EN Case No COMP/M.7252 - HOLCIM / LAFARGE Only the English text is available and authentic. REGULATION (EC) No 139/2004 MERGER PROCEDURE Article 6(1)(b) in conjunction with Art 6(2) Date: 15/12/2014 In electronic form on the EUR-Lex website under document number 32014M7252 Office for Publications of the European Union L-2985 Luxembourg EUROPEAN COMMISSION Brussels, 15.12.2014 C(2014) 9962 final In the published version of this decision, some information has been omitted PUBLIC VERSION pursuant to Article 17(2) of Council Regulation (EC) No 139/2004 concerning non-disclosure of business secrets and other confidential information. The omissions are shown thus […]. Where possible the information omitted has been replaced by ranges of figures or a general MERGER PROCEDURE description. To the notifying party Commission européenne, B-1049 Bruxelles / Europese Commissie, B-1049 Brussel - Belgium. Telephone: (32-2) 299 11 11. TABLE OF CONTENTS I. THE PARTIES............................................................................................................6 II. THE OPERATION......................................................................................................6 III. EU DIMENSION ........................................................................................................6 IV. OVERVIEW OF PRODUCTS AND THE PARTIES' ACTIVITIES ........................7 IV.1. Overview of the building materials industry.....................................................7 IV.2. The Parties' activities.......................................................................................10 V. ANALYTICAL FRAMEWORK ..............................................................................12 V.1. Analytical framework – non-coordinated and coordinated effects .................13 V.2. Analytical framework – vertical relationships ................................................14 VI. MARKET DEFINITION AND COMPETITIVE ASSESSMENT...........................14 VI.1. Grey cement.....................................................................................................15 VI.1.1. Relevant product market definition...................................................15 VI.1.1.1. Past decisional practice......................................................15 VI.1.1.2. The Notifying Party's arguments.......................................15 VI.1.1.3. Responses to the market investigation ..............................15 VI.1.1.4. Conclusion on the relevant product market.......................16 VI.1.2. Relevant geographic market definition .............................................16 VI.1.2.1. Past decisional practice......................................................16 VI.1.2.2. The Notifying Party's arguments.......................................17 VI.1.2.3. Responses to the market investigation and the Commission’s assessment .................................................17 VI.1.2.4. Conclusion on the relevant geographic markets................18 VI.1.3. Competitive assessment.....................................................................18 VI.1.3.1. Methodology for the calculation of market shares............19 VI.1.3.2. Austria ...............................................................................21 VI.1.3.3. Bulgaria .............................................................................23 VI.1.3.4. Croatia ...............................................................................24 VI.1.3.5. Czech Republic..................................................................29 VI.1.3.6. France (Métropole)............................................................32 VI.1.3.7. France (Réunion)...............................................................45 VI.1.3.8. Germany ............................................................................47 VI.1.3.9. Hungary .............................................................................48 VI.1.3.10. Romania.........................................................................48 VI.1.3.11. Slovakia .........................................................................48 VI.1.3.12. Spain ..............................................................................48 VI.1.3.13. United Kingdom ............................................................48 VI.1.4. Conclusion on grey cement ...............................................................48 VI.2. READY-MIX CONCRETE ............................................................................48 VI.2.1. Relevant product market definition...................................................48 VI.2.1.1. Past decisional practice......................................................48 2 VI.2.1.2. The Notifying Party's arguments.......................................48 VI.2.1.3. Responses to the market investigation ..............................48 VI.2.1.4. Conclusion on the relevant product market.......................48 VI.2.2. Relevant geographic market definition .............................................48 VI.2.2.1. Past decisional practice......................................................48 VI.2.2.2. The Notifying Party's arguments.......................................48 VI.2.2.3. Responses to the market investigation ..............................48 VI.2.2.4. Conclusion on the relevant geographic market .................48 VI.2.3. Competitive assessment.....................................................................48 VI.2.3.1. Methodology for the calculation of market shares............48 VI.2.3.2. France (Métropole)............................................................48 VI.2.3.3. France (Réunion)...............................................................48 VI.2.3.4. Romania.............................................................................48 VI.2.3.5. United Kingdom ................................................................48 VI.2.3.6. Spain..................................................................................48 VI.2.3.7. Germany and Poland .........................................................48 VI.2.4. Substantial part of the internal market...............................................48 VI.2.5. Conclusion on RMX..........................................................................48 VI.3. Aggregates.......................................................................................................48 VI.3.1. Relevant product market definition...................................................48 VI.3.1.1. Past decisional practice......................................................48 VI.3.1.2. The Notifying Party’s arguments ......................................48 VI.3.1.3. Responses to the market investigation ..............................48 VI.3.1.4. Conclusion on product market definition..........................48 VI.3.2. Relevant geographic market definition .............................................48 VI.3.2.1. Past decisional practice......................................................48 VI.3.2.2. The Notifying Party's arguments.......................................48 VI.3.2.3. Responses to the market investigation ..............................48 VI.3.2.4. Conclusion on geographic market definition ....................48 VI.3.3. Competitive assessment.....................................................................48 VI.3.3.1. The Parties' activities.........................................................48 VI.3.3.2. Methodology for the calculation of market shares............48 VI.3.3.3. France (Métropole)............................................................48 VI.3.3.4. Réunion .............................................................................48 VI.3.3.5. Romania.............................................................................48 VI.3.3.6. United Kingdom ................................................................48 VI.3.3.7. Belgian/French border region, German/Polish/Czech border region, Hungarian/Slovakian border region and Spain..................................................................................48 VI.3.4. Substantial part of the internal market...............................................48 VI.3.5. Conclusion on aggregates..................................................................48 VI.4. Asphalt 48 VI.4.1. Relevant product market definitions .................................................48 3 VI.4.1.1. Past decisional practice......................................................48 VI.4.1.2. The Notifying Party's arguments.......................................48 VI.4.1.3. Conclusion on the relevant product market.......................48 VI.4.2. Relevant geographic market definitions............................................48 VI.4.2.1. Past decisional practice......................................................48 VI.4.2.2. The Notifying Party's arguments.......................................48 VI.4.2.3. Responses to the market investigation ..............................48 VI.4.2.4. Conclusion on the relevant geographic market .................48 VI.4.3. Competitive assessment.....................................................................48 VI.4.4. Substantial part of the internal market...............................................48 VI.4.5. Conclusion on asphalt........................................................................48 VI.5. Contract surfacing ...........................................................................................48 VI.5.1. Relevant product market definition...................................................48