The European Commission (EC) has launched an in-depth investigation into Poland’s plan to provide a 95 million euro state aid to South Korean group LG Chem Ltd to expand its electric car batteries plant, expressing doubts about compliance with regulations on competition, Reuters reports.

In 2017, LG Chem announced that it will invest over one billion euro to increase the production capacity of its unit in Poland. Subsequently, the Warsaw authorities sought EC approval for a 95 million euro aid for the company, according to Agerpres.

The EU executive expressed concerns about Polish support, especially if subsidies are provided for the expansion of the factory, and about the possibility of exceeding the level of aid allowed.