PSA Peugeot Citroen on Friday said it was “concerned” about competition in the steel industry when asked to comment on a bid by Mittal for its rival Arcelor, Reuters reported.
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“We have no direct comment or opinion on this operation,” a PSA spokesman told the news agency, adding: “But we are following developments in this important supply sector closely and are already concerned about competition in the industry. We hope that competition will continue to play a role.”
PSA has increased its “supply panel” to more steel groups including non-European companies, the report noted.
Separately, sports car maker Porsche’s finance chief told Reuters it sees no immediate impact from the proposed takeover.
“Let’s wait and see. At the moment we have long-term contracts and thus don’t expect any change,” Holger Haerter told reporters when asked about the potential fallout should the world’s two biggest steelmakers join forces.
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By GlobalData“We have always been able to compensate for higher steel prices with other cost cuts. We are in pretty good shape on raw materials,” he reportedly said.
Reuters noted that Mittal launched an EUR18.6bn bid for Arcelor on Friday in a bold move to consolidate the fragmented industry.
