[Federal Register Volume 65, Number 149 (Wednesday, August 2, 2000)]
[Notices]
[Page 47375]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-19557]



[[Page 47375]]

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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board;

[Docket 41-2000]


Foreign-Trade Zone 82--Mobile, AL Expansion of Manufacturing 
Authority--Subzone 82E, Zeneca Inc. (Agricultural Chemical Products), 
Mobile County, AL

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the City of Mobile, Alabama, grantee of FTZ 82, 
requesting on behalf of Zeneca, Inc. (Zeneca), to expand the scope of 
manufacturing authority under zone procedures within Subzone 82E, at 
the Zeneca plant in Mobile County, Alabama. 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 July 21, 2000.
    The Zeneca facility (75 acres; 250 employees) is located at mile 
marker 21 on Highway 43, near Bucks (Mobile County), Alabama, some 20 
miles north of Mobile. The facility is used to produce and/or 
distribute a wide range of agricultural chemical products, including 
herbicides, pesticides, insecticides and organic intermediate 
chemicals.
    Zeneca is now proposing to expand the scope of manufacturing 
activity conducted under zone procedures at Subzone 82E to include the 
agricultural chemical Mesotrione (a broadleaf herbicide), which 
currently has a duty rate of 8.9%. Foreign-sourced inputs for this 
production would be Nitromethylsulfonyl benzoic acid (9.3% duty rate) 
and Cyclohexandione (4.8% duty rate). Zeneca indicates that initial 
U.S. value added will be 40 percent of finished product's value, with 
subzone savings equivalent to one percent of the finished product's 
value.
    Zone procedures would exempt Zeneca from Customs duty payments on 
foreign components used in production for export (anticipated to be 30% 
of total production). On its domestic sales, Zeneca would be able to 
choose the 8.9 percent duty rate that applies to the finished product 
for the foreign input with the 9.3 percent duty rate (noted above). 
Zeneca would be able to avoid duty on foreign inputs which become 
scrap/waste, estimated at 10 percent of imported inputs. 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 October 2, 2000. Rebuttal comments in 
response to material submitted during the foregoing period may be 
submitted during the subsequent 15-day period to October 16, 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 Executive Secretary, Foreign-Trade Zones Board, U.S. 
Department of Commerce, Room 3716, 14th and Pennsylvania Avenue, NW., 
Washington, DC 20230
U.S. Department of Commerce Export Assistance Center, 365 Canal Street, 
Suite 1170 (One Canal Place), New Orleans, LA 70130

    Dated: July 24, 2000.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 00-19557 Filed 8-1-00; 8:45 am]
BILLING CODE 3510-DS-P