Nonprivileged Domestic Status

Summary of Nonprivileged Domestic Status

The condition of merchandise of U.S. origin entered into a foreign trade zone (read this and related legal terms for further details), other than goods that have been granted privileged domestic STATUS (read this and related legal terms for further details). Nonprivileged merchandise is subject to classification, appraisal, and taxation at the time the goods leave the foreign trade zone and enter the customs territory of the United States. Imported merchandise upon which duties have already been paid prior to entry into the zone may be subject to additional levies unless the privileged status is obtained at time of entry into the zone.

(Main Author: William J. Miller)