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To: ScaniaBoy

But Volvo is now part of Ford as Saab is Part of GM.... that somehow doesn't speak the language of european protectionism.


9 posted on 09/26/2006 2:51:16 AM PDT by Rummenigge (there's people willing to blow out the light because it casts a shadow)
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To: Rummenigge
VW who is a majority share owner of Scania Lorries has declined MAN's offer, so I guess that is that.

As to the other question Volvo (cars not lorries) is owned by Ford, and SAAB is part of GM, that's true. However, SAAB was sold to GM in 1990, well before Sweden's entry into the EU. Volvo sold its car making division (but not lorries) to Ford in 1999, though.

However, my point was that SAAB and Volvo were two small car making companies, in a peripheral country of the EU. The combination of Scania and Volvo lorries would have created a very strong company world wide, and it would definitely have been a strong competitor to some well known brands in some countries very central to the EU. However, not even the combination of the two Swedish companies would have reached a monopoly position in Europe (of course), which is why the Commission had to come up with the inane reason that it would cause problems for Swedish consumers.

This was discussed very intensely in Swedish trade and economics journals at the time, the only link to this story in English that I have been able to find is this one:

http://homepages.ulb.ac.be/~dtraca/research/cases/Volvo-Scania.pdf


10 posted on 09/26/2006 6:17:10 AM PDT by ScaniaBoy (Part of the Right Wing Research & Attack Machine)
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