WRITTEN QUESTION P-0770/02 by Jaime Valdivielso de Cué (PPE-DE) to the Commission. Steel trade.
Date: 2002-03-11
Institutions: European Parliament, Provisional data
Subjects: United States, World Trade Organisation, customs duties, protective clause, steel, trade dispute

6.3.2004

EN

Official Journal of the European Union

C 58 E/3

The Community program of evaluating more than 800 existing active substances should be finalised
5.
by 2008. After that time, all active substances remaining on the market and any newly developed active
substance should have been adequately tested and evaluated at Community level.

The rapid alert system for foodstuffs operated by the Commission, has the role of permitting the
6.
rapid exchange of information between the Commission and the Member States allowing risk mitigation
measures to be taken where appropriate in the event of a reported risk to the consumer. The Commission
is currently developing guidelines for the reporting of risks to the consumer due to the presence of
pesticide residues in food.

(1) 2000/233/EC: Commission Decision of 9 March 2000 concerning the non-inclusion of pyrazophos in Annex I to
Council Directive 91/414/EEC and the withdrawal of authorisations for plant protection products containing this
active substance, OJ L 73, 22.3.2000.

(2) http://europa.eu.int/comm/food/fs/ph_ps/pro/eva/existing
(3) Commission Directive 2000/82/EC of 20 December 2000 amending the Annexes to Council Directives 76/895/
EEC, 86/362/EEC, 86/363/EEC and 90/642/EEC on the fixing of maximum levels for pesticide residues in and on
fruit and vegetables, cereals, foodstuffs of animal origin and certain products of plant origin, including fruit and
vegetables respectively, OJ L 3, 6.1.2001.

(2004/C 58 E/003)

WRITTEN QUESTION P-0770/02

by Jaime Valdivielso de Cué (PPE-DE) to the Commission

(11 March 2002)

Subject: Steel trade

On 5 March the USA unilaterally imposed tariffs on steel imports which range from 8 % to 30 % of the
value thereof and which will apply, subject to review, for a three-year period starting on 30 March.

Naturally, the European Union is going to take the matter to the World Trade Organisation.

What immediate effect might this have on the steel industry in Europe?

What action is to be taken in order to protect the European steel industry whilst the WTO is dealing with
the issue, and how is the sector to be compensated for any losses suffered?

How long is it likely to take for the dispute to be resolved?

Answer given by Mr Lamy on behalf of the Commission

(5 April 2002)

As the Honourable Member rightly mentions in his question, it is clear that the Community has no choice
but to challenge the unilateral American measures against steel imports in the World Trade Organisation
(WTO). The Commission therefore requested consultations with the United States under the WTO Dispute
Settlement undertaking and Safeguards Agreement on 7 March 2002. If these consultations were to be
unsuccessful, the Commission would be in position to request the establishment of a Panel as early as
6 May 2002.

It is clear that the American action involves a number of procedural and substantive violations of WTO
rules. The Commission is therefore confident that the WTO will ultimately rule against the United States,
as it has already done in four other safeguard cases. However, as the Honourable Member implies, this
process will take some time.

The American measures will cause significant disruption to the world steel market. Exporters, particularly
of products covered by 30 per cent increases in tariffs, will look for alternative markets. On a conservative
estimate, some 15 million tonnes of steel could be diverted from the American market. Given the overall
economic situation, much of this steel is likely to head towards the Community.

C 58 E/4

Official Journal of the European Union

EN

6.3.2004

At the request of the various European steel industry associations, the Commission is therefore examining
the case for a European safeguard measure. Any such measure would not seek to cut the current high
levels of imports to the Community, but only prevent the negative effects of massive trade diversion
caused by the American measures. Any Community safeguard action would, of course, only be undertaken
in full conformity with WTO rules.

In application of WTO rules, the Commission is also asking the United States to propose compensation
measures at the level of the amount of European exports hit by the American measures. In light of their
reaction, the Commission will consider whether a suspension of tariff concessions vis-à-vis the United
States, in full conformity with WTO rules, is appropriate.

It is difficult at this stage to make any reliable forecast of how long the dispute will last. However, if the
WTO dispute settlement procedure runs its full course, it could take 18 to 24 months.

(2004/C 58 E/004)

WRITTEN QUESTION P-0800/02

by Christopher Huhne (ELDR) to the Commission

(13 March 2002)

Subject: Expenditure on private finance initiatives and public-private partnerships (cid:1) Answer to Written

Question E-3528/01

Further to the Commission’s answer E-3528/01 (1), does the Commission intend to do any work collecting
information on government expenditure on private finance initiatives and public-private partnerships?
Is the Commission doing any such work?

If so, when does it expect to be able to provide an estimate for each Member State?

If not, will the Commission state why it is not concerned that such schemes may be effective ways of
removing public investment from the Maastricht definition of the budget balance without removing the
ultimate liability?

Will it set out the criteria by which it believes schemes should fall within or without the Maastricht
definition?

(1) OJ C 147 E, 20.6.2002, p. 198.

Reply by Mr Solbes Mira on behalf of the Commission

(19 April 2002)

The Commission does not collect separate information on government expenditure on private finance
initiatives and public-private partnerships in connection with the notification of data on debt and deficit.

However, finance initiatives of this kind are covered by the national accounts and their effects are taken in
to account appropriately in the calculation of the main Maastricht aggregates (deficit and debt).

Moreover, accounting for these programmes is covered by the manual on public deficit and debt drawn up
by Eurostat, which is available to those responsible for the national accounts. This manual provides for
harmonised accounting for the main operations involved in private finance initiatives and public-private
partnerships.