Siemens AG and Alstom SA suffered the final blow to their rail merger plans after European Union antitrust regulators refused to cave in to warnings about the looming threat of Chinese competition.
EU Competition Commissioner Margrethe Vestager formally vetoed the tie-up, saying the companies “were not willing to address our serious competition concerns” about the combined firm’s control over rail signaling systems and very high-speed trains.
Margrethe Vestager on Feb. 6.
Photographer: Aris Oikonomou/AFP via Getty Images
The decision is a victory for Vestager who came under intense pressure from French and German ministers demanding the creation of a European “champion” able to meet head-on competition from China. The tie-up—unveiled ...