To Modify Duty-Free Treatment Under the Generalized System of Preferences and for Other Purposes

This proclamation modifies U.S. trade preferences under the Generalized System of Preferences (GSP) and the African Growth and Opportunity Act (AGOA). It designates new eligible articles for least-developed countries, revokes and waives competitive need limitations for certain imports, and terminates GSP and AGOA benefits for Seychelles, Uruguay, and Venezuela effective January 1, 2017, due to their high-income country status. It also updates the Harmonized Tariff Schedule to reflect the name change from "Macedonia, Former Yugoslav Republic of" to "Macedonia."

Federal Register Open PDF 80 FR 60249

Impact dates

Date TBD
HTS modifications for country removals per Annex I section C
Date TBD
HTS modifications for new designations/redesignations per Annex I sections A and B
Jan 1, 2017
Termination of GSP and AGOA benefits for Seychelles, Uruguay, and Venezuela
Oct 1, 2015
Competitive need limitation waivers and disregards take effect

Key directives

Designate certain articles as GSP-eligible for least-developed beneficiary developing countries
Redesignate certain countries as beneficiary developing countries for specific articles
Revoke waivers of competitive need limitations for certain beneficiary developing countries
Disregard competitive need limitations for certain articles from certain countries effective October 1, 2015
Waive competitive need limitations for certain articles from certain countries effective October 1, 2015
Terminate GSP designation for Seychelles, Uruguay, and Venezuela effective January 1, 2017
Terminate AGOA designation for Seychelles effective January 1, 2017
Modify HTS general note 4(a) to change "Macedonia, Former Yugoslav Republic of" to "Macedonia"
Supersede inconsistent provisions of previous proclamations and Executive Orders

Timeline

Immediate

HTS modifications effective October 1, 2015 for competitive need limitation waivers and disregards (Annexes II and III)
HTS modifications for new GSP designations and redesignations per Annex I effective on dates set forth therein

Near term (90d)

Implementation of HTS modifications for article eligibility changes

Long term

Termination of GSP benefits for Seychelles, Uruguay, and Venezuela effective January 1, 2017
Termination of AGOA benefits for Seychelles effective January 1, 2017
Permanent HTS updates for Macedonia name change

Risks & tensions

Potential U.S. industry opposition to expanded GSP eligibility and waived competitive need limitations
Diplomatic friction with Uruguay and Venezuela over GSP termination (though based on statutory high-income criteria)
Uncertainty about specific articles and countries affected without access to Annexes I-III
Seychelles loses both GSP and AGOA benefits, representing dual preference loss