Zone #29, with Customs clearance in Louisville, offers a prime opportunity
for manufacturing or distribution firms to develop additional U.S. and
The FTZ encompasses the intermodal port site and the industrial park.
The zone includes buildings for manufacturing and warehousing. Breakbulk
and containerized shipments can be handled easily. Companies may take
advantage of zone benefits by utilizing the general purpose zone warehouses
or by activating all or a portion of their own building. Companies located
in the park have activated over one million square feet of FTZ space.
The FTZ offers these significant competitive advantages:
- Imports can be landed and stored quickly without full Customs formalities.
U.S. Quota restrictions, duty and bonding are waived in the zone.
- Companies do not pay customs duties on the value of labor, overhead
and profit attributed to production operations in a zone.
- Duty and certain taxes are not paid until goods leave the zone. If
previously imported goods are exported, there is no U.S. Customs duty
or revenue payments.
- Substandard goods, impurities and waste can be discarded resulting
in savings on Customs duty.
- Goods can be imported in excess of U.S. import quotas and then held
until the next quota period.
- Goods can be salvaged or repaired free of duty and quotas.
- Certain bonded merchandise may be transferred to the zone for export.
- Indefinite zone storage allows businesses to await the best U.S. market
- Since Riverport already has zone status, warehousing activity can
FTZ status offers advantages to industrial park tenants that are not available
elsewhere. In an increasingly global market, prudent companies should
determine whether establishing operations in the FTZ would provide them
with a financial edge in today's competitive market.