- Duty Exemption – There are no duties or quota charges on re-exported merchandise from the FTZ.
- Duty Deferral – Customs duties and federal excise taxes are deferred on imports until they leave the FTZ and enter U.S. Customs territory. Duty on imported “production equipment,” is also not paid until the equipment is to be used for manufacturing activity.
- Zone-to-Zone Transfers & No Time Limit in an – Merchandise may be transferred under bond from one FTZ to another without payment of duty. Duties are not owed until the merchandise is finally admitted into U.S. Customs territory.
- Duty Reduction (Inverted Tariff) – Companies can choose to pay the duty rate of finished products that have a lower tariff than its foreign components.
Connecticut has four foreign trade zones