Regulation (EEC) No 2840/72 of the Council of 19 December 1972 concluding an Agreement between the European Economic Community and the Swiss Confederation and adopting provisions for its implementation and concluding an additional Agreement concerning the validity, for the Principality of Liechtenstein, of the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972

31.12.1972	EN	Official Journal of the European Communities	L 300/190

REGULATION (EEC) No 2840/72 OF THE COUNCIL

of 19 December 1972

concluding an Agreement between the European Economic Community and the Swiss Confederation and adopting provisions for its implementation and concluding an additional Agreement concerning the validity, for the Principality of Liechtenstein of the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European Economic Community, and in particular Article 113 thereof,

Having regard to the proposal from the Commission,

Whereas the Agreement between the European Economic Community and the Swiss Confederation signed in Brussels on 22 July 1972 should be concluded and the Declarations annexed to the Final Act, together with the additional Agreement concerning the validity of the abovementioned Agreement for the Principality of Liechtenstein, likewise signed in Brussels on 22 July 1972, should be adopted;

Whereas, since the Agreement establishes a Joint Committee, representatives of the Community on this Committee should be appointed,

HAS ADOPTED THIS REGULATION:

Article 1

The Agreement between the European Economic Community and the Swiss Confederation, the Annexes and Protocols thereto, and the Declarations annexed to the Final Act are hereby concluded, together with the additional Agreement concerning the validity of the abovementioned Agreement for the Principality of Liechtenstein; adopted and confirmed on behalf of the Community.

The texts of the Agreement and of the Final Act are annexed to this Regulation.

Article 2

Pursuant to Article 36 of the Agreement, the President of the Council of the European Communities shall give notification that the procedures necessary for the entry into force of the Agreement have been completed on the part of the Community.

Article 3

Within the Joint Committee provided for in Article 29 of the Agreement, the Community shall be represented by the Commission, assisted by the representatives of the Member States.

Article 4

This Regulation shall enter into force on 20 December 1972.

This Regulation is binding in its entirety and directly applicable in all Member States.

Done at Brussels, 19 December 1972.

For the Council

The President

T. WESTERTERP

AGREEMENT

between the European Economic Community and the Swiss Confederation

THE EUROPEAN ECONOMIC COMMUNITY,

of the one part, and

THE SWISS CONFEDERATION,

of the other part,

DESIRING to consolidate and to extend, upon the enlargement of the European Economic Community, the economic relations existing between the Community and Switzerland and to ensure, with due regard for fair conditions of competition, the harmonious development of their commerce for the purpose of contributing to the work of constructing Europe,

RESOLVED to this end to eliminate progressively the obstacles to substantially all their trade, in accordance with the provisions of the General Agreement on Tariffs and Trade concerning the establishment of free trade areas,

DECLARING their readiness to examine, in the light of any relevant factor, and in particular of developments in the Community, the possibility of developing and deepening their relations where it would appear to be useful in the interests of their economies to extend them to fields not covered by this Agreement,

HAVE DECIDED, in pursuit of these objectives and considering that no provision of this Agreement may be interpreted as exempting the Contracting Parties from the obligations which are incumbent upon them under other international agreements,

TO CONCLUDE THIS AGREEMENT:

Article 1

The aim of this Agreement is:

• (a) to promote through the expansion of reciprocal trade the harmonious development of economic relations between the European Economic Community and the Swiss Confederation and thus to foster in the Community and in Switzerland the advance of economic activity, the improvement of living and employment conditions, and increased productivity and financial stability,

• (b) to provide fair conditions of competition for trade between the Contracting Parties,

• (c) to contribute in this way, by the removal of barriers to trade, to the harmonious development and expansion of world trade.

Article 2

The Agreement shall apply to products originating in the Community or Switzerland:

• (i) which fall within Chapters 25 to 99 of the Brussels Nomenclature excluding the products listed in Annex I;

• (ii) which are specified in Protocol No 2, with due regard to the arrangements provided for in that Protocol.

Article 3

• (a) on 1 April 1973 each duty shall be reduced to 80 % of the basic duty;

• (b) four further reductions of 20 % each shall be made on:

1 January 1974,

1 January 1975,

1 January 1976,

1 July 1977.

Article 4

The Contracting Parties may replace a customs duty of a fiscal nature or the fiscal element of a customs duty by an internal tax.

The Joint Committee provided for in Article 29 shall examine whether the conditions set out in the preceding subparagraph are being met, particularly where a change has been made in the amount of the fiscal element.

The Joint Committee shall examine the position with a view to the conversion of such duties into internal charges before 1 January 1980 or before any other date which it might determine in the light of circumstances.

Article 5

Subject to the application by the Community of Article 39 (5) of the “Act concerning the Conditions of Accession and the Adjustments to the Treaties” drawn up and adopted within the Conference between the European Communities and the Kingdom of Denmark, Ireland, the Kingdom of Norway and the United Kingdom of Great Britain and Northern Ireland, as regards the specific duties or the specific part of the mixed duties in the Irish Customs Tariff, Article 3 and Protocol No 1 shall be applied, with rounding to the fourth decimal place.

Article 6

Any charge having an effect equivalent to a customs duty on imports, the rate of which on 31 December 1972 is higher than that actually applied on 1 January 1972 shall be reduced to the latter rate upon the entry into force of the Agreement.

• (a) by 1 January 1974 at the latest each charge shall be reduced to 60 % of the rate applied on 1 January 1972;

• (b) three further reductions of 20 % each shall be made on:

1 January 1975,

1 January 1976,

1 July 1977.

Article 7

Customs duties on exports and charges having equivalent effect shall be abolished not later than 1 January 1974.

Article 8

Protocol No 1 lays down the tariff treatment and arrangements applicable to certain products.

Article 9

Protocol No 2 lays down the tariff treatment and arrangements applicable to certain goods obtained by processing agricultural products.

Article 10

Article 11

Protocol No 3 lays down the rules of origin.

Article 12

A Contracting Party which is considering the reduction of the effective level of its duties or charges having equivalent effect applicable to third countries benefiting from most favoured-nation treatment, or which is considering the suspension of their application, shall, as far as may be practicable, notify the Joint Committee not less than thirty days before such reduction or suspension comes into effect. It shall take note of any representations by the other Contracting Party regarding any distortions which might result therefrom.

Article 13

Article 14

In this event the Community shall take due account of the interests of Switzerland; to this end it shall inform the Joint Committee, which shall meet under the conditions set out in Article 31.

Article 15

Article 16

From 1 July 1977 products originating in Switzerland may not enjoy more favourable treatment when imported into the Community than that applied by the Member States of the Community between themselves.

Article 17

The Agreement shall not preclude the maintenance or establishment of customs unions, free trade areas or arrangements for frontier trade, except in so far as they alter the trade arrangements provided for in the Agreement, in particular the provisions concerning rules of origin.

Article 18

The Contracting Parties shall refrain from any measure or practice of an internal fiscal nature establishing, whether directly or indirectly, discrimination between the products of one Contracting Party and like products originating in the territory of the other Contracting Party.

Products exported to the territory of one of the Contracting Parties may not benefit from repayment of internal taxation in excess of the amount of direct or indirect taxation imposed on them.

Article 19

Payments relating to trade in goods and the transfer of such payments to the Member State of the Community in which the creditor is resident or to Switzerland shall be free from any restrictions.

The Contracting Parties shall refrain from any exchange or administrative restrictions on the grant, repayment or acceptance of short- and medium-term credits covering commercial transactions in which a resident participates.

Article 20

The Agreement shall not preclude prohibitions or restrictions on imports, exports or goods in transit justified on grounds of public morality, law and order or public security, the protection of life and health of humans, animals or plants, the protection of national treasures of artistic, historic or archaeological value, the protection of industrial and commercial property, or rules relating to gold or silver. Such prohibitions or restrictions must not, however, constitute a means of arbitrary discrimination or a disguised restriction on trade between the Contracting Parties.

Article 21

Nothing in the Agreement shall prevent a Contracting Party from taking any measures:

• (a) which it considers necessary to prevent the disclosure of information contrary to its essential security interests;

• (b) which relate to trade in arms, munitions or war materials or to research, development or production indispensable for defence purposes, provided that such measures do not impair the conditions of competition in respect of products not intended for specifically military purposes;

• (c) which it considers essential to its own security in time of war or serious international tension.

Article 22

If either Contracting Party considers that the other Contracting Party has failed to fulfil an obligation under the Agreement, it may take appropriate measures under the conditions and in accordance with the procedures laid down in Article 27.

Article 23

• (i) all agreements between undertakings, decisions by associations of undertakings and concerted practices between undertakings which have as their object or effect the prevention, restriction or distortion of competition as regards the production of or trade in goods;

• (ii) abuse by one or more undertakings of a dominant position in the territories of the Contracting Parties as a whole or in a substantial part thereof;

• (iii) any public add which distorts or threatens to distort competition by favouring certain undertakings or the production of certain goods.

Article 24

Where an increase in imports of a given product is or is likely to be seriously detrimental to any production activity carried on in the territory of one of the Contracting Parties and where this increase is due to:

• (i) the partial or total reduction in the importing Contracting Party, as provided for in the Agreement, of customs duties and charges having equivalent effect levied on the product in question; and

• (ii) the fact that the duties or charges having equivalent effect levied by the exporting Contracting Party on imports of raw materials or intermediate products used in the manufacture of the product in question are significantly lower than the corresponding duties or charges levied by the importing Contracting Party;

the Contracting Party concerned may take appropriate measures under the conditions and in accordance with the procedures laid down in Article 27.

Article 25

If one of the Contracting Parties finds that dumping is taking place in trade with the other Contracting Party, it may take appropriate measures against this practice in accordance with the Agreement on implementation of Article VI of the General Agreement on Tariffs and Trade, under the conditions and in accordance with the procedures laid down in Article 27.

Article 26

If serious disturbances arise in any sector of the economy or if difficulties arise which could bring about serious deterioration in the economic situation of a region, the Contracting Party concerned may take appropriate measures under the conditions and in accordance with the procedures laid down in Article 27.

Article 27

In the selection of measures, priority must be given to those which least disturb the functioning of the Agreement.

The safeguard measures shall be notified immediately to the Joint Committee and shall be the subject of periodical consultations within the Committee, particularly with a view to their abolition as soon as circumstances permit.

• (a) As regards Article 23, either Contracting Party may refer the matter to the Joint Committee if it considers that a given practice is incompatible with the proper functioning of the Agreement within the meaning of Article 23 (1).

The Contracting Parties shall provide the Joint Committee with all relevant information and shall give it the assistance it requires in order to examine the case and, where appropriate, to eliminate the practice objected to.

If the Contracting Party in question fails to put an end to the practice objected to within the period fixed by the Joint Committee, or in the absence of agreement in the Joint Committee within three months of the matter being referred to it, the Contracting Party concerned may adopt any safeguard measures it considers necessary to deal with the serious difficulties resulting from the practices in question; in particular it may withdraw tariff concessions.

• (b) As regards Article 24, the difficulties arising from the situation referred to in that Article shall be referred for examination to the Joint Committee, which may take any decision needed to put an end to such difficulties.

If the Joint Committee or the exporting Contracting Party has not taken a decision putting an end to the difficulties within thirty days of the matter being referred, the importing Contracting Party is authorized to levy a compensatory charge on the product imported.

The compensatory charge shall be calculated according to the incidence on the value of the goods in question of the tariff disparities in respect of the raw materials or intermediate products incorporated therein.

• (c) As regards Article 25, consultation in the Joint Committee shall take place before the Contracting Party concerned takes the appropriate measures.

• (d) Where exceptional circumstances requiring immediate action make prior examination impossible, the Contracting Party concerned may, in the situations specified in Articles 24, 25 and 26 and also in the case of export aids having a direct and immediate incidence on trade, apply forthwith the precautionary measures strictly necessary to remedy the situation.

Article 28

Where one or more Member States of the Community or Switzerland is in difficulties or is seriously threatened with difficulties as regards its balance of payments, the Contracting Party concerned may take the necessary safeguard measures. It shall inform the other Contracting Party forthwith.

Article 29

Article 30

Article 31

The Joint Committee shall, in addition meet whenever special circumstances so require, at the request of either Contracting Party, in accordance with the conditions to be laid down in its rules of procedure.

Article 32

The Contracting Parties may instruct the Joint Committee to examine this request and, where appropriate, to make recommendations to them, particularly with a view to opening negotiations.

Article 33

The Annexes and Protocols to the Agreement shall form an integral part thereof.

Article 34

Either Contracting Party may denounce the Agreement by notifiying the other Contracting Party. The Agreement shall cease to be in force twelve months after the date of such notification.

Article 35

The Agreement shall apply, on the one hand, to the territories to which the Treaty establishing the European Economic Community applies upon the terms laid down in that Treaty and, on the other, to the territory of the Swiss Confederation.

Article 36

This Agreement is drawn up in duplicate, in the Danish, Dutch, English, French, German, Italian, and Norwegian languages, each of these texts being equally authentic.

This Agreement will be approved by the Contracting Parties in accordance with their own procedures.

It shall enter into force on 1 January 1973 provided that the Contracting Parties have notified each other before that date that the procedures necessary to this end have been completed.

After this date this Agreement shall enter into force on the first day of the second month following such notification. The final date for such notification shall be 30 November 1973.

The provisions applicable on 1 April 1973 shall be applied upon the entry into force of this Agreement if it enters into force after that date.

Udfærdiget i Bruxelles, den toogtyvende juli nitten hundrede og tooghalvfjerds.

Geschehen zu Brüssel am zweiundzwanzigsten Juli neunzehnhundertzweiundsiebzig.

Done at Brussels on this twenty-second day of July in the year one thousand nine hundred and seventy-two.

Fait à Bruxelles, le vingt-deux juillet mil neuf cent soixante-douze.

Fatto a Bruxelles, il ventidue luglio millenovecentosettantadue.

Gedaan te Brussel, de tweeëntwintigste juli negentienhonderdtweeënzeventig.

Utferdiget i Brussel, tjueandre juli nitten hundre og syttito.

På Rådet for De europæiske Fællesskabers vegne

Im Namen des Rates der Europäischen Gemeinschaften

In the name of the Council of the European Communities

Au nom du Conseil des Communautés européennes

A nome del Consiglio delle Comunità europee

Namens de Raad van de Europese Gemeenschappen

For Rådet for De Europeiske Fellesskap

Image omitted; see official source

Für die Schweizerische Eidgenossenschaft

Pour la Confédération suisse

Per la Confederazione svizzera

Image omitted; see official source

ANNEX 1

List of products referred to in Article 2 of the Agreement

Brusse.s Nomenclature heading No	Description
ex 35.01	Casein, caseinates and other casein derivatives
ex 35.02	Albumins, albuminates and other albumin derivatives: — Albumins: — Other: — Ovalbumin and lactalbumin: — Dried (for example, in sheets, scales, flakes, powder) — Other
45.01	Natural cork, unworked, crushed, granulated or ground; waste cork
54.01	Flax, raw or processed but not spun; flax tow and waste (including pulled or garnetted rags)
57.01	True hemp (“Cannabis sativa”), raw or processed but not spun; tow and waste or true hemp (including pulled or garnetted rags or ropes)

ANNEX II

List of products referred to in Article 4 of the Agreement

Swiss Customs Tariff heading No	Description	Protective element to be abolished
		S.Frs. per 100 kg gross
2707.	Oils and other products of the distillation of high temperature coal tar; similar products as defined in Note 2 to Chapter 27:
	— Uncracked:
10	— For motors	—
12	— For other purposes	—
	— Cracked:
	— Products of which at least 90 % by volume distils before reaching the temperature of 200 oC (benzol, toluol, xylol, etc):
20	— For motors	—
22	— For other purposes	—
	— Other oils and distillation products, such as phenol, creosote, naphthalene and anthracene oils, etc.:
30	— For motors	—
32	— For other purposes	—
2709.	Petroleum oils and oils obtained from bituminous minerals, crude:
10	— For motors	—
20	— For other purposes	—
2710.	Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing not less than 70 % by weight of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations:
	— For motors:
	— Products of which at least 90 % by volume distils before reaching the temperature of 210 oC:
10	— Benzine and its fractions (petroleum spirit, gasoline, etc.)	—
12	— White spirit	—
	— Other products and distillates:
20	— Diesel oil	—
22	— Petroleum	—
24	— Other	—
	— For other purposes:
	— Products of which at least 90 % by volume distils before reaching the temperature of 210 oC:
30	— Benzine and its fractions (petroleum spirit, gasoline, etc.)	—
32	— White spirit	—
40	— Products distilling at above 135 oC, of which less than 90 % by volume distils before reaching the temperature of 210 oC and more than 65 % before reaching the temperature of 250 oC (petroleum)	—
	— Products of which less than 20 % by volume distils before reaching the temperature of 300 oC (mineral lubricating oils, paraffin oils, vaseline oils and the like):
50	— Unmixed	—
52	— Mixed	—
60	— Other distillates and products, such as gas oil, etc.	—
64	— Mineral lubricating greases	—
70	— Oils for heating purposes	—
2711.	Petroleum gases and other gaseous hydrocarbons:
10	— For engines	—
20	— For other purposes	—
2901.	Hydrocarbons:
	— Non-aromatic:
	— Gaseous, whether or not liquefied:
	— Other:
12	— Intended for use in engines	—
ex 30	— Aromatic:
	Used for running engines	—
2904.	Acyclic alcohols and their halogenated, sulphonated, nitrated or nitrosated derivatives:
ex 10	— Methanol (methyl alcohol):
	Used as motor fuel	—
ex 30	— Propyl alcohols and other higher monohydric alcohols:
	Used as motor fuel	—
3706.01	Cinematograph film, exposed and developed, consisting only of sound track, negative or positive	per metre —
3707.	Other cinematograph film, exposed and developed, whether or not incorporating sound track, negative or positive:
	— Other, of a width of:
20	— 35 mm and more	—
22	— Less than 35 mm	—
ex 3814.01	Anti-knock preparations, oxidation inhibitors, gum inhibitors, viscosity improvers, anti-corrosive preparations and similar prepared additives for mineral oils:
	Used as motor fuel	—
ex 3818.01	Composite solvents and thinners for varnishes and similar products:
	Used as motor fuel	—
3819.	Chemical products and preparations of the chemical or allied industries (including those consisting of mixtures of natural products), not elsewhere specified or included; residual products of the chemical or allied industries, not elsewhere specified or included:
ex 38	— Mixed alkylaryls:
	Used as motor fuel	—
ex 50	— Other:	—
	Used as motor fuel
8406.	Internal combustion piston engines:
	— For automobiles:
ex 20	— Diesel engines:
	For the motor vehicles falling within subheading Nos 8702.10/22, excluding pistons and piston segments	—
ex 22	— Other:
	For the motor vehicles falling within subheading Nos 8702.10/22, excluding pistons and piston segments	—
8702.	Motor vehicles for the transport of persons, goods or materials (including sports motor vehicles, other than those of heading No 8709):
	— Private cars, weighing each:
10	— 800 kg or less	29·0
12	— More than 800 and up to 1200 kg	38·0
14	— More than 1200 and up to 1600 kg	41·0
16	— More than 1600 kg	59·0
	— Public-service passenger vehicles (motor coaches, motor buses, trolleybuses) and motor vehicles for the transport of goods or materials, weighing each:
20	— 800 kg or less	—
21	— More than 800 and up to 1200 kg	—
22	— More than 1200 and up to 1600 kg	—
ex 8704.01	Chassis fitted with engines, for motor vehicles falling within heading No 8701, 8702 or 8703:
	For the motor vehicles falling within subheading Nos 8702.10/22	as for subheading Nos 8702.10/22
8705.	Bodies (including cabs), for the motor vehicles falling within heading No 8701, 8702 or 8703:
ex 12	— Other:
	For the motor vehicles falling within subheading Nos 8702.10/22	—
8706.	Parts and accessories of the motor vehicles falling within heading No 8701, 8702 or 8703:
	— Other:
	— For other motor vehicles:
ex 20	— Body components:
	For the motor vehicles falling within subheading Nos 8702.10/22 excluding luggage racks, number plate holders and ski racks	—
	— Articulated shafts, weighing each:
ex 26	— 25 kg or less:
	For the motor vehicles falling within subheading Nos 8702.10/22	—
ex 34	— Other:
	For the motor vehicles falling within subheading Nos 8702.10/22, excluding safety belts, finished wheels with or without tyres, water radiators for engines, unhardened vulcanized rubber carpets and wheel-gloves	—

ANNEX III

List of products referred to in Article 7 of the Agreement

Brussels Nomenclature heading No	Description
ex 26.03	Ash and residues (other than from the manufacture of iron and steel) containing metals or metallic compounds: — containing aluminium — containing lead — containing copper — zinc residues (mattes) from hot-dip galvanizing
ex 74.01	Copper matte; unwrought copper (refined or not); copper waste and scrap: — copper waste and scrap
ex 75.01	Nickel mattes, nickel speiss and other intermediate products of nickel metallurgy; unwrought nickel (excluding electro-plating anodes); nickel waste and scrap: — nickel waste and scrap
ex 76.01	Unwrought aluminium; aluminium waste and scrap: — aluminium waste and scrap
ex 78.01	Unwrought lead (including argentiferous lead); lead waste and scrap: — lead waste and scrap
ex 79.01	Unwrought zinc, zinc waste and scrap: — zinc waste and scrap

PROTOCOL No 1

concerning the treatment applicable to certain products

SECTION A

TREATMENT APPLICABLE TO IMPORTS INTO THE COMMUNITY OF CERTAIN PRODUCTS ORIGINATING IN SWITZERLAND

Article 1

Timetable	Products falling within heading or subheading Nos 48.01 C II, 48.01 E, 48.07 B, 48.13 or 48.15 B	Other products
Timetable	Rates of duty applicable — percentage	Percentage of basic duties applicable
1 April 1973	11·5	95
1 January 1974	11	90
1 January 1975	10·5	85
1 January 1976	10	80
1 July 1977	8	65
1 January 1979	6	50
1 January 1980	6	50
1 January 1981	4	35
1 January 1982	4	35
1 January 1983	2	20
1 January 1984	0	0

Timetable	Percentage of basic duties applicable
1 April 1973	85
1 January 1974	70
1 January 1975	55
1 January 1976	40
1 July 1977	20
1 January 1979	15
1 January 1980	15
1 January 1981	10
1 January 1982	10
1 January 1983	5
1 January 1984	0

Timetable	Products falling within heading or subheading Nos 48.01 C 11, 48.01 E, 48.07 B, 48.13 or 48.15 B	Other products
Timetable	Rates of duty applicable — percentage	Percentage of Common Customs Tariff duty applicable
1 April 1973	0	0
1 January 1974	3	25
1 January 1975	4·5	37·5
1 January 1976	6	50
1 July 1977	8	65
1 January 1979	6	50
1 January 1980	6	50
1 January 1981	4	35
1 January 1982	4	35
1 January 1983	2	20
1 January 1984	0	0

Article 2

Timetable	Percentage of basic duties applicable	Percentage of basic duties applicable
1 April 1973	95
1 January 1974	90
1 January 1975	85
1 January 1976	75
1 January 1977	60
1 January 1978	40	with a maximum of 3 % ad valorem (except subheading Nos 78.01 A II and 79.01 A)
1 January 1979	20
1 January 1980	0

For tariff subheading Nos 78.01 A II and 79.01 A, listed in the table given in paragraph 2, the tariff reductions shall be made, as regards the Community as originally constituted and notwithstanding Article 5(3) of the Agreement, rounded to the second decimal place.

Common Customs Tariff heading No	Description
ex 73.02	Ferro-alloys, excluding ferro-nickel and products covered by the ECSC Treaty
76.01	Unwrought aluminium; aluminium waste and scrap: A. Unwrought
78.01	Unwrought lead (including argentiferous lead); lead waste and scrap A. Unwrought II. Other
79.01	Unwrought zinc; zinc waste and scrap: A. Unwrought
81.01	Tungsten (Wolfram), unwrought or wrought, and articles thereof
81.02	Molybdenum, unwrought or wrought, and articles thereof
81.03	Tantalum, unwrought or wrought, and articles thereof
81.04	Other base metals, unwrought or wrought, and articles thereof; cermets, unwrought or wrought, and articles thereof: B. Cadmium C. Cobalt II. Wrought D. Chromium E. Germanium F. Hafnium (celtium) G. Manganese H. Niobium (columbium) IJ. Antimony K. Titanium L. Vanadium M. Uranium depleted in U 235 O. Zirconium P. Rhenium Q. Gallium; indium; thallium R. Cermets

Article 3

Imports to which the tariff treatment provided for in Articles 1 and 2 applies, except unwrought lead other than bullion lead (falling within subheading No 78.01 A II of the Common Customs Tariff), shall be subjected to annual indicative ceilings above which the customs duties applicable in respect of third countries may be reintroduced in accordance with the following provisions:

• (a) Taking into account the Community's right to suspend application of ceilings for certain products, the ceilings fixed for 1973 are shown in Annex B. These ceilings are calculated on the assumption that the Community as originally constituted and Ireland shall make the first tariff reduction on 1 April 1973. For 1974 the level of the ceilings shall correspond to that applied in 1973 readjusted on an annual basis for the Community and raised by 5 %. From 1 January 1975 the level of the ceilings shall be raised annually by 5 %.

For products covered by this Protocol but not included in Annex B, the Community reserves the right to introduce ceilings of which the level will be equal to the average amount of imports into the Community over the last four years for which statistics are available, increased by 5 %; for the following years, the levels of these ceilings shall be raised annually by 5 %.

• (b) Should, for two successive years, imports of a product subject to a ceiling be less than 90 % of the level fixed, the Community shall suspend the application of this ceiling.

• (c) In the event of short-term economic difficulties, the Community reserves the right, after consultation within the Joint Committee, to maintain for a year the level fixed for the preceding year.

• (d) On 1 December each year the Community shall notify the Joint Committee of the list of products subject to ceilings in the following year and of the levels of the ceilings.

• (e) Imports under the tariff quotas opened in accordance with Article 1 (4) shall also be set off against the ceiling levels fixed for the same products.

• (f) Notwithstanding Article 3 of the Agreement and Articles 1 and 2 of this Protocol, when a ceiling fixed for imports of a product covered by this Protocol is reached, Common Customs Tariff duties on imports of the product in question may be reimposed until the end of the calendar year.

In this event, prior to 1 July 1977:

• (i) Denmark, Norway and the United Kingdom shall reimpose customs duties as follows:

Years	Percentage of Common Customs Tariff duties applicable
1973	0
1974	40
1975	60
1976	80

• (ii) Ireland shall reimpose customs duties applicable to third countries.

The customs duties specified in Articles 1 and 2 of this Protocol shall be reintroduced on 1 January of the following year.

• (g) After 1 July 1977 the Contracting Parties shall examine within the Joint Committee the possibility of revising the percentage by which the levels of ceilings are raised, having regard to the trend of consumption and imports in the Community and to experience gained in applying this Article.

• (h) The ceilings shall be abolished at the end of the tariff dismantling periods provided for in Articles 1 and 2 of this Protocol.

Article 4

Common Customs Tariff heading No	Description	Minimum rate retained
91.01	Pocket-watches, wrist-watches and other watches, including stop-watches	0·35 UA per article
91.07	Watch movements (including stop-watch movements), assembled: A. With balance-wheel and hairspring	0·28 UA per article
91.11	Other clock and watch parts: C. Watch movements, unassembled: I. With balance-wheel and hairspring	0·28 UA per article

Any obligations laid down in the supplementary Agreement shall be considered obligations within the meaning of Article 22 of this Agreement.

SECTION B

TREATMENT APPLICABLE TO IMPORTS INTO SWITZERLAND OF CERTAIN PRODUCTS ORIGINATING IN THE COMMUNITY

Article 5

Timetable	Percentage of basic duties applicable
1 April 1973	95
1 January 1974	90
1 January 1975	85
1 January 1976	80
1 July 1977	65
1 January 1979	50
1 January 1980	50
1 January 1981	35
1 January 1982	35
1 January 1983	20
1 January 1984	0

Timetable	Percentage of basic duties applicable
1 April 1973	95
1 January 1974	90
1 January 1975	85
1 January 1976	80
1 July 1977	65
1 January 1979	50
1 January 1980	40
1 January 1981	20
1 January 1982	0

Timetable	Percentage of basic duties applicable
1 April 1973	0
1 January 1974	25
1 January 1975	37·5
1 January 1976	50
1 July 1977	65
1 January 1979	50
1 January 1980	50
1 January 1981	35
1 January 1982	35
1 January 1983	20
1 January 1984	0

Article 6

For products of Brussels Nomenclature heading Nos 44.18, 48.01 and 48.07, Switzerland reserves the right to introduce, in the case of serious difficulties, indicative ceilings in accordance with the procedures defined in Article 3 of this Protocol. For imports exceeding the ceilings, customs duties not exceeding those applicable in respect of third countries may be reintroduced.

ANNEX A

List of tariff quotas for 1974

DENMARK, NORWAY, UNITED KINGDOM

Common Customs Tariff heading No	Description	Level (in metric tons)	Level (in metric tons)	Level (in metric tons)
Common Customs Tariff heading No	Description	Denmark	Norway	United Kingdom
Chapter 48	PAPER AND PAPERBOARD; ARTICLES OF PAPER PULP, OF PAPER OR OF PAPERBOARD
48.01	Paper and paperboard (including cellulose wadding), machine-made, in rolls or sheets:
48.01	C. Kraft paper and kraft board:
48.01	ex II. other, excluding kraft liner and sack paper	—	—	145
48.01	ex E. other:
48.01	— Bible paper (India paper), copying tissue; other printing paper and other writing paper, not containing mechanical wood pulp or in which mechanical wood pulp does not represent more than 5 %	—	—	202
48.01	— wallpaper	—	—	244
48.03	Parchment or greaseproof paper and paperboard, and imitations thereof, and glazed transparent paper, in rolls and sheets	—	—	126
48.07	Paper and paperboard, impregnated, coated, surface-coloured, surface-decorated or printed (not being merely ruled, lined or squared and not constituting printed matter within Chapter 49), in rolls or sheets:
48.07	B. other:
48.07	— coated printing or writing paper	—	—	152
48.07	— other	—	—	586
48.16	Boxes, bags and other packing containers, of paper or paper-board	—	—	207
48.21	Other articles of paper pulp, paper, paperboard or cellulose wadding:
48.21	B. other	—	—	147
ex Chapter 48	Other products of Chapter 48, excluding products of subheading No 48.01 A and heading 48.09	1261	309	522
ex Chapter 49	Printed books, newspapers, pictures and other products of the printing industry; manuscripts, typescripts and plans — subject to customs duties in the Common Customs Tariff (heading Nos 49.03, 49.05 A, 49.07 A, 49.07 O II, 49.08, 49.09, 49.10, 49.11 B)	190	96	756918·00(1)

(1)  In sterling.

ANNEX B

List of ceilings for 1973

Common Customs Tariff heading No	Description	Level (in metric tons)
73.02	Ferro-alloys:
73.02	C. Ferro-silicon	6 617
76.01	Unwrought aluminium; aluminium waste and scrap:
76.01	A. Unwrought	9 824

ANNEX C

List of products for which Switzerland will reduce its duties in regard to the Community during an extended transitional period

Swiss Customs Tariff heading No	Description
4801.	Paper and paperboard (including cellulose wadding), machine-made, in rolls or sheets
4803.	Parchment or greaseproof paper and paperboard, and imitations thereof, and glazed transparent paper, in rolls or sheets:
20	— other
4807.	Paper and paperboard, impregnated, coated, surface-coloured, surface-decorated or printed (not being merely ruled, lined or squared and not constituting printed matter within Chapter 49), in rolls or sheets
4815.	Other paper and paperboard, cut to size or shape:
22	— other
4821.	Other articles of paper pulp, paper, paperboard or cellulose wadding:
20	— Tablecloths, serviettes and handkerchiefs

PROTOCOL No 2

concerning products subject to special arrangements to take account of differences in the cost of agricultural products incorporated therein

Article 1

In order to take account of differences in the cost of the agricultural products incorporated in the goods specified in the tables annexed to this Protocol, the Agreement does not preclude:

• (i) the levying, upon import, of a variable component or fixed amount or the application of internal price compensation measures;

• (ii) the application of measures adopted upon export.

Article 2

• (a) for the Community as originally constituted: the duties actually applied on 1 January 1972;

• (b) for Denmark, Ireland, Norway and the United Kingdom:

• (i) in respect of products covered by Regulation (EEC) No 1059/69:

• — for Ireland, on the one hand,

• — For Denmark, Norway and the United Kingdom on the other hand, in respect of products not covered by the Convention establishing the European Free Trade Association:

the customs duties resulting from Article 47 of the “Act concerning the Conditions of Accession and the Adjustments to the Treaties” drawn up and adopted within the Conference between the European Communities and the Kingdom of Denmark, Ireland, the Kingdom of Norway and the United Kingdom of Great Britain and Northern Ireland; the Joint Committee shall be informed of these basic duties in good time and in any case before the first reduction provided for in paragraph 2;

• (ii) in respect of the other products: the duties actually applied on 1 January 1972;

• (c) for Switzerland: the duties shown in Table II annexed to this Protocol.

1 April 1973,

1 January 1974,

1 January 1975,

1 January 1976,

1 July 1977.

However, if the duty applicable on 1 July 1977 is greater than the basic duty, the difference between these duties shall be reduced by 40 % on 1 January 1974 and again reduced by 20 % on each of the following dates:

1 January 1975,

1 January 1976,

1 July 1977.

United Kingdom Customs Tariff heading No	Description
22.06	Vermouths, and other wines of fresh grapes flavoured with aromatic extracts
ex 22.09	Spirits (other than those of heading No 22.08); liqueurs and other spirituous beverages; compound alcoholic preparations (known as “concentrated extracts”) for the manufacture of beverages: — Spirits other than rum, arrack, tafia, gin, whisky, vodka with an ethyl alcohol content of 45·2o or less, and plum, pear or cherry brandy, containing eggs or egg yolk and/or sugar (sucrose or invert sugar)

Article 3

When defining these rules or at a later date, the Joint Committee shall decide whether to include in this Protocol other products of Chapters 1 to 24 of the Brussels Nomenclature which are not subject to agricultural regulations in the territories of the Contracting Parties.

TABLE I

EUROPEAN ECONOMIC COMMUNITY