What is a Foreign Trade Zone?
A Foreign-Trade Zone (FTZ) is a zone authorized as exempt from many regular US Customs rules and regulations. There are many benefits that importers can take advantage of to improve cash flow, increase global logistics efficiency, reduce redundant or unnecessary logistics costs, and retain flexibility.
Do Foreign Trade Zones Benefit Exporters as well as importers?
Foreign-Trade Zones allow companies to bring items onto US soil without paying the duty tax, allowing them to store these goods free of tariff charges, or use parts to manufacture a finished product that can then be exported without the US import/export surcharges.
In addition, goods that do not meet certain regulatory specifications can be imported in to a Foreign Trade Zone, where they are reworked and repackaged to meet requirements for US imports.
Companies that operate within a Foreign Trade Zone take advantage of benefits such as:
- Improved cash flow
- Avoidance of duty
- Lower tariff rates
- Reduced insurance costs
- Upgraded quality control
- Reduction of Customs clearance delays
- Defer, reduce or even eliminate Customs duties on products admitted into the zone
- Save on taxes and improve bottom line results
- Expand in the United States and abroad
- Boost competitiveness domestically and internationally
From auto parts to cosmetics, businesses of all sizes can implement more effective economical solutions for cargo storage, merchandise manipulation and manufacturing needs.
For more information on Foreign Trade Zones, please contact: Robert C. Jacob, Jr., Foreign-Trade Zone Operator Phone: 954-468-0214 | Cell Phone: 954-658-0538 | Fax: 954-765-4628 | firstname.lastname@example.org
Are you a Lauderhill Business looking to become a Foreign Trade Zone? Contact our Economic Development Division today!