What are the benefits of a Foreign Trade Zone?
- No duty Is ever paid on re-exported merchandise from a Foreign Trade Zone
- If the merchandise is sold domestically, no duty is paid until it leaves the Zone
- Generally, no duty is paid on waste or yield loss in a Foreign Trade Zone or Subzone
- Duty on scrap is eliminated or reduced in a Foreign Trade Zone
- Generally, if foreign merchandise is manufactured within a Foreign Trade Zone or Subzone into a product with a lower duty rate, then the lower duty rate applies on the foreign content when duty is paid
- Merchandise in a Foreign Trade Zone may be stored, repackaged, manipulated, manufactured, destroyed or otherwise altered or changed