Philippines agri exports to US lose GSP privileges

Published 2021년 1월 11일

Tridge summary

The article highlights the impact of the expiration of the US Generalized System of Preferences (GSP) on Philippine exports to the US, effective from December 31, 2020. As a result, exports that previously enjoyed duty-free or preferential tariffs will now be subject to most-favored nation rates. Despite the change in administration, the renewal of the USGSP remains uncertain, though the US Customs and Border Protection has a program in place for potential duty refunds if the program is re-authorized. In 2019, Philippine GSP exports to the US, including coconut oil, pineapples, crab meat, and more, totaled $1.6 billion, accounting for a significant portion of US imports from the Philippines.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Philippine exports to the US are now subjected to general tariffs imposed after the preferential US Generalized System of Preferences (GSP) expired last Dec. 31, 2020. In an advisory, the Philippine Embassy in Washington D.C. said Philippine exports that are eligible for duty-free or preferential tariff under the US-GSP scheme will now pay the most-favored nation (MFN) rates. The US Customs and Border Protection (CBP), however, has a program in place that, in the event that the GSP is renewed with a retroactive refund clause, CBP will automate the duty refund process. Hence, Philippine exporters of US GSP eligible products are advised to coordinate with their US importers to classify those GSP imports under the Special Tariff Program Indicator (SPI) “A” to ensure that they are considered as GSP imports and will be subject to duty refunds once the program is re-authorized by the US Congress. The US Congress last renewed the GSP in March of 2018 with expiration date set for December ...

Source: Mb