European Competition Commission on Mergers

Article 81 covers restrictive practices such as cartels and collusion

Article 82 Prohibits abuse of dominant market position
EU can investigate any merger with combined sales of more than 250 Euros in EU area

The Commission has allowed many mergers e.g. Volvo / Renault Trucks despite having 58% of the market because the prospects for competition were good
By 1996 only 5 mergers had been stopped often the EU accepted the companies recommendation
The Eu blocked a merger between Lornrho (UK) and Gencor (S.A.) which would have created a virtual duopoly in Platinum which is important because there are few substitutes to Platinum
The EU Competition commission fined Steel producers a total of 248 Euros for forming a cartel, e.g. despite a recession which usually sees prices falling prices remained high
There is a tension between those within the EU who want to control monopoly power and those who want to promote international competition