[Federal Register Volume 63, Number 76 (Tuesday, April 21, 1998)]
[Notices]
[Page 19707]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-10571]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 21-98]
Foreign-Trade Zone 226--Merced County, CA, Request for
Manufacturing Authority Grundfos Manufacturing Corporation (Industrial/
Commercial Pumps)
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the Board of Supervisors of the County of Merced,
California, grantee of FTZ 226, pursuant to Sec. 400.28(a)(2) of the
Board's regulations (15 CFR part 400), requesting authority on behalf
of Grundfos Manufacturing Corporation (Inc.)(GMC)(a subsidiary of
Grundfos International, Denmark) to manufacture industrial and
commercial pumps under FTZ procedures, subject to restriction, within
FTZ 226. It was formally filed on April 14, 1998.
The GMC plant (243,000 sq. ft.) is located within Site 8 of FTZ 226
at 5900 East Shields Avenue, Airways East Business Park, in Fresno,
California. The GMC plant (400 employees) is used to produce liquid
pumps for residential, agricultural, and industrial uses, including
circulating pumps, multi-stage centrifugal pumps, submersible water
pumps, and environmental monitoring well pumps. End uses include
heating systems, environmental sampling, car washes, refineries, fire
protection, ground water pumping. Components and materials sourced from
abroad (representing about 70% of all parts consumed in manufacturing)
include: lubricating oils, articles of plastic/rubber, thermoplastic
resins, corrugated boxes, adhesive labels, ceramic articles, stainless
steel strips, stainless/alloy steel shafts, flanges, pipe fittings,
fasteners, springs, parts of pumps, housings, stators, rotors,
bearings, seals/gaskets, sleeves, bushings, blades, impellers, valves
and seats, couplings, electric motors, transformers, capacitors,
resistors, voltage limiters, relays, switches, cable, terminal boxes,
and copper wire (duty rate range: free-6.4%). The application indicates
a willingness to accept a restriction requiring that all foreign-origin
stainless steel mill products mentioned above shall be entered for
consumption with Customs duties paid prior to admission to FTZ 226.
Some 25 percent of the plant's shipments are exported.
FTZ procedures would exempt GMC from Customs duty payments on the
foreign components (except stainless steel mill products) used in
export production. On its domestic sales, GMC would be able to choose
the duty rates during Customs entry procedures that apply to finished
pumps (0.6%) for the foreign inputs noted above, except stainless steel
mill products. The request indicates that the savings from FTZ
procedures 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 June 22, 1998. Rebuttal comments in
response to material submitted during the foregoing period may be
submitted during the subsequent 15-day period (to July 6, 1998).
A copy of the application and the accompanying exhibits will be
available for public inspection at the following location: 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: April 14, 1998.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 98-10571 Filed 4-20-98; 8:45 am]
BILLING CODE 3510-DS-P
