EC opens investigation into Polish support to MAN Trucks for factory capacity extension
The European Commission has opened an in-depth investigation to assess whether EUR 26 million granted under investment aid by Poland to MAN Trucks company for extending the capacity of its existing factory in Niepolomice is in line with EU State aid rules, the EC said in a press statement.
In 2024, the Polish authorities notified to the Commission aid of around EUR 26 million for extending the capacity of MAN Trucks' factory in Niepolomice in the Lesser Poland, which is a region eligible for regional aid under EU State aid rules. The investment is expected to create about 1,400 new jobs in the region.
As the EC reported, the aid consists of a direct grant of around EUR 2.4 million and a corporate income tax exemption of around EUR 23.7 million. Poland has decided to grant the aid but has suspended it until the Commission's approval.
The Commission has to assess whether the positive effects of the aid outweigh its negative effects on competition.
At this stage, based on a preliminary assessment, the EC has found that the investment project facilitates the economic development and employment in a less advantaged region of the EU. Nevertheless, the Commission has doubts as to whether the measure is in line with the applicable EU State aid rules, in particular with the Guidelines on Regional State aid.
MAN Trucks, a manufacturer of light/mid-weight and heavy trucks, is part of the German MAN and Volkswagen groups.
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