[Federal Register Volume 66, Number 128 (Tuesday, July 3, 2001)]
[Notices]
[Pages 35223-35224]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-16705]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 27-2001]


Foreign-Trade Zone 158--Jackson, MS; Application for Subzone 
Status, Nissan North America, Inc., Plant (Motor Vehicles), Canton, MS

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Vicksburg-Jackson Foreign-Trade Zone, Inc., grantee 
of FTZ 158, requesting special-purpose subzone status for the motor 
vehicle manufacturing plant of Nissan North America, Inc. (NNA)(a 
subsidiary of Nissan Motor Co., Ltd., of Japan) located in Canton, 
Mississippi. 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 
June 26, 2001.
    The NNA plant (1,350 acres/ 2.6 million sq.ft.) is to be located on 
Nissan Drive adjacent to U.S. Highway 51 in Canton (Madison County), 
Mississippi, some 20 miles north of Jackson. The facility, currently 
under construction, will be used to produce light-duty passenger 
vehicles (pickup trucks, sport utility vehicles, minivans) for export 
and the domestic market. At full capacity, the facility (up to 4,000 
employees) will manufacture up to approximately 250,000 vehicles 
annually. Components to be purchased from abroad (approximately 44% of 
material value) would include: engines and parts of engines, labels, 
body parts and trim, fasteners, catalytic converters, parts of steering 
systems, brake fittings, half shafts, transmissions and parts of 
transmissions, differentials, bearings and bearing housings, flywheels/
pulleys, wiring harnesses, handles/knobs, gaskets, fasteners, carpet 
sets, windshields and windows, springs, relays, and switches (duty rate 
range: free--8.6%). Engines and transmissions would be sourced from 
NNA's production facility in Dechard, Tennessee (Subzone 78A-Site 2), 
which is currently undergoing a capital expansion for this activity. 
The application indicates that NNA's domestic sourcing will increase in 
the future.
    FTZ procedures would exempt NNA from Customs duty payments on the 
foreign components used in export production (forecasted to be 6% of 
shipments). On its domestic sales and exports to NAFTA countries, NNA 
would be able to choose the duty rate that applies to finished 
passenger vehicles (2.5%) for the foreign inputs noted above that have 
higher rates. Customs duties would be deferred and possibly reduced on 
foreign status production equipment. 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 September 4, 2001. Rebuttal comments in 
response to material submitted during the foregoing period may be 
submitted during the subsequent 15-day period (to September 17, 2001).

[[Page 35224]]

    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 Commere, Export Assistance Center 704 E. Main 
Street, Raymond, MS 39154.
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S. 
Department of Commerce, Room 4008, 14th Street & Constitution Avenue, 
NW., Washington, DC 20230-0002

    Dated: June 26, 2001.
Dennis Puccinelli,
Executive Secretary.
[FR Doc. 01-16705 Filed 7-2-01; 8:45 am]
BILLING CODE 3510-DS-P