Dear Valued Customer,
Please be advised, India and Turkey will be terminated from Generalized System of Preferences (“GSP”) according to U.S. Trade Representative (“USTR”).
Roughly $5.6 billion of Indian goods & $1.7 billion of Turkish goods benefited from duty-free entry into the U.S. under GSP, a program that effectively exempts India, Turkey, and other nations from tariffs on certain goods exported to the U.S. The total yearly imports covered by GSP were worth roughly $20 billion according to recent data. The program has been in place since the mid-1970s.
India and Turkey, the largest and fifth-largest beneficiaries of the agreement, will be terminated from the program after the mandatory 60-day waiting period. The USTR announced that India is being terminated because it is not providing “equitable and reasonable access to its markets in numerous sectors.” Turkey is being terminated because its economy has developed sufficiently that it should no longer benefit from preferential market access, USTR said.
The President notified Congress March 4, 2019, and once the governments of India and Turkey are notified and after the 60-day waiting period, the termination will be enacted.
If you have any questions regarding GSP or tariffs, please reach out to your local Masterpiece International representative or compliance@masterpieceintl.com.
Thank You,
