German State Aid to BMW and Volkswagen Under Investigation

Huw Evans
by Huw Evans

Given the current financial struggles plaguing many of the European Union member states, legislators are paying closer attention to aid granted for various programs. In the case of Germany, EU investigators have opened a probe regarding state funding supplied to automakers BMW and Volkswagen.

The former concerns aid of some EUR 46 million, granted to BMW for investment in its Leipzig, Saxony manufacturing facility (shown) where the company plans to produce Electric Vehicles.

In the case of Volkswagen, a grant of some EUR 83.7 million aimed at that company’s manufacturing facility in Zwickau, is under scrutiny.

In an official line from Brussels, the European Commission has stated, in relation to the funding that it “has doubts whether Germany’s suggestions for the definition of the relevant market… can be accepted.”

[Source: Just Auto]

Huw Evans
Huw Evans

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