Showing posts with label generalized system of preferences. Show all posts
Showing posts with label generalized system of preferences. Show all posts

Friday, August 7, 2015

Have You Heard That GSP is Back?

The Generalized System of Preferences (GSP) allows for the duty-free treatment of certain goods imported directly from designated beneficiary countries for specific periods of time.


While the GSP had expired on July 29, 2015 it was renewed through December 31, 2017, with a retroactive application between August 1, 2013 and July 28, 2015.  

This means that US Customs is now accepting claims for GSP duty-free merchandise when imports are entered into the US and they are now processing refunds on duties paid, without interest, on merchandise entered during the period that the program had lapsed (i.e., between August 1, 2013 and July 28, 2015) where entries had been filed electronically. Customs is therefore, automatically liquidating, or reliquidating, eligible formal and informal entries made during this lapsed time.

Where entry had not been made electronically however, including entries made by mail, or those by travelers, requests for liquidation must be made by December 28, 2015 pursuant to the procedures set forth in US Customs website under the "GSP Refund Process."

The good news is that now entry filers can  resume filing entry summaries without the payment of estimated duties on  GSP eligible entry summaries. It's also good for those planning importations as realistic price and other projections can be made for, at least, the short term through 2017.

Questions/comments?  Feel free to post below.

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Wednesday, November 19, 2014

AGOA Eligible Countries Keep Benefiting Despite GSP Lapse


Even during the present lapse in the Generalized System of Preferences (GSP), US Customs clarified for the trade community today that GSP-eligible imports from African countries eligible under the African Growth and Opportunity Act (AGOA) continue to benefit from GSP.


As currently legislated, the AGOA remains in effect through September 30, 2015.
Special program indicators (SPIs) denoted by a letter are shown on the Harmonized Tariff Schedule of the US (HTSUS) to indicate under which special program a product may apply.

The overwhelming majority of AGOA-eligible tariff items in the HTSUS indicate one of three GSP SPIs, namely “A,” “A*” or “A+,” and not the AGOA’s SPI “D.”

US Customs requires that the AGOA claim be made on these GSP-eligible tariff items by prefacing the HTSUS number with the SPI “A.”

To receive AGOA preference for eligible goods on a tariff item with the SPI “A,” “A*” or “A+” in the “Special” column of the HTSUS (and not “D”), importers should transmit the entry summary with the SPI “A” and without duty.

For further clarification please refer to the AGOA regulations, 19 CFR 10.178a, and the GSP regulations, 19 CFR 10.171-178.

Questions about this may be directed to the Trade Agreements Branch at FTA@dhs.gov or to myself by posting below or emailing me at clark.deanna@gmail.com

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Monday, August 5, 2013

AFL-CIO Sought Removal of GSP Benefits on Bangladesh Five (5) Years Ago Due to Worker’s Rights Deficiencies

Five (5) years and several high-profiled tragedies later, GSP treatment of all goods of Bangladesh origin will be suspended, effective September 3, 2013.


GSP stands for the Generalized System of Preferences which allows for the duty-free entry of roughly 3,500 GSP eligible products.

The AFL-CIO exists to represent people who work.  Read their mission statement below.

In 2007, the GSP Subcommittee accepted for review a GSP country practice petition submitted by the AFL-CIO seeking the removal of GSP benefits for Bangladesh based on the country's non-compliance with the GSP statutory eligibility criteria related to worker rights.

The GSP Subcommittee held public hearings on the petition in October 2007, April 2009, and January 2012, and also invited public comments on the petition on several occasions.

In 2011, U.S. imports from Bangladesh under GSP totaled $26.3 million. A full list of U.S. imports from Bangladesh under GSP may be found in the www.regulations.gov in docket number  USTR-2012-0036-0001.

While the leading GSP imports from Bangladesh included tobacco products, sports equipment, china kitchenware, and plastic articles, by being a GSP beneficiary country, it also had duty-free treatment on a number of textile accessories and some women’s or girls wearing apparel.

After reviewing the most recently available information, including updated reports from the AFL-CIO, the GSP Subcommittee believed that the lack of progress by the government of Bangladesh in addressing worker rights issues in the country warranted consideration of possible withdrawal, suspension, or limitation of Bangladesh's trade benefits under GSP. 

By statute, i.e., law, however, such change in Bangladesh's trade benefits under GSP required the President to make a determination, which he finally did.

On June 27, 2013, by Proclamation, President Obama revoked Bangladesh’s privilege of receiving treatment as a beneficiary developing country GSP.

As stated in his Proclamation, the reason for the revocation was because Bangladesh “has not taken or is not taking steps to afford internationally recognized worker rights to workers in [its] country."

The original petition and other information related to the review of Bangladesh are available for public viewing on www.regulations.gov in docket USTR-2012-0036.

For more information on GSP and GSP Eligible Products, click here.

AFL-CIO MISSION STATEMENT (as per its website)

The American Federation of Labor and Congress of Industrial Organizations is an expression of the hopes and aspirations of the working people of America.

We resolve to fulfill the yearning of the human spirit for liberty, justice and community; to advance individual and associational freedom; to vanquish ­oppression, privation and cruelty in all their forms; and to join with all persons, of whatever nationality or faith, who cherish the cause of democracy and the call of solidarity, to grace the planet with these achievements.

We dedicate ourselves to improving the lives of working families, bringing fairness and dignity to the workplace and securing social equity in the Nation.

Questions/comments?  Post below or email me at clark.deanna@gmail.com

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