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International Trade: Assessment of the Generalized System of Preferences Program

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Report Type Reports and Testimonies
Report Date Nov. 9, 1994
Report No. GGD-95-9
Subject
Summary:

The Generalized System of Preferences (GSP) Program, which provides duty-free access to the United States for products of developing countries, awaits congressional reauthorization. This program eliminates tariffs on some imports for developing countries in order to promote development through trade rather than traditional aid programs. Concerns have been raised as to whether administration of the program adequately considers the impact of GSP imports on domestic producers and effectively enforces beneficiary country obligations. This program analyzes (1) benefits provided to beneficiary developing countries, (2) limitations on GSP imports, (3) administration of the program for adding or removing products from GSP coverage, and (4) administration of program provisions requiring that countries follow certain intellectual property and worker rights practices.

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