A corporation, partnership or person that operates a zone or subzone under the terms of an agreement with the Grantee. A Grantee may act as its own Operator. An Operator may also be a User, and in this case is referred to as a Operator/User.

Status of zone merchandise not previously cleared by CBP which is appraised in the condition of the merchandise at the time it enters Customs territory. NPF status may be changed upon approval from CBP, provided the merchandise is still in the same condition as when admitted to the zone. While in the zone, NPF status merchandise can be manipulated, manufactured, […]

CBP determines what constitutes manufacturing on a case-by-case basis, distinguishing it from other operations such as manipulation, processing, production and blending. The U.S. Foreign-Trade Zones Board has defined “Production” as any process that results in (1) a substantial transformation resulting in a change in the essential character of the merchandise, whether or not there is a change in the HTSUS […]

As defined in Section 562 of the Tariff Act, processing wherein merchandise is packed, unpacked, repacked, cleaned, sorted, graded or otherwise changed in condition. The precise distinction between manipulation, manufacturing and now production is subject to interpretation.

Free form letter with supporting documentation prepared by the carrier or Operator and submitted to U.S. Customs and Border Protection. Used to report quantity discrepancies found before or upon admission to zone.

Where imported parts are dutiable at higher rates than the finished product into which they are incorporated.

Published by the U.S. International Trade Commission, the HTSUS is used in the classification of imported merchandise for rates of duty and statistical purposes.

A corporation to which the privilege of establishing, operating and maintaining a foreign-trade zone has been granted by the Foreign-Trade Zones Board. Grantee corporations must be either public corporations or private corporations organized for the purpose of establishing a zone project. Examples of public entities that might receive an FTZ grant include: a political subdivision (including a municipality), a public […]

A general-purpose zone (GPZ) is established for multiple activities by multiple Users. Storage, distribution, testing, repackaging and repair are some of the possible activities in a GPZ. Processing or manufacturing in a GPZ requires prior approval by the Foreign-Trade Zones Board.