### (37) taking into account that a product designated by the geographical indication produced in one member state might be sold in another member state , administrative assistance between member states should be ensured to allow effective controls and its practicalities should be laid down. ### (37) taking into account that a product designated by the geographical indication produced in one member state might be sold in another member state , administrative assistance between member states and with third countries should be ensured to allow effective controls and its practicalities should be laid down.


### (39) the procedures for registration , amendment and cancellation of geographical indications , including the scrutiny and the opposition procedure , should be carried out in the most efficient way. this can be achieved by using the assistance for the scrutiny of the applications provided by the european union intellectual property office (euipo). while a partial outsourcing to euipo has been considered , the commission would remain responsible for registration , amendment and cancellation , due to a strong relation with the common agricultural policy and to the expertise needed to ensure that specificities of wine , spirit drinks and agricultural products are adequately assessed. ### (39) the procedures for registration , amendment and cancellation of geographical indications , including the scrutiny and the opposition procedure , should be carried out in the most efficient way. while a partial outsourcing to the european union intellectual property office (euipo) has been considered , the commission would remain responsible for registration , amendment and cancellation , due to a strong relation with the common agricultural policy and to the expertise needed to ensure that specificities of wine , spirit drinks and agricultural products are adequately assessed.


### (39) the procedures for registration , amendment and cancellation of geographical indications , including the scrutiny and the opposition procedure , should be carried out in the most efficient way. this can be achieved by using the assistance for the scrutiny of the applications provided by the european union intellectual property office (euipo). while a partial outsourcing to euipo has been considered , the commission would remain responsible for registration , amendment and cancellation , due to a strong relation with the common agricultural policy and to the expertise needed to ensure that specificities of wine , spirit drinks and agricultural products are adequately assessed. ### (39) the procedures for registration , amendment and cancellation of geographical indications , including the scrutiny and the opposition procedure , should be free of charge and carried out in the most efficient and transparent way. this can be achieved by using the assistance for the scrutiny of the applications provided by the european union intellectual property office (euipo). the commission should remain responsible for registration , amendment and cancellation , due to a strong relation with the common agricultural policy and to the expertise needed to ensure that specificities of wine , spirit drinks and agricultural products are adequately assessed.


### (56) in order to supplement or amend certain non-essential elements of this regulation , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission in respect of defining sustainability standards and laying down criteria for the recognition of existing sustainability standards; clarifying or adding items to be supplied as part of accompanying information; entrusting the euipo with the tasks related to scrutiny for opposition and the opposition procedure , operation of the register , publication of standard amendments to a product specification , consultation in the context of cancellation procedure , establishment and management of an alert system informing applicants about the availability of their geographical indication as a domain name , scrutiny of third country geographical indications other than geographical indications under the geneva act of the lisbon agreement on appellations of origin and geographical indications34 , proposed for protection pursuant to international negotiations or international agreements; establishing appropriate criteria for monitoring performance of the euipo in the execution of the tasks entrusted to it; laying down additional rules on the use of geographical indications to identify ingredients in processed products; laying down additional rules for determining the generic status of terms; establishing the restrictions and derogations with regard to the sourcing of feed in the case of a designation of origin; establishing restrictions and derogations with regard to the slaughtering of live animals or with regard to the sourcing of raw materials; laying down rules for determining the use of the denomination of a plant variety or of an animal breed; laying down rules which limit the information contained in the product specification for geographical indications and traditional specialities guaranteed; laying down further details of the eligibility criteria for traditional specialities guaranteed; laying down additional rules to provide for appropriate certification and accreditation procedures to apply in respect of product certification bodies; laying down additional rules to further detail protection of traditional specialities guaranteed; laying down for traditional specialities guaranteed additional rules for determining the generic status of terms , conditions for use of plant variety and animal breed denominations , and relation to intellectual property rights; defining additional rules for joint applications concerning more than one national territory and complementing the rules of the application process for traditional specialities guaranteed guaranteed; complementing the rules for the opposition procedure for traditional specialities guaranteed to establish detailed procedures and deadlines; supplementing the rules regarding the amendment application process for traditional specialities guaranteed; supplementing the rules regarding the cancellation process for traditional specialities guaranteed; laying down detailed rules relating to the criteria for optional quality terms; reserving an additional optional quality term , laying down its conditions of use; laying down derogations to the use of the term ‘mountain product’ and establishing the methods of production , and other criteria relevant for the application of that optional quality term , in particular , laying down the conditions under which raw materials or feedstuffs are permitted to come from outside the mountain areas. it is of particular importance that the commission carry out appropriate consultations during its preparatory work , including at expert level , and that those consultations be conducted in accordance with the principles laid down in the interinstitutional agreement of 13 april 2016 on better law-making35 . in particular , to ensure equal participation in the preparation of delegated acts , the european parliament and the council receive all documents at the same time as member states’ experts , and their experts systematically have access to meetings of commission expert groups dealing with the preparation of delegated acts. ### (56) in order to supplement or amend certain non-essential elements of this regulation , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission in respect of clarifying or adding items to be supplied as part of accompanying information; entrusting the euipo with the operation of the register , establishment and management of an alert system informing applicants about the availability of their geographical indication as a domain name , establishing appropriate criteria for monitoring performance of the euipo in the execution of the tasks entrusted to it; laying down additional rules on the use of geographical indications to identify ingredients in processed products; laying down additional rules for determining the generic status of terms; establishing the restrictions and derogations with regard to the sourcing of feed in the case of a designation of origin; establishing restrictions and derogations with regard to the slaughtering of live animals or with regard to the sourcing of raw materials; laying down rules for determining the use of the denomination of a plant variety or of an animal breed; laying down rules which limit the information contained in the product specification for geographical indications and traditional specialities guaranteed; laying down further details of the eligibility criteria for traditional specialities guaranteed; laying down additional rules to provide for appropriate certification and accreditation procedures to apply in respect of product certification bodies; laying down additional rules to further detail protection of traditional specialities guaranteed; laying down for traditional specialities guaranteed additional rules for determining the generic status of terms , conditions for use of plant variety and animal breed denominations , and relation to intellectual property rights; defining additional rules for joint applications concerning more than one national territory and complementing the rules of the application process for traditional specialities guaranteed; complementing the rules for the opposition procedure for traditional specialities guaranteed to establish detailed procedures and deadlines; supplementing the rules regarding the amendment application process for traditional specialities guaranteed; supplementing the rules regarding the cancellation process for traditional specialities guaranteed; laying down detailed rules relating to the criteria for optional quality terms; reserving an additional optional quality term , laying down its conditions of use; laying down derogations to the use of the term ‘mountain product’ and establishing the methods of production , and other criteria relevant for the application of that optional quality term , in particular , laying down the conditions under which raw materials or feedstuffs are permitted to come from outside the mountain areas. it is of particular importance that the commission carry out appropriate consultations during its preparatory work , including at expert level , and that those consultations be conducted in accordance with the principles laid down in the interinstitutional agreement of 13 april 2016 on better law-making. in particular , to ensure equal participation in the preparation of delegated acts , the european parliament and the council receive all documents at the same time as member states’ experts , and their experts systematically have access to meetings of commission expert groups dealing with the preparation of delegated acts.


### traditional specialities guaranteed and optional quality terms for agricultural products. ### traditional specialities guaranteed.


### producers acting collectively have the necessary powers and responsibilities to manage their geographical indication , including to respond to societal demands for products resulting from sustainable production in its three dimensions of economic , environmental and social value , and to operate in the market; ### that producers acting collectively have the necessary powers and responsibilities to manage their geographical indication , including to create value and to respond to societal demands for products resulting from sustainable production in its three dimensions of economic , environmental and social value , and to operate in the market;


### consumers receive reliable information and a guarantee of authenticity of such products and can readily identify them in the marketplace including in electronic commerce; ### that consumers receive reliable information and a guarantee of authenticity of such products originating in the internal market and imported from third markets and can readily identify them in the marketplace , including in the domain name system and in electronic commerce;


### efficient registration of geographical indications taking into account the appropriate protection of intellectual property rights; and ### efficient registration of geographical indications taking into account the uniform , appropriate and effective protection of intellectual property rights within the internal market , including the union digital market , and in third markets;


### efficient registration of geographical indications taking into account the appropriate protection of intellectual property rights; and ### simple and efficient registration of geographical indications taking into account the uniform , appropriate and effective protection of intellectual property rights in the internal market , including the union digital market; and


### effective enforcement and marketing throughout the union and in electronic commerce ensuring the integrity of the internal market. ### effective enforcement and marketing throughout the union and in the domain name system and in electronic commerce ensuring the integrity of the internal market.


### effective enforcement and marketing throughout the union and in electronic commerce ensuring the integrity of the internal market. ### effective enforcement and marketing throughout the union , in the domain name system and in electronic commerce ensuring the integrity of the internal market.


### 1. products designated by geographical indications shall be classified according to the combined nomenclature at two , four or six digit level. where a geographical indication covers products of more than one category , each entry shall be specified. product classification shall only be used for registration , statistical and record keeping purposes. the said classification shall not be used to determine comparable products for the purposes of protection against direct and indirect commercial use referred to in article 27(1) , point (a). ### 1. products designated by geographical indications shall be classified according to the combined nomenclature at two , four , six or eight digit level. additional codes established pursuant to articles 3 and 5 of regulation (eec) 2658/1987 may be added to the combined nomenclature by the commission , upon the request of a member state. where a geographical indication covers products of more than one category , each subheading shall be specified. product classification shall only be used for registration , statistical and record keeping purposes. the said classification shall not be used to determine comparable products for the purposes of protection against direct and indirect commercial use referred to in article 27(1) , point (a).


### 2. an authority designated by a member state may be deemed to be an applicant producer group for the purposes of this title , with respect to geographical indications of a spirit drink , if it is not feasible for the producers concerned to form a group by reason of their number , geographical location or organisational characteristics. in such case , the application referred to in article 9(2) shall state those reasons. ### 2. an authority designated by a member state or by a third country may be deemed to be an applicant producer group for the purposes of this title , with respect to geographical indications of a spirit drink , if it is not feasible for the producers concerned to form a group by reason of their number , geographical location or organisational characteristics. in such case , the application referred to in article 9(2) shall state those reasons.


### 1. a producer group may agree on sustainability undertakings to be adhered to in the production of the product designated by a geographical indication. such undertakings shall aim to apply a sustainability standard higher than mandated by union or national law and go beyond good practice in significant respects in terms of social , environmental or economic undertakings. such undertakings shall be specific , shall take account of existing sustainable practices employed for products designated by geographical indications , and may refer to existing sustainability schemes. ### 1. a producer group may agree on sustainability undertakings to be adhered to in the production of the product designated by a geographical indication. such undertakings shall aim to apply a sustainability standard higher than mandated by union or national law in terms of social , environmental , economic or animal health and welfare undertakings. such undertakings shall be specific , shall take account of existing sustainable practices employed for products designated by geographical indications , and may refer to existing sustainability schemes.


### 1. the commission shall scrutinise any application for registration that it receives pursuant to article 16(1). such scrutiny shall consist of a check that there are no manifest errors , that the information provided in accordance with article 15 is complete and that the single document referred to in article 13 is precise and technical in nature. it shall take into account the outcome of the national procedure carried out by the member state concerned. it shall focus in particular on the single document referred to in article 13. ### 1. the commission shall scrutinise any application for registration that it receives pursuant to article 16 (paragraphs 1 and 2). such scrutiny shall consist of a check that there are no manifest errors , that the information provided in accordance with article 15 is complete and that the single document referred to in article 13 is precise and technical in nature. it shall take into account the outcome of the national procedure carried out by the member state concerned. it shall focus in particular on the single document referred to in article 13.


### 5. the commission shall be empowered to adopt delegated acts in accordance with article 84 supplementing this regulation by rules on entrusting euipo with the tasks set out in this article. ### deleted


### 10. the commission shall be empowered to adopt delegated acts , in accordance with article 84 supplementing this regulation by detailed procedures and deadlines for the opposition procedure , for the official submission of comments by national authorities and persons with a legitimate interest , which will not trigger the opposition procedure and by rules on entrusting its tasks set out in this article to euipo. ### 10. the commission shall be empowered to adopt delegated acts , in accordance with article 84 supplementing this regulation by detailed procedures and deadlines for the opposition procedure , for the official submission of comments by national authorities and persons with a legitimate interest , which will not trigger the opposition procedure.


### 6. the commission shall be empowered to adopt delegated acts in accordance with article 84 supplementing this regulation by rules entrusting euipo with the tasks set out in paragraph (5). ### deleted


### any direct or indirect commercial use of the geographical indication in respect of products not covered by the registration , where those products are comparable to the products registered under that name or where use of a name exploits , weakens , dilutes , or is detrimental to the reputation of , the protected name; ### any direct or indirect commercial use of the geographical indication in respect of products not covered by the registration , where those products are comparable to the products registered under that name or where use of a name exploits , weakens , dilutes , or is detrimental to the reputation of , the protected name; including where those products are used as ingredients;


### any misuse , imitation or evocation , even if the true origin of the products or services is indicated or if the protected name is translated or accompanied by an expression such as ‘style’ , ‘type’ , ‘method’ , ‘as produced in’ , ‘imitation’ , ‘flavour’ , ‘like’ or similar. ### any misuse , imitation or evocation , even if the true origin of the products or services is indicated or if the protected name is translated , transcribed , transliterated or accompanied by an expression such as ‘style’ , ‘type’ , ‘method’ , ‘as produced in’ , ‘imitation’ , ‘flavour’ , ‘like’ or similar , including where those products are used as ingredients;


### any other false or misleading indication as to the provenance , origin , nature or essential qualities of the product that is used on the inner or outer packaging , advertising material , documents or information provided on websites relating to the product concerned , and the packing of the product in a container liable to convey a false impression as to its origin; ### any other false or misleading indication as to the provenance , origin , nature or essential qualities of the product that is used on the inner or outer packaging , advertising material , documents or information provided on websites or on domain names relating to the product concerned , and the packing of the product in a container liable to convey a false impression as to its origin;


### 2. for the purposes of paragraph (1) , point (b) , the evocation of a geographical indication shall arise , in particular , where a term , sign , or other labelling or packaging device presents a direct and clear link with the product covered by the registered geographical indication in the mind of the reasonably circumspect consumer , thereby exploiting , weakening , diluting or being detrimental to the reputation of the registered name. ### deleted


### goods entering the customs territory of the union without being released for free circulation within that territory; and ### goods entering the customs territory of the union without being released for free circulation within that territory;


### 7. where a geographical indication is a compound name which contains a term which is considered to be generic , the use of that term shall not constitute a conduct referred to inparagraph (1) , point (a) and (b). ### deleted


### take legal action to ensure protection of the geographical indication and of the intellectual property rights that are directly connected with it; ### take legal action to ensure protection of the geographical indication and of the intellectual property rights that are directly connected with it , and claim damages;


### combat counterfeiting and suspected fraudulent uses on the internal market of a geographical indication designating products that are not in compliance with the product specification , by monitoring the use of the geographical indication across the internal market and on third countries markets where the geographical indications are protected , including on the internet , and , as necessary , inform enforcement authorities using confidential systems available. ### combat counterfeiting and suspected fraudulent uses on the internal market , including the union digital market , and in third markets of a geographical indication designating products that are not in compliance with the product specification , by monitoring the use of the geographical indication across the internal market and on third countries markets where the geographical indications are protected , including on the internet , and , as necessary , inform enforcement authorities using confidential systems available.


### 1. upon a request of producer groups fulfilling the conditions of paragraph 3 , member states shall designate , in accordance with their national law , one producer group as recognised producer group for each geographical indication originating in their territory that is registered or is subject to an application for registration or for product names that are a potential subject for application for registration. ### 1. upon a request of a producer group , member states or , in accordance with an international agreement to which the union is a contracting party , third countries shall designate , in accordance with their national law , one producer group as recognised producer group for a specific geographical indication or for two or more geographical indications originating in their territory , that are registered or are subject to an application for registration or for product names that are a potential subject for application for registration.


### 5. member states shall carry out checks in order to ensure that the conditions laid down in paragraph 2 are complied with. where the competent national authorities find that such conditions have not been complied with , member states shall annul the decision on the recognition of the producer group. ### 5. member states or , in accordance with an international agreement to which the union is a contracting party , third countries shall carry out checks in order to ensure that the conditions for the recognition of the producer group are complied with. where the competent national authorities find that such conditions have not been complied with , member states shall annul the decision on the recognition of the producer group.


### 1. country-code top-level domain name registries established in the union may , upon the request of a natural or legal person having a legitimate interest or rights , revoke or transfer a domain name registered under such country-code top-level domain to the recognised producer group of the products with the geographical indication concerned , following an appropriate alternative dispute resolution procedure or judicial procedure , if such domain name has been registered by its holder without rights or legitimate interest in the geographical indication or if it has been registered or is being used in bad faith and its use contravenes article 27. ### 1. top-level domain name registries operating in the union shall , ex-officio or upon the request of a natural or legal person having a legitimate interest or rights , revoke or transfer a domain name registered under such top-level domain to the recognised producer group of the products with the geographical indication concerned , following an appropriate alternative dispute resolution procedure or judicial procedure , if such domain name has been registered by its holder without rights or legitimate interest in the geographical indication or if it has been registered or is being used in bad faith and its use contravenes article 27.


### 2. country-code top-level domain name registries established in the union shall ensure that any alternative dispute resolution procedure established to solve disputes relating to the registration of domain names referred to in paragraph (1) , shall recognise geographical indications as rights that may prevent a domain name from being registered or used in bad faith. ### 2. top-level domain name registries operating in the union shall ensure that any alternative dispute resolution procedure established to solve disputes relating to the registration of domain names referred to in paragraph (1) , shall recognise geographical indications as rights that may prevent a domain name from being registered or used in bad faith.


### 3. the commission shall be empowered to adopt delegated acts in accordance witharticle84 supplementing this regulation by provisions entrusting euipo to establish and manage a domain name information and alert system that would provide the applicant , upon the submission of an application for a geographical indication , with information about the availability of the geographical indication as a domain name and , on optional basis , the registration of a domain name identical to their geographical indication. that delegated act shall also include the obligation for registries of country-code top-level domain names , established in the union , to provide euipo with the relevant information and data. ### 3. the commission shall be empowered to adopt delegated acts in accordance with article 84 supplementing this regulation by provisions entrusting euipo to establish and manage a domain name information and alert system that would provide the applicant , upon the submission of an application for a geographical indication , with information about the availability of the geographical indication as a domain name and , on optional basis , the registration of a domain name identical to their geographical indication. euipo may be empowered under those delegated acts to monitor registration of domain names in the union which could conflict with the names included in the union register of geographical indications. those delegated acts shall also include the obligation for registries of top-level domain names and the eurid , operating in the union , to provide euipo with the relevant information and data.


### 2. in the case of products originating in the union that are marketed under a geographical indication , the union symbol associated with it shall appear on the labelling and advertising material. the geographical indication shall appear in the same field of vision as the union symbol. the labelling requirements laid down in article 13(1) of regulation (eu) no 1169/2011 for the presentation of mandatory particulars shall apply to the geographical indication. ### 2. in the case of products originating in the union that are marketed under a geographical indication , the union symbol associated with it shall appear on the labelling and advertising material. the geographical indication and an indication of the name of the producer or vendor shall appear in the same field of vision as the union symbol. the country of origin of a primary ingredient which is not the same as the given country of origin of the geographical indication shall be indicated with reference to member states or third countries. the labelling requirements laid down in article 13(1) of regulation (eu) no 1169/2011 for the presentation of mandatory particulars shall apply to the geographical indication.


### 9. where an application is rejected , any products labelled in accordance with paragraph (6) may be marketed until the stocks are exhausted. ### deleted


### 3. member states shall take appropriate administrative and judicial steps to prevent or stop the use of names of products or services that are produced , operated or marketed in their territory and that contravenes the protection of geographical indications provided for in article 27 and article 28. ### 3. member states shall take appropriate administrative and judicial steps to prevent or stop the use of names of products or services , including domain names , that are produced , operated or marketed in their territory and that contravenes the protection of geographical indications provided for in article 27 and article 28.


### the commission shall be empowered to adopt delegated acts in accordance with article 84 supplementing this regulation by rules on entrusting euipo with the scrutiny of third country geographical indications , other than geographical indications under the geneva act of the lisbon agreement on appellations of origin and geographical indications , proposed for protection pursuant to international negotiations or international agreements. ### deleted


### the commission shall be empowered to adopt delegated acts in accordance with article 84 supplementing this regulation by rules on entrusting euipo with the scrutiny of third country geographical indications , other than geographical indications under the geneva act of the lisbon agreement on appellations of origin and geographical indications , proposed for protection pursuant to international negotiations or international agreements. ### the commission shall , with the assistance of the euipo , scrutinise third country geographical indications , other than geographical indications under the geneva act of the lisbon agreement on appellations of origin and geographical indications , proposed for protection pursuant to international negotiations or international agreements.


### 1. where the commission exercises any of the empowerments provided for in this regulation to entrust tasks to euipo , it shall also be empowered to adopt delegated acts in accordance with article 84 to supplement this regulation by criteria for monitoring performance in the execution of such tasks. such criteria may include: ### 1. where the commission relies on the assistance of the euipo to carry out tasks , it shall be empowered to adopt delegated acts in accordance with article 84 to supplement this regulation by criteria for monitoring performance in the assistance in the execution of such tasks. such criteria shall include , in particular:


### 2. no later than 5 years after the first delegation of any tasks to euipo , the commission shall prepare and submit a report to the european parliament and to the council on the results and experience of the exercise of these tasks by euipo. ### 2. no later than 2 years after the first delegation of any tasks to euipo , the commission shall prepare and submit a report to the european parliament and to the council on the results and experience of the exercise of these tasks by euipo.


### 2. no later than 5 years after the first delegation of any tasks to euipo , the commission shall prepare and submit a report to the european parliament and to the council on the results and experience of the exercise of these tasks by euipo. ### 2. no later than two years after the date of entry into force of this regulation , the commission shall prepare and submit a report to the european parliament and to the council on the results and experience of the assistance in the exercise of these tasks by euipo.


### 5. a standard amendment shall be considered as a temporary amendment when it concerns a temporary change in the product specification resulting from the imposition of obligatory sanitary and phytosanitary measures by the public authorities or a temporary amendment necessary because of a natural disaster or adverse weather conditions formally recognised by the competent authorities. ### 5. a temporary amendment shall be considered as a standard amendment when it concerns a temporary change in the product specification resulting from the imposition of obligatory sanitary and phytosanitary measures by the public authorities or a temporary amendment necessary because of the consequences of a natural disaster or adverse weather conditions or exceptional geopolitical events formally recognised by the competent authorities.


### 8. if an application for a union amendment to the product specification of a registered geographical indication also includes standard amendments or temporary amendments , the commission shall scrutinise the union amendment only. any standard amendments or temporary amendments shall be deemed as not having been submitted. the scrutiny of such applications shall focus on the proposed union amendments. where appropriate , the commission or the member state concerned may invite the applicant to modify other elements of the product specifications. ### 8. if an application for a union amendment to the product specification of a registered geographical indication also includes standard amendments or temporary amendments , the commission shall scrutinise the union amendment only. any standard amendments or temporary amendments shall be deemed as not having been submitted. the scrutiny of such applications shall focus on the proposed union amendments.


### 9. standard amendments shall be approved by member states or third countries in whose territory the geographical area of the product concerned is located and communicated to the commission. the commission shall make those amendments public. ### 9. standard amendments shall be scrutinised and approved by member states or third countries in whose territory the geographical area of the product concerned is located and communicated to the commission. the commission shall make those amendments public by publishing them in the official journal of the european union , l series , within 7 calendar days after their approval.


### where no product has been placed on the market under the geographical indication for at least seven consecutive years. ### where no product has been placed on the market under the geographical indication for at least five consecutive years.


### 5. the recognised group of producers or any operator that is entitled to use the protected designation of origin or protected geographical indication shall be entitled to prevent all third parties from bringing goods , in the course of trade , into the union without being released for free circulation there , where such goods , including packaging , come from third countries and are in breach of paragraph (1). ### 5. the group of producers or any operator that is entitled to use the protected designation of origin or protected geographical indication shall be entitled to prevent all third parties from bringing goods , in the course of trade , into the union without being released for free circulation there , where such goods , including packaging , come from third countries and are in breach of paragraph (1).


### conflicting trade marks ### trade marks conflicting with geographical indications


### a registered geographical indication may be used by any operator marketing a product conforming to the corresponding product specification or single document or an equivalent to the latter. ### a registered geographical indication may be used by any operator marketing a product conforming to the corresponding product specification or single document.


### 2. producers are responsible for internal controls that ensure compliance with the product specification of products designated by geographical indications before the product is placed on the market. ### 2. producers are responsible for ensuring compliance with the product specification of products designated by geographical indications before the product is placed on the market.


### 3. in addition to internal controls referred to in paragraph 2 , prior to placing on the market a product designated by a geographical indication and originating in the union , third party verification of compliance with the product specification , shall be carried out by: ### 3. in addition to actions to ensure compliance referred to in paragraph 2 , prior to placing on the market a product designated by a geographical indication and originating in the union , third party verification of compliance with the product specification , shall be carried out by:


### controls and enforcement of geographical indications in the marketplace ### controls and enforcement of geographical indications in the market


### 4. the authority designated in accordance with paragraph 1 shall coordinate enforcement of geographical indications among relevant departments , agencies and bodies , including police , anti-counterfeiting agencies , customs , intellectual property offices , food law authorities and retail inspectors. ### 4. the authority designated in accordance with paragraph 1 shall cooperate with the producer groups concerned and coordinate enforcement of geographical indications among relevant departments , agencies and bodies , including police , anti-counterfeiting agencies , customs , intellectual property offices , food law authorities and retail inspectors.


### the extent of integration of agricultural factors in the scrutiny process; ### deleted


### quality of assessments; ### deleted


### coherence of assessments of geographical indications from different sources; ### deleted


### (2) [...] ### deleted


### 1. the product specification shall enable interested parties to verify the relevant conditions of production relating to the designation of origin or geographical indication. the product specification shall comprise: ### deleted


### administration of geographical indications , notably the tasks conferred on it by means of commission delegated acts adopted in accordance with article […] of regulation (eu) …/… of the european parliament and of the council[regulation on gis]* ### assistance in the administration and promotion of geographical indications , and the tasks conferred on it by means of regulation (eu) .../... of the european parliament and of the council [regulation on gis].*


### (35) enforcement of geographical indications in the marketplace is important to prevent fraudulent and deceptive practices thus ensuring that producers are properly rewarded for the added value of their products bearing a geographical indication and that illegal users of those geographical indications are prevented from selling their products. controls should be carried out based on risk assessment or notifications from operators , and appropriate administrative and judicial steps should be taken to prevent or stop the use of names on products or services that contravene the protected geographical indications. ### (35) enforcement of geographical indications in the market is important to prevent fraudulent and deceptive practices thus ensuring that producers are properly rewarded for the added value of their products bearing a geographical indication and that illegal users of those geographical indications are prevented from selling their products. controls should be carried out based on risk assessment or notifications from operators , and appropriate administrative and judicial steps should be taken to prevent or stop the use of names on products or services that contravene the protected geographical indications.


### 2. the commission may establish a digital system for the inclusion of the terms and schemes referred to in paragraph 1 with a view to fostering knowledge of the products and schemes across the union. the commission may adopt implementing acts laying down technical details , necessary for the notification of the optional quality terms. those implementing acts shall be adopted in accordance with the examination procedure referred to in article 80(2) . ### 2. within one year of the entry into force of this regulation , the commission should establish and provide support for a digital system for the inclusion of the terms and schemes referred to in paragraph 1 with a view to fostering knowledge of the products and schemes across the union. the commission may adopt implementing acts laying down technical details , necessary for the notification of the optional quality terms. those implementing acts shall be adopted in accordance with the examination procedure referred to in article 80(2) .


### they relate to a characteristic of one or more categories of products , or to a farming or processing attribute which applies in specific areas; ### they relate to a characteristic of one or more categories of products , or to a farming or processing attribute which applies in specific areas or to specific type of producers;


### d. whereas the eu is one of the most important trading partners for africa; whereas in 2020 over 61 % of goods imported to the eu from africa were primary goods and almost 70 % of goods exported from the eu to africa were manufactured goods; ### d. whereas the eu is one of the most important trading partners for africa; whereas in 2020 over 61 % of goods imported to the eu from africa were primary goods and almost 70 % of goods exported from the eu to africa were manufactured goods; whereas this trade structure reflects the structural imbalance and interdependence of the economies involved;


### e. whereas strengthening the intra-continental trade in africa is essential for its economic development; whereas the entry into force of the african continental free trade area (afcfta) gives new momentum to pan-african trade and investment opportunities; ### e. whereas strengthening the intra-continental trade in africa is essential for its economic development; whereas the entry into force of the african continental free trade area (afcfta) will give new momentum to pan-african trade and investment opportunities;


### i. whereas climate change and environmental degradation are existential threats to africa , the eu and the entire world , and require joint responsiveness and substantive investments in sustainable and inclusive economic development and provision of access to public goods; ### i. whereas african countries have so far contributed and are contributing very little to climate change while the eu's production and lifestyle habits , based on ever-increasing resource consumption , are major contributors to the causes of climate change; whereas climate change and environmental degradation are existential threats to africa , the eu and the entire world , and require joint responsiveness and substantive investments in sustainable and inclusive economic development and provision of access to public goods; whereas the effects of climate change will be catastrophic , particularly for many african states , and will significantly increase social inequality , and be a cause of increasing social , political , and possibly military conflicts , as well as climate-related migration;


### j. whereas the eu and the au have announced an africa-europe investment package of at least eur 150 billion that will support common ambitions for the 2030 agenda and the au agenda 2063 , composed of an investment , a health and an education part; ### j. whereas the eu and the au have announced an africa-europe investment package of at least eur 150 billion - over a period of six years , i.e. only around eur 25 billion - that will support common ambitions for the 2030 agenda and the au agenda 2063 , composed of an investment , a health and an education part;


### l. whereas the 6th eu-au-summit committed to engage constructively towards an agreement on a comprehensive wto response to the pandemic , which includes trade-related as well as intellectual-property-related aspects; ### l. whereas the 6th eu-au-summit committed to engage constructively towards an agreement on a comprehensive wto response to the pandemic , which includes trade-related as well as intellectual-property-related aspects; whereas it is essential to extend the trips agreement on other aspects of intellectual property rights , such as diagnostics , devices and treatments;


### 1. welcomes the positive shift in eu-africa relations towards a partnership on an equal footing , allowing both sides to pursue their own interests but also to identify common areas of cooperation; stresses that free , fair and sustainable trade facilitates inclusive economic growth and sustainable development and contributes to poverty reduction; highlights , in this regard , the importance of the new partnership agreement between the eu and the members of the organisation of african , caribbean and pacific states , the upcoming summit between the african union and the eu , and innovative initiatives such as the eu multi-stakeholder dialogue for sustainable cocoa; ### 1. welcomes the positive shift in eu-africa relations towards a partnership on an equal footing , allowing both sides to pursue their own interests but also to identify common areas of cooperation; stresses that free , fair and sustainable trade should facilitate sustainable and inclusive economic growth and sustainable development and should contribute to poverty reduction; highlights , in this regard , the importance of the new partnership agreement between the eu and the members of the organisation of african , caribbean and pacific states , the upcoming summit between the african union and the eu , and innovative initiatives such as the eu multi-stakeholder dialogue for sustainable cocoa;


### 2. calls on the eu to actively support the new african continental free trade area (afcfta) ,which presents a major opportunity for african countries to boost inclusive growth , enable sustainable development , reduce poverty and improve living standards; notes that the afcfta paves the way for a fundamental transformation of the continent’s development prospects; ### 2. calls on the eu to actively support the new african continental free trade area (afcfta) ,which presents a major opportunity for african countries to boost inclusive growth , enable sustainable development , reduce poverty and improve living standards; notes that the afcfta paves the way for a fundamental transformation of the continent’s development prospects; emphasises that the afcfta should make for integration that benefits all african populations , including the most marginalised; recalls that there are developmental differences between african countries which must be taken into account in order not to increase inequalities; takes the view that eu support to the afcfta should focus on the development of regulatory frameworks to prevent a ‘race to the bottom’ of social and environmental norms;


### 2. points out that most african countries , in particular ldcs (least developed countries) and african signatories to epas (economic partnership agreements) , enjoy duty-free and quota-free access to eu markets; ### 2. points out that most african countries , in particular ldcs (least developed countries) and african signatories to epas (economic partnership agreements) , enjoy duty-free and quota-free access to eu markets; emphasises that economic partnership agreements (epas) need to support the various regional trade communities in africa and the further development of the afcfta and contribute to the building of resilient and sustainable regional value chains , boosting and diversifying intra-african trade , and calls for the consistent inclusion and implementation of chapters ensuring coherence with development needs and policies and the sdgs;


### 5. stresses that the eu-africa relationship must move beyond the donor-recipient relationship; believes that the eu and africa should cooperate as equals , empowering african nations to attain the un sustainable development goals (sdgs); ### 5. stresses that the eu-africa relationship must move beyond the donor-recipient relationship; believes that the eu and africa should cooperate as equals , empowering african nations to attain the un sustainable development goals (sdgs); recalls that resetting the partnership would mean the african union and the eu could begin to address difficult issues derailed by the covid pandemic , such as governance and civic space;


### 7. notes that the future of the international trading system depends on the revitalising of the wto and finalising the doha round , on which african countries have placed their hopes; ### 7. notes that the future of the international trading system depends on the modernization of the wto and finalising the doha round , on which african countries have placed their hopes; calls therefore for the interests of development in the countries of the global south to be better taken into account , and the protection mechanisms for developing economies to be expanded;


### 8. recalls that africa is home to exceptional biodiversity; expresses concern about the overexploitation of natural resources and its impact on biodiversity , and in particular the increasing pace of deforestation in africa. ### 8. recalls that africa is home to exceptional biodiversity; expresses its deep concern about overexploitation of natural resources and the impact of reduced biodiversity on resilience levels; is particularly concerned at the fact that the pace of deforestation is increasing in africa; points out that the destruction of the african rainforests leads to an irreversible loss of biodiversity and of carbon sinks , as well as of the homes and ways of life of indigenous communities living in the forests; recalls that forests contribute significantly to reaching climate targets , protecting biodiversity and preventing desertification and extreme soil erosion;


### 9. stresses that the renewed eu-africa relationship should have at its heart the best shared interests of both continents and should not become subject to geopolitical rivalry; ### 9. stresses that the renewed eu-africa relationship , based on an equal partnership and on fully joint cooperation , should have at its heart the best shared interests of both continents; concludes that only a partnership of equals between the au and eu is an appropriate response to the existing geopolitical rivalry; is convinced that the striving for european areas of influence stands in the way of mutually beneficial cooperation if the eu's geopolitical competition is driven only by demarcation from other world powers.


### 12. urges the commission to prepare an effective and easily accessible microcredit scheme; ### 12. urges the commission to prepare an effective and easily accessible microcredit scheme , whereas women's access to these loans in particular needs to be significantly improved;


### 13. calls for the eu to reinforce its support to the african countries and the au on combating illicit financial flows and tax evasion by multinational companies; ### 13. calls for the eu to reinforce its support to the african countries and the au on combating illicit financial flows and tax evasion by multinational companies; calls for initiatives to ensure that multinational corporations do not contribute to capital outflows from african countries through intra-group transfer pricing as they do not reflect cost structures and value-added shares , thereby reducing tax revenues in african countries;


### 19. welcomes the agreement of the afcfta council of ministers on common rules of origin for the bloc for 87.7 % of goods or 3 800 tariff lines covered by afcfta; calls on the european commission to harmonise the rules of origin in all the different eu agreements with regions and countries in africa with the common afcfta rules; ### 19. welcomes the afcfta's goal of improving regional differentiation and the expansion and interconnection of infrastructure systems; welcomes the agreement of the afcfta council of ministers on common rules of origin for the bloc for 87.7 % of goods or 3 800 tariff lines covered by afcfta; calls on the european commission to harmonise the rules of origin in all the different eu agreements with regions and countries in africa with the common afcfta rules;


### (29) in light of the structural deficiencies of the semiconductor supply chain and the resulting risk of future shortages , this regulation provides instruments for a coordinated approach to monitoring and effectively tackling possible market disruptions. ### (29) in light of the structural vulnerabilities of the semiconductor supply chain and the resulting risk of future shortages , this regulation provides instruments for a coordinated approach to monitoring and effectively tackling possible market disruptions.


### (30) due to the complex , quickly evolving and interlinked semiconductor value chains with various actors , a coordinated approach to regular monitoring is necessary to increase the ability to mitigate risks that may negatively affect the supply of semiconductors. member states should monitor the semiconductor value chain focusing on early warning indicators and the availability and integrity of the services and goods provided by key market actors , in such a way that it would not represent an excessive administrative burden for undertakings. ### (30) due to the complex , quickly evolving and interlinked semiconductor value chains with various actors , a coordinated approach to regular monitoring is necessary to increase the ability to mitigate risks that may negatively affect the supply of semiconductors to the semiconductor supply chain itself or to critical sectors. the commission , assisted by national authorities , should monitor the semiconductor value chain focusing on early warning indicators and the availability and integrity of the services and goods provided by key market actors , in such a way that it would not represent an excessive administrative burden for undertakings. the commission should adequately justify its requests for information to the addressed actors of the semiconductor value chain.


### (34) member states should alert the commission if relevant factors indicate a potential semiconductor crisis. in order to ensure a coordinated response to address such crises , the commission should upon the alert by a member state or through other sources , including information from international partners , convene an extraordinary meeting of the european semiconductor board for assessing the need to activate the crisis stage and for discussing whether it may be appropriate , necessary and proportionate for member states to carry out coordinated joint procurement. the commission should engage in consultations and cooperation with relevant third countries with a view to addressing any disruptions in the international supply chain , in compliance with international obligations and without prejudice to procedural requirements under the treaty on international agreements. ### (34) permanent members of the european semiconductor board should alert the commission if relevant factors indicate a potential semiconductor crisis. in order to ensure a coordinated response to address such crises , the commission should upon the alert by a member state or through other sources , including information from international partners , convene an extraordinary meeting of the european semiconductor board for assessing the need to activate the crisis stage and for discussing whether it may be appropriate , necessary and proportionate for member states to carry out coordinated joint procurement. the commission should engage in consultations and cooperation with relevant third countries with a view to addressing any disruptions in the international supply chain , in compliance with international obligations and without prejudice to procedural requirements under the treaty on international agreements.


### (35) as part of the monitoring , national competent authorities should also do a mapping of undertakings operating in the union along the semiconductor supply chain established in their national territory and notify this information to the commission. ### (35) as part of the monitoring , national competent authorities should also do a mapping of key undertakings operating in the union along the semiconductor supply chain established in their national territory and notify this information to the commission.


### (37) in order to forecast and prepare for future disruptions of the different stages of the semiconductor value chain in the union , the commission should , assisted by the european semiconductor board , identify early warning indicators in the union risk assessment. such indicators could include the availability of raw materials , intermediate products and human capital needed for manufacturing semiconductors , or appropriate manufacturing equipment , the forecasted demand for semiconductors on the union and global markets , price surges exceeding normal price fluctuation , the effect of accidents , attacks , natural disasters or other serious events , the effect of trade policies , tariffs , export restrictions , trade barriers and other trade related measures , and the effect of business closures , delocalisations or acquisitions of key market actors. member states should monitor these early warning indicators. ### (37) in order to forecast and prepare for future disruptions of the different stages of the semiconductor value chain in the union , the commission should , after consultation with the european semiconductor board and relevant industry stakeholders , identify early warning indicators in the union risk assessment. these early warning indicators should be used to assess and monitor the availability and integrity of the services and goods provided by the key market actors. such indicators could include the availability of raw materials , intermediate products and human capital needed for manufacturing semiconductors , or appropriate manufacturing equipment , the forecasted demand for semiconductors on the union and global markets , price surges exceeding normal price fluctuation , the effect of accidents , attacks , natural disasters or other serious events , the effect of trade policies , tariffs , export restrictions , trade barriers and other trade related measures , and the effect of business closures , delocalisations or acquisitions of key market actors. the commission should monitor these early warning indicators. the european semiconductor board should be able to request a revision of the early warning indicators from the commission.


### (43) in order to ensure an agile and effective response to such a semiconductor crisis , the commission should be empowered to activate the crisis stage by means of an implementing acts and for a predetermined duration period , taking into account the opinion of the european semiconductor board. the commission should assess the need for prolongation and prolong the duration of the crisis stage for a predetermined period , should such a necessity be ascertained , taking into account the opinion of the european semiconductor board. ### (43) in order to ensure an agile and effective response to such a semiconductor crisis , the commission should be empowered to activate the crisis stage by means of an implementing act with a defined scope and for a predetermined duration period , taking into account the opinion of the european semiconductor board. the commission should assess the need for prolongation and prolong the duration of the crisis stage for a predetermined period , should such a necessity be ascertained , taking into account the opinion of the european semiconductor board.


### (53) when the crisis stage is activated , two or more member states could mandate the commission to aggregate demand and act on their behalf for their public procurement in the public interest , in accordance with existing union rules and procedures , leveraging its purchasing power. the mandate could authorise the commission to enter into agreements concerning the purchase of crisis-relevant products for certain critical sectors. the commission should assess for each request the utility , necessity and proportionality in consultation with the board. where it intends to not follow the request , it should inform the concerned member states and the board and give its reasons. furthermore , the participating member states should be entitled to appoint representatives to provide guidance and advice during the procurement procedures and in the negotiation of the purchasing agreements. the deployment and use of purchased products should remain within the remit of the participating member states. ### (53) when the crisis stage is activated , two or more member states could mandate the commission to aggregate demand and act on their behalf for their public procurement in the public interest , in accordance with existing union rules and procedures , leveraging its purchasing power. the mandate could authorise the commission to enter into agreements concerning the purchase of crisis-relevant products for the critical sectors identified in the scope of the implementing act triggering the crisis stage. the commission should assess for each request the utility , necessity and proportionality in consultation with the board. where it intends to not follow the request , it should inform the concerned member states and the board and give its reasons. furthermore , the participating member states should be entitled to appoint representatives to provide guidance and advice during the procurement procedures and in the negotiation of the purchasing agreements. the deployment and use of purchased products should remain within the remit of the participating member states.


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector or subsector crucial for the maintenance of vital societal functions , notably public health and public safety and security;


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector or subsector crucial for the maintenance of vital societal functions , namely public health and public safety and security;


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence , aerospace , automotive and telecommunications sectors and other activities that are relevant for public safety and security;


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector , telecommunication and other activities that are relevant for public safety and security;


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector , automotive and other sectors that are relevant for public health , safety and security;


### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other activities that are relevant for public safety and security; ### (16) ‘critical sector’ means any sector referred to in the annex of the commission proposal for a directive of the european parliament and of the council on the resilience of critical entities , the defence sector and other sectors that are relevant for the public health , safety and security;


### member states shall carry out regular monitoring of the semiconductor value chain. in particular , they shall: ### the commission , assisted by national competent authorities , shall monitor the semiconductor value chain. in particular , it shall:


### member states shall carry out regular monitoring of the semiconductor value chain. in particular , they shall: ### the commission , assisted by national competent authorities , shall carry out regular monitoring of the semiconductor value chain. in particular , it shall:


### member states shall provide relevant findings to the european semiconductor board in the form of regular updates. ### the commission shall provide relevant findings to the european semiconductor board in the form of regular updates.


### 2. member states shall invite the main users of semiconductors and other relevant stakeholders to provide information regarding significant fluctuations in demand and known disruptions of their supply chain. to facilitate the exchange of information , member states shall provide for a mechanism and administrative set-up for these updates. ### 2. the commission shall invite the main users of semiconductors and other relevant stakeholders to provide information regarding significant fluctuations in demand and known disruptions of their supply chain.


### 3. national competent authorities designated pursuant to article 26(1) may request information from representative organisations of undertakings or individual undertakings operating along the semiconductor supply chain where necessary and proportionate for the purpose of paragraph 1. national competent authorities in such case will pay particular attention to smes to minimise administrative burden resulting from the request and will privilege digital solutions for obtaining such information. any information obtained pursuant to this paragraph shall be treated in compliance with the confidentiality obligations set out in article 27. ### 3. national competent authorities designated pursuant to article 26(1) may request information from representative organisations of key undertakings or individual undertakings operating along the semiconductor supply chain where necessary and proportionate for the purpose of paragraph 1. national competent authorities in such case will pay particular attention to smes to minimise administrative burden resulting from the request and will privilege digital solutions for obtaining such information. any information obtained pursuant to this paragraph shall be treated in compliance with the confidentiality obligations set out in article 27.


### 1. the commission shall , after consulting the european semiconductor board , assess risks that may disrupt , compromise or negatively affect the supply of semiconductors (union risk assessment). in the union risk assessment , the commission shall identify early warning indicators. ### 1. the commission shall , after consulting the european semiconductor board and relevant industry stakeholders , assess risks that may disrupt , compromise or negatively affect the supply of semiconductors (union risk assessment) and establish early warning indictors.


### 1. the commission shall , after consulting the european semiconductor board , assess risks that may disrupt , compromise or negatively affect the supply of semiconductors (union risk assessment). in the union risk assessment , the commission shall identify early warning indicators. ### 1. the commission shall assess risks that may disrupt , compromise or negatively affect the supply of semiconductors (union risk assessment). in the union risk assessment , the commission shall identify early warning indicators. in order to undertake this task , the commission shall consult a specific task force composed of the european semiconductor board and relevant stakeholder organisations , including industry associations and representatives of the main user categories. the commission may establish this task force as an open-ended working group within the european semiconductor board.


### 2. the commission shall review the union risk assessment including the early warning indicators as necessary. ### 2. the commission shall , on its own initiative or at the request of the european semiconductor board , review union risk assessment including the early warning indicators as necessary.


### 1. member states shall identify key market actors along the semiconductor supply chains in their national territory , taking into account the following elements: ### 1. the commission , assisted by national competent authorities , shall identify key market actors along the semiconductor supply chains in the internal market , taking into account the following elements:


### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission shall take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein. ### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission may take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein.


### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission shall take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein. ### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission shall take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein. when taking those measures , the commission should duly consider the potential negative impacts on international partners.


### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission shall take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein. ### 1. where the crisis stage is activated and where appropriate in order to address the semiconductor crisis in the union , the commission shall , after consulting the european semiconductor board , take the measure provided for in article 20 under the conditions laid down therein. in addition , the commission may take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein.


### 2. the commission may , after consulting the european semiconductor board , limit the measures provided for in articles 21 and 22 to certain critical sectors the operation of which is disturbed or under threat of disturbance on account of the semiconductor crisis. ### 2. the commission shall consult the european semiconductor board on the proportionality of the actions proposed and may limit the measures provided for in articles 21 and 22 to certain critical sectors the operation of which is disturbed or under threat of disturbance on account of the semiconductor crisis.


### 2. the commission may , after consulting the european semiconductor board , limit the measures provided for in articles 21 and 22 to certain critical sectors the operation of which is disturbed or under threat of disturbance on account of the semiconductor crisis. ### 2. if necessary , after consulting the european semiconductor board , the commission may additionally take the measures provided for in article 21 or article 22 , or both , under the conditions laid down therein. in case measures provided for in articles 21 and 22 are used , they shall be limited to the actors of the semiconductor supply chain directly related to the supply of the critical sectors referred to in the scope of the implementing act activating the crisis stage.


### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions or economic activities in the union and must be in the best interest of the union. the use of these measures shall avoid placing disproportionate administrative burden on smes. ### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions or economic activities in the union. measures must be in the best interest of the union and shall not disproportionally favour any one or group of member states. the use of these measures shall avoid placing disproportionate administrative burden on smes.


### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions or economic activities in the union and must be in the best interest of the union. the use of these measures shall avoid placing disproportionate administrative burden on smes. ### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions in the union and must be in the best interest of the union. the use of these measures shall avoid placing disproportionate administrative burden on smes. only critical sector entities which are able to demonstrate they have adopted the risk mitigation measures referred to in article 17a(2) shall benefit from these measures.


### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions or economic activities in the union and must be in the best interest of the union. the use of these measures shall avoid placing disproportionate administrative burden on smes. ### 4. the use of the measures referred to in paragraph 1 shall be proportionate and restricted to what is necessary for addressing serious disruptions of vital societal functions or economic activities in the union. measures must be in the best interest of the union and shall not disproportionally favour or disfavour any one or group of member states. the use of these measures shall avoid placing disproportionate administrative burden on smes.


### 1. the commission may , upon the request of two or more member states , establish a mandate to act as a central purchasing body on behalf of the participating member states (‘participating member states’) for their public procurement of crisis-relevant products for certain critical sectors (‘common purchasing’). ### 1. the commission may , upon the request of two or more member states , establish a mandate to act as a central purchasing body on behalf of the participating member states (‘participating member states’) for their public procurement of crisis-relevant products for the critical sectors referred to in the implementing act activating the crisis stage (‘common purchasing’).


### addressing monitoring and crisis response issues; ### addressing monitoring , mapping and value chain transparency in the internal market and globally , and crisis response issues;


### (12) in order to achieve its general objective , and address both the supply and demand side challenges of the current semiconductor ecosystem , the initiative should include five main components. first , to reinforce europe’s design capacity , the initiative should support actions to build a virtual platform that is available across the union. the platform should connect the communities of design houses , smes and start-ups , intellectual property and tool suppliers , with research and technology organisations to provide virtual prototype solutions based on co-development of technology. second , in order to strengthen the security and resilience of supply and reducing the union’s dependency on third country production , the initiative should support development and access to pilot lines. the pilot lines should provide for the industry a facility to test , experiment and validate semiconductor technologies and system design concepts at the higher technology readiness levels beyond level 3 but under level 8 while reducing environmental impacts as much as possible. union investments along member states investment and with the private sector in pilot lines is necessary to address the existing structural challenge and market failure where such facilities are not available in the union hindering innovation potential and global competitiveness of the union. third , in order to enable investments in alternative technologies , such as quantum technologies , conducive to the development of the semiconductors sector , the initiative should support actions including on design libraries for quantum chips , pilot lines for building quantum chips and testing and experimentation facilities for quantum components. fourth , in order to promote the use of the semiconductor technologies , to provide access to design and pilot line facilities , and to address skills gaps across the union , the initiative should support establishment of the competence centres on semiconductors in each member state. access to publicly funded infrastructure , such as pilot and testing facilities , and to the competence network , should be open to a wide range of users and must be granted on a transparent and non-discriminatory basis and on market terms (or cost plus reasonable margin basis) for large undertakings , while smes can benefit from preferential access or reduced prices. such access , including for international research and commercial partners , can lead to broader cross-fertilisation and gains in know-how and excellence , while contributing to cost recovery. fifth , the commission should set-up a dedicated semiconductor investment facility support (as part of the investment facilitation activities described collectively as the ‘chips fund’) proposing both equity and debt solutions , including a blending facility under the investeu fund established by regulation (eu) 2021/523 of the european parliament and council53 , in close cooperation with the european investment bank group and together with other implementing partners such as national promotional banks and institutions. the ‘chips fund’ activities should support the development of a dynamic and resilient semiconductor ecosystem by providing opportunities for increased availability of funds to support the growth of start-ups and smes as well as investments across the value chain , including for other companies in the semiconductor value chains. in this context , the european innovation council will provide further dedicated support through grants and equity investments to high risk , market creating innovators. ### (12) in order to achieve its general objective , and address both the supply and demand side challenges of the current semiconductor ecosystem , the initiative should include five main components. first , to reinforce europe’s design capacity , the initiative should support actions to build a virtual platform that is available across the union. the platform should connect the communities of design houses , smes and start-ups , intellectual property and tool suppliers , with research and technology organisations to provide virtual prototype solutions based on co-development of technology. second , in order to strengthen the security and resilience of supply and reducing the union’s dependency on third country production , the initiative should support development and access to pilot lines. the pilot lines should provide for the industry a facility to test , experiment and validate semiconductor technologies and system design concepts at the higher technology readiness levels beyond level 3 but under level 8 while reducing environmental impacts as much as possible. union investments along member states investment and with the private sector in pilot lines is necessary to address the existing structural challenge and market failure where such facilities are not available in the union hindering innovation potential and global competitiveness of the union. third , in order to enable investments in alternative technologies , such as quantum technologies , conducive to the development of the semiconductors sector , the initiative should support actions including on design libraries for quantum chips , pilot lines for building quantum chips and testing and experimentation facilities for quantum components. fourth , in order to promote the use of the semiconductor technologies , to provide access to design and pilot line facilities , and to address skills gaps across the union , the initiative should support establishment of the competence centres on semiconductors in each member state. these competence centres should provide a range of services to semiconductor stakeholders , with a particular focus on start-ups and smes , and represent an important vector for the development of skills. access to publicly funded infrastructure , such as pilot and testing facilities , and to the competence network , should be open to a wide range of users and must be granted on a transparent and non-discriminatory basis and on market terms (or cost plus reasonable margin basis) for large undertakings , while smes can benefit from preferential access or reduced prices. such access , including for international research and commercial partners , can lead to broader cross-fertilisation and gains in know-how and excellence , while contributing to cost recovery. each competence centre should be an entry point to connect to other competence centres of the network. synergies with existing structures with similar objectives , such as european digital innovation hubs , should be encouraged. fifth , the commission should set-up a dedicated semiconductor investment facility support (as part of the investment facilitation activities described collectively as the ‘chips fund’) proposing both equity and debt solutions , including a blending facility under the investeu fund established by regulation (eu) 2021/523 of the european parliament and council53 , in close cooperation with the european investment bank group and together with other implementing partners such as national promotional banks and institutions. the ‘chips fund’ activities should support the development of a dynamic and resilient semiconductor ecosystem by providing opportunities for increased availability of funds to support the growth of start-ups and smes as well as investments across the value chain , including for other companies in the semiconductor value chains. in this context , the european innovation council will provide further dedicated support through grants and equity investments to high risk , market creating innovators. while the initiative is established for the duration of the mff 2021-2027 , due consideration should be given to supporting the eu’s semiconductor ecosystem in the future as the strengthening of the eu’s semiconductor ecosystem will require a long-term and sustained effort.


### (16) with a view to accelerating implementation of the actions of the initiative , it is necessary to provide an option of implementing some of the initiative actions , in particular on pilot lines , through a new legal instrument , the european chips infrastructure consortium (ecic). the ecic should have legal personality. this means that when applying for the actions to be funded by the initiative , the ecic itself , and not individual entities forming the ecic , can be the applicant. the main aim of the ecic should be to encourage effective and structural collaboration between legal entities , including research and technology organizations. for this reason , the ecic has to involve the participation of at least three legal entities from three member states and be operated as a public-private sector consortium for a specific action. the setting up of ecic should not involve the actual setting up of a new union body and should not be targeted at one specific action under the initiative. it should address the gap in the union’s toolbox to combine funding from member states , the union budget and private investment for the purposes of implementing actions of the initiative. in particular , strong synergies can be attained through combined development of the different pilot lines in an ecic , pooling the union’s contribution with the collective resources of the member states and other participants. the budget of the ecic that would be made available by member states and private sector participants over its projected period of operation should respect the timeframes of the actions implemented under this initiative. the commission should not be directly a party in the consortium. ### (16) with a view to accelerating implementation of the actions of the initiative , it is necessary to provide an option of implementing some of the initiative actions , in particular on pilot lines , through a new legal instrument , the european chips infrastructure consortium (ecic). the ecic should have legal personality. this means that when applying for the actions to be funded by the initiative , the ecic itself , and not individual entities forming the ecic , can be the applicant. the main aim of the ecic should be to encourage effective and structural collaboration between legal entities , including research and technology organizations. for this reason , the ecic has to involve the participation of at least three legal entities from three member states and be operated as a public-private sector consortium for a specific action. the setting up of ecic should not involve the actual setting up of a new union body and should not be targeted at one specific action under the initiative. it should address the gap in the union’s toolbox to combine funding from member states , the union budget and private investment for the purposes of implementing actions of the initiative. in particular , strong synergies can be attained through combined development of the different pilot lines in an ecic , pooling the union’s contribution with the collective resources of the member states and other participants. the budget of the ecic that would be made available by member states and private sector participants over its projected period of operation should respect the timeframes of the actions implemented under this initiative. the commission should not be directly a party in the consortium. with a view to ensure better involvement of all industrial players in these private-public partnerships , ecics should seek to have a diverse composition , including the participation of small and medium sized companies.


### (25) in light of their importance for ensuring the security of supply and enabling a resilient semiconductor ecosystem , integrated production facilities and open eu foundries should be considered to be in the public interest. ensuring the security of supply of semiconductors is important also for digitalisation that enables the green transition of many other sectors. to contribute towards security of supply of semiconductors in the union , member states may apply support schemes and provide for administrative support in national permit granting procedures. this is without prejudice to the competence of the commission in the field of state aid under article 107 and 108 of the treaty , where relevant. member states should support the set-up of integrated production facilities and open eu foundries in accordance with union law. ### (25) in light of their importance for ensuring the security of supply and enabling a resilient semiconductor ecosystem , integrated production facilities and open eu foundries could be considered to provide services of general interest. ensuring the security of supply of semiconductors is important also for digitalisation that enables the green transition of many other sectors. to contribute towards security of supply of semiconductors in the union , member states may apply support schemes and provide for administrative support in national permit granting procedures , to extent that such support schemes are compatible with applicable state aid rules. member states should support the set-up of integrated production facilities and open eu foundries in accordance with union law.


### (26) it is necessary that integrated production facilities and open eu foundries are set-up as quickly as possible , while keeping the administrative burden to a minimum. for that reason , member states should treat applications related to the planning , construction and operation of integrated production facilities and open eu foundries in the most rapid manner possible. they should appoint an authority which will facilitate and coordinate the permit granting processes and appoint a coordinator , serving as a single point of contact for the project. moreover , where necessary for granting a derogation under council directive 92/43/eec56 and directive 2000/60/ec of the european parliament and council57 , the establishment and operation of these facilities may be considered as being of overriding public interest within the meaning of the aforementioned legal texts , provided that the remaining other conditions set out in these provisions are fulfilled. ### (26) it is necessary that integrated production facilities and open eu foundries are set-up as quickly as possible , while keeping the administrative burden to a minimum. for that reason , member states should treat applications related to the planning , construction and operation of integrated production facilities and open eu foundries in the most rapid manner possible. they should appoint an authority which will facilitate and coordinate the permit granting processes and appoint a coordinator , serving as a single point of contact for the project.


### (45) appropriate , effective and proportionate measures should be identified and implemented when the crisis stage is activated without prejudice to possible continued international engagement with relevant partners with the view to mitigating the evolving crisis situation. where appropriate , the commission should request information from undertakings along the semiconductor supply chain. furthermore , the commission should be able to , where necessary and proportionate , oblige integrated production facilities and open eu foundries to accept and prioritise an order of the production of crisis-relevant products , and to act as a central purchasing body when mandated by member states. the commission could limit the measures to certain critical sectors. in addition , the european semiconductor board may advise on the necessity of introducing an export control regime pursuant to regulation (eu) 2015/479 of the european parliament and of the council60 . the european semiconductor board may also assess and advise on further appropriate and effective measures. the use of all these emergency measures should be proportionate and restricted to what is necessary to address the significant disturbances at stake insofar as this is in the best interest of the union. the commission should regularly inform the european parliament and the council of the measures taken and the underlying reasons. the commission may , after consulting with the board , issue further guidance on the implementation and use of the emergency measures. ### (45) appropriate , effective and proportionate measures that do not exceed what is necessary to rectify the immediate crisis could be identified and implemented when the crisis stage is activated without prejudice to possible continued international engagement with relevant partners with the view to mitigating the evolving crisis situation. where appropriate , the commission could request information from undertakings along the semiconductor supply chain. furthermore , the commission should be able to act as a central purchasing body when mandated by member states. in extraordinary circumstances and as a last resort , the commission may oblige integrated production facilities and open eu foundries to accept and prioritise an order of the production of crisis-relevant products , in such cases where it is necessary and proportionate to ensure the basic operation of critical sectors. before enacting any such decision , the commission should consult the european semiconductor board. furthermore , the commission should consult the european semiconductor board on the proportionality of all proposed emergency actions and could limit the measures to certain critical sectors. in addition , the european semiconductor board may advise on the necessity of introducing an export control regime pursuant to regulation (eu) 2015/479 of the european parliament and of the council60 . the european semiconductor board may also assess and advise on further appropriate and effective measures. the use of all these emergency measures should be proportionate and restricted to what is necessary to address the significant disturbances at stake insofar as this is in the best interest of the union. the commission should regularly inform the european parliament and the council of the measures taken and the underlying reasons. the commission may , after consulting with the board , issue further guidance on the implementation and use of the emergency measures.


### (48) in order to ensure that critical sectors can continue to operate in a time of crisis and when necessary and proportionate for this purpose , integrated production facilities and open eu foundries could be obliged by the commission to accept and prioritise orders of crisis-relevant products. this obligation may also be extended to semiconductor manufacturing facilities which have accepted such possibility in the context of receiving public support. the decision on a priority rated order should be taken in accordance with all applicable union legal obligations , having regard to the circumstances of the case. the priority rating obligation should take precedence over any performance obligation under private or public law while it should have regard for the legitimate aims of the undertakings and the cost and effort required for any change in production sequence. undertakings may be subject to penalties if they fail to comply with the obligation for priority rated orders. ### (48) in order to ensure that critical sectors can continue to operate in a time of crisis and when necessary and proportionate for this purpose , integrated production facilities and open eu foundries could be obliged by the commission to accept and prioritise orders of crisis-relevant products. this obligation may also be extended to semiconductor manufacturing facilities which have accepted such possibility in the context of receiving public support. the decision on a priority rated order should be taken in accordance with all applicable union legal obligations , having regard to the circumstances of the case. the priority rating obligation should take precedence over any performance obligation under private or public law while it should have regard for the legitimate aims of the undertakings and the cost and effort required for any change in production sequence. undertakings may be subject to penalties if they fail to comply with the obligation for priority rated orders. priority rated orders should be used as a last resort and only to ensure the basic operation of all or certain critical sectors , meaning a minimum level of required production.