Press Release: State aid: Commission prolongs existing state aid rules for shipbuilding

The European Commission prolonged the Framework on state aid rules for shipbuilding for three more years, until 31 December 2011. This extension follows an earlier extension in 2006. The Commission has concluded that the Framework, which came into effect on 1 January 2004 has been applied without any problems and does not need to be revised at this stage. The Framework's main principle is that horizontal state aid rules apply to shipbuilding except where specific provisions apply that reflect the specific characteristics of the shipbuilding industry and market. The specific provisions contained in the Framework concern regional aid, closure aid, export credits, development aid, employment aid and aid for research, development and innovation. The Framework's rules on innovation aid are specific to the shipbuilding industry and have had as yet limited application. The Commission wishes to continue applying these rules and assess their impact on fostering innovation in the sector.