Siemens and Alstom’s plan of creating a European rail champion to grapple with the gauntlets of intense global competition had been compromised on Wednesday, the 6th of February, 2019, as European Union regulators blocked the Siemens-Alstom merger deal, calling France & Germany for a reform on EU competition policy.
Besides, the European Commission had also rejected a German copper company’s bid to purchase a unit from Aurubis, the biggest copper smelter in Europe, arguing that awarding the bid in favor of Germany’s Wieland-Werke AG would push the prices higher.
r These critical vetoes would likely to prompt Germany and France to tie the loose ends of EU competition rules in order to make the region more global than solely European when it comes to mergers.
Shortly after the declaration of EU commission, the German Economy minister, Peter Altmaier had been quoted saying in a press briefing that the Paris and Berlin would soon unveil a proposal in order to alter the European Competition rules, that could allow large cross-border mergers.
While the French Alstom branded the vent as a clear pullback for the European industries, the Chief Executive of Germany’s Siemens, Joe Kaeser told that Europe required reform in a near-term outlook to allow its companies to compete.
Harshly criticizing the EU antitrust policy, in a written statement, Kaeser added, “Protecting customer interests locally must not mean that Europe cannot be on a level playing field with leading nations like China, the United States and others.