BD Exports $48.2B +8.7% YoY RMG $40.6B +7.2% BGMEA Members 4,275 Top Destination USA $9.1B Jute $1.2B Leather $950M +12.4% Pharma $180M +18.2% Japan EPA Active Feb 2026 EU EBA Duty-Free HS Codes 7,498 BD Exports $48.2B +8.7% YoY RMG $40.6B +7.2% BGMEA Members 4,275 Top Destination USA $9.1B Jute $1.2B Leather $950M +12.4% Pharma $180M +18.2% Japan EPA Active Feb 2026 EU EBA Duty-Free HS Codes 7,498
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Investment & Trade

GSP (Generalized System of Preferences) Status

UNCTAD / European Commission European Commission 29 Jun 2026
GSP preferences LDC EU UK post-graduation
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Executive Summary

The Generalized System of Preferences (GSP) is a unilateral trade preference scheme under which developed countries grant reduced or zero tariff rates to imports from developing countries. Bangladesh currently benefits from GSP schemes of 12 countries/regions: EU (via EBA), UK (via DCTS EBA-equivalent), Australia (LDC preference), Canada (GPT for LDCs), Japan (recently graduated but transitional access until 2026), Norway, Switzerland, New Zealand, Belarus, Turkey (in EU Customs Union — applies EU preferences), Iceland, and Liechtenstein. The USA does NOT grant GSP to Bangladesh (the US GSP programme excludes textiles/apparel, which is 90% of Bangladesh's exports to the USA). After LDC graduation (November 2026), Bangladesh will need to negotiate new preferential arrangements: GSP+ with the EU (subject to 27 conventions), UK DCTS Enhanced Preferences, and bilateral FTAs (already signed with Bhutan, in negotiation with Sri Lanka, Indonesia, Malaysia).

Key Points

  • 12 countries/regions currently grant GSP to Bangladesh
  • EU EBA: 100% tariff elimination
  • UK DCTS: equivalent to EU EBA (post-Brexit)
  • Australia, Canada, Japan, Norway, Switzerland, NZ, Iceland, Liechtenstein, Belarus, Turkey
  • USA does NOT grant GSP to Bangladesh (textiles excluded)
  • Post-LDC graduation (Nov 2026): need new arrangements
  • EU GSP+: requires 27 international conventions ratification
  • UK DCTS Enhanced Preferences: similar conditions
  • Bilateral FTAs: Bhutan (signed), Sri Lanka/Indonesia/Malaysia (in negotiation)
  • GSP+ effective tariff reduction: ~66% of EU tariff lines

Full Details

Bangladesh's GSP status with various countries including current eligibility, product coverage, and graduation timeline.

Publication Info

AuthorUNCTAD / European Commission
PublisherEuropean Commission
CategoryInvestment & Trade
Published29 Jun 2026
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