WRITTEN QUESTION E-2390/99 by Mogens Camre (UEN) to the Commission. Shipbuilding ‐ State-aided dumping by South Korea ‐ Council Regulation No 1540/98.
Date: 1999-12-16
Institutions: European Parliament, Provisional data
Subjects: South Korea, State aid, World Trade Organisation, dumping, international competition, international trade, shipbuilding

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1.8.2000

6. Will the Commission conduct an inquiry into the use of German warheads for an assault using
chemical weapons in Turkey, given that the equipment was supplied by an EU Member State and that this
involves an act by a candidate Member State in violation of the UN convention on chemical weapons? If
not, why not?

Answer given by Mr Verheugen on behalf of the Commission

(13 January 2000)

The Community is not a party to the Chemical weapons convention (CWC) and has no legal competence
to take position on issues related to chemical weapons.

The issues raised by the Honourable Member should be presented to the Organisation for the prohibition
of chemical weapons, responsible for the implementation of the CWC.

(2000/C 219 E/196)

WRITTEN QUESTION E-2390/99

by Mogens Camre (UEN) to the Commission

(16 December 1999)

Subject: Shipbuilding (cid:129) State-aided dumping by South Korea (cid:129) Council Regulation No 1540/98

I refer to the Commission Report to the Council of 5 October on the situation in the world ship-building
industry, and to Council Regulation No 1540/98 (1).

The report shows that the European ship building industry is facing serious problems of unfair competi-
tion from South Korea. South Korean yards are selling vessels at below cost and nobody has yet managed
to stop them.

On 9 November 1999 the Council (Industry) called on the Commission to meet its obligations under
Article 12 of Council Regulation No 1540/98.

In its conclusion, the Council notes that European ship-building has been caused injury as a result of
Korean policy. In such circumstances, Article 12 requires the Commission to propose to the Council
measures to address the problem.

It is unacceptable that European shipyards cannot compete on fair terms, and are being forced into large-
scale closures. European ship building workers are being made unemployed while owners are suffering
huge losses. The cause is not inefficiency in the European ship building industry but the fact that state
subsidies are enabling South Korean yards to charge prices below the cost of production.

What does the Commission intend to do to halt this unfair South Korean competition for European yards?

What other industries and sectors have complained of unfair competition from South Korea?

(1) OJ L 202, 18.7.1998, p. 1.

Answer given by Mr Lamy on behalf of the Commission

(22 December 1999)

The Commission shares the Honourable Member(cid:146)s concern about world shipbuilding and the difficulties
many Community shipyards are facing because of aggressive competition from Korean shipbuilders.

The Council (Industry) which met on 9 November 1999 asked the Commission to take some specific steps
to stop the unfair practices shown to exist in the sector.

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The Commission will therefore open joint bilateral discussions with the Korean industry and Government
with a view to finding solutions to the problems. The first meeting for this purpose will be held in Paris on
14 December 1999,
in the margins of the meeting of Working Party No 6 of the Organisation for
Cooperation and Development (OECD).

As the vessels in question are not actually imported the usual trade protection, anti-subsidy and anti-
dumping instruments do not apply in this sector. Nevertheless, the Commission is seriously investigating
the possibility of bringing an anti-subsidy action against Korea under multilateral World Trade Organisa-
tion (WTO) rules. At the same time, the European industry is assembling the evidence it will need to be
able to lodge a complaint with the Commission very quickly under the rules on trade barriers.

The monitoring report to be presented to the next meeting of the (Industry) Council will allow the
Community to decide whether any further measures are needed to resolve the problem.

A number of Community industrial sectors have experienced increased competition from Korea and other
Asian countries, following the financial crisis and the resulting currency devaluations. The Commission has
received complaints also alleging dumping or subsidisation in some of these cases. In line with the relevant
Community legislation, where such complaints have contained sufficient prima facie evidence they have
been investigated, and (cid:129) if appropriate (cid:129) measures have been imposed.

(2000/C 219 E/197)

WRITTEN QUESTION E-2396/99

by Roberta Angelilli (NI) to the Commission

(16 December 1999)

Subject: Unbearable working hours at Catis di Latina

The recent restructuring of Catis in Latina has also introduced new working hours, on the basis of a study
commissioned by the firm itself. However, the work is by nature extremely repetitive and alienating,
particularly in one of the divisions (manual assembly line for siphons) and therefore very exhausting for
the company(cid:146)s workers, particularly in that division. The working hours laid down by the above-mentioned
study seem utterly unsuitable and unreasonable, particularly in view of the large reduction in staff, which
has forced the workers still employed at the company to cope with unbearable workloads.

In the light of the above:

1. Are there any studies or documents on working hours or on the observance of reasonable working

hours in assembly lines as a safeguard for workers(cid:146) health?

2. Are there any directives on the subject, have any such directives been completely transposed by Italy,

and if so, what is the corresponding Italian legislation?

3. Does the Commission not consider it advisable to ask the Italian authorities and the company
for information on the facts described, and possibly to intervene to ensure the

management
observance of the regulations in force?

4. Can the Commission give its general views on this matter?

Answer given by Mrs Diamantopoulou on behalf of the Commission

(11 January 2000)

1.
The Commission is sending a copy of the final report on the (cid:145)Transformation of Labour and Future
of Labour Law in Europe(cid:146) directly to the Honourable Member and the Secretariat general of the Parliament.
Together with a detailed list of references to relevant studies and literature.