Haferkamp, Wilhelm.

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European Community European Community Information Service 350 Sparks Street, suite 1 1 1  o. Ottawa, Ontario  K 1  R 758 INFORMATION  NOTE EC  SEEKS  STRONGER  GATT  RULES  ON  SAFEGUARDS Haferkamp:  Details of  trade  pact  to  be  worked  out  after  15  July Wilhelm  Haferkamp,  EC  Commission  Vice-President,  with  responsibility for external affairs,  made  the  following  statement  to  the  informal  meeting  of  the  partici-pants  in  the  multilateral  trade  negotiations  (MTNor  Tokyo  Round)  in Geneva  on  10  July: Significance  of  15  July I  know  some  of  our  partners,  and  in  particular  the  developing  countries, are  worried  about  the  date  of  15  July  and  the  commitment  some  of  us  have  expressed  to draw  up  by  then  an  outline  final  agreement.  I  can  understand  this  concern.  But,  as  I have  just  indicated,  the  negotiations  are  not  suddenly  and  dramatically going  to  be concluded  in  the  next  two  or  three  days.  This  is  impossible.  A  more  realistic date for  the  final  conclusion  of  the  negotiations  would  be  the  end  of  the  year.  But  we  must keep  up  the  momentum.  There  are  some  very difficult  issues  we  have  to  deal  with,  issues which  have  been  the  cause  of  contention  for  many  years,  particularly between  developed countries.  The  reason  why  the  Community  agreed  to  this  15  July  objective  is  that  we want  to  establish  a  realistic basis  for  the  final  period  of  detailed negotiations.  We think it is  realistic to  acknowledge  that  this basis  should  be  settled first  between  the major  trading partners. Looked  at  the  other  way,  it is  clear  that  if  we  cannot  establish  a  basis between  the  major  trading  partners,  the  negotiations  cannot  be  brought  to  a  successful conclusion. Another  aspect  which  I  would  bring  to  your  attention  is  the  significance  of the  world  economic  summit  meeting  in  Bonn  on  16-17  July.  This  provides  an  obvious incentive  for  those  participating to  demonstrate  to  their heads  of  government  that the  MTN  are  on  a  sound  course.  We  would  ask  you  then  to  be  sympathetic  to  the  efforts we  are  going  to  make  in  the  next  few  days  and  to  accept  our  assurance  that  we  realize that  there will  be  many  months  of  hard  negotiations  before  an  outline  of  the  results can  be  turned  into  detailed  final  agreements. Issues  of  substance Another  matter  on  which  I  hope  you  will  accept  our  assurance  is  that  we  do  not intend  to  concentrate  on  matters  of  importance  to  us  and  to  ignore  the  interests of  other participants,  particularly the  developing  countries. . ..  /2 NR  (78)  27 11  July 2 I ... Of  course  we  are  going  to  press  hard  the  issues  which  are  of vital  concern  to us.  In  general  terms  as  you  well  know,  we  are  seeking  a  broad  result  which  will  combine further  liberalization with  a  strengthening  of  GATT  rules  and  procedures particularly in  the non-tariff  and  agriculture  areas,  which will establish  a  cooperative  basis for  our  trade  relations  in years  to  come.  This  is  an  ambitious  objective.  For  the Community  the  results  form  a  whole.  We  hope  this balanced  approach  is understood  by all our partners. It is particularly relevant  in  the  important  area  of  safeguards.  Here  we are  seeking  the  effective  strengthening  of  the  GATT  with  new  procedures  and,  in particular, the  creation of  a  new  body  to  supervise  the  area of  safeguard action.  We  are  also asking  for  the possibility of  selective action where  the  circumstances  would  justify it and  where  this would  minimize  the  disruption  to  international  trade,  following  on  the need  to  introduce  a  safeguard action.  We  think this  is  a  reasonable  as  well  as  a balanced  approach  which  would  bring  back  into  the  GATT  responsibility  for  the  important activity of  the  safeguards  which  is  increasingly taking place  ovtside  the  GATT.  It would be  a  serious  lost  opportunity if we  did  not  reach  a  balanced  agreement  in  this  area. But  in  the  next  two  days  and  indeed  in  the  final  phase  of  the  negotiations  we will  also  be  conscious  of  the  important  stake  of  the  developing  countries  in  the  MTN. I  hope  the  Community's  record  so  far  will  enable  you  to  accept  this assurance. For  the  developing countries  I  would  recall  the  importance  of  our  tropical products offer  implemented  unilaterally over  a  year  ago. I  would  also  remind  you  of  our  efforts  to  find  differential  and  more  favour-able  treatment  throughout  the negotiation,  in  the  tariff and  in  the  non-tariff areas. 

EC seeks stronger GATT rules on safeguards. Statement by Wilhelm Haferkamp. Geneva, 10 July 1978

European Community 
European Community Information Service 
350 Sparks Street, suite 1 1 1 o. Ottawa, Ontario K 1 R 758 
INFORMATION NOTE 
EC SEEKS STRONGER GATT RULES ON SAFEGUARDS 
Haferkamp: Details of trade pact to be worked out after 15 July 
Wilhelm Haferkamp, EC Commission Vice-President, with responsibility for 
external affairs, made the following statement to the informal meeting of the partici-
pants in the multilateral trade negotiations (MTNor Tokyo Round) in Geneva on 10 July: 
Significance of 15 July 
I know some of our partners, and in particular the developing countries, 
are worried about the date of 15 July and the commitment some of us have expressed to 
draw up by then an outline final agreement. I can understand this concern. But, as I 
have just indicated, the negotiations are not suddenly and dramatically going to be 
concluded in the next two or three days. This is impossible. A more realistic date 
for the final conclusion of the negotiations would be the end of the year. But we must 
keep up the momentum. There are some very difficult issues we have to deal with, issues 
which have been the cause of contention for many years, particularly between developed 
countries. The reason why the Community agreed to this 15 July objective is that we 
want to establish a realistic basis for the final period of detailed negotiations. We 
think it is realistic to acknowledge that this basis should be settled first between the 
major trading partners. 
Looked at the other way, it is clear that if we cannot establish a basis 
between the major trading partners, the negotiations cannot be brought to a successful 
conclusion. 
Another aspect which I would bring to your attention is the significance of 
the world economic summit meeting in Bonn on 16-17 July. This provides an obvious 
incentive for those participating to demonstrate to their heads of government that 
the MTN are on a sound course. We would ask you then to be sympathetic to the efforts 
we are going to make in the next few days and to accept our assurance that we realize 
that there will be many months of hard negotiations before an outline of the results 
can be turned into detailed final agreements. 
Issues of substance 
Another matter on which I hope you will accept our assurance is that we do not 
intend to concentrate on matters of importance to us and to ignore the interests of other 
participants, particularly the developing countries. 
. .. /2 
NR (78) 27 
11 July 
2 I . .. 
Of course we are going to press hard the issues which are of vital concern to 
us. In general terms as you well know, we are seeking a broad result which will combine 
further liberalization with a strengthening of GATT rules and procedures particularly 
in the non-tariff and agriculture areas, which will establish a cooperative basis 
for our trade relations in years to come. This is an ambitious objective. For the 
Community the results form a whole. We hope this balanced approach is understood by 
all our partners. 
It is particularly relevant in the important area of safeguards. Here we 
are seeking the effective strengthening of the GATT with new procedures and, in particular, 
the creation of a new body to supervise the area of safeguard action. We are also 
asking for the possibility of selective action where the circumstances would justify it 
and where this would minimize the disruption to international trade, following on the 
need to introduce a safeguard action. We think this is a reasonable as well as a 
balanced approach which would bring back into the GATT responsibility for the important 
activity of the safeguards which is increasingly taking place ovtside the GATT. It would 
be a serious lost opportunity if we did not reach a balanced agreement in this area. 
But in the next two days and indeed in the final phase of the negotiations we 
will also be conscious of the important stake of the developing countries in the MTN. 
I hope the Community's record so far will enable you to accept this assurance. 
For the developing countries I would recall the importance of our tropical products 
offer implemented unilaterally over a year ago. 
I would also remind you of our efforts to find differential and more favour-
able treatment throughout the negotiation, in the tariff and in the non-tariff areas. 


EC seeks stronger GATT rules on safeguards. Statement by Wilhelm Haferkamp. Geneva, 10 July 1978

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