ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (78)769
Vol.1978/0278

Disclaimer
Conformément aurèglement (CEE, Euratom) n°354/83 duConseil du1erfévrier 1983
concernant l'ouverture aupublic desarchives historiques delaCommunauté économique
européenne etdelaCommunauté européenne del'énergie atomique (JOL43du15.2.1983,
p.1),telquemodifié par lerèglement (CE, Euratom) n°1700/2003 du22septembre 2003
(JOL243du27.9.2003, p.1),cedossier estouvert aupublic. Lecaséchéant, lesdocuments
classifiés présents dans cedossier ontétédéclassifiés conformément àl'article 5dudit
règlement.
Inaccordance with Council Regulation (EEC, Euratom) No354/83 of1February 1983
concerning theopening tothepublic ofthehistorical archives oftheEuropean Economic
Community andtheEuropean Atomic Energy Community (OJL43,15.2.1983, p.1),as
amended byRegulation (EC, Euratom) No1700/2003 of22September 2003 (OJL243,
27.9.2003, p.1),this fileisopen tothepublic. Where necessary, classified documents inthis
filehave been declassified inconformity with Article 5oftheaforementioned regulation.
InÜbereinstimmung mitderVerordnung (EWG, Euratom) Nr.354/83 desRates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft undderEuropäischen Atomgemeinschaft (ABI. L43vom 15.2.1983,
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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(78)769 final.
Brussels,11January1979
PROPOSAL FORACOUNCIL
DECISION
onCommunityaidforrestructuring or
conversioninvestments intheshipbuilding industry
PROPOSAL FORACOUNCIL .
DECISION
onCommunityaidforrestructuring orconversion
investments inthetextiLeindustry,particularly
intheman-madefibresindustry
(submittedtotheCouncilbytheCommission )
COM(78)769final.feï
/
I
/

EXPLANATORY MEMORANDUM
1)TheCommissionsentaproposalforaregulationrelatingtoCommunity
intervention ,measuresforindustrialrestructuring andconversion
1operationstotheCouncilon31October1978.
UnderthetermsofArticle1ofthisregulation,itisproposedthat
theCouncilwillidentify,onthebasisofCommissionproposals,from
amongthesectorsexperiencing acrisis,thosesectorswhich,asa
resultofthepoorfinancialconditionofmanycompaniesandthesocial
andregionalconsequencesofrestructuring,arenotinapositionto
proceedwiththenecessarystructuralchangeswithouttheintervention
ofpublicauthorities .In-theexplanatory memorandumaccompaningthe
above-mentioned proposal,theCommissionhasalreadyindicatedthat,in
itsopinion,theshipbuilding andtextiles,particularlythesyn^
theticfibressectoroughttobecomethe:subjectofCommunityfinancial
intervention measures:infact,suchintervention measureswouldby
theirnatureencouragetherealisation oftheCommunities' objectives.
2)Thesituationintheshipbuilding sectorissuchthatitisunable
toundertake,onitsown,thechangesnecessarytoadapttoasituation
ofincreasingdifficulties ontheworldmarket.Inanotherconnection,
throughitsResolutionof19September1978relatingtothere-
2•
.organization oftheshipbuilding sector,theCouncilinvitedthe
authorities oftheMemberStates,aswellasthoseoftheCommunity,
O.J.C272of16.11.78
•O.J.C229of27.9.78

-2-
toprovidesufficientfundstosupportthenecessaryrestructuring
andconversionoperationssince,withoutthese,animprovementin
thesituationcouldhotbeachieved.Inaddition,the.Councilin­
vitednationalauthoritiestolimitthesocialconsequences for
workersaffectedbythereducedlevelofactivityintheindustry.
textile,particularlythe3)The/syntheticfibressectorisexperiencing considerabledifficulties
duetothefactthatexistingcapacityiswellinexcessofthatwhich
isneededtosatisfythepresentlevelofdemandortheestimatedlevel
■ofdemandinthemediumterm.Thiscapacitymustthereforebereduced
toalevelatwhichcompaniescanoncemorebecomecompetitive onan
international scale.
Thesereductionsnecessitaterestructuring incertaincasesandthese
ι
willbeaccompanied moreoftenthannotbyanappreciable reductionin
thenumberofjobsinsomeoftheareaswheretheytakeplace;inother
cases,itwillbenecessarytoadaptindustrialplantsforotheruses.
Inthemajorityofcasestheareasconcernedarealreadyaffectedby
unemployment whichmakesitnecessarytocreatebothalternative
employment andtofacilitatethere-useoffactoriesforotheractivities ,
Thecompaniesthemselvesarenotinapositiontotakethenecessary
initiativestoinvestinrestructuring ifmeasuresforencouragement
bypublicauthoritiestocreateemploymentinothersectorsdonotexist.
TheCommissionseestheneedfortheCommunitytocontributetothese
financialassistancemeasuresinordertoinducethenecessary
restructuring andconversionoperationstobringaboutthereduction
ofproductioncapacityandthecreationofalternative employment
inothersectors.

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4)Tothatend/twodraftDecisionsdesignatingtheshipbuilding and
textiles,particularly theman-madefibressectorsaseligiblefor
theaidprovidedforbytheRegulationreferredtoarehereby
submittedbytheCommissiontotheCouncil.

ANNEXI
PROPOSAL FORACOUNCIL
DECISION
onCommunityaidforrestructuring or
conversioninvestments intheshipbuilding industry
THECOUNCILOFTHEEUROPEAN COMMUNITIES,
HAVINGregardtotheTreatyestablishing theEuropeanEconomicCommunity;
HAVINGregardtoCouncilRegulation (EEC)N° of
1onCommunityaidforindustrialrestructuring andconversionoperations,
andinparticularArticle 1thereof;
HAVINGregardtotheproposalfromtheCommission,
WHEREAS,pursuanttoArticle.!(2)ofRegulation (EEC)N°
itisfortheCouncil,actingonaproposalfromtheCommission,
todesignate eachsectortowhichtheaidcoveredbythatRegulation
maybegranted;
WHEREAStheCouncilResolutionof19September 1978ohthereorganisation
oftheshipbuilding industryincludesamongtheprincipalobjectives
tobeachievedtheadaptation andtherestructuring oftheindustryof
thatsector,thediversification ofitsactivities,theincreaseof
itscompetitiveness andthecreationofnewjobstocompensate any
resultantdismissals;
1

-2-
ANNEXI
WHEREASpoint4ofthatResolutionrequeststheauthoritiesofthe
MemberStatesandtheCommunitytotakeaccountoftheseobjectives
intheirindustrial,regional,socialandgeneraleconomicpolicies
andto.makeavailableadequatefundsforthispurpose,
HASDECIDEDASFOLLOWS:
Article 1
Investmentsforrestructuring shipbuilding establishments shallbe
eligiblefortheaidprovidedforbyRegulation (EEC
N°,suchinvestmentsassistingtheseestablishments
toturntowardsotheractivitiesor,intheareasconcernedandinother
industries,assistingthecreationofnewjobsprimarilyintendedfor
workersmaderedundant .bytherestructuring operationorbythe-totalor
partialshutdownofshipbuilding establishments .
Artiele2
'Shipbuilding establishment meansanyestablishment buildingocean­
goingcivilianvesselsandtheestablishments ofundertakings more
thanhalfofwhoseturnoverisderivedfromtransactions withship­
yardsoftheregioninwhichtheyareestablished .
DoneatBrussels,
FortheCounciI
■ThePresident

ANNEXII
PROPOSAL FORACOUNCIL
DECISION
onCommunityaidforrestructuring orconversion
investments inthetextileindustry,particularly
intheman-madefibresindustry
THECOUNCILOFTHEEUROPEAN COMMUNITIES ,
HAVINGregardtotheTreatyestablishing theEuropeanEconomicCommunity,
HAVINGregardtoCouncilRegulation (EEC)N° of
1
onCommunityaidforindustrialrestructuring andconversionoperations,
andinparticularArticle' 1thereof;
HAVINGregardtotheproposalfromtheCommission;
WHEREAS,pursuanttoArticle1(2)ofRegulation (EEC)N°
itisfortheCouncil,actingonaproposalfromtheCommission,
todesignateeachsectortowhichtheaidcoveredbythatRegulation may
begranted;
WHEREASthedifficulties confronting thetextileindustry,particularly
theman-madefibresindustry,areduetoexcessproductioncapacities which
theforeseeable markettrendwillnotentirelyeliminate;
WHEREASthesedifficulties willtherefore besolvedonlybyamajor
restructuring operation ontheconclusionofwhichtheremainingproduction
capacitywillbeinequilibrium withthemarket.
WHEREASsucharestructuring operation,ifaccompanied bysubstantial
lossesofjobs,wouldposeserioussocialproblemsinareasalready
sufferingfromunder-employment ;
1

-2-
WHEREASCommunityaidcouldfacilitatecertainessentialrestructuring
operationsorencourageundertakings toinitiatenewactivities
creatingnewjobsandwouldpermittheconversionoftheindustrial
installations tootheractivities,.
HASDECIDEDASFOLLOWS
SoleArticle
Investmentsforrestructuring establishments producingtextiles,parti­
cularlyman-madefibres,shall beeligiblefortheaidprovidedforby
Regulation (EEC)N° ■fsuchinvestmentsassisting
theseestablishments toturntowardsotheractivitiesor,intheareas
concernedandinotherindustries,assistingthecreationofnewjobs
primarilyintendedforworkersmaderedundantbytherestructuring
operationorbythetotalorpartialshutdownofsuchestablishments .
DoneatBrussels,FortheCounciI
ThePresident