asked the Minister for Industry and Commerce if, in the light of recent disputes between Britain and France, the European Commission is making proposals in regard to local EC content rules for industrial products, which, if not complied with, would prevent exports from one member state to another member state without the payment of a levy equivalent to the common external tariff; if these Community proposals would have any adverse implications for any existing Irish industries; and the work that the Government is doing on the matter.
Written Answers. - EC Origin Rules for Local Content.
57.
As far as I am aware, the Commission has no proposals concerning the origin rules for local content which would involve the payment of duty on industrial products traded between member states.
There is a Commission proposal for a change in the rules of origin as they affect integrated circuits but the proposed change does not involve a local content requirement. At present assembly of the integrated circuit confers origin. The Commission proposes to change the rule to the diffusion of the integrated circuit, which is an earlier stage in its manufacture. This change will not result in preventing exports from one member state to another nor will the payment of preventing exports from one member state to another nor will the payment of duties be involved. The companies involved in the assembly of integrated circuits in Ireland have indicated that they do not foresee any significant adverse effects on their operations arising.
There are other Commission proposals for 45 per cent local content requirement in order for video recorders and photo-copiers to qualify for Community origin. These proposed amendments of rules of origin would not permit that products made in the Community but not fulfilling those origin requirements, be subject to common customs tariff on export from one member state to another member state of the Community.
Finally in the anti-dumping area the relevant Community legislation, as amended in 1987, now provides that where an anti-dumping duty has been imposed on a particular product, an anti-dumping duty may also be imposed on the like product assembled in the Community if, inter alia, 60 per cent or more of the parts (by value) used in the assembly come from the original dumping country. The duty is levied prior to the product being released onto the Community market and the product can then circulate freely throughout the Community.
No goods assembled or produced in Ireland are subject to anti-dumping duties levied on the Community assembled product, to date. The common external tariff is already paid on third country imports at the point of entry into the Community. As the Deputy is no doubt aware, the concept of free circulation of goods without the imposition of customs tariffs is of paramount importance to the Community.