Issues affecting the preparation of a Foreign-Trade Zone Subzone application

When processing a Foreign-Trade Zone Subzone application the Foreign-Trade Zones Board will consider a number of issues during its review. Some of the issues that could significantly affect the application's processing time, and even its' success, are as follows:

  • The application's compliance with the regulations;
  • The presentation of trade issues;
  • Does the application prove that Subzone status will provide a significant public benefit;
  • Are the proposed Subzone benefits consistent with public policy;
  • Does the application show that Subzone status will not encourage additional imports?

Lack of knowledge of these types of issues, as well as lack of experience working with the Foreign-Trade Zones Board, could cause an adverse outcome for a company’s Subzone application. Applications have been subjected to costly restrictions, delays, and have even been denied due to inexperience or poor judgment during the writing of the application.

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