5.12.2000 Official Journal of the European Communities L 304/3 COMMISSION REGULATION (EC) No 2658/2000 of 29 November 2000 on the application of Article 81(3) of the Treaty to categories of specialisation agreements (Text with EEA relevance) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to Council Regulation (EEC) No 2821/71 of 20 December 1971 on the application of Article 85(3) of the Treaty to categories of agreements, decisions and concerted practices ('), as last amended by the Act of Accession of Austria, Finland and Sweden, and in particular Article 1(1)(c) thereof, Having published a draft of this Regulation (3), Having consulted the Advisory Committee on Restrictive Prac- tices and Dominant Positions, Whereas: (1)  Regulation (EEC) No 2821/71 empowers the Commis- sion to apply Article 81(3) (formerly Article 85(3)) of the Treaty by regulation to certain categories of agree- ments, decisions and concerted practices falling within the scope of Article 81(1) which have as their object specialisation, including agreements necessary for achieving it. (2)  Pursuant to Regulation (EEC) No 2821/71, in particular, the Commission has adopted Regulation (EEC) No 417/ 85 of 19 December 1984 on the application of Article 85(3) of the Treaty to categories of specialisation agree- ments (), as last amended by Regulation (EC) No 2236/ 97 (. Regulation (EEC) No 417/85 expires on 31 December 2000. (3) A new regulation should meet the two requirements of ensuring effective protection of competition and providing adequate legal security for undertakings. The pursuit of these objectives should take account of the need to simplify administrative supervision and the legis- lative framework to as great an extent as possible. Below a certain level of market power it can, for the applica- tion of Article 81(3), in general be presumed that the positive effects of specialisation agreements will outweigh any negative effects on competition. (4)  Regulation (EEC) No 2821/71 requires the exempting regulation of the Commission to define the categories of agreements, decisions and concerted practices to which 285, 29.12.1971, p. 46. 118, 27.4.2000, p. 3. 53, 22.2.1985, p. 1. 306, 11.11.1997, p. 12. ol el W ot it applies, to specify the restrictions or clauses which may, or may not, appear in the agreements, decisions and concerted practices, and to specify the clauses which must be contained in the agreements, decisions and concerted practices or the other conditions which must be satisfied. It is appropriate to move away from the approach of listing exempted clauses and to place greater emphasis on defining the categories of agreements which are exempted up to a certain level of market power and on specifying the restrictions or clauses which are not to be contained in such agreements. This is consistent with an economics-based approach which assesses the impact of agreements on the relevant market. For the application of Article 81(3) by regulation, it is not necessary to define those agreements which are capable of falling within Article 81(1). In the individual assessment of agreements under Article 81(1), account has to be taken of several factors, and in particular the market structure on the relevant market. The benefit of the block exemption should be limited to those agreements for which it can be assumed with sufficient certainty that they satisfy the conditions of Article 81(3). Agreements on specialisation in production generally contribute to improving the production or distribution of goods, because the undertakings concerned can concentrate on the manufacture of certain products and thus operate more efficiently and supply the products more cheaply. Agreements on specialisation in the provision of services can also be said to generally give rise to similar improvements. It is likely that, given effective competition, consumers will receive a fair share of the resulting benefit. Such advantages can arise equally from agreements whereby one participant gives up the manufacture of certain products or provision of certain services in favour of another participant (‘unilateral specialisation’), from agreements whereby each participant gives up the manufacture of certain products or provision of certain services in favour of another participant (‘reciprocal specialisation’) and from agreements whereby the partici- pants undertake to jointly manufacture certain products or provide certain services (joint production’).