Brussels has launched an investigation into whether a planned $130bn merger between US chemicals giants Dow Chemical and DuPont would limit competition for supplies that are crucial to Europe’s farmers.
The move raises the prospect of an unwinding of a series of megamergers that are under way. The deals would reshape the agrochemicals industry and put control of nearly two-thirds of it in the hands of just three companies.
It could also exacerbate strained transatlantic relations over EU inquiries into corporate America’s business practices. Past European Commission investigations into big US deals — including blocking GE’s attempt to acquire Honeywell in 2001 and complicating Boeing’s 1997 takeover of McDonnell Douglas — have sparked intense disputes between Washington and Brussels.