Memo: State aids: the Commission obtains guarantees from the French government on the absence of protectionist measures in the French plan for aid to the automotive sector

In a letter sent today to Mrs Neelie Kroes, Commissioner for Competition, from Mr Luc Chatel, Secretary of State for Industry, the French authorities undertook not to implement aid measures to the automotive sector that would contravene the principles of the internal market. In particular, the loan agreements with manufacturers would not contain any condition regarding either the location of their activities or a preference for France-based suppliers. This letter followed repeated contacts between the Commission and the French authorities since the announcement of the French plan for aid to the automotive sector on 9 February this year.

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