Bonded Warehouse
Category: trade
A secured warehouse where imported goods are stored without paying duties until released.
A bonded warehouse is a secured facility authorized by customs authorities where imported goods can be stored without payment of duties and taxes until they are released for domestic consumption or re-exported. Bonded warehouses allow sellers to defer duty payments, improve cash flow, and process goods (e.g., labeling, repackaging) before final distribution. Amazon's FBA warehouses in some countries operate as or alongside bonded facilities.
Examples
- • A seller storing goods in a US Foreign Trade Zone (FTZ) warehouse can defer customs duties until goods are shipped to US customers.
- • Amazon's European fulfillment centers may store goods under customs bond, allowing sellers to defer import VAT and duty payments.
- • Bonded warehouses in China (e.g., in Shanghai Free Trade Zone) allow cross-border e-commerce sellers to store goods for direct shipping to overseas consumers.