In a major shift from 2018, consumer goods were the largest category of GSP imports by both value ($6.6 billion) and savings ($512 million). Consumers goods accounted for 32% of total GSP imports, up from 24% the prior year. Because average tariffs (without GSP) are much higher (7.7%), consumer goods accounted for about half of all GSP savings. Expanding GSP to cover travel goods in 2016/2017 has led to steadily increasing consumer goods imports over the last several year.

Industrial materials ranked second among GSP products both by import value ($6.0 billion) and estimated tariff savings ($256 million). Industrial materials were the largest GSP imports, usually by a wide margin, in each of the last 10 years. The reason industrial materials slipped to #2 is clear from the “top countries”: 5 months of GSP for India eliminated more tariffs on materials used by American manufacturers than full-year GSP for any other country.

Agricultural and food products ranked third among GSP products by import value ($2.9 billion) and estimated tariff savings ($116 million). Among the more surprising data points: Ecuador was the second-largest source of food and agricultural products in 2019 by the value of GSP savings, primarily on tropical plants such as taro, mangoes, and guavas.

Capital goods ranked fourth among GSP imports by value ($2.8 billion) and savings ($83 million) in 2019. Despite similar import values, GSP savings on capital goods were much lower than GSP savings on agricultural and food products due to lower average tariff rates (3.0% versus 4.0%, respectively). India was the second-biggest source country in terms of tariff saving on capital goods, again demonstrating how American manufacturers are bearing the brunt of the decision to end GSP for India.

Autos and parts ranked fifth among GSP imports by value ($2.3 billion) and savings ($66 million) in 2019. Passenger vehicles are not eligible for GSP, so imports tend to be concentrated among parts such as engines, tires, and wire harnesses. Not surprisingly, states with a heavy automotive presence such as Michigan and Tennessee are among the top importers by GSP savings on these components and parts.

Some states, such as Arizona and Minnesota, saw particularly large increases in GSP imports and savings compared to January 2016, as shown in the graphic below.

GSP saved Arizona companies $706,000 in January, up $215,000 (44 percent) compared to one year earlier. Semiprecious stones from Brazil and Madagascar, chemicals from India, and plastic statues and decorative items from the Philippines contributed most to Arizona’s GSP increases.

GSP saved Minnesota companies $413,000 in January, up $95,000 (30 percent) compared to one year earlier. Aluminum structures from Thailand, optical lenses from Indonesia and Thailand, and measuring instruments from the Philippines contributed most to Minnesota’s GSP increases.

The increase in GSP savings for American companies has been shared broadly. In addition to Arizona and Minnesota, companies in 16 other states saw GSP savings increase by at least 20 percent, including: Alabama, Alaska, Arkansas, Colorado, Connecticut, Idaho, Louisiana, Maine, New Hampshire, New York, North Dakota, Oregon, Pennsylvania, Rhode Island, South Dakota, Utah, Vermont, and Wisconsin.

Savings on GSP imports from Turkey increased by 23 percent compared to January last year. Georgia companies’ purchases of tires were among the top GSP imports from Turkey. GSP eliminated about $100,000 in import taxes on air bags and parts in January, with nearly all of those savings on imports from Thailand into Utah.

REMINDER: GSP EXPIRES AT THE END OF 2017. Click here to learn about ways to take action and support GSP renewal this year.

Overall, the value of GSP imports increased by 9 percent and the value of GSP tariff savings increased by 14 percent compared to June 2015. Some states, such as Florida and Kansas, saw much larger increases in GSP imports and savings compared to June 2015, as shown in the graphic below.

In Florida, GSP imports and savings both increased by about 50 percent compared to one year earlier. Ferroalloys from Georgia, jewelry from Bolivia, and plywood from Ecuador all contributed to Florida’s GSP increases.

In Kansas, GSP imports increased by 28 percent and savings from GSP by 53 percent compared to one year earlier. Pesticides from India, ceramic sanitary fixtures (sinks, tubs, toilets, etc.) from Thailand, and building stone from Brazil contributed most to Kansas’ GSP increases.

Imports from the Ukraine nearly doubled, led by increased imports of rare gases by companies in South Carolina. GSP eliminated about $560,000 in import taxes on truck tires in June, with more than $200,000 saved on imports into New Jersey alone.

If your company imports under GSP, be sure to answer our GSP renewal impacts survey here.

There were approximately 10,600 country-product combinations imported under GSP in 2012, from Afghani fruits to Zimbabwean wood products and everything in between. As shown by the graph below, for the majority of these country-product combos, the imports come in under GSP or not at all.
For country-product combos worth $2.7 billion in 2012, not a single penny was imported outside of the GSP program!  That accounts for about 43 percent of all country-product combos and is an amazing statistic considering that importers and their customs brokers 1) need to know about the GSP program; 2) specifically claim benefits; 3) meet certain in-country value-added thresholds, and 4) maintain extra  documentation on GSP imports.

Many of these “100 percenters” are raw materials and industrial goods used by American manufacturers, such as ferrosilicon from Russia and Georgia and ceramic laboratory materials from Brazil.

For another $4.4 billion worth of GSP imports in 2012, at least 99 percent of U.S. imports of those products from GSP-eligible countries came in under the program, including tires from Indonesia, aluminum alloy sheets from South Africa, and metal flanges from India.

Even the value of imports on the low end of the spectrum is deceptively high: $628 million of the $852 million worth of imports in the “less than 25 percent” category come from two oil products from Angola – which overwhelmingly receive duty-free access under AGOA.

By county, the highest savings came on imports from India ($184.0 million), Thailand ($146.0 million), Indonesia ($94.3 million), Brazil ($86.4 million), and the Philippines ($48.6 million).

By product, the highest savings came on imports of radial car tires ($22.7 million), silver jewelry ($18.2 million), miscellaneous food products ($14.2 million), aluminum alloy plates and sheets (12.0 million), and ferrosilicon manganese, which is used to manufacture steel ($10.9 million).

While US tariffs are generally low, effective tariffs waived by GSP can be quite high.  For example, GSP saved American companies from paying tariffs of 17.9% on certain nuts and seeds, 15.0% on Romano and other cheeses, 12.5% on ballpoint pens, and 10.0% on ferrosilicon chromium.

If you have any questions about the data, give us a call at 202-347-1085, and if you’re a company importing these or other GSP products, make sure to add your name to our Supporter List.

Vermont companies imported an estimated $29.2 million under GSP in 2011, saving them on average 3.8%. Russia was the most important source of GSP imports, accounting for about 53 percent of the tariff savings. Tires were Vermont’s top import under GSP in 2011 and would have faced average tariffs of 4% without GSP.

Yet GSP is set to expire on July 31, 2013, and companies could face tariffs higher tariffs starting on August 1 if Congress does not pass legislation renewing GSP. When GSP expired at the end of 2010, American companies paid nearly $2 million per day, every day, until Congress finally acted 11 months later!

This graphic shows just some of the negative impacts from the last GSP expiration. It also helps explain why more than 335 companies and associations joined the 2011 GSP Supporter List urging renewal of the program when it last expired.

Are you a Vermont company that would be hurt by GSP expiration? If so, please take 30 seconds to let Congress know by adding your name to our free 2013 GSP Supporter List right now.

South Carolina companies imported an estimated $414 million under GSP in 2011, saving them on average 4.0%. India was the most important source of GSP imports, accounting for about 38 percent of the tariff savings. Tires were South Carolina’s top import under GSP in 2011 and would have faced average tariffs of 4% without GSP.

Yet GSP is set to expire on July 31, 2013, and companies could face tariffs higher tariffs starting on August 1 if Congress does not pass legislation renewing GSP. When GSP expired at the end of 2010, American companies paid nearly $2 million per day, every day, until Congress finally acted 11 months later!

This graphic shows just some of the negative impacts from the last GSP expiration. It also helps explain why more than 335 companies and associations – including at least 11 in South Carolina – joined the 2011 GSP Supporter List urging renewal of the program when it last expired.

Are you a South Carolina company that would be hurt by GSP expiration? If so, please take 30 seconds to let Congress know by adding your name to our free 2013 GSP Supporter List right now.

Oregon companies imported an estimated $113 million under GSP in 2011, saving them on average 4.2%. Indonesia was the most important source of GSP imports, accounting for about 25 percent of the tariff savings. Tires were Oregon’s top import under GSP in 2011 and would have faced average tariffs of 4% without GSP.

Yet GSP is set to expire on July 31, 2013, and companies could face tariffs higher tariffs starting on August 1 if Congress does not pass legislation renewing GSP. When GSP expired at the end of 2010, American companies paid nearly $2 million per day, every day, until Congress finally acted 11 months later!

This graphic shows just some of the negative impacts from the last GSP expiration. It also helps explain why more than 335 companies and associations – including at least 12 in Oregon – joined the 2011 GSP Supporter List urging renewal of the program when it last expired.

Are you an Oregon company that would be hurt by GSP expiration? If so, please take 30 seconds to let Congress know by adding your name to our free 2013 GSP Supporter List right now.

California companies imported an estimated $2.7 billion under GSP in 2011, saving them on average 3.9%. Thailand was the most important source of GSP imports, accounting for about 37 percent of the tariff savings. Bus tires were California’s top import under GSP in 2011 and would have faced average tariffs of 4% without GSP.

Yet GSP is set to expire on July 31, 2013, and companies could face tariffs higher tariffs starting on August 1 if Congress does not pass legislation renewing GSP. When GSP expired at the end of 2010, American companies paid nearly $2 million per day, every day, until Congress finally acted 11 months later!

This graphic shows just some of the negative impacts from the last GSP expiration. It also helps explain why more than 335 companies and associations – including at least 61 in California – joined the 2011 GSP Supporter List urging renewal of the program when it last expired.

Are you a California company that would be hurt by GSP expiration? If so, please take 30 seconds to let Congress know by adding your name to our free 2013 GSP Supporter List right now.

Although it’s gotten little press, the statistics are quite striking.  Seven products were denied “competitive need limit” (CNL) waivers, or had their existing waiver revoked, effectively immediately.  American companies imported $1.5 billion worth of these products under GSP last year, saving $64 million.  Put differently, these products accounted for nearly 10 percent of total GSP savings last year!

But alas, no more savings for American importers of Thai jewelry or tires, Brazilian lysine, Indian hand-hooked carpets or brake parts, Indonesian aluminum alloy plates, or Turkish refined borax.  (Several other products lost GSP benefits as well, but no importers petitioned for continuation, so we didn’t include them on our list.)

We decided to take a look at which states would be impacted most by the changes based on the estimated 2011 GSP savings.  While far from exhaustive, below is a list of some of the top losers, both overall and for specific products:

• The leading importers of Thai truck/bus tires, California companies saved $10 million on those imports under GSP last year.  All total, GSP for the products that lost benefits yesterday saved CA companies $14 million in 2011.
• Maryland accounted for nearly a third of Thai silvery jewelry imports last year, saving more than $11 million.
• GSP benefits saved for the seven products saved New York companies more than $9 million in 2011, including $7 million on jewelry and more than $1 million each on carpets and aluminum alloy sheets.
• More than 97 percent of all lysine imports under GSP went to just two states: Illinois and Missouri.  Needless to say, there are some unhappy producers in those states today after GSP benefits that saved $3 million last year were revoked.
• Lysine importers aren’t the only companies in the Land of Lincoln impacted by the decision: GSP saved Illinois companies more than $2 million last year on brake parts from India – about two-thirds of total U.S. tariff savings for those products under GSP.
• Georgia companies saved $2.3 million last year on imports of Indian carpets – about one-thirds of total U.S. savings.
• Finally, New Jersey companies saved $4.2 million on imports of aluminum sheets from Indonesia in 2011 – four times as much as importers in the next largest state.