[Federal Register: March 8, 1994]
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DEPARTMENT OF COMMERCE
[Docket 7-94]
Foreign-Trade Subzone 59A; Lincoln, NE; Request for Expanded
Manufacturing Authority; Kawasaki Motors Manufacturing Corporation,
U.S.A., Plant (Industrial Robots)
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the Kawasaki Motors Manufacturing Corporation, U.S.A.
(KMM), operator of FTZ Subzone 59A, KMM plant, Lincoln, Nebraska,
requesting authority to manufacture industrial robots under zone
procedures. 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
February 24, 1994.
Subzone 59A was approved by the FTZ Board in 1980 with activity
granted for the manufacture of motorcycles, jet skis, and four wheel
all terrain vehicles (Board Order 163, 45 FR 58637, 9-4-80). An
application for expansion of the subzone is currently pending (Doc. 56-
93, 58 FR 63335, 12-1-93) and an application for authority to
manufacture utility work trucks (Doc. 4-94, 59 FR 2592, 1-18-94).
KMM is now requesting subzone authority to manufacture certain
automated industrial robots (6 axis) for the U.S. market and export.
Foreign-sourced components and subassemblies comprise approximately 80
percent of the finished robots' material value and include: Plastic
parts, rubber belts, fasteners, metal fittings, air pumps/compressors,
data processing equipment, optical readers, valves and switches,
electric motors and transformers, transmissions/gear boxes,
controllers, diodes, transistors, semiconductors, liquid crystal
devices, lasers, and measuring instruments (duty rate range: Free--
20%). The application indicates that all steel mill products will be
sourced domestically.
Zone procedures would exempt KMM 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 the
finished industrial robots (HTSUS# 8479.89.9049, duty rate 3.7%) for
the foreign components noted above. The application indicates that the
savings from zone procedures would help improve KMM's international
competitiveness.
In accordance with the Board's regulations, a member of the FTZ
Staff has been appointed 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 May 9, 1994. Rebuttal comments in response
to material submitted during the foregoing period may be submitted
during the subsequent 15-day period (to May 23, 1994).
A copy of the application and the accompanying exhibits will be
available for public inspection at each of the following locations:
U.S. Department of Commerce District Office, 11133 ``O'' Street, Omaha,
Nebraska 68137.
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S.
Department of Commerce, room 3716, 14th Street & Constitution Avenue,
NW., Washington, DC 20230.
Dated: February 24, 1994.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 94-5186 Filed 3-7-94; 8:45 am]
BILLING CODE 3510-DS-P