Apr 06, 2022
Chattanooga Foreign Trade Zone Annual Report States Billions in Zone Related to Economic Activity.
Chattanooga, Tenn. (April 4, 2022) – The Chattanooga Chamber Foundation, grantee of the Chattanooga Foreign Trade Zone, announced economic activity in the Chattanooga Zone for 2021. The total Zone related employment is 4,592, Zone related economic activity was $4.2 billion, and Zone related exports are valued at $570 million.
“Since the mid-80’s the Chattanooga Foreign Trade Zone has been instrumental in creating and sustaining good manufacturing jobs and creating value for companies that are in the program,” stated Steve Hiatt, Director of Existing Business Development for the Chattanooga Area Chamber of Commerce. “A company does not have to be a large employer to take advantage of Foreign Trade Zone opportunities. Companies in the Chattanooga Foreign Trade Zone have as few as 25 employees and as many as 3,500.”
The purpose of Foreign Trade Zones is to stimulate international trade and to increase employment and investment in our region and beyond. Location in a Foreign Trade Zone allows manufacturing and distribution operations to enjoy relief from various customs fees and regulations including:
- Reduce or even eliminate duties on manufactured goods
- Reduce importing fees, such as Merchandise Processing fees and Brokerage fees
- Gain duty exemption on re-exports
- Eliminate duties on waste, scrap, and production yield loss
- Avoid inventory taxes while in the Zone
- Enhance supply chain performance
“The Chattanooga Foreign Trade Zone has been a valuable tool that Sofix utilizes to reduce customs duty liability on imported raw materials as well as adding efficiencies to our inventory tracking processes,” stated Paul Cahill, President of Sofix.
The Chattanooga Foreign Trade Zone includes 10 counties in Southeast Tennessee and one county in Mid-South Tennessee and is managed by the Chattanooga Chamber by Steve Hiatt. For more information, please visit the Chamber’s website: https://www.chattanoogachamber.com/why-chattanooga/existing-business-support/existing-business-resources Since 2015, the Chattanooga Chamber has assisted with new business locations and expansions totaling over $2.5 billion in investments and 9,000 jobs.
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