WORLD TRADE
ORGANIZATIONG/SG/N/10/ARG/1/Suppl.3
G/SG/N/11/ARG/1/Suppl.3
17 May 1999
(99-1968)
Committee on Safeguards Original:  Spanish
NOTIFICATION PURSUANT TO ARTICLE 12.1(C) AND ARTICLE 9,
FOOTNOTE 2, OF THE AGREEMENT ON SAFEGUARDS
ARGENTINA
Supplement
The following communication, dated 25 November 1998, has been received from the
Permanent Mission of Argentina.
_______________
I have pleasure in addressing the Director-General, in accordance with paragraph 3 of the
Understanding Regarding Notification, Consultation, Dispute Settlement and Surveillance and the
Decision on Notification Procedures annexed to the Final Act Embodying the Results of the Uruguay
Round of Multilateral Trade Negotiations, to notify the WTO of Resolution No. 1506/98 of the
Ministry of the Economy and Public Works and Services which envisages the possibility that theSecretariat of Industry, Trade and Mining of the Ministry of the Economy and Public Works and
Services may establish prior import licences for the footwear products subject to the quantitative
restriction imposed by the Resolution in question.G/SG/N/10/ARG/1/Suppl.3
G/SG/N/11/ARG/1/Suppl.3
Page 2
Ministry of the Economy and
Public Works and Services
Buenos Aires, 16 November 1998
HAVING REGARD TO File No. 061-006592/98 of the Registry of the Ministry of the
Economy and Public Works and Services, and
WHEREAS:
Resolution No. 987 of the Ministry of the Economy and Public Works and Services of
10 September 1997 provided for the closure of a safeguards investigation into footwear imports into
our country carried out in accordance with the provisions of the Agreement on Safeguards,
incorporated into our legal system by Act No. 24,425 and Decree No. 1059 of 19 September 1996, the
said Resolution imposed a definitive safeguard measure consisting of the establishment of variousMinimum Specific Duties, as listed in its Annex I.
Resolution No. 512 of the Ministry of the Economy and Public Works and Services of
24 April 1998 amended the liberalization timetable of the measure established in Annex I to
Resolution No. 987 of the Ministry of the Economy and Public Works and Services of10 September 1997, in accordance with the new timetable which forms part of the said Resolution as
its Annex I.
Likewise, Resolution No. 512 of the Ministry of the Economy and Public Works and Services
of 24 April 1998 replaced Article 9 of Resolution No. 987 of the Ministry of the Economy and PublicWorks and Services of 10 September 1997 establishing that the Secretariat of Industry, Trade and
Mining, a subordinate body of the Ministry of the Economy and Public Works and Services, would
monitor total imports and the adjustment plan pr ovided for in the commitments undertaken by the
petitioner.
In accordance with the provisions of the preceding preambular paragraph, the aforesaid
monitoring has been carried out.
The Under-Secretariat of Foreign Trade, a subordinate body of the Secretariat of Industry,
Trade and Mining of the Ministry of the Economy and Public Works and Services, is responsible for
supervising the implementation of the measures adopted, as provided for in Article 27 of
Decree No. 1059/96.
Imports have been monitored on the basis of the information supplied by the Directorate-
General of Customs of the Federal Administration of Public Revenue and the National Statistics and
Censuses Institute, both being subordinate bodies of the Ministry of the Economy and Public Works
and Services.
The analysis made of the performance of imports proved that they had increased while the
safeguard measures that had established Minimum Specific Duties had been in force.
Consequently, it is necessary to amend the liberalization timetable provided for in Annex I to
Resolution No. 512 of the Ministry of the Economy and Public Works and Services of 24 April 1998
amending Resolution No. 987 of the Ministry of the Economy and Public Works and Services of
10 September 1997.G/SG/N/10/ARG/1/Suppl.3
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Page 3
It is also necessary to consider the new situation of the developing countries that had been
excluded from the safeguard measure adopted by Resolution No. 987 of the Ministry of the Economy
and Public Works and Services of 10 September 1997.
The imports of footwear from developing countries which represented individually less than
three per cent (3%) of total imports in the period of January to June 1998 collectively exceeded
nine per cent (9%).
The conditions defined by Article 9 of the Agreement on Safeguards for the treatment of
developing countries are thus applicable.
This amendment does not involve any change in the total duration of the measure adopted at
the proper time, its end being still scheduled for 25 February 2000.
The Directorate-General for Legal Affairs of the Ministry of the Economy and Public Works
and Services has expressed an opinion within its sphere of competence.
This Resolution is issued pursuant to the powers conferred by the Agreement on Safeguards
incorporated into our legal system by Act No. 24,425 and Decree No. 1059 of 19 September 1996.
Therefore,
THE MINISTER OF THE ECONOMY AND PUBLIC WORKS AND SERVICES
DECIDES:
Article 1.  The liberalization timetable established in Annex I to Resolution No. 512 of the
Ministry of the Economy and Public Works and Services of 24 April 1995, amending
Resolution No. 987 of the Ministry of the Economy and Public Works and Services of
10 September 1997, shall be amended in accordance with the new liberalization timetable contained
in Annex I which, in one (1) table, is an integral part of this Resolution.
Article 2.  A quantitative restriction is hereby imposed on imports of footwear cleared through
customs under MERCOSUR Common Nomenclature Tariff Headings 6401.10.00, 6401.91.00,
6401.92.00, 6401.99.00, 6402.12.00, 6402.19.00, 6402.20.00, 6402.30.00, 6402.91.00, 6402.99.00,
6403.12.00, 6403.19.00, 6403.20.00, 6403.30.00, 6403.40.00, 6403.51.00, 6403.59.00, 6403.91.00,
6403.99.00, 6404.11.00, 6404.19.00, 6404.20.00, 6405.10.10, 6405.10.20, 6405.10.90, 6405.20.00
and 6405.90.00 as listed in Annex II which, in one (1) table, is an integral part of this Resolution.
Article 3.  The safeguard measure consisting in the setting of Minimum Specific Duties for
the import of the products described in Annex I to this Resolution, whose Article 1 amends
Resolution No. 512 of the Ministry of the Economy and Public Works and Services of 24 April 1998,
amending Resolution No. 987 of the Ministry of the Economy and Public Works and Services of
10 September 1997, shall apply to imports of f ootwear cleared through customs under MERCOSUR
Common Nomenclature Tariff Headings 6401.10.00, 6401.91.00, 6401.92.00, 6401.99.00,
6402.12.00, 6402.19.00, 6402.20.00, 6402.30.00, 6402.91.00, 6402.99.00, 6403.12.00, 6403.19.00,
6403.20.00, 6403.30.00, 6403.40.00, 6403.51.00, 6403.59.00, 6403.91.00, 6403.99.00, 6404.11.00,
6404.19.00, 6404.20.00, 6405.10.10, 6405.10.20, 6405.10.90, 6405.20.00 and 6405.90.00 until the
quantities of pairs are reached for each calendar quarter as listed in Annex II which, in one (1) table, isan integral part of this Resolution.G/SG/N/10/ARG/1/Suppl.3
G/SG/N/11/ARG/1/Suppl.3
Page 4
Article 4.  A levy shall be payable on imports of footwear exceeding the quantities of pairs
established in Article 2 at the rate of the Minimum Specific Duties of the safeguard measure described
in Annex I to this Resolution, whose Article 1 amends Resolution No. 512 of the Ministry of the
Economy and Public Works and Services of 24 April 1995, amending Resolution No. 987 of the
Ministry of the Economy and Public Works and Services dated 10 September 1997, increased byone hundred per cent (100%) as listed in Annex III which, in one (1) table, is an integral part of this
Resolution.
Article 5.  The imports of footwear from developing countries shall be subjected to the
quantitative restrictions of this Resolution, in accordance with the provisions in Article 9 of the
Agreement on Safeguards.
Article 6.  As from 1 December 1999, the quotas established in Annex II shall be increased by
ten per cent (10%).  These levels shall prevail until 25 February 2000.
Article 7.  The Secretariat of Industry, Trade and Mining of this Ministry shall regulate the
mode of application of the quantitative restriction provided for in Annex II to this Resolution, forwhich purpose it shall be able to establish prior import licences.
Article 8.  The provisions of this Resolution will clearly not apply to imports effected by the
following firms:  Adidas Argentina S.A., Fila (A rgentina) S.A., Fitalse S.A., Grimoldi S.A., Nike
Argentina S.A. and R.B.K. Argentina S.A., as long as the precautionary measure handed down on
22 December1997 by Federal Administrative Jurisdiction Court No. 6, Registry Number 11, in the
case of "Adidas Argentina S.A. and others versus  the State – Ministry of the Economy and Public
Works and Services – Decree No. 1059/96, Information Proceedings" remains in force.
Article 9.  For communication, publication, transmittal to the Official Registry and archiving.
Dr. Roque FernándezG/SG/N/10/ARG/1/Suppl.3
G/SG/N/11/ARG/1/Suppl.3
Page 5
ANNEX I TO RESOLUTION NO. 1506
Minimum Specific Duties on Footwear Imports
US$ per pair
Tariff heading Liberalization timetable
13/9/1997 to
30/11/19991/12/1999 to
25/2/2000
6401.10.00  0.00  0.00
6401.91.00  0.00  0.00
6401.92.00  2.58  2.44
6401.99.00  2.26  2.14
6402.12.00  0.00  0.00
6402.19.00  7.40  6.40
6402.20.00  0.00  0.00
6402.30.00  0.00  0.00
6402.91.00  7.00  6.40
6402.99.00  6.30  5.65
6403.12.00  0.00    0.00
6403.19.00 12.10  10.60
6403.20.00  0.00  0.00
6403.30.00  0.00  0.00
6403.40.00 14.51 13.71
6403.51.00 13.32 12.58
6403.59.00 16.09 15.19
6403.91.00 10.40  9.15
6403.99.00  7.30  6.60
6404.11.00  7.00  6.25
6404.19.00 2.50 2.14
6404.20.00  0.00  0.00
6405.10.10  7.30  6.32
6405.10.20  7.30  6.32
6405.10.90  7.30 6.32
6405.20.00*  0.84  0.75
6405.90.00  7.30  6.32
*Except for footwear with felt soles and uppers.G/SG/N/10/ARG/1/Suppl.3
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ANNEX II TO RESOLUTION NO. 1506
Tariff headingQuarterly quota
(in pairs)
6401.10.00 356
6401.91.00 194
6401.92.00 7,296
6401.99.00 5,414
6402.12.00 13,260
6402.19.00 40,628
6402.20.00 19,142
6402.30.00 24
6402.91.00 25,225
6402.99.00 158,475
6403.12.00 -
6403.19.00 70,365
6403.20.00 137
6403.30.00 1,752
6403.40.00 314
6403.51.00 1,431
6403.59.00 1,740
6403.91.00 52,979
6403.99.00 102,438
6404.11.00 132,628
6404.19.00 228,835
6404.20.00 2,268
6405.10.10 1,527
6405.10.20 105
6405.10.90 141
6405.20.00* 95,495
6405.90.00 49,905
*Except for footwear with felt soles and uppers.G/SG/N/10/ARG/1/Suppl.3
G/SG/N/11/ARG/1/Suppl.3
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ANNEX III TO RESOLUTION NO. 1506
Minimum Specific Duties on Footwear Imports
US$ per pair
Tariff heading Liberalization timetable
13/9/1997 to
30/11/19991/12/1999 to
25/2/2000
6401.10.00 0.00 0.00
6401.91.00 0.00 0.00
6401.92.00 5.16 4.88
6401.99.00 4.52 4.28
6402.12.00 0.00 0.00
6402.19.00 14.80 12.80
6402.20.00 0.00 0.00
6402.30.00 0.00 0.00
6402.91.00 14.00 12.80
6402.99.00 12.60 11.30
6403.12.00 0.00 0.00
6403.19.00 24.20 21.20
6403.20.00 0.00 0.00
6403.30.00 0.00 0.00
6403.40.00 29.02 27.42
6403.51.00 26.64 25.16
6403.59.00 32.18 30.38
6403.91.00 20.80 18.30
6403.99.00 14.60 13.20
6404.11.00 14.00 12.50
6404.19.00 5.00 4.28
6404.20.00 0.00 0.00
6405.10.10 14.60 12.64
6405.10.20 14.60 12.64
6405.10.90 14.60 12.64
6405.20.00* 1.68 1.50
6405.90.00 14.60 12.64
*Except for footwear with felt soles and uppers.
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