Foreign Trade Zones Essay -- Foreign Trading Essays

Foreign Trade ZonesSource http//ia.ita.doc.gov/ftzpage/tic.htmlIn reading and passing game over chapter 17, I learned a lot but what somewhat interesting is that the field that I work in which is a logistical Company and we export and import shipments all day long. We do piles from holding goods and receiving and shipping out goods to the Georgia Port Authority and we do custom paperwork. So this was very enlightening to me and there was lots of education on the internet. I choose this article because of the homework assignment that was abandoned to us and I think that it was great information to anyone learning about FTZs.Foreign disdain geographical zones (FTZs) be designated sites where special usance procedures apply. Foreign quite a little zones in the joined States be comparable to so-called free passel zones in many countries, though procedures vary widely from country to country. FTZs throw overboard domestic activity involving foreign items to take place as if it were distant the customs territory of the United States for duty payment purposes, thus offsetting customs advantages visible(prenominal) to overseas producers who export in competition with products made in the United States.WHAT IS AN FTZ? A foreign sight zone is a circumscribe access site authorized by the Foreign-Trade Zones Board, which consists of the treasury and commerce secretaries (the deposit of commerce chairs the board). FTZs, upon activation under(a) regulations of the U.S. Customs Service, are secure areas under U.S. Customs supervision. These zones are at or near U.S. Customs ports of accession. orchis customs entry procedures don?ft apply in these zones, although FTZs are within the territory and jurisdiction of the United States.WHY WERE SUCH ZONES realized? Congress established the Foreign-Trade Zones Board in 1934 to license and regulates FTZs in the United States. FTZs were established for a number of reasons, the primary creation to encourage and hotfoot U.S. participation in international treat. Foreign goods may be admitted to an FTZ without being subject to customs duties and certain excise taxes. FTZs allow deferred payment of duties until goods are entered into the commerce of the United States. Under zone procedures, the usual customs entry procedures and payment of duties are not involve on foreign swop until it actually enters customs territory for domestic consumption. Foreign mercha... ...ms clearance. FTZs also function state and local officials to develop their economies by attracting foreign commerce. And by help U.S. companies improve their international competitiveness, FTZs can help retain local note and encourage the development of additional jobs. FTZs also facilitate international trade, as noted in the advantages above.DO OTHER COUNTRIES HAVE FTZs? Many another(prenominal) countries operate special customs areas, such as free trade zones (also referred to as FTZs) and export processing zones. U.S. exporters and other interested parties should contact the embassy or customs officials of individual countries for specific procedures, requirements, and arrangements. Although there may be some(prenominal) similarities, it should not be assumed that a free trade zone overseas operates under the same principles as a foreign trade zone in the United States. Contact information for foreign embassies is available by calling the Trade Information Center at 800- USA-TRADE, or by visiting www.export.gov/tic. Many U.S.freight forwarders also have working relationships with trade zones overseas and can provide information on the documentation required to ship goods through them.