Just seven of the 42 people on board survived when their plane crashed into Winter Hill in Lancashire in thick fog on 27 February 1958.
The tragedy came just three weeks after the Munich air disaster.
Most on board were mechanics, engineers and motor traders from the Isle of Man who were on their way to visit the Exide battery factory in Manchester.
A service, organised by the Rotary Club of Douglas, was held this morning at the Winter Hill Memorial in St John's.
A spokesman said it was an opportunity to "remember those who lost their lives and their loved ones."
He added: "It was also a chance to give thanks to the residents of Horwich."
Horwich Rotary Club members were among the first on the scene in 1958 and were heavily involved in rescue attempts.
Emergency crews dug through 6ft (2m) snowdrifts to reach the injured.
A memorial service to commemorate the 35 victims of the Winter Hill air disaster has been held on the island.