Statement by U.S. Trade Representative Michael Froman on Expiration of the Generalized System of Preferences Program
STATEMENT BY U.S. TRADE REPRESENTATIVE MICHAEL FROMAN
ON EXPIRATION OF THE GENERALIZED SYSTEM OF PREFERENCES PROGRAM
Washington, D.C. – United States Trade Representative Michael Froman issued the following statement regarding the July 31, 2013 expiration of the Generalized System of Preferences (GSP) program. GSP is a 37-year-old trade preference program designed to promote economic growth in the developing world by providing preferential, duty-free entry for up to 5,000 products when imported from one of 127 designated beneficiary countries and territories.
GSP also supports U.S. jobs: U.S. businesses imported $19.9 billion worth of products under the program in 2012, including many raw materials, parts or components, and machinery and equipment used by U.S. companies to manufacture goods in the United States for domestic consumption or for export. The program also helps to support American jobs associated with moving GSP imports from the docks to farmers, manufacturers, and retail shelves.
“Beginning August 1, U.S. businesses and consumers will pay more for thousands of goods imported under the GSP program, including many inputs for U.S. manufacturing,” said Ambassador Froman. “The Obama Administration urges Congress to extend this important trade program, which increases U.S. competitiveness, keeps costs low for U.S. consumers, and benefits some of the world’s poorest countries. “
For more information on the GSP program, including answers to Frequently Asked Questions about the expiration of the program, visit the GSP page on the USTR Web site.