Foreign Trade Zone
Greater Burlington is now located within the service territory of Quad Cities Foreign Trade Zone #133 under the alternative site framework. The foreign trade zone is administered through the Quad Cities Foreign Trade Zone Board.
- What’s a Foreign Trade Zone (FTZ)?
- What are the benefits to business?
- Will it benefit my company?
- Complete a Preliminary Feasibility Analysis
- What merchandising activities are allowed in an FTZ?
FTZs are designated sites within the United States where foreign and domestic merchandise is considered to be outside the U.S. Customs territory, allowing companies to defer, alter or in some cases eliminate duties. FTZs can benefit companies that import a large volume of goods, saving companies money, increasing their efficiency and providing more flexibility for their business operations.
The program is designed to lower the cost of doing business and stimulate economic growth and development in the U.S. The use of FTZs helps companies maintain the cost of U.S. based operations and keep pricing competitive compared with foreign counterparts.
Operating through an FTZ can have numerous benefits for a business, including duty deferral or elimination, as well as increased efficiency in processing customs paperwork.
In order to determine whether or not your company would benefit from and FTZ, you must first complete a Preliminary Feasibility Analysis (PFA). The PFA is a tool used to determine whether or not use of a FTZ will benefit an individual company. And because there is a cost associated with setting up and maintaining a FTZ, the information gathered here will provide a cost benefits analysis. Please provide us with as much information as possible and provide information for each facility you want to be considered for FTZ designation.
Complete and submit a preliminary feasibility analysis online. After reviewing your analysis, you will be contacted by Foreign Trade Zone staff. Any questions regarding the PFA or FTZs should be directed to the Quad Cities Foreign Trade Zone staff at 563.327.0164.
There are some limits to what can be done to a product within an FTZ, however the list of permitted activities includes nearly everything that can be done during the manufacturing process, including:
- Product assembly
- Product testing
- Package relabeling and/or repackaging
- Product manufacturing - with special approval from the FTZ board for manufacturing
- Product storage