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2016/0067(NLE) Agreement on the expansion of trade in information technology products (ITA)

Progress: Procedure completed

RoleCommitteeRapporteurShadows
Lead INTA QUISTHOUDT-ROWOHL Godelieve (icon: PPE PPE) MOSCA Alessia Maria (icon: S&D S&D), BUCHNER Klaus (icon: Verts/ALE Verts/ALE)
Lead committee dossier:
Legal Basis:
TFEU 207-p4, TFEU 218-p6a

Events

2016/06/18
   Final act published in Official Journal
Details

PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA).

NON-LEGISLATIVE ACT: Council Decision (EU) 2016/971 on the conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

CONTENT: the Council adopted a decision approving, on behalf of the European Union, the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof.

The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered.

To recall, the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996.

The ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organisation (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products in the light of technological developments, experience in applying the tariff concessions or changes to the Harmonised System nomenclature.

The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015 during the 10th WTO Ministerial Conference in Nairobi.

ENTRY INTO FORCE: 17.6.2016.

Documents
Decision 2016/971
OJ L 161 18.06.2016, p. 0002
2016/06/10
   EP/CSL - Act adopted by Council after consultation of Parliament
2016/06/10
   EP - End of procedure in Parliament
2016/06/08
   EP - Results of vote in Parliament
Documents
Results of vote in Parliament
2016/06/08
   EP - Decision by Parliament
Details

The European Parliament adopted by 529 votes to 110, with 37 abstentions a legislative resolution on the draft Council decision on conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

In line with the recommendation made by Committee on International Trade, the European Parliament gave its consent to the conclusion of the Agreement.

To recall, the Information Technology Agreement (ITA) was concluded at the Singapore Ministerial Conference in December 1996 and entered into force in 1997. While only 29 WTO Member States initially concluded the agreement, ITA today counts 82 participants.

In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products.

The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.

Documents
T8-0257/2016
2016/05/26
   EP - Committee report tabled for plenary, 1st reading/single reading
Details

The Committee on International Trade adopted the report by Godelieve QUISTHOUDT-ROWOHL (EPP, DE) on the draft Council decision on the conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

The committee recommended the European Parliament to give its consent to the conclusion of the Agreement.

To recall, the first Information Technology Agreement (ITA) was concluded at the Singapore Ministerial Conference in December 1996 and entered into force in 1997. While only 29 WTO Member States initially concluded the agreement, ITA today counts 82 participants.

The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods.

In May 2012, six countries launched negotiations to expand the product coverage of the agreement (EU, US, Japan, Korea, Taiwan and Costa Rica). They came to be joined by 21 other members. On 24 July 2015, an agreement was reached on an additional list of 201 IT products. Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10% of total global trade today.

The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015 during the 10th WTO Ministerial Conference in Nairobi.

In the short justification which accompanies the report, it is stated that EU exports EUR 189 billion in products covered by the ITA expansion, a figure that is expected to increase significantly following tariff cuts.

The agreement will lead to lower prices for consumers, but also for producers who depend on imported components. Some sectors will however also experience increased competition. Members are therefore pleased to see that the EU negotiated longer staging for some products that were considered to be sensitive, while the majority of the non-sensitive tariffs will be eliminated at the entry into force of the agreement.

Given that the expansion of the ITA is a landmark deal, the first major tariff cutting deal since the WTO was created with a huge potential to create jobs and boost GDP growth, it is proposed that the European Parliament gives its consent to the conclusion of the Agreement.

Documents
A8-0186/2016
2016/05/24
   EP - Vote in committee
2016/04/14
   EP - Committee referral announced in Parliament
2016/04/04
   EP - Committee draft report
Documents
PE578.814
2016/03/30
   CSL - Legislative proposal
Details

PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act.

BACKGROUND: the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996. Paragraph 3 of the Annex to the ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organization (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products.

On 8 July 2009, the Council authorised the Commission to negotiate a review of the ITA with a view to expanding its product coverage to reflect technological developments and convergence. On 28 July 2015, the participants in the negotiations issued a Declaration on the Expansion of Trade in Information Technology Products (‘the Declaration on the expansion of the ITA’), which records the results of the negotiations.

During the 10th WTO Ministerial Conference held in Nairobi from 15 to 18 December 2015, the participants in the negotiations issued the Ministerial Declaration which endorses and opens for acceptance the Declaration on the expansion of the ITA. The Ministerial Declaration also records the agreement of the participants in the negotiations with the draft schedules submitted by each of them pursuant to paragraph 5 of the Declaration on the expansion of the ITA, which are included in WTO document G/MA/W/117.

CONTENT: the draft Council Decision seeks the approval, on behalf of the European Union, of the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof.

For further details please refer to the summary of the initial legislative proposal dated from 8.3.2016.

Documents
06925/2016
2016/03/30
   CSL - Document attached to the procedure
Documents
06926/2016
2016/03/29
   EC - Legislative proposal published
Details

PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act.

BACKGROUND: the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996. Paragraph 3 of the Annex to the ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organization (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products.

On 8 July 2009, the Council authorised the Commission to negotiate a review of the ITA with a view to expanding its product coverage to reflect technological developments and convergence. On 28 July 2015, the participants in the negotiations issued a Declaration on the Expansion of Trade in Information Technology Products (‘the Declaration on the expansion of the ITA’), which records the results of the negotiations.

During the 10th WTO Ministerial Conference held in Nairobi from 15 to 18 December 2015, the participants in the negotiations issued the Ministerial Declaration which endorses and opens for acceptance the Declaration on the expansion of the ITA. The Ministerial Declaration also records the agreement of the participants in the negotiations with the draft schedules submitted by each of them pursuant to paragraph 5 of the Declaration on the expansion of the ITA, which are included in WTO document G/MA/W/117.

CONTENT: the draft Council Decision seeks the approval, on behalf of the European Union, of the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof.

For further details please refer to the summary of the initial legislative proposal dated from 8.3.2016.

Documents
06925/2016
2016/03/08
   EP - Preparatory document
Details

PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA).

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act.

BACKGROUND: the "Ministerial Declaration on Trade in Information Technology Products", known as the Information Technology Agreement (ITA), was concluded by 29 WTO Member States at the Singapore Ministerial Conference in 1996. The ITA entered into force in the European Union in 1997. Today, the ITA counts 82 participants, or half of WTO Members, and covers 97 % of trade in this sector.

The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods.

The ITA Ministerial Declaration establishes that participants shall meet periodically under the auspices of the Council on Trade in Goods to review the product coverage specified in the Attachments, with a view to agreeing, by consensus, whether in the light of technological developments, experience in applying the tariff concessions, or changes to the HS nomenclature, the Attachments should be modified to incorporate additional products.

In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the " Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products . Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10 % of total global trade today.

The participants agreed on the staging commitments for each product listed in document G/MA/W/117. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015.

IMPACT ASSESSMENT: an economic assessment was made by an external company before the negotiations started. With the final results of the negotiations now known, the Commission has made its own in-house assessment , of which the following three elements are the most important findings:

EUR 74-150 billion of EU exports are covered by the agreement; EU exporters will save EUR 0.8-2.1 billion in duty payments upon their extra EU exports; as the products under negotiation are crucial intermediates in many EU exports significant value chain effects can be expected . A general equilibrium simulation points to overall exports of goods that may increase by about 0.7 % to 1.4 % of their baseline value. In terms of current extra EU exports of goods, this amounts to EUR 12-24 billion.

CONTENT: under this draft Decision, the Council is called upon to approve, on behalf of the European Union, the Declaration on the Expansion of Trade in Information Technology Products (ITA), together with the schedules submitted by other participants in the negotiations and which are contained in the WTO document G/MA/W/117.

The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.

BUDGETARY IMPLICATIONS: in total the European Union is expected to lose EUR 1.5 billion in duties on IT goods . However, this loss will be spread out over a total of 7 years. Most low duties will be eliminated at entry into force, representing 25 % of duty value. After 3 years more than 60 % of duty will have been phased out, while 30 % will only be eliminated after 7 years.

Documents
COM(2016)0122
EUR-Lex
2016/02/15
   EP - QUISTHOUDT-ROWOHL Godelieve (PPE) appointed as rapporteur in INTA

Documents

Activities

Votes

A8-0186/2016 - Godelieve Quisthoudt-Rowohl - approbation #

2016/06/08 Outcome: +: 529, -: 110, 0: 37
DE PL IT GB RO NL ES BG SE CZ PT BE HU AT SK HR DK LT FI SI MT EE LV LU EL FR IE CY
Total
91
48
65
48
28
25
48
17
18
21
21
18
19
18
12
11
13
10
11
8
6
5
7
6
18
69
10
5
icon: PPE PPE
198

Germany PPE

33

Poland PPE

22

Italy PPE

13

Romania PPE

10

Netherlands PPE

5

Spain PPE

12

Bulgaria PPE

7

Sweden PPE

4

Czechia PPE

7

Portugal PPE

7

Belgium PPE

4

Hungary PPE

11

Austria PPE

5

Slovakia PPE

6

Croatia PPE

5

Denmark PPE

For (1)

Bendt BENDTSEN
1

Lithuania PPE

2

Finland PPE

3

Slovenia PPE

5

Malta PPE

3

Estonia PPE

For (1)

Tunne KELAM
1

Latvia PPE

4

Luxembourg PPE

3

Greece PPE

3

France PPE

17

Ireland PPE

4

Cyprus PPE

1
icon: S&D S&D
175

Germany S&D

24

Poland S&D

5

Italy S&D

28

United Kingdom S&D

17

Romania S&D

14

Netherlands S&D

3

Spain S&D

13

Bulgaria S&D

4

Sweden S&D

4

Czechia S&D

4

Portugal S&D

8

Belgium S&D

4

Hungary S&D

4

Austria S&D

5

Slovakia S&D

4

Croatia S&D

2

Denmark S&D

3

Lithuania S&D

2

Finland S&D

1

Slovenia S&D

For (1)

Tanja FAJON
1

Malta S&D

3

Estonia S&D

For (1)

Marju LAURISTIN
1

Latvia S&D

1

Luxembourg S&D

For (1)

Mady DELVAUX
1

Greece S&D

3

France S&D

13

Ireland S&D

For (1)

Nessa CHILDERS
1

Cyprus S&D

2
icon: ALDE ALDE
64

Germany ALDE

4

United Kingdom ALDE

1

Romania ALDE

2

Netherlands ALDE

7

Spain ALDE

8

Bulgaria ALDE

4

Sweden ALDE

3

Czechia ALDE

4

Portugal ALDE

2

Belgium ALDE

4

Austria ALDE

For (1)

Angelika MLINAR
1

Croatia ALDE

2

Denmark ALDE

3

Lithuania ALDE

3

Finland ALDE

3

Slovenia ALDE

For (1)

Ivo VAJGL
1

Estonia ALDE

3

Luxembourg ALDE

For (1)

Charles GOERENS
1

France ALDE

7

Ireland ALDE

For (1)

Marian HARKIN
1
icon: ECR ECR
61

Germany ECR

6

Poland ECR

17

Italy ECR

2

United Kingdom ECR

13

Romania ECR

For (1)

Monica MACOVEI
1

Netherlands ECR

2

Bulgaria ECR

2

Czechia ECR

2

Belgium ECR

4

Slovakia ECR

2

Croatia ECR

For (1)

Ruža TOMAŠIĆ
1

Denmark ECR

Abstain (1)

Rikke-Louise KARLSSON
4

Lithuania ECR

1

Finland ECR

2

Latvia ECR

For (1)

Roberts ZĪLE
1

Greece ECR

Against (1)

Notis MARIAS
1
icon: EFDD EFDD
30

Germany EFDD

1

Poland EFDD

1

Italy EFDD

15

United Kingdom EFDD

9

Sweden EFDD

2

Czechia EFDD

For (1)

Petr MACH
1

Lithuania EFDD

For (1)

Rolandas PAKSAS
1
icon: NI NI
14

Germany NI

For (1)

Udo VOIGT

Against (1)

Martin SONNEBORN
2

Poland NI

1

United Kingdom NI

For (1)

Diane DODDS
1

Hungary NI

2

Greece NI

5

France NI

3
icon: ENF ENF
37

Germany ENF

For (1)

Marcus PRETZELL
1

Poland ENF

2

Italy ENF

4

United Kingdom ENF

Abstain (1)

Janice ATKINSON
1

Romania ENF

Abstain (1)

Laurenţiu REBEGA
1

Netherlands ENF

4

Austria ENF

4

France ENF

20
icon: Verts/ALE Verts/ALE
46

Germany Verts/ALE

12

United Kingdom Verts/ALE

For (1)

Ian HUDGHTON
5

Netherlands Verts/ALE

2

Spain Verts/ALE

4

Sweden Verts/ALE

4

Belgium Verts/ALE

2

Hungary Verts/ALE

2

Austria Verts/ALE

3

Croatia Verts/ALE

Abstain (1)

Davor ŠKRLEC
1

Denmark Verts/ALE

For (1)

Margrete AUKEN
1

Lithuania Verts/ALE

Against (1)

Bronis ROPĖ
1

Finland Verts/ALE

Against (1)

Heidi HAUTALA
1

Slovenia Verts/ALE

Against (1)

Igor ŠOLTES
1

Latvia Verts/ALE

Against (1)

Tatjana ŽDANOKA
1

Luxembourg Verts/ALE

Against (1)

Claude TURMES
1

France Verts/ALE

5
icon: GUE/NGL GUE/NGL
51

Germany GUE/NGL

For (1)

Stefan ECK
8

Italy GUE/NGL

Abstain (1)

Barbara SPINELLI
3

United Kingdom GUE/NGL

Against (1)

Martina ANDERSON
1

Netherlands GUE/NGL

For (1)

Anja HAZEKAMP

Against (1)

Anne-Marie MINEUR
2

Spain GUE/NGL

11

Sweden GUE/NGL

Against (1)

Malin BJÖRK
1

Czechia GUE/NGL

3

Portugal GUE/NGL

For (1)

Marisa MATIAS
4

Denmark GUE/NGL

Against (1)

Rina Ronja KARI
1

Finland GUE/NGL

Against (1)

Merja KYLLÖNEN
1

Greece GUE/NGL

6

France GUE/NGL

4

Ireland GUE/NGL

4

Cyprus GUE/NGL

2

History

(these mark the time of scraping, not the official date of the change)

2023-08-03Show (2) Changes | Timetravel
docs/0
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2016-03-30T00:00:00
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2021-12-18Show (8) Changes | Timetravel
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http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE578.814
New
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summary
procedure/Modified legal basis
Rules of Procedure EP 159
procedure/Other legal basis
Rules of Procedure EP 159
2020-01-19Show (6) Changes | Timetravel
committees/0
type
Responsible Committee
body
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committee_full
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2019-07-06Show (12) Changes | Timetravel
activities
  • date: 2016-03-08T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2016/0122/COM_COM(2016)0122_EN.pdf title: COM(2016)0122 type: Initial legislative proposal published celexid: CELEX:52016PC0122:EN body: EC commission: DG: url: http://ec.europa.eu/trade/ title: Trade Commissioner: MALMSTRÖM Cecilia type: Initial legislative proposal published
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  • date: 2016-05-24T00:00:00 body: EP type: Vote in committee, 1st reading/single reading committees: body: EP shadows: group: S&D name: MOSCA Alessia Maria group: Verts/ALE name: BUCHNER Klaus responsible: True committee: INTA date: 2016-02-15T00:00:00 committee_full: International Trade rapporteur: group: EPP name: QUISTHOUDT-ROWOHL Godelieve
  • body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2016-0186&language=EN type: Committee report tabled for plenary, 1st reading/single reading title: A8-0186/2016 type: Committee report tabled for plenary, 1st reading/single reading committees: body: EP shadows: group: S&D name: MOSCA Alessia Maria group: Verts/ALE name: BUCHNER Klaus responsible: True committee: INTA date: 2016-02-15T00:00:00 committee_full: International Trade rapporteur: group: EPP name: QUISTHOUDT-ROWOHL Godelieve date: 2016-05-26T00:00:00
  • date: 2016-06-08T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2016-0257 type: Decision by Parliament, 1st reading/single reading title: T8-0257/2016 body: EP type: Decision by Parliament, 1st reading/single reading
  • date: 2016-06-10T00:00:00 body: EP type: End of procedure in Parliament
  • date: 2016-06-10T00:00:00 body: EP/CSL type: Act adopted by Council after consultation of Parliament
  • date: 2016-06-18T00:00:00 docs: url: http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32016D0971 title: Decision 2016/971 url: http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L:2016:161:TOC title: OJ L 161 18.06.2016, p. 0002 type: Final act published in Official Journal
commission
  • body: EC dg: Trade commissioner: MALMSTRÖM Cecilia
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  • date: 2016-03-30T00:00:00 docs: url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=ADV&RESULTSET=1&DOC_ID=6926%2F16&DOC_LANCD=EN&ROWSPP=25&NRROWS=500&ORDERBY=DOC_DATE+DESC title: 06926/2016 type: Document attached to the procedure body: CSL
  • date: 2016-04-04T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE578.814 title: PE578.814 type: Committee draft report body: EP
events
  • date: 2016-03-08T00:00:00 type: Initial legislative proposal published body: EC docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2016/0122/COM_COM(2016)0122_EN.pdf title: COM(2016)0122 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2016&nu_doc=0122 title: EUR-Lex summary: PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA). PROPOSED ACT: Council Decision. ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. BACKGROUND: the "Ministerial Declaration on Trade in Information Technology Products", known as the Information Technology Agreement (ITA), was concluded by 29 WTO Member States at the Singapore Ministerial Conference in 1996. The ITA entered into force in the European Union in 1997. Today, the ITA counts 82 participants, or half of WTO Members, and covers 97 % of trade in this sector. The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods. The ITA Ministerial Declaration establishes that participants shall meet periodically under the auspices of the Council on Trade in Goods to review the product coverage specified in the Attachments, with a view to agreeing, by consensus, whether in the light of technological developments, experience in applying the tariff concessions, or changes to the HS nomenclature, the Attachments should be modified to incorporate additional products. In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the " Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products . Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10 % of total global trade today. The participants agreed on the staging commitments for each product listed in document G/MA/W/117. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015. IMPACT ASSESSMENT: an economic assessment was made by an external company before the negotiations started. With the final results of the negotiations now known, the Commission has made its own in-house assessment , of which the following three elements are the most important findings: EUR 74-150 billion of EU exports are covered by the agreement; EU exporters will save EUR 0.8-2.1 billion in duty payments upon their extra EU exports; as the products under negotiation are crucial intermediates in many EU exports significant value chain effects can be expected . A general equilibrium simulation points to overall exports of goods that may increase by about 0.7 % to 1.4 % of their baseline value. In terms of current extra EU exports of goods, this amounts to EUR 12-24 billion. CONTENT: under this draft Decision, the Council is called upon to approve, on behalf of the European Union, the Declaration on the Expansion of Trade in Information Technology Products (ITA), together with the schedules submitted by other participants in the negotiations and which are contained in the WTO document G/MA/W/117. The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA. BUDGETARY IMPLICATIONS: in total the European Union is expected to lose EUR 1.5 billion in duties on IT goods . However, this loss will be spread out over a total of 7 years. Most low duties will be eliminated at entry into force, representing 25 % of duty value. After 3 years more than 60 % of duty will have been phased out, while 30 % will only be eliminated after 7 years.
  • date: 2016-03-30T00:00:00 type: Legislative proposal published body: EC docs: url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=ADV&RESULTSET=1&DOC_ID=6925%2F16&DOC_LANCD=EN&ROWSPP=25&NRROWS=500&ORDERBY=DOC_DATE+DESC title: 06925/2016 summary: PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA). PROPOSED ACT: Council Decision. ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. BACKGROUND: the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996. Paragraph 3 of the Annex to the ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organization (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products. On 8 July 2009, the Council authorised the Commission to negotiate a review of the ITA with a view to expanding its product coverage to reflect technological developments and convergence. On 28 July 2015, the participants in the negotiations issued a Declaration on the Expansion of Trade in Information Technology Products (‘the Declaration on the expansion of the ITA’), which records the results of the negotiations. During the 10th WTO Ministerial Conference held in Nairobi from 15 to 18 December 2015, the participants in the negotiations issued the Ministerial Declaration which endorses and opens for acceptance the Declaration on the expansion of the ITA. The Ministerial Declaration also records the agreement of the participants in the negotiations with the draft schedules submitted by each of them pursuant to paragraph 5 of the Declaration on the expansion of the ITA, which are included in WTO document G/MA/W/117. CONTENT: the draft Council Decision seeks the approval, on behalf of the European Union, of the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof. For further details please refer to the summary of the initial legislative proposal dated from 8.3.2016.
  • date: 2016-04-14T00:00:00 type: Committee referral announced in Parliament, 1st reading/single reading body: EP
  • date: 2016-05-24T00:00:00 type: Vote in committee, 1st reading/single reading body: EP
  • date: 2016-05-26T00:00:00 type: Committee report tabled for plenary, 1st reading/single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2016-0186&language=EN title: A8-0186/2016 summary: The Committee on International Trade adopted the report by Godelieve QUISTHOUDT-ROWOHL (EPP, DE) on the draft Council decision on the conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA). The committee recommended the European Parliament to give its consent to the conclusion of the Agreement. To recall, the first Information Technology Agreement (ITA) was concluded at the Singapore Ministerial Conference in December 1996 and entered into force in 1997. While only 29 WTO Member States initially concluded the agreement, ITA today counts 82 participants. The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods. In May 2012, six countries launched negotiations to expand the product coverage of the agreement (EU, US, Japan, Korea, Taiwan and Costa Rica). They came to be joined by 21 other members. On 24 July 2015, an agreement was reached on an additional list of 201 IT products. Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10% of total global trade today. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015 during the 10th WTO Ministerial Conference in Nairobi. In the short justification which accompanies the report, it is stated that EU exports EUR 189 billion in products covered by the ITA expansion, a figure that is expected to increase significantly following tariff cuts. The agreement will lead to lower prices for consumers, but also for producers who depend on imported components. Some sectors will however also experience increased competition. Members are therefore pleased to see that the EU negotiated longer staging for some products that were considered to be sensitive, while the majority of the non-sensitive tariffs will be eliminated at the entry into force of the agreement. Given that the expansion of the ITA is a landmark deal, the first major tariff cutting deal since the WTO was created with a huge potential to create jobs and boost GDP growth, it is proposed that the European Parliament gives its consent to the conclusion of the Agreement.
  • date: 2016-06-08T00:00:00 type: Results of vote in Parliament body: EP docs: url: https://oeil.secure.europarl.europa.eu/oeil/popups/sda.do?id=27273&l=en title: Results of vote in Parliament
  • date: 2016-06-08T00:00:00 type: Decision by Parliament, 1st reading/single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2016-0257 title: T8-0257/2016 summary: The European Parliament adopted by 529 votes to 110, with 37 abstentions a legislative resolution on the draft Council decision on conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA). In line with the recommendation made by Committee on International Trade, the European Parliament gave its consent to the conclusion of the Agreement. To recall, the Information Technology Agreement (ITA) was concluded at the Singapore Ministerial Conference in December 1996 and entered into force in 1997. While only 29 WTO Member States initially concluded the agreement, ITA today counts 82 participants. In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products. The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.
  • date: 2016-06-10T00:00:00 type: Act adopted by Council after consultation of Parliament body: EP/CSL
  • date: 2016-06-10T00:00:00 type: End of procedure in Parliament body: EP
  • date: 2016-06-18T00:00:00 type: Final act published in Official Journal summary: PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA). NON-LEGISLATIVE ACT: Council Decision (EU) 2016/971 on the conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA). CONTENT: the Council adopted a decision approving, on behalf of the European Union, the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof. The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. To recall, the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996. The ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organisation (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products in the light of technological developments, experience in applying the tariff concessions or changes to the Harmonised System nomenclature. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015 during the 10th WTO Ministerial Conference in Nairobi. ENTRY INTO FORCE: 17.6.2016. docs: title: Decision 2016/971 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32016D0971 title: OJ L 161 18.06.2016, p. 0002 url: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L:2016:161:TOC
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  • body: EC dg: url: http://ec.europa.eu/trade/ title: Trade commissioner: MALMSTRÖM Cecilia
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  • 3.40.06 Electronics, electrotechnical industries, ICT, robotics
  • 6.20.01 Agreements and relations in the context of the World Trade Organization (WTO)
  • 6.20.04 Union Customs Code, tariffs, preferential arrangements, rules of origin
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2016-06-21Show (5) Changes | Timetravel
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activities/5/docs/0/text

  • The European Parliament adopted by 529 votes to 110, with 37 abstentions a legislative resolution on the draft Council decision on conclusion, on behalf of the European Union, of an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

    In line with the recommendation made by Committee on International Trade, the European Parliament gave its consent to the conclusion of the Agreement.

    To recall, the Information Technology Agreement (ITA) was concluded at the Singapore Ministerial Conference in December 1996 and entered into force in 1997. While only 29 WTO Member States initially concluded the agreement, ITA today counts 82 participants.

    In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products.

    The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.
2016-06-10Show (3) Changes | Timetravel
activities/5/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2016-0257 type: Decision by Parliament, 1st reading/single reading title: T8-0257/2016
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activities/1/docs/0/text

  • PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of the Declaration on the Expansion of Trade in Information Technology Products (ITA).

    PROPOSED ACT: Council Decision.

    ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. 

    BACKGROUND: the Ministerial Declaration on Trade in Information Technology Products, commonly referred to as the Information Technology Agreement (‘ITA’), was adopted in Singapore on 13 December 1996. Paragraph 3 of the Annex to the ITA states that participants are to meet periodically under the auspices of the Council on Trade in Goods of the World Trade Organization (WTO) to review the product coverage with a view to agreeing, by consensus, whether it is appropriate to modify the Attachments to that Annex to incorporate additional products.

    On 8 July 2009, the Council authorised the Commission to negotiate a review of the ITA with a view to expanding its product coverage to reflect technological developments and convergence. On 28 July 2015, the participants in the negotiations issued a Declaration on the Expansion of Trade in Information Technology Products (‘the Declaration on the expansion of the ITA’), which records the results of the negotiations.

    During the 10th WTO Ministerial Conference held in Nairobi from 15 to 18 December 2015, the participants in the negotiations issued the Ministerial Declaration which endorses and opens for acceptance the Declaration on the expansion of the ITA. The Ministerial Declaration also records the agreement of the participants in the negotiations with the draft schedules submitted by each of them pursuant to paragraph 5 of the Declaration on the expansion of the ITA, which are included in WTO document G/MA/W/117.

    CONTENT: the draft Council Decision seeks the approval, on behalf of the European Union, of the Declaration on the expansion of the ITA and the schedules submitted in accordance with paragraph 5 thereof.

    For further details please refer to the summary of the initial legislative proposal dated from 8.3.2016.
2016-04-30Show (2) Changes | Timetravel
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2016-04-29Show (1) Changes | Timetravel
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2016-04-16Show (3) Changes | Timetravel
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PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA).

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. 

BACKGROUND: the "Ministerial Declaration on Trade in Information Technology Products", known as the Information Technology Agreement (ITA), was concluded by 29 WTO Member States at the Singapore Ministerial Conference in 1996. The ITA entered into force in the European Union in 1997.Today, the ITA counts 82 participants, or half of WTO Members, and covers 97% of trade in this sector.

The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods.

The ITA Ministerial Declaration establishes that participants shall meet periodically under the auspices of the Council on Trade in Goods to review the product coverage specified in the Attachments, with a view to agreeing, by consensus, whether in the light of technological developments, experience in applying the tariff concessions, or changes to the HS nomenclature, the Attachments should be modified to incorporate additional products.

In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products. Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10% of total global trade today.

The participants agreed on the staging commitments for each product listed in document G/MA/W/117. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015.

IMPACT ASSESSMENT: an economic assessment was made by an external company before the negotiations started. With the final results of the negotiations now known, the Commission has made its own in-house assessment, of which the following three elements are the most important findings: 

  • EUR 74-150 billion of EU exports are covered by the agreement;
  • EU exporters will save EUR 0.8-2.1 billion in duty payments upon their extra EU exports;
  • as the products under negotiation are crucial intermediates in many EU exports significant value chain effects can be expected. A general equilibrium simulation points to overall exports of goods that may increase by about 0.7% to 1.4% of their baseline value. In terms of current extra EU exports of goods, this amounts to EUR 12-24 billion.

CONTENT: under this draft Decision, the Council is called upon to approve, on behalf of the European Union, the Declaration on the Expansion of Trade in Information Technology Products (ITA), together with the schedules submitted by other participants in the negotiations and which are contained in the WTO document G/MA/W/117.

The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.

BUDGETARY IMPLICATIONS: in total the European Union is expected to lose EUR 1.5 billion in duties on IT goods. However, this loss will be spread out over a total of 7 years. Most low duties will be eliminated at entry into force, representing 25% of duty value. After 3 years more than 60% of duty will have been phased out, while 30% will only be eliminated after 7 years.

New

PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA).

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. 

BACKGROUND: the "Ministerial Declaration on Trade in Information Technology Products", known as the Information Technology Agreement (ITA), was concluded by 29 WTO Member States at the Singapore Ministerial Conference in 1996. The ITA entered into force in the European Union in 1997. Today, the ITA counts 82 participants, or half of WTO Members, and covers 97 % of trade in this sector.

The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods.

The ITA Ministerial Declaration establishes that participants shall meet periodically under the auspices of the Council on Trade in Goods to review the product coverage specified in the Attachments, with a view to agreeing, by consensus, whether in the light of technological developments, experience in applying the tariff concessions, or changes to the HS nomenclature, the Attachments should be modified to incorporate additional products.

In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products. Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10 % of total global trade today.

The participants agreed on the staging commitments for each product listed in document G/MA/W/117. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015.

IMPACT ASSESSMENT: an economic assessment was made by an external company before the negotiations started. With the final results of the negotiations now known, the Commission has made its own in-house assessment, of which the following three elements are the most important findings: 

  • EUR 74-150 billion of EU exports are covered by the agreement;
  • EU exporters will save EUR 0.8-2.1 billion in duty payments upon their extra EU exports;
  • as the products under negotiation are crucial intermediates in many EU exports significant value chain effects can be expected. A general equilibrium simulation points to overall exports of goods that may increase by about 0.7 % to 1.4 % of their baseline value. In terms of current extra EU exports of goods, this amounts to EUR 12-24 billion.

CONTENT: under this draft Decision, the Council is called upon to approve, on behalf of the European Union, the Declaration on the Expansion of Trade in Information Technology Products (ITA), together with the schedules submitted by other participants in the negotiations and which are contained in the WTO document G/MA/W/117.

The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.

BUDGETARY IMPLICATIONS: in total the European Union is expected to lose EUR 1.5 billion in duties on IT goods. However, this loss will be spread out over a total of 7 years. Most low duties will be eliminated at entry into force, representing 25 % of duty value. After 3 years more than 60 % of duty will have been phased out, while 30 % will only be eliminated after 7 years.

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2016-04-10Show (1) Changes | Timetravel
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2016-02-15T00:00:00
committees/0/rapporteur
  • group: EPP name: QUISTHOUDT-ROWOHL Godelieve
2016-03-30Show (1) Changes | Timetravel
activities/0/docs/0/text

  • PURPOSE: to conclude, on behalf of the European Union, an agreement in the form of a Declaration on the expansion of Trade in Information Technology Products (ITA).

    PROPOSED ACT: Council Decision.

    ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. 

    BACKGROUND: the "Ministerial Declaration on Trade in Information Technology Products", known as the Information Technology Agreement (ITA), was concluded by 29 WTO Member States at the Singapore Ministerial Conference in 1996. The ITA entered into force in the European Union in 1997.Today, the ITA counts 82 participants, or half of WTO Members, and covers 97% of trade in this sector.

    The ITA requires that each participant eliminates and binds customs duties at zero on a Most Favoured Nation basis for all information technology (IT) products covered. The ITA covers about 200 tariff lines, including computers, telephones, but also inputs, components and machinery for the production of IT goods.

    The ITA Ministerial Declaration establishes that participants shall meet periodically under the auspices of the Council on Trade in Goods to review the product coverage specified in the Attachments, with a view to agreeing, by consensus, whether in the light of technological developments, experience in applying the tariff concessions, or changes to the HS nomenclature, the Attachments should be modified to incorporate additional products.

    In May 2012, several countries proposed to expand the product coverage of the ITA. On 24 July 2015, the text of the "Declaration on the Expansion of Trade on Information Technology Products" was agreed, with a view to bind and eliminate customs duties on an additional list of 201 IT products. Annual trade in these 201 products is valued at over USD 1.3 trillion per year, and accounts for approximately 10% of total global trade today.

    The participants agreed on the staging commitments for each product listed in document G/MA/W/117. The agreement in the form of a Declaration on the Expansion of the ITA (and the schedules containing the staging commitments of the participants) was adopted by the Ministers of the participant countries on 16 December 2015.

    IMPACT ASSESSMENT: an economic assessment was made by an external company before the negotiations started. With the final results of the negotiations now known, the Commission has made its own in-house assessment, of which the following three elements are the most important findings: 

    • EUR 74-150 billion of EU exports are covered by the agreement;
    • EU exporters will save EUR 0.8-2.1 billion in duty payments upon their extra EU exports;
    • as the products under negotiation are crucial intermediates in many EU exports significant value chain effects can be expected. A general equilibrium simulation points to overall exports of goods that may increase by about 0.7% to 1.4% of their baseline value. In terms of current extra EU exports of goods, this amounts to EUR 12-24 billion.

    CONTENT: under this draft Decision, the Council is called upon to approve, on behalf of the European Union, the Declaration on the Expansion of Trade in Information Technology Products (ITA), together with the schedules submitted by other participants in the negotiations and which are contained in the WTO document G/MA/W/117.

    The objective of the ITA expansion is to eliminate duties on IT goods not included in the original ITA.

    BUDGETARY IMPLICATIONS: in total the European Union is expected to lose EUR 1.5 billion in duties on IT goods. However, this loss will be spread out over a total of 7 years. Most low duties will be eliminated at entry into force, representing 25% of duty value. After 3 years more than 60% of duty will have been phased out, while 30% will only be eliminated after 7 years.
2016-03-22Show (3) Changes | Timetravel
activities/0/commission/0
DG
Commissioner
MALMSTRÖM Cecilia
activities/1
date
2016-05-24T00:00:00
body
EP
type
Vote scheduled in committee, 1st reading/single reading
other/0
body
EC
dg
commissioner
MALMSTRÖM Cecilia
2016-03-16Show (5) Changes
activities
  • date: 2016-03-08T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2016/0122/COM_COM(2016)0122_EN.pdf title: COM(2016)0122 type: Legislative proposal published celexid: CELEX:52016PC0122:EN type: Legislative proposal published body: EC commission:
committees
  • body: EP responsible: True committee_full: International Trade committee: INTA
links
other
    procedure
    reference
    2016/0067(NLE)
    title
    Agreement on the expansion of trade in information technology products (ITA)
    legal_basis
    stage_reached
    Preparatory phase in Parliament
    subtype
    Consent by Parliament
    type
    NLE - Non-legislative enactments
    subject
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