[Federal Register Volume 85, Number 111 (Tuesday, June 9, 2020)]
[Notices]
[Pages 35260-35261]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-12424]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-34-2020]


Foreign-Trade Zone (FTZ) 102--St. Louis, Missouri; Notification 
of Proposed Production Activity; H-J Enterprises, Inc./H-J 
International, Inc. (Electrical Transformer Components and Kits); High 
Ridge, Missouri

    H-J Enterprises, Inc./H-J International, Inc. (H-J) submitted a 
notification of proposed production activity to the FTZ Board for its 
facilities in High Ridge, Missouri. The notification conforming to the 
requirements of the regulations of the FTZ Board (15 CFR 400.22) was 
received on June 1, 2020.
    H-J already has authority to produce electrical transformer 
components and kits within Subzone 102E. 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.
    Production under FTZ procedures could exempt H-J from customs duty 
payments on the foreign-status materials/components used in export 
production (estimated 5 percent of production). On its domestic sales, 
for the foreign-status materials/components noted below and in the 
existing scope of authority, H-J would be able to choose the duty rates 
during customs entry procedures that apply to bushing terminals, 
electrical connectors, electrical leads, electrical contacts, and 
porcelain insulator kits (insulators, gaskets, nuts, clamps) (duty rate 
ranges from 2.7% to 3.5%). H-J 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: 
polytetrafluoroethylene (PTFE) tape; epoxy resins; silicone rubber 
tape; plastic viewing windows for transformer loadbreaks; plastic 
centering and locking devices for transformer bushings; cork gaskets; 
paper plugs for transformer bushings; decal transfer labels; nonalloy 
steel bar; nonalloy steel rod; stainless steel wire; threaded elbows 
(steel); nipples (steel); threaded couplings (steel); sealing glands 
(steel); anchors (steel); studs (stainless steel); nuts (steel); 
threaded fasteners (iron, steel); flat washers (steel); cotter pins 
(steel); dowel pins (steel); spacers (steel); slugs (steel); helical 
springs (stainless steel, steel); spring pins (stainless steel, steel); 
lead springs (stainless steel, steel); stop buttons (steel); isolating 
switches; relays; disconnect switches; surge arresters; elbow 
arresters; molded terminal housings; insulated copper wire; insulated 
electric conductors (for more than 1000 volts) (copper); porcelain line 
post insulators; epoxy bushing assemblies; silicone insulators; liquid-
filled thermometers; thermometers; temperature indicators; winding 
temperature indicators; thermometer wells (brass); liquid level gauges; 
pressure gauges; liquid level gauge components (lenses, float shafts, 
cases of polycarbonate, brass, and aluminum); adapters for electric 
meters; transport handling measurement sensors; stamped ground pads 
(steel); bushing caps (steel); shafts (steel); fittings (steel); copper 
bus bar; copper rod; bronze rod; copper strip; copper tubes; nipples 
(brass); reducers (brass); plugs (brass); flexible connectors of 
stranded wire without fittings (copper); flexible connectors of 
stranded wire with fittings (copper); spacers (brass); slugs (brass); 
pressure plates (brass); cast bushing terminals (copper, brass); ground 
brackets (copper, brass); support straps (copper, brass); lifting lugs 
(un-plated copper, brass); round aluminum bar; hex aluminum bar; plugs 
(aluminum); reservoir tanks (aluminum); clamps (aluminum); hangers 
(aluminum); supports--castings, forgings, stampings of aluminum; 
machinings (machined shapes or fittings of aluminum); spanner wrenches 
(steel, stainless steel); circuit breaker tools (steel, stainless 
steel); sockets for wrenches/tools (steel, stainless steel); vise 
clamps (aluminum, steel, stainless steel); padlock assemblies (steel, 
stainless steel); door locks and door lock assemblies (stainless steel, 
steel); fittings of lock assemblies (steel, aluminum); connectors of 
lock assemblies (steel, aluminum); door handles (brass); brackets 
(steel, brass); plates (steel, brass); channels (steel, brass); 
nameplates (aluminum); fan blades (aluminum); lift hooks (stainless 
steel); coil winding machines; relays, cylinders and decoilers for coil 
winding machines; pressure relief valves; sampler valves (copper, 
brass, steel); gas valves (copper, brass, steel); safety valves; valve 
bodies (copper, brass, aluminum, steel); housings for valves and cocks 
(aluminum); seals for valves (aluminum); housings (copper, brass, 
stainless steel, steel); seals (copper, brass, aluminum, stainless 
steel, steel); bearing hubs (steel); cam shaft housings (brass); gears 
(steel); speed changers (steel); crank arms (steel); knuckles (iron, 
steel); bases (iron, steel); air dehumidifiers; signal lights; circuit 
breakers for voltage less than 72.5kv; and, circuit breakers for 
voltage more than 72.5kv (duty rate ranges from duty-free to 9%). The 
request indicates that copper tubes, aluminum clamps, aluminum 
machinings (machined shapes or fittings) and round aluminum bars are 
subject to antidumping/countervailing duty (AD/CVD) orders 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 (PF) status (19 CFR 146.41). The request also indicates that 
certain

[[Page 35261]]

materials/components are subject to duties under Section 232 of the 
Trade Expansion Act of 1962 (Section 232) or 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 PF 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 July 20, 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: June 3, 2020.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2020-12424 Filed 6-8-20; 8:45 am]
 BILLING CODE 3510-DS-P