Proc 8539ProclamationObama · D Quiet signal

Proclamation 8539

To Modify Duty-Free Treatment Under the Generalized System of Preferences

This proclamation modifies U.S. tariff preferences under the Generalized System of Preferences (GSP) by: designating new articles as eligible for duty-free treatment; terminating duty-free treatment for certain articles from specific beneficiary developing countries that exceeded competitive need limitations in 2009; waiving competitive need limitations for certain articles from specific countries; and revoking a previously granted waiver due to changed circumstances. The Harmonized Tariff Schedule (HTS) is modified accordingly, with changes effective on dates specified in annexes.

Impact dates

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 HTS modifications effective for articles entered or withdrawn from warehouse for consumption

Key directives

  • Modify general note 4(d) to HTS per Annex I section A
  • Modify Rates of Duty 1-Special subcolumn per Annex I section B
  • Modify Rates of Duty 1-Special subcolumn per Annex I section C
  • Disregard competitive need limitation for articles/countries listed in Annex II
  • Revoke waiver for article/country listed in Annex III
  • Supersede inconsistent provisions of prior proclamations and Executive Orders

Timeline

Immediate

  • Proclamation signed June 29, 2010
  • Supersession of inconsistent prior proclamations and Executive Orders to the extent of inconsistency

Near term (90d)

  • HTS modifications take effect on dates specified in Annexes I, II, and III (exact dates in annexes not provided in text)
  • Federal Register filing July 2, 2010

Long term

  • Ongoing duty-free treatment changes for affected countries and articles
  • Potential future GSP program reauthorization considerations (GSP periodically requires congressional renewal)

Risks & tensions

  • Exact effective dates not stated in body text; deferred to annexes not fully included in provided text
  • Potential trade disputes with affected beneficiary developing countries losing preferential access
  • Supersession clause (section 7) may create compliance uncertainty for importers relying on prior proclamations
Proclamation 8539: To Modify Duty-Free Treatment Under the Generalized System of Preferences · Executive Orders