G/SCM/N/284/EU/Add.11  
 
25 August 2015  
(15-4285)  Page: 1/9  
Committee on Subsidies and Countervailing Measures  Original: English  
 
 SUBSIDIES 
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1  
OF THE GATT 1994 AND ARTICLE 25 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES 
EUROPEAN UNION 
Addendum 
The following addendum to the notification of the European Union relates to subsidy programmes 
of Germany . 
 
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 G/SCM/N/284/EU/Add.11 
 
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  GERMANY  
 
 
TABLE OF CONTENTS 
1   GERMAN SHIPYARDS (I NNOVATIONSBEIHILFE) ......................................................... 3  
2   REGIONAL PROGRAMMES IN SUPPORT OF COMMERCE AND INDUSTRY (LAND 
BAYERN) ....................................................................................................................... ... 3 
3   JOINT TASK ON "IMPROVING THE REGIONAL ECONOMIC STRUCTURE" ...................... 4  
4   REGIONAL ECONOMIC SUPPORT PROGRAMME (LAND NORDRHEIN 
WESTFALEN) ....................................................................................................................  5 
5   REGIONAL IMPROVEM ENT PROGRAMME HESSE .......................................................... 6  
6   REGIONAL AID PROGRAMME (LAND RHEINLAN D-PFALZ) ........................................... 6  
7   NATIONAL PROGRAMME FOR CI VIL AERONAUTICAL  RESEARCH ................................. 7  
8   PROGRAMME FOR AERONAUTICAL SUPPLIERS ............................................................ 8  
9   INVESTMENT AID TO FISHING ENTERPRISES ............................................................. 8  
 
  G/SCM/N/284/EU/Add.11 
 
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  1  GERMAN SHIPYARDS (INNOVATIONSBEIHILFE) 
1. Name of the subsidy scheme or ad hoc subsidy 
 
Aid granted for innovation in existing shipbuilding, ship repair or ship conversion yards, provided 
that it relates to the industrial application of innovative products and processes 
("Innovationsbeihilfen").  
2. Form of the subsidy 
 
Grant (refundable in case of continued successful application).  
3. Subsidy per unit 
 
Total amount of assistance provided in 2013: € 10,2 million. Total amount of assistance provided 
in 2014: € 8,9 million. 
 4.  Objective and/or purpose of the subsidy 
 Certain features make shipbuilding unique and distinguish it from other industries such as small production series, the size, value and complexity of the units produced as well as the fact that prototypes are generally used commercially. As a consequence, shipbuilding is the only sector 
eligible for innovation aid, as an incentive to technological risk taking. (EU Framework of state aid 
to shipbuilding).  
Legal basis: Commitment authorizations in the Federal budget from previous years. Guidelines 
from the Federal Ministry of Economics and Energy.  
Modes of payment: 20% gross limited to expend iture on investments, design, engineering and 
testing activities directly and exclusively related to the innovative part of the project.  5. Duration of subsidy and other time-limits attached to it  
 The aid for innovation to shipbuilding applies until 31 December 2014.  
6. Statistical data permitting an assessment of the trade effects of a subsidy 
 
N.A. 
 
2  REGIONAL PROGRAMMES IN SUPPORT OF COMMERCE AND INDUSTRY (LAND BAYERN) 
1. Name of the subsidy scheme or ad hoc subsidy 
 
Directive on the promotion of the Bavarian regional programmes for trade, commerce and 
industry, promulgated by the Bavarian Ministry  of Economic Affairs and Media, Energy and 
Technology on 01 July 2014 (AllMBl S. 376). 
 
2. Form of the subsidy 
 
Investment grant. Interest rate subsidy (to subsidize loans). 
 3. Subsidy per unit 
Total support (million Euros) 
 2013  2014  
Investment grant 58,7 76,4 
Interest rate subsid y 6,4 7,5 
Assisted investment volume 588,6 753,1 
Number of assisted 
companies 372 390 G/SCM/N/284/EU/Add.11 
 
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  4. Objective and/or purpose of the subsidy 
 
Aid to finance investments in trade, industry and tourism to create and secure jobs and training places in assisted areas. 
 
Objective: Improving regional economic structures and tourism offers; Increasing the economic strength of structurally weak areas. 
 
5. Duration of subsidy and other time-limits attached to it 
 Until 31 December 2018. 
 
6. Statistical data permitting an assessment of the trade effects of a subsidy 
 
Not available. Outside the assisted areas pursuant to the Joint Federal Government/Laender 
Scheme for the Improvement of Regional Economic Structures, support is restricted to small and medium-sized enterprises (SMEs) within the meaning of articles 1-12 and 17 of the Commission 
Regulation (EC) No. 651/2014 of 17 June 2014 declaring certain categories of aid compatible with 
the common market in application of Articl es 107 and 108 of the Treaty (EC L 187 dated 
26 June 2014).  
3  JOINT TASK ON "IMPROVING THE REGIONAL ECONOMIC STRUCTURE" 
1. Title of the subsidy programme 
 
Joint Federal Government/Federal State Scheme for the Improvement of Regional Economic 
Structures (hereinafter referred to as Joint Task).  
2.  Period covered by the notification 
 
July 2014 – December 2020.  
3.  Policy objective and /or purpose of the subsidy 
 
The Joint Task is a regional policy instrument. The primary objective of regional policy is to enable 
structurally weak regions to keep pace with the general economic development by balancing 
locational disadvantages and by reducing regi onal development differences. Regional policy 
focuses on supporting regional development activi ties with a view to raising the levels of 
employment and income in assisted areas. Assist ed areas are redefined in multi-annual intervals 
on the basis of regional indicators (unemployment rate, level of income, infrastructural development, employment forecast).  
4.  Background and authority for the subsidy (including identification of the legislation under 
which it is granted) 
 On the basis of the federal German Constituti on, the Federation (Bund) has, in 1969, passed 
the Federal Act on the Joint Task (Federal Law Gazette 1969 part I, p. 1861). The Federal Act on the Joint Task was last modified by act of 7 September 2007 (Federal Law Gazette 2007 part I, 
p. 2246). 
 On the basis of the Federal Act on the Joint Ta sk, Bund and Länder have, since 1969, commonly 
conceived the Joint Task Framework. The Joint Ta sk Framework sets out the preconditions under 
which Joint Task subsidies may be granted. 
 The Joint Task Framework is executed by the Länd er alone. If a Land decides to grant a subsidy 
under the terms of the Joint Task, the Bund co-fin ances the funding in the amount of 50% of the 
funding granted by the Land.  
5.  Form of the subsidy 
 
Investment grants.  G/SCM/N/284/EU/Add.11 
 
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  6.  To whom and how the subsidy is provided 
 
A Joint Task subsidy consists of a non-recurring payment in the form of an investment grant. The payment may be granted by the respective "Land" to eligible projects in assisted areas. Projects in 
commerce and industry are eligible for subsidies under the Joint Task if they take place in an 
assisted area and if they generate additional income in the region so that, in the long run, the region's total level of income is raised in a non-insignificant manner (so called "primary effect"). 
 
7.  Subsidy per unit, or in cases where this is not possible, the total amount or the annual 
amount budgeted for that subsidy 
 
Generally speaking, budget allocations for the Joint Task decreased sharply over the last two 
decades. In 2013 (2014), a total amount of €850 million (€942 million) was granted by the Joint Task in order to promote commercial and industrial investments in assisted areas. 
 
8.  Duration of the subsidy and/or any other time-limits attached to it, including date of 
inception/commencement 
 
Regional assistance under the Joint Task consists of a non-recurring subsidy payment granted to eligible projects in assisted areas. The Euro pean Commission has authorized the Joint Task 
assisted areas map until 2020. This authorization no twithstanding, the Joint Task is under no time 
limit. 
 9.  Statistical data permitting an assessment of the trade effects of the subsidy. The specific 
nature and scope of such statistics is left to the judgement of the notifying Member. To the 
extent possible, relevant and/or determinable, however, it is desirable that such information 
include statistics of production, consumption, imports and exports of the subsidized 
product(s) or sector(s) 
 Regional assistance under the Joint Task is aimed at balancing domestic investment disadvantages in structurally weak regions (assisted areas). The Joint Task contributes to raising employment 
and income levels in these regions. In terms of competition, regional assistance under the Joint 
Task is therefore neutral. It has no effect on competition in international trade.  
4  REGIONAL ECONOMIC SUPPORT PROGRAMME (LAND NORDRHEIN WESTFALEN) 
1. Name of the subsidy scheme or ad hoc subsidy 
 
Regional Economic Support Programme. 
 2. Form of the subsidy 
 
Grants towards investment projects of trade and industry and local infrastructure. 
 3. Subsidy per unit  
 The total amount budgeted for 2013: €49,08million. Total number of recipients: 415. 
 
The total amount budgeted for 2012: €65.01million. Total number of recipients: 368.  
4. Objective and/or purpose of the subsidy 
 
Improving the regional economic structure and supporting small and medium-sized businesses. 
 
5. Duration of subsidy and other time-limits attached to it  
 
Not limited. 
 G/SCM/N/284/EU/Add.11 
 
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  6. Statistical data permitting an assessment of the trade effects of a subsidy 
 
Given the objectives of the programme, trade effects cannot be assessed.  
5  REGIONAL IMPROVEMENT PROGRAMME HESSE 
1. Title of the subsidy programme 
 
Programme to improve the economic structure of the Land Hesse. 
 2  Period covered by the notification 
 
2013, 2014. 
 3. Policy objective and/or purpose of the subsidy 
 Improving the regional economic structure and su pporting small and medium-sized enterprises. 
 
4. Form of the subsidy 
 
Investment grant.  
5. To whom and how the subsidy is provided  
 
The subsidy is provided to producers in small and medium-sized enterprises with a fluctuating 
amount. 
 6.  Subsidy per unit 
 The total amount budgeted for 2013: € 1.0 million. Total number of recipients: 6.  
The total amount budgeted for 2014: € 3.0 million. 
Total number of recipients: 15.  
7. Duration of subsidy and other time-limits attached to it 
 
Not limited. 
 
8. Statistical data permitting an assessment of the trade effects of a subsidy 
 In 2013 creation of 79 jobs by providing financial assistance to 6 individual promotional cases. 
In 2014 creation of 237 jobs by providing financial assistance to 15 individual promotional cases. 
 6  REGIONAL AID PROGRAMME (LAND RHEINLAND-PFALZ) 
1. Name of the subsidy scheme or ad hoc subsidy 
 
Regional aid programme of the Land Rheinland-Pfalz. 
 
2. Form of the subsidy 
 Investment grant. 
 
3. Subsidy per unit 
 
Up to 10% for medium-sized industries, 20% for small-sized industries. 
Disbursement in 2013: €17.714 million. Disbursement in 2014: € 16.060 million. 
 G/SCM/N/284/EU/Add.11 
 
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  4. Objective and/or purpose of the subsidy 
 
Promotion of investment in small and medium-sized industries.  
5. Duration of subsidy and other time-limits attached to it 
 
Unlimited. 
 
6. Statistical data permitting an assessment of the trade effects of a subsidy 
 In 2013: creation of 366 jobs by providing financia l assistance to 80 individual promotional cases. 
In 2014: creation of 450 jobs by providing financia l assistance to 72 individual promotional cases. 
 7  NATIONAL PROGRAMME FOR CIVIL AERONAUTICAL RESEARCH 
1. Title of the subsidy programme 
 
National programme for civil aeronautical research and technology. 
 
2. Period covered by the notification 
 2013, 2014. 
 
3. Policy objective and/or purpose of the subsidy 
 
The programme's intention is to contribute to strengthening innovative medium and long-term 
research and technology in one of the most important key technologies with spin-off effects to other sectors. The programme aim is part of th e Federal government's research and technology 
policy. 
 The priorities of the programme are encouraging sustainable research in the fields: low-pollutant and safe aircrafts of the next generation, lo w noise all-weather helicopters, efficient and 
ecologically friendly engines in line with the ecological goals of the ACARE Vision 2020 and 
Flightpath 2050.  
4. Background and authority for the subsidy (including identification of the legislation under 
which it is granted) 
 The subsidies are granted by the Federal go vernment. The legal basis are the Federal 
government's act.  5. Form of the subsidy (i.e. grant, loan, tax concession, etc.) 
 Non-repayable grants.  
6. To whom and how the subsidy is provided 
 
Subsidies are provided to producing enterprises, universities and research institutes for research 
and development expenditures. Grants for basic research cover up to 100%, grants for industrial 
research up to 50% of research and development expenditures.  7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual 
amount budgeted for that subsidy (indicating, if possible, the average subsidy per unit in the 
previous year). Where provision of per unit subsidy information (for the year covered by the 
notification, for the previous year, or both) is not possible, a full explanation 
 Total annual amount budgeted for the subsidy:  
2013: 127.517 million €. 
2014: 123.425 million €.  G/SCM/N/284/EU/Add.11 
 
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  8  PROGRAMME FOR AERONAUTICAL SUPPLIERS 
1. Title of the subsidy programme 
 
Programme for aeronautical suppliers. 
 
2. Period covered by the notification 
 
2013, 2014. 
 3. Policy objective and/or purpose of the subsidy 
 
The programme aims at encouraging research and development of components for an 
environmentally friendly, safe and efficient aviation system. 
 
4. Background and authority for the subsidy (including identification of the legislation under 
which it is granted) 
 The subsidies are granted by the Federal go vernment. The legal basis are the Federal 
government's act.  5. Form of the subsidy (i.e. grant, loan, tax concession, etc.) 
 Repayable loans.   
6. To whom and how the subsidy is provided 
 
Subsidies are provided to producing enterprises. The enterprises are granted repayable loans of 
maximum 33% of the development costs, ¾ of the lo an is repayable subject to the performance of 
the developed component (i.e. sale numbers). The loans are granted by the KfW on behalf of the 
Federal government.  
7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual 
amount budgeted for that subsidy (indicating, if possible, the average subsidy per unit in the 
previous year). Where provision of per unit subsidy information (for the year covered by the 
notification, for the previous year, or both) is not possible, a full explanation 
 
Total annual amount budgeted for the subsidy: 
 
2013: 21.763 million €. 2014: 3.172 million €.  
9  INVESTMENT AID TO FISHING ENTERPRISES 
1. Title of the subsidy programme 
 
European Fisheries Fund. 
 2. Period covered by the notification 
 2013, 2014.  3. Policy objective and/or purpose of the subsidy 
 Detailed rules and conditions for contribution in the fisheries sector, for the programming period 2007-2013, were adopted in Council regulation (EC) No 1198/2006. 
 
4. Form of the subsidy 
 
Grant. 
 G/SCM/N/284/EU/Add.11 
 
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  5. Subsidy per unit (national contribution) 
 
2013: 7.631.759 EUR for 218 projects. 2014: 9.160.483 EUR for 253 projects. 
 
6. To whom the subsidy is provided 
 
Enterprises of the fishery sector. 
 7. Duration of subsidy and other time-limits attached to it 
 
2007 - 2013. 
  
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