§ Mr. Beaumont-Darkasked the Secretary of State for Industry if he will report on the outcome of the European Council of Ministers' meeting in Luxembourg on 24 and 25 June.
§ Mr. TebbitThe Steel Council which I attended agreed, ad referendum to Governments, to the continuation of mandatory production quotas under article 58—ECSC—for reinforcement bars and merchant bars, to an extension of social measures, to a new decision requiring State aids to the steel industry that are contrary to the ECSC treaty to be phased out and linked to capacity reduction, and to the extension of the ECSC rules on transparent and non-discriminatory pricing to distributors. I have made it clear that United Kingdom approval is subject to the completion of appropriate parliamentary procedures and I hope that an early debate will be possible.
The Commission will keep the market position for wire rod under review and may propose article 58 measures at any time if market developments require it.
It was a substantial achievement by the Council to reach agreement on this comprehensive package of issues which will provide a frame work within which the steel industry can hope in due course to return to viability in a competitive market. By reconciling the different interests of member States, the Community demonstrated its flexibility and capacity to respond to the grave problems of the steel industry.