G/L/1213  
G/SG/158  
 
16 March 2018  
(18-1597) Page: 1/3 
Council for Trade in Goods  
Committee on Safeguards  
 Original: English  
 
REQUEST UNDER ARTICL E 13.1(E) OF  
THE AGREEMENT ON SAF EGUARDS  
 
REQUEST FROM THAILAND  CONCERNING  
A SUSPENSION OF CONC ESSIONS OR OTHER OBL IGATIONS BY TURKEY  
THAILAND  
 
The following communication, dated 15 March  2018, is being circulated at the request of the 
Delegation of Thailand.  
 
_______________  
 
 
Without prejudice to rights and obligations under the WTO  Covered Agreements and pursuant to 
Article 13.1(e) of the Agreement on Safeguards, Thailand hereby  requests the Committee on 
Safeguards to review wheth er the suspension of concessions or other obligations applied by Turkey 
is "substantially equivalent " as provided for in Article 8.2 of the Agreement on Safeguards and to 
report as appropriate to the Council for Trade in Goods.  
 
The basis for this request  is as follows:  
 
1  FACTS  
1. On 7 June 2014, in relation to increased imports and in order to remedy the serious injury 
suffered by the domestic industry, Thailand imposed a safeguard measure  on non - alloy hot rolled 
steel flat products in coils and not in co ils (hereinafter refer to as "the products concerned") for a 
duration of 3 years and progressively liberalized it at regular interval during the period of its 
application.  
 
2. On 21 June 2017, the decision to extend a safeguard measure that is being appli ed against 
the products concerned was notified ( WTO Document G/SG/N/8/THA/3/Suppl.2 and 
G/SG/N/10/THA/3/Suppl.2 ) according to which a public hearing was held on 24 April 2017 and the 
Ministry of Economy of Republic of Turkey requested a time slot for prior  consultation.  That 
consultation was held on 21 April 2017 during which there was no discussion on the issue relating 
to maintain ing a substantially equivalent level of concessions and other obligations to that existing 
under GATT 1994 due to the fact that  the Turkish import share of the subjected goods counted 
only for 5. 14% of Thailand 's total import.  
 
3. On 3 August 2017, Turkey  notified to the Council for Trade in Goods the  proposed 
suspension of concessions and other obligations referred to in paragra ph 2 of Article 8  of the WTO 
Agreement on Safeguards (WTO Document G/L/1183 and G/SG/N/12/TUR/5 ) consisting of an 
increase in import duty of air -conditioning machine (HSC: 8415.10) originating in Thailand 
effectuated from 5 September 2017 for 3 years.  
 
4. On 22 November 2017, Turkey published in its Official Journal the increase in import duty of 
air-conditioning machine from Thailand by 9.27% based on the selected import value of non-alloy 
hot rolled steel flat products in coils and not in coils  in 2013 w here there was a maximum surge in 
imports before the initiation of Thailand 's investigation.  
 G/L/1213 • G/SG/158  
 
- 2 - 
 
  2  SUBSTANTIALLY EQUIVA LENT CONCESSIONS  
5. Thailand considers that the suspension  of concessions and other obligations  applied by 
Turkey is not substantially equivalent as provided for in Article 8.2 of the Agreement on 
Safeguards  considering that the substantially equivalent  concessions should be  calculated based 
on a 3-year average  of import value  preceding the  original  measure where the leve l of concessions 
is not affected and where relevant factors of injury indicate that the domestic industry suffered 
from the surge in imports . 
 
6. In fact, the substantially equivalent concessions for Turkey should be at most at the a mount 
of 5.70% additional duty instead of 9.27% on the products concerned, as indicated in the Annex.  
 
3  REQUEST  
 
7. Pursuant to the mandate established in Article 13.1(e) of the Agreement on Safeguards, 
Thailand requests that the Committee on Safeguards review whether the suspension of 
concessions or other obligations applied by Turkey is "substantially equivalent " as provided for in 
Article 8.2 of the Agreement on Safeguards. Thailand also requests that the Committee report its 
findings to the Council for Trade in Goods.  
 
_______________  
 
 
  G/L/1213 • G/SG/158  
 
- 3 - 
 
  ANNEX  
 
LEVEL OF SUBSTANTIAL LY EQUIVALENT CONCES SIONS OR OTHER OBLIG ATIONS  
 
1. Based on Thai Customs Authority 's statistics, application of a 3 -year average safeguard duty 
of 20.87% on non -alloy hot rolled steel flat products in coils and no t in coils should result in 
3.2 million US dollars ($) of duty collected by Thailand with regard to Turkish exports of the 
relevant product based on an average of the import value from June 2011 – May 2014.  
 
Non-alloy hot rolled steel flat products in coils and not in coils  
 
Turkey 's Exports $  Thailand 's 
Increase in Duty  Duty Collected  
June 2011  
–  
 May 2012  June 2012  
–  
 May 2013 June 2013  
 –  
May 2014 
- 6,621,224  39,563,944    
3-year average   15,395,056 20.87%  3,212,948  
 
 
2. The substantially equivalent concessions and other obligations as regards air -conditioning 
machine originating in Thailand should be at the amount of 5.70%  based on a 3 -year average of 
export value during the same period of the said product to Turkey.  
 
Air-conditioning Machine  
 
Thailand 's Exports $  Turkey 's Increase 
in Duty  Duty Collected  
June 2011  
–  
 May 2012  June 2012  
–  
 May 2013 June 2013  
 –  
May 2014 
44,585,697 73,529,548 50,935,734   
3-year average   56,350,326  5.70%  3,211,969  
 
 
 
 
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