The U.S. government has set up foreign trade zones (FTZ) that
A)are located on U.S. soil but are considered to be outside of U.S. commerce for tariff purposes.
B)are located in foreign countries and designed to export to the United States.
C)are located in foreign countries and are designed to import from the United States.
D)are located in the United States and are considered part of the United States for tariff purposes.

Question

Quizplus · Accepted Answer

Foreign trade zones (FTZ) are located on U.S. soil but are considered to be outside of U.S. commerce for tariff purposes. This allows companies to delay or reduce the payment of customs duties on imported goods until they are actually brought into U.S. commerce. FTZs also provide other benefits such as streamlined customs procedures and exemption from state and local inventory taxes.

The US Government Has Set Up Foreign Trade Zones (FTZ) That