[Federal Register Volume 72, Number 169 (Friday, August 31, 2007)]
[Notices]
[Page 50326]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-17333]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

Docket 42-2007


Foreign-Trade Zone 107 - Des Moines, Iowa, Application for 
Subzone Status, SPAL USA, Inc., (Vehicle Parts Distribution and 
Processing), Ankeny, Iowa

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Iowa Foreign-Trade Zone Corporation, grantee of FTZ 
107, requesting special-purpose subzone status for the vehicle parts 
distribution and processing (kitting) facility of SPAL USA, Inc. 
(SPAL), located in Ankeny, Iowa. The application was submitted pursuant 
to the provisions of the FTZ Act, as amended (19 U.S.C. 81a-81u), and 
the regulations of the Board (15 CFR Part 400). It was formally filed 
on August 23, 2007.
    The SPAL facility (28 employees, 5.5 acres) is located at 1731 SE 
Oralabor Road (1 building, 5.5 acres, 36,000 sq. ft.) in Ankeny, Iowa. 
The facility is used for the warehousing, distribution, repair and 
possible processing (i.e., kitting) of foreign-origin and domestic 
vehicle parts and equipment for the U.S. market and export. FTZ 
procedures would be utilized to support SPAL's Iowa-based distribution 
activity that competes with facilities located abroad.
    Finished vehicle parts to be admitted to the proposed subzone for 
distribution and processing would include circuit connectors, motorized 
linear actuators, motor assemblies, door cutters, power door lock kits/
window kits, radio remote control apparatus, switches/switch kits and 
accessories, screws, wire, trade advertising material, control valve 
pressure sensors, and automotive fans and blowers (duty rates range: 
duty-free to 6.2[percnt]).
    SPAL could also conduct certain kitting operations under FTZ 
procedures in the future (e.g., combine foreign-origin fans and blowers 
with a domestic harness and combine foreign circuit connectors with a 
domestic harness). Kitting would be limited to foreign components 
included in the list of finished vehicle parts in the preceding 
paragraph.
    FTZ procedures would exempt SPAL from Customs duty payments on 
foreign products that are re-exported. Some ten percent of the plant's 
shipments are exported. On domestic sales, the company would be able to 
defer payments until merchandise is shipped from the facility and 
entered for U.S. consumption. For its processing activity, SPAL would 
be able to elect the duty rate that applies to finished products for 
the foreign-sourced inputs noted above. SPAL also plans to realize 
logistical benefits through the use of weekly entry procedures. The 
application indicates that all of the above-cited savings from FTZ 
procedures would help 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 on the application is invited from interested 
parties. Submissions (original and 3 copies) shall be addressed to the 
Board's Executive Secretary at the address below. The closing period 
for their receipt is October 30, 2007. Rebuttal comments in response to 
material submitted during the foregoing period may be submitted during 
the subsequent 15-day period to November 14, 2007.
    A copy of the application and accompanying exhibits will be 
available for public inspection at each of the following locations: 
U.S. Department of Commerce Export Assistance Center, 210 Walnut 
Street, Suite 749, Des Moines, Iowa 50309; and, the Office of the 
Executive Secretary, Foreign-Trade Zones Board, U.S. Department of 
Commerce, Room 2111, 1401 Constitution Avenue, NW., Washington, DC 
20230.
    For further information, contact Kathleen Boyce at (202) 482-1346 
or [email protected].

    Dated: August 23, 2007.
Andrew McGilvray,
Executive Secretary.
[FR Doc. E7-17333 Filed 8-30-07; 8:45 am]
BILLING CODE 3510-DS-S