Press Release: State aid: Commission endorses €33 million aid to Volvo Aero Corporation for GEnx aeroengine component R & D

The European Commission authorised, under the EC Treaty rules on state aid, a repayable advance of SEK 304 million (approx. €33 million) that Sweden intends to grant to Volvo Aero Corporation for the research and development of GEnx aircraft engine components. The GEnx engine is being developed by General Electric for the Boeing B787 and B747-8 aeroplanes. After an in-depth investigation, launched in July 2008, the Commission found that the project complies with the requirements of the EU framework for state aid for Research, Development and Innovation. In particular, the aid addresses a market failure, it enables Volvo Aero to carry out additional research and the aid amount is proportionate to the nature of the market failure.

• Primary Source