The Office of the U.S. Trade Representative has made available import statistics for the first nine months of 2016 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. 2.
GSP provides for the duty-free importation of designated 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 ($175 million for 2016) 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 2016 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 million for 2016).
The interim statistics show that the following products from the indicated BDCs may exceed the CNLs for 2016.
- HTSUS 0410.00.00 – other edible products of animal origin (Indonesia)
- HTSUS 0714.90.10 – fresh or chilled dasheens, whether or not sliced or in the form of
- HTSUS 1104.29.90 – grains of cereals other than barley, oats or corn, hulled, pearled, clipped, sliced, kibbled or otherwise worked, but not rolled or flaked (Turkey)
- HTSUS 2909.19.18 – ethers of acyclic monohydric alcohols & derivatives, not elsewhere specified (Brazil)
- HTSUS 2933.99.22 – other heterocyclic aromatic or modified aromatic pesticides with nitrogen hereo-atom(s) only, not elsewhere specified (India)
- HTSUS 4011.20.10 – new pneumatic radial tires, of rubber, of a kind used on buses or trucks (Indonesia)
- HTSUS 4409.10.05 – coniferous wood continuously shaped along any of its ends, whether or not also continuously shaped along any of its edges or faces (Brazil)
- HTSUS 6801.00.00 – setts, curbstones and flagstones, of natural stone (except slate) (Turkey)
- HTSUS 6802.99.00 – monumental or building stone and articles thereof, not elsewhere specified, further worked than simply cut/sawn (Brazil)
- HTSUS 8525.80.30 – television cameras, not elsewhere specified (Thailand)
- HTSUS 9001.50.00 – spectacle lenses of materials other than glass, unmounted (Thailand)
Regardless of whether or not an article is listed above, all determinations and decisions regarding application of the CNLs will be based on full calendar year 2016 import data for each GSP-eligible article. USTR advises interested parties to conduct their own reviews of 2016 import data with regard to the possible application of CNLs.
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