Us FTZ Legislative Proposal

Essay specific features

 

Issue:

Business

 

Written by:

Benjamin M

 

Date added:

November 14, 2016

 

Level:

University

 

Grade:

C

 

No of pages / words:

7 / 1882

 

Was viewed:

9881 times

 

Rating of current essay:

 
Essay content:

This is commonly known as an “inverted tariff.” The FTZ allows for a correction of this unintended distortion of the U.S. tariff schedule by allowing the company operating in an FTZ to assess the product at the lower finished product tariff rate, not the higher intermediate input tariff rate, thus providing a net tariff savings...
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Companies using FTZ procedures may also be able to defer duty and have access to streamlined customs procedures, including "weekly entry" or "direct delivery.” Status of Auto FTZs The main reason for using a FTZ for motor vehicle manufacturing in the United States (i.e., inverted tariffs) has disappeared as the gap between higher tariffs for auto parts verses a lower tariff for finished vehicles has essentially been eliminated through the implementation of the WTO Uruguay Round...
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