Six countries could lose US trade benefits: USTR
Six countries could lose US trade benefits: USTR
Wed Dec 20, 2006
WASHINGTON (Reuters) — Six countries — including Brazil, India and Venezuela — could lose duty-free access to the U.S. market for some of their key exports under a revamped U.S. trade program signed into law on Wednesday by President George W. Bush, U.S. trade officials said.
Thailand, Ivory Coast and Philippines could also lose trade benefits because of recent changes Congress made to the U.S. Generalized System of Preferences program for developing countries, the U.S. Trade Representative’s office said.
Under previous law, the six countries received a waiver to continue exporting certain goods to the United States on a duty-free basis despite exceeding thresholds that otherwise would have ended those benefits.
But motivated in large part by U.S. frustration with India and Brazil in world trade talks, the revamped GSP program requires the Bush administration to revoke such waivers when certain market conditions are met.
USTR said its preliminary assessment indicated India would lose duty-free access for gold jewelry and brass lamps.
India’s shipments of those goods under the GSP program totaled $1.6 billion and $20 million, respectively, in the first 10 months of 2006, USTR said.
Brazil would lose duty-free access for brake and brake parts, which totaled $242 million in January through October, and for ferrozirconium, which totaled $700,000, USTR said.
