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EU takes closer look at Polish aid for Dell

BRUSSELS, Dec 11 (Reuters) - The European Commission said on Thursday it was taking a closer look at Poland’s plan to give 52.7 million euros ($69.2 million) in state aid to a new Dell Products Poland computer factory.

The Commission, which polices competition in the 27-nation European Union, doubts the aid is compatible with rules on regional aid for large investment projects.

“We need to investigate all the effects of this aid to verify that it contributes to regional development and to ensure that it will not reinforce Dell’s position or create significant capacity in a market on the decline” in Europe, EU Competition Commissioner Neelie Kroes said in a statement.

Dell Products Poland is wholly owned by Dell Inc DELL.O of the United States and intends to set up a plant for the production of desktops, notebooks and servers. The plant is expected to create up to 3,000 jobs in the rundown Lodz region. (Reporting by Huw Jones, editing by Dale Hudson)

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