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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 52-97]
Foreign-Trade Zone 18--San Jose, California; Application For
Foreign-Trade Subzone Status: Hewlett-Packard Company (Computer and
Related Electronic Products); San Jose, California Area
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the City of San Jose, California, grantee of FTZ 18,
requesting special-purpose subzone status for the manufacturing and
distribution facilities (computers, printers, measurement devices,
medical products and related products) of the Hewlett-Packard Company
(Hewlett-Packard), located in the San Jose, California, area. The
application was submitted pursuant to 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 June 19, 1997.
The Hewlett-Packard facilities are located at three sites totaling
53 acres (1,114,466 square feet) in the San Jose, California area: Site
1 (30.6 acres, 581,814 sq.ft.)--located at 915 Story Road/935
McLaughlin Avenue, San Jose (Santa Clara County); Site 2 (12.5 acres,
276,696 sq.ft.)--located at 18250 Murphy Parkway, Lathrop (San Joaquin
County); Site 3 (9.9 acres, 255,956 sq.ft.)--located at 5800 Coliseum
Way, Oakland (Alameda County).
The facilities (245 employees) are used for storage, manufacture,
and distribution for import and export of computers and related
devices, printers, electronic test and measurement devices, electronic
medical products, and related electronic products and components. A
number of components are purchased from abroad (an estimated 40% of
value on manufactured products), including printed circuit boards,
silicon wafers, rectifiers, integrated circuits, memory modules, CD-ROM
drives, disk drives, scanners, hard drives, keyboards, monitors/
displays (CRT and LCD type), LEDs, speakers, microphones, belts,
valves, bearings, plastic materials, industrial chemicals, sensors,
filters, resistors, transducers, fuses, plugs, relays, ink cartridges,
toner cartridges, switches, fasteners, cards, transformers, DC/electric
motors, magnets, modems, batteries, cabinets, power supplies, cables,
copper wire, power cords, optical fiber, casters, cases, labels, and
packaging materials (1997 duty range: free-14.2%).
Zone procedures would exempt Hewlett-Packard from Customs duty
payments on foreign components used in export production. On its
domestic sales, Hewlett-Packard would be able to choose the lower duty
rate that applies to the finished products (free-13.2%) for the foreign
components noted above. The application indicates that the savings from
zone 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 August 29, 1997. Rebuttal comments in
response to material submitted during the foregoing period may be
submitted during the subsequent 15-day period to September 15, 1997.
A copy of the application and the accompanying exhibits will be
available for public inspection at each of the following locations:
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S.
Department of Commerce, Room 3716, 14th and Pennsylvania Avenue, N.W.,
Washington, D.C. 20230.
U.S. Department of Commerce Export Assistance Center, Suite 1001, 101
Park Center, San Jose, California 95113
Dated: June 20, 1997.
John J. DaPonte, Jr.,
Executive Secretary.
[FR Doc. 97-17054 Filed 6-27-97; 8:45 am]
BILLING CODE 3510-DS-P