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Turkey expects U.S. not to end preferential trade treatment

 Turkey expects U.S. not to end preferential trade treatment

WASHINGTON (Reuters) - Turkey is expecting the United States to not implement a decision to terminate the country's preferential trade treatment under a programme that allowed some exports to enter the United States duty free, the Turkish embassy in Washington said in a statement on Friday.

The U.S. Trade Representative (USTR) in early March said Turkey was no longer eligible to participate in the Generalized System of Preferences (GSP) programme because it "is sufficiently economically developed."

"To reach the $75 bln target laid out by President Erdogan and President Trump for mutual trade volumes between Turkey and the US, we have conveyed, in multiple occasions, to the U.S. side our expectations that any measures obstructive for mutual trade be dropped," the Turkish embassy said in a statement to Reuters.

"In this context, our expectation that the decision to terminate our country's GSP designation would not be implemented continues," it added.

USTR did not immediately respond to a request for comment.

USTR in early March said removing Turkey from the programme would not take effect for at least 60 days after notifications to Congress and the Turkish government, and it would be enacted by a presidential proclamation.

Last August, USTR said it was reviewing Turkey's eligibility in the programme after the NATO ally imposed retaliatory tariffs on U.S. goods in response to American steel and aluminium tariffs.

Turkey is one of 120 countries that participate in the GSP, the oldest and largest U.S. trade preference programme. It aims to promote economic development in beneficiary countries and territories by eliminating duties on thousands of products.

The United States imported $1.66 billion in 2017 from Turkey under the GSP programme, representing 17.7 percent of total U.S. imports from Turkey, according to USTR's website.

The leading GSP import categories were vehicles and vehicle parts, jewellery and precious metals, and stone articles, the website said.

(Reporting by Humeyra Pamuk; Editing by Sandra Maler)

This story has not been edited by Firstpost staff and is generated by auto-feed.

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Updated Date: May 04, 2019 06:05:15 IST