BRUSSELS – Poland cannot disburse approximately €26 million in State aid for the expansion of the MAN Trucks factory in Niepołomice. The European Commission concluded on Monday, 5 October, that the planned support is incompatible with EU State aid rules.
The measure concerns approximately €26 million, or PLN 116 million, which Poland had granted to MAN Trucks Sp. z o.o. to expand production capacity at its truck factory in Niepołomice in the Małopolskie region.
The European Commission opened an in-depth investigation into the support measure in July 2025.
Economic development and employment
In its preliminary assessment, the Commission acknowledged that the investment project facilitates economic development and employment in a less advantaged region of the European Union.
However, the Commission had doubts as to whether the planned support complied with the EU Guidelines on Regional State Aid.
Following its in-depth investigation, the Commission has now concluded that Poland failed to demonstrate that the aid was decisive for MAN Trucks’ decision to locate the investment in Poland.
No evidence of alternative location
Regional State aid must, among other requirements, have a genuine incentive effect. In other words, the financial support must effectively encourage a company to invest in a specific region.
According to the European Commission, the evidence did not demonstrate that MAN would have invested at another location without the Polish support.
Poland also failed to demonstrate that the proposed amount of aid was the minimum necessary to attract the investment to the region. The Commission therefore concluded that the support was not proportionate.
Poland cannot disburse aid
The European Commission concluded that the financial support did not have a genuine incentive effect and that the amount of aid was not proportionate.
As a result, the planned support is incompatible with EU State aid rules and Poland cannot disburse the approximately €26 million to MAN Trucks.
EU rules allow regional State aid under certain conditions to support economic development and employment in less developed regions. Among other requirements, aid must be limited to the minimum amount necessary and must not divert investment from another EU region that is equally or more economically disadvantaged.
The non-confidential version of the decision will be published in the European Commission’s State aid register under case number SA.114436 once confidentiality issues have been resolved.
