The European Union's Court of Justice (EU) has confirmed the European Commission's decision to annul state aid granted to Brazilian entities in Madeira.
The appeal was lodged by six Brazilian companies from São Paulo, seeking to overturn articles of the European Commission's decision from December 4, 2020, which declared Regime III of state aid in the Madeira Free Trade Zone incompatible with the internal market.
The ruling reiterates that the EU executive rightly concluded the aid did not constitute state aid, having conditioned tax reductions on job creation and the effective performance of activities within Madeira.
