Generalized System of Preferences Message to the Congress Transmitting a Report.

To the Congress of the United States:

Herewith is my report to Congress on the first five years' operation of the U.S. Generalized System of Preferences (GSP). This report is required by Section 505 of the Trade Act of 1974 (19 U.S.C. 2465).

The report reviews the major provisions and regulations which govern the administration of the U.S. GSP. An analysis of the impact of the U.S. program on the economies of developing countries and on the U.S. economy is included in the report, along with a comparison of the U.S. program with those of the other major de,.,eloped countries. The report also reviews the operation of the GSP competitive need limits and the distribution of benefits among developing countries. Finally, the report outlines certain modifications designed to improve the overall operation of the program. These will be introduced this year.

JIMMY CARTER

The White House,

April 17, 1980.