NAFTZ Survey Signals Increased U.S. Foreign-Trade Zone Activity for 2026 | Trade and Industry Development

NAFTZ Survey Signals Increased U.S. Foreign-Trade Zone Activity for 2026

Jan 19, 2026
Survey findings suggest Foreign-Trade Zones strengthen U.S. competitiveness by enhancing risk management, supply chain resilience and economic development efforts.

New survey findings released by the National Association of Foreign-Trade Zones (NAFTZ), the only national trade association focused solely on the U.S. Foreign-Trade Zone (FTZ) program, point to continued momentum for the national initiative as companies and communities navigate ongoing volatility in global trade, tariffs and supply chains.

Within federally designated Foreign-Trade Zones, goods are treated as outside U.S. Customs territory, allowing companies to store, process, assemble or manufacture products while deferring or reducing customs duties. As trade conditions remain fluid, U.S. FTZs are increasingly being used as a strategic tool to manage risk, improve compliance and support long-term investment decisions.

In NAFTZ’s year-end survey of private-sector FTZ users and operators (manufacturers, distributors and logistics companies), nearly half (49%) of the respondents reported increased FTZ activity in 2025. This includes higher production levels, admissions, exports or inventory volumes. An additional 18% of respondents reported stable activity year-over-year, underscoring the program’s role as a stabilizing force amid trade uncertainty.

Looking ahead, expectations for growth remain strong. More than 83% of responding grantees – typically local or regional economic development organizations that administer zones – anticipate increased applications and overall U.S. FTZ activity in 2026, signaling confidence from communities actively recruiting and supporting investment. Among U.S. FTZ user/operator respondents, expectations for expanding FTZ-based operations in 2026 averaged above the midpoint on a 100-point likelihood scale, with many indicating strong intent to grow their use of the program next year.

The survey also illustrates how companies are using U.S. FTZs to respond to shifting trade and supply chain conditions. While duty deferral (72%), weekly entry and merchandise processing fee savings (56%), and duty savings (51%) remain the most frequently cited benefits, respondents increasingly emphasized operational and strategic advantages such as security and compliance accuracy (21%), inventory accuracy and visibility (18%), and reduced supply chain volatility (15%).

Operationally, FTZ user/operator respondents reported navigating a wide range of pressures in 2025, including supplier diversification, nearshoring evaluations, demand fluctuations and tariff-driven sourcing changes – further highlighting the importance of flexibility within trade infrastructure. Looking to 2026, they identified emerging opportunities tied to advanced inventory management systems (21%), nearshoring and reshoring trends (31%), e-commerce growth and faster fulfillment expectations (15%), and global competitiveness pressures (33%), as key factors shaping their FTZ strategies.

“Foreign-Trade Zones have long served as a practical, proven tool for helping American companies adapt to change,” said Jeff Tafel, president of NAFTZ. “As trade conditions continue to evolve, these findings show that U.S. FTZs are delivering real-world value – supporting operational flexibility, strengthening supply chains, and enabling investment decisions that benefit communities across the country.”

At the community level, the U.S. FTZ program continues to demonstrate clear economic development impact. Two-thirds (67%) of responding FTZ grantees reported that their zones directly supported new or expanded economic development activity in 2025, including user expansions and new participation, and an equal share said they continue to receive positive feedback from companies on the value of FTZ participation. Nearly 63% also indicated that the U.S. FTZ program has adapted well to the current macroeconomic environment, reinforcing its relevance as trade and industrial policy evolves.

Together, these findings reinforce the continued importance of the U.S. Foreign-Trade Zone program as a tool for strengthening U.S. competitiveness, supporting investment and creating jobs – particularly as companies and communities plan for growth amid a complex global trade landscape.

 

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