ExecutiveOrdersEO
Proc 6778--ProclamationClinton · D

Proclamation 6778--

To Amend the Generalized System of Preferences

President Clinton designated the West Bank and Gaza Strip as beneficiaries under the Generalized System of Preferences (GSP), granting preferential tariff treatment to goods produced in areas covered by the Oslo Accords' Palestinian Interim Self-Government arrangements. The proclamation modified the Harmonized Tariff Schedule effective 15 days after Federal Register publication.

Federal Register Open PDF 60 FR 15455

Impact dates

  1. HTS modifications effective for articles entered or withdrawn from warehouse for consumption

  2. Retroactive applicability to goods imported on or after this date

Market exposure

Policy exposure mapping — not investment advice. Illustrative public companies are incomplete and not recommendations.

Sectors

AgricultureOther industrial

Mechanisms

Tariff

Role pressure

  • ProtectiveTrading-partner exporter — Palestinian producers in West Bank and Gaza gain duty-free or reduced-duty access to US market under GSP, improving competitive position relative to non-GSP suppliers
  • ProtectiveImporter — US importers sourcing from qualifying Palestinian areas receive preferential tariff treatment, reducing costs versus sourcing from non-beneficiary countries
  • AdverseDomestic producer — US domestic producers competing with Palestinian imports face potential price competition from duty-advantaged goods, though limited by geographic scope and product coverage constraints of GSP program

Geographies

USOTHER

Exposure dates

  • — HTS modifications effective for articles entered or withdrawn from warehouse for consumption

Illustrative public companies

Curated watchlist matches by sector/role — incomplete; not a recommendation.

MMM3MAAPLAppleADMArcher Daniels MidlandBGBungeCATCaterpillarCTVACortevaFCXFreeport-McMoRanGEVGE VernovaHONHoneywellSPYSPDR S&P 500 ETFTSNTyson Foods

Confidence: medium · Policy alerts

Key directives

  • Designate West Bank and Gaza Strip as GSP beneficiaries
  • Modify General Note 4(a) to HTS by inserting 'West Bank and Gaza Strip'
  • Limit benefits to goods from areas under Palestinian Interim Self-Government per Declaration of Principles
  • Supersede inconsistent prior proclamations and Executive orders

Timeline

Immediate

  • Proclamation signed March 17, 1995
  • Federal Register publication March 23, 1995

Near term (90d)

  • HTS modifications effective April 7, 1995 (15 days after Federal Register publication)

Long term

  • GSP benefits apply retroactively to goods imported on or after January 1, 1976

Risks & tensions

  • Geographic scope limitation to 'areas for which arrangements are being established' creates implementation uncertainty as Oslo process evolves
  • Political sensitivity of extending trade benefits to Palestinian territories amid ongoing Israeli-Palestinian negotiations
  • Potential for disputes over which specific geographic areas qualify under interim self-government arrangements
Proclamation 6778--: To Amend the Generalized System of Preferences · Executive Orders