WORLD TRADE
ORGANIZATIONG/SG/N/6/PHL/2
3 July 2001
(01-3313)
Committee on Safeguards Original:  English
NOTIFICATION UNDER ARTICLE 12.1(A) OF THE
AGREEMENT ON SAFEGUARDS ON INITIATION OF
AN INVESTIGATION AND THE REASONS FOR IT
PHILIPPINES
The following communication, dated 29 June 2001, has been received from the Permanent
Mission of the Philippines.
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Pursuant to Article 12.1(a) of the WTO Agreement on Safeguards, and in light of the relevant
format for notifications earlier adopted by the Committee on Safeguards, the Philippines notifies that
its competent authorities have initiated a safeguards investigation as follows:
1. Date investigation was initiated
28 May 2001
2. Product subject to the investigation
Ceramic tiles, glazed or unglazed, classified under HS Codes 6907.9000 and 6908.9000.
These are described in the Tariff and Customs Code of the Philippines as follows:
6907.9000 Other unglazed ceramic flags and paving, hearth or wall tiles;  unglazed
ceramic mosaic cubes and the like, whether or not on a backing
6908.9000 Other glazed ceramic flags and paving, hearth or wall tiles;  glazed ceramic
mosaic cubes and the like, whether or not on a backing.
3. Reasons for the initiation of the investigation
(i) The investigation was initiated pursuant to a petition from the domestic ceramic tiles industry,
represented by Mariwasa-Siam Ceramics (Mariwasa Manufacturing, Inc.) and LepantoCeramics, Inc. (Guoco Ceramics, Inc.).  The petitioners account for about 70 per cent of the
total production capacity of the sector.
(ii) The documents submitted by the petitioners indicate that increased imports have caused
serious injury to the local ceramic tiles indust ry as demonstrated by the industry's decreased
sales, production, employment, productivity, market share, and capacity utilization, among
others.
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