Which term describes a storage facility for imported goods under customs control?

• A. Free port
• B. Bonded warehouse
• C. Export zone
• D. Warehouse

Answer: (B)

A bonded warehouse is a facility authorized by customs to store imported, dutiable goods under their supervision, allowing the payment of duties and taxes to be deferred until the goods are released for domestic use or exported. This arrangement enables importers to defer costs, manage cash flow, and sometimes perform limited processing under customs control while the goods remain in storage.

The other terms don’t describe this specific setup. A free port refers to a trade-enabling area with relaxed rules for handling goods, not necessarily a formal customs-controlled storage for duty deferral. An export zone is focused on promoting manufacture and storage for export, rather than holding imports under customs control. A warehouse is simply general storage without the formal customs-duty deferral and supervision that characterizes a bonded facility.