13. 8. 88 Official Journal of the European Communities No L 223/39 COMMISSION DECISION of 14 July 1988 authorizing agreenients between Arbed SA and Unimetal SA concerning long products (Only the French text is authentic) (88/461/ECSC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, / Having regard to the Treaty establishing the European Coal and Steel Community, and in particular Article 65 thereof, Having regard to the applications made on 18 March 1987 and. 14 January 1988 by Arbed SA and Unimétal SA, Whereas : M @ @ ) I Arbed SA (Luiembourg) is a steel-producing undertaking covered by Article 80 of the Treaty. Unimétal — Société Francaise des Aciers Longs SA — (France), a company forming part of the Usinor-Sacilor  group, is a  steel-producing undertaking covered by Article 80 of the Treaty. Arbed and Unimétal have applied to the Commission, pursuant to Article 65 (2) for authori- . zation of a framework agreement, three agreements dated 7 February 1987 and a supplementary agreement dated’ 10 November 1987 providing for specialization and the exchange of finished products and rolling capacity, the exchange of semi-finished and emergency assistance procedures in respect of pig iron. Each undertaking will retain full autonomy in marketing its own products and products supplied by the other party within the Community. The framework agreement and the agreements of 7 February 1987 will expire on 31 December 1989. They will, however, unless notice “of termination is given, be renewed by tacit agreement for a year at a time. The agreement of 10 November 1987 will expire on 31 December 1992, but will also be subject to tacit renewal. The agreements on specialization and the exchange of finished products provide that: — Arbed will make available to Unimétal ‘an annual rolling capacity of the order of 30 000 tonnes at its Grey mill at Differdange for the production of heavy beams; — Unimétal will make available to Arbed a rolling capacity at its Hayange, Rombas and Longwy mills for the production of heavy rails ©) (minimum 5000 tonnes per year), sheet piling (minimum 9 000 tonnes per year) and medium sections (approximately 10000 tonnes per year) ; — in the case of the supplementary agreement, the two undertakings will create a joint range of . sheet piling sections, each concerned mill, namely Rombas and Esch/Belval, specializing in part of the range and each company being entitled to market the entire joint range throughout the Community completely independently from the other company. The agreements provide for a certain degree of specialization and improved plant utilization in the two groups concerned, i.e.: use of the Grey mill at Arbed for the rolling of heavy beams, utilization of Unimétal’s universal mill at Hayange for rolling heavy rails and utilization of the Rombas and Esch/Belval mills in a more efficient and productive way to roll sheet piling in the joint range. Each undertaking uses its own semi-finished products to roll the tonnages intended for its partner. The agreement on the exchange of semi-finished products, based on the different products manufactured by the undertakings in question, provides that : — Unimétal will use its Gandrange melting shop to cover part of the steel requirements for rails at the Rodange works of the Métallurgie et Mini¢re de Rodange-Athus (MMRA) —. Usine d’Arbed) and, secondarily, to cover steel requirements for sections; — Arbed will cover part of the requirements of Unimétal’s Longwy mills in the form of blooms for direct charging into the universal mill and/or in the form 125 x 125 billets obtained by direct continuous casting and will supply - - tonnages of blooms and/or slabs and/or billets for mills other than the universal mill at Longwy, in particular for the Longwy wire rod mill. The exchange of semi-finished products is based on a balanced annual tonnage of the order of 50 000 tonnes per year.