About Us - Greater Dayton Foreign Trade Zone

About Us

What is a Foreign-Trade Zone?
An FTZ is a program created by the Federal Government, which has existed since the 1930's, and is thriving today. Its purpose is to facilitate trade and increase the global competitiveness of U.S.-based companies.

Greater Dayton FTZ

Legally, a Foreign-Trade Zone (FTZ) is an area within the United States that the Government considers outside the country, or at least, outside of the U.S. Customs territory. Merchandise may be imported into a Zone with less paperwork and without paying import duties.

Some of the benefits of operating within an FTZ are obvious. At the very least an FTZ can help you defer paying duties. More often, the company pays lower costs, not only to U.S. Customs, but to its bank, insurance company, and other vendors.

Ten Ways Your Company Can Benefit From Using a Foreign-Trade Zone:

Imports may be admitted and held in a foreign-trade zone without paying U.S. Customs duties.
FTZ users may pay the duty rate on component material or merchandise produced from component material, whichever is lower.
Customs duties are never paid on merchandise exported from a zone.
Duties are eliminated on materials subject to defect, damage, obsolescence, waste or scrap.
Merchandise may be exported and returned to an FTZ without duty payment.
Spare parts may be stored, returned, or destroyed without duty payment.
Delays in Customs duty drawback are eliminated.
Duties are not owed on labor, overhead, or profit attributed to FTZ production operations.
Quality control inspections can identify sub-standard goods to be destroyed or returned without duty payment.
No duty is owed on in-bond, zone-to-zone transfer of FTZ merchandise.