FTZ
Business & Finance abbreviation · Logistics, Supply Chain & Trade
| Stands for | Foreign-trade zone |
|---|---|
| Categories | Business & Finance |
FTZ stands for Foreign-trade zone, a logistics, supply chain & trade abbreviation.
Designated area in the United States, under customs supervision, where foreign goods can be stored, processed or assembled without paying duties until they enter the US market. Duties are not owed at all on goods re-exported.
Example: Assembling the bikes in an FTZ lets us pay the lower duty on finished bikes instead of parts.
Usage notes
Created under the Foreign-Trade Zones Act of 1934. Many other countries operate similar "free trade zones" or free zones, a term sometimes confused with free trade agreements.
Related abbreviations
More logistics, supply chain & trade abbreviations
- FCL – Full container load
- FEFO – First expired, first out
- FEU – Forty-foot equivalent unit
- FF – Freight forwarder
- FOB – Free on Board
- FTL – Full truckload
- GRI – General rate increase
- GTIN – Global Trade Item Number
- HAWB – House air waybill
- HAZMAT – Hazardous materials
- HBL – House bill of lading
- HC – High cube container