The Casa Grande City Council unanimously adopted Resolution No. 5807 on September 2, 2025, supporting a Foreign Trade Zone subzone designation for the NRS Logios logistics facility located at the northwest corner of Ethington Road and Clayton Road. The facility sits on a 40-acre parcel directly across from the Kohler facility.
The NRS Logios Project
NRS Logios, a joint venture between NRS Corporation and the Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development (JOIN), has purchased approximately 40 acres and constructed a 67,680 square foot facility. The comprehensive logistics hub, which includes an ISO container storage yard and tank container facility, focuses on semiconductor and battery materials.
“They’re geared towards the chemical companies,” explained Richard Wilkie, Economic Development Director, during the meeting. The facility represents a capital investment of over $90 million and projects creating 90-100 full-time jobs.
Foreign Trade Zone Benefits and Process
NRS Logios has entered a federal application process seeking designation as a subzone under Foreign Trade Zone 75, which operates under Phoenix’s authority. The company requires letters of support from all taxing entities that receive property tax revenue from the facility, including Casa Grande.
According to Pinal County, Foreign Trade Zones (FTZs) are areas regulated by U.S. Customs and Border Protection that function as if they are outside of U.S. customs territory. This allows companies to bring in foreign or domestic goods for storage, manufacturing, or processing without immediately paying duties or quotas. Charges are only applied once products enter the U.S. market, offering cost savings and flexibility.
Key Benefits of FTZ Designation
- Duty deferral until goods enter the U.S. market
- Duty elimination on exports
- Reduced tariffs on certain imports (inverted tariff relief)
- No duties on scrap or waste
- Unlimited storage time without penalty
- Faster shipping through direct delivery and weekly entry options
- Local incentives — Arizona provides a 75–80% reduction in real and personal property taxes for activated FTZs (restrictions apply)
“Instead of having to go through the customs at Port of Long Beach, they can actually come in and go through the customs there on site,” Wilkie told the council. “There’s a lot of benefits that go along with that for them, including the customs being easier for them to go through.”
The federal application process can take up to a year for approval, and the company must pay annual administrative costs to the FTZ administration in Phoenix. Nearly all of Pinal County is already included in the expanded Alternative Site Framework for FTZ 75.
Property Tax Impact on Casa Grande
The most significant fiscal impact involves property tax reclassification. If approved by federal agencies, the taxing ratio on eligible portions of the property will drop from 15% to 5% for the next 20 years.
“From the City Council’s standpoint, or from the city standpoint, our budget is roughly 7% property tax. So it is a reduction in our property tax, but what we get for that is an international company that’s bringing good quality jobs to the community that’s gonna generate over time more property tax, more sales tax, more jobs,” Wilkie explained.
The director emphasized that while the city loses some immediate property tax revenue, the facility will ultimately drive more revenue to the community through job creation and economic activity.
Traffic and Operations
Councilmember Sean Dugan raised concerns about traffic impact. Wilkie assured the council that the facility will not generate hundreds of semi trucks daily.
“They’re gonna be in iso-containers and they’ll be on semi trucks mainly that come in here,” Wilkie said. “The jobs are about 90 jobs and so you’re not gonna see hundreds. And it’s not gonna be a Walmart distribution.”
Casa Grande’s Growing Trade Zone Portfolio
Casa Grande has become increasingly attractive to companies seeking Foreign Trade Zone benefits. Wilkie identified several local companies with similar designations: “NRS would be one. Lucid, definitely one. Kohler, Ching Chung has gone through one. We’ve had another interest by one of the other chemical companies looking at it. Abbott Labs. So we have a number of them.”
The designation serves as a crucial economic development tool. “The selling points that a lot of companies are looking for, they’ll come in and say, ‘Are you in a foreign trade zone?’ And we can answer, ‘Yes.’ And, ‘Do you support foreign trade zone applications?’ And so that is what a lot of these companies are taking a look at when they make their decision,” Wilkie explained.
Broad Support Across Taxing Entities
The project has received strong support from required entities. About 12 taxing entities must provide letters of support, according to Wilkie. The high school, elementary school, and Central Arizona Project had already provided letters of support. Pinal County recently passed letters of support from the library district, flood district, and the county itself. Central Arizona College was scheduled to act on their support letter on September 16.
Federal Review Ahead
The approved resolution moves NRS Logios closer to submitting their complete federal application. The U.S. Department of Commerce will review the request and determine which portions of the property qualify for Foreign Trade Zone activation. This federal designation process could take up to a year to receive final approval, marking just the beginning of the company’s extensive compliance and operational requirements
