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On Friday, the European Commission launched an in-depth investigation into the planned merger between Alstom and Siemens, AFP reported, according to Agerpres.
In March of this year, the German giant "Siemens" and its French rival Alstom signed an agreement on the merger of their railway activities, creating a European leader able to compete with the Chinese company CRRC and the Canadian company "Bombardier "Alstom" manufactures TGV high-speed trains, and the division of rail transport "Siemens" produces high-speed trains ICE
In a press release issued Friday, the community executive expressed concern that this merger could reduce competition for the supply of more than one type of trains and signaling systems.Therefore, Brussels intends to consider whether this transaction "will deprive European rail operators the choice of suppliers and innovative products and will lead to an increase in prices that will ultimately affect millions of Europeans using daily paths "Margrethe Vestager, European Commissioner for Competition
The Commission has set 21 November as the deadline for deciding whether or not to approve the merger. The community executive stresses that the launch of a thorough investigation does not prejudge the outcome of the investigation.
"Alstom" employs 32,800 people worldwide, while Siemens' mobility division employs 28,800 people. The main goal of the alliance is to face the growing competition in China. Their cumulative business figure stands at 15.3 billion euros ($ 18 billion) and the operating result is estimated at 1.2 billion euros. The Chinese company CRRC records an annual business turnover of about 28 billion dollars.
"Alstom" and "Siemens" also have a significant presence in the Romanian market.
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