On Thursday 3 November, the emerging economies of the BRIC group (Brazil, Russia, India, China and South Africa) expressed their concerns during a WTO committee meeting regarding import licences and the surveillance measure applied by the EU prior to the imports of certain steel and iron poducts, introduced at the end of April (see EUROPE 11543). The EU provided assurances that its import licences system sought to gather intelligence about traders’ reasons for importing.
According to the WTO, Russia called on the EU for clarification regarding this measure and asserted that it had a “significant impact” on delivery deadlines and therefore provided domestic suppliers in the EU with an advantage. Russia further explained that its manufacturers had concerns that this measure could herald in further EU safeguard measures on imported steel products.
China said that it shared Russia’s concerns and described this measure, as an “unnecessary burden on trade”. Brazil said it was concerned by the impact on bilateral trade caused by these kinds of potentially restrictive measures.
The EU provided assurances that this measure would not disrupt or hinder “normal” trade and that granting licences was entirely automatic for all quantities of certain steel and iron products irrespective of the price of the product and did not target products with a specific origin. It also explained that these licences were valid for four months and could be requested in advance, which would help prevent delivery delays. The EU added that the decision to adopt safeguard rights still depended on what was actually happening on the market. (Original version in French by Emmanuel Hagry)