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Milestones

It all began with Congress passing the U.S. Foreign-Trade Zones Act in 1934. The first zone opened in New York City in 1936. Since then, the U.S. FTZ Program has grown considerable and continues to deliverable measurable benefits even during times of transition. Learn more about the journey.

1934

It all began with Congress passing the U.S. Foreign-Trade Zones Act in 1934. The first zone opened in New York City in 1936. Since then, the U.S. FTZ Program has grown considerable and continues to deliverable measurable benefits even during times of transition. Learn more about the journey.

1936

FTZ 1 in New York City becomes the first U.S. foreign-trade zone.

1950

Congress amends the FTZ Act to permit manufacturing in zones.

1952

The FTZ Board issues new regulations, which allow FTZ sites to be designated at a company’s facility.

1953

The first “subzone” is established on a temporary basis in San Francisco (FTZ 3) for the exhibition of foreign merchandise.

1970

The first Pharmaceutical Manufacturing Plant (FTZ 7) in Mayaguez, Puerto Rico was established.

1973

The National Association of Foreign-Trade Zones (NAFTZ) is established.

1977

General Motors becomes the first auto assembly plant to receive FTZ status.

1980

U.S. Customs & Border Protection (CBP) issues a formal ruling that FTZ users would pay duty on the value of the foreign non-duty-paid content only. 

1984

Zone merchandise is exempted from state and local ad valorem inventory taxes.

1986

CBP introduces audit-inspection systems for FTZs.

1987

FTZs are exempted from annual and activation fees.

1988

The FTZ Act is amended to allow petroleum production in zones.

1996

The FTZ Act is amended to allow duty deferral for production equipment installed in a zone.

2000

The Trade and Development Act extend the use of Weekly Entry procedures for all manufacturing and distribution in Foreign-Trade Zones.

2009

The FTZ Board allows zones to reorganize under the Alternative Site Framework, opening the doors to more participation of small and medium-sized companies in the FTZ program.

2012

FTZ Board publishes revised 15 CFR Part 400 regulations significantly streamlining the regulation of the program.

2014

In February 2014 President Obama signs the executive order on Streamlining the Export/Import Process for America’s Businesses. By 2016, the Automated Commercial Environment will become the Single Window for trade processing.

2015

In December 2015 NAFTZ moves into the National Press Building, located near key agencies

2016

In February 2016 President Obama signs the Trade Facilitation and Trade Enforcement Act of 2015 into law.

2023

With the help of NAFTZ, USITC conducted extensive research and released a report in April 2023 titled Foreign Trade Zones: Effects of FTZ Policies and Practices on U.S. firms operation in U.S. FTZs and Under similar programs in Canada and Mexico (USITC Publication 5423, April 2023).

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