Keywords
Summary

Keywords

++++

State aids - Effect on trade between the Member States - Distortion of competition - Aid granted to an undertaking whose activities are confined to the domestic market - No over-capacity

( EEC Treaty, Art . 92 ( 1 ) )

Summary

Aid to an undertaking may be such as to affect trade between the Member States and distort competition where that undertaking competes with products coming from other Member States even if it does not itself export its products and there is no over-capacity in the sector at issue .

Where a Member State grants aid to an undertaking, domestic production may for that reason be maintained or increased with the result that undertakings established in other Member States have less chance of exporting their products to the market in that Member State .