Pharma Firm Adds Ulcerative Colitis Drug to Duty-Free Zone List
Published Date: 3/13/2026
Notice
Summary
Patheon API, Inc. in Cincinnati wants to add a new ulcerative colitis drug to their Foreign-Trade Zone production list, which means they can save on import duties for certain materials. This change affects pharmaceutical manufacturing and invites public comments until April 22, 2026. It’s a smart move to keep costs down and boost local drug production!
Analyzed Economic Effects
2 provisions identified: 1 benefits, 1 costs, 0 mixed.
FTZ Adds Ulcerative Colitis API
Patheon API, Inc. in Subzone 46K (Cincinnati, Ohio) asked to add an ulcerative colitis active pharmaceutical ingredient (API Ono-6414HY) to its Foreign-Trade Zone production list. The proposed finished product is listed as duty-free when produced under FTZ procedures.
Imported Component Faces 6.5% Duty
The notification identifies a specific foreign-status material/component used in production that carries a duty rate of 6.5%. The request also says this material may be subject to duties under section 301 of the Trade Act of 1974 depending on country of origin, and applicable section 301 decisions require admission to FTZs in privileged foreign status under 19 CFR 146.41.
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