Romania notified the Commission of its plan to support Nokian Tyres in the establishment of a new zero carbon dioxide emission tyre factory in Oradea, Bihor County (Nord-Vest region).
Under the measure, the aid will take the form of a direct grant. The aid amount will be around €99.5 million (RON 495.2 million). The investment is estimated to total approximately €650 million.
The plant is expected to have a capacity of approximately 6 million units per year. The project will create approximately 500 direct jobs, as well as further indirect jobs. The project is also expected to bring sustainability benefits by aiming to be the world's first zero carbon dioxide emission tyre factory. The factory will be located in Oradea.
The Commission found that:
The measure will contribute to job creation, economic development, and the competitiveness of a disadvantaged area. In particular, the measure will have a positive impact on employment, creating approximately 500 direct jobs, as well as further indirect jobs.
The aid has an incentive effect, as the beneficiary would not have carried out the project without public support.
The measure has a limited impact on competition and trade within the EU. In particular, it is necessary and appropriate to set up the new factory of Nokian Tyres, while contributing to the regional development.
The aid is proportionate and limited to the minimum necessary to trigger the investment in Oradea. It will not exceed the maximum allowed aid amount for the project calculated based on the Romanian regional aid map.
