Legal provisions of COM(2022)89 - Rules for the exercise of the Union's rights in the implementation and enforcement of the Brexit Agreement and of the Trade and Cooperation Agreement with the United Kingdom

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dossier COM(2022)89 - Rules for the exercise of the Union's rights in the implementation and enforcement of the Brexit Agreement and of the Trade ...
document COM(2022)89 EN
date March 15, 2023

Contents

Article 1 - Subject matter and scope

1. This Regulation lays down rules and procedures to ensure an effective and timely exercise of the Union's rights in enforcing and implementing the Agreement on the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and the European Atomic Energy Community (‘the Withdrawal Agreement’), the Trade and Cooperation Agreement between the European Union and the European Atomic Energy Community, of the one part, and the United Kingdom of Great Britain and Northern Ireland, of the other part (‘the Trade and Cooperation Agreement’) and supplementing agreements to the Trade and Cooperation Agreement.

2. This Regulation applies to the following measures adopted by the Union (hereinafter: “measures”):

(a)the suspension of the relevant preferential treatment of the product or products concerned as set out in Article 34 of the Trade and Cooperation Agreement;

(b)remedial measures and the suspension of obligations as set out in Article 374 of the Trade and Cooperation Agreement; 

(c)rebalancing measures and countermeasures as set out in Article 411 of the Trade and Cooperation Agreement; 

(d)the refusal, revocation, suspension, limitation of and the imposition of conditions on the operating authorisations of air carriers of the United Kingdom, as well as the refusal, revocation, suspension, limitation of and the imposition of conditions on the operation of those air carriers, as set out in Articles 434(4) and 435(12) of the Trade and Cooperation Agreement;

(e)the suspension of acceptance obligations as set out in Article 457 of the Trade and Cooperation Agreement;

(f)remedial measures as set out in Article 469 of the Trade and Cooperation Agreement; 

(g)compensatory measures and the suspension of obligations as set out in Article 501 of the Trade and Cooperation Agreement;

(h)remedial measures and the suspension of obligations as set out in Article 506 of the Trade and Cooperation Agreement; 

(i)the suspension or termination of the application of Protocol I, in relation to one or more Union programmes or activities adopted on the basis of the Treaty on the Functioning of the European Union, or parts thereof, as set out in Articles 718 and 719 of the Trade and Cooperation Agreement;

(j)an offer or acceptance of temporary compensation or the suspension of obligations in the context of compliance following an arbitration or panel of experts procedure under Article 749 of the Trade and Cooperation Agreement; 

(k)safeguard measures and rebalancing measures as set out in Article 773 of the Trade and Cooperation Agreement;

(l)measures restricting trade, investment or other activities within the scope of the Trade and Cooperation Agreement, if adjudication is not possible because the United Kingdom is not taking the steps that are necessary for a dispute settlement procedure under that Agreement or the Withdrawal Agreement to function, including unduly delaying the proceedings amounting to non-cooperation in the process;

(m)the suspension of obligations under Article 178 of the Withdrawal Agreement in the context of compliance with an arbitration panel ruling;

(n)remedial measures as set out in Article 13 of the Protocol on Ireland/Northern Ireland to the Withdrawal Agreement;

(o)safeguard measures and rebalancing measures as set out in Article 16 of the Protocol on Ireland/Northern Ireland to the Withdrawal Agreement.

Article 2 - Exercise of the Union’s rights

1. The Commission shall be empowered, by means of implementing acts, 

(a)to adopt the measures referred to in Article 1(2) of this Regulation; and 

(b)where the measure consists of the suspension of an obligation under any of the agreements referred to in Article 1(1), to impose restrictions on trade, investment or other activities within the scope of the agreement concerned which would otherwise be precluded by the suspended obligation.

Where appropriate, those implementing acts shall specify the duration of the adopted measures.

2. The measures to be adopted pursuant to paragraph 1 shall be determined on the basis of the following criteria, in light of available information and of the Union's general interest:

(a)effectiveness of the measures in inducing compliance of the United Kingdom with the agreements referred to in Article 1(1);

(b)potential of the measures to provide relief to economic operators within the Union affected by the measures of the United Kingdom;

(c)availability of alternative sources of supply for the goods or services concerned, in order to avoid or minimise any negative impact on downstream industries, contracting authorities or entities, or final consumers within the Union;

(d)avoidance of disproportionate administrative complexity and costs in the application of the measures;

(e)any specific criteria that may be established in the agreements referred to in Article 1(1) in connection with the measures referred to in Article 1(2).

3. The Commission shall be empowered to amend, suspend or repeal the measures referred to in Article 1(2) by means of implementing acts. Where appropriate, those implementing acts shall specify the duration of the suspension. 

4. Where there is a particular concern of one or more Member States, that or those Member States may request the Commission to adopt measures referred to in Article 1(2). If the Commission does not respond positively to such a request, it shall inform the Council in a timely manner of its reasons.

5. If, due to persisting significant divergences, rebalancing measures referred to in Article 1(2), point (c), of this Regulation last for more than a year, one or more Member States may request the Commission to activate the review clause provided for in Article 411 of the Trade and Cooperation Agreement. The Commission shall examine this request in a timely manner and shall consider seizing as appropriate the Partnership Council of that matter, in accordance with the provisions set out in the Trade and Cooperation Agreement. If the Commission does not respond positively to such a request, it shall inform the Council in a timely manner of its reasons.

6. The implementing acts referred to in paragraphs 1 and 3 of this Article shall be adopted in accordance with the examination procedure referred to in Article 3(2).

7. On duly justified imperative grounds of urgency, the Commission shall adopt immediately applicable implementing acts in accordance with the procedure referred to in Article 3(3). 

Article 3 - Committee procedure

1. The Commission shall be assisted by the UK Committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2. Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

3. Where reference is made to this paragraph, Article 8 of Regulation (EU) No 182/2011, in conjunction with Article 5 thereof, shall apply.

Article 4 - Relation to other provisions of Union law

This Regulation shall apply notwithstanding any provisions of Union law adopted on the basis of the Treaty on the Functioning of the European Union that govern the same subject matter.

Article 5
Review

By [Publications Office: Please insert the date five years after the entry into force of this Regulation], the Commission shall present a report to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions on the application of this Regulation.

Article 6 - Entry into force

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

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