Brussels reviews Hungarian government's support for Audi expansion
The European Commission is reviewing €133.3 million in state support for an expansion of German carmaker Audi's base in Hungary, Hungarian daily Magyar Nemzet said today.
The EC confirmed that a review of whether the support conforms to rules on state aid is underway, responding to a query by the paper.
The National Economy ministry confirmed for the paper that the government had decided on "HUF 44.96 bln (€150.03 mln) in support, which at current values is equivalent to HUF 39.952 bln (€133.3 mln)," the newspaper said.
The paper noted that the government earlier said it would support the investment with HUF 11.2 bln, about one-fourth of the size of the grant under scrutiny by Brussels.
Audi launched production at the €900 mln plant expansion at its base in Győr in the summer of 2013. The added capacity has been a key factor behind Hungary's growing industrial output as well as GDP growth.
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