Re: Foreign Trade Zone?
Foreign Trade Zones or Free Trade Zones are set up to avoid paying US import taxes until the product leaves the zone. My Daughter bought a Ford Ranger pickup up here made in the US -trade free zone-. In order to get it imported to the US she had pay duty taxes on the Mitsubishi engine as it never had US import taxes paid as it was built in a Free Trade Zone and exported to Canada (paid no US taxes on foreign parts). Most Ports have land zoned this way and containers/Auto/etc. can stay in the zone and only pay taxes if they enter the US. Like Portland Ore, and Seattle, Wash. They land a lot of stuff that gets trucked to Canada or reloaded for other forein ports - so no US duty while on /US soil. These zones were set up to avoid taxes when landing cargo. If shiped to a plant that is a trade free zone, but together and shipped out of the country -- no US Duty Taxes.
