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Criteria for Establishing
Foreign Trade Zones
GENERAL PURPOSE ZONE
General purpose
zones are usually
warehouses that customize services and space to meet the needs of the
user and are located at international port terminals, at the international airport, near
the bridge and tunnel to Canada, in manufacturing centers and at major interstate highway
accesses.
FOREIGN TRADE SUBZONE
A subzone is a
manufacturing facility which has obtained its own zone status in order to operate more
effectively. Should a firm's foreign trade zone needs not be accommodated by an
existing location, additional FTZ status can generally be granted for an existing facility
within 90 days of application.
GENERAL
PURPOSE ZONE
- Physical facilities to handle the expected
general-purpose zone users' needs (a legal description, site plan and maps of the proposed
site must accompany all applications).
- Firm commitments from users that they will
use the proposed general-purpose zone facilit
ies, if approved, including the amount and
duration of use.
Statements by proposed users that none of
the existing approved general-purpose zone sites meet their needs, including the reasons
why.
A marketing plan outlining how the
operator will market the proposed zone site, including the magnitude of the planned
marketing activities and the advantages and differentiation the proposed site has over
existing general-purpose zone sites.
A proposed tariff, including an evaluation
of the competitiveness of the proposed charges.
Demonstrated management ability and
knowledge of the FTZ program and U.S. Customs policies and procedures.
Payment of a non-refundable $2,000
application fee for all new zone applications, expansions, boundary modifications, etc.
Greater Detroit Foreign Trade Zone, Inc.
will solicit comments from existing general-purpose zone operators regarding the proposed
general-purpose zone site and consider these comments in their review of the proposal.
Except for the information submitted to
the existing general-purpose zone operators to obtain their comments (outlined below), all
information submitted to gain approval will be kept confidential.
Information to be submitted to existing
general-purpose zone operators:
- Location and physical facilities of
proposed general-purpose zone.
- A statement that firm commitments from
potential users exist and the reason(s) why the existing general-purpose zones do not meet
their needs.
- The marketing plan of the proposed
general-purpose zone operator.
- The tariff of the proposed general-purpose
zone operator.
This data, needed to solicit comments
from the existing general-purpose zone operators, shall be prepared by the proposed
operator and provided to Greater Detroit Foreign Trade Zone, Inc. The application
fee is payable prior to solicitation for comments from existing operators.
Once comments have been
received
from the
existing general-purpose zone operators, the applicant will be notified of comments
received. The applicant will then be responsible for preparing the final application
for consideration by the GDFTZ Board of Directors, including answers to comments or
statements made by the existing general-purpose zone operators. The GDFTZ
Board of Directors will then review the application and make its decision.
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FOREIGN
TRADE SUBZONE
- Physical facilities to handle the subzone
user's needs.
- A description of the use of the proposed
subzone site.
- A statement that none of the existing
approved general-purpose zone sites can meet the user's needs, including the reasons why.
- Demonstrated management ability and
knowledge of the foreign trade zone program and the U.S. Customs policies and procedures.
- Payment of a non-refundable $2,000
application fee for all new subzone applications, expansions, boundary modifications. etc.
Greater Detroit Foreign Trade Zone, Inc.
will solicit comments from existing general-purpose zone operators regarding the proposed
subzone site and consider these comments in their review of the application.
Except for the information submitted to
the existing general-purpose zone operators to obtain their comments, all information
submitted to gain approval will be kept confidential.
A prospective subzone applicant shall
provide to Greater Detroit Foreign Trade Zone, Inc. a brief summary of the intended
operation and the reason(s) why one of the existing general-purpose zones will not meet
their needs, for use in soliciting comments from the existing general-purpose zone
operators. The application fee is payable prior to solicitation of comments from
existing general-purpose zone operators.
Once comments have been received from the
existing general-purpose zone operators, the applicant will be notified of comments
received. The applicant will then be responsible for preparing the final application
for consideration by the GDFTZ Board of Directors, including answers to comments or
statements made by the existing general-purpose zone operators. The GDFTZ Board of Directors will then review the application and make its decision.
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