G/SCM/N/372/EU/Add.15  
15 July 2021 
(21-5605) Page: 1/8 
Committee on Subsidies and Countervailing Measures  Original:  English  
 
  
SUBSIDIES  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1  
OF THE G ATT 1994 AND ARTI CLE 25 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES  
EUROPEAN UNION 
Addendum  
The following addendum to the notification of the European Union , dated and received on 
12 July 2021,  relates to subsidy programmes of Italy . 
 
_______________  
 
 
  G/SCM/N/372/EU/Add.15  
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  ITALY  
Contents  
1  MINISTRY OF ECONOMIC DEVELOPMENT  ................................ ................................ ..... 3 
1.1  EXTRAORDINARY INTERVENTION IN THE SOUTH OF ITALY  ................................ ................  3 
1.2  NEW SABATINI LAW ("NUOVA SABATINI")  ................................ ................................ ...... 3 
1.3  "CONTRATTI DI SVILUPPO"  ................................ ................................ ............................  5 
1.4  SOFT LOANS FACILITATING PERMANENT INDUSTRIAL AND COMMERCIAL 
ESTABLISHMENT IN NON -EU COUNTRIES  ................................ ................................ ..............  6 
 
  G/SCM/N/372/EU/Add.15  
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  1  MINISTRY OF ECONOMIC DEVELOPMENT  
1.1  EXTRAORDINARY INTERVENTION IN THE SOUTH OF ITALY  
1. Name of the subsidy scheme and legal basis  
Law n. 488/92 – D.l. 415/92, Art. 1, section 2,  converted into law n. 488/92 (re-financing of 
Law n. 64/86), concerning Extraordinary intervention in the South of Italy . 
2. Form of the subsidy  
Grant.  
3. Subsidy per Unit or, in case this is not possible, the global amount of subsidies distributed in 
2019 and 20 20, related to the industry sector:  
Year 201 9: € 9,103,000 
Year 20 20: € 6,037, 000 
4. Policy objective and/or purpose of the subsidy  
The main policy target is about p roviding subsidies  to entrepreneurial activities in economical ly 
disadvantaged areas . Law n. 488 offers incentives for the implementation of a new productive unit, 
for the expansion, modernization, restructuring, conversion or re -activation of an existing unit or for 
its transfer.  
5. Duration of the subsidy  
The measure is now working just for subsidies distribution.  
6. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant : the measure has not direct impact on trade  and it is notified for the sake of 
transparency.  
7. Indicate to whom and how the subsidy is paid  
All national and foreign firms can potentially benefit from the subsidy.  
(A) Beneficiaries are extractive and manufacturing enterprises and related service companies.  
(B) Contributions  fulfil the EU Regulation amount limits provided for the disadvantaged areas and  
are assigned  every 4 months.  
The Initiatives must be part of an operational program for each productive unit that is by itself 
sufficiently structured to pursue pre -set production, financial and employment goals.  
1.2  NEW SABATINI LAW ( "NUOVA SABATINI ") 
1. Title of the subsidy program me 
"Nuova  Sabati ni" – ex article 2, D.l. 69/2013 ‒ state aid scheme n . SA 47180 and SA 53192  ‒ loan 
subsidy  scheme (interest subsidy) for machinery and equipment purchase, transformed with 
modifications by Law 9th August  2013, n. 98.  
2. Period covered by the notification  
In application of the Commission regulation (EU) 2020/972, the covered period was extended unt il 
31 December  2023 following the evaluation deliverables provided to the European Commission in 
accordance with art. 1, par a. 2, let. a) of the Commission Regulation (EU) 651/2014.  G/SCM/N/372/EU/Add.15  
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  3. Policy objective and/or purpose of the subsidy  
The interest subsidy  scheme  is mainly oriented  to improve the competitiveness of Italian production 
system by facilitating SMEs access credit for new machineries, plants and equipment  investments . 
The specific p urpose of the guarantee subsidy is to reduce SMEs credit crunch and to c ontrast the 
consistent reduction of the level of investments in fixed capital assets . With the Budget Law for  
2017, a reinforced subsidy for equipment and machineries classified as Industry 4.0 was introduced 
in addition to ordinary fixed investments ("Attachment A of the Law 11th of December  2016"). 
4. Background and authority for the subsidy  
The subsidy scheme has been introduced  and modified  by the following normative acts:  
- Art. 2 Law -Decree 21th June 2013, n. 69;  
- Interministerial Decree 27th November  2013; 
- Ministerial provision ( Circolare ) 10th February  2014, n. 4567 (terms and procedure for the 
applications);  
- Ministerial provision ( Circolare ) 26th March  2014, n. 10677 (further instruction for the 
implementation of  the measure);  
- Ministerial provision ( Circolare ) 24th December  2014, n. 71299 (modifies the Ministerial provision 
10th february 2014 n. 4567);  
- Art. 1  Law 23th of December  2014, n. 190 ( "Legge di stabilità " 2015);  
- Art. 1 comma 53 , Law 11th of December  2016, n. 232  ("Legge di bilancio " 2017) ; 
- Art. 1 comma 32, Law 27th of December  2017, n. 205 ( "Legge di bilancio " 2018).  
- Art. 1, comma 200, law 30th December  2018, n. 145 ( "legge di bilancio  2019"). 
- Art. 20 Law -Decree 30th of April 2019, n. 34 ( "decreto crescita "), converted into law 
28th June 2019, n. 58;  
- Art. 1, par a. 226-229, law 27th of December  2019, n. 160 ( legge di bilancio  2020);  
5. Form of the subsidy  
Interest subsidy.  
6. To whom and how the subsidy is provided  
Subsidy for all the SMEs firms works as follows:  
- SMEs submit the application to the bank or to the financial intermediary;  
- the bank or the financial intermediary shall verify the application is formally correct and 
complet e. Then the bank  transmits the resources reservation request  to the Ministry;  
- In agreement  with the Ministry,  the bank may grant the loan through the use of CdP  
(Cassa  depositi e prestiti S.p.A.) fund or  different fund s; 
- The bank  shall take the necessary measures and sends the documentation to the Ministry;  
- The Ministry  shall take the grant with the rules that must be transmitted to the SME;  
- The bank  provides the loan in  a single payment;  
7. Subsidy per Unit or, in case this is not possible, the global amount of subsidies distributed in 
2019 and 20 20: 
Year 201 9: € 162,670,000  
Year 20 20: € 239,79 0,000 
8. Duration of the subsidy  
Ten years . 
9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant has not direct impact on  trade but can only eventually imply an indirect effect on trade . 
Statistical data will not permit any assessment on the eventual presence of a trade -effect.  G/SCM/N/372/EU/Add.15  
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  1.3  "CONTRATTI DI SVILUPPO " 
1. Title of the subsidy programme  
"Contratti di sviluppo ", article 43 D.l. 25th June 2008, n. 112, converted with modifications into 
Law 6th of August  2008 n. 133.  
2. Period covered by the notification  
In accord ance with the Commission regulation (EU) 2020/972, the covered period was extended 
until 31th of December  2023 following the evaluation deliverables provided to the 
European  Commission in accordance with art. 1, par a. 2, let. a) of the Commission Regulation 
(EU) 651/2014.  
3. Policy objective and/or purpose of the subsidy  
The subsidy programme  represent s one of the most important  subsidy to support strategic and 
innovative investment projects with a relevant impact on the territory . Subsidy purpose s are: 
facilitat ing sectorial requalification, develop ing production chains and/or specialization poles, 
enhancing the competitive positioning of traditional sectors and attracting foreign investments.  
4. Background and authority for the subsidy  
Initially introduced by Decree 24th of September  2010, it was reformed in 2014 by the article 3 of 
D.L. 21th of June 2013, n. 69 . This reform was implemented by Ministerial Decree 14th of 
February  2014 that introduced procedural simplifications and extended the measure to projects 
dealing with environment protection . With the following Ministerial Decree 9th of December  2014 the 
regulatory framework was adapted  to the new Regulation CE n. 651/2014.  
The Ministerial Decree 8th November  2016 introduced procedural and implementation mod ifications . 
The most relevant and recent modification s on the subsidy programme are about involved  sector s: 
agro-industry, sustainable mobility and tourism are the new sectors affected by  the measure.  
The managing authority of the subsidy is Invitalia S.p. a, the in -house firm  of the Ministry of Economic 
Development . 
5. Form of the subsidy  
The aid can take the form of grant, soft loan and interest subsidy.  
6. To whom and how the subsidy is provided  
All national and foreign firms can potentially benefit from the subsidy . The eligi bility criteria concern 
a minimum amount (cut -in) of investment, on the base of the main sector involved . The "Contratt i 
di sviluppo " measure  must imply one or more investment projects and, possibly, R&S&I projects . It 
applies to areas un der Regional State Aid Regulation , or in the other areas of the country , provided 
that the investment projects are presented by SMEs or if the program concerns environment 
protection.  
7. Subsidy per unit or, in case this is not possible, the global amount of subsidies distributed in 
2019 and 20 20: 
Year 201 9: € 182,924,000  
Year 20 20: € 220,424,000  
8. Duration of the subsidy  
Fifteen years.  G/SCM/N/372/EU/Add.15  
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  9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant has not direct impact on  trade but can only eventually imply an indirect effect on trade . 
Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
1.4  SOFT LOANS FACILITATING PERMANENT INDUSTRIAL AND COMMERCIAL 
ESTABLISHMENT IN NON -EU COUNTRIES  
1. Title of the subsidy  programme  
Revolving credit facility for the internationalization of companies.  
2. Period covered by the  notification  
2019 ‒ 2020 . 
3. Policy objective and/or purpose of the  subsidy  
a. Facilitate the market penetration of Italian companies by helping  them to create stabl e 
commercial facilities (such as offices, a store, showrooms etc.)  
b. Carry out prefeasibility and feasibility studies on Italian investments as well as the related 
technical assistance  programmes.  
c. Participation to trade fairs and exhibit ions. 
d. Capitalization of exporting companies.  
e. Development of E -Commerce solutions . 
f. Temporary consultancy of professional manager (TEM – Temporary Export Manager) aimed at 
the realization of internationalisation projects . 
4. Background and authority for the  subsidy 
Loans awarded under  Law no. 394/81, art. 2 (above a) and under Legislative Decree no. 143/98, 
art. 22 (5) (above b) up to the year 2009, included . Law n. 133/08, art. 6 (2) letter a letter b and letter 
c repealed and substituted the before -mentioned provisions . No changes were made concerning the 
mechanism regulating the revolving credit facility . However loans shall fall within the rules set out in 
the EU De Minimis Regulation . Granting institution : SIMEST S.p.A.  
5. Form of the  subsidy  
Soft lo an. 
6. To whom and how the subsidy is  provided  
a. Beneficiaries are industrial, trading and services companies . SMEs have priority eligibility on 
the funds allocated (70 % of funds granted to SMEs) . The maximum level of funding is fixed 
at 100 % of the total budgeted expenses . The beneficiary shall provide guarantee . The loan is 
paid in two instalments : an advance payment equal to 50 % of the sum granted and a final 
settlement . Reimbursement is spread over up to six years : two years maximum of 
pre-amortisation during which only interests are due and four years maximum of capital 
payment due in six -month equal instalments . Interest rate is fixed and equal to 10 % of the 
reference rate . The subsidized rate cannot be lower than an annual rate of zero.  
b. Beneficiaries are industrial, trading and services companies . SMEs have priority eligibility on 
the funds allocated . Financing covers up to 100 % of the budget proposal . The beneficiary shall 
provide guarantee . The loan is paid in two instalments : an advanc e payment equal to 50 % of G/SCM/N/372/EU/Add.15  
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  the sum granted and a final settlement . Reimbursement is spread over 4 years maximum : 
1 years of pre -amortisation during which only interests are due and three years of capital 
payment due in six -month equal instalments . Interest rate is fixed and equal to 10 % of the 
reference rate . The subsidized rate cannot be lower than an annual rate of zero.  
c. Beneficiaries are only industrial, trading and services companies . SMEs have priority eligibility 
on the funds allocated (70 % of funds granted to SMEs) . Financing cannot exceed €  150000,00 . 
The beneficiary shall provide guarantee for the share of financing exceeding EBTDA recorded 
in the last financial statements . The loan is paid in two instalments : an advance payment 
equal to 50 % of the sum granted and a final settlement . Reimbursement is spread over 4 
years maximum : 1 years of pre -amortisation during which only interests are due and three 
years of capital payment due in six -month equal instalments . Interest rate is fixed and equal  
to 10% of the reference rate . The subsidized rate cannot be lower than an annual rate of zero.  
d. Beneficiaries are industrial, trading and services companies set up as corporations and with a 
maximum of 1,500 employees . SMEs have priority eligibility on the  funds allocated . Financing 
cannot exceed € 800.000,00 . The beneficiary shall provide guarantee . The loan is paid in a 
single lump -sum instalment . Reimbursement is spread over 6 years maximum : 2 years of 
pre-amortisation during which only interests are due  and four years of capital payment due in 
six-month equal instalments . The loan is granted at the reference rate and upon achievement 
of the objective of the initiative (improve, maintain or exceed a benchmark level of capital 
strength and trend increase o f export turnover) repayment takes place in 4 years at subsidized 
interest rate fixed and equal to 10 % of the reference rate . The subsidized rate cannot be lower 
than an annual rate of zero.  
e. Beneficiaries are only industrial, trading and services companies  set up as corporations . SMEs 
have priority eligibility on the funds allocated (70 % of funds granted to SMEs) . Financing 
cannot exceed € 450.000,00 . The maximum level of funding is fixed at 100 % of the total 
budgeted expenses . The beneficiary shall provide  guarantee . The loan is paid in two 
instalments : an advance payment equal to 50 % of the sum granted and a final settlement . 
Reimbursement is spread over up to four years : 1 year maximum of pre -amortisation during 
which only interests are due and three years maximum of capital payment due in six -month 
equal instalments . Interest rate is fixed and equal to 10 % of the reference rate . The subsidized 
rate cannot be lower than an annual rate of zero.  
f. Beneficiaries are only industrial, trading and services com panies set up as corporations . SMEs 
have priority eligibility on the funds allocated (70 % of funds granted to SMEs) . Financing 
cannot exceed € 150.000,00 . The maximum level of funding is fixed at 100 % of the total 
budgeted expenses . The beneficiary shall p rovide guarantee . The loan is paid in two 
instalments : an advance payment equal to 50 % of the sum granted and a final settlement . 
Reimbursement is spread over up to four years : two years maximum of pre -amortisation 
during which only interests are due and t wo years maximum of capital payment due in 
six-month equal instalments . Interest rate is fixed and equal to 10 % of the reference rate . 
The subsidized rate cannot be lower than an annual rate of zero.  
7. Subsidy  per unit or, in case this is not possible,  the annual  amount  budgeted  for the subsidy  
Year 2019  € 157, 2 million  for type a (average amount per unit € 782,000)  
 € 5,4 million  for type b (average amount per unit € 110,000)  
 € 10,5 million  for type c (average amount per unit € 50,000)  
 € 115,6  million  for type d (average amount per unit € 290,000)  
 € 1,1 million  for type e (average amount per unit € 138,000)  
 € 0,1 million  for type f (average amount per unit € 130,000)  
Year 2020  € 171, 4 million for type a (average amount per unit € 7 11,000)  
 € 6,6 million  for type b (average amount per unit € 98,000)  
 € 71,9 million  for type c (average amount per unit € 48,000)  
 € 774, 6 million  for type d (average amount per unit € 382,000)  
 € 22,3  million  for type e (average amount per unit € 134,000)  
 € 4,9 million  for type f (average amount per unit € 82,000)  G/SCM/N/372/EU/Add.15  
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  8. Duration of the  subsidy  
No final term is established.  
9. Statistical data permitting an assessment of the trade effects of the  subsidy  
Not relevant : the measure is not specific and it is notified for the sake of transparency.  
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