Thyssenkrupp, Tata Steel lose fight against EU veto of joint venture

BRUSSELS: Thyssenkrupp and Tata Steel lost their fight on Wednesday against a European Union antitrust veto of their proposed landmark joint venture three years ago, after Europe’s second-highest court rejected their arguments.

The companies had sought to tackle over-capacity and other challenges in the steel industry via the joint venture but the European Commission said the deal could result in price hikes. The EU competition enforcer in its 2019 decision said the companies had not offered sufficient remedies to address such concerns, forcing it to block the deal and the companies to challenge the finding at the Luxembourg-based General Court.

“In today’s judgment, the General Court rejects all the arguments raised by the undertaking and upholds the Commission’s decision,” the Court said.

The parties can appeal on matters of law to the Court of Justice of the European Union, Europe’s top court.