Trump to Cancel Trade Preferences for Turkey and India
US President Donald Trump has announced he plans to end key trade preferences for India and Turkey, in the framework of the General System of Preferences (GSP). A corresponding notice has been sent to the Congress.
After the order enters into force, goods from India and Turkey, which were previously imported in the GSP mode, will begin to impose duties on a general basis.
As explained by Trump, the decision is due to the fact that "India has failed to guarantee the United States that it will provide equal and acceptable access to the markets." Turkey was deprived of preferences because of the "level of economic development" of the country.
“Increasing GDP per capita, reducing poverty and diversifying exports by trading partners and by sector - all this indicates an increase in the level of economic development in Turkey,” Trump added. According to him, the United States "is committed to fair and mutually beneficial trade with Turkey."
Under GSP, Washington’s partners who meet certain criteria are entitled to duty-free deliveries to the United States of a wide range of their products. In 2017, the duty-free exports of India to the United States under the program was equal to 5.6 billion dollars, to Turkey - 1.66 billion dollars.