G/L/1308/Suppl.1  
G/SG/205/Suppl.1  
 
30 September 2019  
(19-6297) Page: 1/2 
Council for Trade in Goods  
Committee on Safeguards  Original: English  
 
IMMEDIATE NOTIFICATIO N TO THE COUNCIL FOR  TRADE IN GOODS  
OF THE RESULTS OF TH E CONSULTATIONS UNDE R ARTICLE 12.3  
JOINT COMMUNICATION OF BRAZIL AND THE EU ROPEAN UNION  
Certain steel products  
Supplement  
The following communication, dated 27 September  2019, is being circulated at the request of the 
Delegations of Brazil and the European Union (EU).  
 
_______________  
 
 
Pursuant to Article 12.5 of the WTO Agreement on Safeguards (Safeguards Agreement), Brazil  and 
the European Union are notifying the results of the consultations conducted under Article 12.3 of the 
Safeguards Agreement. Documents G/SG/N/6/EU/1 (dated 27 March 2018), 
G/SG/N/6/EU/1/Suppl.1 (dated 29 June 2018), G/SG/N/7/EU/1 and G/SG/N/11/EU/1 (da ted 18  July 
2018), G/SG/N/8/EU/1  - G/SG/N/10/EU/1  - G/SG/N/11/EU/1/Suppl. 1 (dated 4 January 2019)  
G/SG/N/8/EU/1/Suppl.1  - G/SG/N/10/EU/1/Suppl.1  - G/SG/N/11/EU/1/Suppl.2 (dated 
7 February  2019) contain notifications from the European Union concerning measures taken under 
the Safeguards Agreement concerning certain steel products. Document 
G/L/1296  - G/SG/N/12/BRA/3 (dated 19 February 2019) contains a notification from Brazil 
concerning its intention to suspend concessions and other obligatio ns to the EU trade under 
Article  8.2 of the Safeguards Agreement. The European Union responded to this notification by 
means of Document G/L/1300  - G/SG/N/12/BRA/3/Supp.1 (dated 28 February 2019), which was 
followed by the Brazilian communication G/L/1301  - G/SG/N/12/BRA/3/Suppl.2 (dated 5 March 
2019).  
 
On 14 and 31 January 2019, Brazil and the European Union conducted consultations with a view to 
discuss the information related to the EU safeguard measures on certain steel products, exchange 
views on the s afeguard measures, and reach an understanding on ways to achieve the objective set 
out in Article 8.1 of the Safeguards Agreement. During these consultations, Brazil and the EU 
expressed different views on, inter alia, the legality of the EU measures, the effects of the EU 
measures on certain steel products exported by Brazil and the adequate means of trade 
compensation.  
 
On 18 February 2019, Brazil submitted to the European Union a calculation of adverse effects and 
requested compensation therefor under Ar ticle 8.1 of the Safeguards Agreement. Following 
discussions on this subject held on 18 March 2019 and 26 March 2019, Brazil and the EU reached a 
joint compromise on the need to continue the process of consultations.  
 
Without prejudice to the positions exp ressed by both parties in their respective notifications1 on the 
right to suspend concessions, they agreed to extend the 90 -day period foreseen in Article 8.2 of the 
Safeguards Agreement to exercise any potential suspension of concessions until 30 Septembe r 2019. 
                                                
1 Document G/L/1296  - G/SG/N/12/BRA/3, Document G/L/1300  - G/SG/N/12/BRA/3/Suppl.1 and 
Document G/L/1301  - G/SG/N/12/BRA/3/Suppl.2.  G/L/1308/Suppl.1 • G/SG/205/Suppl.1  
 
- 2 - 
 
  That agreement was to allow both parties to seek an understanding on ways to achieve the objective 
set out in Article 8.1 of the WTO Agreement on Safeguards, taking into account the results of the 
review of the EU safeguard measures, which was sche duled to be finalized within this timeframe.  
On 17 May 2019, the European Union initiated the review of its safeguard measures on certain steel 
products (G/SG/N/10/EU/1/Suppl.2). On 3 and 17 June 2019, Brazil formally submitted its 
comments to the European Union under the aforementioned review. On 12  August 2019, by means 
of Document G/SG/N/10/EU/1/Suppl.3  - G/SG/N/11/EU/1/Suppl.3, the European Union submitted 
a notification of its proposal for adjustments to the definitive steel safeguard measures adopted in 
February 2019. On 26 August 2019, Brazil a nd the EU conducted consultations with a view to discuss 
the EU´s notification of its proposal for adjustments.  
 
Brazil and the European Union hereby notify the Council for Trade in Goods, in accordance with 
Article 12.5 of the Safeguards Agreement, the re sult of the above consultations.  
 
Brazil and the European Union reached a mutual understanding that the consultations process 
between Brazil and the EU under Article 12.3 of the Safeguards Agreement shall be deemed to be 
concluded on the 1st of October 201 9, with the entry into force of the adjustments notified by means 
of Document G/SG/N/10/EU/1/Suppl.3  - G/SG/N/11/EU/1/Suppl.3, particularly with regard to the 
exclusion of Brazil from measures applied on product categories 8 and 17, based on the provisions  
of Article 9.1 of the WTO Agreement on Safeguards.  
 
This agreement is without prejudice to Brazil 's and the European Union 's rights and obligations under 
the Safeguards Agreement.  
 
__________