ANNOUNCEMENT 30 May 2012

In May 2012, the government of Spain announced a change in its trade finance instruments.

NUMBER OF INTERVENTIONS

2

  • 0 harmful
  • 2 neutral
  • 0 liberalising
Inception date: 30 May 2012 | Removal date: 28 Dec 2014
Still in force

Trade finance

On 30 May 2012, the European Commission approved a prolongation of the horizontal aid and export financing schemes for the Spanish shipbuilding industry. Both schemes, originally approved on 3 March 2004, were prolonged until 31 December 2013 and the annual budgets of respectively 20 million EUR and 38 million EUR kept.
However, the export financing scheme was extended to also include ships with over 100 gross tons, while the horizontal aid scheme was amended to include a maximum aid intensity of 20%. Furthermore, the state aid will no longer finance "fundamental research" and does not allow colaborations between private entities and research organisations. (par.8, letter from the EC to Spain, 30.05.2012)
In the letter to the member state, the Commission argued that "on the basis of the foregoing assessment and taking into account the commitments of the Spanish authorities, the Commission considers that the notified aid measures continue to be compatible with the internal market." (par. 37)
Update 1:
On 19 December 2013, the European Commission granted a further extention of the schemes until 30 June 2014. The export financing programme would receive a further 45 million EUR, whereas the horizontal aid one another 10 million EUR in the time frame. As these budget changes are not substantial, the prolongation shall not be classified as a new measure.
Update 2:
On 30 June 2014, the EC allowed the extention of the horizontal aid scheme (only the research & innovation and innovation parts) until 31 December 2014.

AFFECTED SECTORS

 
Inception date: 30 May 2012 | Removal date: 28 Dec 2014
Still in force

State aid, nes

On 30 May 2012, the European Commission approved a prolongation of the horizontal aid and export financing schemes for the Spanish shipbuilding industry. Both schemes, originally approved on 3 March 2004, were prolonged until 31 December 2013 and the annual budgets of respectively 20 million EUR and 38 million EUR kept.
However, the export financing scheme was extended to also include ships with over 100 gross tons, while the horizontal aid scheme was amended to include a maximum aid intensity of 20%. Furthermore, the state aid will no longer finance "fundamental research" and does not allow colaborations between private entities and research organisations. (par.8, letter from the EC to Spain, 30.05.2012)
In the letter to the member state, the Commission argued that "on the basis of the foregoing assessment and taking into account the commitments of the Spanish authorities, the Commission considers that the notified aid measures continue to be compatible with the internal market." (par. 37)
Update 1:
On 19 December 2013, the European Commission granted a further extention of the schemes until 30 June 2014. The export financing programme would receive a further 45 million EUR, whereas the horizontal aid one another 10 million EUR in the time frame. As these budget changes are not substantial, the prolongation shall not be classified as a new measure.
Update 2:
On 30 June 2014, the EC allowed the extention of the horizontal aid scheme (only the research & innovation and innovation parts) until 31 December 2014.