Tire Group International (TGI) LLC announced that on Sep. 9, 2013 it was granted the Foreign Trade Zone (FTZ) 281-4 status giving TGI the ability to defer, reduce and eliminate customs duties on products brought into its U.S. distribution center for re-export.
In August of 2012, the U.S. Department of Commerce granted Florida's Miami-Dade County the authority to establish Foreign Trade Zone 281. Foreign trades -- or free trade zones (FTZ) -- are secure areas under U.S. Customs that are considered outside the Customs territory of the United States.
Becoming a FTZ offers companies several important benefits including duty referral, insurance benefits, duty exemption, tax savings, international returns/quality control, among others. A corporation using a foreign trade zone to import can defer taxes and duties on those materials and merchandise imported, until sale of the finished product is transacted.
"We are proud to be one of the first four companies and the only tire distributor in the state of Florida approved to do business within the FTZ 281," says Orlando Delgado, COO for TGI.
"As a company we needed to undergo a series of comprehensive audits of our internal processes and systems. Having received approvals from the Foreign Trade Zone Board in Washington D.C., the Port of Miami and the United States Department of Homeland Security Customs and Border Protection agency (CBP) is an affirmation of the quality of TGI's staff and internal controls.
