GSP benefits aren’t back into effect yet but there already are new threats to GSP importers: more than $1 billion of 2017 imports that will be eligible when GSP is reinstated could lose benefits as part of the 2017/2018 Annual Review.
As announced in a recent Federal Register notice, companies must submit petitions to retain benefits by April 16.
The full list of “at risk” products – broken into three lists – is available here. “List 1” products, which will lose benefits on November 1 unless a new “competitive need limits” (CNL) waiver is granted, include:
- HTS 0410.00.00 – Edible products of animal origins from Indonesia
- HTS 2836.91.00 – Lithium carbonates from Argentina
- HTS 2909.19.18 – Ethers of acyc monohydric alcohols & derivatives from Brazil
- HTS 3301.13.00 – Essential oils of lemon from Argentina
- HTS 6802.99.00 – Certain monumental building stone from Brazil
- HTS 7403.19.00 – Refined copper articles from Brazil
- HTS 8450.20.00 – Household- or laundry-type washing machines, each of a dry linen capacity exceeding 10 kg from Thailand
- HTS 7202.50.00 – Ferrosilicon chromium from Kazakhstan
To date, waivers only have been requested for HTS 0410.00.00 from Indonesia and HTS 6802.99.00 from Brazil.
Products on “List 2” do not need to file a waiver petition, though importers may be asked to submit comments later if interested parties object to de minimis (i.e., low value) waiver. Any such objections will be published at a later date.
Products on “List 3” are eligible for redesignation because imports fell below CNL thresholds in 2017.
IMPORTANT NOTE: Products that may not have needed a CNL waiver in the past because they were included on the official “Not Made in the US” (NMUS) list must now request waivers.
This is due to a change included in the recent renewal legislation. USTR will not grandfather products or start automatic reviews for such products. If a product on that old NMUS list exceeds 50% of US imports and does not request a new waiver, it also will lose benefits effective November 1.
Further details on filing petitions are available here.