New Manufacturing Authority Sought at Indiana Foreign-Trade Zone
The Foreign-Trade Zones Board has received an application from the Ports of Indiana, grantee of FTZ 177, requesting manufacturing authority at the Hoosier Stamping & Mfg. Corp. facility in Chandler, Ind. This facility is used for the manufacturing, testing, warehousing, packaging, processing, inspecting, repairing and distributing of wheel assemblies and accessories. The application also requests authority to include a broad range of inputs and finished wheel assemblies that Hoosier Stamping may produce under FTZ procedures in the future. Comments on this application are due no later than Dec. 30.
FTZ procedures could exempt Hoosier Stamping from customs duty payments on the foreign components used in export production. Foreign components and materials represent up to 60% of the value of the finished product, and the company anticipates that approximately 1% of the plant’s shipments will be exported. On its domestic sales, Hoosier Stamping would be able to choose the duty rates that apply to finished wheel assemblies (zero) for foreign inputs (duty rates for which range from zero to 3.7%.) FTZ designation would allow Hoosier Stamping to realize logistical benefits through the use of weekly customs entry procedures, and customs duties also could possibly be deferred or reduced on foreign status production equipment.