Council Decision

of 19 December 2002

on trade in certain steel products between the European Community and Ukraine

(2002/1001/EC)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 thereof,

Having regard to the proposal from the Commission,

Whereas:

(1) The Partnership and Cooperation Agreement between the European Communities and their Member States, on the one part, and Ukraine, of the other part(1), provides in its Article 22(1), that trade in some steel products shall be the subject of a specific agreement.

(2) The previous bilateral agreement between the ECSC and the Government of Ukraine on trade for certain steel products expired on 31 December 2001.

(3) The Parties agreed to conclude a new agreement and the negotiations of this new agreement have not yet been completed.

(4) The European Community (EC) has taken over the international obligations of the ECSC since the expiry of the ECSC Treaty, and measures relating to trade in steel products with third countries now fall under the competence of the EC in the field of trade policy.

(5) Quantitative limits for the year 2002 have been fixed by Decision 2001/933/ECSC of the representatives of the Government of the Member States meeting within the Council of 19 December 2001(2).

(6) Pending the signature and the entry into force of the new agreement, quantitative limits for the year 2003 must be established.

(7) The Ukrainian Parliament passed a law imposing a tax of EUR 30/tonne on exports of ferrous scrap, to be applied as of 1 January 2003; this proposed tax will constitute an obstacle to the free trade of ferrous scrap and would seriously limit, if not block, exports of ferrous scrap, thereby penalising the Community steel industry and affecting adversely the Community ferrous scrap market. As a consequence, it is appropriate to reduce the quantitative limits for 2003 by 30 % compared to the quantitative limits set for 2002, pending a satisfactory solution to this issue and the conclusion of the negotiations of the new Agreement,

HAS DECIDED AS FOLLOWS:

Article 1

During the period mentioned in Annex I, imports into the European Community of steel products referred to in Annex II originating in Ukraine shall be subject to licensing. Licenses shall be issued only within the limits defined in Article 2.

Article 2

Imports shall be authorised, for each product group and for the whole of the Community, up to the quantitative limits indicated in Annex I.

The period of validity of the import licence is hereby fixed at four months. Unused or partially used import licences may be renewed for two months.

Article 3

Member States shall issue licences according to rules agreed within the Steel Liaison Committee and inform the Commission thereof immediately. The Commission shall keep the Member States regularly informed of the extent to which the quantities have been used up.

The Member States and the Commission shall confer in order to ensure that these quantities are not exceeded.

Article 4

The provisions of the agreement on trade in certain steel products together with any measures to give effect to it, shall as from the date of entry into force of the agreement replace the provisions of this Decision.

Article 5

This Decision shall enter into force on the day following its publication in the Official Journal of the European Communities.

Done at Brussels, 19 December 2002.

For the Council

The President

L. Espersen

(1) OJ L 49, 19.2.1998, p. 3.

(2) OJ L 345, 29.12.2001, p. 75. Decision amended by Decision 2002/476/ECSC (OJ L 164, 22.6.2002, p. 37).

ANNEX I

QUANTITATIVE LIMITS FIXED FOR THE PERIOD 1.1.2002-31.12.2003

>TABLE>

ANNEX II

SA Flat-rolled products

SA1. Coils

7208 10 00

7208 25 00

7208 26 00

7208 27 00

7208 36 00

7208 37 10

7208 37 90

7208 38 10

7208 38 90

7208 39 10

7208 39 90

7211 14 10

7211 19 20

7219 11 00

7219 12 10

7219 12 90

7219 13 10

7219 13 90

7219 14 10

7219 14 90

7225 20 20

7225 30 00

SA2. Heavy Plate

7208 40 10

7208 51 10

7208 51 30

7208 51 50

7208 51 91

7208 51 99

7208 52 10

7208 52 91

7208 52 99

7208 53 10

7211 13 00

7225 40 20

7225 40 50

7225 99 10

SA3. Other flat rolled products

7208 40 90

7208 53 90

7208 54 10

7208 54 90

7208 90 10

7209 15 00

7209 16 10

7209 16 90

7209 17 10

7209 17 90

7209 18 10

7209 18 91

7209 18 99

7209 25 00

7209 26 10

7209 26 90

7209 27 10

7209 27 90

7209 28 10

7209 28 90

7209 90 10

7210 11 10

7210 12 11

7210 12 19

7210 20 10

7210 30 10

7210 41 10

7210 49 10

7210 50 10

7210 61 10

7210 69 10

7210 70 31

7210 70 39

7210 90 31

7210 90 33

7210 90 38

7211 14 90

7211 19 90

7211 23 10

7211 23 51

7211 29 20

7211 90 11

7212 10 10

7212 10 91

7212 20 11

7212 30 11

7212 40 10

7212 40 91

7212 50 31

7212 50 51

7212 60 11

7212 60 91

7219 21 10

7219 21 90

7219 22 10

7219 22 90

7219 23 00

7219 24 00

7219 31 00

7219 32 10

7219 32 90

7219 33 10

7219 33 90

7219 34 10

7219 34 90

7219 35 10

7219 35 90

7225 40 80

SB Longs

SB1. Beams

7207 19 31

7207 20 71

7216 31 11

7216 31 19

7216 31 91

7216 31 99

7216 32 11

7216 32 19

7216 32 91

7216 32 99

7216 33 10

7216 33 90

SB2. Wire rod

7213 10 00

7213 20 00

7213 91 10

7213 91 20

7213 91 41

7213 91 49

7213 91 70

7213 91 90

7213 99 10

7213 99 90

7221 00 10

7221 00 90

7227 10 00

7227 20 00

7227 90 10

7227 90 50

7227 90 95

SB3 Other longs

7207 19 11

7207 19 14

7207 19 16

7207 20 51

7207 20 55

7207 20 57

7214 20 00

7214 30 00

7214 91 10

7214 91 90

7214 99 10

7214 99 31

7214 99 39

7214 99 50

7214 99 61

7214 99 69

7214 99 80

7214 99 90

7215 90 10

7216 10 00

7216 21 00

7216 22 00

7216 40 10

7216 40 90

7216 50 10

7216 50 91

7216 50 99

7216 99 10

7218 99 20

7222 11 11

7222 11 19

7222 11 21

7222 11 29

7222 11 91

7222 11 99

7222 19 10

7222 19 90

7222 30 10

7222 40 10

7222 40 30

7224 90 31

7224 90 39

7228 10 10

7228 10 30

7228 20 11

7228 20 19

7228 20 30

7228 30 20

7228 30 41

7228 30 49

7228 30 61

7228 30 69

7228 30 70

7228 30 89

7228 60 10

7228 70 10

7228 70 31

7228 80 10

7228 80 90

7301 10 00