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FTZ - Is duty required for goods entered into a zone?
Foreign-trade zones are part of a duty deferral program. Generally, payment of duties and excise taxes on foreign merchandise admitted to a zone will be deferred until the goods are transferred from the zone to the Customs territory for consumption. Merchandise may be manufactured or changed in condition while in the zone, substantially lowering the duties eventually paid.
FTZ Board, Import Administration, USDOC
http://ia.ita.doc.gov/Ftzpage/index.html
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