Importing into the United States - Indo-American Chamber Of ...
Importing into the United States - Indo-American Chamber Of ...
Importing into the United States - Indo-American Chamber Of ...
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cancellation of orders due to shipping delays<br />
after a favorable market has closed.<br />
Production of articles in zones by <strong>the</strong> combined<br />
use of domestic and foreign materials<br />
makes it unnecessary to send <strong>the</strong> domestic<br />
materials abroad for manufacture, or to pay<br />
duty or obtain a bond for foreign materials that<br />
have been imported for this purpose. Duties on<br />
<strong>the</strong> foreign goods involved in such processing<br />
or manufacture are payable only on <strong>the</strong> actual<br />
quantity of such foreign goods incorporated<br />
<strong>into</strong> merchandise transferred from a zone for<br />
entry <strong>into</strong> <strong>the</strong> commerce of <strong>the</strong> <strong>United</strong> <strong>States</strong>. If<br />
<strong>the</strong>re is any unrecoverable waste resulting from<br />
manufacture or manipulation, allowances are<br />
made for it, <strong>the</strong>reby eliminating payment of<br />
duty except on <strong>the</strong> articles that are actually<br />
entered. If <strong>the</strong>re is any recoverable waste, it is<br />
dutiable only in its condition as such and in <strong>the</strong><br />
quantity entered.<br />
The Foreign Trade Zones Act also authorizes<br />
<strong>the</strong> exhibiting of merchandise within a<br />
zone. Zone facilities may be utilized for <strong>the</strong> full<br />
exhibition of foreign merchandise without<br />
bond, for an unlimited length of time, and with<br />
no requirement of exportation or duty payment.<br />
Thus, <strong>the</strong> owner of goods in a zone may<br />
display <strong>the</strong> goods where <strong>the</strong>y are stored, establish<br />
showrooms of her own, or join with o<strong>the</strong>r<br />
importers in displaying his merchandise in a<br />
permanent exhibition established in <strong>the</strong> zone,<br />
and since <strong>the</strong> importer may also store and<br />
process merchandise in a zone, he is not limited<br />
to mere display of samples, but may sell from<br />
stock in wholesale quantities. Retail trade is<br />
prohibited in zones.<br />
Domestic merchandise may be taken <strong>into</strong><br />
a zone and, providing its identity is maintained<br />
in accordance with regulations, may be<br />
returned to customs territory free of quotas,<br />
duty, or tax, even though while in <strong>the</strong> zone it<br />
may have been combined with or made part of<br />
o<strong>the</strong>r articles. However, domestic distilled<br />
spirits, wine, and beer, and a limited number of<br />
o<strong>the</strong>r kinds of merchandise generally may not<br />
be processed while in <strong>the</strong> zone.<br />
ADVANTAGES<br />
Savings may result from manipulations<br />
and manufacture in a zone. For example, many<br />
products shipped to <strong>the</strong> zone in bulk can be<br />
dried, sorted, graded, or cleaned and bagged or<br />
packed, permitting savings of duties and taxes<br />
on moisture taken from content or on dirt<br />
removed and culls thrown out. From incoming<br />
shipments of packaged or bottled goods, damaged<br />
packages or broken bottles can be<br />
removed. Where evaporation results during<br />
shipment or while goods are stored in <strong>the</strong> zone,<br />
contents of barrels or o<strong>the</strong>r containers can be<br />
regauged and savings obtained, as no duties<br />
are payable on <strong>the</strong> portions lost or removed. In<br />
o<strong>the</strong>r words, barrels or o<strong>the</strong>r containers can be<br />
gauged at <strong>the</strong> time of transfer to customs territory<br />
to insure that duties will not be charged on<br />
any portion of <strong>the</strong>ir contents lost to evaporation,<br />
leakage, breakage, or o<strong>the</strong>rwise. These<br />
operations may also be conducted in bonded<br />
warehouses.<br />
Savings in shipping charges, duties, and<br />
taxes may result from such operations as shipping<br />
unassembled or disassembled furniture,<br />
machinery, etc., to <strong>the</strong> zone and assembling or<br />
reassembling it <strong>the</strong>re.<br />
Merchandise may be remarked or relabeled<br />
in <strong>the</strong> zone (or in a bonded warehouse)<br />
to conform to requirements for entry <strong>into</strong> <strong>the</strong><br />
commerce of <strong>the</strong> <strong>United</strong> <strong>States</strong> if it is o<strong>the</strong>rwise<br />
up to standard. Remarking or relabeling that<br />
would be misleading is not permitted in <strong>the</strong><br />
zone. Substandard foods and drugs may, in certain<br />
cases, be reconditioned to meet <strong>the</strong> requirements<br />
of <strong>the</strong> Food, Drug, and Cosmetic Act.<br />
There is no time limit as to how long foreign<br />
merchandise may be stored in a zone, or<br />
when it must be entered <strong>into</strong> customs territory,<br />
reexported, or destroyed.<br />
TRANSFER OF GOODS IN<br />
BONDED WAREHOUSES<br />
Foreign merchandise in Customs bonded<br />
warehouses may be transferred to <strong>the</strong> zone at<br />
any time before its retention date in <strong>the</strong> bonded<br />
warehouse expires, but such a transfer may be<br />
made only for <strong>the</strong> purpose of eventual exportation,<br />
destruction, or permanent storage.<br />
When foreign merchandise is transferred<br />
to <strong>the</strong> zone from Customs bonded warehouses,<br />
<strong>the</strong> bond is cancelled and all obligations<br />
IMPORTING INTO THE UNITED STATES<br />
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