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Tariff relief offered by SKU Distribution Center in Chandler designated as a Foreign Trade Zone

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Published  April 4, 2025 3:52pm MST
Chandler
FOX 10 Phoenix
Chandler distribution center provides tariff relief

Chandler distribution center provides tariff relief

Designated as a Foreign Trade Zone, SKU Distribution Center provides businesses with options to defer tariffs. FOX 10's Lauren Clark explains.

The Brief

    • SKU Distribution Center in Chandler offers a different way for companies to work around international tariffs.
    • Designated as a Foreign Trade Zone, or FTZ, the company has the ability to defer tariffs to help local companies manage cash flow.
    • The company is gaining widespread interest as businesses work to stabilize operations amid the new rules.

CHANDLER, Ariz. - Among the chaos of tariffs, one Valley business is turning heads. 

It's a local distribution center that offers something different than most.

What we know:

Customers of this distribution center are from all across the globe and deal with the impacts of tariffs just like everyone else. 

However, SKU Distribution Center in Chandler is marked as a Foreign Trade Zone, or FTZ.

"We’ve gotten [quite] a bit of interest," said James Peacock, founder and CEO of SKU Distribution.

It puts them in a unique position. 

It means international goods parked there don’t have to pay tariffs until they leave the warehouse and are sold.

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