"In terms of the GSP, we have made progress, and they (the US government) will discuss this further, as some points have to be met while awaiting our commitment," Lukita remarked after the talks held with the US Trade Representatives (USTR) here on Tuesday.
According to the minister, the evaluation of Indonesia`s status as a GSP recipient country is ongoing, so any facilities under the program for Indonesian commodities exported to the United States are still applicable.
The minister has met with the US Chamber of Commerce, which he believes, has shown support for the United States to maintain its GSP facility for Indonesian products.
"The US Chamber of Commerce will meet with the USTR ambassador to discuss the GSP," he added.
The GSP is a US trade program designed to promote economic growth in the developing world by providing preferential, duty-free entry for thousands of products from designated beneficiary countries and territories.
As many as 3,546 products from Indonesia have enjoyed the zero-tariff facility.
In the past seven months, Indonesia has intensively communicated and coordinated with the United States, so that Indonesia`s status can be maintained under the GSP scheme.
The program is viewed as being beneficial for both Indonesian exporters and US importers, who receive the product supply.
In October 2017, the US government, through the USTR, had issued a Country Practice Reviews (CPR) for 25 GSP recipient countries, including Indonesia.
On April 13, 2018, the USTR explicitly stated that it would review the granting of GSP to Indonesia, India, and Kazakhstan.
If Indonesia is no longer considered a GSP recipient country, then products that currently receive GSP, will, in future, be subject to normal import duties if exported to the United States.
Reporting by M Razi Rahman, Sri Haryati
Editor: Fardah Assegaf
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