Page 28 - 4407 SCENE
P. 28

Local InterestBY ERICK STEWART President, Stewart IndustriesOur beloved city of Battle Creek doesn’t exist inside of a vacuum. Although the tariff increases and trade war are affecting goods from Mexico and China, those goods are imported to Battle Creek on a regular basis. Many local businesses are feeling the brunt of these increased tariffs, and it’s beginning to eat away at their bottom line.outside of the commerce of the United States.inventory. Because of this, you can identify and classify your goods at a warehouse instead of at a port, like most Customs Enforcement locations require.However, there are ways to mitigate these spiked prices and ensure that local importers can continue to operate smoothly, even in a trade environment that continues to be turbulent.Avoid Duties and Taxes. Companies can experience cost savings by avoiding many duties and taxes through an FTZ. This is because an FTZ is an area that is authorized by the federal government, so merchandise that enters here has technical- ly never entered the United States Con- sumption area.Indefinite Storage. If you are not ready to port your goods but still need a spaceto hold your inventory, an FTZ is a great option, since most have a good amount of storage space.No matter the size of the importer, from a large manufacturer to an individual entrepreneur, Foreign Trade Zones (FTZs) are hugely beneficial. However, many companies are unaware of the cost-savings that working with an FTZ can bring.If you move your merchandise from one Foreign Trade Zone to another, customs are waived, which saves you time and money. Are you used to paying duties on waste, scrap, or yielded loss? When working with an FTZ, your merchandise by-products are not totaled into your taxed goods.Storage solutions like this can produce cost savings, especially if you haven’t met your quota on a specific product yet and might need to meet quota restrictions.An FTZ is a geographical area and a port of entry in the United States that is authorized by the federal government. Both domestic and foreign commercial merchandise receives the same treatment from Customs Enforcement within a For- eign Trade Zone that it would if it wereThere are more duties and taxes that are waived or avoided when working with an FTZ. Contact a member of our FTZ division to learn more.We are proud to share that STEWART Industries now has an operating FTZ Division, and we are excited to provide cost savings to manufacturers large and small. Interested in learning more about how an FTZ could benefit your business? Contact our team at STEWART Industries for more infor- mation. We can’t wait to work with you.How an FTZ Will Benefit Battle CreekOur FTZ Division explains how utiliz- ing an FTZ can save a company money in the following three ways.Most FTZs, like us, offer services to help you. These include reviewing and checking your inventory to ensure there are no lost or damaged pieces. This allows for more compliance and better service for you and your customers.Improved Compliance. FTZs work alongside manufacturers or individuals. This allows you to closely track your28 SCENE 4407 I ANNUAL REPORT

   26   27   28   29   30