WORLD TRADE G/TMB/N/41/Add.1
G/TMB/N/223/Rev.1/Add.1
12November 1997
ORGANIZATION(97-4931)
Original: English Textiles Monitoring Body
AGREEMENT ONTEXTILES AND CLOTHING
Notification under Articles 2.6and2.7(b)
Notification under Articles 2.8(a) and2.11
THAILAND
Addendum
TheTextiles Monitoring Body hasreceived afurther notification from Thailand pursuant to
paragraphs 6and7(b)aswellas8(a)and11ofArticle 2.
TheTMB, pursuant toparagraph 7(b)ofArticle 2andinaccordance withparagraph 11of
Article 2,iscirculating thisnotification toWTO Members.G/TMB/N/41/Add.1
G/TMB/N/223/Rev.1/Add.1
Page2
Permanent Mission ofThailand
totheWorld Trade Organization
9October 1997
Dear Ambassador Szepesi,
Re:Notifications byThailand ofFirst andSecond Stage Integration Programmes
Kindly refertoyourletterdated 30May1997withregard totheTMB'sdecision toseekfurther
clarification onThailand 'sfirststage integration programme notified under paragraphs 6and7(b)of
Article 2andthesecond stageintegration programme notified under paragraphs 8(a)and11ofArticle 2
oftheATC.
Through thereports oftheTMB, wearemade aware oftheconcern raised byColombia with
respecttoparticularelementsoftheintegrationprogrammenotifiedbytheEuropeanCommunitypursuant
toparagraphs 6and7(a)ofArticle 2and,likewise, wearealsoaware ofthesubsequent concern of
theECpointing outthatseveral other WTO Members mayhaveaswellincluded alistofproducts
inthefirstand/or second stage integration programme ofthose HSlinesintheAnnex forwhich only
partofthelinesfellunder thecoverage oftheATC asindicated by"ex"HSlinesintheAnnex.
After adetailed examination ofthequestion, wehavethepleasure ofinforming theTMB the
following information:
First Stage Integration: HS3921.13
Second Stage Integration: HS3921.12, 3921.90 and9612.10
Under Thailand 'scommodity-classification system, theproducts notified byThailand under
theHSlinesindicated above donotcorrespond totherespective precise product descriptions contained
intheAnnex oftheATC. Unfortunately, itisnottechnically possible forustofurther subclassify
theselinesnortodifferentiate between whatconstitutes "textile" and"non-textile" products, inaprecise
andreliable manner, atthispoint intime.
Second Stage Integration: HS7019.10 and7019.20
TheproductswhichhadbeennotifiedbyThailandas"glassyarn"(HS7019100104)and"woven
fabrics, including narrow fabric, ofglass fibres" (HS7019200005) doconsist ofproducts which
correspond accordingly totheproduct descriptions specified intheAnnex oftheATC.
H.E.Mr.András Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
Centre William Rappard
GenevaG/TMB/N/41/Add.1
G/TMB/N/223/Rev.1/Add.1
Page3
Ontheother hand, theproduct notified as"glass slivers, roving andchopped strand"
(HS7019100901), byprecise technical definition andclassification, donotconsist ofproducts
corresponding totheproduct description of"yarns offibreglass" asmentioned intheAnnex ofthe
ATC, andtherefore should presumably notbeincluded intheintegration programme.
Inlightofourtechnical assessment, wewishtoinform youwithregret thatthepercentages
forthefirstandsecondstagesofintegrationprogrammemaybeaffectedbysuchperceiveddiscrepancies.
Asaresult, these percentages mayfallbelow theminimum obligation of16percentand17percent
forthefirstandsecond stages respectively iftheitems inquestion cannot bedefinitively ortechnically
established asbeing exactly theproducts contained intheAnnex oftheATC.
Duetotheapparent systemic limitations inproviding clearandabsolute technical clarifications
onseveral ofthese "ex-position" items andinview ofthefactthatthesecond stage integration
programme isyettobeimplemented until1January 1998, Thailand iswilling andurges otherMembers
concerned, particularly thosewhofound itimpossible tobreak down import statistics fortheex-positions
insuchawayastoenable toidentify theconstituent elements, todefer integrating these HSlinesuntil
thefinalstage oftheintegration programme inorder toavoid encountering anymore difficulty during
theintermediate stages.
Furthermore, inviewofthefactthatthefirststage integration programme hasnowbeenin
effect foralmost three years, Thailand suggests that,inthecasewhere HSlinesinvolving ex-position
items maycause theintegration programme tofallbelow the16percentthreshold levelandtheMember
concerned isunable toprovide absolute andconvincing technical clarifications totheitems inquestion,
insuchcaseadditional items, preferably those from Section XIoftheHSNomenclature, should be
added ontocompensate foranyconceivable shortfall inamanner thatwould generate confidence,
assurance andcredibility totheproper implementation oftheATC.
Inoursincere effort tohelpresolve thisissue, wegreatly hopethatourproposal would receive
yourfavourable consideration andsupport. Given theTMB'spending recommendation ontheissue,
ThailandstandsreadytofullycooperatewiththeTMBatundertakingnecessaryactions,throughwhatever
method ortechnique required, inorder torectify thesituation inanopen andtransparent manner.
Your further recommendation andadvise onthismatter would begreatly appreciated.
Please stand assured ofourcontinued appreciation andcooperation.
Yours sincerely,
(Signed) Krirk-Krai Jirapaet
Ambassador
Permanent Representative ofThailand
totheWorld Trade Organization