CELEX: 31977S0962
Language: en
Date: 1977-05-04 00:00:00
Title: Commission Decision No 962/77/ECSC of 4 May 1977 fixing minimum prices for certain concrete reinforcement bars

5 . 5 . 77                             Official Journal of the European Communities                            No L 114/ 1
                                                               I
                                             (Acts whose publication is obligatory)
                                       COMMISSION DECISION No 962/77/ ECSC
                                                         of 4 May 1977
                           fixing minimum prices for certain concrete reinforcement bars
THE COMMISSION OF THE EUROPEAN                                     Whereas for these reasons attainment of the objectives
COMMUNITIES,                                                       set out in Article 3 of the Treaty is jeopardized in the
                                                                   concrete reinforcement bars sector ;
Having regard to the Treaty establishing the European
Coal and Steel Community, and in particular Article
61 thereof,                                                        Whereas the introduction of minimum prices would
                                                                   be likely to remedy the situation on this particular
Having regard to High Authority Decisions No 30-53                 market ; whereas the Commission therefore considers
and No 31-53 (*), as last amended by Commission                    that the conditions for the application of Article 61 to
Decisions 72/440/ECSC and 72/44 1 / ECSC of 22                     the concrete reinforcement bar market are fulfilled ;
December 1 972 (2),
 Having regard to Commission Decisions No 3073/73/                 Whereas the minimum prices should be basis prices
 ECSC (3) and No 91 1 /75/ECSC (4),                                ex basing point so as to retain some flexibility in the
                                                                   market ;
Whereas the steel industry has been in serious diffi­
culties for some years ; whereas supply has for some
 time been in considerable excess of demand ; whereas              Whereas the Commission should be empowered to
 the share of the market taken by imports has                      adjust the minimum prices in accordance with fluctua­
 increased sharply over this period ; whereas prices               tions in exchange rates ;
 have been cut to well below production costs ;
 Whereas the Commission has introduced a scheme to                 Whereas the measures to be taken should be appli­
 bring the supply of iron and steel products more into             cable to Community undertakings in the steel
 line with demand ; whereas this scheme relies inter               industry as defined in Article 80 of the Treaty and to
 alia upon the commitments by Community steel                      their selling agencies and middlemen as referred to in
 undertakings to adhere to the delivery limits set by              Decisions No 30-53 and No 31-53 ;
 the Commission ;
 Whereas, in contrast to the position for other rolled             Whereas the minimum prices have to be applicable
 products, only an unsatisfactorily small proportion of            within the common market ; whereas, pursuant to
 the concrete reinforcement rods produced have been                Decisions No 3073/73/ ECSC and No 91 1 / 75/ ECSC,
 covered by the producers' voluntary commitments                   minimum prices published in the price lists of
 concerning delivery limits ; whereas this has led to              Community producers are also applicable to transac­
 still further deterioration of the market for concrete            tions   in   those  EFTA   countries   with  which   the
 reinforcement bars ; whereas the price level for                  Community has concluded free trade agreements for
 concrete reinforcement bars is below that generally               ECSC products ;
 attained for other rolled products ; whereas the average
 rate of utilization of production capacity is lower than
 for other types of products ; whereas the financial               Whereas, if minimum prices are to have the required
 situation of the undertakings continues, therefore, to            effect, it is necessary to prohibit the introduction of
 deteriorate ;
                                                                   new, or increase of existing, rebates, the cancellation
                                                                   or reduction of extras and surcharges of any kind, and
 (') OJ  No  C 29, 12. 5. 1973 for the updated version .           changes to the existing terms of, or times allowed for;
 (2) OJ  No  L 297, 30. 12. 1972, pp. 39 and 42.
 (J) OJ  No  L 314, 1.5. 11 . 1973, p. 1 .                         payment ; whereas undertakings should be left free to
 («) OJ  No  L 88 , 9 . 4. 1975, p. 7.                             publish basis prices above the minimum prices set ;
 ---pagebreak--- No L 114/ 2                       Official Journal of the European Communities                                5 . 5. 77
Whereas the effects of the proposed measures would           3.      In order to maintain a uniform minimum price
be jeopardized if undertakings were to align their           level within the common market, the Commission
prices within the common market on lower offers              may adjust these prices in accordance with fluctua­
from third countries ; whereas alignment on such             tions in exchange rates.
offers should be authorized only in so far as the deliv­
ered price does not undercut the price based on the
price list of a Community undertaking ;                                               Article 2
Whereas the minimum prices should come into force             1 . The minimum prices in Article 1 shall be basis
as rapidly as possible in the whole Community ;              prices ex basing point.
whereas more time can be allowed for the corres­
ponding changes in published price lists ;                   2. They shall be compulsory for transactions
                                                             effected on or after the third day following the entry
Whereas the introduction of minimum prices should            into force of this Decision and as from that time they
be limited in time ; whereas during the period that          shall replace lower list prices until such prices have
this measure is in force the Commission should be            been changed by undertakings in accordance with
empowered to alter the minimum prices should                 Article 3 .
circumstances so require ;
 Having regard to studies carried out in conjunction                                  A rticle 3
with the undertakings and association of undertakings,
and after consulting the Consultative Committee and          Undertakings whose published prices are lower than
the Council both on the advisability of introducing          the minimum prices shall publish new prices in
minimum prices for concrete reinforcement bars and           conformity with this Decision within 15 days
on the level of these prices,                                 following its entry into force.
                                                                                      Article 4
 HAS ADOPTED THIS DECISION :
                                                              1 . Rebates and discounts of any sort, whether
                                                              published in price lists and conditions of sale or noti­
                        Article 1                             fied to the Commission at the date of entry into force
                                                              of this Decision, shall not be increased. The introduc­
 1 . This Decision shall apply to undertakings in the         tion of new rebates or discounts shall be prohibited .
 iron and steel industry of the European Coal and Steel
 Community and to their selling agencies and                  2. Surcharges or extras of any sort published in
 middlemen as referred to in Decision No 30-53 and            price lists and conditions of sale at the date of entry
 No 31-53 .                                                   into force of this Decision shall not be cancelled or
                                                              reduced .
 2. The Commission hereby fixes the following
 minimum prices for sales of reinforcement bars in            3 . The terms and times allowed for payment
 straight lengths :                                           published in the price lists at the date of entry into
                                                              force of this Decision shall not be changed .
 (a) for ordinary mild steel, per tonne :
     — 530 German marks ,
                                                                                      Article 5
     — 130 pounds sterling and Irish pounds,
     — 1 106 French francs,
     — 198 000 Italian lira,                                  This Decision shall apply to sales both within the
     — 550 Dutch guilders,                                     Community and on the territories of the Republic of
     — 8 100 Belgian and Luxembourg francs,                   Austria, the Republic of Finland, the Kingdom of
     — 1 335 Danish krones ;                                   Norway, the Kingdom of Sweden and the European
                                                               territory of the Republic of Portugal .
 (b) for high yield to BS 4449, per tonne :
     — 550 German marks,
     — 134-50 pounds sterling and Irish pounds,                                       Article 6
     — 1 145 French francs,
     — 205 000 Italian lira,                                   1 . The minimum prices shall not preclude align­
     — 570 Dutch guilders,                                     ments or more favourable delivered prices based on
     — 8 400 Belgian and Luxembourg francs,                    the price lists of other producers in the Community
     — 1 380 Danish krones .                                   or in the countries referred to in Article 5 .
 ---pagebreak--- 5 . 5 . 77                         Official Journal of the European Communities                          No L 114/3
2.      However, within the common market, align­            pean Communities and shall remain valid until 31
ments on offers for concrete reinforcement bars from          December 1977 unless repealed before that date.
any country that is not a Member State of the Commu­
nity shall be authorized only in so far as the delivered
prices are not lower than the delivered prices based on
a more favourable Community price list.
                                                             2. Without prejudice to the adjustment provided
                        Article 7                            for in Article 1 (3), the Commission may adjust the
                                                             level of the minimum prices during the period of
1 . This Decision shall enter into force on the day          validity of this Decision if it considers that the deve­
of its publication in the Official Journal of the Euro­      lopment of the situation so requires.
              This Decision shall be binding in its entirety and directly applicable in all Member
              States .
              Done at Brussels, 4 May 1977.
                                                                       For the Commission
                                                                           The President
                                                                          Roy JENKINS