92/434/ECSC: Commission Recommendation of 14 August 1992 imposing protective measures in respect of certain ECSC iron and steel products originating in the Czech and Slovak Federal Republic (Only the German, French and Italian texts are authentic)
Date: 1992-08-14
Institutions: European Commission
Subjects: import licence, import restriction, iron and steel product, market supervision













EUR-Lex - 31992H0434 - EN






Avis juridique important




|



31992H0434

92/434/ECSC: Commission Recommendation of 14 August 1992 imposing protective measures in respect of certain ECSC iron and steel products originating in the Czech and Slovak Federal Republic (Only the German, French and Italian texts are authentic)  


Official Journal L 238 , 21/08/1992 P. 0026 - 0029 





COMMISSION  RECOMMENDATIONof 14 August 1992 imposing protective measures in respect of certain ECSC iron and  steel products originating in the Czech and Slovak Federal Republic (Only the French, German and  Italian texts are authentic) (92/434/ECSC) THE COMMISSION OF THE EUROPEAN  COMMUNITIES, Having regard to the Treaty establishing the European Coal and Steel Community, Having regard to Commission Decision 524/92/ECSC, and in particular Article 5 thereof  (1), Whereas: (1)  An Interim Agreement on trade and trade-related matters between the European Economic  Community, of the one part, and the Czech and Slovak Federal Republic (hereinafter referred to as  'Czechoslovakia`), of the other part, was signed in Brussels on 16 December 1991. Safeguard measures may be taken under Articles 24 and 27 (3) (d) of this Interim Agreement. (2)  On 29 July, 31 July and 3 August 1992 respectively, Germany, France and Italy requested that  the Commission adopt forthwith safeguard measures under the Interim Agreement in respect of imports  of certain ECSC iron and steel products originating in Czechoslovakia. (3)  In their requests the authorities of the Member States concerned claimed that the products in  question were being imported in such increased quantities and under such conditions as to cause or  threaten to cause: -  serious injury to domestic producers of like or directly competing products, or -  serious disturbances in the sector concerned or difficulties which could bring about serious  deterioration in the economic situation of a region. (4)  In support of their claim, the Member States in question supplied the Commission with  information showing that imports from Czechoslovakia of hot-rolled coils, cold-rolled sheets and  bars and rods increased considerably in the first few months of 1992. (a)  Hot-rolled coils falling within the CN codes listed in Annex I: the import documents requested  or issued show an upward trend of up to 320  % over 1991 levels for certain products imported into  Germany and of up to 575  % over 1991 levels for certain products imported into France. The market share of imports from Czechoslovakia consequently rose from 0,9  % in 1991 to 3,2  % in  Germany, from 1  % to 4,6  % in France and from 2,2  % to 3,3  % in Italy. In the case of  particular CN codes, market share reached 15,3  % in Germany, 12  % in France and 10,7  % in  Italy. (b)  Cold-rolled sheets falling within the CN codes listed in Annex II: the import documents  requested or issued show an upward trend of up to 320  % for certain products imported into  France. The market share of imports from Czechoslovakia consequently rose from 1,4  % to 2,8  % in France,  and reached 13,6  % in the case of certain products. The market share achieved was 3  % in Germany  and 2,2  % in Italy. (c)  Bars and rods falling within the CN codes listed in Annex III: the extremely rapid increase in  imports from Czechoslovakia brought a rise in their share of the German market from 5,5  % in 1991  to 14  % in 1992. (5)  The information provided by the Member States moreover indicates that the prices of these  imports were very low (20 to 30  % below Community market prices). The Member States claim that the suddenness, scale, volume and price of these imports have caused a  disturbance of their markets and that the situation threatens to worsen further. These are markets  where demand is already low and prices falling, and where production capacity is severely  under-used, with even the most efficient firms working at a loss. There is a risk of additional job  losses and even closure of some plants. (6)  Because of these factors, the iron and steel industry in certain parts of the Community is  especially vulnerable were certain products are concerned to any sudden and substantial increase in  the market share of non-member country producers, particularly where this is achieved by charging  low prices. Such transactions depress prices within the Community and take sales away from  Community firms, reducing the use they make of their production capacity and contributing to a  dramatic increase in losses. This pattern of imports from Czechoslovakia, which has brought its exporters a market share of up  to 27  %, is indicative of a momentum which has no reason to diminish. The Member States have  pointed to: -  the greater frequency of requests for import documents, -  Czechoslovakia's production capacity, which is the largest in central Europe, -  the increase in export opportunities arising from the fact that the country has lost many of its  markets in central and eastern Europe, particularly the Commonwealth of Independent States (CIS), -  the decrease in domestic demand in Czechoslovakia, -  the geographical proximity of the Community, which makes it a natural market for exports from  Czechoslovakia. Under these circumstances, there is an imminent danger that the disturbance already caused by  imports from Czechoslovakia will increase. (7)  In the light of the above, the Commission considers that the criteria laid down in Articles 24  and 27 (3) (d) of the Interim Agreement have been met and that it is necessary to adopt forthwith  protective measures in respect of the products listed below, in order to counter the injury which  the imports from Czechoslovakia threaten to cause. The products in question are: -  hot-rolled coils imported into France, Germany and Italy, -  cold-rolled sheets imported into France, -  bars and rods imported into Germany. (8)  The Commission considers that the imports in question should be limited using the level of  imports in 1991 as a reference. This quantitative limit should, however, be increased by 20  % to  allow for a reasonable growth in imports. (9)  The Commission will, moreover, closely monitor the pattern of imports from Czechoslovakia on  the markets of each of the Member States, and will review the situation in the light of the results  which emerge, HAS ADOPTED THIS RECOMMENDATION: Article 1 1.  Imports from Czechoslovakia into  the Member States listed below of the products listed below shall be subject to presentation of an  import authorization issued by the authorities of the appropriate Member State. >TABLE>2.   The import authorization referred to in paragraph 1 shall be issued by the authorities of the  Member State in question against the annual quotas listed below for the year 1992, with account  being taken of amounts already imported. >TABLE>Article 2 This Recommendation shall not  prevent the release for free circulation of products which, at the time of its entry into force,  were already under way to the Community. Article 3 This Recommendation is addressed to France,  Germany and Italy. It shall be applicable until 31 December 1992. Done at  Brussels, 14 August 1992. For the Commission Frans ANDRIESSEN Vice-President  ANNEX I HOT-ROLLED COILS >TABLE> ANNEX II COLD-ROLLED SHEETS >TABLE> ANNEX III BARS AND RODS >TABLE>