GSP 2027: New framework for imports from developing countries
After ten years of application, the Generalized Preferences System (GSP) which was to be revised for 2024 will finally enter a new version as of 1 January 2027. Several adjustments are foreseen, notably for GSP+ rules of origin, exit criteria and agricultural safeguard mechanisms.
The GSP regulation was originally due to expire at the end of 2023. The European Commission has drawn up a new draft regulation, taking into account the experience gained in implementing the scheme. Following the provisional agreement concluded in December 2025, the European Parliament approved the new regulation in April 2026 with the new regime provided for as from 1 January 2027.
The new Regulation does not change the list of beneficiary countries. On the other hand, some countries considered to have reached a level of development and trade power are no longer considered developing countries within the meaning of the GSP and are therefore outside the scheme. In addition, three least developed countries, Bangladesh, Laos and Nepal, are expected to graduate from the list of least developed countries of the United Nations in 2026. However, they will continue to benefit from the scheme. « Everything but weapons » for an additional three years, at least until the end of 2029, with the possibility of applying for GSP+.
With regard to GSP+ (e.g. Pakistan), current beneficiaries will have to apply again to continue to benefit from GSP+. The new framework introduces enhanced admission rules, including the ratification of new conventions on the right to work of persons with disabilities, the use of trade unions for workers, as well as climate and environmental conventions; On the latter, countries will have to commit themselves to the Paris Agreement on global warming issues, among others. In order to continue to benefit from the GSP+ scheme, the countries concerned must, by the end of 2028, file their new application.
The text also confirms the exit mechanism in the event of a free trade agreement with the European Union. The GSP or GSP+ beneficiaries who sign an FTA with the EU normally leave the system, but they continue to benefit for two years from the entry into force of the agreement. This will be the case for India as soon as the EU/IN agreement is in force.
As regards rules of origin, the new framework continues to be based on the EU Customs Code for the applicable conditions and procedures. However, it provides details on certain forms of cumulation. Transregional cumulation and extended cumulation of origin may be granted if the applicant beneficiary country demonstrates that this cumulation meets its development needs and does not have a negative effect on the other beneficiary countries.
Finally, the new GSP reinforces the consideration of agricultural sensitivities. While supporting beneficiary countries, and in particular LDCs, the European Union intends to safeguard the interests of European producers and protect sensitive agricultural sectors exposed to import competition. The safeguard mechanisms have thus been updated and expanded, particularly for rice.
A European Commission Fact Sheet is also available on the Circabc platform