What companies might benefit from using FTZ procedures?

There are several basic questions that need to be answered before use of the foreign-trade zone program is even considered. They are:

  • Does the company import products or materials?
  • Is the company paying duty on those imported products or materials?
  • Does the company import on a continuous basis?
  • Is the company encountering procedural or compliance problems with Customs with their existing imports that could be corrected by the importer once the merchandise arrives in the U.S. (i.e. incorrect country of origin marking)?
  • Does the company currently have a duty drawback program in place?

If the answer to any of the above questions is yes, use of the foreign-trade zone program may provide a benefit to the company.

Show All Answers

1. What is a Foreign-Trade Zone?
2. What is the Foreign-Trade Zone program?
3. What are the types of Foreign-Trade Zones?
4. What companies might benefit from using FTZ procedures?
5. What is required for activation of a FTZ by customs?