FTC maintains Biden-era merger guidelines – Washington Examiner
The Federal Trade Commission (FTC) Chairman Andrew Ferguson announced that the commission will maintain the merger guidelines established during the Biden administration in 2023. these guidelines, originally updated under FTC Chairwoman Lina Khan, adopt a more aggressive approach to antitrust enforcement regarding mergers. Ferguson affirmed that these guidelines will continue to serve as the framework for merger reviews,emphasizing the importance of stability in enforcement and the need for careful consideration before making any revisions.
In a memo to FTC staff, Ferguson highlighted that while the 2023 guidelines are not perfect, they will remain in effect unless future experiences suggest changes are necessary. Under Biden’s administration, several significant mergers were blocked, such as those between JetBlue and Spirit Airlines and Albertsons and Kroger.
Looking ahead, there are indications that a potential second Trump administration may adopt a more aggressive stance on business and antitrust issues, even though the exact direction remains unclear due to mixed signals. The commission currently has a bipartisan split of 2-2,following Khan’s departure after Trump took office.
FTC maintains Biden-era merger guidelines
Federal Trade Commission Chairman Andrew Ferguson announced that the commission would retain the same merger guidelines established in 2023 under the Biden administration.
The guidelines were updated in 2023 under Biden-era FTC Chairwoman Lina Khan and had a more aggressive approach to antitrust in their guidance for companies when considering mergers. The FTC, now led by Ferguson, said on Tuesday that the 2023 guidelines for mergers are “in effect and will serve as the framework for the FTC’s merger-review analysis.”
“Stability is good for the enforcement agencies. The wholesale rescission and reworking of guidelines is time consuming and expensive,” Ferguson said in a statement.
“We should undertake this process sparingly. We have limited resources to patrol the beat and constant turnover undermines agency credibility,” he added.
In a memorandum sent to FTC staff, Ferguson noted that it is not unusual for guidance to remain unchanged from administration to administration and said that while there is “good reason to retain them,” they are not perfect.
“That is not to say that the 2023 Merger Guidelines are perfect. No guidelines are perfect. If experience teaches that revisions are appropriate, then the agencies can consider revisions as they have done in the past,” the memo said. “For the foreseeable future, and until any such revisions are adopted, the FTC will use the 2023 Merger Guidelines as the framework to do our important merger-enforcement work.”
Under the Biden-era FTC, several mergers were blocked, including proposed mergers between JetBlue and Spirit Airlines and Albertsons and Kroger.
Early signs seem to indicate the second Trump administration’s stance toward business and antitrust will be more aggressive, but mixed messaging has made it unclear if the second Trump term would be a continuation of the Biden administration’s aggressive antitrust policies.
Vice President JD Vance and Khan had come to an agreement on some of the aggressive actions on big business, while Ferguson, who was picked by President Donald Trump as FTC chairman, previously called Khan “anti-business.” Khan stepped down from the commission shortly after Trump entered office.
The commission is bipartisan by design, with the president’s party usually in a 3-2 majority, but it is currently split 2-2.
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