WASHINGTON (Sputnik) – The United States will terminate India’s duty-free status after it failed to provide the United States access to its markets, US President Donald Trump said in a letter to Congress.
“I am providing notice of my intent to terminate the designation of India as a beneficiary developing country under the Generalized System of Preferences (GSP) program,” Trump said on Monday. “I am taking this step because, after intensive engagement between the United States and the Government of India, I have determined that India has not assured the United States that it will provide equitable and reasonable access to the markets of India.”
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The GSP allows specific products from 120 developing countries and territories to enter the United States duty-free.
India has maintained high tariffs on US goods such as flowers, natural rubber, automobiles, motorcycles, alcoholic beverages and textiles.
The Trump administration has also terminated Turkey’s duty-free status based on its increased level of economic development, Trump said in a separate letter to Congress.