[Federal Register Volume 85, Number 126 (Tuesday, June 30, 2020)]
[Notices]
[Pages 39163-39164]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-14005]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-41-2020]


Foreign-Trade Zone (FTZ) 22--Chicago, Illinois; Notification of 
Proposed Production Activity; Volflex, Inc. (Flexible Packaging), 
Mokena, Illinois

    The Illinois International Port District, grantee of FTZ 22, 
submitted a notification of proposed production activity to the FTZ 
Board on behalf of Volflex, Inc. (Volflex), located in Mokena, 
Illinois. The notification conforming to the requirements of the 
regulations of the FTZ Board (15 CFR 400.22) was received on June 22, 
2020.
    The grantee has submitted a separate application for FTZ 
designation at the company's facility under FTZ 22. The facility is 
used for the production of flexible packaging in the form of aluminum 
laminated products. Pursuant to 15 CFR 400.14(b), FTZ activity would be 
limited to the specific foreign-status material/component 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 Volflex from customs 
duty payments on the foreign-status material/component used in export 
production. On its domestic sales, for the foreign-status material/
component noted below, Volflex would be able to choose the duty rates 
during customs entry procedures that apply to aluminum radiant 
barriers, food wrap, and bag stock (duty rate ranges from duty-free to 
5.7%). Volflex would be

[[Page 39164]]

able to avoid duty on foreign-status material which becomes scrap/
waste. Customs duties also could possibly be deferred or reduced on 
foreign-status production equipment.
    The material/component sourced from abroad is aluminum foil (duty 
rate 5.8%). The request indicates that aluminum foil is subject to an 
antidumping/countervailing duty (AD/CVD) order if imported from the 
People's Republic of 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 aluminum foil may be 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 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 August 10, 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 Juanita Chen at 
[email protected] or 202-482-1378.

    Dated: June 24, 2020.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2020-14005 Filed 6-29-20; 8:45 am]
BILLING CODE 3510-DS-P