members were unfairly impacted. AOPA Senior Vice President of Government Affairs and Advocacy Jim Coon, said on Monday: “It was appropriate for the FAA to equitably reduce aircraft operations on our public-use aviation system due to the shutdown. However, to completely lock out all general and business aviation at a number of airports across the country is a disproportionate response.”

On the renewed calls for privatizing the ATC system, AOPA said that “earlier this year, as ongoing ATC modernization efforts were getting underway, the entire aviation industry—along with Transportation Secretary Sean Duffy—united against privatization.”

Coon added more strongly: The aviation industry has moved on from the divisive and repeatedly failed push for so-called ‘privatization.’ Now is the time to focus on updating our air traffic system and invest in our controller workforce. Through the Modern Skies Coalition, the entire aviation industry stands behind modernizing our ATC system, which is focused on replacing outdated technology to ensure continued safety and system efficiencies.”

He continued: “Handing over our aviation system to private interests will not solve the challenges we face today. Supporters of privatization often point to systems in Canada, the UK, and elsewhere as examples, but they all face their own staffing shortages, delays, and funding challenges.”