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Case Study: FTZ Subzone for API Clearance

FTZ Subzone for API Clearance

Challenge

A customer needed to change from a domestically sourced API (active pharmaceutical ingredient) to an alternative, foreign-made API for a commercial product while avoiding any disruption to patient supply during the switch.

Approach

JHS established a Foreign Trade Zone (FTZ) subzone with the US government that covered the entire Spokane facility. FTZs can offer many benefits, including faster speed to market, cost savings, logistical flexibility, and inventory control. In this case, the FTZ saved the customer time and money by allowing JHS to continue manufacturing the product while collecting stability data for a future FDA filling on the alternative API source.

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