Proposal for a COUNCIL DECISION on the signature on behalf of the Community of an Agreement amending the Protocol to the Europe Agreement establishing an Association between the European Communities and their Member States, of the one part, and the Republic of Hungary, of the other part, on Conformity Assessment and Acceptance of Industrial Products

(presented by the Commission)

EXPLANATORY MEMORANDUM

I. Explanatory Memorandum

On the basis of negotiating directives adopted by the Council on 21.9.1992 and of the specific decision issued by the Council in June 1997 addressing guidelines to the Commission for the negotiation of European Conformity Assessment Agreements with Central and Eastern European Countries, on 14 April 2001 the Council approved a Protocol to the Europe Agreement establishing an Association between the European Communities and their Member States, of the one part, and the Republic of Hungary, of the other Part, on Conformity Assessment and Acceptance of Industrial Products [1] (hereinafter referred to as "PECA"). On the basis of the same negotiating directives as amended by the Council on 19.7.2002 the Commission has negotiated and initialled an Agreement amending the PECA with the Republic of Hungary (hereinafter "the Agreement").

[1] OJ L 135, 17.5.2001, p.37

The text of the Agreement is attached to this Communication. The following provides an assessment of the Agreement, and proposes that the Council authorises the signature of the Agreement and decides to approve its conclusion on behalf of the Community.

Assessment of the Agreement

The PECA provides for an extension of certain benefits of the Internal Market in sectors already aligned. It thus facilitates market access by eliminating technical barriers to trade with respect to industrial products. To this end, it provides for two mechanisms, a) for the mutual acceptance of industrial products which fulfil the requirements to be lawfully placed on the market in one of the Parties, and b) the mutual recognition of the results of conformity assessment of industrial products subject to Community law and to the equivalent national law.

As originally drafted, Article 8: Origin, of the PECA provides that the PECA applies only to goods originating in the Parties according to non-preferential rules of origin.

The Agreement amends this provision to extend the coverage of the Protocol to industrial products irrespective of their origin. This will improve the alignment of the PECA with the position that will apply once the Republic of Hungary becomes a Member State of the Community, and will also further facilitate market access insofar as products originating outside the Community and the Republic of Hungary need only be certified in one to have access to the markets in both.

II. The Draft Council Decisions

A proposal for two Council decisions is attached.

The first one is concerned with the signature of the Agreement. A signature is required by the Republic of Hungary for the adoption of this Agreement. It is accordingly proposed that the President of the Council be authorised to designate the person empowered to sign the Agreement on behalf of the Community, subject to conclusion later, on the basis of Articles 133 and 300 of the Treaty.

The proposal for a second decision is concerned with the adoption of the Agreement.

The Commission therefore proposes that the Council adopts the attached decisions on the signature and conclusion of the Agreement.

2003/0072 (ACC)

Proposal for a COUNCIL DECISION on the signature on behalf of the Community of an Agreement amending the Protocol to the Europe Agreement establishing an Association between the European Communities and their Member States, of the one part, and the Republic of Hungary, of the other part, on Conformity Assessment and Acceptance of Industrial 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 the first subparagraph of Article 300(2) thereof,

Having regard to the proposal from the Commission [2],

[2] OJ C , , p. .

Whereas:

(1) The Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Hungary of the other part, [3] entered into force on 1st February 1994;

[3] OJ L 347, 31.12.1993, p. 1.

(2) The Protocol to the Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Hungary of the other part, on Conformity Assessment and Acceptance of Industrial Products [4] entered into force on 1 June 2001;

[4] OJ L 135, 17.5.2001, p.37

(3) The Agreement amending the Protocol to the Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Hungary, of the other part, on Conformity Assessment and Acceptance of Industrial Products has been negotiated by the Commission on behalf of the Community;

(4) Subject to its possible conclusion at a later date, the Agreement amending the Protocol to the Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Hungary of the other part, on Conformity Assessment and Acceptance of Industrial Products, initialled in Brussels on 11 December 2002, should be signed;

HAS DECIDED AS FOLLOWS:

Sole Article

Subject to a possible conclusion at a later date, the President of the Council is hereby authorised to designate the person empowered to sign, on behalf of the Community, the Agreement amending the Protocol to the Europe Agreement with the Republic of Hungary on Conformity Assessment and Acceptance of Industrial Products.

Done at Brussels,

For the Council

The President