The Columbia Metropolitan Airport (CAE) hosted an educational in-person and webinar session for attendees to learn the details of what a foreign-trade zone is, see areas of potential business gains when operating within these zones and hear why doing business within FTZ 127 makes sense.
“Breaking down the benefits of FTZ 127 starts with understanding what a FTZ is,” says Lindsay Copelan, Properties Manager for CAE. “A foreign-trade zone is a designated location in the United States where companies can use special customs procedures that help encourage activity and level the playing field with foreign competitors.”
This stimulation of international trade creates jobs and investments within the United States rather than abroad.
Serving as the grantee for FTZ 127, CAE oversees this territory and its operational dealings. Centrally located in the state, FTZ 127 can provide a flexible, streamlined process to get into the zone.
Organized under the Alternative Site Framework program, this allows businesses to obtain FTZ designation and activation anywhere within the 16 county region. The 16 counties include Aiken, Allendale, Bamberg, Barnwell, Calhoun, Clarendon, Edgefield Fairfield, Kershaw, Lee, Lexington, McCormack, Newberry, Richland, Saluda and Sumter.
Some of the business benefits of working within FTZ 127 include:
- FTZ designation will allow a business to operate warehouses as a means to defer customs duties, reduce operating costs, improve supply chain velocity and manage security at distribution facilities.
- Users that conduct production/manufacturing activity can defer, reduce or eliminate payment of some duties and taxes on goods manufacturer or processed within the FTZ.
- Businesses located at any fixed site in the 16 counties can become part of the FTZ program.
- Businesses can be approved for FTZ designation by the U.S. Foreign-Trade Zones Board and U.S. Customs and Border Protection (CBP) in 30 – 45 days, and then can pursue FTZ activation with CBP.
As part of the webinar and education session, CAE had Managing Director of Rockefeller Group Foreign-Trade Zone Services, Rebecca Williams, lead the conversation. Williams, who has over 20 years of experience with the implementation and integration of FTZ operations, spoke to the group on every aspect of FTZs.
“The U.S. Foreign-Trade Zones is a long-standing import/export tool available to the U.S. businesses involved in international trade,” said Williams. “The ability to obtain Customer duty and logistics/administrative savings in today’s very competitive global trading environment represents a critical business and economic development incentive for the Midlands region. FTZ 127 appears poised for great growth and activity.”
For more information about FTZ 127 and working with CAE, please visit www.flycae.com.