[Federal Register Volume 83, Number 157 (Tuesday, August 14, 2018)]
[Notices]
[Page 40226]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-17417]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B-49-2018]
Foreign-Trade Zone (FTZ) 18--San Jose, California; Notification
of Proposed Production Activity; Tesla, Inc. (Electric Passenger
Vehicles and Components); Fremont and Palo Alto, California
Tesla, Inc. (Tesla) submitted a notification of proposed production
activity to the FTZ Board for its facilities in Palo Alto and Fremont,
California. The notification conforming to the requirements of the
regulations of the FTZ Board (15 CFR 400.22) was received on August 1,
2018.
Tesla already has authority to produce electric vehicles and
components of electric vehicles within Subzone 18G. The current request
would add one foreign status material/component to the scope of
authority. Pursuant to 15 CFR 400.14(b), additional FTZ authority would
be limited to the specific foreign-status material/component described
in the submitted notification (as described below) and subsequently
authorized by the FTZ Board.
Production under FTZ procedures could exempt Tesla from customs
duty payments on the foreign-status material/component used in export
production. On its domestic sales, for the foreign-status material/
component noted below, Tesla would be able to choose the duty rates
during customs entry procedures that apply to electric passenger
vehicles and related components (duty-free to 3.4%). Tesla would be
able to avoid duty on foreign-status components which become scrap/
waste. Customs duties also could possibly be deferred or reduced on
foreign-status production equipment.
The material/component sourced from abroad is an automotive
navigation apparatus (electronic control unit) (duty-free).
Public comment is invited from interested parties. Submissions
shall be addressed to the Board's Executive Secretary at the address
below. The closing period for their receipt is September 24, 2018.
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
Board's website, which is accessible via www.trade.gov/ftz.
For further information, contact Juanita Chen at
[email protected] or 202-482-1378.
Dated: August 8, 2018.
Elizabeth Whiteman,
Acting Executive Secretary.
[FR Doc. 2018-17417 Filed 8-13-18; 8:45 am]
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