2008/200/EC: Commission Decision of 20 February 2008 terminating the examination procedure concerning trade practices maintained by Argentina in relation to the imports of textile and clothing products
Date: 2008-02-20
Institutions: European Commission
Subjects: Argentina, certificate of origin, clothing, customs formalities, customs inspection, labelling, tax system, textile product, trade restriction

L 60/34

EN

Official Journal of the European Union

5.3.2008

COMMISSION

COMMISSION DECISION

of 20 February 2008

terminating the examination procedure concerning trade practices maintained by Argentina in
relation to the imports of textile and clothing products

(2008/200/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

(d) excessively burdensome labelling requirement,

Having regard to the Treaty
Community,

establishing the European

(e) statistical tax and discriminatory VAT.

(3)

(4)

(5)

the common commercial policy in order

Having regard to Council Regulation (EC) No 3286/94 of
22 December 1994 laying down Community procedures in
the field of
to
the Community's rights under inter-
ensure the exercise of
national trade rules,
in particular those established under the
auspices of the World Trade Organisation (1), and in particular
Articles 11 (1) thereof,

Whereas:

A. PROCEDURAL BACKGROUND

(1)

(2)

On 11 October 1999, Euratex (European Apparel and
Textile Organisation)
under
lodged
Article 4 of Council Regulation (EC) No 3286/94 (here-
inafter the Regulation) on behalf of those of its members
which export to Argentina or wish to do so.

complaint

a

and

clothing products

The complainant alleged that the Community sales of
textile
in Argentina were
hindered by obstacles to trade within the meaning of
‘a practice adopted
Article 2(1) of the Regulation,
or maintained by a third country and in respect of
which international
trade rules establish a right of
action’. The alleged obstacles to trade were the following.

i.e.

(a) pre-shipment

inspection and minimum customs

values,

(b) excessive requirements for certificates of origin,

(c) requirement

to submit

a Declaration Form on

Product Composition,

The complainant also claimed that these practices were
causing adverse trade effects within the meaning of
Article 2(4) of the Regulation.

The Commission decided therefore, after consultation of
the Advisory Committee established by the Regulation,
that there was sufficient evidence to justify initiating an
examination procedure for the purpose of considering
the legal and factual
issues involved. Consequently, an
examination procedure was initiated on 27 November
1999 (2).

B. THE FINDINGS OF THE EXAMINATION PROCEDURE

the

requirements of

In 2000, the investigation concluded on the certificate of
the burdensome requirements appeared to
origin that
and X of GATT
infringe Article VIII.3
1994,
Article 7.1 of
the WTO Agreement on Textiles and
Clothing and to contravene the recommendations of
Article VIII.1(c) of GATT 1994. The measures on
labelling requirements appeared to violate Article 2.2 of
the WTO Agreement on Technical Barriers to Trade and
to contravene the recommendations of Article VIII.1(c) of
the
regards
GATT 1994. As
they
Declaration Form On Product Composition,
appeared to be in breach of Article 2 of
the WTO
Agreement on Import Licensing Procedures. As for the
procedure
the
Commission services could not express a definitive
position due to the recent introduction of a new law
regulating this matter. On the pre-shipment inspection
issue, no violation of any particular provision of the
WTO Agreement on Pre-shipment Inspection could be
it did not appear to adhere to the
found. However,
purpose
the Agreement. Finally, no
violation of WTO rules had been identified with
respect to the statistical tax, and the issue of the dis-
criminatory VAT was already addressed in the context
of another TBR procedure concerning the import of
finished leather in Argentina (3).

and spirit of

controlling

customs

value,

the

for

(1) OJ L 349, 31.12.1994, p. 71. Regulation as amended by Regulation

(EC) No 356/95 (OJ L 41, 23.2.1995, p. 3).

(2) OJ C 340, 27.11.1999, p. 70.
(3) OJ L 295, 4.11.1998, p. 46.

5.3.2008

EN

Official Journal of the European Union

L 60/35

(6)

(7)

the investigated
The investigation also concluded that
measures had cumulatively caused or threaten to cause
adverse effects within the meaning of Article 2(4) of the
Regulation.

C. DEVELOPMENTS AFTER THE END OF THE
INVESTIGATION

Following the investigation, discussions took place over
the years with the Argentinean authorities with the aim
of achieving an amicable settlement eliminating or
gradually easing the above trade barriers.

fiscal stamps,

(10) With regard to the labelling requirements linked to the
compulsory sewing of
the Argentinean
authorities provided information according to which
the costs of such requirement compared to the value
of the shipment is very limited. It thus appears that the
this remaining obstacle to
possible adverse effects of
trade do not have and cannot have a material
impact
on the economy of the Community or of a region of
the Community, or on the textile-producing sector
therein.

D. CONCLUSION AND RECOMMENDATIONS

(11)

(8) With regard to customs valuation practices, the situation
has improved over
the last years. Transparency has
improved while European manufacturers and exporters
the indicative
can participate in the determination of
values for customs valuation. Pre-shipment
inspection
a
has been eliminated,
Declaration Form on Products Composition does not
appear to create any problem to exporters.

requirement of

and the

In view of the above analysis, it is considered that the
examination procedure has led to a satisfactory situation
with regard to the obstacles that
faced the trade as
alleged in the complaint lodged by Euratex, or that, in
the case of the sewing of fiscal stamps, the investigated
measure does not have on its own a material impact on
European
regions
the
should
examination
Community.
therefore
with
in
Article 11(1) of the Regulation.

of
the
procedure
accordance

textile-producing

terminated

The

be

(9)

trade,

triangular

in the case of

On the question of the certificate of origin, substantial
progress was achieved through the adoption of Instruccion
General No 9/2002 de la Direccion General de Aduanas on
8 February 2002. Until recently,
the main remaining
obstacle to trade faced by the European industry was
to
the requirement,
provide the Argentinean authorities not only with the
certificate of origin but also with the invoice between
the producer of
the goods originating in a third
country and the exporter in the country of shipping,
thereby raising concerns of
confidentiality on the
original
transaction. Through the adoption of Nota
External No 3/07 of the Administracion Federal de Ingresos
aduanera),
general
Publicos
of
repealed
Argentina
providing a copy of the original invoice, which is now
replaced by a certificate issued by the competent auth-
orities of the country of shipment, e.g. a Chamber of
Commerce,
country of
and then legalised in the
shipment by the Argentinean consulate.

(Subdireccion
effectively

legal
requirement

tecnico
the

(12)

The Advisory Committee has been consulted on the
measures provided for in this Decision,

HAS DECIDED:

Sole Article

The examination procedure concerning measures imposed by
Argentina in relation to the imports of textile and clothing
products is hereby terminated.

Done at Brussels, 20 February 2008.

For the Commission

Peter MANDELSON
Member of the Commission