Overall, GSP tariff savings increased increased by 31 percent compared to February 2015. The value of imports under GSP increased 30 percent. These sharp increases reflect abnormally low imports in February 2015 on account of the the West Coast port strikes.

Some states, including those not affected by the 2015 strikes such as Pennsylvania and Virginia, saw ever bigger increases in GSP imports and savings compared to February 2015, as shown in the graphic below.

In Pennsylvania, GSP imports increased by 52 percent and savings from GSP by 63 percent compared to one year earlier. Primary form plastics and pencils/crayons from Brazil, ferrochromium (a raw material for steel manufacturing) from Zimbabwe, and candy confections from Thailand contributed most to Pennsylvania’s GSP increases.

In Virginia, GSP imports increased by 39 percent and savings from GSP by 52 percent compared to one year earlier. Ceramic tableware and kitchenware from Indonesia, steering wheels and columns from India, and iron oxides from Brazil contributed most to Virginia’s GSP increases.

Imports from Uruguay jumped by 102 percent, led by increased imports of plywood by companies in Washington. GSP eliminated more than $580,000 in import taxes on silver jewelry. More than 40 percent of those imports went to New York.

The GSP’s importance to its beneficiary countries cannot be underestimated. The import program benefits more than 3.8 billion people living in two-thirds of the world’s economies. They rely on GSP duty-free exports to the United States to create tangible economic development.

The letter also noted that when GSP was allowed to expire for 10 months back in 2011:

U.S. imports of GSP-eligible items during that period decreased by over 17 percent, while overall U.S. imports increased by 15 percent.

We’re in the process of collecting company/association signatures for a similar U.S. business letter.  If you’d like your organization to be on that letter, just add your name (if you haven’t already) to our GSP Supporter List.  But act quick, as our letter will be going out VERY soon!

Idaho companies imported an estimated $4.4 million under GSP in 2011, saving them on average 2.3%. Uruguay was the most important source of GSP imports, accounting for about 39 percent of the tariff savings. Prepared beef products were Idaho’s top import under GSP in 2011 and would have faced average tariffs of 3.7% 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 an Idaho 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.