Portage foreign trade zone gets high marks Is eighth out of 256 general purpose areas, report says; Ohio ranks 3rd as state

6/30/2008

Ohio ranks third of 50 states, behind only Texas and Louisiana, for production and sales in its foreign trade zones, according to a recent federal report. The National Association of Foreign Trade Zones report, issued in June, showed the state's 10 foreign trade zones, which include parts of Portage County, had an annual volume of $30.8 billion with $2.4 billion in exports.

Foreign Trade Zone 181, which covers the Akron Canton area and parts of Portage County, ranked eighth in general purpose zone activity out of the nation's 256 general purpose foreign trade zones.  Ron DeBarr is president of the Northeast Ohio Trade and Economic Consortium. NEOTEC holds the grant authority for the area's trade zone and, as such, acts as the administrative body which is responsible for management and promotion of the zone.
DeBarr said Ohio has always ranked high in the factors used for measuring foreign trade zone economic activity.
"Portage County has been a very good supporter of the program," DeBarr said. "(County leaders are) very active in promoting the zone and working with companies."

Businesses operating within foreign trade zones are allowed to import components and products into the zone for manufacturing without immediately paying the prevailing U.S. Customs duties. Under the program, manufacturers may never pay a duty if the finished product is exported to another country, or builders pay a lower duty if the product leaves the zone for a destination within the country.

Portage County Board of Commissioners Vice President Chuck Keiper, who played a role in helping to found foreign trade zone 181, said development of the zone secured Streetsboro's L'Oreal Matrix facility when the hair products giant was considering locations in other states, including Kentucky.   "It is what made us a little more attractive than the other people in the mix," Keiper said. "We have that remarkable facility and a few hundred jobs ... for having a foreign trade zone. One of the deal sealers was their ability to locate in the zone, so they can ship on a duty-free basis."

Three separate sites, two in Streetsboro and one in Brimfield Township, comprise the county's makeup of the foreign trade zone. The Streetsboro sites include the Geis-developed Interstate Commerce Park near Interstate 480, which includes L'Oreal Matrix, and the Frost Road Commerce Center. Both sites total 149 acres.
The Brimfield site is 12 acres, but no companies have located there yet, DeBarr said.  "We expect that to be developed in the next couple years," he said.

Back to News