Contributing Lawyers


Cyndee Todgham Cherniak

United States

Susan Kohn Ross


Andrew Hudson

GSP and Andean Programs In Trouble

With the end of 2010 came the news that GSP expired. The Andean Trade Preferences Act/Andean Trade Promotion and Drug Eradication Act has been extended for only six (6) weeks through February 12, 2011, except as relates to Peru due to the pending Free Trade Agreement. Although a number of significant pieces of legislation were passed in the waning days of the 111th Congress, GSP renewal failed. The Omnibus Trade Act of 2010 passed the House. An amended version of H.R. 6517 was passed by both the House and Senate, but extension of GSP was stripped out of it prior to passage.

While the U.S. Trade Representative and other Obama administration officials have said efforts to renew GSP and further extend the Andean agreement are high on the agenda, there is no telling what will happen with the new Congress. Therefore, traders should work with their customs brokers to flag entry lines which would be eligible for GSP were the program still in effect, thereby facilitating duty refunds in the future, once GSP is renewed and the Andean program is further extended.  In the meantime, duty payment will need to be made.

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