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Treaty on the Functioning of the European Union - Article 107: Prohibition of State Aid

Article 107 of the Treaty on the Functioning of the European Union (TFEU) prohibits state aid granted by EU Member States that distorts or threatens to…

What Treaty on the Functioning of the European Union - Article 107: Prohibition of State Aid requires

Article 107 of the Treaty on the Functioning of the European Union (TFEU) prohibits state aid granted by EU Member States that distorts or threatens to distort competition by favoring certain undertakings or the production of certain goods, where such aid affects trade between Member States. The prohibition applies unless the aid falls under an exemption in Article 107(2) or is authorized by the European Commission under Article 107(3).

Pillar: Competition & Antitrust · Authority: European Union · Version: 1.0.1 · Last updated:

Primary source: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A12012E107

SHA-256 integrity: 93b016b29917277022353eeeebfb91f7d643dfc952b1dda4b1c558d95340955a

Primary Citations — 5 traced to source

  • Treaty on the Functioning of the European Union, Article 107(1) - Aid granted by a Member State or through State resources in any form whatsoever which distorts or threatens to distort competition by favouring certain undertakings or the production of certain goods shall, in so far as it affects trade between Member States, be incompatible with the internal market.
  • Treaty on the Functioning of the European Union, Article 107(2) - The following shall be compatible with the internal market: (a) aid having a social character, granted to individual consumers; (b) aid to make good the damage caused by natural disasters; (c) aid granted to the economy of certain areas of the Federal Republic of Germany affected by the division of Germany.

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