Proposal for a COUNCIL DECISION concerning the conclusion of an Agreement between the European Community and the Russian Federation amending the Agreement between the European Coal and Steel Community and the Government of the Russian Federation on trade in certain steel products

(presented by the Commission)

EXPLANATORY MEMORANDUM

The European Coal and Steel Community and the Government of the Russian Federation concluded an Agreement on 9 July 2002 on trade in certain steel products.

Article 2 paragraph 4 stipulates that "In the case where the candidate countries to EU membership would accede before the termination of this Agreement, the Parties agree to consider the increase of quantitative limits set out in Annex II". Consequently, the Parties agreed to increase the quantitative limits.

Moreover, further to declaration n° 1 to the Agreement on the service centres, the Parties agreed to further increase the quantitative limits in 2 specific cases.

This proposal for a Council Decision approves the new Agreement incorporating these two modifications.

2004/0138 (ACC)

Proposal for a COUNCIL DECISION concerning the conclusion of an Agreement between the European Community and the Russian Federation amending the Agreement between the European Coal and Steel Community and the Government of the Russian Federation on trade in certain steel products

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 in conjunction with the first sentence of Article 300(2) thereof,

Having regard to the proposal from the Commission [1],

[1] OJ C , , p. .

Whereas:

(1) The Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of one part, and the Russian Federation, of the other part [2], entered into force on 1 December 1997.

[2] OJ L 327, 28.11.1997, p.3

(2) Article 21 of the Partnership and Cooperation Agreement provides that trade in European Coal and Steel Community ( hereinafter referred to as the 'ECSC') products shall be governed by Title III of that Agreement, save for Article 15 thereof, and by the provisions of an Agreement on quantitative arrangements concerning exchanges of ECSC steel products.

(3) On the 9 July 2002 the ECSC and the Government of the Russian Federation concluded such an Agreement on trade in certain steel products [3](hereinafter referred to as 'the Agreement'), approved on behalf of the ECSC by Commission Decision 2002/603/ECSC of 8 July 2002 [4].

[3] OJ L 195, 24.7.2002, p. 55

[4] OJ L 195, 24.7.2002, p. 54

(4) The ECSC Treaty expired on 23 July 2002 and the European Community took over all rights and obligations contracted by the European Coal and Steel Community.

(5) The Parties agreed pursuant to Article 10 (2) of the Agreement that it should be continued and that all rights and obligations of the Parties should be maintained after such expiry.

(6) The Parties entered into consultations as provided for in Article 2 paragraph 4 of the Agreement and agreed to increase the quantitative limits set out in the Agreement to take into account the enlargement of the European Union.

(7) Furthermore, the Parties agreed to increase the quantitative limits also with regard to Declaration n° 1 of the Agreement on the setting up of service centres in the European Union,

(8) The amending Agreement should be approved,

HAS DECIDED AS FOLLOWS:

Article 1

1. The Agreement between the European Community and the Government of the Russian Federation amending the Agreement between the European Coal and Steel Community and the Government of the Russian Federation concerning trade in certain steel products is hereby approved on behalf of the Community.

2. The text of the Agreement [5] is attached to this Decision.

[5] See page ... of this Official Journal

Article 2

The President of the Council is hereby authorised to designate the person empowered to sign the Agreementin order to bind the Community.

Done at Brussels,

For the Council

The President

AGREEMENT

between the European Community and the Government of the Russian Federation

amending the Agreement between the European Coal and Steel Community and the Government of the Russian Federation on trade in certain steel products of 9 July 2002

THE EUROPEAN COMMUNITY,

of the one part, and

THE GOVERNMENT OF THE RUSSIAN FEDERATION,

of the other part,

being the Parties to this Agreement,

Whereas the Parties are desirous to promote the orderly and equitable development of trade in steel between the European Community and the Russian Federation;

Whereas the Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of the one part, and the Russian Federation, of the other part, entered into force on 1 December 1997;

Whereas Article 21 of the Partnership and Cooperation Agreement provides that trade in European Coal and Steel Community products shall be governed by Title III, save for Article 15 thereof, and by the provisions of an Agreement on trade in certain steel products;

Whereas the European Coal and Steel Community and the Government of the Russian Federation concluded on 9 July 2002 such an Agreement on trade in certain steel products, hereinafter referred to as "the Agreement";

Whereas the European Coal and Steel Community Treaty expired on 23 July 2002 and the European Community took over all rights and obligations contracted by the European Coal and Steel Community;

Whereas according to Article 10(2) of the Agreement the Parties agreed that it will be continued and that all rights and obligations of the Parties under it shall be maintained after such expiry;

Whereas the Agreement has been amended by an Agreement between the European Community and the Government of the Russian Federation signed on 26 December 2003;

Whereas, further to Article 2(4) of the Agreement, the Parties agreed to consider the increase of the quantitative limits of the Agreement to take into account the enlargement of the European Union;

Whereas the European Community has considered positively the request of the Russian Federation to increase the quantitative limits of the Agreement in pursuance of the declaration n° 1 of the Agreement,

HAVE AGREED AS FOLLOWS:

Article 1

1.1 The quantitative limits for the year 2004 set out in the Annex II of the Agreement, as last amended, shall be increased as stipulated in the attached Annex I to this Agreement.

1.2 The Parties agree that the exports from the Russian Federation to the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia of products included in Annex I of the Agreement shipped before 1 May 2004 shall not be deducted from the quantitative limits set out in Annex II of the Agreement.

1.3 For the purpose of applying paragraph 1.2, such shipments are considered to have taken place on the date of their loading onto the exporting transport as evidenced by the bill of lading or other transport documents.

Article 2

2.1 Article 12(2) of the Protocol A of the Agreement is replaced as specified in the attached Annex II to this Agreement.

2.2 The list of the competent national authorities attached to the Protocol A of the Agreement is replaced by the attached Annex III to this Agreement.

Article 3

This Agreement shall enter into force on the day of its signature.

Article 4

This Agreement shall be drawn up in duplicate in the Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Slovak, Slovenian, Spanish, Swedish and Russian languages, each of these texts being equally authentic.

Done at ...................... on ...................

For the European Community For the Government of the Russian Federation

ANNEX I

(tonnes)

Products // 2004

//

SA. Flat products //

SA1. Coils // 48.107

SA1.a. Hot-rolled coils for re-rolling // 28.094

SA2. Heavy plate // 80.614

SA3. Other flat products // 163.996

SA4. Alloyed products // 102

SA 5. Alloyed quarto plates // 308

SA 6. Alloyed cold rolled and coated sheets // 186

//

SB. Long products //

//

SB1. Beams // 14.603

SB2. Wire rod // 54.438

SB3. Other long products // 47.768

Notes:

SA and SB are product categories

SA1 to SA6 and SB1 to SB3 are product groups

Annex II

Article 12(2) of the Protocol A is replaced as follows :

« 2. Each document shall bear a standardised serial number, whether or not printed, by which it can be identified. This number shall be composed of the following elements:

- two letters identifying the exporting country as follows: RU = Russia,

- two letters identifying the intended Member State of customs clearance as follows:

BE = Belgium

CZ = Czech Republic

DK = Denmark

DE = Germany

EE = Estonia

EL = Greece

ES = Spain

FR = France

IE = Ireland

IT = Italy

CY = Cyprus

LV = Latvia

LT = Lithuania

LU = Luxembourg

HU = Hungary

MT = Malta

NL = Netherlands

AT = Austria

PL = Poland

PT = Portugal

SI = Slovenia

SK = Slovakia

FI = Finland

SE = Sweden

GB = United Kingdom"

- a one-digit number identifying the year, corresponding to the last figure in the respective year, e.g. "3" for 2003,

- a two-digit number from 01 to 99, identifying the particular issuing office concerned in the exporting country,

- a five-digit number running consecutively from 00001 to 99999 allocated to the intended Member State of customs clearance. »

Annex III

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