The European Commission gave Poland the green light to support an Intel chip assembly and testing plant with more than 7.4 billion zlotys ($1.91 billion) in state aid.
The decision came at a time when Intel was struggling to cut costs. It raised questions about whether it might postpone or cancel some of its expansion plans in Europe, which also included a major new chip factory in Germany.
Deputy Prime Minister Krzysztof Gawkowski stated:
The European Commission has informed Poland that there is a green light for granting state aid to Intel. The public aid that we will provide amounts to over 7.4 billion zlotys in the years 2024-26. Today this investment is worth, both in terms of the aid package and in total, over 25 billion zlotys.
Now Poland needs to pass a law to provide public funds and then formally notify the European Commission before it can finalise the Intel deal. A spokesman for the company said it appreciated “the Polish government’s continued support and partnership.”
The $33 billion project is still awaiting EU approval, with the commencement delayed until 2025 at the earliest.
Last year, Intel announced plans to invest up to $4.6bn in a facility near Wrocław in south-west Poland, with the possibility of further expansion. The investment is in line with the European Chips Act, announced as a €43bn subsidy plan. This should increase Europe’s share of the global chip market to 20 per cent by 2030.
We have not received any signals in recent weeks or months regarding a change in position (…) Based on today’s information there is nothing that would slow down this investment. Investment in the Intel factory is the largest investment in Poland in decades (…) semiconductors in Poland will guarantee both better economic development and greater security.
Deputy Digital Affairs Minister Dariusz Standerski said that Poland was ready for further investments in new technologies, and Intel’s experience would help the country accelerate future investments.
