[Federal Register Volume 84, Number 93 (Tuesday, May 14, 2019)]
[Notices]
[Pages 21326-21327]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-09909]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-35-2019]


Foreign-Trade Zone (FTZ) 185--Front Royal, Virginia; Notification 
of Proposed Production Activity; Merck & Co., Inc.; (Pharmaceuticals); 
Elkton, Virginia

    Merck & Co., Inc. (Merck) submitted a notification of proposed 
production activity to the FTZ Board for its facility in Elkton, 
Virginia. The notification conforming to the requirements of the 
regulations of the FTZ Board (15 CFR 400.22) was received on May 3, 
2019.
    Merck already has authority to produce pharmaceuticals within 
Subzone 185C. The current request

[[Page 21327]]

would add three finished products and four foreign status materials/
components to the scope of authority. Pursuant to 15 CFR 400.14(b), 
additional FTZ authority 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 Merck from customs 
duty payments on the foreign-status materials/components used in export 
production. On its domestic sales, for the foreign-status materials/
components noted below and in the existing scope of authority, Merck 
would be able to choose the duty rates during customs entry procedures 
that apply to Primaxin IV (Imipenem, Cilastatin) injectable for 
infusion, Invanz (Ertapenem), and Primaxin+ (Imipenem, Cilastatin, 
Relebactam) (duty-free). Merck 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 Imipenem, 
Ertapenem, Relebactam, and Cilastatin (duty rate ranges from duty-free 
to 6.5%). The request indicates that certain materials/components are 
subject to special duties under Section 232 of the Trade Expansion Act 
of 1962 (Section 232), depending on the country of origin. The 
applicable Section 232 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 and sent to: 
[email protected]. The closing period for their receipt is June 24, 2019.
    A copy of the notification will be available for public inspection 
in the ``Reading Room'' section of the Board's website, which is 
accessible via www.trade.gov/ftz.
    For further information, contact Juanita Chen at 
[email protected] or 202-482-1378.

    Dated: May 9, 2019.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2019-09909 Filed 5-13-19; 8:45 am]
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