[Federal Register Volume 71, Number 220 (Wednesday, November 15, 2006)]
[Notices]
[Pages 66500-66501]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-19302]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

(Docket 43-2006)


Foreign-Trade Zone 68 -- El Paso, Texas, Request for 
Manufacturing Authority (Vacuum Cleaner Products)

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the City of El Paso, grantee of Foreign-Trade Zone (FTZ) 
68, requesting authority on behalf of Electrolux Home Care Products 
Ltd. (Electrolux) for authority to manufacture vacuum cleaners and 
vacuum cleaner parts under FTZ procedures within FTZ 68 in El Paso, 
Texas. 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 
November 7, 2006.
    Electrolux operates a manufacturing and distribution facility (3 
buildings, 300 employees) located at: 9600 Pan American Way; 9500 Plaza 
Circle; and, 9660 Plaza Circle in El Paso, within FTZ 68. The facility 
is used to manufacture and distribute vacuum cleaners and related parts 
and accessories (up to 1,800,000 units annually). The dutiable inputs 
used in the manufacturing process include: lubricants; shampoo; tape; 
foam filters; plastics; bags and bag hardware; articles of conveyance; 
straps; rubber belts; gaskets, washers and seals; grommets; belts; 
filter packages; screws; springs; micro-sprayers; insulated electrical 
conductors; motor assemblies; vacuums and vacuum components; button 
assemblies; switches; motor control centers; and, printed circuit 
assemblies. Duty rates on the imported components range from 2.0 
percent to 8.5 percent. The finished products that Electrolux would 
manufacture under FTZ procedures include: foam filters; bag hardware; 
rubber belts; cartons; filters; micro-sprayers; insulated electrical 
conductors; vacuum cleaners and components; motor assemblies; and, 
button assemblies. Duty rates on the finished products range from duty 
free to 4.2 percent.
    This application requests authority for Electrolux to conduct the 
activity under FTZ procedures, which would exempt Electrolux from 
Customs duty payments on the foreign components used in export 
production. Approximately 2.5 percent of production is exported. On 
domestic sales, the company could choose the lower duty rate that 
applies to the finished products for the foreign components noted 
above. Electrolux also anticipates realizing additional savings through 
duty deferral, the elimination of duties on materials that become 
scrap/waste during production, inventory tax reduction and other 
logistical benefits. The application indicates that the FTZ-related 
savings would improve the facility'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 copies) shall be addressed to the Board's Executive 
Secretary at the address listed below. The closing period for their 
receipt is January 16, 2007. Rebuttal comments in response to material 
submitted during the forgoing period may be submitted during the

[[Page 66501]]

subsequent 15-day period (to January 29, 2007.
    A copy of the application and accompanying exhibits will be 
available for public inspection at each of the following addresses: the 
City of El Paso, 501 George Perry Boulevard, Suite 1, El Paso, Texas 
79906; and, Office of the Executive Secretary, Foreign-Trade Zones 
Board, Room 1115, U.S. Department of Commerce, 1401 Constitution 
Avenue, NW, Washington, DC 20230.

    Dated: November 7, 2006.
Pierre V. Duy,
Acting Executive Secretary.
[FR Doc. E6-19302 Filed 11-14-06; 8:45 am]
BILLING CODE 3510-DS-S