US to end preferential trade status for India, Turkey: statement

President Donald Trump speaks to the National Association of Attorneys General, Monday, March 4, 2019, in the State Dining Room of the White House in Washington. (AP)
Updated 05 March 2019
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US to end preferential trade status for India, Turkey: statement

  • The U.S. goods and services trade deficit with India was $27.3 billion in 2017, according to the U.S. Trade Representative's Office

WASHINGTON: At President Donald Trump’s direction, the United States intends to scrap the preferential trade status granted to India and Turkey, officials said Monday.
Washington “intends to terminate India’s and Turkey’s designations as beneficiary developing countries under the Generalized System of Preferences (GSP) program because they no longer comply with the statutory eligibility criteria,” the US Trade Representative’s Office said in a statement.
India has failed to provide assurances that it would allow required market access, while Turkey is “sufficiently economically developed” that it no longer qualifies, USTR added.
Under the GSP program, “certain products” can enter the US duty-free if countries meet eligibility criteria including “providing the United States with equitable and reasonable market access.”
India, however, “has implemented a wide array of trade barriers that create serious negative effects on United States commerce,” the statement said.
Turkey, after being designated a GSP beneficiary in 1975, has meanwhile demonstrated a “higher level of economic development,” meaning that it can be “graduated” from the program, according to USTR.
 


Ghosn sues Nissan and Mitsubishi for breach of contract: report

Updated 10 min 3 sec ago
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Ghosn sues Nissan and Mitsubishi for breach of contract: report

  • Ghosn is seeking up to $16.8 millions in damages
  • He spent over 100 days jailed in Japan over financial misconduct trials
PARIS: Former auto titan Carlos Ghosn, currently under house arrest in Tokyo, is suing Nissan and Mitsubishi in a Dutch court for “improper termination” of his contract, French newspaper Le Figaro reported Wednesday.
Ghosn is accusing the Japanese manufacturers of breaching his contract as an employee of NMBV, their joint subsidiary based in the Netherlands, and seeking up to $16.8 million in damages, it said.
The big-spending former chief of both Renault and its Japanese partner Nissan is awaiting trial in Japan on charges of financial misconduct.
He was kept behind bars for over 100 days before being granted bail and sacked from all his management roles.
Ghosn is accused of under-reporting millions of dollars in income at Nissan and of using company funds for personal expenses — charges he denies.
His lawyers argue that while Ghosn resigned from Renault-Nissan BV (RNBV), he had not done so from NMBV and “the breach of contract” was unwarranted, Le Figaro said.
Nissan and Mitsubishi argue that Ghosn’s contract was invalid as it would not have been submitted to NMBV’s board, according to the daily.
NMBV had thanked Ghosn after a meeting of his board of directors on March 12, the same day as the announcement of its dissolution.
Ghosn’s spokesperson and his lawyer both declined to comment when contacted by AFP.
Le Figaro said the manufacturers were seeking to recover some $8.79 million paid to Ghosn by NMBV between April and November 2018.
Renault announced in early June it was considering taking action against its former boss after it identified $12.36 million of “questionable expenses” linked to Ghosn at RNBV.
The 65-year-old Ghosn was arrested in Japan in November as he stepped off his private jet at Tokyo airport.
His dramatic downfall stunned the business world and laid bare tensions in the alliance between Renault, Nissan and their smaller Japanese partner Mitsubishi.
Ghosn has not been charged in connection with his activities at NMBV.