Foreign Trade Zone
More than just transportation advantages
Because the Port of Muskogee is designated by U.S. Customs as Foreign Trade Zone 164, Port Industries enjoy more than just transportation savings. Foreign Trade Zone benefits reduce costs and increase profits, giving Port Industries a competitive edge.
Here’s how it works
Merchandise in a Foreign Trade Zone (FTZ) is considered to be outside the US Customs territory; therefore, the merchandise is subject to duty only when it leaves the FTZ for consumption in the US market. In some cases, the duty may be reduced or, in the event merchandise is exported, eliminated altogether.
While in an FTZ, merchandise may be stored, sold, exhibited, assembled, disassembled, repackaged, distributed, sorted, tested, graded, cleaned, mixed with other merchandise, otherwise manipulated, or destroyed. The merchandise may also undergo manufacturing operations. Merchandise subject to quota may be stored in an FTZ until a closed quota reopens.
Here are just some of the ways to save money in an FTZ
Deferral, reduction or elimination of duty
Reduced customs processing fees
Reduced insurance costs
Upgraded quality control
Elimination of custom clearance delays
Improved logistics for receiving imports or for obtaining export status
Security protection afforded/required for FTZ merchandise
Maybe it’s time your company considered the FTZ benefits available at the Port of Muskogee.
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