Press Release: State aid: Commission opens in-depth investigation into funding to Volvo Aero for aircraft engine components

The European Commission opened an in-depth investigation, under EC Treaty state aid rules, into €39 million of public funding notified by Sweden for a research and development project lead by Volvo Aero Corporation. The project concerns components for GEnx, an engine developed by General Electric for aircraft such as Boeing's 787 and 747 models. The Commission's concerns include doubts about whether a market failure exists and whether the project would not have been undertaken in the absence of the aid (i.e. absence of incentive effect). The opening of an in-depth investigation gives interested parties the possibility to comment on the proposed measure. It does not prejudge the outcome of the procedure.

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