Brazil: Regulator voices doubts over ArcelorMittal merger

Brazilian competition regulator Cade has voiced its concerns about the effect that the proposed merger between ArcelorMittal Brasil and Votorantim Siderurgia would have on the local steel wire market.

The companies have been in talks with Cade’s technical team to propose solutions that will avoid market concentration, which include the transfer of assets to other companies. But the proposed remedies would have no effect on the wire market.

The resulting concentration in the Brazilian wire rod market would be considered “problematic” because the material “is an important resource in the production chain,” according to economic researchers at CADE.

Full Content: Metal Bulletin

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