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The GSP review for India, undertaken by the USTR last year, was primarily motivated by complaints by the US dairy and medical industries of market access. (On a higher-level, part of the Trump crusade against trade deficits.)
This is not out of the blue. The USTR GSP review for India, Indonesia, and Kazakhstan was announced last April. This has been 10 months in the making. #India #GSP
Here’s the USTR announcement from last April. ustr.gov/about-us/polic…
In November, the US took a partial measure to withdraw GSP benefits across 94 product categories. livemint.com/Politics/GyKMF…
Correction: the proclamation last fall was made on October 30. Here’s the Federal Register record of the executive order. federalregister.gov/documents/2018…
Also, because these are particularly odd times, this has nothing to do with the ongoing India-Pakistan crisis, Kashmir, or any of that.
USTR Lighthizer notes that by statute, the GSP restrictions on India and Turkey “may not take effect until at least 60 days after the notifications to Congress and the governments of India and Turkey“
Curious to see if this might spin out of proportion in the Indian political context and turn into a major political issue with weeks before a general election. Affects ~$5.6 billion in Indian exports.
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