Application for Manufacturing Authority in Missouri Zone
Application for Manufacturing Authority in Missouri Zone. The Foreign-Trade Zones Board is soliciting public comments no later than Feb. 6, 2012, on an application from the Greater Kansas City Foreign Trade Zone Inc., grantee of FTZ 15, requesting manufacturing authority for a Blount Inc. facility located within site 3 of this zone that is used for the assembly, warehousing and distribution of forestry, farm and log products. FTZ manufacturing authority is being requested for the assembly of gasoline-powered log splitters. The application also requests authority to include a broad range of inputs and finished forestry, farm and log products that Blount may produce under FTZ procedures in the future.
FTZ procedures could exempt Blount from customs duty payments on the foreign components used in export production, and the company anticipates that some 10% of the plant’s shipments will be exported. On its domestic sales, Blount would be able to choose the duty rates that apply to log splitters (2.4%) for foreign inputs. FTZ designation would further allow Blount to realize logistical benefits through the use of weekly customs entry procedures, and customs duties could possibly be deferred or reduced on foreign status production equipment.