AGREEMENT between the European Economic Community and the Republic of Korea on trade in textile products Done at Brussels on 7 August 1986THE COUNCIL OF THE EUROPEAN COMMUNITIES,of the one part, andTHE GOVERNMENT OF THE REPUBLIC OF KOREA,of the other part,DESIRING to achieve the expansion of the trade and to promote, with a view to permanent cooperation and in conditions providing every security for trade, the orderly and equitable development of trade in textile products between the European Economic Community (hereinafter referred to as 'the Community') and the Republic of Korea,RESOLVED to take the fullest possible account of the serious economic and social problems at present affecting the textile industry in both importing and exporting countries, and in particular, to eliminate real risks of market disruption on the market of the Community and real risks of disruption to the textile trade of the Republic of Korea,HAVING REGARD to the Arrangement regarding International Trade in Textiles (hereinafter referred to as 'the Geneva Arrangement'), and in particular Article 4 thereof, and to the conditions set out in the Protocol extending the Arrangement,HAVE DECIDED to conclude this Agreement and to this end have designated as their Plenipotentiaries:THE COUNCIL OF THE EUROPEAN COMMUNITIES:THE GOVERNMENT OF THE REPUBLIC OF KOREA:WHO HAVE AGREED AS FOLLOWS:SECTION ITrade arrangementsArticle 11. The Parties recognize and confirm that, subject to the provisions of this Agreement and without prejudice to their rights and obligations under the General Agreement on Tariffs and Trade, the conduct of their mutual trade in textile products shall be governed by the provisions of the Geneva Arrangement.2. In respect of the products covered by this Agreement, the Community undertakes not to introduce quantitative restrictions under Article XIX of the General Agreement on Tariffs and Trade or Article 3 of the Geneva Arrangement.3. Measures having equivalent effect to quantitative restrictions on the importation into the Community of the products covered by this Agreement shall be prohibited.Article 21. This Agreement shall apply to trade in textile products of cotton, wool and man-made fibres originating in the Republic of Korea which are listed in Annex I.2. The classification of the products covered by this Agreement is based on the Nomenclature of the Common Customs Tariff and on the Nomenclature of Goods for the External Trade Statistics of the Community and the Statistics of Trade between Member States (NIMEXE).From the entry into force of the International Convention on the Harmonized Commodity Description and Coding System (HS) this classification will be based on the harmonized system and on the Community nomenclatures derived from that system.3. The origin of the products covered by this Agreement shall be determined in accordance with the rules in force in the Community.Any amendment to these rules of origin shall be communicated to the Republic of Korea and shall not have the effect of reducing any quantitative limit established in Annex II.The procedures for control of the origin of the products referred to above are laid down in Protocol A.Article 3The Republic of Korea agrees for each Agreement year to restrain its exports to the Community of the products described in Annex II to the limits set out therein.Exports of textile products set out in Annex II shall be subject to a double-checking system specified in Protocol A.Article 4The Republic of Korea and the Community recognize the special and differential character of re-imports of textile products into the Community after processing in the Republic of Korea.Such re-imports may be agreed outside the quantitative limits established under this Agreement provided that they are effected in accordance with the regulations on economic outward processing in force in the Community.Article 5Exports of cottage industry fabrics woven on hand- or foot-operated looms, garments or other articles obtained manually from such fabrics and traditional folklore handicraft products shall not be subject to quantitative limits, provided that these products meet the conditions laid down in Protocol B.Article 61. Imports into the Community of textile products covered by this Agreement shall not be subject to the quantitative limits established in Annex II, provided that they are declared to be for re-export outside the Community in the same state or after processing, within the framework of the administrative system of control which exists within the Community.However, the release for home use of products imported under the conditions referred to above shall be subject to the production of an export licence issued by the Korean authorities, and to proof of origin in accordance with the provisions of Protocol A.2. Where the Community authorities have evidence that imports of textile products have been set off against a quantitative limit established under this Agreement, but that the products have subsequently been re-exported outside the Community, the authorities concerned shall inform the Korean authorities within four weeks of the quantities involved and authorize imports of identical quantities of the same products, which shall not be set off against the quantitative limit
presentation of an export licence, in application of Article 12, shall be effected not later than 31 March of the year following that in which the goods covered by the licence have been shipped.Section IIImportationArticle 11Importation into the Community of textile products subject to quantitative limits shall be subject to the presentation of an import authorization or document.Article 121. The competent Community authorities shall issue such import authorization or document automatically within fiveworking days of the presentation by the importer of the original of the corresponding export licence.The import authorization or document shall be valid for six months.2. The competent Community authorities shall cancel the already issued import authorization or document if the corresponding export licence has been withdrawn.However, if the competent Community authorities have not been notified about the withdrawal or cancellation of the export licence until after the products have been imported into the Community, the quantities involved shall be set off against the quantitative limit for the category and the quota year in question.Article 131. If the competent Community authorities find that the total quantities covered by export licences issued by the Republic of Korea for a particular category in any Agreement year exceed the quantitative limit established in Annex II for that category, as may be modified by Articles 7, 13 and 14 of the Agreement, or any definitive or provisional limit established under Article 8 of the Agreement, the said authorities may suspend the further issue of import authorizations or documents. In this event, the competent Community authorities shall immediately inform the authorities of the Republic of Korea and the special consultation procedure set out in Article 16 of the Agreement shall be initiated forthwith.2. Exports of Korean origin not covered by Korean export licences issued in accordance with the provisions of this Protocol may be refused the issue of import authorizations or documents by the competent Community authorities.However, if the import of such products is allowed into the Community by the competent Community authorities, the quantities involved shall not be set off against the appropriate quantitative limits set out in Annex II or established as a result of the application of Article 8 of the Agreement, without the express agreement of the Republic of Korea save as provided for in Article 11 of the Agreement.TITLE IVFORM AND PRODUCTION OF EXPORT CERTIFICATES AND CERTIFICATES OF ORIGIN, AND COMMON PROVISIONSArticle 141. The export licence and the certificate of origin may comprise additional copies duly indicated as such. They shall be made out in English or French. If they are completed by hand, entries must be in ink and in block capitals.These documents shall measure 210 × 297 mm. The paper used must be white writing paper, sized, not containing mechanical pulp and weighing not less than 25 g/m$. Eachpart shall have a printed guilloche-pattern background making any falsification by mechanical or chemical means apparent to the eye.If the documents have several copies only the top copy which is the original shall be printed with the guilloche-pattern background. This copy shall be clearly marked as 'original' and the other copies as 'copy'. Only the original shall be accepted by the competent authorities in the Community as being valid for the purposes of export to the Community in accordance with the arrangements established by this Agreement.2. Each document shall bear a standardized serial number, whether or not printed, by which it can be identified.This number shall be composed of the following elements:-two letters identifying the Republic of Korea as follows: KR,-two letters identifying the country of destination as follows:BL = BeneluxDE = GermanyDK = DenmarkES = SpainFR = FranceGB = United KingdomGR = GreeceIE = IrelandIT = ItalyPT = Portugal-a one-digit number identifying quota year, corresponding to the last figure in year, e.g. 7 for 1987,-a two-digit number running consecutively from 01 to 99 identifying the issuing office,-a five-digit number running consecutively from 00001 to 99999 allocated to the country of destination.Article 15The export licence and certificate of origin may be issued after the shipment of the products to which they relate. In such cases they shall bear either the endorsement 'délivré a posteriori' or the endorsement 'Issued retrospectively'.Article 161. In the event of theft, loss or destruction of an export licence or a certificate of origin, the exporter may apply to the competent governmental authority which issued the document for a duplicate to be made out on the basis of the export documents in his possession. The duplicate of any such certificate or licence so issued shall bear the endorsement 'duplicata'.2. The duplicate must bear the date of the original export licence or certificate of origin.TITLE VADMINISTRATIVE COOPERATIONArticle 17The Community and the Republic of Korea shall cooperate closely to implement the provisions of this Agreement. To this end, contacts and exchanges of views (including on technical matters) shall be facilitated by both Parties.Article 18In order to ensure the proper application of this Agreement, the Community and the Republic of Korea shall assist each other in checking the authenticity and with the procedures in force in the Community, relating to the classification of products covered by this Agreement.Any amendment to the tariff and statistical nomenclatures in force in the Community or any decision which results in a modification of the classification of products covered by this Agreement shall not have the effect of reducing any quantitative limit established in Annex II.The procedures for the application of this paragraph are set out in Protocol A.Article 111. The Republic of Korea and the Community agree to cooperate fully in preventing the circumvention of this Agreement by transhipment, rerouting or whatever other means.2. Where information available to the Community as a result of the investigations carried out in accordance with the procedures set out in Protocol A constitutes evidence that products of Korean origin subject to quantitative limits established under this Agreement have been transhipped, rerouted or otherwise imported into the Community in circumvention of this Agreement, the Community may request the opening of consultations in accordance with the procedures described in Article 16 (1), with a view to reaching agreement on an equivalent adjustment of the corresponding quantitative limits established under this Agreement.3. Pending the result of the consultations referred to in paragraph 2, the Republic of Korea shall as a precautionary measure, if so requested by the Community, make the necessary arrangements to ensure that adjustments of quantitative limits liable to be agreed following the consultations referred to in paragraph 2, may be carried out for the quota year in which the request to open consultations in accordance with paragraph 2 was made, or for the following year if the quota for the current year is exhausted, where clear evidence of circumvention is provided.4. Should the Parties be unable in the course of consultations to reach a satisfactory solution within the period specified in Article 16, the Community shall have the right, where clear evidence of circumvention has been provided, to deduct from the quantitative limits established under this Agreement amounts equivalent to the products of Korean origin.Article 121. The Republic of Korea shall endeavour to ensure that exports of textile products subject to quantitative limits are spaced out as evenly as possible over an Agreement year, due account being taken, in particular, of seasonal factors.2. Should there be an excessive concentration of imports on any product within a category subject to quantitative limits under this Agreement, the Community may request consultations in accordance with the procedure specified in Article 16 of this Agreement with a view to remedying this situation. Article 13Should recourse be had to the denunciation provisions of Article 18 (4), the quantitative limits established in Annex II shall be adapted on a pro rata basis. Article 141. For the purpose of the administration of this Agreement, the limits referred to in Article 3 are broken down by the Community into shares for each of its Member States.2. Portions of the quantitative limits established in Annex II not used in one Member State of the Community may be reallocated to another Member State in accordance with the procedures in force in the Community.The Community undertakes to examine with care and reply within four weeks to any request made for reallocation by the Republic of Korea. In the event of agreement on such reallocation, the flexibility provisions set out in Article 7 shall continue to be applicable to the levels of the original allocation.If, in the course of the application of this Agreement, the Republic of Korea finds that the break-down of a limit established in Annex II causes particular difficulties, it may request the opening of consultations in accordance with Article 16 with a view to reaching a mutually satisfactory solution.3. After the first of June of each year of application of the Agreement, the Republic of Korea may transfer, subject to prior notification to the Community, the unused quantities of the regional quota-shares of a Community quantitative limit, set out in Annex II, to the quota-shares of the same limit of other regions of the Community provided that the regional quota-share from which the transfer is made is utilized by less than 80 %, and up to the amount of thefollowing percentages of the quota-share to which the transfer is made:- 1 % in the first year of the application of the Agreement,- 2 % in the second year of the application of the Agreement,- 4 % in the third year of the application of the Agreement,- 6 % in the fourth year of the application of the Agreement.The percentage in the fifth year of application of the Agreement shall be determined following consultation between the parties.4. Should it appear in any given region of the Community that additional supplies are required, the Community may, where measures taken pursuant to paragraph 1 are inadequate to cover those requirements, authorize the importation of amounts greater than those stipulated in Annex II.Article 151. The Republic of Korea and the Community undertake to refrain from discrimination in the allocation of export licences and import authorizations or documents referred to in Protocol A.2. In implementing this Agreement, the Contracting Parties shall take care to maintain the traditional commercial practices and trade flows between the Community and the Republic of Korea.3. Should either Party find that its agreement to the foregoing.The Mission of the Republic of Korea to the European Communities avails itself of this opportunity to renew to the Directorate-General for External Relations of the Commission of the European Communities the assurance of its highest consideration.Exchange of Notes The Directorate-General for External Relations of the Commission of the European Communities presents its compliments to the Mission of the Republic of Korea to the European Communities and has the honour to refer to the Note of 7 August 1986 regarding the Agreement on trade in textile products between the Republic of Korea and the Community initialled on 7 August 1986.The Directorate-General wishes to confirm that whilst awaiting the completion of the necessary procedures for the conclusion and the coming into force of the Agreement, the Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 1987.The Directorate-General for External Relations of the Commission of the European Communities avails itself of this opportunity to renew to the Mission of the Republic of Korea to the European Communities the assurance of its highest consideration. Avis juridique important|21987A0914(02)Acordo entre a Comunidade Económica Europeia e a República da Coreia sobre o comércio internacional de têxteis - Protocolo A - Protocolo B - Protocolo C - Protocolo D - Actas aprovadas - Trocas de notas Tradução não oficial Jornal Oficial nº L 263 de 14/09/1987 p. 0038 - 0079