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Ûih 'illl COMMISSION OF THE EUROPEAN CGMV1UNITIES 
COM(93)126 final 
Brussels, 29 March 1993 
Proposal for a 
COUNCIL REGULATION (EEC) 
temporarily suspending the autonomous Common Customs Tariff duties on 
certain industrial products intended to equip the free zones of the Azores 
and Madeira 
»- * J i (presented by the Commission) 
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EXPLANATORY MEMORANDUM 
1. Within the programme of options specific to the remote and insular nature 
of Madeira and the Azores (POSEIMA), approved by Council Decision 
91/315/EEC of 26 June 1991, it is stated that free zones might constitute 
an important tool for the economic development of these regions and that 
the adoption of special customs measures might prove suitable. 
2. In implementation of its own mandate, the Council adopted Regulation 
(EEC) No 1604/92 of 15 June 1992 establishing a special customs 
arrangement for Inward processing operations In free zones and 
warehouses in the ultraperipheral regions, including the Azores and 
Madeira. 
3. On 4 March 1992, the Portuguese authorities asked the Commission to be 
granted exemption of CCT duties with respect to certain products intended 
f«»l <*<|tl Ippllig I hf?c»f> flno HH\rtt» 
4. It has been found, in examining the situation particulai ly with rospocl 
to the size and production capacity of local industry that such a measure 
is likely to contribute to the starting and development of economic 
activity in the free zones in these regions. 
assistance — 
5. Taking account of the national and currently applicable\to the two free 
zones concerned, the Commission proposes that the tariff suspension in 
question should be applied until 31.12.2000. 
6. As these two types of measure complement each other in regard to their 
economic objectives, the Commission intends to make a joint evaluation of 
their impact with the competent Portuguese authorities, with a view to 
ensuring particularly that the ceilings for the intensity of aid applied 
to these regions as part of competition policy are respected. 
Proposât for a 
COUNCIL REGULATION (EEC) 
temporarily suspending the autonomous Common Customs Tariff duties on 
certain industrial products Intended to equip the free zones of the Azores 
and Madeira 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Community, 
and in particular Article 28 thereof, 
Having regard to the proposal from the Commission,1 
Having regard to the opinion of. the European Parliament,2 
Whereas the Council, in its Decision No 91/315/EEC of 26 June 1991, set up a 
programme of options specific to the remote and insular nature of Madeira 
and the Azores (Poseima);^ 
Whereas, in the context of the overall programme of measures established in 
that Decision to stimulate the economic and social development of the 
abovementioned autonomous regions, it was stipulated that free zones could 
be an appreciable instrument of economic development in the regions 
concerned; whereas it may be appropriate to adopt specific customs measures 
regarding the arrangements applicable to the free zones of the Azores and 
Madeira; 
Whereas Council Regulation (EEC) No 1604/92 of 15 June 19924 provided that 
processing operations carried out in the free zones of these autonomous 
regions should not be subject to the economic conditions laid down in the 
inward processing arrangements; 
Whereas in a request submitted on 4 March 1992 and supplemented on 
22 October 1992 and 20 January 1993, the competent Portuguese authorities 
asked to be granted an exemption from Common Customs Tariff duties on 
imports of certain industrial products intended to equip the free zones of 
the Azores and Madeira; 
Whereas, upon detailed examination of the situation, such a measure appears 
likely to give the required boost to the development of economic activities 
in the free zones located in the regions in question; 
Whereas, in order to avoid directly affecting the functioning of the common 
market, a time limit must be set for this measure and suitable action taken 
to ensure that the products for which a suspension is granted are intended 
solely to equip the free zones of the Azores and Madeira; 
1 0J C ..., 199., p 
2 0J C 199. , p 
3 0J L 171, 29 June 1991, p.10. 
4 OJ L 173. 27.6.1992, p. 30. 
3 
Whereas the Commission must be informed of the volume of imports involved, 
HAS ADOPTED THIS REGULATION: 
Article 1 
1. The Common Customs Tariff duties applicable to products listed in the 
Annex shall be suspended in full until 31 December 2000. 
2. The suspension referred to in paragraph 1 shall apply solely to products 
intended to equip the free zones of the Azores and Madeira. 
3. The relevant Portuguese authorities shall adopt the provisions necessary 
to ensure compliance with paragraph 2 pursuant to the relevant Community 
provisions on end-use, in particular the charging of Common Customs 
Tariff duties when the products in question are transported to other 
parts of the Community's customs territory. 
They shall inform the Commission of these measures at the earliest 
opportunity. 
Art icle 2 
With respect to the products referred to in Article 1, the competent 
Portuguese authorities shall inform the Commission, no later than 15 March 
of each year, of the volume of imports for which the tariff suspension has 
been granted during the preceding year. 
Art icle 3 
This Regulation shall enter into force on the day of its publication in the 
Official Journal of the European Communities. 
This Regulation shall be binding in its entirety and directly applicable in 
a 11 Member States. 
Done at Brussels 
For the CounciI 
The President 
A N li E X 
Order No 
18.0300 
18.0302 
18.0304 
18.0306 
18.0308 
18.0310 
18.0312 
18.0314 
18.0316 
18.0318 
18.0320 
18.0322 CN CODE 
6B04 DESCRIPTION SiUS||iàlhB<.l|Ba.l<fc^«l!ltMN.v«tAa^ 
7308 -Millstones, grindstones, grinding wheels and the like, without 
frameworks, for grinding, sharpening, polishing, trueing or cutting, 
hand sharpening or polishing stones, and parts thereof, of natural 
stone, of agglomerated natural or artificial abrasives, or of 
ceramics, with or without parts of other materials 
-Structures (excluding prefabricated buildings of heading No 9406) 
and parts of structures (for example, bridges and bridge-sections, 
lock-gates, towers, lattice masts, roofs, roofing frameworks, doors 
and windows and their frames and thresholds for doors, shutters, 
balustrades, pillars and columns), of iron or steel; plates, rods, 
angles, shapes, sections, tubes and the like, prepared for use in 
structures, of iron or steel 
-Reservoirs, tanks, vats and similar containers for any material 
(other than compressed or liquefied gas), of iron or steel, of a 
capacity exceeding 300 litres, whether or not lined or heat-
insulated, but not fitted with mechanical or thermal equipment 7309 00 
7310 other than 
7310 21 10 
7311 00 
7322 
7610 
7611 00 00 
7612 
7613 00 00 
8202 
8203 -Containers for compressed or liquefied gas, of iron or steel 
-Radiators for central heating, not electrically heated, and parts 
thereof, of iron or steel; air heaters and hot air distributors 
(including distributors which can also distribute fresh or 
conditioned air), not electrically heated, incorporating a motor-
driven fan or blower, and parts thereof, of iron or steel 
-Aluminium structures (excluding prefabricated buildings of heading 
No. 9406) and parts of structures (for example, bridges and bridge-
sections, towers, lattice masts, roofs, roofing frameworks, doors 
and windows and their frames and thresholds for doors, balustrades, 
pillars and columns); aluminium plates, rods, profiles, tubes and 
the like, prepared for use in structures 
-Aluminium reservoirs, tanks, vats and similar containers, for any 
material (other than compressed or liquefied gas), of a capacity 
exceeding 300 litres, whether or not lined or heat-insulated, but 
not fitted with mechanical or thermal equipment 
-Aluminium casks, drums, cans, boxes and similar containers 
(including rigid or collapsible tubular containers), for any 
material (other than compressed or liquefied gas), of a capacity 
not exceeding 300 litres, whether or not lined or heat-insulated, 
but not fitted with mechanical or thermal equipment 
-Aluminium containers for compressed or liquefied gas 
-Hand saws; blades for saws of all kinds (including slitting, 
slotting or toothless saw blades) 
-Files, rasps, pliers (including cutting pliers), pincers, tweezers, other than cans ôf à kind used for preserving 
food and drink 
Order No 
18.0324 
18.0326 
18.0328 CODE DESCRIPTION 
18.0330 
18.0332 
18.0334 
18.0336 
18.0338 
18.0340 
18.0342 
18.0344 
18.0346 
18.0348 
18.0350 
18.0352 8204 
8205 
8207 
8208 other than 
8208 40 00 
8209 00 
8210 00 
8303 00 
8304 00 00 
8402 
8403 
8404 
8405 
8406 
8407 
8408 metal cutting shears, pipe-cutters, bolt croppers, perforating 
punches and similar hand tools 
-Hand-operated spanners and wrenches (including torque meter 
wrenches but not including tap wrenches); interchangeable spanner 
sockets, with or without handles 
-Hand tools (including glaziers' diamonds), not elsewhere specified 
or included; blow lamps; vices, clamps and the like, other than 
accessories for and parts of, machine tools; anvils; portable 
forges; hand or pedal-operated grinding wheels with frameworks 
-Interchangeable tools for hand tools, whether or not power-operated, 
or for machine-tools (for example, for pressing, stamping, punching, 
tapping, threading, drilling, boring, broaching, milling, turning 
or screw driving), including dies for drawing or extruding metal, 
and rock drilling or earth boring tools 
-Knives and cutting blades, for machines or for mechanical 
appliances other than agricultural, horticultural or forestry machines 
-Plates, sticks, tips and the like for tools, unmounted, of sintered 
metal carbides or cermets 
-Hand-operated mechanical appliances, weighing 10 kg or less, used 
in the preparation, conditioning or serving of food or drink 
-Armoured or reinforced safes, strong-boxes and doors and safe 
deposit lockers for strong-rooms, cash or deed boxes and the like, 
of base metal 
-Filing cabinets, card-index cabinets, paper trays, paper rests, pen 
trays, office-stamp stands and similar office or desk equipment, of 
base metal, other than office furniture of heading No. 9403 
'-Steam or other vapour generating boilers (other than central 
heating hot water boilers capable also of producing low pressure 
steam); super-heated water boilers 
-Central heating boilers other than those of heading No 8402 
-Auxiliary plant for use with boilers of heading No 8402 or 8403 
(for example, economisers, super-heaters, soot removers, gas 
recoverers); condensers for steam or other vapour power units 
-Producer gas or water gas generators, with or without their 
purifiers; acetylene gas generators and similar water process gas 
generators, with or without their purifiers 
-Steam turbines and other vapour turbines 
-Spark-ignition reciprocating or rotary internal combustion piston 
engines 
-Compression-ignition internal combustion piston engines (diesel or 
semi-diesel engines) 
IA 
Order No 
18.0354 
18.0356 
18.0358 
18.0360 
18.0362 
18.0364 
18.0366 
18.0368 
18.0370 
18:0372 
18.0374 
18.0376 
18.0378 CODE DESCRIPTION 
*^*^ *»».»##.» «i»i^*«»^*»*iiB^»^a»a|ifc«»%^*#i* 
8409 
8413 
8414 
8415 
8416 
8417 
8418 
8419 
8420 
8421 
8422 
8423 other than 
8423 10 10 
8424 other than! 
8424 81 10 -Parts suitable for use solely or principally with the engines of 
heading No 8407 or 8408 
-Pumps for liquids, whether or not fitted with a measuring device; 
liquid elevators 
-Air or vacuum pumps, air or other gas compressors and fans; 
ventilating or recycling hoods incorporating a fan, whether or not 
fitted with filters 
-Air conditioning machines, comprising a motor-driven fan and 
elements for changing the temperature and humidity, including those 
machines in which the humidity cannot be separately regulated 
-Furnace burners for liquid fuel, for pulverised solid fuel or for 
gas; mechanical stokers, including their mechanical grates, 
mechanical ash dischargers and similar appliances 
-Industrial or laboratory furnaces and ovens, including incinerators, 
non-electric 
-Refrigerators, freezers and other refrigerating or freezing 
equipment, electric or other; heat pumps other than air 
conditioning machines of heading No 8415 
-Machinery, plant or laboratory equipment, whether or not 
electrically heated, for the treatment of materials by a process 
involving a change of temperature such as heating, cooking, 
roasting, distilling, rectifying, sterilizing, pasteurising, 
steaming, drying, evaporating, vapourising, condensing or cooling, 
other than machinery or plant of a kind used for domestic purposes; 
instantaneous or storage water heaters, non-electric 
-Calendering or other rolling machines, other than for metals or 
glass, and cylinders therefor 
-Centrifuges, including centrifugal dryers; filtering or purifying 
machinery and apparatus, for liquids or gases 
-Dish washing machines; machinery for cleaning or drying bottles or 
other containers; machinery for filling, closing, sealing, 
capsuling or labelling bottles, cans, boxes, bags or other 
containers; other packing or wrapping machinery; machinery for 
aerating beverages 
-Weighing machinery (excluding balances of a sensitivity of 5 eg or 
better), including weight operated counting or checking machines; 
weighing machine weights of all kinds other than household scales 
•Mechanical appliances (whether or not hand-operated) for projecting, 
dispersing or spraying liquids or powders; fire extinguishers, 
whether or not charged; spray guns and similar appliances; steam or 
sand blasting machines and similar jet projecting machines other than watering appliances 
18.0380 8425 -Pulley tackle and hoists other than skip hoists; winches and 
Order No 
18.0382 
18.0384 
18.0386 
18.0388 
18.0390 
18.0392 
18.0394 
18.0396 
18.0398 
18.0400 
18.0402 
18.0404 
18.0406 
18.0408 CODE DESCRIPTION 
8426 
8427 
8428 
8437 
8438 
B439 
8440 
8441 
8443 
8444 00 
8445 
8446 
8447 
8448 
18.0410 8450 capstans; jacks 
-Ships' derricks; cranes, including cable cranes; mobile lifting 
frames, straddle carriers and works trucks fitted with a crane 
-Fork-lift trucks; other works trucks fitted with lifting or 
handling equipment 
-Other lifting, handling, loading or unloading machinery (for 
example, lifts, escalators, conveyors, teleferics) 
-Machines for cleaning, sorting or grading seed, grain or dried 
leguminous vegetables; machinery used in the milling industry or 
for the working of cereals or dried leguminous vegetables, other 
than farm-type machinery 
-Machinery, not specified or included elsewhere in this chapter, for 
the industrial preparation or manufacture of food or drink, other 
than machinery for the .extraction or preparation of animal or fixed 
vegetable fats or oils 
-Machinery far making pulp of fibrous celluloslc material or for 
making or finishing paper or paperboard 
-Book-binding machinery, including book-sewing machines 
-Other machinery for making up paper pulp, paper or paperboard, 
including cutting machines of all kinds 
-Printing machinery; machines for uses ancillary to printing 
-Machines for extruding, drawing, texturing or cutting man-made 
textile materials 
-Machines for preparing textile fibres; spinning, doubling or 
twisting machines and other machinery for producing textile yarns; 
textile reeling or winding (including weft-winding) machines and 
machines for preparing textile yarns for use on the machines of 
heading No 8446 or 8447 
-Weaving machines (looms) 
-Knitting machines, stitch-bonding machines and machines for making 
gimped yarn, tulle, lace, embroidery, trimmings, braid or net and 
machines for tufting 
-Auxiliary machinery for use with machines of heading No 8444, 
8445, 8446 or 8447 (for example, dobbies, Jacquards, automatic 
stop motions, shuttle changing mechanisms); parts and accessories 
suitable for use solely or principally with the machines of this 
heading or of heading No 8444, 8445, 8446 or 8447 (for example, 
spindles and spindle flyers, card clothing, combs, extruding 
nipples, shuttles, healds and heald-frames, hosiery needles) 
-Household or laundry-type washing machines, including machines 
which both wash and dry 
-V 
Order No 
18.0412 CODE DESCRIPTION 
8451 
18.0414 
18.0416 
18.0418 
18.0420 
18.0422 
18.0424 
18.0426 
18.0428 
18,0430 
18.0432 
18.0434 
18.0436 8452 
8453 
8456 
8457 
8458 
8459 
8460 
8461 
8462 
B4<53 
8464 
8465 -Machinery (other than machines of heading No 8450) for washing, 
cleaning, wringing, drying, ironing, pressing (including fusing 
presses), bleaching, dyeing, dressing, finishing, coating or 
impregnating textile yarns, fabrics or made up textile articles and 
machines for applying the paste to the base fabric or other support 
used in the manufacture of floor coverings such as linoleum; 
machines for reeling, unreeling, folding, cutting or pinking 
textile fabrics 
-Sewing machines, other than book-sewing machines of heading No 
8440; furniture, bases and covers specially designed for sewing 
machines; sewing machine needles 
-Machinery for preparing, tanning or working hides, skins or leather 
or for making or repairing footwear or other articles of hides, 
skins or leather, other than sewing machines 
-Machine-tools for working any material by removal of material, by 
laser or other light or photon beam, ultrasonic, electro-discharge, 
electro-chemical, electron beam, ionic-beam or plasma arc processes 
-Machining centres, unit construction machines (single station) and 
multi-station transfer machines, for working metal 
-Lathes for removing metal 
-Machine-tools (including way-type unit head machines) for drilling, 
boring, milling, threading or tapping by removing metal, other than 
lathes of heading No 8458 
-Machine-tools for deburring, sharpening, grinding, honing, lapping, 
polishing or otherwise finishing metal, sintered metal carbides or 
cermets by means of grinding stones, abrasives or polishing 
products, other than gear cutting, gear grinding or gear finishing 
machines of heading No 8461 
-Machine-tools for planing, shaping, slotting, broaching, gear 
cutting, gear grinding or gear finishing, sawing, cutting-off and 
other machine-tools working by removing metal, sintered metal 
carbides or cermets, not elsewhere specified or included 
-Machine-tools (including presses) for working metal by forging, 
hammering or die-stamping; machine-tools (including presses) for 
working metal by bending, folding, straightening, flattening, 
shearing, punching or notching; presses for working metal or metal 
carbides, not specified above 
-Other machine-tools for working metal, sintered metal carbides or 
cermets, without removing material 
-Machine-tools for working stone,ceramics, concrete, asbestos-
cement or like mineral materials qr for cold working glass 
-Machine-tools (including machines fbr nailing, stapling, glueing or 
otherwise assembling) for working w^od, cork, bona, hard rubber, 
\ 
Order No 
18.0438 
18.0440 
18.0442 
18.0444 
18.0446 
18.0448 
18.0450 CODE DESCRIPTION 4. 
18v0456 
18.0458 
18.0460 
18.0462 
18.0464 
18.0466 8467 
8468 
8469 
8470 
8471 
8472 
8477 
18.0452 18478 
18.0454 |Q480 
J8501 
8508 other than 
;8508 80 80 
8514 
8515 
8526 
9009 hard plastics or similar hard materials 
-Tools for working in the hand, pneumatic or with self-contained non­
electric motor 
-Machinery and apparatus for soldering, brazing or welding, whether 
or not capable of cutting, other than those of heading No 8515; 
gas-operated surface tempering machines and appliances 
-Typewriters and word-processing machines 
-Calculating machines; accounting machines, postage-franking, 
machines, ticket-issuing machines and similar machines, 
incorporating a calculating device; cash registers 
-Automatic data processing machines and units thereof; magnetic or 
optical readers, machines for transcribing data onto data media in 
coded form and machines for processing such data, not elsewhere 
specified or included 
-Other office machines (for example,, hectograph or stencil 
duplicating machines, addressing machines, automatic banknote 
dispensers, coin-sorting machines, coin-counting or wrapping 
machines, pencil-sharpening machines, perforating or stapling 
machines) 
-Machinery for working rubber or plastics or for the manufacture of 
products from these materials, not specified or included elsewhere 
in this Chapter 
-Machinery for preparing or making up tobacc 
included elsewhere in this Chapter not specified or 
-Moulding boxes for metal foundry; mould bases; moulding patterns; 
moulds for metal (other than ingot moulds), metal carbides, glass, 
mineral materials, rubber or plastics 
-Electric motors and generators (excluding generating sets) 
-Electro-mechanical tools for working in the hand, with self-
contained electric motor other than hedge trimmers and lawn edge cutters 
-Industrial or laboratory electric (including induction or 
dielectric) furnaces and ovens; other industrial or laboratory 
induction or dielectric heating equipment 
-Electric (including electrically hsated gas), laser or other light 
or photon beam, ultrasonic, electron beam, magnetic pulse or plasma 
arc soldering, brazing or welding machines and apparatus, whether 
or not capable of cutting; electric machines and apparatus for hot 
spraying of metals or sintered metal carbides 
-Radar apparatus, radio navigational aid apparatus and radio remote 
control apparatus 
-Photocopying apparatus incorporating an optical system or of the 
Order No CODE DESCRIPTION 
18.0468 
18.0470 
18.0472 
18.0474 
18.0476 
18.0478 
18^0480 contact type and thermo-copying apparatus 
-Apparatus and equipment for photographic (including cinematographic) 
laboratories (including apparatus for the projection of circuit 
patterns on sensitised semi-conductor materials), not specified or 
included elsewhere in this Chapter; negatoscopes; projection 
screens 
-Drawing, marking-out or mathematical calculating instruments (for 
example, drafting machines, pantographs, protractors, drawing sets, 
slide rules, disc calculators); instruments for measuring length, 
for use in the hand (for example, measuring rods and tapes, 
micrometers, callipers), not specified or included elsewhere in 
this Chapter 
-Machines and appliances for testing the hardness, strength, 
compressibility, elasticity or other mechanical properties of 
materials (for example, metals, wood, textiles, paper, plastics) 
-Instruments and apparatus for measuring or checking the flow, level, 
pressure or other variables of liquids or gases (for example, flow 
meters, level gauges, manometers, heat meters), excluding 
instruments and apparatus of heading No 9014, 9015, 9028 or 
9032 
-Instruments and apparatus for physical or chemical analysis (for 
example, polarimeters, refractometers, spectrometers, gas or smoke 
analysis apparatus); instruments and apparatus for measuring or 
checking viscosity, porosity, expansion, surface tension or the 
like; instruments and apparatus for measuring or checking 
quantities of heat, sound or light (including exposure meters); 
microtomes 
-Gas, liquid or electricity supply or production meters, including 
calibrating meters therefor 
-Prefabricated buildings 
Il 
FINANCIAL RECORD 
1. Budget line concerned : Chap. 12 Art. 120 
2. Legal basis : Art. 28 of the Treaty 
3. Title of the tariff measure concerned : Proposal for a Council Regulation 
(EEC) temporarily suspending the autonomous Common Customs Tariff duties 
on certain industrial products intended to equip the free zones of the 
Azores and Madeira 
4. Objective : To provide favourable conditions for the supply of certain 
industrial products intended to equip the free zones of the Azores and 
Madeira 
5. Duty-loss : On the basis of information from the Portuguese authorities, 
the loss of revenue for the period 1 March 1993 until 31 December 2000 is 
estimated to amount to 25 390 000 ECU. 
ISSN 0254-1475 
COM{93) 126 final 
DOCUMENTS 
EN 02 
Catalogue number : CB-CO-93-148-EN-C 
ISBN 92-77-53952-6 
Office for Official Publications of the European Communities 
L-2985 Luxembourg