EU launches probe into MMG’s $500 million acquisition of Anglo American’s nickel assets in Brazil

The EU opens a Phase 2 probe into MMG’s $500 million purchase of Anglo American’s Brazilian nickel assets over concerns it could threaten Europe’s ferro-nickel supply and strengthen China’s grip on global nickel.

The European Commission has opened an in-depth antitrust investigation into MMG Ltd.’s $500 million acquisition of Anglo American Plc’s Brazilian nickel operations, citing concerns that the deal could threaten Europe’s access to a key material for stainless-steel production.

EU competition chief Teresa Ribera said the investigation will assess whether the transaction “could jeopardize continued and reliable access in Europe to ferro-nickel supply,” a critical alloying material used in stainless steel.

Regulatory scrutiny and potential remedies

The move marks the launch of a so-called Phase 2 probe, which typically adds around 90 working days to deal reviews and could extend further if regulators request additional data. Officials have until March 20, 2026, to reach a final decision.

Both companies have expressed confidence in the deal. In a joint statement, MMG and Anglo American said they “do not believe the transaction presents competition issues” but will cooperate fully with EU authorities to “comprehensively address any outstanding questions.”

The firms had previously offered a commitment for Anglo to continue purchasing ferro-nickel supplies from MMG’s Codemin and Barro Alto mines in Brazil to ease concerns, but regulators found the remedy insufficient.

Global implications and geopolitical tensions

The acquisition reinforces the expanding influence of Chinese companies over global nickel supply. MMG, listed in Hong Kong, is controlled by China Minmetals Corp., a state-owned mining and trading conglomerate.

The deal has also drawn scrutiny from the United States, where the American Iron and Steel Institute urged the White House to intervene, warning that it could increase China’s control over critical mineral reserves vital for energy transition technologies and defense applications.

What’s next

If EU regulators find the deal poses a serious threat to competition, MMG and Anglo will have to propose structural or behavioral remedies—such as divestitures or long-term supply guarantees—to avoid a potential block.

The European Commission’s decision will be closely watched by both the mining and stainless-steel industries, as it could set a precedent for future Chinese investments in Europe’s critical raw materials sector.