Free Trade Zone Strategy Expands U.S. Exports
Exports of Supplements to China: $9.3M and Growing
Jiangxi Province Foreign Affairs Official inspects U.S. products at the Nanchang Free Trade Zone (FTZ). The United Natural Products Alliance (UNPA) is helping U.S. dietary supplement companies expand exports to China through partnerships with FTZs, e-commerce accelerators, and US. Contract manufacturers and brands. In three years, this strategy has supported $9.3 million in U.S. export sales to China.
Navigating Regulatory Complexity and Trade Barriers
Access to China’s $23 billion nutrition and health products market involves navigating a range of regulatory requirements. The most significant is the “Blue Hat” registration, which certifies that products meet stringent quality and safety standards. While this registration is designed to protect consumers, it has created a trade barrier for foreign firms seeking market access. Other markets have similar registration requirements that often create barriers to entry for foreign companies.
UNPA is working to develop a complementary compliance pathway by integrating distributed ledger technology (DLT) within FTZ environments. This innovation aims to enhance supply chain transparency and product traceability, helping U.S. companies meet or exceed regulatory expectations—including those similar to those of Blue Hat—while supporting mutually recognized standards and fostering greater cross-border trust.
ITA Support
The support of the International Trade Administration (ITA) goes beyond the $300,000 financial award ITA made to UNPA to undertake a five-year project. ITA’s Commercial Service China staff, including Ming Yang, Jacqueline Cheng, and Catherine Le has helped UNPA coordinate and mount two major events in China. From Washington D.C., Leah Markowitz in ITA’s Industry & Analysis unit coordinates overall support by the 10-member ITA project team. From ITA’s Commercial Service field office in Salt Lake City, where UNPA is headquartered, Daniel Bruner provides stateside support.
Domestic FTZs Build U.S. Manufacturing, Strengthen Supply Chains, and Facilitate Exports
Inspired by the success of the FTZ model in China, UNPA is applying similar lessons domestically. In collaboration with the World Trade Center Utah, UNPA is leveraging the Salt Lake City FTZ and encouraging broader adoption of FTZs across the U.S. dietary supplement industry. These zones serve as secure platforms for strengthening supply chains, supporting U.S.-based manufacturing, enabling product testing, and facilitating global distribution.
This approach allows U.S. firms to import inputs duty-free, manufacture and certify them within compliant facilities, and re-export products globally — boosting margins and creating jobs in the U.S. With this strategy, UNPA projects over $100 million in annual export growth for the U.S. dietary supplement industry across China and other key international markets.