The measure, which will take the form of a cash grant and of a tax credit, will support Sunwoda Hungary’s EUR 1.43 billion investment.
The EC said this will incentivise the company to center its investment in Hungary and contribute to the economic development of Nyíregyháza, by creating over 2,500 jobs directly and over 470 indirectly.
The project will produce lithium-ion battery cells that can power electric vehicles and support the transition to a low-carbon economy. The EC approved the Hungarian measure as it found that it will contribute to the economic development, employment and competitiveness of a disadvantaged region.
In addition, the Commission concluded that the aid is necessary and appropriate. The EC also said the aid has an incentive effect, as the beneficiary would not have carried out the project in the European Economic Area without the public support.
Finally, according to MTI, the Commission found that the measure is proportionate, as it is limited to the minimum necessary to trigger the investment in Hungary.
Producing journalism that is worthy of the name is a costly business. For over 30 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
