ILM part of trade zone

NEW HANOVER COUNTY -- As of September, 150 acres of land at the Wilmington International Airport is part of an expanded foreign trade zone, adding to the Port of Wilmington. 

The region will also benefit from this expansion, as magnet sites, like the airport, have the ability to expedite their application for foreign trade zone approval.

Why the new trade zone matters

This expansion of the foreign trade zone will make the area around the airport more attractive to potential businesses and manufacturing companies. 

Former state representative Rick Catlin learned his application to expand parts of Wilmington into a Foreign Trade Zone was approved in September. Catlin has championed the foreign trade cause in the region by creating the N.C. Foreign Trade Promotion Council and expanding the trade zone.

What is a foreign trade zone?

These zones were created to provide special customs procedures to U.S. plants and manufacturers engaged in international trade, according to the U.S. Trade Information Center.

The idea is that foreign trade zones promote the arrival of new business and costs little for taxpayers, Catlin said. The import-export businesses located in the zone gets a leg up in global competition by deferring or eliminating duties, or taxes, on their products until they are moved to points outside the zone.

So parts of a product manufactured or being shipped would not be subject to duties until they were shipped out for assembly, or until the product was fully put together in the zone and shipped.

Impact on the region

Prior to the expansion in September, a company had to be located near the Ports of Wilmington and Morehead City or the N.C. Global TransPark near Kinston. 

Now 25 counties in the eastern part of North Carolina are part of what is considered an alternative site framework (ASF.)

Without the ASF the process to apply to be part of a foreign trade zone would be lengthy. Now sites will see their applications expedited.

This includes places like the Leland Industrial Park.

Annual foreign trade conference

Catlin started a local conference for businesses owners and entrepreneurs to teach more people about the global business opportunities available to them. The annual conference was held earlier this month. "It's really a way to grow international business," Catlin said.

Reporter Ashley Morris can be reached at 910-343-2096 or Ashley.Morris@starnewsonline.com