[Federal Register Volume 83, Number 209 (Monday, October 29, 2018)]
[Notices]
[Pages 54314-54315]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-23555]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-64-2018]


Foreign-Trade Zone (FTZ) 119--Minneapolis-St. Paul, Minnesota; 
Notification of Proposed Production Activity AGCO Corporation Subzone 
119M (Agricultural Equipment and Related Subassemblies and Components) 
Jackson and Round Lake, Minnesota

    AGCO Corporation (AGCO), operator of Subzone 119M, submitted a 
notification of proposed production activity to the FTZ Board for its 
facilities in Jackson and Round Lake, Minnesota. The notification 
conforming to the requirements of the regulations of the FTZ Board (15 
CFR 400.22) was received on October 11, 2018.
    The AGCO facilities are located within Subzone 119M. The facilities 
are used for the production of agricultural equipment and related 
subassemblies and components. Pursuant to 15 CFR 400.14(b), FTZ 
activity would be limited to the specific foreign-status materials/
components and specific finished products described in the submitted 
notification (as described below) and subsequently authorized by the 
FTZ Board.
    Production under FTZ procedures could exempt AGCO from customs duty 
payments on the foreign-status materials/components used in export 
production (estimated 20 percent of production). On its domestic sales, 
for the foreign-status materials/components noted below, AGCO would be 
able to choose the duty rates during customs entry procedures that 
apply to: Gasoline engines; gas (natural and LP) engines; diesel 
engines; liquid pumps; tractor attachments for spraying liquids; 
tractor attachments for spreading solids; electrical equipment for 
controlling agricultural implements; grinding, screening, and sifting 
equipment; accumulators; steering control units; light switch panels; 
electronic control units and joy sticks; wiring harnesses; tractors for 
agricultural use; spraying vehicles for agricultural use; heating 
system field repair kits; status indicators for engine functions; 
instrument panels; engine control units; brake field service kits; and, 
related subassemblies (duty rates range from duty-free to 7.8%). AGCO 
would be able to avoid duty on foreign-status components which become 
scrap/waste. Customs duties also could possibly be deferred or reduced 
on foreign-status production equipment.
    The materials/components sourced from abroad include: Oil and 
grease; joint sealant; glue; polyethylene hoses; polypropylene hoses; 
plastic hoses; non-textile reinforced rubber hoses; textile-reinforced 
rubber hoses; rubber hose connectors; plastic tape; paper safety, 
warning, and identification labels; plastic reflectors; polyurethane 
film; polyethylene bags; plastic insulators for use in vehicle 
assembly; plastic tool boxes; plastic plugs and caps; plastic trim 
pieces; plastic o-rings; plastic seals; plastic washers; plastic 
clamps; plastic bushings; rubber o-rings; rubber seals; rubber washers; 
non-reinforced rubber hoses; non-textile reinforced rubber hoses; 
textile-reinforced rubber hoses; rubber hydraulic hoses; metal-
reinforced rubber conveyor belts; textile-reinforced conveyor rubber 
belts; non-textile reinforced rubber transmission belts; textile 
reinforced rubber transmission belts; rubber mats; rubber gaskets; 
pneumatic tires of rubber; rubber plugs, pads, grommets, bushings, and 
sleeves; wooden crates; cork/rubber composite gaskets; paper gaskets; 
printed manuals and operating guides; gaskets of textile materials; 
textile sound absorbers; asbestos gaskets; asbestos brake linings; non-
asbestos brake linings; carbon fiber gaskets; mineral gaskets; molded 
and machined glass; rear-view mirrors; mirror assemblies; glass fiber 
sound and heat insulators; steel and stainless steel crossmembers; iron 
pipe fittings and adapters; iron and steel threaded elbows; iron and 
steel flanges; steel wire and cable; steel chain; steel screws; steel 
bolts; steel nuts; steel hose plugs and stems; steel washers; steel 
pins, spacers, spanners and clips; steel springs; keyrings; steel 
clamps, flanges, pins, hose fittings, and spacers; copper and brass 
pipe fittings; aluminum dust caps; aluminum gaskets; nut spanners; 
hammers; locks, lock parts, and lock assemblies for vehicles; key 
assemblies; metal hinges for vehicles; metal hinge support plates for 
vehicles; metal brackets; plastic supports; metal weldments; metal 
stairs and stair rails; metal mounting hardware; metal identification 
plates; gasoline engines; gas (natural and LP) engines; diesel engines; 
engine plugs; engine tubes; hydraulic cylinders; pneumatic cylinders; 
metal hydraulic cylinder fittings; metal pneumatic cylinder fittings; 
dosing modules; liquid pumps; metal hydraulic pump fittings; metal 
pneumatic pump fittings; air compressors; turbochargers; fans; metal 
turbocharger fittings; plastic turbocharger fittings; fan shrouds; 
metal fan fittings; plastic fan fittings; air conditioning system 
compressors; air conditioning system condensers; metal air conditioning 
system fittings; plastic air conditioning system fittings; vehicle 
heating systems; oil and fuel filters; hydraulic fluid filters; air 
filters; catalytic converters; compressor filters; metal filtration 
system fittings; plastic filtration system fittings; fertilizer 
application equipment; windshield washer systems; metal windshield 
washer fittings; plastic windshield washer fittings; metal handrails, 
stairs, steps, and uprights; wheels without tires; tractor implement 
electronic controls; grinding, screening, and sifting equipment; 
accumulators; electrical indicators for agricultural tractors and other 
off-road vehicles; transmission valves; valve assemblies; steering 
control units; backflow prevention valves and stoppers; safety valves; 
relief valves; valve bleeder; bearings; tapered roller bearings; 
spherical roller bearings; needle bearings; roller bearings; bearing 
cups; bearing races; power transmission shafts; housed bearings; 
bearing housings; transmission gears; torque converters; pulleys; 
clutches; universal joints; gear drives; metal gaskets; mechanical 
seals; oil and dust seals; electric motors; magnets and electromagnets; 
lead-acid batteries; spark plugs; distributors; starter motors; 
alternators; pressure switches; metal electrical system fittings; 
plastic electrical system fittings; vehicle lighting; horns and 
buzzers; wiper blades, arms, and assemblies; wiper arms; microphones; 
speakers; audio amplifiers; video cameras; GPS receivers; radio 
cassette players; LCD and other flat panel monitors; antennas; light 
switch panels; resistors; circuit boards; circuit breakers; vehicle 
fuses; vehicle fuse assemblies; relays; switches; coaxial electrical 
connectors; electrical terminals; linear electrical connectors; 
electronic control unit and joy sticks; light bulbs; diodes; electrical 
sensors; pressure sensors; proximity sensors; transducers; coaxial 
cables; wiring harnesses; electrical cables; electrical conduit; 
vehicle frames;

[[Page 54315]]

operator cabs; tractor body parts; steel frame members; safety belts of 
fabric; plastic vehicle body panels; metal vehicle body panels; metal 
vehicle body panel fittings; plastic vehicle body panel fittings; 
fabric-reinforced cab isolators; headliners incorporating fabric; brake 
system tubing; metal brake system fittings; transmissions; metal 
transmission fittings; front and rear axles; metal axle fittings; 
balancing weights for wheels; impeller wheels; wheel hubs; shock 
absorbers; metal shock absorber fittings; engine cooling systems; 
engine radiators; metal engine cooling system fittings; plastic engine 
cooling system fittings; exhaust systems; mufflers; exhaust pipes; 
metal exhaust system fittings; clutch pedals; metal clutch pedal 
fittings; plastic clutch pedal fittings; steering columns; metal 
steering system fittings; plastic steering system fittings; 
transmission subassemblies; brake shoes; axle covers; metal brackets; 
plastic brackets; frame and body stays; metal flanges; plastic flanges; 
metal supports; plastic supports; metal knobs; plastic knobs; metal 
levers; plastic levers; wiper blades; control wire and cable; universal 
joints; metal guards; plastic guards; cover plates; drive shafts; 
clutch rod shafts; u-joints; shaft assemblies; collars; differential 
cases; transmission cases; ball joints; axle cases; drive shaft caps; 
shaft couplings; steering shafts; shaft yokes; thrust collars; 
synchronizer rings; dust covers; tie rods; battery retainers; fuel 
tanks; control pedals; hand rails; radiator grilles; bonnet dampers; 
steering and suspension linkages; sound suppressors incorporating 
fabric; wind screens of fabric; sun visors of fabric; unmounted glass 
lenses for vehicle signals and controls; glass lenses for vehicle 
signals and controls; wind speed/direction measuring equipment; 
barometric pressure measuring equipment; temperature sensors; fluid 
level sensors; status indicators for equipment functions; engine 
analyzers; instrument panels; speed sensors; engine performance 
sensors; engine control units; weatherproof molded rubber seats; seats 
with fabric surfaces; indicator light covers; and, cigarette lighters 
(duty rates range from duty-free to 10.7%).
    The request indicates that textile-reinforced rubber hoses, 
textile-reinforced rubber conveyor belts, textile-reinforced rubber 
transmission belts, gaskets of textile materials, textile sound 
absorbers, safety belts of fabric, fabric-reinforced cab isolators, 
headliners incorporating fabric, windscreens of fabric, sound 
suppressors incorporating fabric, sun visors of fabric, and seats with 
fabric surfaces will be admitted to the zone in privileged foreign 
status (19 CFR 146.41), thereby precluding inverted tariff benefits on 
such items. The request indicates that pneumatic tires of rubber, iron 
pipe fittings and adapters, steel washers, tapered roller bearings, 
bearing cups, bearing races, and bearing housings are subject to 
antidumping/countervailing duty (AD/CVD) investigations/orders if 
imported from certain countries. The FTZ Board's regulations (15 CFR 
400.14(e)) require that merchandise subject to AD/CVD orders, or items 
which would be otherwise subject to suspension of liquidation under AD/
CVD procedures if they entered U.S. customs territory, be admitted to 
the zone in privileged foreign status (19 CFR 146.41). The request also 
indicates that steel and stainless steel crossmembers are subject to 
special duties under Section 232 of the Trade Expansion Act of 1962 
(Section 232), and that certain materials/components are subject to 
special duties under Section 301 of the Trade Act of 1974 (Section 
301), depending on the country of origin. The applicable Section 232 
and Section 301 decisions require subject merchandise to be admitted to 
FTZs in privileged foreign status (19 CFR 146.41).
    Public comment is invited from interested parties. Submissions 
shall be addressed to the Board's Executive Secretary at the address 
below. The closing period for their receipt is December 10, 2018.
    A copy of the notification will be available for public inspection 
at the Office of the Executive Secretary, Foreign-Trade Zones Board, 
Room 21013, U.S. Department of Commerce, 1401 Constitution Avenue NW, 
Washington, DC 20230-0002, and in the ``Reading Room'' section of the 
Board's website, which is accessible via www.trade.gov/ftz.
    For further information, contact Diane Finver at 
[email protected] or (202) 482-1367.

    Dated: October 23, 2018.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2018-23555 Filed 10-26-18; 8:45 am]
 BILLING CODE 3510-DS-P