[Federal Register Volume 67, Number 180 (Tuesday, September 17, 2002)]
[Notices]
[Page 58584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-23608]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 35-2002]


Foreign-Trade Zone 61--San Juan, PR, Expansion of Facilities and 
Manufacturing Authority-Subzone 61H, Baxter Healthcare Corporation 
Plant (Pharmaceuticals), Guayama, PR

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by Baxter Healthcare Corporation of Puerto Rico (Baxter), 
requesting to add capacity and to expand the scope of manufacturing 
authority under zone procedures within Subzone 61H, at the Baxter plant 
in Guayama, Puerto Rico. It was formally filed on September 10, 2002.
    Subzone 61H was approved by the Board in 1997 at a single site 
located at Route 3, km. 142.5, Guayama, Puerto Rico, with authority 
granted for the manufacture of pharmaceuticals including inhalation 
anesthetics (Board Order 875, 62 FR 10521, 3/7/97).
    Subzone 61H (200 employees) currently consists of 23 buildings 
totaling 176,000 square feet on 38 acres. Baxter is now proposing to 
add 9 buildings of 33,716 sq. ft. and 1.15 acres. The proposed Subzone 
61H would then consist of 32 buildings of 209,716 sq. ft. on 39.15 
acres.
    The application also requests to expand the scope of authority for 
manufacturing activity conducted under FTZ procedures to include 
additional general categories of inputs that have recently been 
approved by the Board for other pharmaceutical plants. They include 
chemically pure sugars, empty capsules for pharmaceutical use, protein 
concentrates, natural magnesium phosphates and carbonates, gypsum, 
anhydrite and plasters, petroleum jelly, paraffin and waxes, sulfuric 
acid, other inorganic acids or compounds of nonmetals, ammonia, zinc 
oxide, titanium oxides, fluorides, chlorates, sulfates, salts of 
oxometallic acids, radioactive chemical elements, colloidal precious 
metals, compounds of rare earth metals, acyclic hydrocarbons, 
derivatives of phenols or peroxides, acetals and hemiacetals, 
phosphoric esters and their salts, diazo-compounds, glands for 
therapeutic uses, wadding, gauze and bandages, pharmaceutical glaze, 
hair preparations, lubricating preparations, albumins, prepared glues 
and adhesives, catalytic preparations, diagnostic or laboratory 
reagents, prepared binders, acrylic and ethylene polymers, self-
adhesive plates and sheets, other articles of vulcanized rubber, 
plastic cases, cartons, boxes, printed books, brochures and similar 
printed matter, carboys, bottles, and flasks, stoppers, caps, and lids, 
aluminum foil, tin plates and sheets, taps, cocks and valves, and 
medical instruments and appliances. Materials sourced from abroad 
represent some 50-70 percent of the total value of materials used in 
production.
    Zone procedures would exempt Baxter from Customs duty payments on 
foreign materials used in production for export. Some 30 percent of the 
plant's shipments are exported. On domestic shipments, the company 
would be able to defer Customs duty payments on foreign materials, and 
to choose the duty rate that applies to finished products (duty free-
9.2%) instead of the rates otherwise applicable to the foreign input 
materials (duty free-20%)(noted above). The application indicates that 
the savings from zone procedures would help improve Baxter'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 is invited from interested parties. Submissions 
(original and 3 copies) shall be addressed to the Board's Executive 
Secretary at one of the following addresses:

    1. Submissions Via Express/Package Delivery Services: Foreign-
Trade-Zones Board, U.S. Department of Commerce, Franklin Court 
Building--Suite 4100W, 1099 14th St. NW., Washington, DC 20005; or
    2. Submissions Via the U.S. Postal Service: Foreign-Trade-Zones 
Board, U.S. Department of Commerce, FCB--Suite 4100W, 1401 Constitution 
Ave. NW., Washington, DC 20230.
The closing period for their receipt is November 18, 2002. Rebuttal 
comments in response to material submitted during the foregoing period 
may be submitted during the subsequent 15-day period (to December 2, 
2002).
    A copy of the application and accompanying exhibits will be 
available for public inspection at the Office of the Foreign-Trade 
Zones Board's Executive Secretary at address Number 1 listed above, and 
at the U.S. Department of Commerce Export Assistance Center, 525 F.D. 
Roosevelt Ave., Suite 905, San Juan, PR 00918.

    Dated: September 10, 2002.
Pierre V. Duy,
Acting Executive Secretary.
[FR Doc. 02-23608 Filed 9-16-02; 8:45 am]
BILLING CODE 3510-DS-P