Talbot's, Lakeville, Mass., Approved for Foreign Trade Subzone

The Foreign Trade Zone Board today published in the Federal Register (78 FR 63962) Approval of Subzone Status, Talbots Import, LLC, Lakeville, Massachusetts.

Textiles and Trade Blog has followed this application since it was first published (http://textilesandtrade.blogspot.com/2013/06/talbots-applies-to-use-ftz-procedures.html.

According to the application "The primary purpose for the Subzone is to facilitate exports to Talbot's Canada stores and exports elsewhere around the world servicing Talbot's customers." In the case of foreign apparel entered into the zone and later withdrawn for consumption in the United States, there will be no duty assessed when the goods enter the Subzone and duty will be assessed when they leave the zone and enter U.S. commerce. Thus Talbot's will save by deferring the duty payment to a date closer to the actually sale of the garments. In the case of goods entered into the Subzone for warehousing and later export to Canada or other foreign markets, Talbot's will pay no U.S. duty.

According to the application, Talbot's employs 135 workers in Lakeville, Massachusetts and approval of the Subzone will "assist Talbot's in resisting pressure to move distribution activities for MA or the US, will retain employment at the proposed FTZ site, and potenially increase employment directly related to Zone Activity."