Pllp COMMISSION OF THE EUROPEAN COMMUNITIES 
C0MC91) 524 final 
Brussels, 13 December 1991 
Proposals for 
COUNCIL DECISIONS 
on the conclusion by the European Economic Community of the Interim 
Agreement between the European Economic Community and the European 
Coal and Steel Community of the one part and the Republic of Poland 
of the other part on trade and trade related matters 
on the conclusion by the European Economic Community of the Interim 
Agreement between the European Economic Community and the European 
Coal and Steel Community of the one part and the Czech and Slovak 
Federal Republic of the other part on trade and trade related 
matters 
tsm on the conclusion by the European Economic Community of the Interim 
Agreement between the European Economic Community and the European 
Coal and Steel Community of the one part and the Republic of 
Hungary of the other part on trade and trade related matters 
• (presented by the Commission) 
Draft 
COMMISSION DECISIONS 
concerning the conclusion on behalf of the European Coal and Steel 
Community of the Interim Agreement between the European Economic 
Community and the European Coal and Steel Community of the one part 
and the Republic of Poland of the other part on trade and trade 
related matters 
concerning the conclusion on behalf of the European Coal and Steel 
Community of the Interim Agreement between the European Economic 
Community and the European Coal and Steel Community of the one part 
and the Republic of Hungary of the other part on trade and trade 
related matters 
concerning the conclusion on behalf of the European Coal and Steel 
Community of the Interim Agreement between the European Economic 
Community and the European Coal and Steel Community of the one part 
and the Czech and Slovak Federal Republic of the other part on 
trade and trade related matters 
(Request for Council assent and consultation of the ECSC Committee, 
pursuant to Article 95 of the ECSC Treaty) 
Explanatory Memorandum 
1. The attached proposals for decisions provide the legal basis for the 
conclusion by the European Economic Community and European Coal and 
Steel Community of interim agreements between the European Economic 
Community and European Coal and Steel Community and Czechoslovakia, 
Hungary and Poland respectively. 
2. A declaration by the Commission and the Council annexed to the 
negotiating directives for association agreements with Poland, Hungary 
and Czechoslovakia, adopted on 18 December 1990, stipulates that interim 
agreements may be concluded, pending ratification of the Europe 
agreements by the national parliaments, for the purposes of provisional 
application of the sections of the agreements for which the Community 
has responsibility. 
3. Following the initialling of the Europe agreements in Brussels on 
22 November of this year, the interim agreements for the provisional 
application of the sections of the agreements relating to trade and 
back-up measures were initialled at on These 
agreements will be concluded for a period ending when the Europe 
agreements enter into force, and in any case no later than 31 December 
1993. 
4. These agreements suspend the trade provisions of the Agreements on trade 
and commercial and economic cooperation concluded between the European 
Economic Community and European Atomic Energy Community (the latter only 
in the case of Czechoslovakia) and Czechoslovakia, Hungary and Poland 
respectively and those of the agreements between the European Coal and 
Steel Community and each of the three countries in question. 
5. The procedures for signing and concluding the agreements differ between 
the EEC and ECSC. 
Conclusion of the agreements proceeds as follows: 
- the Council, after consulting the European Parliament, will 
conclude the agreement on behalf of the EEC, by viture of the 
provisions of Article 113 of the EEC Treaty, by adopting the 
decisions contained in (I); 
the Commission will conclude the agreement on behalf of the ECSC, 
in accordance with Article 95 of the ECSC Treaty, with the 
unanimous assent of the Council and after the Consultative 
Committee has been consulted, by adopting the decisions contained 
in (II). 
6. The Commission is accordingly requesting the Council to adopt the 
proposals contained under (I) and to give its assent to the decisions 
under (II). 
ANNEX I 
Proposals council decisions concerning the conclusion by the European Economic 
Community of interim agreements, on trade and trade related matters, 
between the European Economic Coiranunity and European Coal and Steel 
Community and Czechoslovakia, Hungary and Poland respectively. 
Proposal for a 
COUNCIL DECISION 
OF 199. 
ON THE CONCLUSION BY THE EUROPEAN ECONOMIC COMMUNITY OF THE 
INTERIM AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND 
THE EUROPEAN COAL AND STEEL COMMUNITY OF THE ONE PART AND THE 
REPUBLIC OF POLAND OF THE OTHER PART ON 
TRADE AND TRADE RELATED MATTERS 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic 
Community, and in particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the 
Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Poland of the other part on trade and trade related matters signed in 
[ Brussels ] on 199.. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Poland of the other part on trade and trade related matters together 
with the Protocols annexed thereto, the declarations and the exchange 
of letters annexed to the Final Act are hereby approved on behalf of 
the European Economic Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Council shall carry out the notification procedure 
provided for in Article 49 of the Interim Agreement on behalf of the 
European Economic Community. 
Done at; Brussels, 
Proposal for a 
COUNCIL DECISION 
OF 199. 
ON THE CONCLUSION BY THE EUROPEAN ECONOMIC COMMUNITY OF THE 
INTERIM AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND 
THE EUROPEAN COAL AND STEEL COMMUNITY OF THE ONE PART AND THE 
CZECH AND SLOVAK FEDERAL REPUBLIC OF THE OTHER PART ON 
TRADE AND TRADE RELATED MATTERS 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic 
Community, and in particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the 
Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Czech and 
Slovak Federal Republic of the other part on trade and trade related 
matters signed in [ Brussels] on 199.. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Czech and 
Slovak Federal Republic of the other part on trade and trade related 
matters together with the Protocols annexed thereto, the declarations 
and the exchange of letters annexed to the Final Act are hereby 
approved on behalf of the European Economic Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Council shall carry out the notification procedure 
provided for in Article 49 of the Interim Agreement on behalf of the 
European Economic Community. 
Done at Brussels, 
Proposal for a 
COUNCIL DECISION 
OF . . . . . 199. 
ON THE CONCLUSION BY THE EUROPEAN ECONOMIC COMMUNITY OF THE 
INTERIM AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND 
THE EUROPEAN COAL AND STEEL COMMUNITY OF THE ONE PART AND THE 
REPUBLIC OF HUNGARY OF THE OTHER PART ON 
TRADE AND TRADE RELATED MATTERS 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic 
Community, and in particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the 
Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Hungary of the other part on trade and trade related matters signed in 
( Brussels] on 199.. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Hungary of the other part on trade and trade related matters together 
with the Protocols annexed thereto, the declarations and the exchange 
of letters annexed to the Final Act are hereby approved on behalf of 
the European Economic Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Council shall carry out the notification procedure 
provided for in Article 48 of the Interim Agreement on behalf of the 
European Economic Community. 
Done at Brusseli 
ANNEX II 
Draft Commission decisions concerning the conclusion on behalf of the 
European Coal and Steel Community of interim agreements, on trade and trade 
related matters, between the European Economic Community and European Coal 
and Steel Community and Czechoslovakia, Hungary and Poland respectively. 
Draft 
COMMISSION DECISION 
OF 199. 
CONCERNING THE CONCLUSION ON BEHALF OF THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE INTERIM AGREEMENT BETWEEN THE 
EUROPEAN ECONOMIC COMMUNITY AND THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE ONE PART AND THE 
REPUBLIC OF POLAND OF THE OTHER PART ON TRADE AND 
TRADE RELATED MATTERS 
(../.../ECSC) 
THE COMMISSION OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Coal and Steel 
Community, and in particular the first paragraph of Article 95 thereof, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the Interim 
Agreement between the European Economic Community and the European Coal 
and Steel Community of the one part and the Republic of Poland of the 
other part on trade and trade related matters signed in [Brussels] on 
199.. 
Whereas the conclusion of the Interim Agreement is necessary to attain 
the objectives of the Community set out in particular in Articles 2 and 
3 of the Treaty establishing the European Coal and Steel Community and 
whereas the Treaty did not make provision for all the cases covered by 
this Decision. 
Having consulted the Consultative Committee and with the unanimous 
assent of the Council. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Poland of the other part on trade and trade related matters together 
with the Protocols annexed thereto, the declarations and the exchange 
of letters annexed to the Final Act are hereby approved on behalf of 
the European Coal and Steel Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Commission shall carry out the notification 
procedure provided for in Article 49 of the Interim Agreement on behalf 
of the European Coal and Steel Community. 
Done at Brussels, 
Draft 
COMMISSION DECISION 
OF 199. 
CONCERNING THE CONCLUSION ON BEHALF OF THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE INTERIM AGREEMENT BETWEEN THE 
EUROPEAN ECONOMIC COMMUNITY AND THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE ONE PART AND THE 
REPUBLIC OF HUNGARY OF THE OTHER PART ON TRADE AND 
TRADE RELATED MATTERS 
(../.../ECSC) 
THE COMMISSION OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Coal and Steel 
Community, and in particular the first paragraph of Article 95 thereof, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the Interim 
Agreement between the European Economic Community and the European Coal 
and Steel Community of the one part and the Republic of Hungary of the 
other part on trade and trade related matters signed in [Brussels] on 
199.. 
Whereas the conclusion of the Interim Agreement is necessary to attain 
the objectives of the Community set out in particular in Articles 2 and 
3 of the Treaty establishing the European Coal and Steel Community and 
whereas the Treaty did not make provision for all the cases covered by 
this Decision. 
Having consulted the Consultative Committee and with the unanimous 
assent of the Council. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Republic of 
Hungary of the other part on trade and trade related matters together 
with the Protocols annexed thereto, the declarations and the exchange 
of letters annexed to the Final Act are hereby approved on behalf of 
the European Coal and Steel Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Commission shall carry out the notification 
procedure provided for in Article 48 of the Interim Agreement on behalf 
of the European Coal and Steel Community. 
Done at Brussels, 
Ao 
Draft 
COMMISSION DECISION 
OF 199. 
CONCERNING THE CONCLUSION ON BEHALF OF THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE INTERIM AGREEMENT BETWEEN THE 
EUROPEAN ECONOMIC COMMUNITY AND THE EUROPEAN COAL AND STEEL 
COMMUNITY OF THE ONE PART AND THE 
CZECH AND SLOVAK FEDERAL REPUBLIC OF THE OTHER PART 
ON TRADE AND TRADE RELATED MATTERS 
(../.../ECSC) 
THE COMMISSION OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Coal and Steel 
Community, and in particular the first paragraph of Article 95 thereof, 
Whereas, pending the entry into force of the European Agreement signed 
in on 199., it is necessary to approve the Interim 
Agreement between the European Economic Community and the European Coal 
and Steel Community of the one part and the Czech and Slovak Federal 
Republic of the other part on trade and trade related matters signed in 
[Brussels] on ..........199.. 
Whereas the conclusion of the Interim Agreement is necessary to attain 
the objectives of the Community set out in particular in Articles 2 and 
3 of the Treaty establishing the European Coal and Steel Community and 
whereas the Treaty did not make provision for all the cases covered by 
this Decision. 
Having consulted the Consultative Committee and with the unanimous 
assent of the Council. 
HAD DECIDED AS FOLLOWS : 
Article 1 
The Interim Agreement between the European Economic Community and the 
European Coal and Steel Community of the one part and the Czech and 
Slovak Federal Republic of the other part on trade and trade related 
matters together with the Protocols annexed thereto, the declarations 
and the exchange of letters annexed to the Final Act are hereby 
approved on behalf of the European Coal and Steel Community. 
The texts of the Interim Agreement and of the Final Act are annexed to 
this Decision. 
Article 2 
The President of the Commission shall carry out the notification 
procedure provided for in Article 49 of the Interim Agreement on behalf 
of the European Coal and Steel Community. 
Done at Brussels, 
J* 
EC / POLAND 
13/12/91 
INTERIM AGREEMENT 
on trade and trade related matters 
between the EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, of the one part, and the Republic of Poland, of the other 
part. 
THE EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, hereinafter referred to as "the Community", 
of the one part, 
and the REPUBLIC OF POLAND, hereinafter referred to as "Poland" 
of the other part, 
WHEREAS the Europe Agreement establishing an association between the 
European Communities and their Member States and the Republic of Poland 
was signed in on 1991; 
WHEREAS the aim of the Europe Agreement is to provide an appropriate 
framework for political dialogue; it is to govern commercial and 
economic relations between the Parties and includes provisions relating 
to financial cooperation and assistance and the promotion of 
cooperation in cultural matters; 
WHEREAS the Europe Agreement is intended to strengthen and widen the 
relations established previously, notably by the Agreement on Trade and 
Commercial and Economic Cooperation between the European Economic 
Community and Poland signed on 19th September 1989 and the Protocol on 
Trade and Commercial and Economic Cooperation between the European Coal 
and Steel Community and Poland signed on 16th October 1991. 
WHEREAS it is necessary to ensure the development of trade relations 
between the implementation of the agreements on Trade and Commercial 
and Economic Coopérât ion and that of the Europe Agreement; 
WHEREAS to this end it is necessary to implement as speedily as 
possible, by means of an interim Agreement, provisions of the Europe 
Agreement trade and trade related matters; 
WHEREAS it is necessary to ensure that pending the entry into force of 
the Europe Agreement and the establishment of the Association Council, 
the Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation can exercise the powers assigned by the Europe 
Agreement to the Association Council which are necessary in order to 
implement the Interim Agreement. 
/Au4/rf/ACC0RDS/P.int.agree2 
-Ài> 
HAVE DECIDED to conclude this Agreement and to this end have designated 
as their plenipotentiaries, 
THE EUROPEAN ECONOMIC COMMUNITY 
THE EUROPEAN COAL AND STEEL COMMUNITY 
THE REPUBLIC OF POLAND 
WHO, having exchanged their full powers, formed in good and due form, 
HAVE AGREED AS FOLLOWS: 
TITLE I: FREE MOVEMENT OF GOODS 
Article 1 (EA 7) 
1. The Community and Poland shall gradually establish a free trade 
area in a transitional period lasting a maximum of ten years starting 
from the entry into force of this Agreement (hereinafter called "the 
Agreement") in accordance with the provisions of the present agreement 
and in conformity with those of the General Agreement on Tariffs and 
Trade. 
2. The Combined Nomenclature of goods shall be applied to the 
classification of goods in trade between the two parties. 
3. For each product the basic duty to which the successive 
reductions set out in this Agreement are to be applied shall be that 
actually applied erga omnes on the day preceding the date of entry into 
force of the Agreement. 
4. If, after entry into force of the Agreement, any tariff reduction 
is applied on an erga omnes basis, in particular reductions resulting 
from the tariff agreement concluded as a result of the GATT Uruguay 
Round, such reduced duties shall replace the basic duties referred to 
in paragraph 3 as from the date when such reductions are applied. 
5. The Community and Poland shall communicate to each other their 
respective basic duties. 
Chapter I: Industrial products 
Article 2 (EA 8) 
1. The provisions of this Chapter shall apply to products 
originating in the Community and in Poland listed in Chapters 25 to 97 
of the Combined Nomenclature with the exception of the products listed 
in Annex I. 
/i..W,«/irpnpn«5/P Inf nnrmmO 
-A3 -
2. The provisions of Articles 3 to 7 included do not apply to 
products mentioned in Articles 9 and 10. 
Article 3 (EA 9) 
1. Customs duties on imports applicable in the Community to products 
originating in Poland other than those listed in Annexes Ma, lib 
and III shall be abolished on the entry into force of the Agreement. 
2. Customs duties on imports applicable in the Community to products 
originating in Poland which are listed in Annex lia shall be 
progressively abolished in accordance with the following timetable: 
on the date of entry into force of this Agreement each duty shall 
be reduced to 50% of the basic duty. 
one year after the date of entry into force of this Agreement 
the remaining duties shall be eliminated. 
Customs duties on imports applicable in the Community to products 
originating in Poland listed in Annex Mb shall be progressively 
reduced, from the date of entry into force of this Agreement, by annual 
reductions of 20% of the basic duty, so as to arrive at a total 
abolition by the end of the fourth year after the date of entry into 
force of the Agreement. 
3. The products of Polish origin listed in Annex III shall benefit 
from a suspension of customs duties on imports within the limits of 
annual Community tariff quotas or ceilings increasing progressively in 
accordance with the conditions defined in that Annex so as to arrive at 
a complete abolition of customs duties on imports of the products 
concerned at the end of the fifth year at the latest. 
At the same time, customs duties on imports applicable to import 
quantities in excess of the quotas or ceilings provided for above shall 
be progressively dismantled from the entry Into force of the Agreement 
by annual reductions of 15%. By the end of the fifth year, remaining 
duties shall be abolished. 
4. Quantitative restrictions on imports to the Community and 
measures having equivalent effect shall be abolished on the date of 
entry into force of the Agreement with regard to the products 
originating in Poland. 
Article 4 (EA 10) 
1. Customs duties on imports applicable in Poland to products 
originating in the Community listed in Annex IVa shall be abolished on 
the date of entry into force of the Agreement. 
2. Customs duties on imports applicable in Poland to products 
originating in the Community which are listed in Annex IVb shall be 
progressively reduced as specified in that Annex. 
/Au4/rf/ACCORDS/P.int.agree2 
-M 
Poland shall open duty free tariff quotas for products originating in 
the Community, as listed in that Annex and according to the conditions 
contained therein. 
3. Customs duties on imports applicable in Poland to products 
originating in the Community other than those listed in Annexes IVa 
and IVb shall be progressively reduced, and abolished by the end of the 
seventh year at the latest from the entry 
according to the following timetable: 
three years after the date of entry 
each duty shall be reduced to 80% of 
four years after the date 
each duty shall be reduced 
five years after the date 
each duty shall be reduced 
six years after the date 
each duty shall be reduced 
seven years after the date of 
to 
of 
to 
of 
to 
of entry 
60% of 
entry 
40% of 
entry 
20% of 
entry into force of 
into force of 
the basic duty 
into force of 
the basic duty 
into force of 
the basic duty 
into force of 
the basic duty 
into force of the Agreement 
the Agreement 
the Agreement 
the Agreement 
the Agreement 
the Agreement 
the remaining duties shall be eliminated; 
4. Quantitative restrictions on imports into Poland of products 
originating in the Community and measures having equivalent effect 
shall be abolished on entry into force of the Agreement with the 
exception of those listed in Annex V which shall be abolished in 
accordance with the timetable provided in that Annex. 
Article 5 (EA 11) 
The provisions concerning the abolition of customs duties on imports 
shall also apply to customs duties of a fiscal nature. 
Article 6 (EA 12) 
The Community and Poland shall abolish upon entry into force of this 
Agreement in trade between themselves, any charges having an effect 
equivalent to customs duties on imports. 
Article 7 (EA 13) 
1. The Community and Poland shall progressively abolish between them 
at the latest by the end of the fifth year after entry into force of 
the Agreement any customs duties on exports and charges having 
equivalent effect. 
2. Quantitative restrictions on exports and any measures having 
equivalent effect shall be abolished by the Community and Poland on the 
entry into force of the Agreement except for those applied to products 
listed in Annex VI which shall be eliminated as specified therein. 
Article 8 (EA 14) 
Each party declares its readiness to reduce its customs duties in trade 
/Au4/rf/ACC0RDS/P.Int.agree2 
T4S-
with the other party more rapidly than Is provided for in Articles 3 
and 4 if its general economic situation and the situation of the 
economic sector concerned so permit. 
The Joint Committee referred to in Article 37 (hereinafter referred to 
as "the Joint Committee") may make recommendations to this effect. 
Article 9 (EA 15) 
Protocol No 1 lays down the arrangements applicable to the textile 
products referred to therein. 
Article 10 (EA 16) 
Protocol No 2 lays down the arrangements applicable to products covered 
by the Treaty establishing the European Coal and Steel Community. 
Article 11 (EA 17) 
The provisions of the present Chapter do not preclude the retention of 
an agricultural component in the duties applicable to products listed 
in Annex VII. 
Chapter II -Agriculture 
Article 12 (EA 18) 
1. The provisions of this Chapter shall apply to agricultural 
products originating in the Community and in Poland. 
2. The term "agricultural products" means the products listed in 
Chapters 1 to 24 of the Combined Nomenclature and the products listed 
in Annex I, but excluding fishery products as defined by Regulation 
(EEC) N- 3796/81. 
Article 13 (EA 19) 
Protocol N* 3 lays down the trade arrangements for processed 
agricultural products which are listed in such protocol. 
Article 14 (EA 20) 
1. The Community shall abolish at the date of entry into force of 
the Agreement the quantitative restrictions on imports of agricultural 
products originating in Poland maintained by virtue of Council 
Regulation (EEC) no 3420/83 in the form existing on the date of 
signature hereof. 
/Au4/rf/ACC0RDS/P.Int.agre«2 
Je-
2. The agricultural products originating in Poland listed in 
Annex VIII shall benefit, upon the date of entry into force of this 
Agreement, from the reduction of customs duties and levies within the 
limit of Community quotas and upon the conditions provided in the same 
Annex. 
3. Poland shall gradually abolish quantitative restrictions on 
imports of agricultural products originating in the Community listed in 
Annex IX in accordance with the conditions established in that Annex. 
4. The Community and Poland shall grant each other the concessions 
referred to in Annexes Xa, Xb and Xc and XI, on a harmonious and 
reciprocal basis, in accordance with the conditions laid down therein. 
5. Talcing account of the volume of trade in agricultural products 
between them, of their particular sensitivity, of the rules of the 
Common Agricultural Policy of the Community, of the role of agriculture 
in the Polish economy, and of the consequences of the multilateral 
trade negotiations under the General Agreement on Tariffs and Trade, 
the Community and Poland shall examine on a regular basis in the Joint 
Committee, product by product and on an orderly and reciprocal basis, 
the possibilities of granting each other further concessions. In this 
context special attention will be given to agricultural production 
based on natural techniques. 
6. Talcing account of the need for an increased harmony between the 
agricultural policies in the Community and Poland, as well as Poland's 
objective of becoming a member of the Community, both Parties will have 
regular consultations in the Joint Committee on the strategy and 
practical modalities of their respective policies. 
Article 15 (EA 21) 
Notwithstanding other provisions of this Agreement and in particular 
Article 24, if, given the particular sensitivity of the agricultural 
marlcets, imports of products originating in one Party, which are the 
subject of concessions granted in Article 14, cause serious disturbance 
to the marlcets In the other Party, both Parties shall enter into 
consultations immediately to find an appropriate solution. Pending 
such solution, the Party concerned may take the measures it deems 
necessary. 
Chapter III - Fisheries 
Article 16 (EA 22) 
The provisions of this chapter shall apply to fishery products 
originating in the Community and in Poland, which are covered by 
Regulation (EEC) No 3796/81 on the common organization of the market in 
the sector of fishery products. 
/A ..A /„« /irrnpn<; /p int nnr**7 
-47 -
Article 17 (EA 23) 
The Parties shall conclude as soon as practicable negotiations of an 
agreement on fishery products. 
Thereafter, the provisions of Article 14, paragraph 5 shall apply 
mutatis mutandis to fishery products. 
Chapter IV - Common provisions 
Article 18 (EA 24) 
The provisions of this Chapter shall apply to trade in all products 
except where otherwise provided herein or in Protocols N*1, 2, or 3. 
Article 19 (EA 25) 
1. No new customs duties on imports or exports or charges having 
equivalent effect shall be introduced, nor shall those already applied 
be increased, in the trade between the Community and Poland from the 
date of entry into force of the Agreement. 
2. io new quantitative restriction on imports or exports or measure 
having equivalent effect shall be introduced nor shall those existing 
be made more restrictive in the trade between the Community and Poland 
from the date of entry into force of the Agreement. 
3. Without prejudice to the concessions granted under Article 14, 
the provisions of paragraphs 1 and 2 of this Article shall not restrict 
in any way the pursuance of the respective agricultural policies of 
Poland and the Community or the taking of any measures under such 
policies. 
Article 20 (EA 26) 
1. The two parties shall refrain from any measure or practice of an 
internal fiscal nature establishing, whether directly or indirectly, 
discrimination between the products of one party and like products 
originating in the territory of the other party. 
2. Products exported to the territory of one of the two parties may 
not benefit from repayment of internal taxation in excess of the amount 
of direct or indirect taxation imposed on them. 
Article 21 (EA 27) 
1. This Agreement shall not preclude the maintenance or 
establishment of customs unions, free trade areas or arrangements for 
frontier trade except insofar as they after the trade arrangements 
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-48 -
provided for in this Agreement. 
2. Consultations between the Parties shall take place within the 
Joint Committee concerning agreements establishing such customs unions 
or free trade areas and, where requested, on other major issues related 
to their respective trade policy with third countries. In particular in 
the event of a third country acceding to the Community, such 
consultations shall take place so as to ensure that account can be 
taken of the mutual interests of the Community and Poland stated in 
this Agreement. 
Article 22 (EA 28) 
Exceptional measures of limited duration which derogate from the 
provisions of Articles 4 and 19, paragraph 1 may be taken by Poland in 
the form of increased customs duties. 
These measures may only concern infant industries, or certain sectors 
undergoing restructuring or facing serious difficulties, particularly 
where these difficulties produce important social problems. 
Customs duties on imports applicable in Poland to products originating 
in the Community introduced by these measures may not exceed 25% 
ad valorem and shall maintain an element of preference for products 
originating in the Community. The total value of imports of the 
products which are subject to these measures may not exceed 15% of 
total imports of industrial products from the Community as defined in 
Chapter I, during the last year for which statistics are available. 
These measures shall be applied for a period not exceeding five years 
unless a longer duration is authorized by the Joint Committee. They 
shall cease to apply at the latest at the expiration of the 
transitional period. 
No such measures can be introduced in respect of a product if more than 
3 years have elapsed since the elimination of all duties and 
quantitative restrictions or charges or measures having an equivalent 
effect concerning that product. 
Poland shall inform the Joint Committee of any exceptional measures it 
Intends to take and, at the request of the Community, consultations 
shall be held in the Joint Committee on such measures and the sectors 
to which they apply before they are applied. When taking such measures 
Poland shall provide the Joint Committee with a schedule for the 
elimination of the customs duties introduced under this Article. This 
schedule shall provide for a phasing out of these duties starting at 
the latest two years after their introduction at equal annual rates. 
The Joint Committee may decide on a different schedule. 
Article 23 (EA 29) 
If one of the Parties finds that dumping is taking place in trade with 
the other Party within the meaning of Article VI of the General 
Agreement on Tariffs and Trade, it may take appropriate measures 
/Au4/rf/ACC0RDS/P.int .agr««2 
against this practice in accordance with the Agreement relating to the 
application of Article VI of the General Agreement on Tariffs and 
Trade, with related internal legislation and with the conditions and 
procedures laid down in Article 27. 
Article 24 (EA 30) 
Where any product is being imported in such increased quantities and 
under such conditions as to cause or threaten to cause: 
serious injury to domestic producers of like or directly 
competitive products in the territory of one of the Parties, or 
serious disturbances in any sector of the economy or difficulties 
which could bring about serious deterioration in the economic 
situation of a region, 
the Community or Poland, whichever is concerned, may take appropriate 
measures under the conditions and in accordance with the procedures 
laid down in Article 27. 
Article 25 (EA 31) 
Where compliance with the provisions of Articles 7 and 19 leads to 
(i) re-export towards a third country against which the exporting 
party maintains, for the product concerned, quantitative export 
restrictions, export duties or measures having equivalent effect; 
or 
(ii) a serious shortage, or threat thereof, of a product essential to 
the exporting party; 
and where the situations above referred to give rise, or are likely to 
give rise to major difficulties for the exporting party, that party may 
take appropriate measures under the conditions and in accordance with 
the procedures laid down in Article 27. The measures shall be non­
discriminatory and be eliminated when conditions no longer justify 
their maintenance. 
Article 26 (EA 32) 
The Member States and Poland shall progressively adjust any State 
monopolies of a commercial character so as to ensure that, by the end 
of the fifth year following the entry into force of this Agreement, no 
discrimination regarding the conditions under which goods are procured 
and marketed exists between nationals of the Member States and of 
Poland. The Joint Committee will be informed about the measures 
adopted to implement this objective. 
Article 27 (EA 33) 
1. In the event of the Community or Poland subjecting imports of 
products liable to give rise to the difficulties referred to in 
Article 24 to an administrative procedure having as its purpose the 
rapid provision of information on the trend of trade flows, it shall 
inform the other party. 
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2. In the cases specified in Articles 23, 24 and 25, before taking 
the measures provided for therein or, in cases to which paragraph 3(d) 
applies, as soon as possible, the Community or Poland, as the case may 
be, shall supply the Joint Committee with all relevant information 
with a view to seeking a solution acceptable to the two parties. 
In the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. 
The safeguard measures shall be notified immediately to the Joint 
Committee and shall be the subject of periodic consultations within 
that body, particularly with a view to establishing a timetable for 
their abolition as soon as circumstances permit. 
3. For the implementation of paragraph 2, the following provisions 
shalI apply: 
(a) As regards Article 24, the difficulties arising from the 
situation referred to in that Article shall be referred for 
examination to the Joint Committee, which may take any decision 
needed to put an end to such difficulties. 
If the Joint Committee or the exporting party has not taken a 
decision putting an end to the difficulties or no other 
satisfactory solution has been reached within thirty days of the 
matter being referred, the importing party may adopt the 
appropriate measures to remedy the problem. These measures must 
not exceed the scope of what is necessary to remedy the 
difficulties which have arisen. 
(b) As regards Article 23, the Joint Committee shall be informed of 
the dumping case as soon as the authorities of the importing 
party have initiated an investigation. When no end has been put 
to the dumping or no other satisfactory solution has been reached 
within thirty days of the matter being referred to the Joint 
Committee, the importing party may adopt the appropriate 
measures. 
c) As regards Article 25, the difficulties arising from the 
situations referred to in that Article shall be referred for 
examination to the Joint Committee. 
The Joint Committee may take any decision needed to put an end to 
the difficulties. If it has not taken such a decision within 
thirty days of the matter being referred to it, the exporting 
party may apply appropriate measures on the exportation of the 
product concerned. 
d) Where exceptional circumstances requiring immediate action make 
prior information or examination, as the case may be, 
impossible, the Community or Poland whichever is concerned may, 
in the situations specified in Articles 23, 24 and 25, apply 
forthwith the precautionary measures strictly necessary to deal 
with the situation. 
/Au4/rf/ACC0RDS/P.Int.agree2 
* 
Article 28 (EA 34) 
Protocol No 4 lays down rules of origin, for the application of tariff 
preferences foreseen in this Agreement. 
Article 29 (EA 35) 
The Agreement shall not preclude prohibitions or restrictions on 
imports, exports or goods in transit justified on grounds of public 
morality, public policy or public security; the protection of health 
and life of humans, animals or plants; the protection of national 
treasures of artistic, historic or archaeological value or the 
protection of intellectual, industrial and commercial property or rules 
relating to gold and silver. Such prohibitions or restrictions shall 
not, however, constitute a means of arbitrary discrimination or a 
disguised restriction on trade between the Parties. 
Article 30 (EA 36) 
Protocol No 5 lays down the specific provisions to apply to trade 
between Poland of the one part and Spain and Portugal of the other 
part. 
TITLE lit PAYMENTS. COMPETITION AND OTHER 
ECONOMIC PROVISIONS 
Article 31 (EA 59) 
The Parties undertake to authorize, in freely convertible currency, 
any payments on the current account of balance of payments to the 
extent that the transaction underlying the payments concern movement of 
goods between the Parties which have been liberalized pursuant to the 
present Agreement. 
Article 32 (EA 62) 
With reference to the provisions of this Chapter, and notwithstanding 
the provisions of Article 34, until a full convertibility of the 
Polish currency in the meaning of Article VIII of the International 
Monetary Fund is introduced, Poland may in exceptional circumstances 
apply exchange restrictions connected with the granting or taking up of 
short and medium-term credits to the extent that such restrictions are 
imposed on Poland for the granting of such credits and are permitted 
according to Poland's status under the IMF. 
Poland shall apply these restrictions in a non-discriminatory manner. 
They shall be applied in such a manner as to cause the least possible 
disruption to this Agreement. Poland shall inform the Joint Committee 
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xz 
promptly of the introduction of such measures and of any changes 
therein. 
Article 33 (EA 63) 
1. The following are incompatible with the proper functioning of the 
Agreement, in so far as they may affect trade between the Community and 
Poland: 
(i) all agreements between undertakings, decisions by associations of 
undertakings and concerted practices between undertakings which 
have as their object or effect the prevention, restriction or 
distortion of competition; 
(ii) abuse by one or more undertakings of a dominant position in the 
territories of the Community or of Poland as a whole or in a 
substantial part thereof; 
(Mi) any public aid which distorts or threatens to distort competition 
by favouring certain undertakings or the production of certain 
goods. 
2. Any practices contrary to this Article shall be assessed on the 
basis of criteria arising from the application of the rules of Articles 
85, 86, and 92 of the Treaty establishing the European Economic 
Community. 
3. The Joint Committee shall, within three years of the entry into 
force of the Agreement, adopt by decision the necessary rules for the 
implementation of paragraphs 1 and 2. 
Until these rules are adopted, the provisions of the Agreement on 
interpretation and application of Articles VI, XVI and XXIII of the 
General Agreement on Tariffs and Trade shall be applied as the rules 
for the implementation of paragraphs Kiii) and related parts of 
paragraph 2. 
4.a For the purposes of applying the provisions of paragraph 1, point 
(iii), the Parties recognize that during the first five years after the 
entry into force of the Agreement, any public aid granted by Poland 
shall be assessed taking into account the fact that Poland shall be 
regarded as an area identical to those areas of the Community described 
in Article 92.3(a), of the Treaty establishing the European Economic 
Community. The Joint Committee shall, taking into account the economic 
situation of Poland, decide whether that period should be extended by 
further periods of five years. 
4.b Each party shall ensure transparency in the area of public aid, 
inter alia by reporting annually to the other party on the total amount 
and the distribution of the aid given and by providing, upon request, 
information on aid schemes. Upon request by one party, the other party 
shall provide information on particular individual cases of public aid. 
5. With regard to products referred to in Chapters II and III of 
Title I : 
the provision of paragraph 1 (iii) does not apply. 
any practices contrary to paragraph 1 (i) should be assessed 
according to the criteria established by the Community on the 
/Au4/rf/ACC0RDS/P.Int.agrae2 
43 
basis of Articles 42 and 43 of the Treaty establishing the 
European Economic Community and in particular of those 
established in Council Regulation n' 26/1962. 
6. If the Community or Poland considers that a particular practice 
is incompatible with the terms of the first paragraph of this Article, 
and: 
is not adequately dealt with under the implementing rules 
referred to in paragraph 3, or 
in the absence of such rules, and if such practice causes or 
threatens to cause serious prejudice to the interest of the other 
Party or material injury to its domestic industry, including its 
services industry, 
it may take appropriate measures after consultation within the Joint 
Committee or after 30 working days foMowing referral for such 
consultât ion. 
In the case of practices incompatible with paragraph 1 (iii) of this 
Article, such appropriate measures may, where the General Agreement on 
Tariffs and Trade applies thereto, only be adopted in conformity with 
the procedures and under the conditions laid down by the General 
Agreement on Tariffs and Trade and any other relevant instrument 
negotiated under its auspices which are applicable between the Parties. 
7. Notwithstanding any provisions to the contrary adopted in 
conformity with paragraph 3, the parties shall exchange information 
taking into account the limitations imposed by the requirements of 
professional and business secrecy. 
8. This Article shall not apply to the products covered by the 
Treaty establishing the European Coal and Steel Community which are the 
subject of Protocol N*2. 
Article 34 (EA 64) 
1. The Parties shall endeavour to avoid the imposition of 
restrictive measures including measures relating to imports for 
balance of payments purposes. In the event of their introduction, the 
Party having introduced the same shall present to the other party as 
soon as possible, a time schedule for their removal. 
2. Where one or more Member States of the Community or Poland is in 
serious balance of payments difficulties, or under imminent threat 
thereof, the Community or Poland, as the case may be, may, in 
accordance with the conditions established under the General Agreement 
on Tariffs and Trade, adopt restrictive measures, including measures 
relating to imports, which shall be of limited duration and may not go 
beyond what is necessary to remedy the balance of payments situation. 
The Community or Poland, as the case may be, shall inform the other 
Party forthwith. 
Article 35 (EA 65) 
With regard to public undertakings, and undertakings to which special 
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or exclusive rights have been granted, the Joint Committee shall 
ensure that as from the third year following the date of entry into 
force of the Agreement, the principles of the Treaty establishing the 
European Economic Community, notably Article 90, and the principles of 
the concluding document of the April 1990 Bonn meeting of the 
Conference on Security and Cooperation in Europe (notably 
entrepreneurs' freedom of decision) are upheld. 
Art icle 36 
1. Poland shall continue to improve the protection of intellectual, 
industrial and commercial property rights in order to provide, by the 
end of the fifth year from the entry into force of the Agreement, a 
level of protection similar to that provided in the Community by 
Community Acts irt particular the ones referred to in Annex XIII, 
including comparable means of enforcing such rights. 
2. Mutual assistance between administrative authorities in customs 
matters of the Parties shall take place in accordance with the 
provisions of Protocol N*6. 
TITLE III : INSTITUTIONAL. GENERAL AND FINAL PROVISIONS 
Article 37 (EA 102) 
The Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation signed between the European Economic Community and 
the Republic of Poland on 19th September 1989 shall perform the duties 
assigned to it by this Agreement until the Association Council provided 
for in Article 102 of the Europe Agreement is established. 
Article 38 (EA 104) 
The Joint Committee shall, for the purposes of attaining the objectives 
of the Agreement, have the power to take decisions in the cases 
provided for therein. The decisions taken shall be binding on the 
Parties which shall take the measures necessary to implement the 
decisions taken. The Joint Committee may also make appropriate 
recommendat ions. 
It shall draw up its decisions and recommendations by agreement between 
the two Part les. 
Article 39 (EA 105) 
1. Each of the two parties may refer to the Joint Committee any 
dispute relating to the application or interpretation of this 
Agreement. 
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2. The Joint Committee may settle the dispute by means of a 
decision. 
3. Each party shall be bound to take the measures involved in 
carrying out the decision referred to in paragraph 2. 
4. In the event of it not being possible to settle the dispute in 
accordance with paragraph 2 of this Article, either party may notify 
the other of the appointment of an arbitrator; the other party must 
then appoint a second arbitrator within two months. 
The Joint Committee shall appoint a third arbitrator. 
The arbitrators' decisions shall be taken by majority vote. 
Each party to the dispute must take the steps required to implement the 
decision of the arbitrators. 
Article 40 (EA 111) 
Within the scope of this Agreement, each party undertakes to ensure 
that natural and legal persons of the other party have access free of 
discrimination in relation to its own nationals to the competent courts 
and administrative organs of the Community and Poland to defend their 
individual rights and their property rights, including those concerning 
intellectual, industrial and commercial property. 
Article 41 (EA 112) 
Nothing in the Agreement shall prevent a Party from taking any 
measures: 
(a) which it considers necessary to prevent the disclosure of 
information contrary to its essential security interests; 
(b) which relate to the production of, or trade in, arms, munitions 
or war materials or to research, development or production 
indispensable for defence purposes, provided that such measures 
do not impair the conditions of competition in respect of 
products not intended for specifically military purposes; 
(c) which it considers essential to its own security in the event of 
serious internal disturbances affecting the maintenance of law 
and order, in time of war or serious international tension 
constituting threat of war or in order to carry out obligations 
it has accepted for the purpose of maintaining peace and 
international security. 
Article 42 (EA 113) 
In the fields covered by this Agreement and without prejudice to any 
special provisions contained therein: 
the arrangements applied by Poland in respect of the Community 
shall not give rise to any discrimination between the Member 
States, their nationals, or their companies or firms, 
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the arrangements applied by the Community in respect of Poland 
shall not give rise to any discrimination between Polish 
nationals or its companies or firms. 
Article 43 (EA 114) 
Products originating in Poland shall not enjoy more favourable 
treatment when imported into the Community than that applied by Member 
States among themselves. 
Article 44 (EA 115) 
1. The Parties shall take any general or specific measures required 
to fulfil their obligations under the Agreement. They shall see to it 
that the objectives set out in the Agreement are attained. 
2. If either Party considers that the other Party has failed to 
fulfil an obligation under the Agreement, it may take appropriate 
measures. Before so doing, it shall supply the Joint Committee with 
all relevant information required for a thorough examination of the 
situation with a view to seeking a solution acceptable to the Parties. 
in the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. These measures shall 
be notified immediately to the Joint Committee and shall be the subject 
of consultations within the Joint Committee if the other Party so 
requests. 
Article 45 (EA 117) 
Protocols 1, 2, 3, 4, 5, 6 and 7 and Annexes I to XI and XIII shall 
form an integral part of this Agreement. 
Article 46 (EA 118) 
1. This agreement shall be applicable until the entry into force of 
the Europe Agreement signed on 16th December 1991 and at the latest 
until 31st December 1992. 
2. Either party may denounce this Agreement by notifying the other 
party. This Agreement shall cease to apply six months after the date 
of such notification. 
Article 47 (EA 119) 
This Agreement shall apply, on the one hand, to the territories in 
which the Treaties establishing the European Economic Community and the 
European Coal and Steel Community are applied and under the conditions 
laid down in those Treaties and, on the other hand, to the territory of 
the Republic of Poland. 
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Article 48 (EA 120) 
This Agreement is drawn up in duplicate in the Danish, Dutch, English, 
French, German, Italian, Spanish, Greek, Portuguese and Polish 
languages, each of these texts being equally authentic. 
Article 49 
This Agreement will be approved by the Parties in accordance with their 
own procedures. 
This Agreement shall enter into force on the first day of the second 
month following the date on which the Parties notify each other that 
the procedures referred to in the first paragraph have been completed. 
Upon entry into force of this Agreement, Articles 2 and 3 paragraph 2, 
to 17 of the Agreement between the European Economic Community and the 
Republic of Poland on trade and economic and commercial cooperation 
signed in Brussels on 19th September 1989 and the corresponding 
provisions of the Protocol between the European Coal and Steel 
Community and the Republic of Poland signed in Brussels on 
16 October 1991 shall be suspended. 
Article 50 (EA 122) 
1. In the event that this Agreement enters into force after 1st 
January but before 30th June 1992 for the purposes of Titles I and II 
of this Agreement and Protocols N's 1, 2, 3, 4, 5, 6 and 7 hereto, the 
terms "date of entry into force of the Agreement" shall mean: 
the date of entry into force in relation to obligations taking 
effect on that date, and 
1st January 1992 in relation to obligations taking effect after 
the date of entry into force by reference to the date of entry 
into force. 
2. In the case of entry into force after 1st January, the provisions 
of Protocol N'7 shall apply. 
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-J8-
JOINT DECLARATIONS 
1. Article 1 paragraph 4 
The Community and Poland confirm that where a reduction of duties is 
effected by way of a suspension of duties made for a particular period 
of time, such reduced duties shall replace the basic duties only for 
the period of such suspension, and that whenever a partial suspension 
of duties is made, the preferential margin between the Parties will be 
preserved. 
2. Article 33 
1. The Joint Committee shall establish appropriate measures to 
ensure that all agreements covered by Article 33(i) of the Agreement 
and affecting trade between the Contracting Parties and which were 
concluded before the entry into force of the Agreement will be dealt 
with in a manner similar to what is provided in Article 7 of Council 
Regulation (EEC) no 17/62. 
2. The Parties shall not make improper use of provisions on 
professional secrecy to prevent the disclosure of information in the 
field of competition. 
3. Parties may request the Joint Committee at a later stage, and 
after the adoption of the implementing rules referred to in 
Article 33(3), to examine to what extent and under which conditions 
certain competition rules may be directly applicable, taking into 
account the progress made in the integration process between the 
Community and Poland. 
3. Article 33. paragraph 2 
When applying the criteria arising from the application of the rules of 
articles 85, 86 and 92 of the Treaty, the notion of affectation of 
trade between Member States defined in such articles shall be replaced 
by the notion of affectation of trade between the Community and Poland. 
4. Article 36 
The Parties agree that for the purpose of this Interim Agreement 
"intellectual, industrial and commercial property" is to be given a 
similar meaning as in Article 36 of the EEC Treaty and includes in 
particular protection of copyright and neighbouring rights, patents, 
industrial designs, trademarks and service marks, topographies of 
integrated circuits, software, geographical indications as well as 
protection against unfair competition and protection of undisclosed 
information on know-how. 
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a* 
Annexes VI Mb and Xc 
Surveillance mechanisms in the form of export certificates for fruit 
and vegetable products listed in Annexes VII lb and Xc of this Agreement 
shall be introduced by Poland for the purpose of monitoring exports of 
these products to the Community and avoiding undue distortion of the 
Community market. The surveillance mechanisms shall be introduced at 
the latest from 1 June 1992. 
The modalities for the monitoring of trade in these products, including 
the modalities for exchange of information, shall be established by 
Poland in cooperation with the competent services of the Community. 
6. Article 5 of Protocol N'6 to the Agreement 
The Contracting Parties stress that the reference which is made in 
Article 5 of Protoci N'6 to their own legislation may cover, where 
appropriate, an international commitment they could have contracted, 
such as the Convention on the service abroad of judicial and extra­
judicial documents in civil or commercial matters, concluded in The 
Hague on November 15, 1965. 
/Au4/rf/ACC0RDS/P.int.agr««2 
*• 
UNILATERAL DECLARATIONS 
Declarations by Poland 
1. Article 33 
Notwithstanding the provisions of Article 33 the rights of the Parties 
under the Agreement on Interpretation and Application of Articles VI, 
XVI and XXIII of the General Agreement on Tariffs and Trade are not 
impaired". 
2- Agricultural products 
Poland expresses its strong belief that the Community will take 
effective precautions to ensure that its agricultural export subsidies 
do not displace shipments from Poland to third countries. 
These precautions should be reviewed by the Joint Committee. 
3. Article 36 
By the end of the fifth year from the entry into force of the Agreement 
Poland shall apply to accede to the Munich Convention on the Grant of 
European Patents of 5 October 1973. Poland shall also accede to the 
following multilateral conventions: 
convention de Berne pour la protection des oeuvres littéraires et 
artistiques dans l'Acte de Paris du 24 juillet 1971; 
convention internationale sur la protection des artistes 
interprètes ou exécutants, des producteurs de phonogrammes et des -> 
organismes de radiodiffusion signée à Rome le 26 October 1961; 
traité de Budapest sur la reconnaissance internationale du dépôt 
des micro-organismes aux fins de la procédure en matière de 
brevets, signé à Budapest en 1977 et modifié en 1980. 
the Madrid Protocol concerning the international registration of 
Trade Marks (Madrid 1989). 
to which Member States are parties, or which are de facto applied by 
Member States. 
Poland declares that it also attaches importance to the following 
multilateral conventions: 
convention de Paris pour la protection de la propriété 
industrielle dans l'Acte de Stockholm de 1967 (Union de Paris); 
arrangement de Madrid concernant l'enregistrement international 
des marques dans l'Acte de Stockholm de 1967 (Union de Madrid); 
traité de coopération en matière de brevets signé à Washington en 
1970 (Union du PCT). 
Poland also declares that by the end of the fifth year from the entry 
into force of the Agreement, it shall comply in its internal 
legislation with the substantial provisions of the Nice Agreement 
concerning the international Classification of Goods and Services for 
the purposes of registration of marks (Geneva 1977, amended 1979). 
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# 
Declarations by the European Community 
1. Article 8. paragraph 4 of the protocol N#2 on ECSC products 
It is understood that the possibility of an exceptional extension of 
the five-years period is strictly limited to the particular case of 
Poland and does not impair the position of the Community in relation to 
other cases nor prejudge international commitments. The possible 
derogation foreseen in paragraph 4 takes into account the particular 
difficulties of Poland in restructuring the steel sector and the fact 
this process has been launched very recently. 
2- Protocol N'6 
Protocol N'6 is applicable to the extent that it covers Community 
competences. 
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to 
EC / HUNGARY 
13/12/91 
INTERIM AGREEMENT 
on trade and trade related matters 
between the EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, of the one part, and the Republic of Hungary, of the other 
part. 
THE EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, hereinafter referred to as "the Community", 
of the one part, 
and the REPUBLIC OF HUNGARY, hereinafter referred to as "Hungary" 
of the other part, 
WHEREAS the Europe Agreement establishing an association between the 
European Communities and their Member States and the Republic of 
Hungary was signed in on 1991; 
WHEREAS the aim of the Europe Agreement is to provide an appropriate 
framework for political dialogue; it is to establish a gradual free 
trade area between the Community and Hungary covering substantially all 
trade between them; it is to govern commercial and economic relations 
between the Parties and includes provisions relating to financial 
cooperation and assistance and the promotion of cooperation in cultural 
matters; 
WHEREAS the Europe Agreement is intended to strengthen and widen the 
relations established previously, notably by the Agreement on Trade and 
Commercial and Economic Cooperation between the European Economic 
Community and Hungary signed on 26th September 1988 and the Protocol on 
Trade and Commercial and Economic Cooperation between the European Coal 
and Steel Community and Hungary signed on 31st October 1991. 
WHEREAS it is necessary to ensure the development of trade relations 
between the implementation of the agreements on Trade and Commercial 
and Economic Cooperation and that of the Europe Agreement; 
WHEREAS to this end it is necessary to implement as speedily as 
possible, by means of an interim Agreement, provisions of the Europe 
Agreement on trade and trade related matters; 
WHEREAS it is necessary to ensure that pending the entry into force of 
the Europe Agreement and the establishment of the Association Council, 
the Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation can exercise the powers assigned by the Europe 
Agreement to the Association Council which are necessary in order to 
implement the Interim Agreement. 
/Au4/rf/ACCORDS/H.int.agree! 
HAVE DECIDED to conclude this Agreement and to this end have designated 
as their plenipotentiaries, 
THE EUROPEAN ECONOMIC COMMUNITY 
THE EUROPEAN COAL AND STEEL COMMUNITY 
THE REPUBLIC OF HUNGARY 
WHO, having exchanged their full powers, formed in good and due form, 
HAVE AGREED AS FOLLOWS: 
TITLE I: FREE MOVEMENT OF GOODS 
Article 1 (EA 7) 
1. The Community and Hungary shall gradually establish a free trade 
area in a transitional period lasting a maximum of ten years starting 
from the entry into force of this Agreement (hereinafter called "the 
Agreement") in accordance with the provisions of the present agreement 
and in conformity with those of the General Agreement on Tariffs and 
Trade. 
2. The Combined Nomenclature of goods shall be applied to the 
classification of goods for imports into the Community. The Hungarian 
customs tariffs shall be applied to the classification of goods for 
imports into Hungary. 
3. Subject to specific provisions in Chapters II and III, for each 
product the basic duty to which the successive reductions set out in 
this Agreement are to be applied shall be that actually applied erga 
omnes on the day preceding the date of entry into force of the 
Agreement. 
4. If, after the entry into force of the Agreement, any tariff 
reduction is applied on an erga omnes basis, in particular reductions 
resulting from the tariff agreement concluded as a result of the GATT 
Uruguay Round, such reduced duties shall replace the basic duties 
referred to in paragraph 3 as from that date when such reductions are 
applled. 
5. The Community and Hungary shall communicate to each other their 
respective basic duties. 
/Au4/rf/ACC0RDS/H.int.agree 
y* 
Chapter I: Industrial products 
Article 2 (EA 8) 
1. The provisions of this Chapter, shall apply to products 
originating in the Community and in Hungary listed in chapters 25 to 97 
of the Combined Nomenclature and of the Hungarian Customs Tariffs with 
the exception of products listed in Annex I. 
2. The provisions of Articles 3 to 7 included do not apply to 
products mentioned in Articles 9 and 10. 
Article 3 (EA 9) 
1. Customs duties on imports applicable in the Community to products 
originating in Hungary other than those listed in Annexes lia, Mb 
and Ml shall be abolished on the entry into force of the Agreement. 
2. Customs duties on imports applicable in the Community to products 
originating in Hungary which are listed in Annex Ma shall be 
progressively abolished in accordance with the following timetable: 
on the date of entry into force of this Agreement each duty shall 
be reduced to 50% of the basic duty. 
one year after the date of entry into force of this Agreement 
the remaining duties shall be eliminated. 
Customs duties on imports applicable in the Community to products 
originating in Hungary listed in Annex lib shall be progressively 
reduced, from the date of entry into force of this Agreement, by annual 
reductions of 20% of the basic duty, so as to arrive at a total 
abolition by the end of the fourth year after the date of entry into 
force of the Agreement. 
3. The products of Hungarian origin listed in Annex ill shall 
benefit from a suspension of customs duties on imports within the 
limits of annual Community tariff quotas or ceilings increasing 
progressively in accordance with the conditions defined in the Annex. 
At the same time, customs duties on imports applicable to import 
quantities in excess of the quotas or ceilings provided for above shall 
be progressively reduced in accordance with the conditions set out in 
Annex III so as to arrive at a complete abolition of customs duties on 
imports of the products concerned at the end of the fifth year at the 
latest. 
4. Quantitative restrictions on imports to the Community and 
measures having a equivalent effect shall be abolished on the date of 
entry into force of the Agreement with regard to the products 
originating in Hungary. 
/Au4/rf/ACC0RDS/H.Int.agree 
Article 4 (EA 10) 
1. Customs duties on imports applicable in Hungary to products 
originating in the Community which are listed in Annex IV shall be 
reduced progressively: 
Upon entry into force of the Agreement - to two-thirds of the basic 
duty, 
On January 1, 1993 - to one-third of the basic 
duty, 
On January 1, 1994 - to zero. 
2. Customs duties on imports applicable in Hungary to products 
originating in the Community not listed in Annexes IV and V shall be 
reduced progressively: 
on January 1, 1995 - to two-thirds of the basic duty, 
on January 1, 1996 - to one-third of the basic duty, 
on January 1, 1997 - to zero. 
3. Customs duties on imports applicable in Hungary to products 
originating in the Community which are listed in Annex V shall be 
reduced progressively: 
on January 1, 1995 - to 90% of the basic duty, 
on January 1, 1996 - to 75% of the basic duty, 
on January 1, 1997 - to 60% of the basic duty, 
on January 1, 1998 - to 45% of the basic duty, 
on January 1, 1999 - to 30% of the basic duty, 
on January 1, 2000 - to 15% of the basic duty, 
on January 1, 2001 - to 0% of the basic duty. 
4. Quantitative restrictions on imports into Hungary and measures 
having an equivalent effect thereto of products originating in the 
Community as listed in Annex Via shall be progressively abolished 
between January 1, 1995 and December 31, 2000 according to the 
timetable provided in that Annex. All other quantitative restrictions 
and measures having an equivalent effect thereto shall be abolished 
upon entry into force of the Agreement. 
The Joint Committee referred to in Article 36 (hereinafter referred to 
as "the Joint Committee") shall periodically review the progress 
achieved in dismantling quantitative restrictions. 
From the date of entry into force of the Agreement Hungary shall open 
import ceilings for products originating In the Community listed in 
Annex VIb and on the conditions contained therein. 
Article 5 (EA 11) 
The provisions concerning the abolition of customs duties on imports 
shall also apply to customs duties of a fiscal nature. 
Article 6 (EA 12) 
The Community shall abolish in its imports from Hungary charges having 
an effect equivalent to customs duties on imports upon the entry into 
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force of the Agreement. 
Hungary shall abolish on its imports from the Community charges having 
an effect equivalent to customs duties on imports in accordance with 
the following timetable: 
January 1 1995 January 1 1996 January 1 1997 
the 1% licensing fee 1% 
the 2% customs clearance - 1% 1% 
fee 
the 3% statistical fee 1% 1% 1% 
Article 7 (EA 13) 
1. The Community and Hungary shall progressively abolish between 
them at the latest by the end of the fifth year after entry into force 
of the Agreement any customs duties on exports and charges having 
equivalent effect as well as quantitative restrictions on exports and 
any measures having equivalent effect except those that might be 
required for the administration of international obligations. 
Article 8 (EA 14) 
Each party declares its readiness to reduce its customs duties in trade 
with the other party more rapidly than is provided for in Articles 3 
and 4 if its general economic situation and the situation of the 
economic sector concerned so permit. 
The Joint Committee referred may make recommendations to this effect. 
Article 9 (EA 15) 
Protocol No 1 lays down the arrangements applicable to the textile 
products referred to therein. 
Article 10 (EA 16) 
Protocol No 2 lays down the arrangements applicable to products covered 
by the Treaty establishing the European Coal and Steel Community. 
Article 11 (EA 17) 
1. The provisions of the present Chapter do not preclude the 
retention by the Community of an agricultural component in the duties 
applicable to products listed in Annex VII in respect of products 
originating in Hungary. 
2. The provisions of the present Chapter do not preclude the 
introduction of an agricultural component by Hungary in the duties 
applicable to the products listed in Annex VII in respect of products 
originating in the Community. 
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tt 
Chapter II -Agriculture 
Article 12 (EA 18) 
1. The provisions of this Chapter shall apply to agricultural 
products originating in the Community and in Hungary. 
2. The term "agricultural products" means the products listed in 
Chapters 1 to 24 of the Combined Nomenclature and of the Hungarian 
Customs Tariffs and the products listed in Annex I, but excluding 
fishery products as defined by Regulation (EEC) N'3796/81. 
Article 13 (EA 19) 
Protocol N" 3 lays down the trade arrangements for processed 
agricultural products which are listed in such protocol. 
Article 14 (EA 20) 
1. The Community shall abolish at the date of entry into force of 
the Agreement the quantitative restrictions on imports of agricultural 
products originating in Hungary maintained by virtue of Council 
Regulation no 3420/83 in the form existing on the date of signature 
hereof. 
2. The agricultural products originating in Hungary listed in 
Annex VII I shall benefit, upon the date of entry into force of this 
Agreement, from the reduction of customs duties and levies within the 
limits of Community quotas and upon the conditions provided in the same 
Annex. 
3. Agricultural products listed in Annex IXa originating in the 
Community shall be imported into Hungary free of quantitative 
restrictions. Agricultural products originating in the Community 
listed in Annex IXb shall be free from quantitative restrictions up to 
the quantities set out in that Annex. 
4. The Community and Hungary shall grant each other the concessions 
referred to in Annexes Xa, Xb and Xc and XI, on a harmonious and 
reciprocal basis, in accordance with the conditions laid down therein. 
5. Taking account of the volume of trade in agricultural products 
between them, of their particular sensitivity, of the rules of the 
Common Agricultural Policy of the Community and of the rules of 
agricultural policy of Hungary and of the consequences of the 
multilateral trade negotiations under the General Agreement on Tariffs 
and Trade, the Community and Hungary shall examine in the Joint 
Committee, product by product and on an orderly and reciprocal basis, 
the possibilities of granting each other further concessions. 
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3* 
Article 15 (EA 21) 
Notwithstanding other provisions of this Agreement and in particular 
Article 24, if, given the particular sensitivity of the agricultural 
markets, imports of products originating in one Party, which are the 
subject of concessions granted in Article 14, cause serious disturbance 
to the markets in the other Party, both Parties shall enter into 
consultations immediately to find an appropriate solution. Pending 
such solution, the Party concerned may take the measures it deems 
necessary. 
Chapter III - Fisheries 
Article 16 (EA 22) 
The provisions of this chapter shall apply to fishery products 
originating in the Community and in Hungary, which are covered by 
Regulation (EEC) No 3796/81 on the common organization of the market in 
the sector of fishery products. 
Article 17 (EA 23) 
The provisions of Article 14, paragraph 5 shall apply mutatis mutandis 
to fishery products. 
Chapter IV - Common provisions 
Article 18 (EA 24) 
The provisions of this Chapter shall apply to trade in all products 
except where otherwise provided herein or in Protocols N*1, 2, or 3. 
Article 19 (EA 25) 
1. No new customs duties on imports or exports or charges having 
equivalent effect shall be introduced, nor shall those already applied 
be increased, in the trade between the Community and Hungary from the 
date of entry into force of the Agreement. 
2. No new quantitative restriction on imports or exports or measure 
having equivalent effect shall be introduced nor shall those existing 
be made more restrictive in the trade between the Community and Hungary 
from the date of entry into force of the Agreement. 
3. Without prejudice to the concessions granted under Article 14 the 
provisions of paragraphs 1 and 2 of this Article shall not restrict in 
any way the pursuance of the respective agricultural policies of 
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*-
Hungary and the Community or the taking of any measures under such 
policies. 
Article 20 (EA 26) 
1. The two parties shall refrain from any measure or practice of an 
internal fiscal nature establishing, whether directly or indirectly, 
discrimination between the products of one party and like products 
originating in the territory of the other party. 
2. Products exported to the territory of one of the two parties may 
not benefit from repayment of internal taxation in excess of the amount 
of direct or indirect taxation imposed on them. 
Article 21 (EA 27) 
1. This Agreement shall not preclude the maintenance or 
establishment of customs unions, free trade areas or arrangements for 
frontier trade except insofar as they alter the trade arrangements 
provided for in this Agreement. 
2. Consultations between the Parties shall take place within the 
Joint Committee concerning agreements establishing such customs unions 
or free trade areas and, where requested, on other major issues related 
to their respective trade policy with third countries, in particular in 
the event of a third country acceding to the Community, such 
consultations shall take place so as to ensure that account can be 
taken of the mutual interests of the Community and Hungary stated in 
this Agreement. 
Article 22 (EA 28) 
Exceptional measures of limited duration which derogate from the 
provisions of Articles 4 and 19, paragraph 1 may be taken by Hungary 
in the form of increased customs duties. 
These measures may only concern infant industries, or certain sectors 
undergoing restructuring or facing serious difficulties, particularly 
where these difficulties produce important social problems. 
Customs duties on imports appIicable in Hungary to products originating 
in the Community introduced by these measures may not exceed 25% 
ad valorem and shall maintain an element of preference for products 
originating in the Community. The total value of imports of the 
products which are subject to these measures may not exceed 15% of 
total imports from the Community of industrial products, as defined in 
Chapter I during the last year for which statistics are available. 
These measures shall be applied for a period not exceeding five years 
unless a longer duration is authorized by the Joint Committee. They 
shall cease to apply at the latest at the expiration of the 
transitional period. 
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No such measures can be introduced in respect of a product if more than 
3 years have elapsed since the elimination of all duties and 
quantitative restrictions or charges or measures having an equivalent 
effect concerning that product. 
Hungary shall inform the Joint Committee of any exceptional measures it 
intends to take and, at the request of the Community, consultations 
shall be held in the Joint Committee on such measures and the sectors 
to which they apply before they are applied. When taking such measures 
Hungary shall provide the Joint Committee with a schedule for the 
elimination of the customs duties introduced under this Article. This 
schedule shall provide for a phasing out of these duties starting at 
the latest two years after their introduction, at equal annual rates. 
The Joint Committee may decide on a different schedule. 
Article 23 (EA 29) 
If one of the Parties finds that dumping is taking place in trade with 
the other Party within the meaning of Article VI of the General 
Agreement on Tariffs and Trade, it may take appropriate measures 
against this practice in accordance with the Agreement relating to the 
application of Article VI of the General Agreement on Tariffs and 
Trade, with related internal legislation, and with the conditions and 
procedures laid down in Article 27. 
Article 24 (EA 30) 
Where any product is being imported in such increased quantities and 
under such conditions as to cause or threaten to cause: 
serious injury to domestic producers of like or directly 
competitive products in the territory of one of the Parties, or ' 
serious disturbances in any sector of the economy or difficulties 
which could bring about serious deterioration in the economic 
situation of a region, 
the Community or Hungary, whichever is concerned may take appropriate 
measures under the conditions and in accordance with the procedures 
laid down in Art icIe 27. 
Article 25 (EA 31) 
Where compliance with the provisions of Articles 7 and 19 leads to 
(i) re-export towards a third country against which the exporting 
party maintains, for the product concerned, quantitative export 
restrictions, export duties or measures having equivalent effect; 
or 
(ii) a serious shortage, or threat thereof, of a product essential to 
the exporting party, 
and where the situations above referred to give rise, or are likely to 
give rise to major difficulties for the exporting party, that Party may 
take appropriate measures under the conditions and in accordance with 
the procedures laid down in Article 27. The measures shall be non-
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* 
discriminatory and be eliminated when conditions no longer Justify 
their maintenance. 
Article 26 (EA 32) 
The Member States and Hungary shall progressively adjust any State 
monopolies of a commercial character so as to ensure that, by the end 
of the fifth year following the entry into force of this Agreement, no 
discrimination regarding the conditions under which goods are procured' 
and marketed exists between nationals of the Member States and of 
Hungary. The Joint Committee will be informed about the measures 
adopted to implement this objective. 
Article 27 (EA 33) 
1. In the event of the Community or Hungary subjecting imports of 
products liable to give rise to the difficulties referred to in 
Article 24 to an administrative procedure having as its purpose the 
rapid provision of information on the trend of trade flows, it shall 
inform the other party. 
2. In the cases specified in Articles 23, 24 and 25, before taking 
the measures provided for therein or, in cases to which paragraph 3(d) 
applies, as soon as possible, the Community or Hungary, as the case may 
be, shall supply the Joint Committee with all relevant information 
with a view to seeking a solution acceptable to the two parties. 
In the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. 
The safeguard measures shall be notified immediately to the Joint 
Committee and shall be the subject of periodic consultations within 
that body, particularly with a view to establishing a timetable for 
their abolition as soon as circumstances permit. 
3. For the implementation of paragraph 2, the following provisions 
shalI apply: 
(a) As regards Article 24, the difficulties arising from the 
situation referred to in that Article shall be referred for 
examination to the Joint Committee, which may take any decision 
needed to put an end to such difficulties. 
If the Joint Committee or the exporting party has not taken a 
decision putting an end to the difficulties or no other 
satisfactory solution has been reached within thirty days of the 
matter being referred, the importing party may adopt the 
appropriate measures to remedy the problem. These measures must 
not exceed the scope of what is necessary to remedy the 
difficulties which have arisen. 
(b) As regards Article 23, the Joint Committee shall be informed of 
the dumping case as soon as the authorities of the importing 
party have initiated an investigation. When no end has been put 
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^ 
to the dumping or no other satisfactory solution has been reached 
within thirty days of the matter being referred to the Joint f 
Committee, the importing party may adopt the appropriate 
measures. ' 
c) As regards Article 25, the difficulties arising from the 
situations referred to in that Article shall be referred for 
examination to the Joint Committee. 
The Joint Committee may take any decision needed to put an end to 
the difficulties. If it has not taken such a decision within 
thirty days of the matter being referred to it, the exporting 
party may apply appropriate measures on the exportation of the 
product concerned. 
d) Where exceptional circumstances requiring immediate action make 
prior information or examination, as the case may be, 
impossible, the Community or Hungary whichever is concerned may, 
in the situations specified in Articles 23, 24 and 25, apply 
forthwith the precautionary measures strictly necessary to deal 
with the situât ion. 
Article 28 (EA 34) 
Protocol No 4 lays down rules of origin, for the application of tariff 
preferences foreseen in this Agreement. 
Article 29 (EA 35) 
The Agreement shall not preclude prohibitions or restrictions on 
imports, exports or goods in transit Justified on grounds of public 
morality, public policy or public security; the protection of health 
and life of humans, animals or plants; the protection of national 
treasures of artistic, historic or archaeological value or the 
protection of intellectual, industrial and commercial property or rules 
relating to gold and silver. Such prohibitions or restrictions shall 
not, however, constitute a means of arbitrary discrimination or a 
disguised restriction on trade between the Parties. 
Article 30 (EA 36) 
Protocol No 5 lays down the specific provisions to apply to trade 
between Hungary of the one part and Spain and Portugal of the other 
part. 
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TITLE II: PAYMENTS. COMPETITION AND OTHER 
ECONOMIC PROVISIONS 
Article 31 (EA 59) 
The Parties undertake to authorize, in freely convertible currency, 
any payments on the current account of balance of payments to the 
extent that the transactions underlying the payments concern movement 
of goods between the Parties which have been liberalized pursuant to 
the present Agreement. 
Article 32 (EA 62) 
1. The following are incompatible with the proper functioning of the 
Agreement, in so far as they may affect trade between the Community and 
Hungary: 
(i) all agreements between undertakings, decisions by associations of 
undertakings and concerted practices between undertakings which 
have as their object or effect the prevention, restriction or 
distortion of competition; 
(ii) abuse by one or more undertakings of a dominant position in the 
territories of the Community or of Hungary as a whole or in a 
substantial part thereof; 
(iii) any public aid which distorts or threatens to distort competition 
by favouring certain undertakings or the production of certain 
goods. 
2. Any practices contrary to this Article shall be assessed on the 
basis of criteria arising from the appIicat ion of the rules of Articles 
85, 86, and 92 of the Treaty establishing the European Economic 
Community. 
» 
3. The Joint Committee shall, within three years of the entry into 
force of the Agreement, adopt by decision the necessary rules for the 
implementation of paragraphs 1 and 2. 
4.a For the purposes of applying the provisions of paragraph 1, point 
(Mi), the Parties recognize that during the first five years after the 
entry into force of the Agreement, any public aid granted by Hungary 
shall be assessed taking into account the fact that Hungary shall be 
regarded as an area identical to those areas of the Community described 
in Article 92.3(a), of the Treaty establishing the European Economic 
Community. The Joint Committee shall, taking into account the economic 
situation of Hungary, decide whether that period should be extended by 
further periods of five years. 
4.b Each party shall ensure transparency in the area of public aid, 
inter alia by reporting annually to the other party on the total amount 
and the distribution of the aid given and by providing, upon request, 
information on aid schemes. Upon request by one party, the other party 
shall provide information on particular individual cases of public aid. 
5. With regard to products referred to in Chapters II and III of 
Title I : 
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¥»• 
the provision of paragraph 1 (iii) does not apply, 
any practices contrary to paragraph 1 (i) should be assessed 
according to the criteria established by the Community on the 
basis of Articles 42 and 43 of the Treaty establishing the 
European Economic Community and in particular of those 
established in Council Regulation n* 26/1962. 
6. If the Community or Hungary considers that a particular practice 
is incompatible with the terms of the first paragraph of this Article, 
and: 
is not adequately dealt with under the implementing rules 
referred to in paragraph 3, or 
in the absence of such rules, and if such practice causes or 
threatens to cause serious prejudice to the interest of the other 
Party or material Injury to its domestic industry, including its 
services industry, 
it may take appropriate measures after consultation within the Joint 
Committee or after 30 working days following referral for such 
consultât ion. 
In the case of practices incompatible with paragraph 1 (iii) of this 
Article, such appropriate measures may, where the General Agreement on 
Tariffs and Trade applies thereto, only be adopted In conformity with 
the procedures and under the conditions laid down by the General 
Agreement on Tariffs and Trade and any other relevant instrument 
negotiated under its auspices which are applicable between the Parties. 
7. Notwithstanding any provisions to the contrary adopted in 
conformity with paragraph 3, the parties shall exchange information 
taking into account the limitations imposed by the requirements of 
professional and business secrecy. 
8. This Article shall not apply to the products covered by the 
Treaty establishing the European Coal and Steel Treaty which are the 
subject of Protocol N*2. 
Article 33 (EA 63) 
1. The Parties shall endeavour to avoid the imposition of 
restrictive measures including measures relating to imports for 
balance of payments purposes. In the event of their introduction, the 
Party having introduced the same shall present to the other party as 
soon as possible, a time schedule for their removal. 
2. Where one or more Member States of the Community or Hungary is in 
serious balance of payments difficulties, or under imminent threat 
thereof, the Community or Hungary, as the case may be, may, in 
accordance with the conditions established under the General Agreement 
on Tariffs and Trade, adopt restrictive measures, including measures 
relating to imports, which shall be of limited duration and may not go 
beyond what is necessary to remedy the balance of payments situation. 
The Community or Hungary, as the case may be, shall inform the other 
Party forthwith. 
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Hi 
Article 34 (EA 64) 
With regard to public undertakings, and undertakings to which special 
or exclusive rights have been granted, the Joint Committee shall ensure 
that, as from the third year from the date of entry into force of the 
Agreement, the principles of the Treaty establishing the European 
Economic Community, notably Article 90, and the principles of the 
concluding document of the April 1990 Bonn meeting of the Conference on 
Security and Cooperation in Europe (notably entrepreneurs* freedom of 
decision) are upheld. 
Article 35 
1. Hungary shall continue to improve the protection of intellectual, 
industrial and commercial property rights in order to provide, by the 
end of the fifth year from the entry into force of the Agreement, a 
level of protection similar to that provided in the Community by 
Community Acts, in particular the ones referred to in Annex XIII, 
including comparable means of enforcing such rights. 
2. Mutual assistance between administrative authorities in customs 
matters of the Parties shall take place in accordance with the 
provisions of Protocol N'6. 
TITLE Ml : INSTITUTIONAL. GENERAL AND FINAL PROVISIONS 
Article 36 (EA 104) 
The Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation signed between the European Economic Community and 
the Republic of Hungary on 26th September 1988 shall perform the duties 
assigned to it by this Agreement until the Association Council provided 
for in Article 104 of the Europe Agreement is established. 
Article 37 (EA 106) 
The Joint Committee shall, for the purposes of attaining the objectives 
of the Agreement, have the power to take decisions in the cases 
provided for therein. The decisions taken shall be binding on the 
Parties which shall take the measures necessary to implement the 
decisions taken. The Joint Committee may also make appropriate 
recommendat ions. 
It shall draw up its decisions and recommendations by agreement between 
the two Part ies. 
Article 38 (EA 107) 
1. Each of the two parties may refer to the Joint Committee any 
dispute relating to the application or interpretation of this 
Agreement. 
tf 
2. The Joint Committee may settle the dispute by means of a 
decision. 
3. Each party shall be bound to take the measures involved in 
carrying out the decision referred to in paragraph 2. 
4. In the event of it not being possible to settle the dispute in 
accordance with paragraph 2 of this Article, either party may notify 
the other of the appointment of an arbitrator; the other party must 
then appoint a second arbitrator within two months. 
The Joint Committee shall appoint a third arbitrator. 
The arbitrators' decisions shall be taken by majority vote. 
Each party to the dispute must take the steps required to implement the 
decision of the arbitrators. 
Article 39 (EA 113) 
Within the scope of this Agreement, each party undertakes to ensure 
that natural and legal persons of the other party have access free of 
discrimination in relation to its own nationals to the competent courts 
and administrative organs of the Community and Hungary to defend their 
individual rights and their property rights, including those concerning 
intellectual, industrial and commercial property. 
Article 40 (EA 114) 
Nothing in the Agreement shall prevent a Party from taking any 
measures: 
(a) which it considers necessary to prevent the disclosure of 
information contrary to its essential security interests; 
(b) which relate to the production of, or trade in arms, munitions or 
war materials or to research, development or production 
indispensable for defence purposes, provided that such measures 
do not impair the conditions of competition in respect of 
products not intended for specifically military purposes; 
(c) which it considers essential to its own security in the event of 
serious internal disturbances affecting the maintenance of law 
and order, in time of war or serious international tension 
constituting threat of war, or in order to carry out obligations 
it has accepted for the purpose of maintaining peace and 
international security. 
Article 41 (EA115) 
1. In the fields covered by this Agreement and without prejudice to 
any special provisions contained therein: 
the arrangements applied by Hungary in respect of the Community 
shall not give rise to any discrimination between the Member 
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Hh 
States, their nationals, or their companies or firms. 
the arrangements applied by the Community in respect of Hungary 
shall not give rise to any discrimination between Hungarian 
nationals or its companies or firms. 
2. The provisions of paragraph 1 shall not prevent the Parties from 
applying foreign exchange laws and regulations that provide different 
treatment for residents and non-residents within the meaning of these 
laws and regulations. 
Article 42 (EA 116) 
The products originating in Hungary shall not enjoy more favourable 
treatment when imported into the Community than that applied by Member 
States among themselves. 
Article 43 (EA 117) 
1. The Parties shall take any general or specific measures required 
to fulfil their obligations under the Agreement. They shall see to it 
that the objectives set out in the Agreement are attained. 
2. If either Party considers that the other Party has failed to 
fulfil an obligation under the Agreement, it may take appropriate 
measures. Before so doing, it shall supply the Joint Committee with 
all relevant information required for a thorough examination of the 
situation with a view to seeking a solution acceptable to the Parties. 
In the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. These measures shall 
be notified immediately to the Joint Committee and shall be the subject 
of consultations within the Joint Committee if the other Party so 
requests. 
Article 44 (EA 119) 
Protocols 1, 2, 3, 4, 5, 6 and 7, and Annexes I to XI and XIII shall 
form an integral part of this Agreement. 
Article 45 
1, This agreement shall be applicable until the entry into force of 
the Europe Agreement signed on 16th December 1991 and at the latest 
until 31st December 1992. 
2. Either party may denounce this Agreement by notifying the other 
party. This Agreement shall cease to apply six months after the date 
of such notification. 
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Article 46 (EA 121) 
This Agreement shall apply, on the one hand, to the territories in 
which the Treaties establishing the European Economic Community and 
the European Coal and Steel Community are applied and under the 
conditions laid down in those Treaties and, on the other hand, to the 
territory of the Republic of Hungary. 
Article 47 (EA 122) 
This Agreement is drawn up in duplicate in the Danish, Dutch, English, 
French, German, Italian, Spanish, Greek, Portuguese and Hungarian 
languages, each of these texts being equally authentic. 
Art icle 48 
This Agreement will be approved by the Parties in accordance with their 
own procedures. 
This Agreement shall enter into force on the first day of the second 
month following the date on which the Parties notify each other that 
the procedures referred to in the first paragraph have been completed. 
Upon entry into force of this Agreement, Articles 1 and 2 paragraph 2, 
to Article 10 of the Agreement between the European Economic Community 
and the Republic of Hungary on trade and economic and commercial 
cooperation signed in Brussels on 26th September 1988, and the 
corresponding provisions of the Protocol between the European Coal and 
Steel Community and the Republic of Hungary signed in Brussels on 31st 
October 1991 shall be suspended. 
Article 49 (EA 124) 
1. In the event that this Agreement enters into force after 1st 
January but before 30th June 1992 for the purposes of Titles I and II 
of this Agreement and Protocols N's 1, 2, 3, 4, 5, 6 and 7 hereto, the 
terms "date of entry into force of the Agreement" shall mean: 
the date of entry Into force in relation to obligations taking 
effect on that date, and 
1st January 1992 in relation to obligations taking effect after 
the date of entry into force by reference to the date of entry 
into force. 
2. In the case of entry into force after 1st January, the provisions 
of Protocol N'7 shall apply. 
fc-
JOINT DECLARATIONS 
1• Article 1. paragraph 4 
The Community and Hungary confirm that where a reduction of duties is 
effected by way of a suspension of duties made for a particular period 
of time, such reduced duties shall replace the basic duties only for 
the period of such suspension, and that whenever a partial suspension 
of duties is made, the preferential margin between the Parties will be 
preserved. 
2. Article 32 
The Parties shall not make improper use of provisions on professional 
secrecy to prevent the disclosure of information in the field of 
compet it ion. 
3- Article 35 
The Parties agree that for the purpose of this Interim Agreement 
"inteïiectual, industrial and commercial property" is to be given a 
similar meaning as in Article 36 of the EEC Treaty and includes in 
particular protection of copyright and neighbouring rights, patents, 
industrial designs, trademarks and service marks, software, 
topographies of integrated circuits, geographical indications, as well 
as protection against unfair competition and protection of undisclosed 
information on know-how. 
4. Article 5 of Protocol N'6 
The Contracting Parties stress that the reference which is made in this 
Article to their own legislation may cover, where appropriate, any 
international commitment they could have contracted, such as the 
Convention on the service abroad of Judicial and extra-judicial 
documents in civil or commercial matters, concluded in The Hague on 
November 15, 1965. 
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5* 
UNILATERAL DECLARATIONS 
Declarations by Hungary 
1. Article 1 
Hungary will make every effort to adopt the Combined Nomenclature as 
soon as possible. 
2. Article 4 
Hungary will reduce customs duties on imports applicable in Hungary to 
products originating in the Community in such a way as to assure that 
the value of customs duty free trade from 1st January 1994 will amount 
to at least 25% of total industrial imports from the Community on the 
basis of last year for which statistics will be then available. 
3. Article 35 
By the end of the fifth year from the entry into force of the 
Agreement, Hungary shall apply to accede to the Munich Convention on 
the Grant of European Patents of 5 October 1973. Hungary shall also 
accede to the following multilateral conventions: 
Protocol relating to the Madrid Agreement concerning the 
International Registration of Marks (Madrid 1989); 
International Convention for the Protection of Performers, 
Producers of Phonograms and Broadcasting Organizations (Rome, 
1961); 
to which Member States are parties, or which are de facto applied by 
Member States. 
Hungary declares that it also attaches importance to the following 
multilateral conventions: 
Berne Convention for the Protection of Literary and Artistic 
Works (Paris Act, 1971); 
Paris Convention for the Protection of Industrial Property 
(Stockholm Act, 1967 and amended in 1979); 
Madrid Agreement concerning the International Registration of 
Marks (Stockholm Act, 1967 and amended in 1979); 
Nice Agreement concerning the International Classification of 
Goods and Services for the purposes of the Registration of Marks 
(Geneva 1977, amended 1979); 
Budapest Treaty on the International Recognition of the Deposit 
of Micro-organisms for the purposes of Patent Procedures 
(1977, modified in 1980); 
Patent Cooperation Treaty (Washington 1970, amended 1979 and 
modified in 1984). 
Declarations by the European Community 
1• Article 8. paragraph 4 of Protocol N'2 on ECSC Products 
It is understood that the possibility of an exceptional extension of 
the five-year period is strictly limited to the particular case of 
Hungary and does not impair the position of the Community in relation 
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& 
to other cases nor prejudge international commitments. The possible 
derogation foreseen in paragraph 4 takes into account the particular 
difficulties of Hungary in restructuring the steel sector and the fact 
that this process has been launched very recently. 
2. Protocol N'6 
Protocol N'6 is applicable to the extent that it covers Community 
competences. 
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5X 
EC / CSFR 
13/12/91 
INTERIM AGREEMENT 
on trade and trade related matters 
between the EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, of the one part, and the Czech and Slovak Federal Republic, 
of the other part. 
THE EUROPEAN ECONOMIC COMMUNITY and the EUROPEAN COAL AND STEEL 
COMMUNITY, hereinafter referred to as "the Community", 
of the one part, 
and the CZECH AND SLOVAK FEDERAL REPUBLIC, hereinafter referred to as 
"the CSFR" 
of the other part, 
WHEREAS the Europe Agreement establishing an association between the 
European Communities and their Member States and the CSFR was signed in 
on 1991 ; 
WHEREAS the aim of the Europe Agreement is to provide an appropriate 
framework for political dialogue; it is to govern commercial and 
economic relations between the Parties and includes provisions relating 
to financial cooperation and assistance and the promotion of 
cooperation in cultural matters; 
WHEREAS the Europe Agreement is intended to strengthen and widen the 
relations established previously, notably by the Agreement on Trade and 
Commercial and Economic Cooperation between the European Economic 
Community and the CSFR signed on 7th May 1990 and the Protocol on Trade 
and Commercial and Economic Cooperation between the European Coal and 
Steel Community and the CSFR initialled on 28th June 1991. 
WHEREAS it is necessary to ensure the development of trade relations 
between the implementation of the agreements on Trade and Commercial 
and Economic Cooperation and that of the Europe Agreement; 
WHEREAS to this end it is necessary to implement as speedily as 
possible, by means of an interim Agreement, provisions of the Europe 
Agreement on trade and trade related matters. 
WHEREAS it is necessary to ensure that pending the entry into force of 
the Europe Agreement and the establishment of the Association Council, 
the Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation can exercise the powers assigned by the Europe 
Agreement to the Association Council which are necessary in order to 
implement the Interim Agreement. 
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fir 
HAVE DECIDED to conclude this Agreement and to this end have designated 
as their plenipotentiaries, 
THE EUROPEAN ECONOMIC COMMUNITY 
THE EUROPEAN COAL AND STEEL COMMUNITY 
THE CZECH AND SLOVAK FEDERAL REPUBLIC 
WHO, having exchanged their full powers, formed in good and due form, 
HAVE AGREED AS FOLLOWS: 
TITLE I: FREE MOVEMENT OF GOODS 
Article 1 (EA 7) 
1. The Community and the CSFR shall gradually establish a free 
trade area in a transitional period lasting a maximum of ten years 
starting from the entry into force of this Agreement (hereinafter 
referred to as "the Agreement") in accordance with the provisions of 
the present agreement and in conformity with those of the General 
Agreement on Tariffs and Trade. 
2. The Combined Nomenclature of goods shall be applied to the 
classification of goods in trade between the two parties. 
3. For each product the basic duty to which the successive 
reductions set out in this Agreement are to be applied shall be that 
actually applied erga omnes on the day preceding the date of entry into 
force of the Agreement. 
4. If, after the entry into force of the Agreement, any tariff 
reduction is applied on an erga omnes basis, in particular reductions 
resulting from the tariff agreement concluded as a result of the GATT 
Uruguay Round, such reduced duties shall replace the basic duties 
referred to in paragraph 3 as from that date when such reductions are 
appI led. 
5. The Community and the CSFR shall communicate to each other their 
respective basic duties. 
Chapter i: Industrial products 
Article 2 (EA 8) 
1. The provisions of this Chapter shall apply to products 
originating in the Community and in the CSFR listed in Chapters 25 
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to 97 of the Combined Nomenclature with the exception of the products 
Iisted in Annex I. 
2. The provisions of Articles 3 to 7 included do not apply to 
products mentioned in Articles 9 and 10. 
Article 3 (EA 9) 
1. Customs duties on imports applicable in the Community to products 
originating in the CSFR other than those listed in Annexes Ma, 
Mb and III shall be abolished on the entry into force of the 
Agreement. 
2. Customs duties on imports applicable in the Community to products 
originating in the CSFR which are listed in Annex ila shall be 
progressively abolished in accordance with the following timetable: 
on the date of entry into force of this Agreement each duty shall 
be reduced to 50% of the basic duty. 
one year after the date of entry into force of this Agreement 
the remaining duties shall be eliminated. 
Customs duties on imports applicable in the Community to products 
originating in the CSFR listed in Annex Mb shall be progressively 
reduced, from the date of entry into force of this Agreement, by annual 
reductions of 20% of the basic duty so as to arrive at total abolition 
by the end of the fourth year after the date of entry into force of the 
agreement. 
3. The products of CSFR origin listed in Annex III shall benefit 
from a suspension of customs duties on imports within the limits of 
annual Community tariff quotas or ceilings Increasing progressively in 
accordance with the conditions defined in that Annex so as to arrive at 
a complete abolition of customs duties on imports of the products 
concerned at the end of the fifth year at the latest. 
At the same time, customs duties on imports applicable to import 
quantities in excess of the quotas or ceilings provided for above shall 
be progressively dismantled from the entry into force of the Agreement 
by annual reductions of 15%. By the end of the fifth year, remaining 
duties shall be abolished. 
4. Quantitative restrictions and measures having an effect 
equivalent to quantitative restrictions on imports to the Community 
shall be abolished on the date of entry into force of the Agreement 
with regard to the products originating in the CSFR. 
Article 4 (EA 10) 
1. Customs duties on imports applicable in the CSFR to products 
originating in the Community which are listed in Annex IV shall be 
abolished on the date of entry into force of the Agreement. 
2. Customs duties on imports applicable in the CSFR to products 
originating in the Community which are listed in Annex V shall be 
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« 
progressively reduced in accordance with the following timetable: 
on the date of entry into force of the Agreement each duty shall 
be reduced to 80% of the basic duty-, 
three years after the date of entry into force of the Agreement 
each duty shall be reduced to 40% of the basic duty; 
five years after the date of entry into force of the Agreement 
the remaining duties shall be eliminated. 
3. Customs duties on imports applicable in the CSFR to products 
originating in the Community which are listed in Annex VI shall be 
progressively reduced according to the following timetable: 
three years after the date of entry Into force of the Agreement 
each duty shall be reduced to 80% of the basic duty, 
five years after the date of entry into force of the Agreement 
each duty shall be reduced to 60% of the basic duty; 
seven years after the date of entry into force of the Agreement 
each duty shall be reduced to 40% of the basic duty, 
nine years after the date of entry into force of the Agreement 
the remaining duties shall be eliminated. 
the Agreement 
the Agreement 4. Customs duties on imports applicable in the CSFR to products 
originating in the Community which are listed in Annex VII shall be 
progressively reduced in accordance with the following timetable: 
on the date of entry into force of the Agreement each duty shall 
be reduced to 80% of the basic duty; 
three years after the date of entry into force of the Agreement 
each duty shall be reduced to 60% of the basic duty 
five years after the date of entry Into force of 
each duty shall be reduced to 40% of the basic duty 
seven years after the date of entry into force of 
each duty shall be reduced to 20% of the basic duty 
nine years after the date of entry into force of the Agreement 
the remaining duties shall be eliminated. 
5. Quantitative restrictions on imports into the CSFR of products 
originating in the Community shall be abolished upon entry into force 
of the Agreement, excpet for those listed in Annex VIM, which shall be 
progressively abolished by the end of the transitional period. 
6. Measures having an effect equivalent to quantitative restrictions 
on imports into the CSFR of products originating in the Community shall 
be abolished upon entry into force of the Agreement. 
Article 5 (EA 11) 
The provisions concerning the abolition of customs duties on imports 
shall also apply to customs duties of a fiscal nature. 
Article 6 (EA 12) 
The Community and the CSFR shall abolish upon entry into force of this 
Agreement in trade between themselves, any charges having an effect 
equivalent to customs duties on imports. 
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-5(r > 
Article 7 (EA 13) 
1. The Community and the CSFR shall progressively abolish between 
them at the latest by the end of the fifth year after entry into force 
of the Agreement any customs duties on exports and charges having 
equivalent effect. 
2. Quantitative restrictions on exports to the CSFR and any measures 
having equivalent effect shall be abolished by the Community on the 
entry into force of the Agreement. 
3. Quantitative restrictions on exports to the Community and any 
measures having equivalent effect shall be abolished by the CSFR upon 
entry into force of the Agreement, except for those restrictions listed 
in Annex IX which shall be abolished at the latest by the end of the 
fifth year after the entry into force of the Agreement. 
Article 8 (EA 14) 
Each party declares its readiness to reduce its customs duties in trade 
with the other party more rapidly than is provided for in Articles 3 
and 4 if its general economic situation and the situation of the 
economic sector concerned so permit. 
The Joint Committee referred to in Article 37 (hereinafter referred to 
as "the Joint Committee") may take recommendations to this effect. 
Article 9 (EA 15) 
Protocol No 1 lays down the arrangements applicable to the textile 
products referred to therein. 
Article 10 (EA 16) 
Protocol No 2 lays down the arrangements applicable to products covered 
by the Treaty establishing the European Coal and Steel Community. 
Article 11 (EA 17) 
1. The provisions of the present chapter do not preclude the 
retention by the Community of an agricultural component in the duties 
applicable to products listed in Annex X in respect of products 
originating in the CSFR. 
2. The provisions of the present chapter do not preclude the 
introduction of an agricultural component by the CSFR in the duties 
applicable to the products listed in Annex X in respect of products 
originating in the Community. 
/i..i /,* /ir^ftDf\e/r :.» 
Chapter M -Agriculture 
Article 12 (EA 18) 
1. The provisions of this Chapter shall apply to agricultural 
products originating in the Community and in the CSFR. 
2. The term "agricultural products" means the products listed in 
Chapters 1 to 24 of the Combined Nomenclature and the products listed 
in Annex I, but excluding fishery products as defined by Regulation 
(EEC) No 3796/81. 
Article 13 (EA 19) 
Protocol n* 3 lays down the trade arrangements for processed 
agricultural products which are listed in such protocol. 
Article 14 (EA 20) 
1. The Community shall abolish at the date of entry into force of 
the Agreement their quantitative restrictions on imports of 
agricultural products originating in the CSFR maintained by virtue of 
Council Regulation no 3420/83 in the form existing on the date of 
signature hereof. 
2. The agricultural products originating in the CSFR listed in 
Annex XI shall benefit, upon the date of entry into force of this 
Agreement, from the reduction of customs duties and levies within the 
limits of Community quotas and upon the conditions provided in the same 
Annex. 
3. The CSFR shall abolish quantitative restrictions on imports of 
agricultural products originating in the Community listed in Annex XII 
in accordance with the conditions laid down in that Annex. 
4. The Community and the CSFR shall grant each other the concessions 
referred to in Annexes XII la and b and XIV, on a harmonious and 
reciprocal basis, in accordance with the conditions laid down therein. 
5. Taking account of the volume of trade in agricultural products 
between them, of their particular sensitivity, of the rules of the 
Common Agricultural Policy of the Community, of the rules of the 
agricultural policy of the CSFR, and of the consequences of the 
multilateral trade negotiations under the General Agreement on Tariffs 
and Trade, the Community and the CSFR shall examine in the Joint 
Committee, product by product and on an orderly and reciprocal basis, 
the possibilities of granting each other further concessions. 
Article 15 (EA 21) 
Notwithstanding other provisions of this Agreement, and in particular 
Article 24, if, given the particular sensitivity of the agricultural 
8 
markets, imports of products originating in one party, which are the 
subject of concessions granted in Article 14, cause serious disturbance 
to the markets in the other Party, both parties shall eriter into 
consultations immediately to find an appropriate solution. Pending 
such a solution, the party concerned may take the measures it deems 
necessary. 
Chapter Mi - Fisheries 
Article 16 (EA 22) 
The provisions of this chapter shall apply to fishery products 
originating in the Community and in the CSFR, which are covered by 
Regulation (EEC) No 3796/81 on the common organization of the market in 
the sector of fishery products. 
Article 17 (EA 23) 
The fishery products originating in the CSFR listed in Annex XV shall 
benefit upon the date of entry into force of this Agreement from the 
reduction of customs duties provided in that Annex. The provisions of 
Article 14 paragraph 5 shall apply mutatis mutandis to fishery 
products. 
Chapter IV - Common provisions 
Article 18 (EA 24) 
The provisions of this chapter shall apply to trade in all products, 
except where otherwise provided herein or in Protocols N* 1, 2 or 3. 
Article 19 (EA 25) 
1. No new customs duties on imports or exports or charges having 
equivalent effect shall be introduced, nor shall those already applied 
be increased, in the trade between the Community and the CSFR from the 
date of entry into force of the Agreement. 
2. No new quantitative restriction on imports or exports or measure 
having equivalent effect shall be introduced, nor shall those existing 
be made more restrictive, in the trade between the Community and the 
CSFR from the date of entry into force of the Agreement. 
3. Without prejudice to the concessions granted under Article 14 the 
provisions of paragraphs 1 and 2 of this Article shall not restrict in 
any way the pursuance of the respective agricultural policies of the 
CSFR and the Community or the taking of any measures under such 
policies. 
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•*• 
Article 20 (EA 26) 
1. The two parties shall refrain from any measure or practice of an 
internal fiscaI nature establishing, whether directly or indirectly, 
discr ImirVat Ion between the products of one party and like products 
originating in the territory of the other party. 
2. Products exported to the territory of one of the two parties may 
not benefit from repayment of internal taxation in excess of the amount 
of direct or indirect taxation imposed on them. 
Article 21 (EA 27) 
1. This Agreement shall not preclude the maintenance or 
establishment of customs unions, free trade areas or arrangements for 
frontier trade except in so far as they alter the trade arrangements 
provided for in this Agreement. 
2. Consultations between the Parties shall take place within the 
Joint Committee concerning agreements establishing such customs unions 
or free trade areas and, where requested, on other major issues related 
to their respective trade policies with third countries. In particular 
in the event of a third country acceding to the Community, such 
consultations shall take place so as to ensure that account can be 
taken of the mutual interests of the Community and the CSFR stated in 
this Agreement. 
Article 22 (EA 28) 
Exceptional measures of limited duration which derogate from the 
provisions of Articles 4 and 19 paragraph 1 may be taken by the CSFR in 
the form of increased customs duties. 
These measures may only concern infant industries, or certain sectors 
undergoing restructuring or facing serious difficulties, particularly 
where these difficulties produce important social problems. 
Customs duties on imports applicable in the CSFR to products 
originating in the Community introduced by these measures may not 
exceed 25% ad valorem and shall maintain an element of preference for. 
products originating in the Community. The total value of imports of 
the products which are subject to these measures may not exceed 15% of 
total imports from the Community of industrial products as defined in 
Chapter I, during the last year for which statistics are available. 
These measures shall be applied for a period not exceeding five years, 
unless a longer duration is authorized by the Joint Committee. They 
shall cease to apply at the latest at the expiration of the 
transitional period. 
No such measures can be introduced in respect of a product if more than 
three years have elapsed since the elimination of all duties and 
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10 
quantitative restrictions or charges or measures having an equivalent 
effect concerning that product. 
The CSFR shall inform the Joint Committee of any exceptional measures 
it intends to take and, at the request of the Community, consultations 
shall be held in the Joint Committee on such measures and the sectors 
to which they apply before they are applied. When taking such 
measures, the CSFR shall provide the Joint Committee with a schedule 
for the elimination of the customs duties introduced under this 
article. This schedule shall provide for a phasing out of these duties 
starting at the latest two years after their introduction at equal 
annual rates. The Joint Committee may decide on a different schedule. 
Article 23 (EA 29) 
If one of the Parties finds that dumping is taking place in trade with 
the other party within the meaning of Article VI of the General 
Agreement on Tariffs and Trade, it may take appropriate measures 
against this practice in accordance with the Agreement relating to the 
application of Article VI of the General Agreement on Tariffs and 
Trade, with related internal legislation and with the conditions and 
procedures laid down in Article 27. 
Article 24 (EA 30) 
Where any product is being imported in such increased quantities and 
under such conditions as to cause, or threaten to cause : 
serious injury to domestic producers of like or directly 
competitive products in the territory of one of the Parties, or 
serious disturbances in any sector of the economy or difficulties 
which could bring about serious deterioration in the economic 
situation of a region, 
the Community or the CSFR, whichever is concerned, may take appropriate 
measures under the conditions and in accordance with the procedures 
laid down in Art icIe 27. 
Article 25 (EA 31) 
Where compliance with the provisions of Articles 7 and 19 leads to 
(I) re-export towards a third country against which the exporting 
party maintains, for the product concerned, quantitative export 
restrictions, export duties or measures having equivalent effect; 
or 
(ii) a serious shortage, or threat thereof, of a product essential to 
the exporting party; 
and where the situations above referred to give rise, or are likely to 
give rise to major difficulties for the exporting party, that party may 
take appropriate measures under the conditions and in accordance with 
the procedures laid down in Article 27. The measures shall be non­
discriminatory and be eliminated when conditions no longer justify 
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a 
their maintenance. 
Article 26 (EA 32) 
The Member States and the CSFR shall progressively adjust any State 
monopolies of a commercial character so as to ensure that, by the end 
of the fifth year following the entry into force of this Agreement, no 
discrimination regarding the conditions under which goods are procured 
and marketed exists between nationals of the Member States and of the 
CSFR. The Joint Committee will be informed about the measures adopted 
to implement this objective. 
Article 27 (EA 33) 
1. In the event of the Community or the CSFR subjecting imports of 
products liable to give rise to the difficulties referred to in 
Article 24 to an administrative procedure having as its purpose the 
rapid provision of information on the trend of trade flows, it shall 
inform the other party. 
2. In the cases specified in Articles 23, 24 and 25, before taking 
the measures provided for therein or, in cases to which paragraph 3(d) 
applies, as soon as possible, the Community or the CSFR as the case may 
be shall supply the Joint Committee with all relevant information, 
with a view to seeking a solution acceptable to the two parties. 
In the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. 
The safeguard measures shall be notified immediately to the Joint 
Committee and shall be the subject of periodic consultations within 
that body, particularly with a view to establishing a timetable for 
their abolition as soon as circumstances permit. 
3. For the implementation of paragraph 2, the following provisions 
shalI apply: 
(a) As regards Article 24, the difficulties arising from the 
situation referred to in that Article shall be referred for 
examination to the Joint Committee, which may take any decision 
needed to put an end to such difficulties. 
If the Joint Committee or the exporting party has not taken a 
decision putting an end to the difficulties or no other 
satisfactory solution has been reached within thirty days of the 
matter being referred, the importing party may adopt the 
appropriate measures to remedy the problem. These measures must 
not exceed the scope of what is necessary to remedy the 
difficulties which have arisen. 
(b) As regards Article 23, the Joint Committee shall be informed of 
the dumping case as soon as the authorities of the importing 
party have initiated an investigation. When no end has been put 
to the dumping within the meaning of Article VI of the GATT or no 
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iV 
other satisfactory solution has been reached within thirty days 
of the matter being referred to the Joint Committee, the 
importing party may adopt the appropriate measures. 
(c) As regards Article 25, the difficulties arising from the 
situations referred to in that article shall be referred for 
examination to the Joint Committee. 
The Joint Committee may take any decision needed to put an end to 
the difficulties. If it has not taken such a decision within 
thirty days of the matter being referred to it, the exporting 
party may apply appropriate measures on the exportation of the 
product concerned. 
(d) Where exceptional circumstances requiring immediate action make 
prior information or examination, as the case may be, impossible, 
the Community or the CSFR whichever is concerned may, in the 
situations specified in Articles 23, 24 and 25, apply forthwith 
the precautionary and provisional measures strictly necessary to 
deal with the situation, and the Joint Committee will be informed 
immediately. 
Article 28 (EA 34) 
Protocol No 4 lays down rules of origin, for the application of tariff 
preferences foreseen in this Agreement. 
Article 29 (EA 35) 
The Agreement shall not preclude prohibitions or restrictions on 
imports, exports or goods in transit justified on grounds of public 
morality, public policy or public security; the protection of health 
and life of humans, animals or plants; the protection of the 
exhaustable natural resources; the protection of national treasures of 
artistic, historic or archaeological value or the protection of 
intellectual, industrial and commercial property or rules relating to 
gold and silver. Such prohibitions or restrictions shall not, however, 
constitute a means of arbitrary discrimination or a disguised 
restriction on trade between the Parties. 
Article 30 (EA 36) 
Protocol No 5 lays down the specific provisions to apply to trade 
between the CSFR of the one part and Spain and Portugal of the other 
part. 
a 
TITLE II: PAYMENTS. COMPETITION AND OTHER 
ECONOMIC PROVISIONS 
Article 31 (EA 59) 
The Parties undertake to authorize in freely convertible currency, any 
payments on the current account of balance of payments to the extent 
that the transactions underlying the payments concern movement of goods 
between the Parties which have been liberalized pursuant to the present 
Agreement. 
Article 32 (EA 62) 
With reference to the provisions of this Chapter, and notwithstanding 
the provisions of Article 34, until a full convertibility of the CSFR 
currency in the meaning of Article VIII of the International Monetary 
Fund is introduced, the CSFR may in exceptional circumstances apply 
exchange restrictions connected with the granting or taking up of short 
and medium-term credits to the extent that such restrictions are 
imposed on the CSFR for the granting of such credits and are permitted 
according to the CSFR's status under the IMF. 
The CSFR shall apply these restrictions in a non-discriminatory manner. 
They shall be applied in such a manner as to cause the least possible 
disruption to this Agreement. The CSFR shall inform the Joint 
Com*, it tee promptly of the introduction of such measures and of any 
changes therein. 
Article 33 (EA 63) 
1. The following are incompatible with the proper functioning of the 
Agreement, in so far as they may affect trade between the Community and 
the CSFR: 
(i) all agreements between undertakings, decisions by associations of 
undertakings and concerted practices between undertakings which 
have as their object or effect the prevention, restriction or 
distortion of competition-, 
(ii) abuse by one or more undertakings of a dominant position in the 
territories of the Community or of the CSFR as a whole or in a 
substantial part thereof; 
(iii) any public aid which distorts or threatens to distort competition 
by favouring certain undertakings or the production of certain 
goods. 
2. Any practices contrary to this Article shall be assessed on the 
basis of criteria arising from the application of the rules of Articles 
85, 86, and 92 of the Treaty establishing the European Economic 
Community. 
3. The Joint Committee shall, within three years of the entry into 
force of the Agreement, adopt the necessary rules for the 
implementation of paragraphs 1 and 2. Until the implementing rules are 
adopted, practices incompatible with paragraph 1 of Article 3 shall be 
-«t 
dealt with by the Parties on their respective territories according to 
their respective legislations. This is without prejudice to Article 33 
paragraph 6 of this Agreement. 
4.a For the purposes of applying the provisions of paragraph 1, point 
(iii), the Parties recognize that during the first five years after the 
entry into force of the Agreement, any public aid granted by the CSFR 
shall be assessed taking into account the fact that the CSFR shall be 
regarded as an area identical to those areas of the Community described 
in Article 92.3(a), of the Treaty establishing the European Economic 
Community. The Joint Committee shall, taking into account the economic 
situation of the CSFR, decide whether that period should be extended by 
further periods of five years. 
4.b Each party shall ensure transparency in the area of public aid, 
inter alia by reporting annually to the other party on the total amount 
and the distribution of the aid given and by providing, upon request, 
information on aid schemes. Upon request by one party, the other party 
shall provide information on particular individual cases of public aid. 
5. With regard to products referred to in Chapters II and III of 
Title I : 
the provision of paragraph 1 (iii) does not apply, 
any practices contrary to paragraph 1 (i) should be assessed 
according to the criteria established by the Community on the 
basis of Articles 42 and 43 of the Treaty establishing the 
European Economic Community and in particular of those 
established in Council Regulation n* 26/1962. 
6. If the Community or the CSFR considers that a particular practice 
is incompatible with the terms of the first paragraph of this Article, 
and: 
is not adequately dealt with under the implementing rules 
referred to in paragraph 3, or 
in the absence of such rules, and if such practice causes or 
threatens to cause serious prejudice to the interest of the other 
Party or material injury to its domestic industry, including its 
services industry 
it may take appropriate measures after consultation within the Joint 
Committee or after thirty working days following referral for such 
consultât ion. 
In the case of practices incompatible with paragraph Kiii) of this 
Article, such appropriate measures may, where the General Agreement on 
Tariffs and Trade applies thereto, only be adopted in conformity with 
the procedures and under the conditions laid down by the General 
Agreement on Tariffs and Trade and any other relevant instrument 
negotiated under its auspices which are applicable between the Parties. 
7. Notwithstanding any provisions to the contrary adopted in 
conformity with paragraph 3, the parties shall exchange information 
taking into account the limitations imposed by the requirements of 
professional and business secrecy. 
4>(-
S. This Article shall not apply to the products covered by the 
Treaty establishing the European Coal and Steel Treaty which are the 
subject of Protocol N*2. 
Article 34 (EA 64) 
1. Where one or more Member States of the Community or the CSFR is 
in serious balance of payments difficulties, or under imminent threat 
thereof, the Community or the CSFR, as the case may be, may, in 
accordance with the conditions established under the General Agreement 
on Tariffs and Trade, adopt restrictive measures, including measures 
relating to imports, which shall be of limited duration and may not go 
beyond what is necessary to remedy the balance of payments situation. 
The measures shall be progressively relaxed as balance of payments 
conditions improve and they shall be eliminated when conditions no 
longer Justify their maintenance. The Community or the CSFR, as the 
case may be, shall inform the other party forthwith of their 
introduction and, whenever practicable, of a time schedule for their 
removal. 
2. The Parties shall nevertheless endeavour to avoid the imposition 
of restrictive measures for balance of payments purposes. 
Article 35 (EA 65) 
With regard to public undertakings and undertakings to which special or 
exclusive rights have been granted, the Joint Committee shall ensure 
that, as from the third year from the date of entry into force of the 
Agreement, the principles of the Treaty establishing the European 
Economic Community, notably Article 90, and the principles of the 
concluding document of the April 1990 Bonn meeting of the Conference on 
Security and Cooperation in Europe (notably entrepreneurs' freedom of 
decision) are upheld. 
Article 36 
1. The CSFR shall continue to improve the protection of 
intellectual, industrial and commercial property rights in order to 
provide, by the end of the fifth year after the entry into force of the 
Agreement, for a level of protection similar to that provided in the 
Community by Community Acts, in particular the ones referred to in 
Annex XVII, including comparable means of enforcing such rights. 
2. Mutual assistance between administrative authorities in customs 
matters of the Parties shall take place in accordance with the 
provisions of Protocol N*6. 
TITLE III : INSTITUTIONAL. GENERAL AND FINAL PROVISIONS 
Article 37 (EA 103) 
The Joint Committee set up by the Agreement on Trade and Commercial and 
Economic Cooperation signed between the European Economic Community and 
the CSFR on 7th May 1990 shall perform the duties assigned to it by 
1t>C 
this Agreement until the Association Council provided for in 
Article 103 of the Europe Agreement is established. 
Article 38 (EA 105) 
The Joint Committee shall, for the purposes of attaining the objectives 
of the Agreement, have the power to take decisions in the cases 
provided for therein. The decisions taken shall be binding on the 
Parties which shall take the measures necessary to implement the 
decisions taken. The Joint Committee may also make appropriate 
recommendations. 
It shall draw up its decisions and recommendations by agreement between 
the two Part ies. 
Article 39 (EA 106) 
1. Each of the two parties may refer to the Joint Committee any 
dispute relating to the application or interpretation of this 
Agreement. 
2. The Joint Committee may settle the dispute by means of a 
decision. 
3. Each party shall be bound to take the measures involved in 
carrying out the decision referred to in paragraph 2. 
4. In the event of it not being possible to settle the dispute in 
accordance with paragraph 2 of this Article, either party may notify 
the other of the appointment of an arbitrator; the other party must 
then appoint a second arbitrator within two months. 
The Joint Committee shall appoint a third arbitrator. 
The arbitrators' decisions shall be taken by majority vote. 
Each party to the dispute must take the steps required to implement the 
decision of the arbitrators. 
Article 40 (EA 112) 
Within the scope of this Agreement, each Party undertakes to ensure 
that natural and legal persons of the other Party have access free of 
discrimination in relation to its own nationals to the competent courts 
and administrative organs of the Parties to defend their individual 
rights and their property rights, including those concerning 
intellectual, industrial and commercial property. 
Article 41 (EA 113) 
Nothing in the Agreement shall prevent a Party from taking any 
measures: 
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(a) which it considers necessary to prevent the disclosure of 
information contrary to its essential security interests; 
(b) which relate to the production of, or trade In arms, munitions or 
war materials or to research, development or production 
indispensable for defence purposes, provided that such measures 
do not impair the conditions of competition in respect of 
products not intended for specifically military purposes; 
(c) which it considers essential to its own security in the event of 
serious internal distrubances affecting the maintenance of law 
and order, in time of war or serious international tension 
constituting threat of war or in order to carry out obligations 
it has accepted for the purpose of maintaining peace and 
international security. 
Article 42 (EA 114) 
In the fields covered by this Agreement and without prejudice to any 
special provisions contained therein: 
the arrangements applied by the CSFR in respect of the Community 
shall not give rise to any discrimination between the Member 
States, their nationals, or their companies or firms, 
the arrangements applied by the Community in respect of the CSFR 
shall not give rise to any discrimination between CSFR nationals 
or its companies or firms. 
Article 43 (EA 115) 
Products originating in the CSFR shall not enjoy more favourable 
treatment when imported into the Community than that applied by Member 
States among themselves. 
Article 44 (EA 116) 
1. The Parties shall take any general or specific measures required 
to fulfil their obligations under the Agreement. They shall see to it 
that the objectives set out in the Agreement are attained. 
2. If either Party considers that the other Party has failed to 
fulfil an obligation under the Agreement, it may take appropriate 
measures. Before so doing, it shall supply the Joint Committee with 
all relevant information required for a thorough examination of the 
situation with a view to seeking a solution acceptable to the Parties. 
In the selection of measures, priority must be given to those which 
least disturb the functioning of the Agreement. These measures shall 
be notified immediately to the Joint Committee and shall be the subject 
of consultations within the Joint Committee if the other Party s6 
requests. 
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Article 45 (EA 118) 
Protocols 1, 2, 3, 4, 5, 6 and 7, and Annexes I to XV and XVII shall 
form an integral part of this Agreement. 
Article 46 ( EA 119) 
1. This agreement shall be applicable until the entry into force of 
the Europe Agreement signed on 16th December 1991 and at the latest 
until 31st December 1992. 
2. Either party may denounce this Agreement by notifying the other 
party. This Agreement shall cease to apply six months after the date 
of such notification. 
Article 47 (EA 120) 
This Agreement shall apply, on the one hand, to the territories in 
which the Treaties establishing the European Economic Community and the 
European Coal and Steel Community are applied and under the conditions 
laid down in those Treaties and, on the other hand, to the territory of 
the CSFR. 
Article 48 (EA 121) 
This Agreement is drawn up in duplicate in the Danish, Dutch, English, 
French, German, Italian, Spanish, Greek, Portuguese and Czech 
languages, each of these texts being equally authentic. 
Article 49 
This Agreement will be approved by the Parties in accordance with their 
own procedures. 
This Agreement shall enter into force on the first day of the second 
month following the date on which the Parties notify each other that 
the procedures referred to in the first paragraph have been completed. 
Upon entry into force of this Agreement, Articles 2 and 3 paragraph 2, 
to 16 of the Agreement between the European Economic Community and the 
Czech and Slovak Federal Republic on trade and economic and commercial 
cooperation signed in Brussels on 7th May 1990 and the corresponding 
provisions of the Protocol between the European Coal and Steel 
Community and the Czech and Slovak Federal Republic initialled on 
28th June 1991, if they have entered into force, shall be suspended. 
Article 50 (EA 123) 
1. In the event that this Agreement enters into force after 1st 
January but before 30th June 1992 for the purposes of Titles I and II 
of this Agreement and Protocols N's 1, 2, 3, 4, 5, 6 and 7 hereto, the 
/Au4/rf/ACC0RDS/C.int.agree 
b3 
terms "date of entry into force of the Agreement" shall mean: 
the date of entry into force in relation to obligations taking 
effect on that date, and 
1st January 1992 in relation to obligations taking effect after 
the date of entry into force by reference to the date of entry 
into force. 
2. In the case of entry into force after 1st January, the provisions 
of Protocol N*7 shall apply. 
1* 
JOINT DECLARATIONS 
1 Article 1 paragraph 4 
The Community and the CSFR confirm that where a reduction of duties is 
effected by way of a suspension of duties made for a particular period 
of time, such reduced duties shall replace the basic duties only for 
the period of such suspension, and that whenever a partial suspension 
of duties is made, the preferential margin between the Parties will be 
preserved. 
2. Articie 33 
The Parties shall not make an 
professional secrecy to prevent the 
field of competition. improper use 
disclosure of of provisions on 
information in the 
3. Article 36 
The Parties agree that for the purpose of this Interim Agreement 
"intellectual, industrial and commercial property" is to be given a 
similar meaning as in Article 36 of the EEC Treaty and includes in 
particular protection of copyright and neighbouring rights, patents, 
industrial designs, trademarks and service marks, topographies of 
integrated circuits, software, geographical indications as well as 
protection against unfair competition and protection of undisclosed 
information on know-how. 
4. Article 5 of Protocol N' 6 to the Agreement 
The Contracting Parties stress that the reference which is made in 
Article 5 of Protocol N' 6 to their own legislation may cover, where 
appropriate, an international commitment they could have contracted, 
such as the Convention on the service abroad of judicial and extra­
judicial documents in civil or commercial matters, concluded in The 
Hague on November 15, 1965. 
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n 
UNILATERAL DECLARATIONS 
1. Declaration by the CSFR 
"The implementation of this agreement shall be the sole responsibility 
of the CSFR. 
In accordance with the constitutional acts of the CSFR, the Czech 
Republic and the Slovak Republic shall participate in this 
implementation." 
2. Art icle 36 
Not later than 1 March 1997, the CSFR shall apply to accede to the 
Munich Convention on the Grant of European Patents of 5 October 1973. 
The CSFR shall also accede to the Protocol relating to the Madrid 
Agreement concerning the International Registration of Marks (Madrid 
1989), to which Member States are parties, or which are de facto 
applied by Member States. 
The CSFR declares that it also attaches importance to the following 
multilateral conventions: 
Berne Convention for the Protection of Literary and Artistic 
Works (Paris Act, 1971); 
International Convention for the Protection of Performers, 
Producers of Phonograms and Broadcasting Organizations (Rome, 
1961); 
Paris Convention for the Protection of Industrial Property 
(Stockholm Act, 1967 and amended in 1979); 
Madrid Agreement concerning the International Registration of 
Marks (Stockholm Act, 1967 and amended in 1979); 
Nice Agreement concerning the International Classification of 
Goods and Services for the purposes of the Registration of Marks 
(Geneva 1977, amended 1979); 
Budapest Treaty on the International Recognition of the Deposit 
of Micro-organisms for the purposes of Patent Procedures 
(1977, modified in 1980); 
Patent Cooperation Treaty (Washington 1970, amended 1979 and 
modified in 1984). 
Declarations by the European Community 
1• Art.8. paragraph 4 of the Protocol N' 2 on ECSC products 
It is understood that the possibility of an exceptional extension of 
the five-year period is strictly limited to the particular case of the 
CSFR and does not impair the position of the Community in relation to 
other cases not prejudge international commitments. The possible 
derogation foreseen in paragraph 4 takes into account the particular 
difficulties of the CSFR in restructuring the steel sector and the fact 
that this process has been launched very recently. 
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it-
2. Protocol N'6 
Protocol N'6 is applicable to the extent that it covers Community 
competences. 
ISSN 0254-
COM(91)524fi 
DOCUMENT 
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Catalogue number : CB-CO-91-608-EN 
ISBN 92-77-7916S 
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