India’s GSP Status to be Removed on June 5

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Last Friday, the U.S. administration announced that India would lose its Generalized System of Preferences (GSP) status on Wednesday, June 5th. President Trump’s announcement concludes that India has not assured the U.S. “that it will provide equitable and reasonable access to its markets.”

The GSP, a U.S. trade program designed to promote economic growth in developing countries, currently allows $5.6 billion worth of Indian exports to enter the U.S. duty free. Removal of India from the GSP could result in an additional $300 million in duties every year for American companies. The U.S. will also remove the specific safeguard duties placed on washing machines and solar cells, to also go into effect on June 5th.

This decision comes only a few weeks after Turkey’s GSP status was also revoked, citing similar concerns. The administration had previously announced both of these changes in a March 4 letter to Congress.

Trans-Border will continue to monitor the situation. If you have any questions, please reach out to Bill Carey, Import Compliance Manager, at or (800) 493-9444.

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