Amendments adopted by the European Parliament on 1 June 2017 on the proposal for a regulation of the European Parliament and of the Council on the introduction of temporary autonomous trade measures for Ukraine supplementing the trade concessions available under the Association Agreement (COM(2016)0631 — C8-0392/2016 — 2016/0308(COD))
Date: 2017-06-01
Institutions: Committee on Agriculture and Rural Development, Committee on Budgets, Committee on International Trade, European Parliament
Subjects: Ukraine, agricultural product, association agreement (EU), generalised preferences, import (EU), industrial product, suspension of customs duties, tariff preference, tariff quota, trade relations




C_2018307EN.01021201.xml










30.8.2018   


EN


Official Journal of the European Union


C 307/212






P8_TA(2017)0236
Introduction of temporary autonomous trade measures for Ukraine ***I
Amendments adopted by the European Parliament on 1 June 2017 on the proposal for a regulation of the European Parliament and of the Council on the introduction of temporary autonomous trade measures for Ukraine supplementing the trade concessions available under the Association Agreement (COM(2016)0631 — C8-0392/2016 — 2016/0308(COD)) (1)

(Ordinary legislative procedure: first reading)
(2018/C 307/42)

Amendment 1


Proposal for a regulation


Recital 2








Text proposed by the Commission




Amendment











(2)




In view of
 the economic reform efforts undertaken by Ukraine, and in order to support the development of closer economic relations with the 
European
 Union, it is appropriate to increase the trade flows concerning the import of certain agricultural products and to grant concessions in the form of autonomous trade measures in selected industrial products in line with the acceleration of the elimination of customs duties on trade between the 
European
 Union and Ukraine.












(2)




With a view to enhancing
 the economic 
and political
 reform efforts undertaken by Ukraine, and in order to support 
and accelerate
 the development of closer economic relations with the Union, it is appropriate 
and necessary
 to increase the trade flows concerning the import of certain agricultural products and to grant concessions in the form of autonomous trade measures in selected industrial products in line with the acceleration of the elimination of customs duties on trade between the Union and Ukraine.









Amendment 2


Proposal for a regulation


Recital 3








Text proposed by the Commission




Amendment











(3)




The
 autonomous trade measures 
would
 be granted 
in
 the form of zero-tariff quotas for products listed in Annexes I and II in addition to the preferential tariff-rate quotas set out in the Agreement, and the partial or full removal of import duties on industrial products listed in Annex III;












(3)




After the publication by the Commission of its analysis on the potential impact of this Regulation, which should consider the potential final beneficiaries of the autonomous trade measures contained in this Regulation and focus particularly on small and medium-sized producers in Ukraine,
 the autonomous trade measures 
should
 be granted 
for products that are assessed to be beneficial in light of that analysis. Those autonomous trade measures should take
 the form of zero-tariff quotas for products listed in Annexes I and II in addition to the preferential tariff-rate quotas set out in the 
Association
 Agreement, and the partial or full removal of import duties on industrial products listed in Annex III.









Amendment 3


Proposal for a regulation


Recital 4








Text proposed by the Commission




Amendment











(4)


In order to prevent any risk of fraud, the entitlement to benefit from the additional zero-tariff quotas should be conditional on the compliance by Ukraine with the relevant rules of origin of products concerned and the procedures related thereto as well as involvement in close administrative cooperation with the 
European
 Union as provided for by 
the
 Agreement;












(4)


In order to prevent any risk of fraud, the entitlement to benefit from the additional zero-tariff quotas 
for products listed in Annexes I and II and the partial or full removal of import duties on industrial products listed in Annex III
 should be conditional on the compliance by Ukraine with 
all
 the relevant 
conditions for obtaining benefits under the Association Agreement, including the
 rules of origin of products concerned and the procedures related thereto as well as involvement in close administrative cooperation with the Union as provided for by 
that
 Agreement.









Amendment 4


Proposal for a regulation


Recital 9








Text proposed by the Commission




Amendment











(9)


Article 2 of the Association Agreement provides that the respect for democratic principles, human rights and fundamental freedoms and respect for the principle of the rule of law, constitute essential elements of that Agreement. It is appropriate to introduce the possibility to temporarily suspend the preferences in case of failure to respect the 
fundamental
 principles 
of human rights, democracy and the rule of law by Ukraine
.












(9)




Articles 2 and 3
 of the Association Agreement 
provide that
 respect for democratic principles, human rights, and fundamental freedoms and the principle of the rule of law, 
as well as efforts to combat corruption and organised crime, and measures to promote sustainable development and effective multilateralism,
 constitute essential elements of 
relations with Ukraine, which are governed by that
 Agreement. It is appropriate to introduce the possibility to temporarily suspend the preferences in 
the
 case of failure 
by Ukraine
 to respect the 
general
 principles of 
the Association Agreement
, 
as has been done in other association agreements signed by the Union
.









Amendment 5


Proposal for a regulation


Recital 9 a (new)








Text proposed by the Commission




Amendment





 










(9a)






The Commission’s annual report on the implementation of the Deep and Comprehensive Free Trade Agreement should include a detailed assessment of the implementation of the temporary autonomous trade measures provided for in this Regulation.











Amendment 6


Proposal for a regulation


Article 2 — paragraph 1 — introductory part








Text proposed by the Commission




Amendment





Entitlement to benefit from the tariff-rate quotas introduced by Article 1 shall be subject to:


Entitlement to benefit from the tariff-rate quotas 
and preferential customs duties on importation
 introduced by Article 1 shall be subject to:





Amendment 7


Proposal for a regulation


Article 2 — paragraph 1 — point a








Text proposed by the Commission




Amendment











(a)


compliance with the rules of origin of products and the procedures related thereto as provided for in the Association Agreement, and notably in Protocol I concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, and in Protocol II on mutual administrative assistance in customs matters;












(a)


compliance with the rules of origin of products and the procedures related thereto as provided for in the Association Agreement, and notably in Protocol I concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, and in Protocol II on mutual administrative assistance in customs matters; 
as regards products manufactured in, or shipped from, territory not under the effective control of the Government of Ukraine, the submission of a movement certificate EUR.1, as referred to in Article 16(1)(a) of Protocol I to the Association Agreement, which shall be issued by the customs authorities of the Government of Ukraine, after having carried out an inspection of the exporter’s accounts at the exporter’s premises and any other checks considered appropriate, in accordance with Article 17(5) and Article 33 of that Protocol, including assessing whether there are reasonable grounds to suspect that economic operators benefiting from the temporary autonomous trade measures are undermining the fight against corruption or are engaged in illegal economic activities;











Amendment 8


Proposal for a regulation


Article 2 — paragraph 1 — point b








Text proposed by the Commission




Amendment











(b)


abstention by Ukraine from introducing new duties or charges having equivalent effect and new quantitative restrictions or measures having equivalent effect for imports originating in the Union or from increasing existing levels of duties or charges or from introducing any other restrictions from the day of the entry into force of this Regulation;












(b)


abstention by Ukraine from introducing new duties or charges having equivalent effect and new quantitative restrictions or measures having equivalent effect for imports originating in the Union or from increasing existing levels of duties or charges or from introducing any other restrictions
, including discriminatory internal administrative measures,
 from the day of the entry into force of this Regulation;









Amendment 9


Proposal for a regulation


Article 2 — paragraph 1 — point c








Text proposed by the Commission




Amendment











(c)


respect for democratic principles, human rights and fundamental freedoms and respect for the principle of the rule of law provided for in Article 2 of the Association Agreement.












(c)


respect for democratic principles, human rights and fundamental freedoms and respect for the principle of the rule of law 
as well as continued and sustained efforts with regard to the fight against corruption and illegal activities
 provided for in 
Articles 2, 3 and 22
 of the Association Agreement.









Amendment 10


Proposal for a regulation


Article 2 — paragraph 1 — point c a (new)








Text proposed by the Commission




Amendment





 










(ca)






continued respect for obligations to cooperate on matters related to employment, social policy and equal opportunities in accordance with Chapter 13 of Title IV (Trade and Sustainable Development) and Chapter 21 of Title V (Cooperation on employment, social policy and equal opportunities) of the Association Agreement, and the goals set out in Article 420 thereof.











Amendment 11


Proposal for a regulation


Article 3 — paragraph 1








Text proposed by the Commission




Amendment





Where the Commission finds that there is sufficient evidence of failure to comply with the conditions set out in Article 2 it may suspend in whole or in part the preferential arrangements provided for in this Regulation, in accordance with the examination procedure referred to in Article 5(2).


Where the Commission finds that there is sufficient evidence of failure to comply with the conditions set out in Article 2 
of this Regulation,
 it may suspend in whole or in part the preferential arrangements provided for in this Regulation, in accordance with the examination procedure referred to in Article 5(2).





Amendment 12


Proposal for a regulation


Article 3 — paragraph 1 a (new)








Text proposed by the Commission




Amendment





 




Where a Member State requests that the Commission suspend any of the preferential arrangements on the basis of failure to comply with the conditions set out in Article 2(b), the Commission shall provide a reasoned opinion within two months of such request on whether the claim of failure to comply is substantiated. If the Commission concludes that the claim is substantiated, it shall initiate the procedure referred to in the first paragraph of this Article.







Amendment 13


Proposal for a regulation


Article 4 — paragraph 1








Text proposed by the Commission




Amendment






1.   Where a product originating in Ukraine is imported on terms which cause, or threaten to cause, serious difficulties to a 
Community
 producer of like or directly competing products, Common Customs Tariff duties on such product may be reintroduced at any time 
by the Council acting by qualified majority on a proposal from the Commission
.




1.   Where a product originating in Ukraine is imported on terms which cause, or threaten to cause, serious difficulties to a 
Union
 producer of like or directly competing products, Common Customs Tariff duties on such product may be reintroduced at any time.






Amendment 14


Proposal for a regulation


Article 4 — paragraph 1 a (new)








Text proposed by the Commission




Amendment





 





1a.
   
The Commission shall closely monitor the impact of this Regulation on Union producers with regard to the products listed in Annex I and II, including with regard to prices on the Union market and taking into account relevant available information on Union producers, such as market share, production, stocks, production capacities and capacity utilisation rates.








Amendment 15


Proposal for a regulation


Article 4 — paragraph 2








Text proposed by the Commission




Amendment






2.   At the request of a Member State or on the Commission’s initiative, the Commission shall take a formal decision to initiate an investigation within a reasonable period of time. Where the Commission decides to initiate an investigation, it shall publish a notice in the Official Journal of the European Union announcing the investigation. The notice shall provide a summary of the information received and state that any relevant information should be sent to the Commission. It shall specify the period, which shall not exceed four months from the date of publication of the notice, within which interested parties may make their views known in writing




2.   At the request of a Member State
, any legal person or any association not having legal personality, acting on behalf of Union industry, meaning all or a major proportion of Union producers of like or directly competing products,
 or on the Commission’s 
own
 initiative
, if it is apparent to the Commission that there is sufficient prima facie evidence
, the Commission shall take a formal decision to initiate an investigation within a reasonable period of time. 
For the purposes of this Article, ’major proportion’ means Union producers whose collective output constitutes more than 50 % of the total Union production of the like or directly competing products produced by that portion of the Union industry expressing either support for or opposition to the request and no less than 25 % of total production of the like or directly competing products produced by the Union industry.
 Where the Commission decides to initiate an investigation, it shall publish a notice in the Official Journal of the European Union announcing the investigation. The notice shall provide a summary of the information received and state that any relevant information should be sent to the Commission. It shall specify the period, which shall not exceed four months from the date of publication of the notice, within which interested parties may make their views known in writing.






Amendment 16


Proposal for a regulation


Article 4 — paragraph 6








Text proposed by the Commission




Amendment






6.   The Commission shall take a decision within three months, in accordance with the procedure referred to in Article 5. Such decision shall enter into force within one month as from its publication.




6.   The Commission shall take a decision within three months, in accordance with the procedure referred to in Article 5. Such decision shall enter into force within one month as from its publication. 
The Common Customs Tariff duties shall be reintroduced for as long as necessary to counteract the deterioration in the economic and/or financial situation of Union producers, or for as long as the threat of such deterioration persists. The period of reintroduction shall not exceed one year, unless it is extended in duly justified circumstances. Where the facts as finally established show that the conditions set out in Article 4(1) are not met, the Commission shall adopt an implementing act terminating the investigation and proceedings in accordance with the examination procedure referred to in Article 5(2).








Amendment 17


Proposal for a regulation


Article 5 a (new)








Text proposed by the Commission




Amendment





 





Article 5a




Assessment of the implementation of the autonomous trade measures




The Commission’s annual report on the implementation of the Deep and Comprehensive Free Trade Agreement shall include a detailed assessment of the implementation of the temporary autonomous trade measures provided for in this Regulation and shall include, insofar as appropriate, an assessment of the social impact of those measures in Ukraine and in the Union. Information on the utilisation of agriculture-related tariff-rate quotas shall be made available via websites of the Commission.








Amendment 18


Proposal for a regulation


Annex I — table — row 4


Text proposed by the Commission












09.6752






2002






Tomatoes prepared or preserved otherwise than by vinegar or acetic acid




 




5 000 







Amendment



deleted



Amendment 19


Proposal for a regulation


Annex II — table — row 2


Text proposed by the Commission










Common wheat, spelt and meslin, flour, groats, meal and pellets






1001 99 00 , 1101 00 15 , 1101 00 90 , 1102 90 90 , 1103 11 90 , 1103 20 60 






100 000  tons/year







Amendment



deleted



Amendment 20


Proposal for a regulation


Annex II — table — row 3


Text proposed by the Commission








Maize, other than seed, flour, groats, meal, pellets and grains


1005 90 00 , 1102 20 , 1103 13 , 1103 20 40 , 1104 23 




650 000  tons/year







Amendment








Maize, other than seed, flour, groats, meal, pellets and grains


1005 90 00 , 1102 20 , 1103 13 , 1103 20 40 , 1104 23 




650 000 050  kilograms/year







Amendment 21


Proposal for a regulation


Annex III — table — row 3


Text proposed by the Commission










3102 10 10 






Urea, whether or not in aqueous solution, containing more than 45 % by weight of nitrogen on the dry anhydrous product (excl. that in pellet or similar forms, or in packages with a gross weight not exceeding 10 kg).






3 %







Amendment



deleted




(1)  The matter was referred back for interinstitutional negotiations to the committee responsible, pursuant to Rule 59(4), fourth subparagraph (A8-0193/2017).