EC/Ukraine Partnership and Cooperation Agreement: preservation of commitments on trade in services

PURPOSE: to conclude an Agreement in the form of an Exchange of Letters between the European Community and Ukraine in relation to preservation of commitments on trade in services contained in the Partnership and Cooperation Agreement.

PROPOSED ACT: Council Decision.

CONTENT: in accordance with provisions set out in the Partnership and Cooperation Agreement (PCA) between the Community and Ukraine any commitments undertaken under GATS are to supersede provisions contained in the PCA. Having applied for WTO membership, the Ukraine has offered GATS commitments that substantially cover commitments made under the PCA. Once exception to this rule is Article 39 (3), concerning international maritime transport.

On the basis of a Council mandate, the Commission negotiated an agreement with Ukraine (in the form of an Exchange of Letters) preserving paragraph 3 of the PCA. Under the terms of the Agreement the Community would not be required to go beyond its present obligations both under GATS and the PCA.

In presenting this proposal, the Commission is requesting the Council to conclude the Agreement as negotiated.