CELEX: 51989PC0549
Language: en
Date: 1989-11-09
Title: PROPOSALS FOR COUNCIL REGULATIONS ( EEC ) AMENDING REGULATIONS ( EEC ) NOS 2837/72, 3288/73, 2843/72, 1692/73, 2839/72 AND 2841/72 ON SAFEGUARD MEASURES PROVIDED FOR IN THE AGREEMENTS BETWEEN THE EEC AND AUSTRIA, FINLAND, ICELAND, NORWAY, SWEDEN AND SWITZERLAND

COMMISSION OF THE EUROPEAN COMMUNITIES
                                              C0MC89) 549 final
                                              Brussels, 9 November 1989
                                 Proposals for
                          COUNCIL REGULATIONS (EEC)
 amending Regulations (EEC) Nos 2837/72, 3288/73, 2843/72, 1692/73, 2839/72
 and 2841/72 on safeguard measures    provided for in the Agreements between the
      EEC and Austria, Finland, Iceland, Norway, Sweden and Switzerland
                        (presented by   the Commission)
 ---pagebreak---                                                           <To~v <*t4
                             Explanatory Memorandum
In lîlay the Commission sent the Council proposals for Decisions on the
conclusion of supplementary protocols to the European Economic Community's
free trade agreements with Austria, Finland, Iceland, Norway, Sweden and
Switzerland, with the aim of eliminating export restrictions which obstruct
trade between the Community and these countries.
The above protocols also allow the contracting parties to take safeguard
measures in the event of shortages or re-export to non-member countries
against which, the exporting contracting party applies restrictions. As a
result, it is necessary to lay down implementing regulations for these new
provisions.    In order to ensure that the import and export arrangements are
symmetrical and consistent the Commission is proposing to include these
provisions in the Regulations on safeguard measures provided for in the
basic agreements.
The Commission has also taken the opportunity to update these Regulations
and adapt them to the new Community procedures. In particular, it regards
the national trigger mechanism provided for in Article 4 of the Regulations
as in conflict with the proper operation of the common market and the
target of completing the internal market in 1992. In this context we
should recall that Article 7 of the Regulations already allows the
Commission to propose to the Council adjustments which have proved
necessary in the light of experience in order to avoid undermining the
unity of the common market. The Commission therefore proposes to replace
these provisions with a Community procedure on safeguard clauses in line
with the rules laid down Article 3 of Council Decision 87/373, ESC of
13 July 1987.
Note that the current provisions enabling national safeguard measures to be
taken against EFTA countries have never been applied and that the national
trigger mechanism initially provided for in Regulation (EEC) No 266 rji, of
5 February 1982 on common rules for imports was aboli shed on
1 January 1988.
 ---pagebreak---                                 Proposals for
                          COUNCIL REGULATIONS (EEC)
amending Regulations (EEC) Nos 2837/72,, 3288/73, 2843/72, 1692/73, 2839/72
and 2841/72 on safeguard measures provided for in the Agreements between the
     EEC and Austria, Finland, Iceland, Norway, Sweden and Switzerland
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Ccnnnunity,
and in particular Article 113 thereof;
Having regard to' the proposal from the Commission;
Whereas a supplementary protocol to the Agreement between the European
Economic Community and .... /T 7 was signed on               with the aL*r. cf
eliminating existing quantitative restrictions on experts or measures
having equivalent effect and preventing the introduction of new ones;
Whereas the protocol provides for the insertion in the Agreement cf a
specific safeguard clause designed to mitigate the problems liiely te arise
as a rcsjult of liie abolition of Uio «aqxjrt ruj\.:'.\-;iiom.;; vluu;>-,:;.•:
implementing provisions should be laid down by amending Council Regulation
(EEC) No         1;
Whereas Article 7 of the said Regulation provides that in crier to avoid
jeopardizing the unity of the common market the Commission may propose to
the Council that the Regulation, and in particular Article 4(3) thereof, be
amended in the light of experience; whereas, in the context of the
cjampletion of the internal market in 1992, the national safeguard measures
should be abolished and replaced by a Community procedure in accordance
                                                           2
with the provisions of Council Decision 87/373/EEC ; '
1
a) Republic of Austria - Council Regulation (EEC) No 2837/72 of
   19.12.1972 - OJ No L 300, 31.12.1972, p. 94.
b) Republic of Finland - Council Regulation (EEC) No 3288/73 of
   3.12.1973 - OJ No L 338, 7.12.1973, p. 2.
c) Republic of Iceland - Council Regulation (EEC) No 2843/72 of
   19.12.1972 - OJ No L 301, 31.12.1972, p. 162.
d) Kingdom of Norway - Council Regulation (EEC) No 1692/73 of
   25.6.1973 - OJ No L 171, 27.6.1973, p. 103.
e) Kingdom of Sweden - Council Regulation (EEC) No 2839/72 of
   19.12.1972 - OJ No L 300, 31.12.1972, p. 97.
f) Swiss Confederation - Council Regulation (EEC) No 2841/72 of
   19.12.1972 - OJ No L 300 Of 31.12.1972, p. 284.
2 OJNO L 197, 18.7.1987, p. 33.
 ---pagebreak--- HAS ADOPTED THIS REGULATION:
                              Sole Article
Regulation (EEC) No ... A J    shall be amended as follows :
1) In Article 1(1) the phrase "for the purpose of taking the measures
    provided for in Articles 22, 24 and 26 of the Agreement" shall te
    replaced by the phrase "for the purpose of taking the measures provided
    for in Articles 22, 24, 24a and 26 of the Agreement'^. 3_/-
2) Article 4 shall be replaced by the following:
                                   " Article 4
1. Where exceptional circumstances require immediate action in the
    situations referred to in Articles 24, 24a and 26       of the Agreement or
    in the case of export aids that have a direct and immediate effect on
    trade, the precautionary measures provided for in Article 27(3)(e)Z. *_/of
    the Agreement may be adopted as follows.
3
  In the case of Iceland, Articles 23, 25 and 27, and Articles 23, 25, 25a
  and 27 respectively.                 _                                £j
4
  In the case of Iceland, Arti-cles" 25, 25a and 27, and Article 28(3)<e/
  respectively.
 ---pagebreak---    2. The Commission shall be assisted by a committee composed of
      representatives of the Member States and chaired by the representative of
       the Commission.
      The committee sha.11 meet when convened by its chairman. The latter
       shall communicate any appropriate information to the Member States
      without delay.
   3. After consulting the committee the Commission may decide on appropriate
      measures either on its own initiative or at the request of a Member
      State. All the Member States shall be notified of the Commission's
      decision, which shall apply immediately.
   4. Where the Commission is asked to take action by- a Member State, it shall
      take a decision within a maximum period of five working days of receipt
      of the request.
   5. Any Member State may refer the Commission's decision to the Council
      within a maximum period of five working days of notification of the
      decision.
      The Council, acting by a qualified majority, may take a different
      decision within a maximum period of ten working days of such referral. "
   3) Article 7 is hereby repealed.
This Regulation shall be binding in its entirety and directly applicable in
all Member States.
Done at Brussels,                               For the Council
 ---pagebreak---                                            ANNEX
                COMPETITIVENESS AND EMPLOYMENT IMPACT STATEMENT
  I.    What is the main reason for Introducing the measure?
            Implementing new safeguard clause contained in supplementary
           protocols to free     trade agreements between EEC and EFTA
           countries on elimination of export        restrictions   recently
           forwarded by Commission to Council for conclusion;
       -   replacing the possibility for Member States to take national
           safeguard measures by an appropriate Community procedure In
           accordance with the objective of completing the Internal market
           by 1992.
 II.   Features of the businesses in question, in particular:
        (a) Are there many SMEs?
            No
       (b) have any mergers been noted In any regions which are:
            (i) eligible for regional aid In the Member States?
             (II) eligible under the ERDF?
            No
 I I I. What direct obligations does this measure impose on businesses?
       None
 IV.   What Indirect obligations are local authorities     likely to Impose
       on businesses?
       None
V.     Are there any special measures in respect of SMEs? Please specify.
       None
VI.   What Is the likely effect on:
       (a) the competitiveness of businesses?
       (b) employment?
       It Is clearly In the Interest of all sectors of the economy both
       to provide for effective Community safeguard action in EC-EFTA
       trade In the event of serious difficulties due to shortage of
      strategic raw materials or to deflection of trade Involving
      third countries and to avoid the inevitable fragmentation of
      the Community market which would result from Member States
      taking national measures.
VII. Have both sides of Industry been consulted? Please indicate their
      oplnions.
      No. The draft regulations envisaged concern purely administrative
      procedures.
 ---pagebreak---                                                                         ISSN 0254-1475
                                                                COM(89) 549 final
                                                         DOCUMENTS
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                                                             ISBN 92-77-54662-X
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