[Federal Register Volume 82, Number 72 (Monday, April 17, 2017)]
[Notices]
[Page 18105]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-07705]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B-23-2017]
Foreign-Trade Zone (FTZ) 203--Moses Lake, Washington, Proposed
Revision to Production Authority, SGL Automotive Carbon Fibers, LLC,
(Carbon Fiber), Moses Lake, Washington
SGL Automotive Carbon Fibers, LLC (SGLACF), operator of FTZ 203--
Site 3, submitted a notification that proposes a revision to its
existing production authority at its facility located in Moses Lake,
Washington. The notification conforming to the requirements of the
regulations of the FTZ Board (15 CFR 400.22) was received on March 30,
2017.
SGLACF previously requested and received FTZ Board approval for
authority to produce carbon fiber from foreign-status polyacrylonitrile
(PAN) fiber for export only within Site 3 of FTZ 203 (see FTZ Board
Order 1889, 78 FR 16247, 3/14/2013). Under that existing authority,
SGLACF must export all carbon fiber made from foreign-status PAN fiber.
In the current request, SGLACF proposes to replace the export-only
limitation pertaining to carbon fiber produced from foreign-status PAN
fiber with a requirement for the company to admit all foreign-status
PAN fiber (duty rate 7.5%) in privileged foreign (PF) status (19 CFR
146.41).
SGLACF's notification indicates the following: Production under FTZ
procedures with the proposed PF status requirement for admission of
foreign-status PAN fiber could exempt the company from customs duty
payments on foreign-status PAN fiber used in export production. For
SGLACF's domestic sales of carbon fiber, PF status would not allow the
company to elect the carbon fiber duty rate (free) on the value of
foreign-status PAN fiber used to produce the carbon fiber, thereby
precluding inverted tariff savings. In addition, at the time of customs
entry for each shipment of carbon fiber to the U.S. market, the company
would apply the PAN fiber duty rate (7.5%) on an estimated value of PAN
fiber contained in scrap resulting from the production process (based
on the actual percentage of scrap from the preceding year's
production). SGLACF's scrap rate was about 1% in 2016. The company is
seeking these changes to its FTZ authority for ``logistical
recordkeeping purposes.''
Public comment is invited from interested parties. Submissions
shall be addressed to the FTZ Board's Executive Secretary at the
address below. The closing period for their receipt is May 30, 2017.
A copy of the notification will be available for public inspection
at the Office of the Executive Secretary, Foreign-Trade Zones Board,
Room 21013, U.S. Department of Commerce, 1401 Constitution Avenue NW.,
Washington, DC 20230-0002, and in the ``Reading Room'' section of the
FTZ Board's Web site, which is accessible via www.trade.gov/ftz.
For further information, contact Diane Finver at
[email protected] or (202) 482-1367.
Dated: April 11, 2017.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2017-07705 Filed 4-14-17; 8:45 am]
BILLING CODE 3510-DS-P