WRITTEN QUESTION E-2758/99 by Concepció Ferrer (PPE-DE) to the Commission. China's accession to the WTO.
C 303 E/106 Official Journal of the European Communities EN 24. 10. 2000 Answer given by Mr Liikanen on behalf of the Commission (25 February 2000) The action plan to promote the spirit of enterprise and competitiveness approved by the Member States on 29 April 1999 does indeed state that the Commission will report on the progress made as a matter of routine. Since the Commission and Member States are in the middle of conducting this exercise the Commission will not be in a position to put forward an initial report before the Council that is to be held under the French Presidency in late 2000. It would thus be premature to carry out an initial assessment. Nevertheless, the Commission is in the process of expanding bilateral contacts in cooperation with the various Member States in order to ensure that the measures adopted are properly carried out. (2000/C 303 E/102) WRITTEN QUESTION E-2758/99 by Concepció Ferrer (PPE-DE) to the Commission (18 January 2000) Subject: Chinaís accession to the WTO A bilateral agreement was recently reached between the United States and China on the conditions for Chinaís accession to the WTO. In view of the impact which that agreement may have on the European textile and garment sectors, bearing in mind that China is the leading exporter of garments and the second largest exporter of textiles, can the Commission make an assessment of the agreementís impact on the European textile, garment and leather sectors? What approach will the Commission take to bilateral negotiations between the European Union and China with a view to that countryís accession to the WTO with regard to the above sectors? Answer given by Mr Lamy on behalf of the Commission (9 February 2000) The agreement reached between the United States and China concerning the latterís accession to the World trade organisation (WTO) reflects the bilateral position of the two parties. The final terms and conditions of Chinaís accession will be determined within the WTO, notably in the working party on the protocol of accession of China. The Commissionís understanding of the United States/China agreement in so far as it relates to the textiles and clothing sector is that the United States has accorded China the benefits of the WTO agreement on textiles and clothing ( ATCí) from the date of accession, including the end date of 1 January 2005 for integration of all products covered by the ATC. In addition, the United States/China agreement proposes that for a further period of four years from 1 January 2005 a special safeguard provision will be available to the United States and other WTO members in respect of imports of textiles and clothing from China. This safeguard clause closely follows the safeguard provision of the currently applicable United States/ China bilateral textiles agreement. Broadly speaking, the Commission welcomes agreement between the United States and China as a major step forward to Chinaís accession to the WTO. However, the agreement deals with Chinaís accession to the WTO from a United States perspective and does not cover all the priorities of the Community. There remain areas concerning Chinaís accession to the WTO which need to be resolved between China and the Community in further bilateral negotiations. For textiles and clothing China is the largest supplier of the Community subject to quantitative restrictions, with imports from China running at around € 7 000 million per year. The application of the ATC to China would bring increased competition not only for European industry but also between exporters of textiles and clothing to the Community particularly in lower price ranges. China is also a very large potential market for textile and clothing industry. Exports from the Community to China, however, are in the region of € 300 million per year. A major factor in this low performance is the lack of openness of the Chinese market. Therefore the main approach of the Community for the sector will be to ensure that 24. 10. 2000 EN Official Journal of the European Communities C 303 E/107 Chinaís accession to the WTO provides a balanced result in particular by way of a substantial increase in market access opportunities for Community exports in the sector. (2000/C 303 E/103) WRITTEN QUESTION E-2759/99 by Concepció Ferrer (PPE-DE) to the Commission (18 January 2000) Subject: Rules of origin in free-trade agreements Negotiations on the bilateral agreement between the EU and Mexico, which will bring about full liberal- isation of trade in industrial goods by 2007 and in agricultural goods by 2010, were concluded on 25 November 1999. In concluding the agreement, however, a series of concessions and derogations were made with regard to the application of Community rules of origin. The European textiles, garment and footwear industries were firmly opposed to those derogations, given that the export to Mexico of products considered as being of Community origin under EC rules would still be subject to restrictions while no such restrictions would apply to Mexican products. On the same day, the EU-Mercosur and EU-Chile Ministerial Councils officially launched the negotiations on the signing of new association and trade-liberalisation agreements and entered into a commitment on the calendar for negotiations, their structure and the methods to be followed. Can the Commission confirm that, in the case of the negotiations with Mercosur ü which are of greater significance than those with Mexico ü it will take a different approach to that taken with regard to Mexico and will oppose the adoption of rules of origin which differ from Community rules of origin? With regard to the Mercosur agreement and possible future free-trade agreements, can the Commission confirm that there will be no further derogations which would imply a proliferation of rules of origin tailored to the needs of each of the associated countries, which would create confusion for industry and run counter to the Communityís objective of legislative simplification? Answer given by Mr Lamy on behalf of the Commission (21 February 2000) In November 1999 negotiations of the free trade agreement with Mexico reached a final deal which is ü in the view of the Commission ü well balanced, comprehensive and positive in its overall results for Community interests. The final approach taken on certain issues during the negotiations with Mexico does not automatically form a precedent for other negotiations. Each negotiation has its own dynamism and will have to be assessed on its own merits. As regards the reference to the preferential rule of origin, the Commission underlines that Mexico has accepted a large majority of Community harmonised rules of origin. In the case of Mexico, where compromises had to be found, this has always been accompanied by mechanisms which assure market access for our economic operators. In the case of the association negotiations with Mercosur the Commission aims to establish a final agreement that is balanced, comprehensive and forms a single undertaking. Within the framework of the negotiating directives for these negotiations the Commission has been instructed to negotiate the issue of rules of origin inspired by the model proposed by the Community for the harmonisation process of preferential rules of origin applicable to third countries. In the negotiation of a protocol on rules of origin with Mercosur, the economic interests of the Community in trade relations with this region will be fully taken into account. At present it is still too early to anticipate the developments of the negotiations with Mercosur concerning this issue of rules of origin. take place The first meeting of during March or April 2000 in Buenos Aires and will deal with general issues only. In principle the biregional negotiations committee, and related technical groups and subgroups, will meet three times a the Community-Mercosur biregional negotiations committee will