Proposal for a COUNCIL REGULATION amending the Commission Decision 2002/602/ECSC on administering certain restrictions on imports of certain steel products from the Russian Federation

(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 of the Agreement 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, in pursuance of Declaration n° 1 to the Agreement on service centres in the EU, the Parties agreed to further increase the quantitative limits in 2 specific cases. A new Agreement incorporating these increases has been signed by the Parties.

Furthermore, the Government of the Russian Federation has requested, in accordance with Article 3(3) of the current Agreement, to carry-over certain amounts of the quantitative limits not used during the year 2003. The authorised carry-over for each product group is as follows (amounts in tonnes): 21195 for SA1a, 2102 for SA3, 6458 for SA4, 1400 for SA5, 1077 for SB1, 4305 for SB 2 and 10984 for SB 3.

This proposal for a Council Regulation provides for the necessary implementing legislation for the new Agreement and the carry-over.

2004/0140 (ACC)

Proposal for a COUNCIL REGULATION amending Commission Decision 2002/602/ECSC on administering certain restrictions on imports of certain steel products from the Russian Federation

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 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 the 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 9 July 2002 the ECSC and the Government of the Russian Federation concluded on 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 [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(4) of the Agreement and agreed to increase the quantitative limits set out therein to take account of the enlargement of the European Union. Moreover, the Parties agreed to increase the quantitative limits with regard to Declaration n° 1 of the Agreement on the setting up by Russian operators of service centres in the European Union. Those increases have been the subject of a new agreement that entered into force on the day of its signature [5].

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

(7) Furthermore, the Government of the Russian Federation has requested, in accordance with Article 3(3) of the Agreement, to carry-over, within the authorised limits for each product group,certain amounts of the quantitative limits not used during the year 2003.

(8) Commission Decision 2002/602/ECSC of 8 July 2002 on administering certain restrictions on imports of certain steel products from the Russian Federation [6] sould be amended accordingly,

[6] OJ L 195, 24.7.2002, p.38

HAS ADOPTED THIS REGULATION:

Article 1

In Annex IV to Decision 2002/602/ECSC, the quantitative limits set out for the year 2004 are replaced by the quantitative limits appearing in the Annex to this Regulation.

This Regulation shall enter into force on the third day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels,

For the Council

The President

ANNEX

QUANTITATIVE LIMITS

Unit: tonnes

Years // 2004

//

Products //

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SA. Flat products //

SA1. Coils // "310 767

SA1.a. Hot-rolled coils for re-rolling // 558 839

SA2. Heavy plate // 143 654

SA3. Other flat products // 250 148

SA4. Alloyed products // 101 120

SA 5. Alloyed quarto plates // 22 208

SA 6. Alloyed cold rolled and coated sheets // 97 561

//

SB. Long products //

//

SB1. Beams // 31 440

SB2. Wire rod // 121 783

SB3. Other long products // 232 102"

Note:

SA and SB are product categories

SA1 to SA6 and SB1 to SB3 are product groups