AGOA, GSP Others Likely Losers in ‘Big, Beautiful Bill"

Jun. 25, 2025
By: Hannah B. Kreinik

The Generalized System of Preferences (GSP), which offered preferential tariff terms to beneficiary developing countries expired in 2020. The African Growth and Opportunity Act (AGOA), which focused similar benefits on many countries in Africa is set to expire in September. Some members of Congress had been working on renewing both of these programs, as well as a program focused on Haiti.

While the Trump administration has not been explicit in its opposition to renewal, the inclusion of many GSP and AGOA recipients on the list of countries subject to the "reciprocal" IEEPA tariffs does not bode well for the programs. Furthermore, in the context of the “Big, Beautiful Bill,” discussions about adding program renewal have apparently gone nowhere.

At the moment, it appears that while these trade preference programs have supporters in Congress, there is no clear signal from the White House that it favors them. There is also no other obvious bill to which the renewal of trade preference programs could be attached.  All of which creates a likelihood that GSP will not be renewed in the foreseeable future and that AGOA will expire in September. Importers using AGOA would be wise to plan for expiration and be happily surprised if AGOA is renewed before then.

Barnes Richardson & Colburn attorneys are here to keep importers informed on the latest trade policies, tariff preference programs, and agreement updates.