Proposal for a COUNCIL REGULATION amending the Commission Decision of 8 July 2002 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 for certain steel products.

The agreed minute n° 2 of the Agreement provides that, should there be a problem similar to the one identified during the negotiations leading to the Agreement (that is the circumvention of the Agreement by exporting boron alloyed steel products not covered by the Agreement at prices competing with non-alloyed steel products covered by the Agreement), the Parties shall enter into consultations to find an acceptable solution. Such a problem arose and the Parties entered into consultations. As a result, the Parties agreed to extend the scope of product coverage of the Agreement with corresponding quantitative limits and concluded a new Agreement amending that Agreement.

Moreover, 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 2002.

Furthermore, the Government of the Russian Federation has also requested, in accordance with Article 3(4) of the current Agreement, to transfer some quantitative limits from 2 product groups to another one.

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

2003/0191 (ACC)

Proposal for a COUNCIL REGULATION amending the Commission Decision of 8 July 2002 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, save for Article 15 thereof, and by the provisions of an Agreement.

(3) The ECSC and the Government of the Russian Federation concluded on 9 July 2002 such an Agreement on trade in certain steel products [3], approved on behalf of the ECSC by the Commission Decision 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 ; the Parties agreed under Article 10(2) of the above mentioned Agreement that it will be continued and that all rights and obligations shall be maintained after such expiry.

(5) The Government of the Russian Federation has requested, in accordance with Article 3(3) of the Agreement, to carry-over certain amounts of the quantitative limits not used during the year 2002; that the authorised carry-over for each product group is as follows: 2.186.980 kg for SA 1, 10.802.830 kg for SA 1a, 4.200.000 kg for SA 2, 2.505.046 kg for SA 3, 0 for SA 4, 272.850 kg for SB 1, 4.200.000 for SB 2 and 11.550.000 for SB 3.

(6) The Government of the Russian Federation has requested, in accordance with Article 3(4) of the Agreement, to transfer 4000 tons from product group SB 2 and 6000 tons from product group SB 3 to the product group SA 1a.

(7) The Parties entered into consultations as provided for in the agreed minute N° 2 of the above mentioned Agreement and concluded that the product coverage of the Agreement has to be extended to also include product groups SA 5 and SA 6, such extension being the subject of a new Agreement amending the previous Agreement.

(8) The European Community approved the conclusion of the new Agreement and it entered into force on the day of its signature [5].

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

(9) It is necessary to amend accordingly the Commission Decision of 8 July 2002 on administering certain restrictions on imports of certain steel products from the Russian Federation [6] to take account the request of carry-over, the request of the transfer and the new Agreement

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

HAS ADOPTED THIS REGULATION:

Article 1

The Commission Decision of 8 July 2002 on administering certain restrictions on imports of certain steel products from the Russian Federation is amended as follows:

1. Annex I of the Commission Decision is replaced by the attached Annex I.

2. Annex IV of the Commission Decision is replaced by the attached Annex II.

Article 2

Imports into the Community of goods falling within product groups SA 5 and SA 6 accompanied by a surveillance document [7] issued before the date of entry into force of this Regulation do not require an import authorization as referred to in the Commission Decision, notably in its Article 2.

[7] issued in accordance with Commission Regulation 76/2002 (OJ L 16, 18.1.2002, p.3.)

Article 3

The products listed in the product groups SA 5 and SA 6 as defined in Annex I originating in the Russian Federation and imported into the Community as from 1 January 2003 shall be counted against the respective quantitative limits set out in the attached Annex II for the year 2003.

Article 4

This Regulation shall enter into force on the 10th 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 I

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ANNEX II

QUANTITATIVE LIMITS

Unit: kg

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Note:

SA and SB are product categories

SA1 to SA6 and SB1 to SB3 are product groups