Printer Friendly

Are you prepared for EC '92?

Are You Prepared for EC '92?

The unification of the European Economic Community at the end of next year, referred to as "EC '92," will present numerous new regulatory challenges to American manufacturers, according to an SPI analysis. December 31, 1992 is the target date for the 12 nations of the European Community (EC) to eliminate all tariffs and other barriers to the movement of people, goods, and services, and adopt common standards and regulations for health and safety in products, the workplace and the environment.

Removal of restrictive barriers within the EC could also benefit U.S. firms, SPI notes. But it is also possible - perhaps even likely - that some of the new product design and environmental standards could act as trade barriers against non-EC firms or products.

Here is SPI's analysis of what to be on the lookout for as EC '92 approaches:

* Electronics Industry: Obstacles to non-EC trade, such as increased tariffs and local-content requirements, could govern the electronics industry within the EC. Major European electronics firms have thought ahead and have moved some operations to the EC, where they will be less likely to order materials or parts from U.S. molders.

* Government Procurement: In 1989, only 2% of contracts from EC nations went to non-EC firms because of procurement regulations that discriminate against non-EC suppliers. Government contracts can be lucrative, so U.S. firms may consider making a move to the EC by "piggybacking," or forming cooperative ventures with European firms to increase EC sales.

* Product Design Standards: Finished product suppliers and moldmakers are advised to research relevant international standards. If products comply with current ISO standards, companies will have a better opportunity to gain access to the EC market.

* European Standards Bodies: If EC allows U.S. exporters to participate in developing unified international product standards, they could be equally beneficial to all concerned. However, if the U.S. is left out of the process, or if the EC does not recognize U.S. standards and testing bodies, U.S. companies will be at a significant disadvantage.

* Environmental Issues: Potential obstacles could arise in the areas of recycling programs; limits on heavy-metal use in manufacturing; standards that restrict types of plastics permitted for contact with food; and efforts to develop "clean" technologies.
COPYRIGHT 1991 Gardner Publications, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1991, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:Regulatory Update; single European market
Author:Block, Debbie Galante
Publication:Plastics Technology
Date:Sep 1, 1991
Previous Article:Environmental issues top agenda at polyurethanes conference.
Next Article:Rotomolders meet military Q-C specs.

Related Articles
An EC scorecard: some progress on the road to 1992.
Getting U.S. companies ready for Europe 1992.
What 1992 means to small and midsized businesses.
Prospering in the European Community: three EC initiative to ensure it.
A short guide to Euromarketing.
EC poll found doubt over deadline for single market.
Denmark vote seen as setback to EC unity.
EC resolves single market issues at Edinburgh summit.
Hurdles to monetary union in Europe.

Terms of use | Privacy policy | Copyright © 2020 Farlex, Inc. | Feedback | For webmasters