Merkel Says Europe Is 'Closely' Watching U.S. Plans on Auto Aid

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German Chancellor Angela Merkel said she and Italian Prime Minister Silvio Berlusconi have asked the European Union to monitor U.S. proposals to prop up its auto industry for signs of anti-competitive practices.

''We are watching the U.S. closely to see what they do on the car industry,'' Merkel told reporters today in the northern Italian city of Trieste during a joint news conference with Berlusconi.

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