[Federal Register Volume 65, Number 33 (Thursday, February 17, 2000)]
[Notices]
[Pages 8118-8119]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-3847]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 3-2000]


Foreign-Trade Zone 148, Knoxville, TN; Application for Subzone 
Status, Matsushita Electronic Components Corporation of America Plant 
(Capacitors, Automotive Audio Speakers)

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Industrial Development Board of Blount County, 
grantee of FTZ 148, requesting special-purpose subzone status for the 
electrolytic capacitor and automotive audio speaker manufacturing plant 
of Matsushita Electronic Components Corporation of America (ACOM) (a 
subsidiary of Matsushita Electric Industrial Co., Ltd., of Japan), 
located in Knoxville, Tennessee. 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, 2000.
    The ACOM plant (40 acres/370,000 sq.ft.) is located within the 
Forks of the River Park at 5105 South National Drive, Knoxville, 
Tennessee. The facility is used to produce aluminum electrolytic 
capacitors (HTSUS# 8532.22.0020-85), aluminum etched capacitor foil 
(7607.19.1000), and automotive audio speakers (8518.29.8000), for 
export and the domestic market. The production process involves design, 
assembly, testing, and warehousing. Components purchased from abroad 
(representing 10 to 100% of overall material value) include: adhesives 
(epoxide, phenolic), cone paper, cushions, dust caps, flexible wire, 
eyelets, gaskets, grille, magnets, plates, fasteners, nets, sub cones, 
supporters, dampers, terminals, tweeters, voice coils, cord assemblies, 
aluminum etched foil, ammonium adipate, electrolyte, aluminum cases and 
washers, terminal boards, vent plugs, vinyl sleeves, insulation boards, 
wax, adhesive tape, positive/negative leads, and separator paper (duty 
rate range: free--6.5%).
    FTZ procedures would exempt ACOM 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 aluminum electrolytic capacitors (duty free), aluminum etched 
capacitor foil (5.3%), and automotive audio speakers (4.9%) for the 
foreign inputs noted above. On ACOM's automotive original equipment 
sales, the motor vehicle duty rate (2.5%) would apply to the finished 
automotive audio speakers that are shipped in-bond to U.S. motor 
vehicle assembly plants with subzone status. The application indicates 
that subzone status 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 April 17, 2000. Rebuttal comments in 
response to material submitted during the foregoing period

[[Page 8119]]

may be submitted during the subsequent 15-day period May 2, 2000.
    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-Knoxville, 3286 
Northpark Blvd., Alcoa, TN 37701
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S. 
Department of Commerce, Room 4008, 14th Street & Pennsylvania Avenue, 
NW, Washington, DC 20230-0002

    Dated: February 10, 2000.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 00-3847 Filed 2-16-00; 8:45 am]
BILLING CODE 3510-DS-P