. /. RESTRICTED  WORLD TRADE  
ORGANIZATION  G/TMB/R/109 
25 June 2004 
 (04-2749) 
Textiles Monitoring Body  
   
REPORT OF THE ONE HUNDRED AND TENTH MEETING 
  
1. The Textiles Monitoring Body held its one hundred and tenth meeting on 17-18 May 2004. 
2. Present at this meeting were the following members and alternates: Mr. Crippa; 
Messrs. Farahat/Dalela; Ms. Huber/Mr. Yaman; Messrs. Lee/Kim; Samosir; Seppey; Sorensen; 
Tagliani;  Ms. Zhang/Mr. Khan/Ms. Lu.  
3. The TMB adopted the report of its one hundred and ninth meeting (G/TMB/R/108). 
Notifications under Articles 2.8(c) and 2.11 of the Agreement on Textiles and Clothing 
4. The TMB reviewed, under Article 2.21, the notifi cations made pursuant to Articles 2.8(c) and 
2.11 by Norway (G/TMB/N/470), Chinese Taipei  (G/TMB/N/473) and Brazil (G/TMB/N/475).  
Norway notified that “on 1 January 2005 [Norway]  will integrate into GATT 1994 all textile and 
clothing products listed in the Annex to the ATC not integrated during the three earlier stages of integration.  Thus Norway on 1 January 2005 will have integrat ed into GATT 1994 all the products 
listed in the Annex to the ATC.”  In its notificati on, Chinese Taipei stated that “[o]n 1 January 2005, 
the Separate Customs Territory of Taiwan, Pe nghu, Kinmen and Matsu will integrate into 
GATT 1994 all textile and clothing pro ducts to which the ATC applies, as listed in the Annex of the 
ATC, that were not integrated during the first three stages of integration under the ATC.  On this date, 
the Separate Customs Territory of Taiwan, Penghu,  Kinmen and Matsu will eliminate all remaining 
restrictions under the ATC on such products, and thus will have integrated into GATT 1994 all 
products listed in the Annex of the ATC.”  A detail ed list of the products concerned was attached to 
the notification.  The notification from Brazil for its part stated that “[p]ursuant to Article 2 of the 
Agreement on Textiles and Clothing,  […] on 1 Jan uary 2005, Brazil will integrate into GATT 1994 
all the remaining textile and clothing products no t covered by Brazil's fi rst, second and third 
integration programmes.” 
5. In reviewing the above-mentioned notifications  under Article 2.21, the TMB noted that the 
three Members confirmed that on the first day of the 121
st month that the WTO Agreement would be 
in effect their respective textiles and clothing sect ors shall be integrated into GATT 1994.  The TMB 
reiterated its earlier observation that in order to  inject the necessary tr ansparency into the 
implementation of the ATC, it would be useful to  provide a detailed list of the products to be 
integrated on 1 January 2005.  Accordingly, the TMB had already invited all Members concerned to 
provide such a list.1  With regard to the notification submitted by Norway, the TMB recalled that 
Norway had already eliminated in four steps, pur suant to Article 2.15, all the restrictions it had 
notified with reference to Article 2.1.  Therefore,  as of 1 January 2001 Norway did not maintain any 
restrictions on products falling un der the coverage of the ATC.  With regard to the notification 
submitted by Chinese Taipei, the TMB recalled that wh en it began reviewing the notifications made 
by Chinese Taipei pursuant to Articles 2.6 and 2.7(b) , 2.8(a), 2.8(b) and 2.11 it had sought further 
clarifications from Chinese Taipei regarding its no tifications (including further information provided 
                                                      
1 See G/TMB/R/106, paragraph 12. G/TMB/R/109 
Page 2  
 
in response to a first series of questions put by the TMB).
2  Since it had not received further 
clarifications, the TMB had not been in a position to conclude the review and take note of the 
notifications of Chinese Taipei’s first, second and third stage integration programmes.  Regardless of 
this, the TMB observed that pursuant to Article 9, the ATC and all restricti ons thereunder shall stand 
terminated on 1 January 2005, on which date the tex tiles and clothing sector shall be fully integrated 
into GATT 1994.  Therefore, the absence of the TMB' s conclusion of the review of Chinese Taipei’s 
integration programmes for the first three stages did not prevent the TMB from taking note of this 
Member’s notification regarding the final stage of in tegration.  The TMB also noted that, according to 
the notification, Chinese Taipei “will eliminate all remaining restrictions under the ATC on [the] products [falling under the coverage of the Agreemen t]”.  It observed in this regard that Chinese 
Taipei had not notified any restrictions on such pr oducts under any of the provisions of the ATC. 
Communication received by the TMB 
6. The TMB started, pursuant to Article 2.21, its examination of a communication received from 
a number of its members, pursuant to para graph 3 of the TMB’s working procedures.
3  T h i s  
communication requested that the TMB review, pursu ant to Article 2.21, the “[i]ntroduction by the 
European Union of quota restrictions in the markets of ten newly acceding states, Members of the 
WTO.”  Copies of EC Council Regulations No  260/2004 and 487/2004 were attached to the 
communication.  In order for the TMB to discharge its functions pursuant to Article 2.21 and also 
with a view to providing a useful contribution in the context of the preparation of the comprehensive report to be submitted to the Council for Trade in Goods, pursuant to Article 8.11 of the ATC, the 
TMB decided to request the European Communities to provide, in time for consideration at its 
subsequent meeting, any related notification and, as appropriate, information in respect of the 
restrictions introduced by the European Communities on 1 May 2004. 
Preparation for the TMB’s 2004 comprehensive re port pursuant to Article 8.11 of the ATC 
7. The TMB commenced its consideration of certain parts of a draft of its comprehensive report 
on the implementation of the ATC during its third stag e, to be transmitted to the Council for Trade in 
Goods in the context of the major review envisaged in  Article 8.11.  It also started to consider the 
responses received from several Members to the request  for notifications and information sent in that 
context to WTO Members.
4  It decided to put questions to several Members and also invite their 
comments with respect to some of the elements co ntained in the responses received.  Likewise, it 
decided to seek relevant information and clarif ications from certain Members regarding various 
specific issues that are to be addressed in the comprehensive report. 
_____________ 
                                                      
2 See G/TMB/R/87, paragraph 19. 
3 Paragraph 3 of the working procedures provide, inter alia , that “[i]t shall be open to any WTO 
Member and to any member of the TMB to suggest items for inclusion in the proposed agenda up to, and not 
including, the day on which the convening notice is to be issued.” 
4 See G/TMB/30.