[Federal Register Volume 85, Number 95 (Friday, May 15, 2020)]
[Notices]
[Pages 29397-29398]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-10448]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-29-2020]


Foreign-Trade Zone (FTZ) 148--Knoxville, Tennessee; Notification 
of Proposed Production Activity, CoLinx, LLC (Tapered Roller Bearing 
Unit and Gearhead Kitting), Crossville, Tennessee

    CoLinx, LLC (CoLinx) submitted a notification of proposed 
production activity to the FTZ Board for its facility in Crossville, 
Tennessee. The notification conforming to the requirements of the 
regulations of the FTZ Board (15 CFR 400.22) was received on May 7, 
2020.
    CoLinx already has authority to produce certain kits of bearing 
products within FTZ 148. The current request would add finished 
products and 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.

[[Page 29398]]

    Production under FTZ procedures could exempt CoLinx from customs 
duty payments on the foreign-status materials/components used in export 
production (estimated 4 percent of production). On its domestic sales, 
for the foreign-status materials/components noted below and in the 
existing scope of authority, CoLinx would be able to choose the duty 
rates during customs entry procedures that apply to kits of tapered 
roller bearing cup/cone assemblies and gearheads (duty rates, 2.5% or 
5.8%). CoLinx 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 tapered roller 
bearing cones, inner and outer races for tapered roller bearings, and 
fixed ratio speed changers (duty rates, 2.5% or 5.8%). The request 
indicates that certain tapered roller bearings are subject to an 
antidumping/countervailing duty (AD/CVD) order if imported from China. 
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 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 
Section 301 decisions require subject merchandise to be admitted to 
FTZs in privileged foreign status.
    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, 2020.
    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 Diane Finver at 
[email protected] or (202) 482-1367.

    Dated: May 11, 2020.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2020-10448 Filed 5-14-20; 8:45 am]
BILLING CODE 3510-DS-P