PURPOSE
The purpose of this memorandum is to provide guidance to the Trade concerning the United States Trade Representative (USTR) Generalized System of Preferences (GSP) annual review findings, GSP eligibility updates, and effective dates.
GUIDANCE
On October 30, 2020, President Trump signed a Proclamation announcing changes to GSP eligibility for preferential treatment based on USTR’s 2020 GSP Program review findings. The decisions include:
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Revoked GSP benefits: Effective on December 30, 2020, 12:01 am, a list of certain products imported from Thailand under GSP preferential treatment (approximate one-sixth of Thailand’s GSP trade) will be removed from the GSP eligibility list and no longer will be treated as duty-free. The full list of the revoked products can be found in the Annex I attachment.
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Removed GSP benefits: Effective November 1, 2020, 12:01 am, parboiled rice (HTS 1006.30.10) is removed from the GSP eligible product list for all GSP beneficiary developing countries (BDCs) and can be found in the Annex II attachment.
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Added GSP benefits: Effective November 1, 2020, 12:01 am, Fresh-cut roses (HTS 0603.11.00) is added to the GSP eligible products for all GSP beneficiary developing countries (BDCs and can be found in the Annex II attachment.
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De Minimis CNL waiver decision: Effective November 1, 2020, 12:01 am, the President waived Competitive Need Limitations (CNLs) for products in which total imports of the article did not exceed $24.5 million. The detailed list can be found in the Annex III attachment.
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CNL removal decision: Effective November 1, 2020, The President removed six products from Argentina, Brazil, Ecuador, and Indonesia that exceeded the $190 million CNL threshold for imports from a single country from GSP eligibility. The detailed list can be found in the Annex II attachment.
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Continued GSP benefits: The country of Georgia, Uzbekistan, and Indonesia will continue to receive GSP preferential treatment.
General Note 4 of the Harmonized Tariff Schedule of the United States (HTSUS) has been modified to reflect these changes.
With respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after the mentioned effective date, the Automated Commercial Environment (ACE) will be updated to accept and process related GSP claims.
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