Foreign-Trade Zone Export Enhancement

Summary#

This bill, the "Foreign-Trade Zone Export Enhancement Act of 2025," would change how certain goods in United States foreign-trade zones (FTZs) are treated for tariff purposes. It adds a new subsection to the Foreign Trade Zones Act saying that articles classifiable under a new HTS heading (9801.00.95) enter free of duty when they are manufactured or changed in condition in a U.S. FTZ and then withdrawn for direct export to a USMCA party. The bill also inserts a new HTS subheading describing merchandise subject to USMCA duty-deferral restrictions that is admitted into an FTZ, changed or made there, and then exported directly to a USMCA party. Finally, the bill directs U.S. Customs and Border Protection to issue any necessary implementing regulations within 90 days of enactment.

What it means for you#

• If you operate, work for, or do business with a company that uses a U.S. foreign-trade zone and exports goods directly to Canada or Mexico, this bill clarifies that some goods made or changed in an FTZ can be withdrawn for direct export without paying U.S. duties, as described under HTS 9801.00.95.
• U.S. Customs and Border Protection must write rules to explain how the changes will be applied.
• If you are not involved with FTZ operations or exports to USMCA partners, the bill likely has no direct effect on you.

Expenses#

No publicly available information on costs or budget effects is included in the bill text or metadata.

Proponents' View#

The bill states its purpose is to help foreign-trade zones support U.S. competitiveness in manufacturing and distribution and to create and preserve jobs. Supporters present the changes as clarifying tariff treatment so FTZs can continue to support those goals.

Opponents' View#

No publicly available information.