Thyssenkrupp and Tata fail to overturn the EU’s prohibition of the joint venture
In their battle against a three-year-old European Union antitrust veto of their proposed historic joint venture, Thyssenkrupp and Tata Steel were defeated on Wednesday.
The European Union antitrust veto of Thyssenkrupp and Tata Steel’s proposed historic joint venture three years ago was overturned on June 22 after their arguments were rejected by Europe’s second-highest court.
Through the joint venture, the corporations hoped to address overcapacity and other issues in the steel industry, but the European Commission warned that the agreement would lead to price increases.
The EU competition enforcer blocked the merger in 2019 after determining that the firms had not provided enough remedies to remedy these issues. The companies then appealed the judgement to the General Court in Luxembourg.
“In today’s judgment, the General Court rejects all the arguments raised by the undertaking and upholds the Commissions decision,” the Court said.
The Court of Justice of the European Union, the highest court in Europe, is where the parties may appeal on legal issues.
The case is T-584/19.