Companies developing COVID-19-related medical products or services such as drugs or protective clothing can temporarily apply for higher strategic transformation support (STS) from VLAIO. This was decided by the Flemish Government at the Council of Ministers on July 3.
1. Support for investments under COVID-19.
The European Commission has given the green light for the relaxation of the state aid rules. This allows Flanders to temporarily provide more support to Flemish companies investing under COVID-19.
Investment support goes to companies that make additional investments in the production of COVID-19-related products and services. Examples include :
- Medicines (including vaccines) and treatments and their intermediates;
- active pharmaceutical ingredients and raw materials; - medical devices;
- hospital and medical equipment (including respirators, protective clothing and protective equipment and diagnostic equipment) and necessary raw materials therefor;
- disinfectants and their intermediates and chemical raw materials needed for their production;
- Data collection and processing tools.
This aid is a temporary extension of the existing strategic transformation aid and is therefore granted according to the same rules. However, there are some relaxations :
- The support is possible for SMEs and large enterprises throughout Flanders, regardless of where they are located. In contrast to the ordinary STS, large enterprises that are not located in an assisted area can also claim this support.
- The support can be applied for retroactively for investments made since June 1, 2020.
- The minimum investment thresholds provided for strategic transformation support are halved (to 250,000 euros for small enterprises, 500,000 euros for medium-sized enterprises and 1.5 million euros for large enterprises).
3. Support amount
The support is an intervention of 50% in the eligible investment costs (in the ordinary STS it is only 8% !) with a maximum of €1 million per project. Strategic transformation aid COVID-19
The application must be submitted before November 1. The application procedure is the same as for the regular STS.
5. Want to know more?
All information can be found at https://www.vlaio.be/nl/subsidies-financiering/strategische-transformatiesteun-covid-19-tijdelijke-uitbreiding
If you have any questions, please do not hesitate to contact your client manager or our subsidy expert directly. You can always reach us via the number 051 26 82 68 or via e-mail to email@example.com.