It is not uncommon for transport costs to account for 10% of the total cost of a defense products so lowering transportation costs can create a competitive advantage.
There are numerous means for Mississippi defense companies to reduce their transportations costs.
The Port of Gulfport is a Strategic Port, as designated by the DOD, and serves as one of only 17 such ports in the entire US. With a close working relationship with the Defense Logistics Agency (DLA).
Foreign-Trade Zones (FTZ) are secure areas under U.S. Customs and Border Protection (CBP) supervision that are generally considered outside US territory upon activation. They help encourage activity and value-added at U.S. facilities in competition with foreign alternatives by allowing delayed or reduced duty payments on foreign merchandise, as well as other savings. Defense contractors who utilize imported component or export, should evaluate whether they can save costs through relief from inverted tariffs, duty exemption on re-exports, duty elimination on waste, scrap, and yield loss, or duty deferral. There are 4 FTZs and 45 subzones in Mississippi.
The University of Southern Mississippi's Center for Logistics, Trade and Transportation (CLTT) provides valuable professional development and applied research for the growing transportation and supply chain industry. One of its missions is to network government, industry, and the military and is active in the Transportation Research Board (AT035) Military Transportation Committee.
Foreign Trade Zones in MS