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FTZ Production Authority Requested for Vessel Manufacturing Facility

Friday, September 09, 2016
Sandler, Travis & Rosenberg Trade Report

The Foreign-Trade Zones Board has received from the Mississippi Coast Foreign-Trade Zone Inc., grantee of FTZ 92, a notification of proposed production activity at the TopShip LLC facility in Gulfport, Miss., which is used for the manufacturing of oceangoing vessels. The request indicates that a separate application for subzone designation at this facility will be submitted.

The request indicates that curtains classified under HTSUS 6303.12 would be admitted to the zone in privileged foreign status or domestic status, thereby precluding inverted tariff benefits on such items. Further, production activity under FTZ procedures would be subject to the standard shipyard restriction applicable to foreign-origin steel mill products, which would require that TopShip pay all applicable duties on such items.

Comments on this notification are due no later than Oct. 18.

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