A bill to amend the Trade Act of 1974 to improve the operation of the generalized system of preferences.

Amends the Trade Act of 1974 to authorize the President to grant tariff preferences if such action: (1) will further economic development of developing nations; and (2) will not harm domestic producers of similar products (currently such factors must be considered, but are not determining factors). Makes a country with a trade surplus in manufactured goods with the United States ineligible for such preferences.

Revises the factors to be considered before designating a country as a beneficiary developing country to include consideration of such country's degree of industrial growth and competitiveness, trade history, anticipated economic benefits, and trade barriers.

Requires the President to publish on September 1 of each year a list of articles and detailed product descriptions which may be considered as eligible for such preferences (currently the President, from time to time, shall publish only a list of articles). Sets forth factors to be considered by the International Trade Commission (ITC) before reporting its recommendations to the President with respect to such articles.

Terminates the eligibility designation of articles of which duty-free entries exceed specified limits. Sets forth restrictions on the subdivision of eligible articles.

Restricts the quantity of an eligible article from any designated beneficiary developing country permitted to enter the United States based on the annual growth rate for domestic producers of similar articles.

Specifies the circumstances under which a country which is no longer treated as a beneficiary developing country with respect to an eligible article may be redesignated as such a country.

Provides for an expedited termination of eligibility if a petition for import relief is filed with the ITC.