FTZs are secure geographical areas located within or near United States ports. However, U.S. Customs treats these properties as though they stand outside national borders.
Manufacturers have traditionally used FTZs to lower import duties and taxes because the merchandise they receive at an FTZ is still considered international commerce.
All 50 states plus Puerto Rico have established FTZs. Currently there are some 2,500 firms actively engaged in zone activities, employing over 340,000 people. The total value of merchandise moving through these FTZs is more than $410 billion annually.
But recent changes to the FTZ program have created new and even greater opportunities for non-manufacturing importers to cut costs and streamline logistics.
"Firmenich is a multinational manufacturer of flavor and fragrance products, which are sold primarily to other manufacturers of consumer products. Operating foreign-trade zones in Plainsboro and Newark, N.J., has enabled Firmenich to remain positioned as a major player in the industry, and provided Firmenich with the means to effectively compete with other foreign manufacturers while maintaining production operations within the United States. Firmenich has been able to expand its workforce in the State of New Jersey and has been a positive economic force in the state for many years. As grantee of FTZ 49 , The Port Authority of New York and New Jersey provides Firmenich with guidance and support, and is critical to the success of our FTZ operations."
Manager, U.S. Customs/Trade Compliance
"Citrus Products has been a neighbor and tenant of The Port Authority of New York and New Jersey and FTZ 49 for almost 25 years. As an importer of bulk orange juice products and a major supplier to the orange juice packing industry, our location here in Port Newark has proven to be a pivotal advantage to our clients as well as to the overall success of our company. Over the years, our business has shown continuous growth. With further cooperation and support from The Port Authority of New York and New Jersey and FTZ 49, we fully anticipate another 25 years of success."
Maria Isaura Valente
Citrus Products Inc.