County commissioners on Tuesday approved an application to the US Department of Commerce that would designate Miami International Airport as a Foreign Trade Zone magnet site.
If approved by the Foreign Trade Zone (FTZ) board, the new magnet site would allow manufacturers to lease available airport property and have their tariffs deferred, reduced or eliminated. The application, which requests an expansion of Miami-Dade existing FTZ 281 to include the airport, would allow companies to receive and process materials and merchandise as soon as they enter the country at MIA, all with reduced or eliminated customs duties.
According to the application submitted by the county’s Aviation Department, this will save time and money from the supply chain process. Site users would be companies working in industries such as pharmaceuticals, electronics, textiles, footwear, auto parts, aircraft parts, avionics, machinery equipment, consumer goods and perishables.
Mayor Carlos Giménez commended the Aviation Department for developing the concept to generate more economic impact and jobs in Miami-Dade.
“MIA’s extensive air service network has made it our leading economic engine and the FTZ expansion would further diversify the airport’s revenue streams to create additional non-aeronautical revenue,” Mayor Giménez said in a written statement.
Aviation Director Emilio T. González said with more than 400,000 square feet available for lease, activating an FTZ magnet site on airport property will turn vacant real estate into a significant revenue stream.
FTZ 281 encompasses an area from Southwest Eighth Street to the Broward County line and from Miami Beach in the east to the Urban Development line in the west.
Within this area, designated locations with active FTZs are considered to be outside of the commerce and customs territory of the US. Companies within an FTZ are able to operate without being subjected to federal entry procedures or federal excise taxes, while minimizing involvement from other regulatory compliance agencies.
Source: Miami Today