CELEX: 51975PC0099
Language: en
Date: 1975-03-06
Title: PROPOSAL FOR A REGULATION OF THE COUNCIL providing for a system of import authorisations with respect to imports into Ireland of certain textile products originating in the Republic of Korea (submitted by the Commission to the Council)

ARCHIVES HISTORIQUES
DE LA COMMISSION
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DOCUMENTS "COM"
COM (75) 99
Vol. 1975/0037
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                              COM(75 ) 99 final
                                           Brussels . 6 March 1975
                        PROPOSAL FOR A REGULATION
                            OF THE COUNCIL
         providing for a system of import authorisations
         with respect to imports into Ireland of certain
         textile products originating in the Republic of
                               Korea
           ( submitted by the Commission to the Council )
COM(75 ) 99 final
 ---pagebreak---                                     EXPLANATORY STATE HUT
  1 « . The purpose of the proposed Regulation attached hereto is to onablo
  tho Connunity to take protoctiva measures , United to tha Conounity narkct
  in Ireland, i^ainst inports of chirts fron tho Republic of Korea. Tho lecal
  basis for thio action is to be found in Regulation (EEC ) Ho . 1439/74 , Articles
 12 and 13^and in . the Arrangement regarding International Trade in Textiles^
  (hereinafter roforred to as the Coneva Arrangement ), to v/hich both the EDO
  and tho Republic of Koroa are partieo , particularly its Article 3#
  2*      Oil 14 ITovenber 1974 , tha Advisory Comittoe set up under Regulation
  (EEC ) lib# 1439/74 , -Mot to discuss tho problem. Then and in subsequent
  neetin^o with tho services of tho Coanission , the representatives of tho
  Irish Government described in detail tho market conditions existing in
  Iroland v/hich justify protective action under Article 3 of tha Geneva
 Arrangement .                                 .
  3.      Tho principal factors causing carkot disruption in this case voro
  identified by tho Irish authorities as follows t
          – a Ghorp and substantial increase in 197 ** ( over 200 % compared with 1973
              figures ) of imports into Ireland of shirts originating in Korea •
         – tha fact that chirts fron Koroa wore offered at prices substantially
              below thoso prevailing for similar goods of comparable quality in
              Ireland.
          That iaarket disruption existed was further evidenced by tho following
 factors i
         –    imports frora Korea of shirts into Ireland in 197 ^ totalled as
               much » as 200,$ of all other inports of shirts fron outBido
              tho EEC ;
          – an acceleration in tho rate of unemployment in the shirtmakin#
              industry, as veil as widespread ohort-tii:o working and likolihood
              of factory closures .
.                                                                .                .   ./
    ( 1 ) OJ No . L 159 , 15.6.197 **, page 1
    ( 2 ) OJ No . L 118 , 30.^.197^, page 1
 ---pagebreak---         It should aloo bo poi nted out in thia context that imports of
   clothing itcas into Ireland from Korea have hitherto been free .          Korea
   is not a country to which a global quota on those producto (B.T.1T.
   ex 60.04 , ox 60.05 , ex 61.01 , ex 61.02 , ex 61 . 03 and ox 61 . Ol ) applioo
   and thus a loopholo exists , vjhich haa recently been increasingly
   exploited by Korea.
4.      On 6.1.1975 , the Directorate General for External Affairs of the
Commission , taking into account the Irish request and the opinions expressei
in the Advisory Committee , addressed a note verbale to the Korean Mission
to the EEC , drawing attention to the situation in Ireland described above ,
and requesting urgent consultations under Article 3 of the Geneva Arrangemei
The Korean government took the view that it should cooperate with the
Community to avoid further disruption in the Irish market and on 23 January
and 12 - 13 February 1975 consultations were held in Brussels between a
Community delegation , in which Irish representatives participated , and a
Korean delegation .
 5»     Having regard to the provisions of the Geneva Arrangerront , the
  Coraaiooion representative indicated in the courso of the consultations!
 that tho following r-utanorjouo aeaourcs v/ero contemplated under Ccnrnmity
 regulations in forco t
       "* imports into Ireland of certain chirto (3.T.IJ. ox 60.0 1r , ex 61.03
            and ox 61 . Oj ) originating in Korea vould bo nado mibjoct to the
            production of an inport authorioatinn and tho total quantities
            inported during tho period 1 Larch 1975 to 31 August 1975 chould
           not exceed tho quantities indicated in tho proposed Regulation
           annexed hereto ;
       – inport authorisationa v;ould ba iotrued by the competent Co-nriunity
           Buthoritieo in Ireland, oubject to tho liMito Mentioned above,          ^
           .• C£?.in3t tho precentation of an export vioa iscuod by the            1
           conpotent Korean authoritier •                                          ,
 ---pagebreak---                                 PROPOSAL FOR A
                           REGULATION OF THE COUNCIL
i        ,
           providing for a system of import authorisations with
            respect to imports into Ireland of certain textile
               products originating in the Republic of Korea
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community
and , in particular , Article 113 thereof ;
Having regard to Couhcil Regulation ( EEC ) No . 1^39/7^ ( 1 ) establishing
 common rules for imports from third countries , and in particular Articles 12
and 13 thereof ;•
After consultations with the Advisory Committee set up in Article 5 of that
Regulation ;                                        .   „           •
Having regard to the proposal of the Commission ,
 Whereas imports from the Republic of Korea into the Community market in Ire­
land have not previously been subject to restriction and whereas a sharp
and substantial increase in imports of shirts of all fibres from the Republic
of Korea has been recently recorded by the Irish authorities ;
Whereas the products concerned are offered for sale in the Community market
in Ireland at prices which are substantially below those prevailing for
similar goods of comparable quality in that market ;
Whereas imports in 197^ into that market of the products concerned from
the Republic of Korea greatly exceeded imports of similar products from
all other sources outside the European Economic Community and likewise
exceeded the volume of imports from the Republic of Korea of similar pro­
 ducts in 1973 ;
                                                               -A
 ( 1 ) OJ No . L 159 Of 15.6.197^, page 1
 ---pagebreak--- \*  •
     *                              - 2 -
   Whereas the aforementioned sharp and substantial increase in imports
   of shirts from the Republic of Korea has had deleterious effects on the
   employment situation in the shirtmaking industry in Ireland since the
   latter half of 197 ^ with an acceleration in the rate of unemployment ,
   widespread short-time working and threats of permanent closures for many
   firms ;
   Whereas the Arrangement regarding International Trade in Textiles , conclu­
   ded for the Community by Council Decision of 25«3.197^ ( 1 ) ( to which the
   Republic of Korea is also a party ), and particularly its Article 3 » pro­
   vides for consultations to be held with a view to removing market disruption
   caused by imports of certain textile products ;
   Whereas the Community has requested and held consultations with representa­
   tives of the Government of Korea in cojif,ormity with the provisions of Ar­
   ticle 3 , paragraph 3 » of the abovementioned Arrangement ;
   Whereas it appears from the factors indicated above and from the statistics
   and other information supplied by the Irish authorities in the course of
   the consultations mentioned above that the Community market in Ireland is    –
   being disrupted by imports of shirts from the Republic of Korea ;
   Whereas , during the abovementioned consultations between the Community and
   the Republic of Korea , the latter indicated their willingness to cooperate
   in order to avoid disruption in the Irish market }
   Whereas further sharp and substantial increase in imports of shirts from
   the Republic of Korea are believed to be imminent , and failure to take
   immediate protective action would cause further injury to the Irish textile
   industry in,;general and to Irish producers of like or directly competing
   products in particular which would be difficult to remedy \        ■
                                                                               ./
   ( 1 ) OJ No . L 118 of 30.4.197% page 1
 ---pagebreak---                                . 3 -
  6.     Following a suggestion by the Korean representative , the Commission
  representative indicated that , if so requested by the Korean authorities ,
  arrangements would be made to enable transfer between the items subject to
  import restriction into Ireland within the limit of 10 % of the quota to
  which the transfer was to be made .
  7*     It is important , especially in view of the Council decision of
 11 February 1975 authorising the Commission to open negotiations with
 Korea for a bilateral self-restraint agreement on textiles , to stress
 that the action to be taken following the consultations described above
 is of an interim nature , and would be terminated upon the conclusion
 of such a bilateral agreement between the EEC and Korea under Article
 of the Geneva Arrangement#
 8*      Taking into account the circumstances and considerations set out
 above , the Commission has considered it necessary to take appropriate in­
 terim protective measures under Article 12 of Regulation 1^39/7^ ( Commis­
 sion Regulation n° ^3^/75 of 21 February 1975 ( l )). The absence of serious
 injury to producers in other regions of the Community at this time does
 not however justify the extension of these measures to the .whole Community
         The future development of imports of the products concerned into
 the Community will be followed and the Commission reserves the right ,
 if necessary , to propose the modification or repeal of the measures if
 the market disruption in question is eliminated or , on the contrary , the
 extension of the measures to other parts of the Community or to the entire
 Community if the future evolution of imports is such as to threaten serious
 injury to producers in regions other than Ireland .
 9*     In conformity with the provisions of Regulation 1^39/7^, Article
12 (6) f the Commission hereby submits to the Council , within the ten day
period prescribed therein , the annexed proposal for the appropriate mea­
sures to be taken in this field . It should also be recalled that under
Article 12 ( 6 ), unless the Council has taken a decision on the Commission 's
proposal within six weeks following the entry into force of the measure
taken by the Commission , the measure in question is deemed to be revoked .
                                                                               :V<
      *                                                      '                ■ *
                     •    ;        !■        . >
( 1 ) OJ no. L kB of 22.2.1975             .   '                -
 ---pagebreak--- Whereas , taking into account the need to take measures urgently , the
Commission has adopted a Regulation under Article 12 of Regulation ( EEC )
1439/74, providing for a system of import authorisations with respect to
imports into Ireland of certain textile products originating in the Repu­
blic of Korea ( l ) and whereas , in view of the considerations set out above
appropriate measures should now be adopted ;
                                                                 r-»
Whereas , given that the threat of substantial injury originated in imports
intended for the Community market in Ireland , it appears justified at present ,
having regard to existing trade flows , to restrict the application of the
protective measures to imports into Ireland }
                                                                                 »
                                       7;l
HAS ADOPTED THIS REGULATION :
               .                     '
                               Article 1
         The importation into the Community market in Ireland of the
products shown below, originating in the Republic of Korea, shall be
subject to the production of an import authorisation , to be issued by
the competent Irish authorities on presentation of an export visa issued
by the competent authorities of the government of the Republic of Korea .
                                                                  L '
The total quantity of such products for which import authorisations are
issued during the period 1 March 1975 to 31 August 1975 shall not exceed
the following quantities :
CCT                                                                   Quantity
Heading No .            Product description                           ( dozens )
ex 60.04          Men 's and boys' knitted synthetic shirts
                                                                         7,750
                  Women 's and girls' knitted synthetic shirts
                  Knitted cotton shirts
ex 61.03          Men'6 and boys * shirts of synthetic fibres            6,250
ex 61.04          Women '8 and girls' shirts of synthetic fibres
                                                                 r
( 1 ) Regulation ( EEC ) NO 434/75 - OJ No L 48 of 22.2.1975
 ---pagebreak---                               Article 2
        This Regulation shall enter into force on the day following its
publication in the Official Journal of the European Communities .
        This Regulation shall be binding in its entirety and directly
         applicable in all Member States .
Done at Brussels ,                           For the Council
                                             The Président