Generalized System of Preference (GSP)

The U.S. Generalized System of Preferences (GSP) is a program designed to promote economic growth in the developing world by providing preferential duty-free entry for up to 4,800 products from 129 designated beneficiary countries and territories. GSP was instituted on January 1, 1976, by the Trade Act of 1974.

Congressional authorization of the GSP program expired on December 31, 2010. On October 21, 2011, President Obama signed legislation to reauthorize the GSP program through July 31, 2013. GSP trade benefits will become effective 15 days after the President signs the bill (November 5, 2011) and will apply retroactively from January 1, 2011.

As in past circumstances when GSP was reauthorized with retroactive effect, importers of GSP-eligible products may seek reimbursement for tariffs paid during the lapse in GSP coverage. Importers who filed their entries electronically, used the appropriate special program indicator for GSP (e.g. “A” or “A+”), and paid duty on GSP-eligible goods, will receive an automatic refund. For entries made without using the special program indicator for GSP, refunds of duties deposited should be requested in writing from U.S. Customs and Border Protection (CBP). Click here for CBP’s instructions regarding refund procedures, available at CBP’s website.

The GSP Guidebook provides basic information on the program.

Recent Federal Register Notices related to the GSP program can be found here. GSP country and product petitions and related public comments are available at www.regulations.gov.

GSP Section of the 2011 USTR Annual Report (see section V. B 8 on pages 188-192)

GSP by the Numbers