[Federal Register Volume 61, Number 208 (Friday, October 25, 1996)]
[Notices]
[Pages 55268-55269]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-27360]
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DEPARTMENT OF COMMERCE
[Docket 76-96]
Foreign-Trade Zone 176--Rockford, IL; Application for Subzone
Status, Nissan Industrial Engine Manufacturing USA, Inc., Plant (Spark
Ignition Industrial Engines), Marengo, IL
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the Greater Rockford Airport Authority, grantee of FTZ
176, requesting special-purpose subzone status for the spark ignition
industrial
[[Page 55269]]
engine manufacturing plant of Nissan Industrial Engine Manufacturing
USA, Inc. (NIEM) (a Nissan Kohki Co., Ltd./Nissan Forklift Corporation,
North America joint venture), located in Marengo, Illinois. The
application was submitted pursuant to the provisions of the Foreign-
Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the regulations of
the Board (15 CFR Part 400). It was formally filed on October 16, 1996.
The NIEM plant (11 acres/66,000 sq.ft.) is located at 19720 East
Grant Highway (U.S. 20) in Marengo (McHenry County), some 66 miles west
of Chicago, Illinois. The plant (28 employees) is used to produce spark
ignition industrial engines (ranging from 40 to 70 hp) used in forklift
trucks, construction equipment, generators, welders, and irrigation
equipment (HTS# 8407.90.1010) for export and the domestic market. Most
of the finished engines are shipped to U.S. forklift truck
manufacturers. The production process involves assembly, testing, and
warehousing. Components purchased from abroad (about 72% of total, by
value) include: crankcases (blocks), cylinder heads, intake/exhaust
manifolds, balancer shafts, connecting rods, piston sets, crankshafts,
rocker arms, intake/exhaust valves, bearings, housings, flywheels,
pulleys, gaskets, camshafts, timing chains, water pumps, magnetos,
fasteners, spark plugs, gauges, electrical components, thermostats, oil
filters, hoses and plastic molded parts (duty rate range: 0.4-9.1%).
The application indicates that U.S.-sourced components will comprise
some 29 percent of the finished engines' value within three years.
Zone procedures would exempt NIEM from Customs duty payments on the
foreign components used in export production. On its domestic sales,
the company would be able to choose the duty rate that applies to
finished industrial engines (duty free) for the foreign inputs noted
above. The application indicates that subzone status would help improve
the plant's international competitiveness.
In accordance with the Board's regulations, a member of the FTZ
Staff has been designated examiner to investigate the application and
report to the Board.
Public comment on the application is invited from interested
parties. Submissions (original and three copies) shall be addressed to
the Board's Executive Secretary at the address below. The closing
period for their receipt is December 24, 1996. Rebuttal comments in
response to material submitted during the foregoing period may be
submitted during the subsequent 15-day period (to January 8, 1997).
A copy of the application and the accompanying exhibits will be
available for public inspection at each of the following locations:
U.S. Export Assistance Center--Branch Office, P.O. Box 1747, 515 North
Court Street, Rockford, IL 61110.
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S.
Department of Commerce, Room 3716, 14th Street & Pennsylvania Avenue,
NW, Washington, DC 20230-0002.
Dated: October 17, 1996.
John J. Da Ponte, Jr.,
Executive Secretary.
[FR Doc. 96-27360 Filed 10-24-96; 8:45 am]
BILLING CODE 3510-DS-P
