[Federal Register Volume 86, Number 55 (Wednesday, March 24, 2021)]
[Notices]
[Pages 15642-15643]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-06063]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-22-2021]


Foreign-Trade Zone (FTZ) 123--Denver, Colorado, Notification of 
Proposed Production Activity; Lockheed Martin Corporation, Lockheed 
Martin Space (Satellites and Other Spacecraft), Littleton, Colorado

    Lockheed Martin Corporation, Lockheed Martin Space (formerly

[[Page 15643]]

Lockheed Martin Space Systems Company) (Lockheed Martin) submitted a 
notification of proposed production activity to the FTZ Board for its 
facility in Littleton, Colorado. The notification conforming to the 
requirements of the regulations of the FTZ Board (15 CFR 400.22) was 
received on March 17, 2021.
    Lockheed Martin already has authority to produce satellites and 
other spacecraft for space-based use and subsystems for satellites and 
other spacecraft within Subzone 123G. The current request would add 
three 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 described in the 
submitted notification (as described below) and subsequently authorized 
by the FTZ Board.
    Production under FTZ procedures could exempt Lockheed Martin 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, Lockheed Martin would be able to 
choose the duty rates during customs entry procedures that apply to 
satellites and other craft for space-based use and subsystems for 
satellites and other spacecraft (duty-free). Lockheed Martin 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 rechargeable 
lithium-ion batteries, electric thrusters, and payload adapter 
assemblies (duty rate ranges from duty-free to 3.4%). The request 
indicates that certain materials/components are subject to duties under 
Section 301 of the Trade Act of 1974 (Section 301), depending on the 
country of origin. The applicable 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 and sent to: 
[email protected]. The closing period for their receipt is May 3, 2021.
    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: March 19, 2021.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2021-06063 Filed 3-23-21; 8:45 am]
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