COUNCIL RESOLUTION of 17 June 1992 on the European motor vehicle industry (92/C 178/03)

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European Economic Community,

Having regard to the Commission communication on industrial policy in an open and competitive environment,

Having regard to the Commission communication on the single Community motor vehicle market,

Having regard to the Commission communication on the European motor vehicle industry,

Whereas the motor vehicle industry is of considerable economic and social importance in the Community;

Whereas the Community motor vehicle market is, and will continue to be, the world's leading and most demanding motor vehicle market and whereas it may form the basis for the healthy development of the Community motor vehicle and motor vehicle component industry;

Whereas the Community motor vehicle industry needs to adapt quickly to increased competition on the export and on the domestic market resulting partly, in the case of the latter, from its gradual opening up to Japanese competition;

Whereas responsibility for improving industrial competitiveness lies mainly with private-sector economic operators themselves and the public authorities should provide them with a clear and foreseeable framework for their activities and ensure an environment favourable to competitiveness;

Whereas the Community structural Funds and various Community programmes already provide a variety of instruments in a range of areas such as regional development, industrial redevelopment, research and development and cooperation among small and medium-sized enterprises (SMEs),

HAS ADOPTED THIS RESOLUTION:

I

THE COUNCIL:

1. recognizes that, despite the advanced technology, quality and good performance of Communitymanufactured motor vehicles and the adjustment of their model range to consumer demand, there are considerable weaknesses in the organizational and productivity sphere to be overcome by economic operators;

2. emphasizes that, if the necessary changes are to be put into practice, all parties concerned will need to make considerable efforts, with the main role to be played by undertakings in developing the necessary strategies, it being for the public authorities to create an efficient working environment favourable to moves by undertakings to adjust, with due regard for the principle of subsidiarity;

3. emphasizes that the completion of the internal market will make a major contribution to the process of modernizing the industry's structures, in particular through the harmonization process already under way boosting intra-Community cooperation;

4. recognizes that, as an element in the process of conversion, a fundamental change in the system of production is under way which may entail adjustments in employment and in the structure and skills of the workforce, which could, if eligibility conditions are fulfilled, benefit from the appropriate Community instruments;

5. recognizes that the industry needs to make additional efforts in the area of research and development aimed at improving international competitiveness;

6. emphasizes the importance of measures to combat pollution in the emissions and recycling fields, the aim being stable and foreseeable technical rules and their harmonized application, with due regard for competition;

7. recognizes the growing importance of the equipment and component manufacturing industry, in many cases involving SMEs, in view of the economic significance of this subsector and its contribution to the overall competitiveness of the motor vehicle industry, and emphasizes the need to strengthen links between SMUs and major undertakings;

8. recognizes that, in order to provide a favourable environment for all the undertakings concerned, the Community and the Member States must, with due respect for the principles of competition and subsidiarity, press ahead with:

- efforts to ensure that international trade functions smoothly in the light of world competition, particularly in the framework of the multilateral discussions taking place under the General Agreement on Tariffs and Trade (GATT),

- the systematic use of the relevant economic, technical and social data for monitoring structural adjustment, modernization of the industry and access to third country markets,

- optimization of research efforts and intensification of synergy under Community research programmes and Eureka projects, specifying their objectives, ensuring that results are disseminated, taking into account the needs of the industry, and contributing towards the joint involvement of car manufacturers and component producers and broader-based SMU participation,

- promoting in-service vocational training and education in line with the present and future needs of the industry, with a view to mastering technological change, conversion, and new working, organizational and marketing methods,

- the adaptation of employment catchment areas which may be affected, whether by encouraging the development of alternative forms of activity and staff redeployment or by improving infrastructures and the services available to undertakings.

II

THE COUNCIL CALLS ON THE COMMISSION TO:

1. reinforce, together with the Member States and trade organizations, the use of information on exports, third country market access and international trade as required in order to prevent unfair trading practices, in accordance with the GATT rules;

2. examine thoroughly the aspects of selective distribution, with due regard for the Treaty provisions, the balance between the interests of manufacturers, distributors and consumers, as well as the various Community policies;

3. follow, in conjunction with the appropriate working parties, in particular the senior officials for industry in the Member States, and, for trade-related matters, with the committee set up under Article 113 of the Treaty, progress achieved in implementing the aims established in this resolution, including developments in the area of competitiveness, and to report regularly, and at least once a year, on the progress achieved;

4. continue to apply a strict control on aid in this sector and to look at the possibility of extending it to the component producers' sector.

III

THE COUNCIL CALLS ON THE MEMBER STATES AND THE COMMISSION TO:

adopt and, if necessary, propose the measures required in the context of the guidelines laid down in this resolution. Such measures should be aimed at the adjustment of the European motor vehicle industry and should be taken in good time, so as properly to accompany the gradual opening up of markets.