Proposal for a COUNCIL REGULATION (EC) amending Regulation (EC) No 519/94 of 7 March 1994 on common rules for imports from certain third countries and repealing Regulations (EEC) Nos 1765/82, 1766/82 and 3420/83
Date: 1994-12-14
Institutions: European Commission
Subjects: China, import, import policy, market protection, quantitative restriction, third country

COMMISSION  OF  THE  EUROPEAN  COMMUNITIES 

COH(94) 646 final 
Brussels,  14.12.1994 

94/0311  (ACC) 

Proposal  for a 

COUNCIL  REGULATION  (EC) 

amending Regulation  (EC) No 519/94 of 7 March  1994 

on common rules for imports  from certain third countries 

and repealing Regulations  (EEC) Nos 1765/82, 1766/82 and 3420/83 

(presented  by the Commission) 

Explanatory memorandum 

a> • 

1. The  accession  of  new  Member  States  to  the  European  Union  calls  for 
adjustments  in  the  quantitative  quotas  introduced  by  Council 
Regulation  (EC)  No 519/94  of  7 March  1994  on  imports  of  certain 
sensitive  products  originating  in  China.1  continuity  in  the 
acceding  countries  traditional  trade  flows  for  products  subject  to 
quotas  should  be  ensured,  without  adversely  affecting  the  community 
industry. 

such  adjustments  should  be  carried  out  on  the  basis  of  these 
countries'  imports  for  1993,  the  most  recent  year  for  which  full 
statistical  records  are  available,  which  may  be  considered  as 
representative  of  traditional  trade  flows,  particularly  in  view  of 
the fact that imports in these countries have been allowed to develop 
without being subject to quantitative restrictions. 

It should be noted that the  adjustments do not entail an increase in 
the  quotas  in  real  terms.  Quite  simply,  they  mirror  the  current 
position  in  traditional  trade  between  the  Community,  the  acceding 
countries and the People's Republic of China. 

2. The  experience  gained  in  implementing  and  administering  the  quotas 
applicable  in  1994, together  with  a  review  of  the  situation  of  the 
Community  industry  concerned,  suggest  that  certain  quotas  could 
actually  be  increased  without  weakening  the  protection  afforded  to 
the  Community  industry  (eg.  3%  for  porcelain  goods,  17.63%  for 
ceramic  goods,  19.76% for  glassware  and about  4% on  average  for the 
toys quotas, including the increases proposed in COM(94)312). 

The  same  does  not  apply  to  footwear  quotas,  for  which,  in  general, 
an  increase  would  not  be  justified  beyond  that  required  by  the 
accession  of the new Member  States.  However, analysis  of the  sector 
shows  that  it  is  possible  to  expand  the  range  of  the  sports  shoes 
already  exempted  from  quotas,  to  include  certain  footwear  designed 
exclusively  for  sporting  activities;  consequently,  the  quotas 
covering the products  falling within CN codes ex 6402  19 and ex 6403 
19  should  be  eliminated,  and  the  mention  of  the  12  ecu  CIF  price 
condition  should  be  modified  in  the  definition  of  the  footwear 
involving special technology. 

3. It  is proposed  therefore  to modify  the quotas  applicable  in  1995 as 
shown  in  the  annex  to  the  Regulation  attached.  To  ensure  maximum 
transparency  in  the  way  the  quotas  concerned  are  increased,  the 
proportion of increase by reason of accession should be shown. 

In  addition,  as  is  customary  practice  in  the  Community,  it  is  only 
fair  to  exempt  goods  en  route  for  one  of  the  acceding  countries  on 
31 December  1994,  and  for  which  the  destination  cannot  be  changed, 
from application of the quotas  ("shipping clause"). 

Accordingly, a draft regulation is attached for approval. 

1  OJ No L 67, 10.3.1994, p.89. 

Draft 

Council  Regulation  (EC) 

amending  Regulation  (EC) No  519/94  of  7 March  1994 

on  common  rules  for  imports  from  certain  third  countries 

and  repealing  Regulations  (EEC) Nos  1765/82,  1766/82  and  3420/83 

THE  COUNCIL  OF  THE  EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in 

particular  Article  113  thereof, 

Having  regard  to  the  proposal  from  the  Commission, 

Whereas  Council  Regulation  (EC)  No  519/94  of  7  March  1994  on  common 

rules  for  imports  from  certain  third  countries  and  repealing 

Regulations  (EEC)  No  1765/82,  (EEC)  No  1766/82  and  (EEC)  No  3420/83,1 

as  amended  by  Regulation  (EC)  No  1921/94  of  25  July  1994,2  introduced 

certain  quantitative  quotas,  listed  in  Annex  II  to  that  Regulation, 

applicable  to  the  People's  Republic  of  China; 

Whereas  in  accordance  with  Article  2  of  the  Act  concerning  the 

conditions  of  accession  of  Norway,  Austria,  Finland  and  Sweden  and  the 

adjustments  to  the  Treaties  on  which  the  Union  is  founded,  hereafter 

referred  to  as  the  Act  concerning  the  accession,  these  quotas  are 

applicable  to  the  acceding  countries,  subject  to  and  on  the  date  of  the 

entry  into  force  of  the  Treaty  concerning  the  accession  of  those 

acceding  countries;  whereas  in  accordance  with  Article  169  of  the  Act, 

the  Community  institutions  may  make  the  necessary  adaptations  to 

Community  acts  which  have  not  been  provided  for  in  the  Act  of 

accession; 

Whereas  the  Council,  in  determining  the  level  of  the  quotas  referred  to 

above,  endeavoured  to  strike  a  balance  between  adequate  protection  of 

the  Community  industries  concerned  and  the  need  to  preserve  traditional 

trade  flows  with  the  People's  Republic  of  China,  bearing  in  mind  the 

various  interests  of  the  parties  concerned; 

Whereas  with  a  view  to  accession  this  balance  should  be  preserved  by 

ensuring  continuity  in  the  acceding  countries*s  traditional  trade  flows 

for  the  products  concerned,  without  prejudice  to  the  protection  of  the 

Community  industry; 

1 
2 

OJ  No  L  67,  10.3.1994, p.89 
OJ  No  L  198, 30.7.1994, p.l 

- 2 

Whereas,  to tîiis end,  it  should  be borne  in mind  that  imports  of  the 

products  concerned  have  developed  in  each  of  the  acceding  countries 

without  the  constraints  imposed  by  quantitative  restrictions,  whereas 

imports  recorded  in  1993  -  the  most  recent  year  for  which  full 

statistical  records  are  available  -  may  be  considered  as  being 

representative of the pattern of traditional trade; 

Whereas  in the circumstances, subject to and on the date of entry into 

force  of  the  Treaty  concerning  the  accession  of  Norway,  Austria, 

Finland and Sweden, the levels of quotas established on an annual basis 

pursuant to Regulation  (EC) No 519/94 should be adjusted by addition of 

the  quantities  shown  in  the  Annex  to  this  Regulation,  which  are 

equivalent to imports recorded in 1993; 

Whereas,  in  addition,  the  experience  gained  in  applying  and 

administering  the  1994 quotas  together with  a review  of  the  situation 

of  the  various  Community  producers  based  on  available  data  concerning 

the  main  economic  indicators,  and  in  particular  production,  exports, 

imports,  consumption  and employment  levels, suggest that  some of these 

quotas  could  be  increased;  whereas  such  increases  may  be  introduced 

while  guaranteeing  the necessary  level of protection  for the  Community 

industry  and  ensuring  a more  appropriate  volume  of  trade  with  China; 

whereas  the  same  does  not  hold  in  respect  of  quotas  imposed  on 

footwear, which  should not be increased beyond the quantities  required 

by reason of the accession of the new Member States; 

Whereas,  however,  Council  Regulation  (EC) No 519/94  had  excluded  from 

the  application  of  any  quantitative  restrictions  certain  sports 

footwear involving special technology; whereas in-depth analysis of the 

sector  shows  that  the  range  of  such  footwear  which  may  be  freely 

imported  without  causing  prejudice  to  the  Community  industry  can  be 

expanded;  whereas  the  quotas  covering  the  products  falling  within  CN 

codes ex 6402 19 and ex 6403 19 should be eliminated and the mention of 

the  CIF  price  condition  figuring  in  the  definition  of  the  footwear 

involving  special  technology  should  be  modified;  whereas  these 

products should however be subject to prior Community  surveillance, and 

Annex III to Regulation  (EC) No 519/94 should accordingly be amended; 

- 3 -

Whereas,  therefore,  from  1 January  1995,  subject  to  the  entry  into 

force on that date of the Treaty of accession to the European Union of 

Norway, Austria, Finland and Sweden as regards the adjustments required 

by  it, the quantitative quotas introduced by Regulation  (EC) No 519/94 

should be modified as shown in the Annex to this Regulation; 

whereas  quotas  should  not  apply  to  products  en  route  for  one  of  the 

acceding  countries  on  31 December 1994 where  their  destination  cannot 

be changed, 

HAD ADOPTED THIS REGULATION: 

Article 1 

As  from  1 January  1995 Annex II to Regulation  (EC) No 519/94  shall be 

replaced by the Annex to this Regulation. 

Article 2 

The text concerning  footwear in Annex III to Regulation  (EC) No 519/94 

is hereby replaced by the following : 

"Footwear falling within HS/CN codes  6402 19 

ex 6402 99  (1) 

6403 19 

ex 6403 91 (1) 

ex 6403 99  (1) 

ex 6404 11 (1) 

(1) a)  footwear which is designed  for a sporting activity  and has, or 

has  provision  for  the  attachment  of  spikes,  sprigs,  stops, 

clips, bars or the like, with a non-injected sole; 

- 4 -

b)  footwear involving special technology  : shoes 

-  with in-soles of a length of less than 24 cm and which have 

a cif price per pair of not less than ECU 6 

with in-soles of a length of 24 cm or more and which have a 

cif price per pair of not less than ECU 8 

for  use  in  sporting  activities, with  a single- or  multi-layer 

moulded  sole,  not  injected,  manufactured  from  synthetic 

materials  specially  designed  to  absorb  the  impact  of  vertical 

or  lateral  movements  and  with  technical  features  such  as 

hermetic  pads  containing  gas  or  fluid,  mechanical  components 

which  absorb  or  neutralize  impact  or  materials  such  as  low-

density polymers." 

Article 3 

Products  en  route  for  either  Austria,  Finland  or  Sweden  on 

31 December  1994 shall not be subject to the quotas listed in the Annex 

to  this  Regulation  and  may  therefore  be  freely  imported,  where  their 

destination cannot be changed. 

Article 4 

This Regulation shall enter into force on 1 January 1995. 

) 

This Regulation shall be binding in its entirety 

and directly applicable in all Member States. 

Done at Brussels, 

r 

ANNEX 

Annex II 

List of quota for certain products originating in China. 

Product 
description 

CN code 

Quotas 
(annual basis) 

of which by reason 
of accession 

Gloves 

4203 29 

ECU  119.090.934 

ECU 22.140.267 

Footwear  falling 
within HS/CN codes 

ex 6402 99(1) 

39.151.481 pairs 

4.151.481 pairs 

6403 51 
6403 59 

ex 6403 91(1) 
ex 6403 99(1) 

2.740.116  pairs 

240.116 pairs 

11.881.963 pairs 

1.955.963  pairs 

ex 6404 11(1) 

18.228.780 pairs 

1.378.780 pairs 

6404 19 10 

31.897.716 pairs 

2.845.716  pairs 

Tableware, 
kitchenware of 
porcelain or china 

Ceramic tableware 
or kitchenware 

Glassware of a kind 
used for table, etc. 

Car radios  falling 
within HS/CN codes 

Toys falling within 
HS/CN codes 

6911 10 

44.345 tonnes 

3.893 tonnes 

6912 00 

34.592 tonnes 

2.377 tonnes 

7013 

15.515 tonnes 

1.906  tonnes 

8527 21 
8527 29 

9503 41 
9503 49 
9503 90 

2.238.899  units 
251.664 units 

138.899 units 
19.587 units 

ECU 274.764.243 
ECU 132.767.177 
ECU 649.465.212 

ECU  16.447.910 
ECU  11.110.177 
ECU 44.714.212 

(1) 

which 
for 

like, 

is 
the 
with 

involving 

: 

Excluding 
a) 
footwear 
has  provision 
bars 
the 
or 
footwear 
b) 
with 
cif 
with 
price 
use 

for 
moulded 
specially 
movements 
containing 
neutralize 

in-soles 

price 

per 

in 
sole, 

in-soles 
per 

pair 
sporting 
not 
designed 
and  with 
or 

gas 
impact 

designed 
attachment 

for 

of 

a  sporting 
spikes, 

activity 

and  has, 

or 

sprigs, 

stops, 

clips, 

a  non-injected 
special 
of  a  length 
pair 
of  a  length 

of  not 

technology 
less 

sole; 

: 

shoes 

than 
than  ECU  6 

of 
leas 
of  24  cm  or  more  and  which 

24  cm  and  which 

have  a 

have 

a  cif 

of  not 

less 

than  ECU  8 

activities, 

with 

a  single- 

or 

multi-layer 

injected, 

to  absorb 
technical 

manufactured 
impact 

the 
features 

fluid, 
or  materials 

mechanical 

such 

from 

synthetic 

materials 

of  vertical 

or 

lateral 

such 
components 
as 

low-density 

as  hermetic 
which 

pads 

absorb 
polymers. 

or 

ISSN 0254-1475 

COM(94) 646 final 

DOCUMENTS 

EN 

1102 

Catalogue number : CB-CO-94-675-EN-C 

ISBN 92-77-83988-0 

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