FILE PHOTO: The logo of Samsung Electronics is seen at its office in Seoul, south korea, south africa, South Korea, January 7, 2019. REUTERS/Kim Hong-Ji)
BRUSSELS (Reuters) – european antitrust regulators, on Monday, expressed doubt that Budapest is planning to provide € 108 million ($119.2 million) and Samsung SDI, a battery cell production facility in Hungary to comply with eu rules on state aid.
The European Commission has launched an investigation, saying that it has doubts whether the aid has an incentive effect and whether or not it is a stimulus to regional development. Also, the concern that the measure could attract jobs from other EU countries to the territory of Hungary.
Samsung SDI is investing about 1.2 billion euros in the expansion of the plant to the supplying of the electric vehicle.
Reporting by Foo Yun Chee; editing by Jan Strupczewski