US removing GSP status from India and Turkey

March 5, 2019 – It appears that it will finally happen. On Monday the US Trade Representative (USTR) announced its intent to withdraw its Generalized System of Preferences (GSP) from both India and Turkey.

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The GSP program is designed to enhance economic growth in developing countries, providing duty-free import treatment of over 3,500 products from a wide range of developing countries.

According to the USTR news release, “India’s termination from GSP follows its failure to provide the United States with assurances that it will provide equitable and reasonable access to its markets in numerous sectors. Turkey’s termination from GSP follows a finding that it is sufficiently economically developed and should no longer benefit from preferential market access to the United States market.”

Statute requires that these changes may not take effect until at least 60 days after Congressional notification and to the governments of both countries.

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