ARLINGTON, Va., March 23, 2018 /PRNewswire-USNewswire/ -- Today, National Association of Chemical Distributors (NACD) President Eric R. Byer praised the U.S. House of Representatives and the U.S. Senate for voting to renew the U.S. Generalized System of Preferences (GSP) while expressing disappointment that the Miscellaneous Tariff Bill (MTB) was not included in their omnibus government funding legislation. The GSP program will provide importers with tariff relief on nearly 5,000 products from 120 developing countries. The MTB would have provided tariff relief on imported products unavailable domestically in the United States.
"The decision by Congress to reauthorize GSP ensures that an important piece of our international trade agenda remains consistent both for companies here in the U.S. that are creating jobs and our trade partners overseas. In 2016, the GSP program saved American businesses $730 million in tariffs. Without it, importers have been paying an estimated $2 million a day in new taxes on thousands of different products.
"Unfortunately, the MTB was not included in the language, meaning domestic companies will pay an additional $1.1 billion in tariff payments over the next three years if it's not approved in that timeframe. This will have a significant and negative impact on the chemical industry, which sources many products from overseas that aren't manufactured or otherwise available in the United States.
"NACD members, and many small businesses, rely on the GSP program and the MTB to secure costly and hard to find products for their customers. Ensuring companies of all stripes can continue to take advantage of their benefits would have a positive impact on their operations, allowing them to expand their facilities and hire new employees.
"NACD praises both the House and Senate for their approval of GSP and urges them to quickly take up language on the MTB so President Trump can continue his effort to implement trade policies that benefit both businesses and the American consumer."
NACD and its over 440 member companies are vital to the chemical supply chain providing products to over 750,000 end users. NACD members are leaders in health, safety, security, and environmental performance through implementation of Responsible Distribution, established in 1991 as a condition of membership and a third-party verified management practice. For more information, visit www.NACD.com.
Contact: Matthew McKinney
SOURCE National Association of Chemical Distributors (NACD)