Von der Leyen acknowledges problem with multinationals’ tactics, in reply to PM’s letter

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European Commission President Ursula von der Leyen acknowledged that there is problem with the pricing policies adopted by multinational companies in the European Union, in her reply on Friday to a letter sent by Prime Minister Kyriakos Mitsotakis on this issue before the European Parliament elections.

She said that the European Commission has launched a process to investigate the unfair practices of multinationals, which lead to identical or similar products being sold at different prices within the EU.

In her letter, von der Leyen said that she had instructed the European Commission’s services to collect data from all countries so that initiatives may be taken and the EU’s legal and regulatory framework can be made stronger. With this data, Brussels will then launch a dialogue with all parties involved, with scrutiny into company practices and rules that lead to Territorial Supply Constraints, which obstruct the free flow of goods in certain EU countries.

Von der Leyen, who is very likely to stay on for a second term as head of the EU Commission, said the issue of TSCs will be on the Commission’s agenda in its next term and could well lead to the enrichment of the EU’s legal and regulatory ‘arsenal’. She noted that these issues were possibly outside the current framework and that the findings “will allow us to examine various options in areas such as competition or the single market rules,” in order to deal with such unfair practices.

She also thanked Mitsotakis for his “valuable contribution” and the solutions proposed in his letter, expressing confidence that the investigative process will indicate the next steps “so that all European citizens can equally enjoy the benefits of the single market, wherever they might live.”

In his letter, Mitsotakis had spoken of unfair practices by multinationals, which charged different prices for the same or similar products, usually at the expense of consumers in countries with a smaller population.

Source: ANA – MPA

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