Agreement in the form of an exchange of letters amending the Agreement between the European Economic Community and Hong Kong on trade in textile products - Agreed Minutes - Notes verbale - Exchanges of notes
Date: 1992-12-21
Institutions: European Economic Community, Hong Kong
Subjects: international trade, protocol to an agreement, textile product, third country













EUR-Lex - 21992A1231(18) - EN






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21992A1231(18)

Agreement in the form of an exchange of letters amending the Agreement between the European Economic Community and Hong Kong on trade in textile products - Agreed Minutes - Notes verbale - Exchanges of notes  Unofficial translation  


Official Journal L 410 , 31/12/1992 P. 0002 - 0013 Finnish special edition: Chapter 11 Volume 30 P. 0019  Swedish special edition: Chapter 11 Volume 30 P. 0019  L 110 30/04/1994 P.0002 





AGREEMENT in the  form of an exchange of letters amending the Agreement between the European Economic Community and  Hong Kong on trade in textile productsLetter N° 1 Sir, 1. I have the honour to refer to the consultations held on 28 to 30 October 1992 between our  respective delegations for the purpose of amending the Agreement on trade in textile products  between the European Economic Community and Hong Kong, applied since 1 January 1987, as extended by  the exchange of letters applied since 1 January 1992 (hereinafter 'the Agreement`). 2. As a result of these consultations, both Parties agreed to amend the following provisions of the  Agreement: 2.1. Annex II which sets out the quantitative restrictions for exports from Hong Kong to the  European Economic Community is replaced for the period 1 January 1993 to 31 December 1994 by  Appendix 1 to this letter. 2.2. Article 7 (5) (c), (7) and (9) of the Agreement are deleted. Consequently, the references to  paragraphs 9 and 7 in paragraphs 5 (d) and 10 are also deleted. 2.3. At the end of Article 8 (2) the following is added: 'This information shall, for all categories of products, be transmitted before the end of the  second month following the quarter to which the statistics relate.`2.4. Article 8 (3) is replaced  by the following: 'The information referred to in paragraph 1 shall, for all categories of products, be forwarded  before the end of the month following the month to which the statistics relate.`2.5. Article 11  (1) and (2) are replaced by the following: '1. The quantitative limits established under this Agreement on imports into the Community of  textile products of Hong Kong origin will not be broken down by the Community into regional  shares. 2. The Parties shall cooperate in order to prevent sudden and prejudicial changes in traditional  trade flows resulting in regional concentration of direct imports into the Community. 3. Hong Kong shall monitor its exports of products under restraint into the Community. Should a  sudden and prejudicial change in traditional trade flows arise, the Community will be entitled to  request consultations in order to find a satisfactory solution to those problems. Such  consultations must be held within 15 working days of their being requested by the Community, and in  accordance with Article 14 (1). 4. Hong Kong shall endeavour to ensure that exports of textile products subject to quantitative  limits into the Community are spaced out as evenly as possible over the year due account being  taken in particular of seasonal factors.`2.6. Article 12 is deleted. 2.7. The following is added at the beginning of Article 14 (1): '1. Save where it is otherwise provided for in this Agreement, . . .`2.8. The second sentence of  Article 16 (1) is replaced by the following: 'It shall be applicable until 31 December 1994. Thereafter, the application of all the provisions  of this Agreement shall be automatically extended for a period of one more year up to 31 December  1995, unless either Party notifies the other at least six months before 31 December 1994 that it  does not agree with this extension. However if the Agreement on trade in textiles and clothing  products resulting from the Uruguay Round GATT trade negotiations is concluded and enters into  force at an earlier date, this Agreement shall be automatically terminated as of the date agreed  for the implementation of the results of the Uruguay Round GATT trade negotiations.`2.9. The first  sentence of Article 5 (1) of Protocol A is replaced by the following: '1. The export licence shall conform to the model annexed to this Protocol and it shall be valid  for exports throughout the customs territory to which the Treaty establishing the European Economic  Community is applied. However, where the Community has made recourse to the provisions of Article 7  in accordance with the provisions of the Agreed Minute No 1, or to the Agreed Minute No 2, the  textile products covered by the corresponding export licences can only be put into free circulation  in the region(s) of the Community indicated in those licences.`2.10. The second indent of Article  10 (1) of Protocol A to the Agreement is replaced by the following: 'The import authorizations shall be valid for six months from the date of their issue for imports  throughout the customs territory to which the Treaty establishing the European Economic Community  is applied. However, where the Community has recourse to the provisions of Article 7 in accordance  with the provisions of the Agreed Minute No 1, or to the Agreed Minute No 2, the products covered  by the corresponding import licences can only be put into free circulation in the region(s) of the  Community indicated in those licences.`2.11. The second and fifth indents of Article 12 (2) of  Protocol A are replaced by the following: '- two letters identifying in the intended Member State of customs clearance as follows: . . .`, '- a five-digit number running consecutively from 00001 to 99999 allocated to the intended Member  State of customs clearance.`2.12. Agreed Minute No 1 set out in Appendix 2 to this letter shall  form an integral part of the Agreement. 2.13. Agreed Minute No 2 set out in Appendix 3 to this letter shall form an integral part of the  Agreement. 2.14. Agreed Minute No 3 set out in Appendix 4 to this letter shall form an integral part of the  Agreement. 2.15. Agreed Minute No 4 set out in Appendix 5 to this letter shall form an integral part of the  Agreement. 3. The Parties agreed that this Agreement in the form of an exchange of letters shall enter into  force on the first day of the month following the day on which the Parties have notified each other  that the legal procedures necessary to this end have been completed. The Parties also agreed that this Agreement in the form of an exchange of letters and the  amendments hereby to the Agreement of 1987, as extended, shall be applied provisionally from 1  January 1993. 4. I should be obliged if you kindly confirm the acceptance of your Government of the foregoing. Please accept, Sir, the assurance of my highest consideration. For the Councilof the European CommunitiesAppendix 1   ANNEX II(The full product  descriptions of the categories listed in this Annex are to be found in Annex I to the Agreement)> TABLE POSITION>Appendix 2 Agreed Minute N° 1In the context of the Agreement  between the European Economic Community and Hong Kong on trade in textile and clothing products,  initialled in Brussels on 3 November 1992, the Parties agreed that Article 7 of the Agreement does  not preclude the Community, if the conditions are fulfilled, from applying the safeguard measures  referred to in Article 7 for one or more of its regions in conformity with the principles of the  internal market. In such an event, Hong Kong shall be informed in advance of the relevant provisions of Protocol A  of the Agreement to be applied, as appropriate.  For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Appendix 3 Agreed Minute N° 2Notwithstanding Article 11 (1) of the Agreement, for  imperative technical or administrative reasons or to find a solution to economic problems resulting  from regional concentration of imports, or in order to combat circumvention and fraud of the  provisions of the Agreement, the Community will establish for a limited period of time a specific  management system in conformity with the principles of the internal market. However, if the Parties are unable to reach a satisfactory solution during the consultations  provided for in Article 11 (3), Hong Kong undertakes, if so requested by the Community, to respect  temporary export limits for one or more regions of the Community. In such a case, these limits  shall not preclude the importation into the region(s) concerned of products which were shipped from  Hong Kong on the basis of export licences obtained before the date of formal notification to Hong  Kong by the Community about the introduction of the above limits. The Community shall inform Hong Kong of the technical and administrative measures, such as defined  in the attached note verbale, that need to be introduced by both Parties in order to implement the  above paragraphs in conformity with the principles of the internal market. For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Note verbale The Directorate-General for External Relations of the Commission of the  European Communities presents its compliments to the Special Representative of Hong Kong to the  European Communities and has the honour to refer to the Agreement on textile products between Hong  Kong and the Community applied since 1 January 1987, as extended by the exchange of letters  initialled on 16 July 1991 and further extended by the exchange of letters initialled on 3 November  1992. The Directorate-General wishes to inform the Special Representative of Hong Kong that the Community  has decided to apply, starting from 1 January 1993, the provisions of paragraph 1 of Agreed Minute  No 2 to the exchange of letters initialled on 3 November 1992. Consequently, the corresponding  provisions of Articles 5 and 10 of Protocol A to the Agreement shall also be applied as of the  above date. The Directorate-General for External Relations avails itself of this opportunity to renew to the  Special Representative of Hong Kong to the European Communities the assurance of its highest  consideration. Appendix 4 Agreed Minute N° 3In the context of the Agreement between the  European Economic Community and Hong Kong on trade in textile and clothing products, initialled in  Brussels on 3 November 1992, the Parties agreed that Hong Kong shall endeavour not to deprive  certain regions of the Community which have traditionally had relatively small shares of Community  quotas of imports of products serving as inputs for their processing industry. The Community and Hong Kong further agreed to hold consultations, should the need arise, in order  to avert any problems which might occur in this respect. The Parties agreed that this Agreed Minute replaces the corresponding Agreed Minute of the  Agreement. For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Appendix 5 Agreed Minute N° 4In the context of the Agreement between the European  Economic Community and Hong Kong on trade in textile and clothing products, applied since 1 January  1987, as extended by the exchange of letters initialled on 16 July 1991 and further extended by the  exchange of letters initialled on 3 November 1992, Hong Kong agreed that, from the date of request  for and pending the consultations referred to in Article 11 (3), it shall cooperate by not issuing  export licences that would further aggravate the problems resulting from the regional concentration  of direct imports into the Community. For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Exchange of notes The Directorate-General for External Relations of the Commission of  the European Communities presents its compliments to the Special Representative of Hong Kong to the  European Communities and has the honour to refer to the Agreement on textile products between Hong  Kong and the Community applied since 1 January 1987, as extended by the exchange of letters  initialled on 16 July 1991 and further extended by the exchange of letters initialled on 3 November  1992. The Directorate-General wishes to inform the Special Representative of Hong Kong that whilst  awaiting the completion of the necessary procedures for the conclusion and the coming into force of  the extended Agreement, the Community is prepared to allow the provisions of the Agreement to apply  de facto from 1 January 1993. This is on the understanding that either party may at any time  terminate this de facto application of the extended Agreement provided that days' 120 notice is  given. The Directorate-General for External Relations would be grateful if the Special Representative  would confirm his Agreement to the foregoing. The Directorate-General for External Relations avails itself of this opportunity to renew to the  Special Representative of Hong Kong to the European Communities the assurance of its highest  consideration. Letter N° 2 Sir, I have the honour to acknowledge receipt of your letter of . . . which reads as follows: 'Sir, 1. I have the honour to refer to the consultations held on 28 to 30 October 1992 between our  respective delegations for the purpose of amending the Agreement on trade in textile products  between the European Economic Community and Hong Kong, applied since 1 January 1987, as extended by  the exchange of letters applied since 1 January 1992 (hereinafter "the Agreement"). 2. As a result of these consultations, both Parties agreed to amend the following provisions of the  Agreement: 2.1. Annex II which sets out the quantitative restrictions for exports from Hong Kong to the  European Economic Community is replaced for the period 1 January 1993 to 31 December 1994 by  Appendix 1 to this letter. 2.2. Article 7 (5) (c), (7) and 9 of the Agreement are deleted. Consequently, the reference to  paragraphs 9 and 7 in paragraphs 5 (d) and 10 are also deleted. 2.3. At the end of Article 8 (2) the following is added: "This information shall, for all categories of products, be transmitted before the end second month  following the quarter to which the statistics relate". 2.4. Article 8 (3) is replaced by the following: "The information referred to in paragraph 1 shall,  for all categories of products, be forwarded before the end of the month following the month to  which the statistics relate."2.5. Article 11 (1) and (2) are replaced by the following: "1. The quantitative limits established under this Agreement on imports into the Community of  textile products of Hong Kong origin will not be broken down by the Community into regional  shares. 2. The Parties shall cooperate in order to prevent sudden and prejudicial changes in traditional  trade flows resulting in regional concentration of direct imports into the Community. 3. Hong Kong shall monitor its exports of products under restraint into the Community. Should a  sudden and prejudicial change in traditional trade flows arise, the Community will be entitled to  request consultations in order to find a satisfactory solution to those problems. Such  consultations must be held within 15 working days of their being requested by the Community, and in  accordance with Article 14 (1). 4. Hong Kong shall endeavour to ensure that exports of textile products subject to quantitative  limits into the Community are spaced out as evenly as possible over the year due account being  taken in particular of seasonal factors."2.6. Article 12 is deleted. 2.7. The following is added at the beginning of Article 14 (1): "1. Save where it is otherwise provided for in this Agreement, . . ."2.8. The second sentence of  Article 16 (1) is replaced by the following: "Is shall be applicable until 31 December 1994. Thereafter, the application of all the provisions  of this Agreement shall be automatically extended for a period of one more year up to 31 December  1995, unless either Party notifies the other at least six months before 31 December 1994 that it  does not agree with this extension. However if the Agreement on trade in textiles and clothing  products resulting from the Uruguay Round GATT trade negotiations is concluded and enters into  force at an earlier date, this Agreement shall be automatically terminated as of the date agreed  for the implementation of the results of the Uruguay Round GATT trade negotiations."2.9. The first  sentence of Article 5 (1) of Protocol A is replaced by the following: "1. The export licence shall conform to the model annexed to this Protocol and it shall be valid  for exports throughout the customs territory to which the Treaty establishing the European Economic  Community is applied. However, where the Community has made recourse to the provisions of Article 7  in accordance with the provisions of the Agreed Minute No 1, or to the Agreed Minute No 2, the  textile products covered by the corresponding export licences can only be put into free circulation  in the region(s) of the Community indicated in those licences."2.10. The second indent of Article  10 (1) of Protocol A to the Agreement is replaced by the following: "The import authorizations shall be valid for six months from the date their issue for imports  throughout the customs territory to which the Treaty establishing the European Economic Community  is applied. However, where the Community has recourse to the provisions of Article 7 in accordance  with the provisions of the Agreed Minute No 1, or to the Agreed Minute No 2, the products covered  by the corresponding import licences can only be put into free circulation in the region(s) of the  Community indicated in those licences."2.11. The second and fifth indents of Article 12  (2)Protocol A are replaced by the following: "- two letters identifying the intended Member State of customs clearance as follows: . . . ""- a  five-digit number running consecutively from 00001 to 99999 allocated to the intended Member State  of customs clearance."2.12. Agreed Minute No 1 set out in Appendix 2 to this letter shall form an  integral part of the Agreement. 2.13. Agreed Minute No 2 set out in Appendix 3 to this letter shall form an integral part of the  Agreement. 2.14. Agreed Minute No 3 set out in Appendix 4 to this letter shall form an integral part of the  Agreement. 2.15. Agreed Minute No 4 set out in Appendix 5 to this letter shall form an integral part of the  Agreement. 3. The Parties agreed that this Agreement in the form of an exchange of letters shall enter into  force on the first day of the month following the day on which the Parties have notified each other  that the legal procedures necessary to this end have been completed. The Parties also agreed that this Agreement in the form of an exchange of letters and the  amendments hereby to the Agreement of 1987, as extended, shall be applied provisionally from 1  January 1993. 4. I should be obliged if you kindly confirm the acceptance of your Government of the foregoing. Please accept, Sir, the assurance of my highest consideration`. I have the honour to confirm that my Government is in agreement with the contents of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of Hong KongAppendix 1   ANNEX II(The full product descriptions of  the categories listed in this Annex are to be found in Annex I to the Agreement)>TABLE> Appendix 2 Agreed Minute N° 1In the context of the Agreement between the  European Economic Community and Hong Kong on trade in textile and clothing products, initialled in  Brussels on 3 November 1992, the Parties agreed that Article 7 of the Agreement does not preclude  the Community, if the conditions are fulfilled, from applying the safeguard measures referred to in  Article 7 for one or more of its regions in conformity with the principles of the internal market. In such an event, Hong Kong shall be informed in advance of the relevant provisions of Protocol A  to the Agreement to be applied, as appropriate.  For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Appendix 3 Agreed Minute N° 2Notwithstanding Article 11 (1) of the Agreement, for  imperative technical or administrative reasons or to find a solution to economic problems resulting  from regional concentration of imports, or in order to combat circumvention and fraud of the  provisions of the Agreement, the Community will establish for a limited period of time a specific  management system in conformity with the principles of the internal market. However, if the Parties are unable to reach a satisfactory solution during the consultations  provided for in Article 11 (3) Hong Kong undertakes, if so requested by the Community, to respect  temporary export limits for one or more regions of the Community. In such a case, these limits  shall not preclude the importation into the region(s) concerned of products which were shipped from  Hong Kong on the basis of export licences obtained before the date of formal notification to Hong  Kong by the Community about the introduction of the above limits. The Community shall inform Hong Kong of the technical and administrative measures, such as defined  in the attached note verbale, that need to be introduced by both Parties in order to implement the  above paragraphs in conformity with the principles of the internal market. For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Note verbale The Directorate-General for External Relations of the Commission of the  European Communites presents its compliments to the Special Representative of Hong Kong to the  European Communities and has the honour to refer to the Agreement on textile products between Hong  Kong and the Community applied since 1 January 1987, as extended by the exchange of letters  initialled on 16 July 1991 and further extended by the exchange of letters initialled on 3 November  1992. The Directorate-General wishes to inform the Special Representative of Hong Kong that the Community  has decided to apply, starting from 1 January 1993, the provisions of paragraph 1 of Agreed Minute  N° 2 to the exchange of letters initialled on 3 November 1992. Consequently, the corresponding  provisions of Articles 5 and 10 of Protocol A to the Agreement shall also be applied as of the  above date. The Directorate-General for External Relations avails itself of this opportunity to renew to the  Special Representative of Hong Kong to the European Communities the assurance of its highest  consideration. Appendix 4 Agreed Minute N° 3In the context of the Agreement between the  European Economic Community and Hong Kong on trade in textile and clothing products, initialled in  Brussels on 3 November 1992, the Parties agreed that Hong Kong shall endeavour not to deprive  certain regions of the Community which have traditionally had relatively small shares of Community  quotas of imports of products serving as inputs for their processing industry. The Community and Hong Kong further agreed to hold consultations, should the need arise, in order  to avert any problems which might occur in this respect. The Parties agreed that this Agreed Minute replaces the corresponding Agreed Minute of the  Agreement. For the Delegationof Hong KongFor the Delegation of the European Economic Community Appendix 5 Agreed Minute N° 4In the context of the Agreement between the European  Economic Community and Hong Kong on trade in textile and clothing products, applied since 1 January  1987, as extended by the exchange of letters initialled on 16 July 1991 and further extended by the  exchange of letters initialled on 3 November 1992, Hong Kong agreed that, from the date of request  for and pending the consultations referred to in Article 11 (3), it shall cooperate by not issuing  export licences that would further aggravate the problems resulting from the regional concentration  of direct imports into the Community. For the Delegationof Hong KongFor the Delegation of theEuropean Economic Community Exchange of notes The Special Representative of Hong Kong to the European Communities  presents his compliments to the Directorate-General for External Relations of the Commission of the  European Communities and has the honour to refer to the Directorate General's Note of 3 November  1992 regarding the Agreement on textile products between Hong Kong and the Community applied since  1 January 1987, as extended by the exchange of letters initialled on 16 July 1991 and further  extended by the exchange of letters initialled on 3 November 1992. The Special Representative of Hong Kong wishes to confirm to the Directorate-General that whilst  awaiting the completion of the necessary procedures for the conclusion and the coming into force of  the extended Agreement, the Government of Hong Kong is prepared to allow the provisions of the  extended Agreement to apply de facto from 1 January 1993. This is on the understanding that either  party may at any time terminate this de facto application of the extended Agreement provided that  120 days' notice is given. The Special Representative of Hong Kong to the European Communities avails himself of this  opportunity to renew to the Directorate-General for External Relations the assurance of his highest  consideration.