WORLD TRADE  
ORGANIZATION  G/SG/N/14/TUR/4 
G/SG/N/11/TUR/7/Suppl.2 18 January 2010 
 
(10-0222) 
Committee on Safeguards Original:   English 
  
 
NOTIFICATION UNDER ARTICLE 12.1(C) OF THE  
AGREEMENT ON SAFEGUARDS 
(EXTENSION OF THE EXISTING MEASURE) 
 
NOTIFICATION PURSUANT TO ARTICLE 9, FOOTNOTE 2 
OF THE AGREEMENT ON SAFEGUARDS 
 
TURKEY 
 
(Motorcycles
) 
 
  The following notification, dated 14 January 2010,  is being circulated at the request of the 
Delegation of Turkey.    
_______________ 
 
  We enclose a notification pursuant to Article 12.1(c) and Article 9, Footnote 2 of the Agreement on Safeguards, on taking a decision to ex tend a safeguard measure that is being applied 
against imports of motorcycles and non-applicatio n of safeguard measure to developing countries. 
The introduction of the existing safeguard measure was notified with the document 
G/SG/N/10/TUR/7, G/SG/N/11/TUR/7/Suppl.1, G/SG/N/8/TUR/7, dated 6 February 2007. 
  Consistent with Article 12.3 of the Agre ement on Safeguards, Turkey is ready to hold 
consultations with those Members having a substan tial interest as exporters of the product concerned. 
 1. Evidence that the safeguard measure continue s to be necessary to prevent or remedy 
serious injury or threat thereof caused by  increased imports and that the industry 
concerned is adjusting 
 Pursuant to Article 7, paragraphs 2 and 3 of the Agreement on Safeguards, a safeguard 
measure should not be applied for a period exceeding four years, unless it is extended.  The period 
may be extended provided that th e competent authorities of the importing Member have determined 
that the safeguard measure continu es to be necessary to prevent or remedy serious injury and that 
there is evidence that the industry is adjusting.   The investigation conducted by Turkish inv estigating authorities examined past 4 years 
including the period before the safeguard measure was taken (from 2006 to the first half of the year 
2009). G/SG/N/14/TUR/4 
G/SG/N/11/TUR/7/Suppl.2 Page 2 
 
 
   
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Domestic production 
(pieces) 17,409 52,992 64,361 32,261 32,149 
 
 Domestic production of motorcycles increased rapidly in 2007 and continued to increase in 2008.  However this trend slowed dow n in the first half of 2009.  
 
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Domestic consumption* 
(pieces) 389,503 191,810 192,534 93,138 67,850 
* Domestic consumption is calculated by the new motorcycle registries. 
 
 Having risen to its highest level in 2006, consumption of motorcycles has decreased drastically in subsequent years. 
 
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Domestic sales 
(pieces) 14,407 49,219 61,071 34,586 32,911 
 
 In parallel with the increase in the domestic production, domestic sales figures also soared 
after 2006.  Domestic sales decreased in the first ha lf of 2009 when compared to the same period of 
the previous year.   
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Market share* 
(Domestic Producers, 
%) 4 26 32 37 49 
* Market share is calculated by the new motorcycle registries. 
 
 The share of the domestic industry in the market has recovered since 2007.  However, market share of the imported products is recorded as 51 per cent in the first half of 2009.  
Prices 
(USD per piece) 2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) 
Domestic Products 998 859 846 972  747 
Imported Product 519 903 1,154 1,100  1,039 
 
 Prices of the imported motorcycles increased distinctly after the imposition of the safeguard 
measure while the prices of domestic products decr eased in 2007 and 2008.  The price gap between 
domestic products and importe d products closed after the safeguard measure. 
 
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Capacity utilization rate 
(%) 16 17 13 14 9 
 
 The capacity utilization rate in the domestic production of motorcycles decreased in 2008. 
  G/SG/N/14/TUR/4 
 G/SG/N/11/TUR/7/Suppl.2  Page 3 
 
 
  2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Employment 
(workers) 279 372 747 680 868 
 
 Employment figures in the domestic motorc ycles production are showing an important 
recovery, increasing continuously since 2006.   
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Productivity 
(index 2006=100;  
2008 Jan.-Jun.=100) 100 228 138 100 78 
 
 The productivity index improved in 2007 but deteri orated in 2008 and in th e first half of 2009. 
 
2006 2007 2008 2008 
(Jan.-June) 2009 
(Jan.-June) Profitability 
(%) 8 10 13 11 8 
 
 Profits of the domestic motorcycles producers recorded as 8 per cent in 2006 and increased slightly in subsequent years.  
 The assessment of the data available from dome stic producers reveals that majority of the 
economic indicators of domestic industry improved after the measure.  Namely, domestic sales, 
market share, production capacity and employment figures are increased.  Moreover, in the first half 
of 2009, a significant improvement in exports was recorded.   
 The findings of the investigation state that once the domestic producers are not exposed to 
ever increasing imports, they managed to implem ent an extensive adjustment plan.  After the 
safeguard measure initiated, domestic producers made new investments which led to enhance 
production capacity and introduced new models.   It is concluded based on evalua tions conducted within the context of the investigation that the 
domestic producers of motorcycles were adjusting. 
  As a result, it was decided that the requireme nts for the extension of the safeguard measure 
were met.  2. Information on absolute increase in imports 
 The information currently available indicates that after the introduction of the safeguard 
measure in 2007, imports of motorcycles droppe d by almost 95 per cent from 609 thousand pieces to 
33 thousand pieces.  The decline in imports conti nued in 2008 and in the first half of 2009. 
 
Imports  Unit 2005 2006 2007 2008 2008/6 2009/6 
Absolute 
Imports Pieces 310,383 609,365 33,378 23,686 19,302 11,049 
 G/SG/N/14/TUR/4 
G/SG/N/11/TUR/7/Suppl.2 Page 4 
 
 
  3. Description of the product subject to the safeguard measure 
 The product subject to the safeguard measure  is certain motorcycles, which currently 
classified within the Turkish Customs Tari ff Schedule 8711.10.00.00. 11, 8711.10.00.00.19, 
8711.20.10.00.00, 8711.20.91.00.00, 8711.20.93.00.00, 8711.20.98.00.00 and 8711.30.10.00.00. 
 
4. WTO document that notified the initial application of the measure 
 The introduction of the provisional safegua rd measure was notified with the document 
G/SG/N/6/TUR/10, G/SG/N/7/TUR/1, G/SG/N/11/TU R/7 dated 17 August 2006. Introduction of the 
definitive safeguard measure was notifie d with the document G/SG/N/10/TUR/7, 
G/SG/N/11/TUR/7/Suppl.1, G/SG/N/8 /TUR/7, dated 6 February 2007. 
 
5. Duration of the measure from initial applicatio n till the date at which it will be extended 
 The initial safeguard (provisional and defin itive) measure was applied from 15 August 2006 
to 14 August 2009.  Turkey now intends to extend the safeguard measure for 3 more years.  The 
measure to be extended is expected to be in force from 15 August 2009 to 14 August 2012. 
 
6. Precise description of the measure in place prior to the date of extension  
 As a provisional safeguard measure, a specific duty was put into force in imports of 
motorcycles by the Council of Ministers deci sion published in the Official Gazette dated 
15 August 2006, no. 26260.  The decision of the Council of Ministers for the definitive safeguard 
measure was published in the Official Gazette dated 01 March 2007, no. 26449. 
 
Fixed duty (USD per piece) 
Customs code  
of the product Threshold 
(USD per piece)1st  Period*
(15/8/2007-
14/8/2007) 2nd Period
(15/8/2007-
14/8/2008) 3rd Period 
(15/8/2008- 
14/8/2009) 
8711.10.00.00.11 1,200 200 190 180 
8711.10.00.00.19 1,400 200 190 180 
8711.20.10.00.00 2,000 250 235 220 
8711.20.91.00.00 1,400 200 190 180 
8711.20.93.00.00 2,000 250 235 220 
8711.20.98.00.00 2,300 300 285 270 
8711.30.10.00.00 2,600 300 285 270 
8711.30.90.00.00** - 300 - - 
* Provisional safeguard measure 15 August 2006 - 1 March 2007.  
** The product subject to provisiona l measure which is classified under 
HS Code 8711.30.90.00.00 was exempted in definitive safeguard measure. 
  G/SG/N/14/TUR/4 
 G/SG/N/11/TUR/7/Suppl.2  Page 5 
 
 
  7. Description of the extended measure 
 The safeguard measure will be extended for 3 year s, in the form of fixed duty, which will be 
implemented for the imports having CIF value lower th an those shown in the th reshold column of the 
table below. 
 
Fixed duty (USD per piece) 
Customs code  
of the product Threshold 
(USD per piece)1st  Period
(15/8/2009-
14/8/2010) 2nd Period
(15/8/2010-
14/8/2011) 3rd Period 
(15/8/2011- 
14/8/2012) 
8711.10.00.00.11 1,200 170 165 160 
8711.10.00.00.19 1,400 170 165 160 
8711.20.10.00.00 2,000 205 200 195 
8711.20.91.00.00 1,400 170 165 160 
8711.20.93.00.00 2,000 205 200 195 
8711.20.98.00.00 2,300 255 250 245 
8711.30.10.00.00 2,600 255 250 245 
 
8. Progressive liberalization of the measure 
 The measure will be progressively liberalized, at  regular intervals, at the beginning of each 
period of application.   The duty rate will be lowered by USD 5 for the each following period.   
9. Developing countries to which the measure is not applied under Article 9.1 of the 
Agreement on Safeguards 
 The developing countries in the list below are excluded from the measure as they export less 
than 3 per cent of imports to Turkey.   Afghanistan; Algeria; Antigua and Barbuda; A ngola; Argentina; American Samoa; Anguilla; 
Antarctica; Aruba; Azerbaijan; Barbados; Banglad esh; Burkina Faso; Bahrain; Burundi; Benin; 
Bolivarian Republic of Venezuela; Brunei Darussalam ; Bolivia; Brazil; Bahamas; Bhutan; Botswana;  
Belize; Bermuda; Bouvet Island; British Virgin Is lands; British Indian Ocean Territory; Democratic 
Republic of Congo; Central African Republic; Con go; Côte d'Ivoire; Cameroon; Chad; Colombia; 
Costa Rica; Cuba; Cape Verde; Cayman Islands; Chile; Christmas Islands; Cocos Islands; Cook 
Islands; Djibouti; Dominica; Dominican Republic; Ec uador; Egypt; Eritrea; Ethiopia; Fiji; Federated 
States of Micronesia; Falkland Islands; French Polynesia; French Southern Territories; Gabon; 
Grenada; Ghana; Gambia; Georgia; Greenland; Guinea; Equatorial Guin ea; Guatemala; Guinea-
Bissau; Guyana; Gibraltar; Guam; Honduras; Haiti; Heard Island and McDona ld Islands; Iraq; Iran 
(Islamic Republic of); Jamaica; Jordan; Kazakhstan;  Kenya; Cambodia; Kiribati; Comoros; St Kitts 
and Nevis; Kuwait; Kyrgyzstan; Laos; Lebanon; St Lu cia; Sri Lanka; Liberia; Lesotho; Libyan Arab 
Jamahiriya; Morocco; Madagascar; Marshall Islands; Mali; Moldova; Mongolia; Mauritania; 
Mauritius; Malaysia; Maldives; Malawi; Mozamb ique; Macao; Mayotte; Mexico; Montserrat; 
Namibia; Niger; Nigeria; Nicaragua; Nepal; Na uru; Netherlands Antilles; New Caledonia; Niue 
Island; Norfolk Island; Northern Mariana Is lands; Oman; Panama; Peru; Papua New Guinea; G/SG/N/14/TUR/4 
G/SG/N/11/TUR/7/Suppl.2 Page 6 
 
 
  Philippines; Pakistan; Palau; Paraguay; Pitcairn; Qatar; Russian Federation; Rwanda; Samoa; Saudi 
Arabia; Solomon Islands; Seychelles; Sudan; Sie rra Leone; Senegal; Somalia; Suriname; Sao Tomé 
and Principe; El Salvador; Syrian Arab Republic; Swaziland; South Africa; South Georgia and South 
Sandwich Islands; St Helena  and dependencies; St Pierre and Mi quelon; Tajikistan; Togo; Tunisia; 
Tonga; East Timor; Trinidad and Tobago; Turkme nistan; Tuvalu; Tanzania; Tokelau; Turks and 
Caicos Islands; Ukraine; United Arab Emirates;  United States Minor outlying islands; Uganda; 
Uruguay; Uzbekistan; St Vincent; Vietnam, Vanua tu; Virgin Islands of US; Wallis and Futuna 
Islands; Yemen; Zambia and Zimbabwe.  
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