The European Commission (EC) has scrapped an investigation into aid given to a Fiat car engine project in Poland after the government there agreed to reduce the aid to bring it in line with EU rules.

The case concerned a project that Fiat-owned Powertrain Technologies Poland is carrying out in Bielsko-Biala, southwest Poland, Reuters reported. The EC said in February last year that it doubted that the aid complied with EU rules on large investment projects because of Fiat’s market share and production capacity.

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Poland agreed in September to reduce the amount of aid it provides the project, leading to a decision the EC announced over the weekend.

“The Commission has decided to close the formal investigation procedure … recording that Poland has withdrawn its notification on 16 September 2011 and will reduce the aid amount,” the EU executive said in its Official Journal published on Saturday.

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