Pier Sixty-Six Marina has been designated a foreign-trade zone by the United States Customs and Border Patrol. What does this mean exactly? According to Wikipedia, in the United States, a foreign-trade zone (FTZ) is a geographical area, in (or adjacent to) a United States Port of Entry, where commercial merchandise, both domestic and foreign receives the same Customs treatment it would if it were outside the commerce of the United States. Merchandise of every description may be held in the zone without being subject to tariffs (customs duties) and other ad valorem taxes. This tariff and tax relief is designed to lower the costs of U.S.-based operations engaged in international trade and thereby create and retain the employment and capital investment opportunities that result from those operations.
The new zone is expected to provide several benefits to yacht owners looking to sell their vessels to U.S. buyers, or have them repaired or upgraded by marine industry craftsmen in South Florida. Previously reserved for ports, holding zones and airport “duty-free” zones, the FTZ designation will permit international vessels to dock at Pier Sixty-Six Marina without paying duty, and allow brokers to show for-sale vessels to U.S. citizens. Vessels will be able to come and go as needed from the zone to accommodate owner trips or charters. And newly built yachts that have entered the U.S. within the last three years can use the zone to file for a refund on previously paid duties. Additionally, major yacht refit projects can also benefit because duties on all imported parts can be deferred while vessels are in the zone. After the work is completed, the vessels may depart the U.S. without being required to pay duties or taxes. This is great news for Broward County as the FTZ designation makes the upcoming Fort Lauderdale Boat Show the only one in the country where FTZ transactions can take place. The estimated economic impact of the marine industry is $8.8 billion in the county.
The FTZ designation works like this: two weeks prior to arrival, the owner’s representative needs to provide a list of all the crew members, the vessel’s registration, the value of the vessel, and the name of the vessel. Once these are filed, the vessel will need to be considered cargo and then must cancel their cruising permit. The vessel can leave Pier Sixty-Six Marina for sea trials, boat shows, etc, as long as Customs Border Patrol form 216 is filed. The vessel can not leave US waters however and has to return to the original FTZ slip within 120 days of departure. Pier Sixty-Six Marina is working with Interport Logistics to work as an agent through the process. Please call (954) 873-3157 for more information.