The European Commission and the High Representative for the Common Foreign and Security Policy published a joint report on 16 July 2026 confirming that the Generalised Scheme of Preferences (GSP) continues to drive economic growth and sustainable development in beneficiary countries. In 2024, the EU imported nearly €60 billion worth of goods under GSP preferences, providing an estimated €5 billion in tariff savings for partner countries. The report, the last under the current GSP Regulation, covers implementation and impact over 2023-2025 across the three GSP arrangements: Standard GSP, GSP+, and Everything But Arms (EBA). Least-developed countries were the largest beneficiaries, receiving over €3 billion in savings under EBA, while Bangladesh, India, and Pakistan were the top users overall, with clothing accounting for 59% of all GSP trade.
The report is accompanied by nine country-specific Staff Working Documents assessing GSP+ beneficiaries (Bolivia, Cabo Verde, Kyrgyzstan, Mongolia, Pakistan, the Philippines, Sri Lanka, Uzbekistan) and three EBA countries under enhanced engagement (Bangladesh, Cambodia, Myanmar). It notes that most GSP+ beneficiaries have strengthened human rights legislation and institutional arrangements, and many showed progress on labour rights, climate and environmental protection, and good governance on drugs control and anti-corruption. However, challenges remain in implementing GSP+ commitments, particularly regarding judicial independence, access to remedy, accountability for human rights violations, and uneven enforcement of labour rights due to capacity constraints in labour inspectorates.
The report marks the transition to the new GSP Regulation for 2027-2036, adopted on 17 June 2026 and published in the Official Journal on 22 June 2026, which will apply from 1 January 2027. The new regulation reinforces sustainability and transparency requirements while maintaining regular monitoring and reporting. Looking ahead, most beneficiary countries' economic outlook is expected to improve, with several on track to graduate from least-developed country status, though GSP will remain important during transitional periods.
The GSP is the EU's main unilateral trade policy tool supporting low- and lower-middle income countries in poverty reduction and sustainable development, covering 65 beneficiary countries representing over 3 billion people. It lowers or removes import duties on products imported to the EU, conditional on respect for international standards on human rights, labour rights, environment, climate, and good governance. The report reflects engagement with beneficiaries' authorities, civil society, social partners, and business communities, including monitoring missions to GSP+ beneficiaries and enhanced engagement with key EBA beneficiaries.