The United States has terminated India's preferential trade status under the Generalized System of Preference (GSP) programme.
a. United States
b. China
c. United Kingdom
d. France
Details:
- Generalized System of Preference (GSP) is the largest and oldest US trade preference programme.
- India was the largest beneficiary of the GSP programme in 2017 with $5.7 billion in imports to the US given duty-free status.
Reasons for US withdrawing India's GSP benefits:
- US's trade imbalance with India
- No access to Indian market for US dairy
- Medical device industry
- Issues related to data localisation norms
- The move was taken on determining that India has not committed to provide "equitable and reasonable access to its markets" for the US.
One must know:
- On March 4, President Trump announced that the US intends to terminate India's designations as a beneficiary developing country under the GSP programme.
- The 60-day notice period ended on May 3.
Question:
Q. Which country has terminated India's preferential trade status under the Generalized System of Preference (GSP) programme?a. United States
b. China
c. United Kingdom
d. France
