Juncker rejects gripes that EU blocks mergers

BRUSSELS (Reuters) – European Commission President Jean-Claude Juncker said on Tuesday the EU executive was not needlessly blocking corporate mergers, a comment seemingly aimed at complaints in France and Germany over its expected rejection of a merger between Siemens’ and Alstom’s rail businesses.

In a speech to industrialists, Juncker said the Commission had only ever blocked 30 mergers and approved more than 6,000.

“This is a message for those who are saying that the Commission is composed (of) stubborn technocrats,” he said.

“This shows that we believe in competition as long as it is fair for all. We will never play politics or play favorites when it comes to ensuring a level playing field.”

The German and French governments, the most powerful of the EU’s member states, have lobbied hard for their respective companies, Siemens and Alstom (PA:), to be allowed to merge their rail businesses in order to better compete in Europe and abroad with big Chinese rivals.

But people familiar with the case expect the Commission to reject the plan, possibly as early as Wednesday, on the grounds that it would reduce choice and competition for customers in the European Union.

The case has prompted a debate within the Commission, whose mandate ends late this year, on whether the EU should revise its competition rules and policies in ways that some argue would better allow European companies to compete globally.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.