15 1 144 See Generd Definitions supra note 108 defining privileged foreign

15 1 144 see generd definitions supra note 108

This preview shows page 18 - 20 out of 75 pages.

15 1 144 See Generd Definitions, supra note 108 (defining "privileged foreign status"). 14' 19 C.F.R. § 146.43 (2012). 146 FTZ Procedures, supra note 99. "' 19 C.F.R. § 146.42 (2012). 149 What Happens in Foreign Trade Zones, HAWAii FOREIGN TRADE ZONE No. 9, littp:/ /index.php ?action-21 (last visited March 3, 2013). 149 Non-Privileged Foreign Status, About Foreign-Trade Zones & Contact Info, CPB.GoV, http:iiwww.cbp. gov/xp/ cgovitradeicargo securitvixcargo control/ fziabout flz.xml (last visited March 6, 2013). 150 d. ... Relief from Inve rtd Tarijf When MVambcturing in a Foreign-Trade Zone or Subzone. FOREIGN-TRADE ZONE CORP., http:/ -from-inverted-tariffs.aspx (last visited Nov 2 1 202). 17 Tiefenbrun: U.S. Foreign Trade Zones of the United States, Free-Trade Zones o Published by Scholarly Commons at Hofstra Law, 2014
Image of page 18
THE JOURNAL OF INTERNATIONAL BUSINESS & LAW M. History of Free Trade Zones Historically, the free trade zone was a tool for aggressive commercial powers. The free trade zone dates back to the time of the ancient Phoenicians, when safe passage was the chief guarantee offered foreign traders visiting Tyre and Carthage. Later the Greek city-states and then the Romans developed it into launching pads for economic and political domination. The free trade zone also helped to enrich members of the Hanseatic League. However, it was not until the later part of the 1960s that free trade zones began to play a significant role in international trade. The developing countries neglected to focus on free trade zones until the late 1960s, after the United Nations' Economic and Social Council adopted a resolution15 suggesting the benefits of improving port, Customs, and trade zone facilities in developing countries. Soon afterwards, the United Nations Industrial Development Organization (UNIDO) drew up a plan for a model free trade zone. Several governments have adopted UNIDO's provisions for free trade zone administration, infrastructure, tax holidays, and other investment incentives. Moreover, European Council Regulations on Customs warehouses and on free zones and free warehouses were approved. These rules establish warehousing and free zone procedures which are now uniformly regulated and used as an essential instrument in promoting Europe- an Union trade. 53 N. Free Trade Zones vs. Free Trade Areas There is a difference between a free trade zone and a free trade area. The areas in the North American Free Trade Agreement (NAFTA) and the European Union are free trade are- as. With the signing of NAFTA. all duties on goods traded among Canada, Mexico, and the United States were eliminated. 15 4 Although some concern was expressed about the future of free trade zone operations and their role in facilitating world trade in the light of the develop- ment of free trade areas such as NAFTA and the EU, NAFTA and other free trading areas created around the globe have not impeded the flow of trade into or out of the traditional free trade zones located in designated areas within a host country. For instance, in the case of Mexico, the
Image of page 19
Image of page 20

You've reached the end of your free preview.

Want to read all 75 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes