What advantage does "foreign trade zone" (FTZ) status provide for imported goods?

FTZ status offers a significant advantage by allowing for delays in duty payments and flexible treatment of goods. When imported items are placed in a foreign trade zone, duties and tariffs are not owed until the goods leave the zone for consumption in the domestic market. This means companies can manage cash flow more effectively by delaying the payment of duties until they are certain about how the goods will be used or sold.

Additionally, within an FTZ, companies can manipulate and process goods without triggering duty liabilities. This flexibility is particularly beneficial for businesses involved in assembling, repackaging, or value-added activities. It enables companies to tailor their operations more efficiently, optimizing logistics and potentially reducing overall costs.

The other options do not accurately describe the benefits of FTZ status. For instance, immediate delivery without duty payments is not characteristic of FTZs, as duties apply when the goods are imported into the U.S. market. Exemption from all tariffs is also not accurate; while FTZs defer duties, they do not exempt them entirely. Lastly, the idea of permanent storage without customs oversight contradicts the nature of FTZ operations, as customs still maintains regulatory oversight in these zones.