n n n ‘. concat(e. i18n. t(“search. voice. recognition_retry”),’n
On Monday, March 25, 2024, the company submitted a free zone application and expects a final resolution within 30 to 90 days.
The prestige and benefits of the CFZ would come with the opportunity for the company’s money to flow through reduced taxes and fees and the deferral of import duties.
Mullen estimates that the resulting deferred current capital on domestic sales may result in deferred capital expenditures of $10 million for the remainder of fiscal 2024.
BREA, Calif. , April 1, 2024 (GLOBE NEWSWIRE) — IBN — Mullen Automotive, Inc. (NASDAQ: MULN) (“Mullen” or the “Company”), an electric vehicle (“EV”) manufacturer, today announced that the Company has filed an application for Foreign Trade Zone (“FTZ”) prestige with the U. S. Department of Commerce. The U. S. Securities and Exchange Commission is a U. S. meeting facility and advertising vehicle production facility located in Tunica, Mississippi. Mullen filed his application on March 25, 2024, and expects a final resolution within 30 to 90 days.
Once approved as a designated free zone site, Mullen would be entitled to various benefits, including deferral of payment of overdue tasks similar to import tariffs. With the approval of the free zone, the company would be able to align taxes on cars sold. so that the pressure on money would be reversed, particularly from the style of duty payment existing at the time of importation. Upon approval, Mullen estimates that the resulting deferred working capital on domestic sales may result in deferred capital expenditures of $10 million for the remainder of the year. 2024 financial year.
For foreign sales, the company would be exempt from duties and taxes owed on vehicles sold, which would only generate a net profit of 27% of the import charge associated with Class 1 electric vans and Class 3 electric trucks.
“Achieving the prestige of FTZ approval is a vital strategic initiative to increase Mullen’s chain of origin control and generate significant cash flow savings,” said David Michery, CEO and president of Mullen Automotive. “As we continue to expand our international distribution, the flexible industry domain will gain competitive merit with no paid tasks or tasks for sales outside the U. S. U. S. “
The potential of flexible industry dominance includes:
Increased competitiveness
Reduction of Taxes and Fees
Increase logistical flexibility
Reverse Tariff Relief
Release of re-export tasks
Elimination of tasks on waste, waste and performance losses.
Weekly Entry Savings
Postponement of duties
Improve the performance of the global chain
What is a Foreign Industrial Zone? A foreign industry zone (CFZ or zone) is a secure domain in the United States where domestic and foreign products are sometimes considered to be components of foreign industry and are outside the U. S. customs territory. U. S. Customs Duties and Duties Purposes. The free zone function can defer, reduce or eliminate tariffs. Free industry zones were created by Congress in 1934 to inspire foreign industry and capital investment in the United States. The zones offer competitive merit for U. S. -based operations and attract foreign investment. to the United States by encouraging multinational corporations to identify operations in the U. S.
About MullenMullen Automotive (NASDAQ: MULN) is a Southern California-based automotive company building the next generation of electric advertising cars (“EVs”) with two U. S. -based vehicle plants. U. S. Centers for Disease Control and Prevention (650,000 square feet) are located in Tunica, Mississippi (120,000 square feet) and Mishawaka, Indiana (650,000 square feet). In August 2023, Mullen began production of advertising vehicles in Tunica. In September 2023, Mullen won IRS approval for federal EV tax credits on its advertising cars with a qualified manufacturer designation that gives eligible consumers up to $7,500 per vehicle. As of January 2024, the Mullen ONE, a Class 1 EV pickup truck, and the Mullen THREE, a Class 3 EV chassis-cab truck, are qualified by the California Air Resources Board (CARB) and the EPA and are available for sale in the United States.
To receive more information about the company, www. MullenUSA. com.
Forward-Looking Statements Certain statements in this press release that are not past facts are forward-looking statements within the meaning of Section 27A of the Securities Exchange Act of 1934, as amended. All statements contained in this press release other than statements of past fact may be deemed to be forward-looking statements. Words like “continue”, “will”, “possibly”, “may also simply”, “deserve”, “expect”, “expect”, “plan”, “intend”, “anticipate”, “believe”, “estimate “,” “predict,” “potential” and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve life-threatening threats and uncertainties that may also cause actual effects to differ materially from those expressed or implied by the forward-looking statements, many of which are sometimes beyond Mullen’s control and difficult to predict. Examples of such threats and uncertainties include, but are not limited to, when the Company will obtain a reaction from the United States Department of Commerce, whether the request will be granted, whether the Company will be granted the prestige of the Free Zone and, if so, What if all the benefits that the Company will obtain with this prestige. Additional examples of such threats and uncertainties include, but are not limited to: (i) Mullen’s ability (or lack of ability) to release additional financing in sufficient amounts or on appropriate terms when necessary; (ii) Mullen’s ability to maintain existing contracts and discharge additional contracts with manufacturers, parts and other service providers similar to its business; (iii) Mullen’s ability to effectively expand in existing markets and enter new markets; (iv) Mullen’s ability to effectively manage and integrate any business acquisitions, responses or technologies; (v) unanticipated operating prices, transaction prices and actual or contingent liabilities; (vi) the ability to attract and retain qualified workers and key personnel; (vii) the negative effects of an increased festival on Mullen’s business; (viii) adjustments in government licensing and regulations that may also have an adverse effect on Mullen’s business; (ix) the threat that adjustments in customer habits will likely have an adverse effect on Mullen’s business; (x) Mullen’s ability to protect its intellectual property; and (xi) local, industrial and general business and economic conditions. Additional points that may also cause actual effects to differ materially from those expressed or implied by the forward-looking statements can be discovered in the most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and the existing reports in form 8-. K filed through Mullen with the Securities and Exchange Commission. Mullen anticipates that upcoming events and developments may cause its plans, objectives and expectations to change. Mullen undertakes no obligation, and in particular disclaims any objective or obligation, to update any forward-looking statements, whether as a result of new developments, long-term developments or otherwise, unless expressly required by law. Forward-looking statements speak only as of the date they are made and should not be relied upon as representing Mullen’s plans and expectations as of any subsequent date.
Contact:Mullen Automotive, Inc. 1 (714) 613-1900www. MullenUSA. com
Corporate Communications: InvestorBrandNetwork (IBN) Los Angeles, California www. InvestorBrandNetwork. com 310. 299. 1717 Office Editor@InvestorBrandNetwork. com