Foreign Trade Zone

 

Team Hardinger is proud to operate the region's first and largest Foreign Trade Zone, offering services both in Erie and Grove City, PA.  If your company imports material or goods for manufacturing or assembly, this can be a significant cost saving opportunity.

Since a FTZ is considered by U.S. Customs as not being on domestic soil, there are several ways this can benefit importers:

  1. Duty deferral: there is no duty paid on imported goods or material until they leave the FTZ and enter domestic commerce.
  2. Duty exemption: there is no duty paid on imported goods or material used in manufacturing and then exported, since U.S. Customs views them as never having entered domestic commerce.
  3. Inverted tariff: imported goods or components typically have a lower duty rate than a finished good and manufacturers get to choose to pay the duty rate on whichever is lower.
  4. Merchandise Processing Fees (MPF's): Customs charges a fee to clear each ocean container for entry into the U.S. (based on the value of the goods, not to exceed $485 per container).  When using a FTZ, regardless if you import one container or one hundred containers, a single weekly entry (and thus a single charge) is filed with Customs.  That can mean tremendous savings!

FTZ's may sound complicated, but they don't need to be thanks to Erie's FTZ experts at Team Hardinger.  Contact us today to see if using a FTZ is right for your business!