[Federal Register Volume 64, Number 34 (Monday, February 22, 1999)]
[Notices]
[Pages 8541-8542]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-4310]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board
[Docket 6-99]


Foreign-Trade Zone 214--Kinston, NC; Application for Subzone 
Status: Consolidated Diesel Company Facilities, (Spark Ignition, Diesel 
Engines), Nash County, NC

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the North Carolina Global TransPark Authority, grantee 
of FTZ 214, requesting special-purpose subzone status for the spark 
ignition and diesel engine manufacturing facilities of Consolidated 
Diesel Company (Inc.) (CDC) (a Cummins Engine Company/Case Corporation 
joint venture), located in Nash County, North Carolina. 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 10, 1999.
    The proposed subzone would consist of three sites in the Nash 
County area: Site 1--CDC manufacturing plant (265 acres/1.1 million 
sq.ft.), located at 9377 U.S. Highway 301 North in Whitakers, North 
Carolina, some 60 miles northeast of Raleigh; Site 2--CDC Training 
Center and warehouse (10 acres/40,000 sq.ft.), located directly across 
U.S. 301 from Site 1; and, Site 3--Leased 100,000 sq.ft. warehouse, 
located at E.B. Grain Co., 204 Hathaway Court, Battleboro, North 
Carolina, about 2\1/2\ miles south of Site 1. The facilities are used 
to produce diesel, liquid propane and natural gas internal-combustion 
engines (ranging from 50 to 400 horsepower) used in marine, 
agricultural, automotive, industrial and commercial applications, for 
export and the domestic market. The production process involves 
assembly, testing, and warehousing. Components purchased from abroad 
(about 51% of total) include: actuators, adapters, crankcases (blocks), 
cylinder heads, intake/exhaust manifolds, connecting rods, piston sets 
and rings, crankshafts, rocker arms, camshafts, intake/exhaust/turbo 
valves, bushings, bearings, housings, flywheels, pulleys, starters, 
barrels, gaskets, circuit boards, cylinders, parts of turbochargers, 
timing chains, water pumps, wiring harnesses, catalytic converters, 
controllers, oil

[[Page 8542]]

coolers, clamps/fasteners, covers, compressors, torque converters, 
spark plugs, gauges, electrical components, thermostats, gears, oil 
filters, belts, hoses, seals and plastic molded parts (duty rate range: 
0.7--9.4%).
    FTZ procedures would exempt CDC 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 internal-combustion engines (free, 2.5%) for the foreign 
inputs noted above. The application indicates that subzone status would 
help improve the facilities' 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 April 23, 1999. Rebuttal comments in 
response to material submitted during the foregoing period may be 
submitted during the subsequent 15-day period (to May 10, 1999).
    A copy of the application and the accompanying exhibits will be 
available for public inspection at each of the following locations:

Office of the Port Director, U.S. Customs Service--Raleigh/Durham, 120 
South Center Court, Morrisville, NC 27560
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: January 10, 1999.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 99-4310 Filed 2-19-99; 8:45 am]
BILLING CODE 3510-DS-P