Duty deferral and elimination, lower tariff rates, exchange rate hedging, and a "Made in U.S.A." designation are all benefits of using a _____.
A)Maquiladora operation
B)border zone
C)red zone district
D)Foreign Trade Zone
E)Channel Zone

Question

Quizplus · Accepted Answer

Duty deferral and elimination, lower tariff rates, exchange rate hedging, and a "Made in U.S.A." designation are benefits associated with using a Foreign Trade Zone (FTZ). FTZs are secure areas under U.S. Customs and Border Protection supervision that are generally considered outside CBP territory for tariff purposes. These zones are designed to encourage international trade and investment.

Duty Deferral and Elimination, Lower Tariff Rates, Exchange Rate Hedging