The US Generalised System of Preferences in Principle and Practice

Abstract

AbstractIn principle, the US generalised system of preferences (GSP) offers uniform market access to exports from eligible developing countries for a broad set of GSP‐eligible products. In practice, realised GSP tariff exemptions demonstrate marked variation across countries, industries and years. In this paper, we identify the sources of discretionary and non‐discretionary GSP exclusions and quantify the extent to which competitive needs limitations (CNLs), waivers and additional annual product, country and country‐product exclusions drive a wedge between the ‘generalised’ principle of GSP and its implementation in practice.