US flag Official website of the Department of Homeland Security

Mobile Nav Button

 

Why would I admit goods to the zone with non-privileged foreign status?

Merchandise in non-privileged status will be classified in its condition at the time of legal transfer from the zone For instance, if merchandise is admitted to a zone with non-privileged foreign status, manufactured into a new product with a lower duty rate, the duty owed upon legal transfer from the zone for consumption will be assessed at the lower duty rate of the "new" product.