WORLD TRADE  
ORGANIZATION  G/SG/N/7/TUR/9 
G/SG/N/11/TUR/15 
G/SG/N/14/TUR/6 18 April 2011 
 
 
(11-1974) 
Committee on Safeguard Measures Original:   English 
  
 
NOTIFICATION UNDER ARTICLE 12.4 OF THE AGREEMENT  
ON SAFEGUARDS BEFORE TAKING A PROVISIONAL  
SAFEGUARD MEASURE REFERRED TO IN ARTICLE 6 
 
NOTIFICATION PURSUANT TO ARTICLE 9, FOOTNOTE 2  
OF THE AGREEMENT ON SAFEGUARDS 
 
NOTIFICATION UNDER ARTICLE 12.1 OF THE AGREEMENT  
ON SAFEGUARDS ON INITIATION OF AN INVESTIGATION  
(EXTENSION OF THE EXISTING MEASURE) AND THE REASONS FOR IT 
 
TURKEY 
 
(Travel Goods, Handbags and Similar Containers
) 
 
 
The following communication, dated 14 April 2011, is being circulated at the request of the 
Delegation of Turkey.    
_______________ 
  
We enclose a notification pursuant to Article 12.1 of the Agreement on Safeguards, on 
initiation of a safeguard investigation to review th e safeguard measure that is being applied against 
imports of travel goods, handbags a nd similar containers;  a notification pursuant to Article 12.4 of 
the Agreement on Safeguards, before taking a provisi onal safeguard measure against imports of travel 
goods, handbags and similar containe rs;  and a notification pursuant to  Article 9, footnote 2 of the 
Agreement on Safeguards, on taking a decision not to  apply the measure to products originating in 
developing countries.  The initial application of the existing saf eguard measure was notified with the 
document  G/SG/N/8/TUR/9, G/SG/N/10/TUR/9, G/ SG/N/11/TUR/9, dated 18 March 2008. 
 A. N
OTIFICATION UNDER ARTICLE 12.1  OF THE AGREEMENT ON SAFEGUARDS ON INITIATION 
OF AN INVESTIGATION (EXTENSION  OF THE  EXISTING  MEASURE)  AND THE REASONS FOR 
IT   
1. The date when the investigation was initiated 
The investigation was initiated on 24 March 2011.  The related Communiqué was published 
in the Official Gazette on 31 March 2011 with the number 27891. 
 
2. The product subject to the investigation 
The product under investigation is travel goods, handbags and similar c ontainers hereinafter 
referred to as "the product concerned". G/SG/N/7/TUR/9 
G/SG/N/11/TUR/15 G/SG/N/14/TUR/6 
Page 2 
  
   The product concerned is currently classified  under the customs tariff subheading 42.02 of 
Turkish Customs Tariff Schedule. During the inv estigation, the products classified under 42.02 are 
analyzed under three main sub-groups. Eight-digit customs codes by subgroups are given in the table 
below. 
 
(B)  
Handbags, wallets and similar goods 
(A) 
Suitcases and similar 
goods (B1)Plastic or textile 
ones (B2) Others (C) 
Other containers 
 
4202.11.90 4202.12.50 
4202.12.99 
4202.19.10 4202.19.90 
  
4202.12.11 4202.12.19 
4202.12.91 
4202.22.10 4202.22.90 4202.32.10 4202.32.90 
4202.92.11 
4202.92.91 
  
4202.11.10 4202.21.00 
4202.29.00 
4202.31.00 4202.39.00 4202.91.10 
  
4202.91.80 4202.92.15 
4202.92.19 
4202.92.98 4202.99.00 
  
 3. The reasons for the initiation of investigation 
The investigation was initiated upon an evalua tion of a safeguard petition from the domestic 
industry and on the basis of the evidence and the information contained therein.  
The information currently available indicates th at imports of the product concerned dropped 
significantly in 2008 and 2009 with the introduction of the safeguard measure, and then imports began 
to increase again in 2010. Although the market shar e of imports has declined significantly with the 
introduction of the safeguard measure, it still constitu tes a major share of the market. On the other 
hand, while the domestic industry is still in an adjust ment process, the latest trends imply that the 
market share of imports is on the rise.  
 
Import figures and economic indicators of the do mestic industry are provided in the following 
sections.  
4. Further information 
Those who fill out and send "Application Form fo r the Interested Party" to the competent 
authority within the period of 20 days after the promulgation of the related Communiqué are accepted 
as interested parties in the investigation.  
The competent authority shall provide with a username and a password to each interested 
party.  The username of the interested party sha ll be the e-mail address specified in the "Application 
Form for the Interested Party".  Logging in with th e username and password, the interested parties are 
required to fill out "Online Questionnaire fo r the Interested Party", available at 
http://www.dtm.gov.tr/dtmithgozetim/index.cfm, within the period of 30 days after the promulgation of the related Communiqué.  Interested parties ma y ask for the technical assistance of the competent 
authority during filling out "Online Questionnaire for the Interested Party".   G/SG/N/7/TUR/9 
 G/SG/N/11/TUR/15 
 G/SG/N/14/TUR/6 
 Page 3 
  
  Interested parties may state, in the "Applicati on Form for the Interested Party", their request 
to be heard by the competent authority.  
"Application Form for the Interested Party" is available in the web address below.  Also, the 
date and venue of the hearing a nd other announcements regarding th e investigation will be accessible 
on the same address.  http://www.dtm.gov.tr/dtmweb/index.cfm?acti on=detay&yayinID=47&icerikID=132&dil=TR
 
 
The address of the competent authority for correspondence is:  
 
 Undersecretariat of the Prime Ministry for Foreign Trade 
 Directorate General for Imports, Department of Safeguards 
 İnönü Bulvar ı, No:36 
 06510 Emek/Ankara  TURKEY  Tel:  +90 (312) 204 77 17 / +90 (312) 204 77 03  Fax:  +90 (312) 212 87 65   Web page:  http://www.dtm.gov.tr 
E-mail:  korunma@dtm.gov.tr
 
 
B. NOTIFICATION UNDER ARTICLE 12.4  BEFORE TAKING A PROVISIONAL SAFEGUARD 
MEASURE  
1. The product subject to the proposed provisional safeguard measure 
The product subject to the proposed provisional safeguard measure is travel goods, handbags 
and similar containers. The product concerned is  currently classified under the customs tariff 
subheading 42.02 of Turkish Customs Tariff Schedule.   
2. The proposed provisional safeguard measure 
 It is proposed to impose provisional safeguard measure in the form of additional duty of 
US $2.70 per kg (maximum US$4.25 per piece) for a period of maximum 200 days.   3. Entry into force of the proposed  provisional safeguard measure 
 The provisional safeguard measure is proposed to enter into force from 8 April 2011, with the 
publication of the approval of the Council of Ministers in the Official Gazette.   
4. The expected duration of the provisional safeguard measure 
 The decision whether or not to extend the exis ting safeguard measure will be made at the end 
of the investigation. Therefore the provisional safeguard measure shall be applied during the 
investigation period. In any case, the provisiona l safeguard measure shall last for 200 days. 
 
5. (i)  The basis for making a preliminary determination, as provided for in Article 6, that 
increased imports have caused or a re threatening to cause serious injury  
The evidence relating to the serious injury suffered by the domestic industry as a result of the 
increase in imports of the product concerned had be en notified with the document G/SG/N/8/TUR/9, 
dated 18 March 2008.  Accordingly, a safeguard me asure against imports of travel goods, handbags G/SG/N/7/TUR/9 
G/SG/N/11/TUR/15 G/SG/N/14/TUR/6 
Page 4 
  
  and similar containers for a period of 3 years was put into force on 8 April 2008. Information on the 
changes in the level of imports and certain econo mic indicators of the domestic industry that were 
recorded during the period the safeguard meas ure has been applied is provided below.  
 
CHANGE IN IMPORTS 
 
Imports 2006 2007 2008 2009 2010 
Group A     
(Thousand Pieces) 2,239 2,453 2,318 1,080 1,032 
Group B1    
(Thousand Pieces) 29,444 34,523 30,665 16,048 20,248 
Group B2    
(Thousand Pieces) 2,737 1,823 2,161 2,070 2,367 
Group C     
(Tons)  2,331 3,032 3,218 1,416 1,544 
 
After the introduction of the Safeguard measure in 2008, in each category, the imports have 
dramatically declined. In 2010 the imports bega n to increase in each category except Group A.  
 
Imports / Production % 2006 2007 2008 2009 2010 
Group A     159 175 159 83 75 
Group B1    165 195 172 100 109 
Group B2    293 196 258 232 244 
Group C     47 61 64 30 30 
 
While the ratio of imports to domestic productio n decreased after the safeguard measure had 
been initiated in 2008, it has remained at  a steady level in the last two years. 
 
Market share of imports % 2006 2007 2008 2009 2010 
Group A     64 65 63 48 44 
Group B1    80 71 70 52 55 
Group B2    88 83 85 86 85 
Group C     34 40 42 25 28 
 
Following the implementation of the safeguard  measure, market share of imports has 
gradually declined. In 2009, the share of imports has d eclined to its lowest level. In 2010, the share of 
imports in certain product categories began to increase again.    
ECONOMIC INDICATORS OF THE DOMESTIC INDUSTRY 
 
A preliminary analysis to assess the impacts of  the existing safeguards on the situation of the 
domestic industry was carried out. In this analys is, data submitted by 4 major associations, that 
constitute major proportion of dom estic production, were utilized.  
  G/SG/N/7/TUR/9 
 G/SG/N/11/TUR/15 
 G/SG/N/14/TUR/6 
 Page 5 
  
  (i) Consumption 
Consumption 2006 2007 2008 2009 2010 
Group A     
(Thousand Pieces) 3,500 3, 767 3,662 2,255 2,330 
Group B1     
(Thousand Pieces) 36,582 48, 500 43,684 30,603 36,581 
Group B2    
(Thousand Pieces) 3,112 2, 191 2,535 2,418 2,773 
Group C     
(Tons) 6,800 7,498 7,664 5,725 5,598 
 
 The consumption of the goods in each category has declined in the years 2008 and 2009. This 
decline has stemmed from the impacts of financial cris is that hit the world and the safeguard measure. 
  
(ii) Production 
Domestic Production 2006 2007 2008 2009 2010 
Group A     
(Thousand Pieces) 1,410 1,400 1,461 1,300 1,381 
Group B1     
(Thousand Pieces) 17,796 17,700 17,824 16,086 18,498 
Group B2    
(Thousand Pieces) 935 930 837 892 972 
Group C     
(Tons) 5,000 5,000 5,035 4,798 5,225 
  
 The production in each category has fluctuated in the course of the years 2006 to 2010. 
 
(iii) Domestic Sales 
Domestic Sales 2006 2007 2008 2009 2010 
Group A     
(Thousand Pieces) 1,262 1, 237 1,164 1,164 1,364 
Group B1     
(Thousand Pieces) 7,118 6, 976 7,095 6,570 7,700 
Group B2    
(Thousand Pieces) 375 368 374 346 406 
Group C     
(Tons) 4,500 4,900 4,883 4,614 5,408 
 
Despite the safeguard measure implemented on imports starting from the year 2008, domestic 
sales did not fluctuate significantly. The reason why domestic sales had a steady course is the shrinking demand due to the financial crises.   G/SG/N/7/TUR/9 
G/SG/N/11/TUR/15 G/SG/N/14/TUR/6 
Page 6 
  
  (iv) Employment 
Employment (Persons) 2006 2007 2008 2009 2010 
Group A 1,410 1,400 1,461 1,300 1,381 
Group B1 4,900 4,850 5,074 4,516 4,786 
Group B2  1,600 1,600 1,657 1,475 1,567 
Group C  3,600 3,600 3,728 3,317 3,523 
Total 11,510 11,450 11,920 10,608 11,257 
 
The employment figures of domestic manufacturer s have declined by 5.6 per cent between 
2008 – 2010.  
 
CONCLUSION 
 
 The assessment of the data available from domestic producers reveals that some economic 
indicators have improved after the implementation of the safe guard measure. However this 
improvement in the economic indicators and adaptation of the domestic producers to the 
competitiveness of the industry has interrupted by the financial crisis that hit the world, which has 
resulted in the shrinking of the domestic demand.  Th erefore in this period domestic producers did not 
realize the positive impacts of the safeguard measure. 
  The findings of the preliminary determination state that domestic producers managed to implement an extensive adjustment plan. After the safeguard measure in itiated, domestic producers 
made new investments and introduced new mode ls however the adaptation and the rehabilitation 
process of the industry is not completed yet.  
 
 (ii)  The basis for determining the existen ce of critical circumstances where delay would 
cause damage which it would be difficult to repair  
The safeguard measure that is currently be ing applied against imports of the product 
concerned entered into force on 8 April 2008  and came to an end on 7 April 2011.  
  It was determined, in the preliminary analys is that, import data of 2008 and 2009 reflect the 
influence of safeguard measure. Domestic produ cts increased market share in 2008 and 2009. 
Moreover, preliminary figures reveal that certai n figures relating to domes tic industry show positive 
trend during the period the safeguard measure has been implemented.  
 However by 2010 imports began to increase agai n by around 20 per cent. On the other hand 
whereas economic indicators of the domestic producers slightly improved, imported products 
continue to serve a major share of the market in Turkey within the years of 2009 and 2010 during 
which the safeguard measure was in force.  
 Therefore, bearing in mind that a sudden and significant increase in the imports of the product 
concerned after the end of the three-year period c ould negatively affect the recovery period of the 
domestic industry, the provisional safeguard measure is proposed to eliminate uncertainty that could 
come out with the ongoing investigation on the necess ity of the extension of the current measure. To 
achieve this objective, the provisional measu re shall be collected as collateral.  G/SG/N/7/TUR/9 
 G/SG/N/11/TUR/15 
 G/SG/N/14/TUR/6 
 Page 7 
  
  6. Offer of consultations under Article 12.4 
Consistent with Article 12.4 of the Agreement on Safeguards, Turkey is prepared to consult 
on the provisional safeguard measure with those Memb ers having a substantial interest as exporters of 
the product concerned. 
 C. N
OTIFICATION UNDER ARTICLE 9, FOOTNOTE 2 UPON TAKING A DECISION NOT TO APPLY 
THE PROVISIONAL SAFEGUARD MEASURE TO CERTAIN PRODUCTS ORIGINATING IN 
DEVELOPING COUNTRIES  
1. The measure 
It is proposed to impose provisional safegua rd measure in the form of specific duty as 
described in the notificatio n under Article 12.4 above. 
 
2. The product subject to the measure 
 The measure applies to the products describ ed in paragraph 3 of the notification under 
Article 12.1 above. 
 
3. The 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;  Angola;  Argentina;  American Samoa;  
Anguilla;  Antarctica;  Aruba;  Azerbaijan;  Barb ados;  Bangladesh;  Burkina Faso;  Belarus;  
Bahrain;  Burundi;  Benin;  Bolivarian Republic of Venezuela;  Brunei Darussalam;  Bolivia;  Brazil;  
Bahamas;  Bhutan;  Botswana;  Belize;  Berm uda;  Bouvet Island;  Br itish Virgin Islands;  
British Indian Ocean Territory;  Democratic Republic  of Congo;  Central African Republic;  Congo;  
Côte d'Ivoire;  Cameroon;  Chad;  Colombia;  Cost a Rica;  Cuba;  Cape Verde;  Cayman Islands;  
Chile;  Christmas Islands;  Cocos Islands;  Cook Isla nds;  Djibouti;  Dominica;  Dominican Republic;  
Ecuador;  Egypt;  Eritrea;  Ethiopia;  Fiji;  Fede rated States of Micronesia;  Falkland Islands;  
French Polynesia;  French Southern Territories;  Gabon;  Grenada;  Ghana;   Gambia;  Georgia;  
Greenland;  Guinea;  Equatorial Guinea;  Guatemal a;  Guinea-Bissau;  Guyana;  Gibraltar;  Guam;  
Honduras;  Haiti;  Heard Island and Mc Donald Islands;  India;  Iraq;  Iran (Islamic Republic of);  
Jamaica;  Jordan;  Kazakhstan;  Kenya;  Cambodia;  Kiribati;  Comoros;  St Kitts and Nevis;  Kuwait;  
Kyrgyzstan;  Laos;  Lebanon;  St Lucia;  Sri Lanka;  Liberia;  Lesotho;  Libyan Arab Jamahiriya;  Morocco;  Madagascar;  Marshall Islands;  Mali;  Moldova;  Mongolia;  Mauritania;  Mauritius;  
Malaysia;  Maldives;  Malawi;  Mozambique;  Maca o;  Mayotte;  Mexico;  Montserrat;  Myanmar;  
Namibia;  Niger;  Nigeria;  Nicaragua;  Nepal;  Nauru;  Netherlands Antilles;  New Caledonia;  
Niue Island;  Norfolk Island;  Northern Mariana Isla nds;  Oman;  Panama;  Peru;  Papua New Guinea;  
Philippines;  Pakistan;  Palau;  Paraguay;  Pitcairn ;  Qatar;  Russian Federation;  Rwanda;  Samoa;  
Saudi Arabia;  Solomon Islands;  Seychelles;  Sudan;   Sierra Leone;  Senegal;  Somalia;  Suriname;  
Sao Tomé and Principe;  El Salvador;  Syrian  Arab Republic;  Swaziland;  South Africa;  
South Georgia and South Sandwich Is lands;  St Helena and dependenci es;  St Pierre and Miquelon;  
Thailand;  Tajikistan;  Togo;  Tunisia;  Tonga;  E ast Timor;  Trinidad and Tobago;  Turkmenistan;  
Tuvalu;  Tanzania;  Tokelau;  Turks and Caicos  Islands;  Ukraine;  United Arab Emirates;  
United States Minor outlying islands;  Uganda;  Uruguay;  Uzbekistan;  St Vincent;  Vietnam, 
Vanuatu;  Virgin Islands of US;  Wallis and Fu tuna Islands;  Yemen;  Zambia and Zimbabwe. 
__________