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Image header Agence Europe
Europe Daily Bulletin No. 9542
Contents Publication in full By article 20 / 29
GENERAL NEWS / (eu) eu/state aid

Commission opens in-depth inquiry into planned French R&D aid for Peugeot-Citroen for hybrid diesel cars

Brussels, 13/11/2007 (Agence Europe) - On Tuesday 13 November 2007, the European Commission launched an in-depth investigation to determine whether €96 million in state aid, which France is planning to grant Peugeot-Citroen and other partners for the development of a hybrid diesel car (VHD), is compatible with EU treaty state aid rules. The Commission fully supports the development of less polluting cars but in this case, the Commission thinks it is likely that Peugeot-Citroen, the second largest car manufacturer in Europe, would have undertaken the project anyway, even in the absence of a state subsidy, given that other car-makers would have announced similar projects for less environmentally-damaging cars. The launch of an in-depth investigation gives the interested parties an opportunity to comment on the planned measures and does not prejudge the outcome of the procedure. (C.D.)

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