[Federal Register Volume 74, Number 221 (Wednesday, November 18, 2009)]
[Notices]
[Page 59524]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-27683]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 50-2009]


Foreign-Trade Zone 175--Cedar Rapids, IA; Application for 
Subzone; Deere & Company (Agricultural Tractors and Related Components 
Manufacturing); Waterloo, IA

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Cedar Rapids Airport Commission, grantee of FTZ 175, 
requesting special-purpose subzone status for the agricultural 
tractors, cabs, engines and components manufacturing facilities of 
Deere & Company (Deere), located in Waterloo, Iowa. 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 12, 2009.
    The Deere facilities (approximately 4,000 employees) consist of 6 
sites on approximately 1,437.58 acres in Waterloo, Iowa: Site 1 
(1,002.41 acres, 2,000,000 enclosed square feet) tractor and cab 
assembly operations located at 3500 E. Donald Street; Site 2 (257.63 
acres, 3,000,000 enclosed square feet) drivetrain, foundry & service 
parts operations located at 400 and 2000 Westfield Ave.; Site 3 (26.22 
acres, 276,480 enclosed square feet) Ryder warehouse and servicing 
facility located at 2280 Northeast Drive; Site 4 (25 acres, 166,000 
square feet) Waterloo warehouse located at 1519 W. Airline Hwy.; Site 5 
(20.37 acres, 242,240 square feet) FirstCo warehouse located at 3470 W. 
Airline Hwy.; and Site 6 (105.95 acres, 1,137,213 enclosed square feet) 
Engine Works facility located at 3801 W. Ridgeway Ave. The facilities 
are used for the manufacture, testing, warehousing and distribution of: 
Medium and large row crop tractors (wheel and track versions); cab 
assemblies; marine and industrial diesel engines; drivetrain 
components; wheel assemblies; cast iron forgings; and, parts and 
components for these products. The Deere facilities annually can 
produce up to 45,000 tractors and engines, 45,000 cabs, 90,000 
drivetrain units, 140,000 tons of foundry products, and $150 million of 
service parts and components. Components and materials sourced from 
abroad (representing 13 to 18% of the value of the finished products) 
include: putty and caulking compounds; glues and adhesives; self-
adhesive plates; articles of plastic (incl. tubes, hoses, fittings, 
stoppers and lids); articles of rubber (incl. belts, tubes, hoses, 
grommets, plugs, mountings, sheets, strips); tires; floor coverings and 
mats; mirrors; gaskets; washers; paperboard; safety glass; iron tubes; 
pipes and fittings; chain; fasteners; springs; articles of copper; 
articles of steel; base metal mountings; sign plates; internal-
combustion engines and parts; pumps; air conditioner components; 
refrigerators; filters; spraying machines; agricultural machinery and 
parts; valves; bearings; transmission shafts; electric motors; 
generators; clutches; brakes; ignitions; electromagnetic couplings; 
gears; flywheels; pulleys; antennas; windshield wipers; electrical 
lighting or signaling equipment; loudspeakers; heaters; defrosters; 
alarms; radios; clocks; resistors; switches; relays; lamps; wires; 
cables; seats; locks and keys; discs; tapes and media storage; motor 
vehicle parts and accessories; gauges; measuring instruments; 
geophysical instruments and appliances; desk equipment and parts (duty 
rates--free to 12.2%).
    FTZ procedures could exempt Deere from customs duty payments on the 
foreign components used in export production. The company anticipates 
that some 30 to 35 percent of the facilities' shipments will be 
exported. On its domestic sales, Deere would be able to choose the duty 
rates during customs entry procedures that apply to its finished 
products (duty rates range between free and 8.6%) for the foreign 
inputs noted above. FTZ designation would further allow Deere to 
realize scrap benefits and certain logistical benefits through the use 
of customs procedures. Customs duties also could possibly be deferred 
or reduced on foreign status production equipment. The request 
indicates that the savings from FTZ procedures would help improve the 
plant's international competitiveness.
    In accordance with the Board's regulations, Diane Finver of the FTZ 
Staff is designated examiner to evaluate and analyze the facts and 
information presented in the application and case record and to report 
findings and recommendations 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 the address below. The closing period for their receipt is 
January 19, 2010. Rebuttal comments in response to material submitted 
during the foregoing period may be submitted during the subsequent 15-
day period to February 1, 2010.
    A copy of the application will be available for public inspection 
at the Office of the Executive Secretary, Foreign-Trade Zones Board, 
Room 2111, U.S. Department of Commerce, 1401 Constitution Avenue, NW., 
Washington, DC 20230-0002, and in the ``Reading Room'' section of the 
Board's Web site, which is accessible via http://www.trade.gov/ftz.
    For Further Information Contact: Diane Finver at 
[email protected] or (202) 482-1367.

    Dated: November 12, 2009.
Andrew McGilvray,
Executive Secretary.
[FR Doc. E9-27683 Filed 11-17-09; 8:45 am]
BILLING CODE 3510-DS-P