§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry what percentage of the United States market for steel was allocated to imports from the EEC in the informal agreement negotiated between the EEC and the United States of America in 1982.
§ Mr. ChannonThe informal agreement, by exchange of letters in October 1982, on steel pipe and tube exports did not establish any binding limit but provided for consultations in the event of EC exports exceeding the 1979–81 average share of United States apparent consumption, which was 5.9 per cent.
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry what was the actual percentage of the United States steel market which was taken up by imports from the EEC in 1983 and In 1984 to date, respectively.
§ Mr. ChannonIn 1983, United States imports of all steel mill products from EC countries accounted for about 5 per cent. of the United States market. Comparable figures for 1984 are not yet available, but in the first three quarters of 1984 the average level of Community exports of ECSC steel products to the United States was about one-fifth higher than the average level in 1983.
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry why EEC exports of steel to the United States of America have exceeded the percentage agreed in the 1982 informal agreement; and what steps were taken by Her Majesty's Government and the other members of the EEC to ensure that the arrangement was adhered to.
§ Mr. ChannonSince the 1982 informal agreement did not establish a binding limit on EC exports for steel pipes and tubes to the United States, there was no question of Her Majesty's Government or the Government of any other EC member state seeking to impose a limit on its producers' exports.
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry what percentage of the United States market for steel has been allocated to the EEC under the 123W regulation made in November 1984 by the United States Department of Commerce; and how this percentage compares with the percentage agreed between the EEC and the United States of America in 1982.
§ Mr. ChannonThe action announced by the United States Administration on 27 November implemented a binding restriction on United States imports of steel pipes and tubes from the EC of 5.9 per cent. of the United States market. This is the same percentage as the indicative, non-binding figure, referred to in the 1982 EC-United States exchange of letters on pipes and tubes.
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry what restrictions, by way of quota, tariff and price limitation, are imposed by the EEC on imports of steel from countries outside the EEC; and if any special provision is made for imports from the United States of America.
§ Mr. ChannonThe customs duties applicable to iron and steel products imported into the Community are set out in chapter 73 of the common customs tariff. Information about these rates is also available in Her Majesty's customs and excise tariff and overseas trade classification, a copy of which is in the Library. Anti-dumping or coutervailing duties are in force against a number of products from third country suppliers: part 13 of the tariff and overseas trade classification gives details of these duties. Voluntary restraint arrangements by which major suppliers to the Community undertake to limit their exports to traditional levels were negotiated in 1984 between the Community and Sweden, Finland, Norway, Austria, Czechoslovakia, Hungary, Romania, Poland, Bulgaria, Japan, Australia, Spain, South Korea, South Africa and Brazil. These voluntary restraint arrangements incorporate a number of autonomous quotas on products from the CMEA countries of eastern Europe imposed by individual member states prior to establishment of the European Communities, and still maintained. In addition, the United Kingdom has quotas on certain products from the USSR and the German Democratic Republic: details of these are set out in notice to importers No. 1995 published inBritish Business on 17 February 1984.
Imports from countries not subject to quotas and with whom VRAs have not been negotiated—of which the US is one—are subject to no quantitative restrictions. Such imports are monitored against import reference prices published by the European Commission. These prices are intended to serve as a benchmark for the application of the Community's dumping regulations.
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry if Her Majesty's Government support the statement made by the Common Market Commission on the restrictions on steel imports imposed by the United States Government; and if he will make a statement.
§ Mr. ChannonThe Government entirely share the Community's concern and disappointment that the United State's authorities rejected out of hand proposed terms for a binding restraint arrangement on EC exports of pipes and tubes, and proceeded to unilateral action without further consultations. The Community has fully reserved its GATT rights. The Government will keep the House informed of developments.
124W
§ Mr. Teddy Taylorasked the Secretary of State for Trade and Industry what steps have been taken by the EEC since 1982 to reduce the restrictions on the import of steel from non-EEC countries.
§ Mr. ChannonThe basic principle of the steel voluntary restraint arrangements is to allow the signatory countries to maintain their traditional trade with the Community, taking account of the development of the Community market. This is in line with the OECD consensus in 1977 that anti-crisis measures should be on the basis of burden-sharing. To achieve this, the Community has sought to renew annually the quantitative aspects of the arrangements on the basis of forecast Community steel consumption. The depressed state of the market in 1982, 1983 and 1984 meant that it was not possible to increase access levels in these years.
However, in line with improvments in demand in 1984 and the Government's policy of reducing barriers to trade, we have supported increased access levels under the 1985 regime. Negotiations between the Commission and our partners are continuing on this basis. There have been no major changes in the non-quantitative aspects of the arrangements since 1982.