COMMISSION OF THE EUROPEAN COMMUNITIES 
C0MC89) 549 final 
Brussels, 9 November 1989 
Proposals for 
COUNCIL REGULATIONS (EEC) 
amending Regulations (EEC) Nos 2837/72, 3288/73, 2843/72, 1692/73, 2839/72 
and 2841/72 on safeguard measures provided for in the Agreements between the 
EEC and Austria, Finland, Iceland, Norway, Sweden and Switzerland 
(presented by the Commission) 
<To~v <*t4 
Explanatory Memorandum 
In lîlay the Commission sent the Council proposals for Decisions on the 
conclusion of supplementary protocols to the European Economic Community's 
free trade agreements with Austria, Finland, Iceland, Norway, Sweden and 
Switzerland, with the aim of eliminating export restrictions which obstruct 
trade between the Community and these countries. 
The above protocols also allow the contracting parties to take safeguard 
measures in the event of shortages or re-export to non-member countries 
against which, the exporting contracting party applies restrictions. As a 
result, it is necessary to lay down implementing regulations for these new 
provisions. In order to ensure that the import and export arrangements are 
symmetrical and consistent the Commission is proposing to include these 
provisions in the Regulations on safeguard measures provided for in the 
basic agreements. 
The Commission has also taken the opportunity to update these Regulations 
and adapt them to the new Community procedures. In particular, it regards 
the national trigger mechanism provided for in Article 4 of the Regulations 
as in conflict with the proper operation of the common market and the 
target of completing the internal market in 1992. In this context we 
should recall that Article 7 of the Regulations already allows the 
Commission to propose to the Council adjustments which have proved 
necessary in the light of experience in order to avoid undermining the 
unity of the common market. The Commission therefore proposes to replace 
these provisions with a Community procedure on safeguard clauses in line 
with the rules laid down Article 3 of Council Decision 87/373, ESC of 
13 July 1987. 
Note that the current provisions enabling national safeguard measures to be 
taken against EFTA countries have never been applied and that the national 
trigger mechanism initially provided for in Regulation (EEC) No 266 rji, of 
5 February 1982 on common rules for imports was aboli shed on 
1 January 1988. 
Proposals for 
COUNCIL REGULATIONS (EEC) 
amending Regulations (EEC) Nos 2837/72,, 3288/73, 2843/72, 1692/73, 2839/72 
and 2841/72 on safeguard measures provided for in the Agreements between the 
EEC and Austria, Finland, Iceland, Norway, Sweden and Switzerland 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Ccnnnunity, 
and in particular Article 113 thereof; 
Having regard to' the proposal from the Commission; 
Whereas a supplementary protocol to the Agreement between the European 
Economic Community and .... /T 7 was signed on with the aL*r. cf 
eliminating existing quantitative restrictions on experts or measures 
having equivalent effect and preventing the introduction of new ones; 
Whereas the protocol provides for the insertion in the Agreement cf a 
specific safeguard clause designed to mitigate the problems liiely te arise 
as a rcsjult of liie abolition of Uio «aqxjrt ruj\.:'.\-;iiom.;; vluu;>-,:;.•: 
implementing provisions should be laid down by amending Council Regulation 
(EEC) No 1; 
Whereas Article 7 of the said Regulation provides that in crier to avoid 
jeopardizing the unity of the common market the Commission may propose to 
the Council that the Regulation, and in particular Article 4(3) thereof, be 
amended in the light of experience; whereas, in the context of the 
cjampletion of the internal market in 1992, the national safeguard measures 
should be abolished and replaced by a Community procedure in accordance 2 with the provisions of Council Decision 87/373/EEC ; ' 
1 
a) Republic of Austria - Council Regulation (EEC) No 2837/72 of 
19.12.1972 - OJ No L 300, 31.12.1972, p. 94. 
b) Republic of Finland - Council Regulation (EEC) No 3288/73 of 
3.12.1973 - OJ No L 338, 7.12.1973, p. 2. 
c) Republic of Iceland - Council Regulation (EEC) No 2843/72 of 
19.12.1972 - OJ No L 301, 31.12.1972, p. 162. 
d) Kingdom of Norway - Council Regulation (EEC) No 1692/73 of 
25.6.1973 - OJ No L 171, 27.6.1973, p. 103. 
e) Kingdom of Sweden - Council Regulation (EEC) No 2839/72 of 
19.12.1972 - OJ No L 300, 31.12.1972, p. 97. 
f) Swiss Confederation - Council Regulation (EEC) No 2841/72 of 
19.12.1972 - OJ No L 300 Of 31.12.1972, p. 284. 
2 OJNO L 197, 18.7.1987, p. 33. 
HAS ADOPTED THIS REGULATION: 
Sole Article 
Regulation (EEC) No ... A J shall be amended as follows : 
1) In Article 1(1) the phrase "for the purpose of taking the measures 
provided for in Articles 22, 24 and 26 of the Agreement" shall te 
replaced by the phrase "for the purpose of taking the measures provided 
for in Articles 22, 24, 24a and 26 of the Agreement'^. 3_/-
2) Article 4 shall be replaced by the following: 
" Article 4 
1. Where exceptional circumstances require immediate action in the 
situations referred to in Articles 24, 24a and 26 of the Agreement or 
in the case of export aids that have a direct and immediate effect on 
trade, the precautionary measures provided for in Article 27(3)(e)Z. *_/of 
the Agreement may be adopted as follows. 
3In the case of Iceland, Articles 23, 25 and 27, and Articles 23, 25, 25a 
and 27 respectively. _ £j 
4In the case of Iceland, Arti-cles" 25, 25a and 27, and Article 28(3)<e/ 
respectively. 
2. The Commission shall be assisted by a committee composed of 
representatives of the Member States and chaired by the representative of 
the Commission. 
The committee sha.11 meet when convened by its chairman. The latter 
shall communicate any appropriate information to the Member States 
without delay. 
3. After consulting the committee the Commission may decide on appropriate 
measures either on its own initiative or at the request of a Member 
State. All the Member States shall be notified of the Commission's 
decision, which shall apply immediately. 
4. Where the Commission is asked to take action by- a Member State, it shall 
take a decision within a maximum period of five working days of receipt 
of the request. 
5. Any Member State may refer the Commission's decision to the Council 
within a maximum period of five working days of notification of the 
decision. 
The Council, acting by a qualified majority, may take a different 
decision within a maximum period of ten working days of such referral. " 
3) Article 7 is hereby repealed. 
This Regulation shall be binding in its entirety and directly applicable in 
all Member States. 
Done at Brussels, For the Council 
ANNEX 
COMPETITIVENESS AND EMPLOYMENT IMPACT STATEMENT 
I. What is the main reason for Introducing the measure? 
Implementing new safeguard clause contained in supplementary 
protocols to free trade agreements between EEC and EFTA 
countries on elimination of export restrictions recently 
forwarded by Commission to Council for conclusion; 
- replacing the possibility for Member States to take national 
safeguard measures by an appropriate Community procedure In 
accordance with the objective of completing the Internal market 
by 1992. 
II. Features of the businesses in question, in particular: 
(a) Are there many SMEs? 
No 
(b) have any mergers been noted In any regions which are: 
(i) eligible for regional aid In the Member States? 
(II) eligible under the ERDF? 
No 
I I I. What direct obligations does this measure impose on businesses? 
None 
IV. What Indirect obligations are local authorities likely to Impose 
on businesses? 
None 
V. Are there any special measures in respect of SMEs? Please specify. 
None 
VI. What Is the likely effect on: 
(a) the competitiveness of businesses? 
(b) employment? 
It Is clearly In the Interest of all sectors of the economy both 
to provide for effective Community safeguard action in EC-EFTA 
trade In the event of serious difficulties due to shortage of 
strategic raw materials or to deflection of trade Involving 
third countries and to avoid the inevitable fragmentation of 
the Community market which would result from Member States 
taking national measures. 
VII. Have both sides of Industry been consulted? Please indicate their 
oplnions. 
No. The draft regulations envisaged concern purely administrative 
procedures. 
ISSN 0254-1475 
COM(89) 549 final 
DOCUMENTS 
EN 
Catalogue number : CB-CO-89-520-EN-C 
ISBN 92-77-54662-X 
Office for Official Publications of the European Communities 
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