GSP saved American companies $74 million in November. GSP saved American companies $962 million in the first 11 months of 2019 compared to $950 million in the same period in 2018.
GSP savings in November 2019 declined by about $17 million (-19%) from November 2018. It marked the sixth month in a row that year-over-year savings declined – and the largest decline by value yet. Before June 2019, year-over-year GSP savings rose in 37 straight months.
Savings declines were due wholly to terminated GSP for India and Turkey. Lost GSP for India and Turkey cost American companies as much as $34 million in extra tariffs in November, including up to $27 million in new taxes on imports from India and $7 million on imports from Turkey. In November, GSP savings from other countries rose $12 million (20 percent) from $62 million in November 2018.
The cumulative tariff costs of the India and Turkey decisions rose to $210 million from May through November. While GSP savings are still on track to exceed $1 billion in 2019, the graph below clearly shows how much higher those savings “could have been” without the terminations.