Washington, DC – The Office of the United States Trade Representative (USTR) announced today that President Trump is suspending $817 million in trade preferences for Thailand under the Generalized System of Preferences (GSP) program based on its lack of sufficient progress providing the United States with equitable and reasonable market access for pork products.
USTR also announced the closure of GSP eligibility reviews with no loss of benefits for three countries: Georgia, based on improvements in the protection of worker rights; Uzbekistan, also based on improvements in the protection of worker rights; and Indonesia, based on improvements aimed at providing the United States with equitable and reasonable market access. USTR also announced the closure of the GSP designation review of Laos with no change in status and the opening of two new GSP eligibility reviews of Eritrea and Zimbabwe, based on worker rights concerns.
“Today’s announcement demonstrates the effective use of the GSP program to improve labor standards and help U.S. businesses and workers succeed,” said U.S. Trade Representative Robert E. Lighthizer. “It also demonstrates the Trump Administration’s commitment to robust monitoring and enforcement of our trade preference programs and underscores that when countries do not meet the congressionally mandated eligibility criteria, we will take action by limiting their preferential duty-free access to the U.S. market.”
USTR also announced the results of the GSP annual product review, including addition of fresh-cut roses to, and removal of parboiled rice from, the list of goods eligible for GSP trade benefits.
Background
GSP, the largest and oldest U.S. trade preference program, is designed to promote economic development by allowing duty-free entry into the United States for 3,500 products from the 119 designated beneficiary countries and territories. To remain eligible for these advantages, beneficiary countries must comply with 15 statutory eligibility criteria, including taking steps to afford internationally recognized worker rights, providing adequate and effective protection of intellectual property rights, and assuring equitable and reasonable access to its markets.
Today’s announcement represents the culmination of three separate processes under the GSP program: determinations on ongoing GSP eligibility reviews of beneficiary countries, based on stakeholder petitions or self-initiation of reviews by USTR; triennial assessments of all beneficiary developing countries in the Middle East, North Africa, and sub-Saharan Africa to determine whether to launch new GSP eligibility reviews; and the annual GSP product review, which provides stakeholders the opportunity to request the addition of products to, and/or removal of products from, the list of goods eligible for duty-free treatment under GSP. Read More→