|
|
Economic Development
Foreign Trade Zone
Port of Entry #1412 & FTZ #238
An international Port of Entry and Foreign Trade Zone have been established in the area.
What is a Port of Entry?
Ports of entry are responsible for processing conveyances, passengers and goods entering and exiting the United States and enforcing customs laws.
Goods may be entered for consumption, for warehousing at the port of arrival, or transported in-bond to another port of entry and entered there under the same conditions as at the port of arrival. Transporting imports in-bond to Port of Entry #1412 saves importers considerable time and money.
Port of Entry #1412 has a US Customs Officer on location to process import/export goods, as well as an Independent Customs Broker to help with entry and bonding as necessary.
What is a Foreign Trade Zone?
A foreign trade zone is a secure and enclosed area, located near or in a Port of Entry. An FTZ is considered to be outside US customs territory, so foreign and domestic materials or merchandise may be moved into the FTZ without being subject to US customs duties until the goods enter US commerce. When merchandise is removed from a FTZ, custom duties may be eliminated if the goods are then exported outside the United States. If the merchandise is formally entered into US commerce, Customs duties are due at the time goods move outside the foreign trade zone.
Western Virginia's Foreign Trade Zone is a general purpose zone (GPZ) established for multiple activites by multiple users. In instances where a firm wants foreign trade zone status for its own plant or facility, or when the existing general purpose zone cannot accommodate the firm's proposed activity, a subzone may be granted to companies sponsored by the grantee.
How will my company benefit?
For companies doing business outside of the US, there are many benefits to utilizing the Port of Entry and Foreign Trade Zone.
Companies can ship from any foreign locations directly to the Foreign Trade Zone or subzone, and can in-bond ship direct from any port, eliminating time delays occurring at other ports.
An increasing number of firms are making use of the ability to transfer merchandise from one zone to another. Because the merchandise is transported in-bond, Customs duties may be deferred until the product is removed from the zone for entry into US territory.
By using a foreign trade zone, companies are able to defer, reduce or, in some cases, eliminate duty charges, depending on the use of the incoming goods and whether the goods are ultimately exported or stay in the US.
The clearing of customs locally for freight and passengers is much quicker and convenient than the delays and waiting required at other Ports of Entry.
Many companies using FTZs find their inventory control systems run more efficiently, increasing their competitiveness. FTZ users also find meeting their FTZ reporting responsibilities to the US government makes them eligible for special Customs procedures such as direct delivery and weekly entry to expedite the movement of cargo.
Tangible personal property imported from outside the US and held in a zone, as well as produced in the US and held in a zone for exportation, are not subject to state and local taxes.
|
|
|