Date: 2025-12-09Category: Not ApplicableState: Union GovernmentCountry: Europe
Commission Delegated Regulation (EU) 2025/1951 of 29 September 2025 amending Annexes II, IV and VII to Regulation (EU) No 978/2012 of the European Parliament and of the Council
Issued by European Commission
· Directorate-General for Trade and Economic Security
**Executive Summary**
This is a summary of Commission Delegated Regulation (EU) 2025/1951, amending Annexes II, IV, and VII to Regulation (EU) No 978/2012, concerning the Generalized Scheme of Preferences (GSP). The regulation, dated 29 September 2025, removes Indonesia and São Tomé and Príncipe from GSP beneficiary lists and updates the vulnerability threshold. Implementation dates vary by article: Article 1(1) applies from 1 January 2027; Article 1(2) applies from 1 January 2029; and Article 1(3) applies from 1 January 2023.
**Key Points / Main Content**
* **Amendment of Annex II (GSP Beneficiary Countries):**
* Indonesia is removed from the list of beneficiary countries under the general arrangement of GSP with effect from 1 January 2027.
* **Amendment of Annex IV (EBA Beneficiary Countries):**
* São Tomé and Príncipe is removed from the list of beneficiary countries under the special arrangement "Everything But Arms (EBA)" with effect from 1 January 2029.
* **Amendment of Annex VII (Vulnerability Threshold):**
* The vulnerability threshold defined in point 1(b) is increased from 7.4% to 9%, effective from 1 January 2023.
**Impact Analysis**
**Indonesia**
* **Impact:** Loss of GSP beneficiary country status, meaning products from Indonesia will no longer receive preferential tariff treatment under the EU GSP scheme.
* **Action Required:** Businesses and economic operators in Indonesia need to adapt to the revised tariff situation for exports to the EU starting 1 January 2027.
**São Tomé and Príncipe**
* **Impact:** Loss of EBA beneficiary status, meaning products from São Tomé and Príncipe will no longer receive duty-free access to the EU market.
* **Action Required:** Businesses and economic operators in São Tomé and Príncipe need to adapt to the revised tariff situation for exports to the EU starting 1 January 2029.
**GSP Beneficiary Countries, specifically those considered vulnerable**
* **Impact:** The increased vulnerability threshold may alter which countries qualify for the special incentive arrangement for sustainable development and good governance under the GSP scheme.
* **Action Required:** Vulnerable GSP beneficiary countries may need to re-evaluate their qualification status based on the new threshold and its implications for trade with the EU.
Key Entities Referenced
Regulation (EU) No 978/2012: Regulation of the European Parliament and of the Council applying a scheme of generalised tariff preferences.
Commission Delegated Regulation (EU) 2025/1951: Amends Annexes II, IV and VII to Regulation (EU) No 978/2012 regarding generalised tariff preferences.
Generalised Scheme of Preferences (GSP): A scheme of tariff preferences for developing countries.
Annex II: List of beneficiary countries under the Generalised Scheme of Preferences (GSP), amended by this regulation by removing Indonesia.
Annex VII: Defines the vulnerability criteria related to lack of diversification and integration within the international trading system, for the purpose of GSP. The vulnerability threshold is reviewed and amended.
Official Journal EN
of the European Union L series
2025/1951 9.12.2025
COMMISSION DELEGATED REGULATION(EU) 2025/1951
of 29 September 2025
amending Annexes II, IV and VII to Regulation (EU) No 978/2012 of the European Parliament and of
the Council
THE EUROPEAN COMMISSION,
Having regard to the Treaty on the Functioning of the European Union,
Having regard to Regulation (EU) No 978/2012 of the European Parliament and of the Council of 25 October 2012
applying a scheme of generalised tariff preferences and repealing Council Regulation (EC) No 732/2008(1), and in
particular Articles 5(3), 9(2) and 17(2) thereof,
Whereas:
(1) Article 4 of the Regulation (EU) No 978/2012 establishes the criteria for granting tariff preferences under the general
arrangement of the Generalised Scheme of Preferences (‘GSP’).
(2) Point (a) of Article 4(1) of Regulation (EU) No 978/2012 provides that a country that has been classified by the World
Bank as a high-income or an upper-middle income country for 3 consecutive years should not benefit from GSP.
(3) The list of beneficiary countries under the GSP is established in Annex II to Regulation (EU) No 978/2012. Pursuant
to that Regulation, the Commission is to review Annex II by 1 January of each year in order to amend the status of
the listed countries in accordance with the criteria laid down in Article 4 of that Regulation.
(4) Pursuant to Article 5(2) of Regulation (EU) No 978/2012, a GSP beneficiary country and economic operators are to
be given sufficient time for an orderly adaptation to the country’s GSP status revision. Therefore, the decision to
remove a beneficiary country from the list of GSP beneficiary countries on the basis of Article 4(1)(a), shall apply as
from one year after the date of entry into force of that decision.
(5) Indonesia has been classified by the World Bank as upper-middle income country in 2023, 2024 and 2025.
Therefore, Indonesia no longer qualifies for GSP beneficiary country status in accordance with Article 4(1)(a) of
Regulation (EU) No 978/2012 and should be removed from the list of GSP beneficiary countries in Annex II to that
Regulation, with application from 1 January 2027.
(6) Pursuant to Article 17(1) of Regulation (EU) No 978/2012, a country which is identified by the United Nations (‘UN’)
as a least-developed country should benefit from the tariff preferences provided under the special arrangement
Everything But Arms (‘EBA’) for the least-developed countries. The list of EBA beneficiary countries is established in
Annex IV to Regulation (EU) No 978/2012.
(7) The UN graduated São Tomé and Príncipe from the least-developed country category on 13 December 2024.
Therefore, São Tomé and Príncipe no longer qualifies for EBA beneficiary status under Article 17(1) of Regulation
(EU) No 978/2012 and should be removed from Annex IV of that Regulation. In accordance with Article 17(2) of
Regulation (EU) No 978/2012, the delegated act removing São Tomé and Príncipe from the list of EBA beneficiary
countries should apply following a transitional period of 3 years as from the date on which that delegated act enters
into force. São Tomé and Príncipe should, therefore, be removed from Annex IV, with application from 1 January
2029.
(8) Pursuant to point (a) of Article 9(1) of Regulation (EU) No 978/2012, a country benefiting from the GSP may benefit
from the tariff preferences provided under the special incentive arrangement for sustainable development and good
governance if it is considered vulnerable due to lack of diversification and insufficient integration within the
international trading system, as defined in Annex VII to Regulation (EU) No 978/2012.
(1) OJ L 303, 31.10.2012, p. 1, ELI: http://data.europa.eu/eli/reg/2012/978/oj.
ELI: http://data.europa.eu/eli/reg_del/2025/1951/oj 1/3EN
OJ L, 9.12.2025
(9) Pursuant to point 1(b) of Annex VII to Regulation (EU) No 978/2012, as amended by Commission Delegated
Regulations (EU) 2015/602(2) and (EU) 2020/129(3), for a country to be considered vulnerable, the imports of
products listed in Annex IX into the Union from that country should represent less than the threshold of 7,4 % in
value of the total imports from GSP beneficiary countries into the Union, as an average during the last three
consecutive years.
(10) In accordance with Article 9(2) of Regulation (EU) No 978/2012, where the list of GSP beneficiary countries in
Annex II is amended, the Commission is empowered to adopt delegated acts to amend Annex VII in order to review
the vulnerability threshold defined in point 1(b) of Annex VII. Such a review aims to maintain proportionally the
same weight of the vulnerability threshold as calculated in accordance with Annex VII, taking into account the
previous amendments to the list of GSP beneficiary countries.
(11) The last review under Delegated Regulation (EU) 2020/129 increased the vulnerability threshold from 6,5 % to 7,4 %
applicable as of 1 January 2019.
(12) Betweem 1 January 2019 and 1 January 2023, the list of GSP beneficiaries in Annex II to Regulation (EU)
No 978/2012 was substantially amended, as five countries were removed from Annex II. It is therefore necessary to
review the vulnerability threshold set out in point 1(b) of Annex VII to Regulation (EU) No 978/2012.
(13) As a result of the amendments to the list of GSP beneficiaries in Annex II to Regulation (EU) No 978/2012 between
1 January 2019 and 1 January 2023, the total imports into the Union of the products listed in Annex IX from all
GSP beneficiary countries taken as an average have decreased by 17,5 %. An increase of the vulnerability threshold
from 7,4 % to 9 %, applicable as of the time when the amendments to Annex II took effect, that is as from 1 January
2023, would maintain proportionally the same weight of the vulnerability threshold as laid down in Annex VII to
Regulation (EU) No 978/2012,
HAS ADOPTED THIS REGULATION:
Article 1
Regulation (EU) No 978/2012 is amended as follows:
(1) in Annex II, under the heading ‘Beneficiary countries of the general arrangement referred to in point (a) of
Article 1(2)’, the following alphabetical codes and corresponding countries are removed from columns A and B,
respectively:
‘ID Indonesia’;
(2) in Annex IV, under the heading ‘Beneficiary countries of the special arrangement for the least-developed countries
referred to in point (c) of Article 1(2)’, the following alphabetical codes and corresponding countries are removed
from columns A and B, respectively:
‘ST São Tomé and Príncipe’;
(3) in point 1(b) of Annex VII, the threshold ‘7,4 %’ is replaced by ‘9 %’.
(2) Commission Delegated Regulation (EU) 2015/602 of 9 February 2015 amending Regulation (EU) No 978/2012 of the European
Parliament and the Council as regards the vulnerability threshold defined in point 1(b) of Annex VII to that Regulation (OJ L 100,
17.4.2015, p. 8, ELI: http://data.europa.eu/eli/reg_del/2015/602/oj).
(3) Commission Delegated Regulation (EU) 2020/129 of 26 November 2019 amending the vulnerability threshold set out in point 1(b) of
Annex VII to Regulation (EU) No 978/2012 of the European Parliament and the Council applying a scheme of generalised tariff
preferences (OJ L 27, 31.1.2020, p. 8, ELI: http://data.europa.eu/eli/reg_del/2020/129/oj).
2/3 ELI: http://data.europa.eu/eli/reg_del/2025/1951/ojEN
OJ L, 9.12.2025
Article 2
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.
Article 1(1), shall apply from 1 January 2027.
Article 1(2), shall apply from 1 January 2029.
Article 1(3), shall apply from 1 January 2023.
This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 29 September 2025.
For the Commission
The President
Ursula VON DER LEYEN
ELI: http://data.europa.eu/eli/reg_del/2025/1951/oj 3/3