Charlotte Regional Partnership
Contact Info

Ronnie Bryant, CEcD, FM, HLM
President & CEO
rbryant@charlotteusa.com

Charlotte Regional Partnership
550 South Caldwell Street
Suite 760
Charlotte, NC 28202
Phone: 704-347-8942
Toll Free : 1-800-554-4373
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Global Business Connections | Success Stories | International Connections | Cultural Organizations | Honorary Consuls | Foreign Trade Zone

Charlotte USA has become a major center for foreign investment in the United States. Textiles and furniture attracted the first foreign investors in the 1960s from Germany, Japan, Italy and Switzerland, who came here to build machinery for these industries in the US. Soon after, foreign investors discovered that this region was a great place to build other more complex machines, such as hi-tech industrial machinery and automobiles. Today, the economic landscape has become very diverse.

The international flavor of Charlotte USA means that not only are the American workers used to employment at foreign companies, but the entire supporting service industries have a great deal of experience with foreign companies. Lawyers, accountants, bankers, construction companies, and engineers are all familiar with international companies. Many have multilingual employees who can explain the intricacies of the American way of business in a foreign language. Naturally, many international business organizations have been formed that support this intricate network of foreign business.

Currently, there are more than 850 foreign-owned companies in the Charlotte region represented by 42 countries. In fact, if North and South Carolina were a separate nation, it would be the 17th largest economy in the world, slightly smaller than Australia and bigger than Belgium, generating $486 Billion in gross domestic product. The region's unique balance of business strength, accessibility, and quality of life certainly attracted many of these companies from abroad.
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Carolina's Carolina Global Business Connections
  • Over 1,800 firms in the Carolinas employing approximately 350,000 people.

     
  • 45 countries represented in the Carolinas.

     
  • Over $23 billion in exports.
     
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Success Stories In Charlotte USA

Company: Steag LLC
Parent Company: Steag GmbH (Germany)
Product: Catalyst Cleaning, Rejuvenation, Regeneration
Investment: $3 Million / 15 jobs (12/2006)
Location: Cleveland County, North Carolina
Success: Company also moved North American corporate headquarters to Kings Mountain, NC

Company: Sabo USA
Parent Company: Sabo (Brazil)
Product: Sealing & Fluid Transfer Technology
Investment: $10 Million / 80 jobs (1/2006)
Location: Lincoln County, North Carolina
Success:

Company: Cataler North America Corp.
Parent Company: Cataler Corporation (Japan)
Product: Catalytic converters
Investment: $50 Million / 82 Jobs (3/2001)
Location: Lincoln County, North Carolina
Success: Company added an additional production line ($10 Million) in 2003

Company: SAERTEX USA, LLC
Parent Company: SAERTEX Wagener GmbH & Co. KG (Germany)
Product: Technical textiles
Investment: $2.4 Million/ 10 Jobs (12/2000)
Location: Iredell County, North Carolina
Success: Company has doubled production capacity and has a total employment of 25 in 2004

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International Connections
For foreign companies relocating or expanding into the United States, the accessibility of the parent company to the US-subsidiary is very important. The time difference, therefore, between the parent company and the subsidiary plays an important role in any location decision.

Time Difference: UK and the East Coast US = -5 Hours
UK and the West Coast US = -8 Hours
Mainland Europe and the East Coast US = -6 Hours
Mainland Europe and the West Coast US = -9 Hours


Similarly, it is important for managers and executives to be able to travel back and forth between the U.S. subsidiary and parent company. Luckily, from the Charlotte Douglas International Airport, you are only one plane change away from any important business location in the world. Also, with 623 daily departures to 127 nonstop destinations, executives, salespeople and technicians can quickly connect to their customers worldwide.

Daily Nonstop International Flights to the following Destinations:
  • Frankfurt, Germany
     
  • London, England
     
  • Mexico City, Mexico
     
  • Montreal, Canada
     
  • Munich, Germany 
     
  • Paris, France
     
  • Toronto, Canada
     
  • Rio de Janiero, Brazil
     
  • Rome, Italy (coming Spring 2010)
     


Direct Domestic Flights to the Following Destinations:
  • Atlanta - 15 Flights per day
     
  • Boston - 8 Flights per day
     
  • Chicago - 27 Flights per day
     
  • Detroit - 13 Flights per day
     
  • Los Angeles - 3 Flights per day
     
  • Miami - 12 Flights per day
     
  • New York - 27 Flights per day
     
  • Philadelphia - 10 Flights per day
     
  • San Francisco - 2 Flights per day
     
  • Washington - 25 Flights per day
     

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List of Cultural Organizations
  • Alemannia Society of Charlotte
     
  • Alliance Française de Charlotte
     
  • Asian American Chamber of Commerce
     
  • Austrian Cultural Society
     
  • Friends of Scandinavia
     
  • Welsh Society of the Carolinas
     
  • German-American Club of Charlotte
     
  • Irish Society of Charlotte
     
  • Japan-American Society of Charlotte
     
  • Japanese Association in Charlotte
     
  • Korean Association of Charlotte
     
  • Suomi-Finland Club of Charlotte
     

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List of Honorary Consuls
  • Honorary Consul Austria
      Mr. Robert Friedl
      250 North Main Street
      Mount Holly, NC 28120
      (704)827-7256

     
  • Honorary Consul Canada
      Mr. Dana M. Hicks
      212 South Tryon Street
      Suite 325
      Charlotte, NC 28281
      (704)333-7790

     
  • Honorary Consul France
      Ms. Mildred D. Cox
      Charlotte Country Day Schools
      1140 Carmel Road
      Charlotte, NC 28226
      (704)943-4566

     
  • Honorary Consul Federal Republic Germany
      Mr. Kurt Waldthausen
      1910 Abbott Street, Suite 201
      Charlotte, NC 28203
      (704)372-2172
  • Honorary Consul Guatemala
      Mr. Steven Kropp
      201 S. Dotger Avenue
      Charlotte, NC 28203
      (704)333-5958
  • Honorary Consul Mexico
      Mr. Wayne Cooper
      PO Box 19627
      Charlotte, NC 28219
      (704)394-2190
  • Honorary Consul Moldova
      Mr. Florin Pindic Blaj
      PO Box 969
      Hickory, NC 28603
      (828)396-2220
  • Honorary Consul Nicaragua
      Mr. Gilberto Bergman
      5205 Monroe Road
      Suite C
      Charlotte, NC 28205
      (704)537-1230
  • Honorary Consul Switzerland
      Mr. Heinz Roth
      2208 Houston Branch Road
      Charlotte, NC 28270
      (704)383-3944

     
  • Honorary Consul United Kingdom
      Mr. Michael D. Teden, OBE
      330 South Tryon Street
      Charlotte, NC 28202
      (704)383-3944


     


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Foreign
Foreign Trade Zone

 

What is a Foreign Trade Zone?
A Foreign or Free Trade Zone is a neutral, secured area legally outside of U.S. Customs territory. Foreign or domestic merchandise may enter this enclave without a formal customs entry or the payment of customs duties or government excise taxes, and without a thorough examination.

If the final product is exported from the United States, no U.S. customs duty or excise tax is levied. If the final product is imported into the U.S., customs duty and excise taxes are due only at the time of transfer from the foreign trade zone and formal entry into the U.S. on the product itself or its imported parts, whichever is lower. Spoiled, damaged or waste good may be disposed of or re-exported without payment of duty.

What Are the Economic Benefits?
Foreign Trade Zones provide a myriad of economic advantages for businesses involved in international trade. Primarily, merchandise may be manipulated, used in a manufacturing process, inspected, combined with other domestic or foreign materials, displayed for sale and/or re-exported without payment of duty. Savings on personal property, sales and use taxes are possible since state and local governments generally do not impose such taxes on items in an FTZ. Additional savings on interest, labor and shipping costs may also result. The intent of the original FTZ Act was to stimulate international trade and thereby create new jobs. These new jobs are in companies engaged in international trade, as well as those in spin-off industries. New capital investment, generated by firms who might otherwise have located in foreign countries, is another important advantage. Growth in new
investment activity spurs development of support industries.

There are six Foreign or Free Trade Zones (FTZ) in North Carolina. Several sub zones are also approved for use by individual manufacturers
For information on a specific Foreign Trade Zone (6) in North Carolina, please contact:

Zone #57
Piedmont Distribution Centers www.distributiontechnology.com
1701 Continental Blvd.
Charlotte, NC 28214

Mailing address:
PO Box 7123
Charlotte, NC 28217
(800) 264-4771 or (704) 587-5587

 

21 Ways to Benefit With the FTZ Program

  1. Duty Deferral – Customs duties are paid only when imported merchandise is shipped to US Customs territory. Merchandise may be held in inventory in FTZ without Customs duty, indefinitely.
  2. Exports – Customs duties are not paid on merchandise exported from the FTZ.
  3. Defects, Damages, Obsolescence, Waste, Scrap – Customs duties are significantly reduced or eliminated on merchandise subject to defect, damage, obsolescence, waste and scrap in the FTZ.
  4. Non-dutiability of Labor, Overhead and Profit – Customs duties are not owed on labor, overhead and profit attributed to production operations in the FTZ.
  5. Inverted Customs Duty Savings – FTZ Users may elect to pay the duty rate applicable to component materials or merchandise produces from the component materials – whichever is lower.
  6. International Returns – Merchandise exported and subsequently returned to the FTZ is not subject to customs duties upon return. It can be repaired and re-exported without duty payment.
  7. Spare Parts – Unneeded spare parts may either be returned to the foreign vendor free of duty or destroyed, avoiding Customs duties.
  8. US Quotas – Most merchandise may be held in the FTZ, even if it’s subject to US quotas. When the quota opens, the product may be immediately shipped into the U.S. Customs Territory.
  9. Simplification of Import/Export Procedures – Delays in Customs clearances and duty drawback procedures are eliminated. Delivery times are reduced by direct shipments to the FTZ.
  10. Quality Control – The FTZ may be used for quality control inspections to ensure that only products that meet specifications are imported. Substandard good can be destroyed before duty is paid.
  11. Cargo Insurance – Some FTZ users have negotiated up to 40% reduction in cargo insurance rates because imported merchandise is shipped directly to the FTZ, thus avoiding potential pilferage at deep water ports and major international airports.
  12. Security – The FTZ is subject to Customs supervision and security procedures, saving you, the FTZ users, expenses for security and insurance.
  13. Inventory Control – FTZ operations require careful accounting on receipt, processing, and shipment of merchandise. Firms find that the increased accountability cuts down on problems with inaccurate receiving and shipping as well as waste and scrap.
  14. Consumed Merchandise – Merchandise consumed in processing in the FTZ is generally not subject to customs duties.
  15. Inventory Taxes – By Federal statute, tangible personal property imported from outside the U.S. and tangible personal property produced in the U.S. held in a zone for export are not subject to state and local ad valorem taxes. Most state and county tax authorities exempt all merchandise in the FTZ from inventory tax.
  16. Exhibition – Merchandise may not be held for exhibition without Customs duty payments. Many companies use FTZ’s as display areas for merchandise and machinery.
  17. Reduced Insurance Costs – The insurable value of merchandise held in FTZ need not include the Customs duty payable on the product. Therefore, insurance costs should be less.
  18. Country of Origin Marking and Labeling – No country-of-origin labels are required on merchandise admitted to the FTZ, saving a complicated procedure and up-front expense. If needed, the labels can be applied in the FTZ.
  19. Zone-To-Zone Transfer – An increasing number of firms are transferring merchandise from one zone to another. If the transfer is in-bond, Customs duty is not owed until the product is finally shipped to the U.S.
  20. Transfer of Title – Title to the merchandise may be transferred in the FTZ, as long as there is no ‘retail’ sale. The global supplier can own it until it’s shipped just-in-time to local manufactures.
  21. Accounting Systems – The specific identification of merchandise is unnecessary in the FTZ.
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Charlotte Regional Partnership 550 South Caldwell Street, Suite 760, Charlotte NC 28202 P 800.554.4373 F 704.347.8981 request@charlotteusa.com


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