RESTRICTED
WORLD TRADE G/SCM/Q2/ARG/4
1October 1996
ORGANIZATION(96-3924)
Original: English Committee onSubsidies andCountervailing Measures
SUBSIDIES
Questions from theEUROPEAN COMMUNITY Regarding theNew
andFullNotification ofARGENTINA1
Thefollowing communication, dated 19September 1996, hasbeenreceived fromthePermanent
Delegation oftheEuropean Community.
_______________
Argentina submitted on7August 1995 itsnotification ofsubsidy programmes totheWTO
pursuant toArticle XVI:1 GATT 1994 andArticle 25oftheWTO Subsidies Agreement.
Inthisrespect, theCommunity would liketoobtain clarification onanumber ofissues onthe
notified scheme asdescribed below.
Moreover, theCommunity hasobtained information ondifferent subsidy schemes which were
notnotified totheWTO although theirnotification seems necessary pursuant toArticle 25.2Subsidies
Agreement.
I. NOTIFIED SUBSIDY PROGRAMMES
Argentina notified oneprogramme which islisted below. After examination, theCommunity
hasserious concerns ontheextent andthepractical implications ofthisprogramme. Thepresent analysis
constitutes theremarks oftheCommunity andarequest forclarification.
(a) Refund scheme forPatagonian ports
- Could Argentina provide thecriteria foreligibility?
- Argentina states thattheprogramme willendin2007. Could Argentina comment on
thecompatibility oftheending datewiththecommitments under Article 27.2ofthe
Subsidies Agreement?
1G/SCM/N/3/ARG.
./.G/SCM/Q2/ARG/4
Page2
II. ADDITIONAL PROGRAMMES NOT NOTIFIED TOWTO
Argentina hasnotnotified alargenumber ofprogrammes which appear tobenotifiable under
Article 25.TheCommunity finds thattheschemes described below provide afinancial contribution
which confers benefits tothelocalindustry. Inaddition theschemes areclearly specific (aspertaining
toaspecific sector orcontingent upon exports). Inaddition tothespecific questions asked, the
Community would likeclarification whythese programmes were notnotified toWTO andrequests
that,ifappropriate, Argentina supplies anotification under Article 25,using thestandard format.
1. Special Trade Area ofTierra delFuego
2. Subsidies fortheautomotive sector (including subsidies fortheproduction ofspare partsand
pieces)
3. Incentives fortheforest industry
4. Special Fund forTobacco
5. Reimbursement ofindirect taxpayments toexporters.