Descartes Systems Group, a global leader in logistics technology, announced that Michigan-based Automated Logistics Systems has adopted its Foreign Trade Zone (FTZ) solution to streamline customs clearance and reduce import costs for U.S. customers by deferring payment customs duties.
“With our Jackson, Michigan, warehouse already operating as a FTZ, we wanted to simplify compliance and reduce costs for our customers,” said Paul McDonald, strategic advisor at Automated Logistics Systems. “Descartes’ solution maximizes the savings potential of FTZs through automation while ensuring compliance with U.S. Customs and Border Protection (CBP) regulations. By digitalizing customs processes and improving shipment visibility, we have improved free zone services for goods destined for the domestic market.
A free trade zone is a federally authorized secure zone in which domestic and foreign goods are treated as not part of U.S. commerce for customs purposes. Descartes’ FTZ solution automates key processes such as customs declaration, shipment management, and warehousing while maintaining compliance with CBP regulations. It can work as a standalone tool or integrate with broader trade compliance platforms.
“Automated Logistics Systems leverages our FTZ solution to optimize operations and reduce costs at its Michigan facilities,” said Scott Sangster, managing director of Logistics Service Providers at Descartes. “Many importers do not have the expertise to manage free zone compliance and are turning to logistics providers. Our technology automates labor-intensive processes such as chain-of-custody tracking and entry declarations, enabling logistics providers to deliver efficient FTZ services without increasing overheads.
This partnership highlights the growing role of FTZ solutions in simplifying trade compliance, accelerating customs clearance and minimizing costs for importers navigating today’s complex logistics landscape.
Learn more about Descartes Solution for free zones.