8.3.2003 Official Journal of the European Union L 65/1 (Acts whose publication is obligatory) COUNCIL REGULATION (EC) No 427/2003 of 3 March 2003 on a transitional product-specific safeguard mechanism for imports originating in the People's Republic of China and amending Regulation (EC) No 519/94 on common rules for imports from certain third countries THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Commu- nity, and in particular Article 133 thereof, Having regard to the proposal from the Commission, Whereas: (1) By Regulation (EC) No 3285/94 (') the Council adopted common rules for imports which contain provisions on safeguard measures. (2) By Regulation (EC) No 519/94 (3 the Council adopted common rules for imports from certain third countries which also contain provisions on safeguard measures. (3)  The Protocol on the Accession of the People's Republic of China (hereinafter referred to as ‘China’) to the World Trade Organisation (hereinafter referred to as ‘the Protocol’) provides for product-specific transitional safe- guard measures (hereinafter referred to as ‘safeguard measures) and product-specific transitional trade diver- sion measures (hereinafter referred to as ‘trade diversion measures’). (40 The Protocol entered into force on 11 December 2001. (5)  Inview of the considerable difference between the provi- sions on safeguard measures contained in the Protocol on the one hand and in Council Regulation (EC) No 519/94 and Council Regulation (EC) No 3285/94 on the other hand, it is necessary to have a specific Regulation for safeguard measures and trade diversion measures on certain imports originating in China. (") OJ L 349, 31.12.1994, p. 53; Regulation as last amended by Regu- lation (EC) No 2474/2000 (O] L 286, 11.11.2000, p. 1). () OJ L 67,10.03.1994, p. 89; Regulation as last amended by Regula- tion (EC) No 1138/98 (O] L 159, 3.6.1998, p. 1). (6) (11) (12) According to the Protocol, safeguard measures may be imposed when products of Chinese origin are being imported into the Community in such increased quanti- ties or under such conditions as to cause or threaten to cause market disruption to the Community industry. Market disruption shall exist whenever imports of a product are increasing rapidly so as to be a significant cause of material injury or threat of material injury to the Community industry. It seems necessary to illustrate which factors have to be taken into consideration for the determination of market disruption. The Protocol provides for the imposition of trade diver- sion measures in situations where an action by China or another member of the World Trade Organisation (here- inafter referred to as ‘WTOQ’) taken to prevent or remedy market disruption in that WTO member's market causes or threatens to cause an increase in imports of a product originating in China into the Community. It is appropriate to lay down guidance as to the factors which may be relevant for determining whether trade diversion has taken place. It is advisable to define the term ‘Community industry’. It is upon a request by a Member State or the Commis- sion that a safeguard or trade diversion investigation is initiated; it is necessary to limit the possibility of initi- ating an investigation concerning safeguard measures on the same subject matter before the lapse of one year after the completion of a previous investigation; there should be no such limitation concerning trade diversion measures.