MAS US Holdings, Inc., a subsidiary company of Sri Lankan-based apparel and textile manufacturing company MAS Capital, was approved by the U.S. Department of Commerce for a Foreign Trade Zone (FTZ) sub-zone with sites at their Siler City and Asheboro locations. Once activated, the company can bring imported components or products into their facility and reduce, eliminate and/or defer tariff payments until the imports leave the facility. MAS US Holdings’ subzone is a distribution center, meaning imported products will be held for distribution to customers.
MAS US Holdings’ application is indicative of a growing interest in the benefits and competitive advantage that FTZs can provide to local companies that rely on importing products. “As change-drivers in the industry, MAS reached a juncture in our evolutionary journey where the collaborative relationships with our customers demanded more engagement and responsiveness aside from the rapid delivery of innovative products and services”, remarked Ramesh Fernando, Chief Executive Officer of MAS US Holdings. “Through the acquisition of the business operations of Acme McCrary Corporation, we can now offer our customers in the Western Hemisphere unrivaled global market competitiveness. Foreign Trade Zone (FTZ) capability enhances our value proposition to offer ‘Design to Delivery’ solutions on shore. Additionally, this move offers MAS the opportunity to take our message of empowerment to a global stage, creating evolving, sustainable job opportunities and career paths for communities.”
Regionally, economic developers and partners are realizing the value a multi-faceted strategy can provide to recruit and strengthen businesses. “Our FTZ, which is administered by Triangle J Council of Governments Renee Boyette, has once again played a prominent role in a major labor-intensive economic development expansion in rural North Carolina”, said Tom White, Chair of the FTZ Board. “MAS US Holdings leadership visited the NC State University College of Textiles back in November 2016, guided by EDP NC and Randolph County EDC. During the course of lab tours and presentations by University faculty and staff, the topic of exports/imports and foreign trade zones surfaced. Through the partnership of the FTZ and educational institutions, MAS US Holdings saw it prudent to invest in NC’s advanced manufacturing facilities, producing apparel as a reactivation of one of our state’s amazing legacy commodity production industries.”