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The terms "foreign trade zone" and "free trade zone" are often used interchangeably in the logistics industry, but they are not the same. The most significant difference between a foreign-trade zone and a free-trade zone lies in the location and the manufacturing process. Knowing the difference between the two can mean reduced costs, minimized bureaucratic regulations, and increased global market presence for your company.
A free-trade zone is a class of special economic zone. It is a geographic area where goods may be imported, stored, handled, manufactured, reconfigured, and re-exported under specific customs regulations and generally not subject to customs duty. Free-trade zones are located outside the United States. Free trade zones are usually organized around major seaports, international airports, and national boundaries.
Foreign trade zones are the United States' version of a free trade zone.
They are located in the United States, usually near a Port of Entry. Like a free trade zone, a foreign-trade zone allows goods to be repackaged, modified, manipulated, and relabeled. However, unlike a free trade zone, goods can be manufactured further and re-exported without the oversight of customs authorities. Since these zones are established outside of the customs territory of the United States, the goods that reside within it (both domestic and foreign) haven't cleared Customs. These zones allow companies to operate their supply chain more effectively by allowing them to legally avoid paying duties and merchandise processing fees.
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Difference between free trade zone and special economic zone?
A free trade zone (FTZ) , also called foreign-trade zone, formerly free port is an area within which goods may be landed, handled, manufactured or reconfigured, and reexported without the intervention of the customs authorities. Only when the goods are moved to consumers within the country in which the zone is located do they become subject to the prevailing customs duties. Free-trade zones are organized around major seaports, international airports, and national frontiers-areas with many geographic advantages for trade. A Special Economic Zone (SEZ) is a geographical region that has economic and other laws that are more free-market-oriented than a country's typical or national laws. "Nationwide" laws may be suspended inside a special economic zone. The category 'SEZ' covers a broad range of more specific zone types, including Free Trade Zones (FTZ), Export Processing Zones (EPZ), Free Zones (FZ), Industrial parks or Industrial Estates (IE), Free Ports, Urban Enterprise Zones and others.
Who created the largest free-market zone in the world?
The North American Free Trade Agreement created the largest free-market zone in the world. (I looked it up in my History book!) :)
What global winds zone is Paris in?
Paris is in the trade wind zone.
Why is Jakarta's time zone different from Singapore's when the longitudes are the same?
The government of each country is free to set its time zone(s) to whatever time(s) it chooses.
Are Georgia and Virginia in the same time zone?
Yes, Georgia and Virginia are in the same time zone.
What is meant by a foreign trade zone?
Foreign trade zones are geographical areas where commercial merchandising receives the same Customs treatment as it would if it were outside a country's borders.
When was Colón Free Trade Zone created?
Colón Free Trade Zone was created in 1948.
When was Chabahar Free Trade-Industrial Zone created?
Chabahar Free Trade-Industrial Zone was created in 1992.
When was Ras Al Khaimah Free Trade Zone created?
Ras Al Khaimah Free Trade Zone was created in 2000.
What is the motto of Ras Al Khaimah Free Trade Zone?
Ras Al Khaimah Free Trade Zone's motto is 'The Home Of Business'.
What is the Salary for foreign trade zone administrator?
$60,000 per year
Is there a free trade zone in Belize?
yes
Is Colombia a Free Trade Zone?
yeah
What does free trade zone mean?
A free trade zone is a formerly free port where goods can be handled, manufactured, landed, reconfigured, or reexported without intervention by customs authorities.
What is a federal trade zone?
Federal Trade Zone is a term made up term by simpletons, who think that they have an understanding of international trade. What we are actually thinking of is a Foreign Trade zone, which is a restricted access site in or adjacent to a Customs port of entry. See Foreign Trade Zones act of 1934 19USC 81a-81u, The general regulations and rules of procedure of the Foreign Trade Zones Board in 15CFR400 and US Customs and Border Protection regulations concerning FTZ's 19CFR146
Where is the largest free trade zone in the world is?
The NAFTA
Is china a member of any free trade zone?
Yes
