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USTR Lists Goods That Could Become Ineligible for GSP; Dec. 5 Deadline for Waiver Petitions

Tuesday, November 14, 2017
Sandler, Travis & Rosenberg Trade Report

The Office of the U.S. Trade Representative has made available import statistics for the first nine months of 2017 that identify goods that could become ineligible for benefits under the Generalized System of Preferences. This information may be useful in deciding whether to submit a petition to waive the competitive need limitations and thus retain preferential treatment for GSP-eligible articles that might otherwise lose it. The deadline for such petitions is Dec. 5.

GSP provides for the duty-free importation of specific articles when imported from designated beneficiary developing countries. When the president determines that a BDC has exported to the U.S. during a calendar year a quantity of a GSP-eligible article having (a) a value in excess of the applicable amount for that year ($180 million for 2017) or (2) a value equal to or greater than 50 percent of the value of total U.S. imports of the article from all countries, GSP duty-free treatment for that article from that BDC must be terminated by no later than July 1 of the next calendar year unless the president grants a waiver before the exclusion goes into effect.

Any interested party may submit a petition seeking a waiver of the 2017 CNL for individual BDCs with respect to specific GSP-eligible articles. In addition, the president may waive the 50 percent CNL with respect to an eligible article imported from a BDC if the value of total imports of that article from all countries during the calendar year did not exceed the applicable de minimis amount for that year ($23.5 million for 2017).

The interim statistics show that the following products from the indicated BDCs may exceed the CNLs for 2017.

- HTSUS 0410.00.00: edible products of animal origin (Indonesia)

- HTSUS 0714.40.10: fresh or chilled taro, whether or not sliced or in the form of pellets (Ecuador)

- HTSUS 2106.90.98: other food preparations, including preparations for the manufacture of beverages, non-dairy coffee whiteners, herbal teas, and flavored honey (Thailand)

- HTSUS 2909.19.18: ethers of acyclic monohydric alcohols and derivatives (Brazil)

- HTSUS 3808.91.30: insecticides containing an inorganic substance and put up for retail sale (India)

- HTSUS 3823.11.00: stearic acid (Indonesia)

- HTSUS 4011.20.10: new pneumatic radial tires, of rubber, of a kind used on buses or trucks (Indonesia)

- HTSUS 6802.99.00: monumental or building stone and articles thereof, further worked than simply cut or sawn (Brazil)

- HTSUS 7403.19.00: refined copper, unwrought articles (Brazil)

- HTSUS 8450.20.00: household- or laundry-type washing machines, each of a dry linen capacity exceeding 10 kg (Thailand)

- HTSUS 9001.50.00: spectacle lenses of materials other than glass, unmounted (Thailand)

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