Foreign Trade Zone (FTZ) is a designated geographical area in the United States where imported goods can be stored, handled, and processed without being subject to customs duties or other taxes. FTZs are considered to be outside of the U.S. customs territory, which means that goods can be imported into an FTZ without officially entering the U.S. customs territory. This can provide various benefits to companies, such as allowing them to defer payment of customs duties until the goods leave the FTZ and enter the U.S. market, and allowing them to avoid duties altogether if the goods are re-exported from the FTZ. FTZs are regulated by the U.S. Foreign Trade Zones Board.
Source : ChatGPT