According to a recent statement by the European Commission, it has provided Italian steelmaker Acciaierie d'Italia (formerly Ilva) with a €390 million loan to cover its operating costs until a new operator is selected.
The decision follows a proposed revision to the 2014 Rescue and Restructuring Guidelines (Rescue and Restructuring Guidelines). R&D) to include the steel sector among those that could benefit from the assistance. In particular, Article 107(3)(c) of the Treaty on the Functioning of the European Union (TFEU) allows Member States to support the development of certain economic activities under certain conditions, as long as such assistance does not have a negative impact on the terms of trade.
The Commission approved the assistance because it “does not have an undue impact on competition with other steel producers and trade in the internal market”, and taking into account that:
- The Acciaierie d'Italia rescue loan prevents social hardship, particularly in Puglia, a region where unemployment is consistently above the EU average.
- Its amount is limited to projected liquidity shortfalls and normal operating costs.
- Italy will submit a restructuring plan, liquidation plan or confirmation of indemnity.
- Neither the company nor its predecessor have received assistance in the last ten years.
The EU note mentions that Italy has faced an infringement procedure since 2013 because it failed
