[Federal Register Volume 62, Number 175 (Wednesday, September 10, 1997)]
[Notices]
[Pages 47625-47626]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-23997]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 70-97]
Foreign-Trade Zone 27--Boston, MA; Application for Subzone
Status; Massachusetts Heavy Industries, Inc. (Shipbuilding)
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the Massachusetts Port Authority, grantee of FTZ 27,
requesting special-purpose subzone status for the shipbuilding facility
of Massachusetts Heavy Industries, Inc. (MHI), in Quincy, Massachusetts
(formerly, General Dynamics-Quincy shipyard, the site of former FTZ
Subzone 27B). 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
September 4, 1997.
The MHI shipyard (104 acres, up to 1,000 employees) is located at
115 East Howard Street in the City of Quincy, on the Weymouth Fore
River. Currently undergoing extensive renovation, the facility will be
used for the construction, repair, and conversion of commercial vessels
for domestic and international customers. Foreign components expected
to be used at the MHI shipyard (up to 30% of total) include propulsion
units, main engines and control systems, profile steel, casting plates,
bow thrusters, pumps, tank level and alarm systems, diesel generators,
navigation equipment, radio communications, deck machinery, rudder
systems, heating/ventilation systems, valves, gauges, boilers, pumps,
condensers, propellers and shafts, anchor systems, incinerators, inert
gas plants, lifeboats/davits, hydraulic power
[[Page 47626]]
racks, emergency generators, panels and consoles (1997 duty rate range:
free--5.2%, ad valorem).
FTZ procedures would exempt MHI from Customs duty payments on the
foreign components (except steel mill products) used in export activity
(up to 100% of total production). On its domestic sales, the company
would be able to choose the duty rate that applies to finished
oceangoing vessels (duty free) for the foreign-origin components noted
above. The manufacturing activity conducted under FTZ procedures would
be subject to the ``standard shipyard restriction'' applicable to
foreign-origin steel mill products (e.g., pipe, plate), which requires
that Customs duties be paid on such items. The application indicates
that the savings from FTZ procedures would help improve the facility'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 November 10, 1997. Rebuttal comments in
response to material submitted during the foregoing period may be
submitted during the subsequent 15-day period (to November 24, 1997).
A copy of the application will be available for public inspection
at the following locations:
U.S. Department of Commerce, Export Assistance Center, World Trade
Center, Suite 307, 164 Northern Avenue, Boston, MA 02210
Office of the Executive Secretary, Foreign-Trade Zones Board, Room
3716, U.S. Department of Commerce, 14th Street & Pennsylvania Avenue,
NW, Washington, DC 20230
Dated: September 4, 1997.
John J. Da Ponte, Jr.,
Executive Secretary.
[FR Doc. 97-23997 Filed 9-9-97; 8:45 am]
BILLING CODE 3510-25-P
