FTZ vs. Bonded Warehouse

Foreign-Trade Zone

Foreign-Trade Zone

Foreign-Trade Zone

Outside Commerce of the US
Advanced Inventory Methods
Combine Domestic and Foreign Merchandise
Reduced Customs Liabilities for Imports
Direct Delivery; receive merchandise 24/7 without Customs prior clearance
Estimated Weekly 7512
Estimated Weekly Entry (One MPF per Week)
No Customs Entry - Admitted on CBP 214
Choose PF or NPF status
Manufacturing may occur in zone with FTZB approval
Broad range of scrap/waste savings
Merchandise can remain in FTZ indefinitely

Bonded Warehouse

Foreign-Trade Zone

Foreign-Trade Zone

Warehouse Entry into the Commerce
Limited Inventory Methods
May not combine Domestic and Foreign
Increased Customs Involvement/ Increased Customs Liabilities
No Direct Delivery
No Weekly 7512
No Weekly Entry (Merchandise Processing Fee charged per Entry)
Entry made on CBP 7501
Duty paid at rate in effect at withdrawal
Manufacturing in Class 6 for export only
Limited scrap/waste savings
Can only remain for 5 years from importation