Virginia is the best choice for Foreign Trade Zones (FTZ) activities due to our strategic Mid-Atlantic location. Companies locating in FTZ 20 can benefit from advanced distribution networks, easy and reliable access to shipping channels, highways, railways and airways.
FTZs are areas which are geographically inside the United States, but are legally considered outside its Customs territory. Companies that locate in FTZs can benefit by using special procedures to encourage US activity by reducing, eliminating or delaying duties.

To receive the benefits of the foreign trade zone 20, companies must locate or be located 60 minutes or 90 miles from the Customs Port of Entry in Norfolk, VA.
&nbsp;
<img src="https://pov2022.wpengine.com/wp-content/uploads/2022/09/FTZ-20.png" alt="map rendering of The Port of Virginia" />

FOREIGN TRADE ZONE 20 SERVICE AREA

<ul>
<li>Duty Deferral: Users can avoid paying duties on imported merchandise until the goods are removed from the FTZ and enter in the US commerce. Duty on machinery is deferred until it is put into production.</li>
<li>Duty Elimination: There is no duty paid on re-exports or scrap.</li>
<li>Inverted Tariffs/Duty Reduction: FTZ zone users can pay lower duty rates on goods produced in the zone when the finished product has a lower duty rate than the imported components and parts.</li>
<li>Logistical Benefit: Companies using FTZ procedures may have access to Weekly Entry and Direct Delivery through Customs and Border Protection.</li>
<li>No Time Constraints: Merchandise may remain in the zone indefinitely, whether or not it is subject to duty.</li>
<li>Customs Compliance: Customs &amp; Border Protection requirements and federal criminal sanctions are deterrents against theft. Cargo that is imported into FTZs have fewer incidents of loss and may result in lower insurance costs.</li>
<li>Quarterly Harbor Maintenance Fee: Paid quarterly instead of at the time the import arrives.</li>
<li>Zone to Zone Transfers: Sending zone may pass duty obligation to receiving zone.</li>
<li>No Time Constraints on Storage: Merchandise may remain in the zone indefinitely, whether or not it is subject to duty.</li>
</ul>

USER BENEFITS

<ul>
<li>Help facilitate and expedite international trade.</li>
<li>Provide special customs procedures as a public service to help firms conduct international trade related operations in competition with foreign plants.</li>
<li>Encourage and facilitate exports.</li>
<li>Help attract offshore activity and encourage retention of domestic activity.</li>
<li>Assist state/local economic development efforts.</li>
<li>Help create employment opportunities.</li>
</ul>

PUBLIC BENEFITS

Step 1: Contact The Port of Virginia
Laura Swankler 
Sr. Manager, Port Centric Logistics 
<a href="mailto:lswankler@portofvirginia.com">lswankler@portofvirginia.com</a> 
<a href="tel:757-683-2135">(757) 683-2135</a>
&nbsp;
Step 2: Apply with The Port of Virginia
<ol>
<li>Site visit by The Port of Virginia</li>
<li>Complete the site designation application</li>
<li>Submit application and application fee to The Port of Virginia</li>
<li>Port of Virginia obtains concurrence from CBP-Norfolk</li>
<li>Port of Virginia submits all documents to FTZ Board</li>
</ol>
Step 3: Receive approval from FTZ Board
<ol>
<li>Application review by FTZ Board. Site will be approved within 30 days.</li>
<li>Review and sign Operator Agreement with Port of Virginia</li>
</ol>
Step 4: Activate with US Customs and Border Protection
<ol>
<li>Grantee will notify user when FTZ Board has approved the site</li>
<li>CBP and FTZ user can now begin activation. Go to: <a href="https://www.cbp.gov/sites/default/files/documents/FTZmanual2011.pdf" target="_blank" rel="noopener">https://www.cbp.gov/sites/default/files/documents/FTZmanual2011.pdf</a></li>
</ol>

HOW TO APPLY

<a href="http://ia.ita.doc.gov/ftzpage/index.html" target="_blank" rel="noopener">U.S. Foreign Trade Zones Board</a> 
<a href="https://www.cbp.gov/" target="_blank" rel="noopener">U.S. Customs and Border Protection</a> 
<a href="https://www.commerce.gov/" target="_blank" rel="noopener">U.S. Department of Commerce</a> 
<a href="https://naftz.org/" target="_blank" rel="noopener">National Association of Foreign Trade Zones</a>
&nbsp;
For more information please contact: 
Laura Swankler 
Sr. Manager, Port Centric Logistics 
<a href="mailto:lswankler@portofvirginia.com">lswankler@portofvirginia.com</a>

RESOURCES

Foreign Trade Zone #20

Collaborative Infrastructure Upgrades

Port Initiatives

Our commitment to net-zero emissions by 2040 includes transitioning to renewable energy sources across all port operations, reducing fuel emissions, and investing in zero-emission technologies. The Port of Virginia will continue to invest in initiatives in support of our commitment. 
 
Related Links:
<div class="ewa-rteLine"><a href="https://future.portofvirginia.com/marketing/environmental-sustainability/">See Our Environmental Sustainability Commitment</a></div>

Environmental Sustainability

Port Investments

This growth initiative will construct a new drop lot for long-haul drivers to store containers while the terminal is closed. The modernized gate will consist of two inbound and two outbound lanes that will mirror the successful gate functionality at Virginia International Gateway (VIG) and Norfolk International Terminals (NIT). The new functionality will bring a higher level of safety to the facility by allowing the interchange of containers to be completed in the main terminal building instead of outside in the gate lanes.
Customer Benefits:
<ul>
<li>The added drop lot will provide a convenient location for drivers to stage import and export containers.</li>
<li>Modernization of the inbound and outbound lanes add a higher level of safety while improving the speed and accuracy of your cargo movement.</li>
</ul>

Gate Modernization and Drop Lot Storage

The Central Rail Yard will complement the investment of semi-automation of Norfolk International Terminals with an expansion and modernization of its on-dock rail operation. This will provide our gateway with an additional 455,000 TEU rail capacity for our customers who rely on efficient rail service to move their cargo.
The project will implement the same technology, successfully deployed at Virginia International Gateway, which has demonstrated substantial operational efficiencies resulting in the faster movement of your cargo.
Customer Benefits:
<ul>
<li>Efficient intermodal rail transfer, providing rapid supply chain delivery to key consumption markets</li>
<li>Reduction of road traffic and congestion, enhancing dray partner productivity and satisfaction</li>
</ul>

Central Rail Yard Expansion

<div>
This strategic initiative will deliver the same innovative semi-automation to NIT-North  as our other container terminals, increasing throughput and reliability, while at the same time densifying stacks to increase overall capacity to 1.4 TEUs annually.  The project will transform the all-diesel straddle carrier operation to all-electric by adding 18 semi-automated stacks with 36 rail-mounted gantry (RMG) cranes, supporting our Net-Zero Carbon Emissions by 2040 commitment. At the completion of this project, all of our marine container terminals will be semi-automated providing superior efficiency and capacity.
</div>
Customer Benefits:
<ul>
<li>Efficient cargo throughput, driving supply chain reliability</li>
<li>Quick and predictable truck turn-times, ensuring dray partner productivity and satisfaction</li>
<li>Vessel productivity, enhancing carrier asset utilization and cost management</li>
</ul>

Container Terminal Optimization

This strategic initiative will deliver the same innovative semi-automation to NIT-North as our other container terminals, increasing throughput and reliability, while at the same time densifying stacks to increase overall capacity to 1.4 TEUs annually. The project will transform the all-diesel straddle carrier operation to all-electric by adding 18 semi-automated stacks with 36 rail-mounted gantry (RMG) cranes, supporting our Net-Zero Carbon Emissions by 2040 commitment. At the completion of this project, all of our marine container terminals will be semi-automated providing superior efficiency and capacity.
Customer Benefits:
<ul>
<li>Efficient cargo throughput, driving supply chain reliability Quick and predictable truck turn-times, ensuring dray partner productivity and satisfaction. </li>
<li>Vessel productivity, enhancing carrier asset utilization and cost management.</li>
</ul>

Marine Terminal Optimization

This initiative will convert a mainly wheeled operation to a densified rubber tire gantry (RTG) crane operation, making better use of the facility footprint, increase efficiency and create more storage space. A new three-track bundle will create 4,400 linear feet of working track.
Customer Benefits:
<ul>
<li>Modernization of the rail will provide a more efficient ground operation resulting the fluid movement of your cargo to its inland destination.</li>
</ul>

Rail Expansion

In a historic effort between the port, federal and state elected leaders, the US Army Corps of Engineers’ Norfolk District office and the Virginia Maritime Association – the funding has been secured for the port and the US Army Corps to bring the Norfolk Harbor widening and deepening project to fruition. This 50-50 cost share project between the federal government and the port is a strategic initiative that will increase the depth of the Norfolk Harbor to 55 feet, Thimble Shoal Channel to a depth of 56 feet with widening to accommodate two-way vessel traffic, and the Atlantic Ocean Channel to a depth of 59 feet. An additional benefit of the project includes utilizing the dredged sands to offer additional coastal protection to local beaches.
Customer Benefits:
&#8211; 1400 feet channel width allows for simultaneous passing of two ULCVs providing industry leading berth efficiency and reducing overall transit time.
&#8211; The deepest channels on the East Coast accepts the largest ships in the industry giving you unprecedented access to move your cargo faster and with reliability.

Channel Deepening & Widening

The Port of Virginia completed the renovation of Norfolk International Terminals (NIT) Southern Berth in 2022. This project transformed the oldest and largest terminal of the port into one of the most state-of-the-art terminals on Earth. Utilizing the same footprint, 60 new semi-automated stacking cranes have added 46% capacity, while also making the terminal safer, more efficient and more environmentally friendly.
Customer Benefits:
<ul>
<li>State-of-the-art semi-automated technology produced a terminal with industry leading turn times.</li>
<li>Increased TEUs by 700,000 to a total annual TEU capacity of 1.6 million proving fluidity for your cargo.</li>
</ul>

Marine Terminal Capacity Expansion and Semi-Automation

Our Virginia International Gateway (VIG) Terminal now features the largest cranes on the East Coast and increased container capacity by expanding the berth at VIG another 800 feet to accommodate as many as three ultra-large container vessels (ULCVs) at the same time. The Port of Virginia constructed 13 new semi-automated container stacks serviced by 26 rail-mounted gantry cranes, creating more room to stack and sort shipping containers.
Customer Benefits:
<ul>
<li>Increased TEUs by 963,000 thousand to a total annual TEU capacity of 2.1 million.</li>
<li>4 new inbound gate lanes driving fast turn times</li>
</ul>