National Defense Stockpile Market Impact Committee Request for Public Comments on the Potential Market Impact of the Proposed Fiscal Year 2018 Annual Materials Plan

DEPARTMENT OF COMMERCE

Bureau of Industry and Security

[Docket No. 160816751-6751-01]

National Defense Stockpile Market Impact Committee Request for Public Comments on the Potential Market Impact of the Proposed Fiscal Year 2018 Annual Materials Plan

AGENCY:

Bureau of Industry and Security, Commerce.

ACTION:

Notice of inquiry; request for comments.

SUMMARY:

The purpose of this notice is to advise the public that the National Defense Stockpile Market Impact Committee, co-chaired by the Departments of Commerce and State, is seeking public comments on the potential market impact of the proposed Fiscal Year 2018 National Defense Stockpile Annual Materials Plan. The role of the Market Impact Committee is to advise the National Defense Stockpile Manager on the projected domestic and foreign economic effects of all acquisitions, conversions, and disposals involving the stockpile and related material research and development projects. Public comments are an important element of the Committee's market impact review process.

DATES:

To be considered, written comments must be received by September 28, 2016.

ADDRESSES:

Address all comments concerning this notice to Eric Longnecker, U.S. Department of Commerce, Bureau of Industry and Security, Office of Strategic Industries and Economic Security, 1401 Constitution Avenue NW., Room 3876, Washington, DC 20230, fax: (202) 482-5650 (Attn: Eric Longnecker), email:

MIC@bis.doc.gov;

and Levi White, U.S. Department of State, Bureau of Energy Resources, 2201 C Street NW., Washington, DC 20520, fax: (202) 647-4037 (Attn: Levi White), email:

WhiteLA2@state.gov.

FOR FURTHER INFORMATION CONTACT:

Parya Milani, Office of Strategic Industries and Economic Security, Bureau of Industry and Security, U.S. Department of Commerce, telephone: (202) 482-8228, fax: (202) 482-5650 (Attn: Parya Milani), email:

MIC@bis.doc.gov.

SUPPLEMENTARY INFORMATION:

Background

Under the authority of the Strategic and Critical Materials Stock Piling Revision Act of 1979, as amended (the Stock Piling Act) (50 U.S.C. 98,

et seq.

), the Department of Defense's Defense Logistics Agency (DLA), as National Defense Stockpile Manager, maintains a stockpile of strategic and critical materials to supply the military, industrial, and essential civilian needs of the United States for national defense. Section 9(b)(2)(G)(ii) of the Stock Piling Act (50 U.S.C. 98(h)(b)(2)(G)(ii)) authorizes the National Defense Stockpile Manager to fund material research and development projects to develop new materials for the stockpile.

Section 3314 of the Fiscal Year (FY) 1993 National Defense Authorization Act (NDAA) (50 U.S.C. 98h-1) formally established a Market Impact Committee (the Committee) to “advise the National Defense Stockpile Manager on the projected domestic and foreign economic effects of all acquisitions and disposals of materials from the stockpile. . . .” The Committee must also balance market impact concerns with the statutory requirement to protect the U.S. Government against avoidable loss.

The Committee is comprised of representatives from the Departments of Commerce, State, Agriculture, Defense, Energy, Interior, the Treasury, and Homeland Security, and is co-chaired by the Departments of Commerce and State. The FY 1993 NDAA directs the Committee to consult with industry representatives that produce, process, or consume the materials stored in or of interest to the National Defense Stockpile Manager.

As the National Defense Stockpile Manager, the DLA must produce an Annual Materials Plan proposing the maximum quantity of each listed material that may be acquired, disposed of, upgraded, converted, or sold by the DLA in a particular fiscal year. In Attachment 1, the DLA lists the quantities and type of activity (potential acquisition, potential disposal, potential upgrade, potential conversion, or potential sale) associated with each material in its proposed FY 2018 Annual Materials Plan (“AMP”). The quantities listed in Attachment 1 are not acquisition, disposal, upgrade, conversion or sales target quantities, but rather a statement of the proposed maximum quantity of each listed material that may be acquired, disposed of, upgraded, converted, or sold in a particular fiscal year by the DLA, as noted. The quantity of each material that will actually be acquired or offered for sale will depend on the market for the material at the time of the acquisition or offering, as well as on the quantity of each material approved for

acquisition, disposal, conversion, or upgrade by Congress.

The Committee is seeking public comments on the potential market impact associated with the proposed FY 2018 AMP as enumerated in Attachment 1. Public comments are an important element of the Committee's market impact review process.

Submission of Comments

The Committee requests that interested parties provide written comments, supporting data and documentation, and any other relevant information on the potential market impact of the quantities associated with the proposed FY 2018 AMP. All comments must be submitted to the addresses indicated in this notice. All comments submitted through email must include the phrase “Market Impact Committee Notice of Inquiry” in the subject line.

The Committee encourages interested persons who wish to comment to do so at the earliest possible time. The period for submission of comments will close on September 28, 2016. The Committee will consider all comments received before the close of the comment period. Comments received after the end of the comment period will be considered, if possible, but their consideration cannot be assured.

All comments submitted in response to this notice will be made a matter of public record and will be available for public inspection and copying. Anyone submitting business confidential information should clearly identify the business confidential portion of the submission and also provide a non-confidential submission that can be placed in the public record. The Committee will seek to protect such information to the extent permitted by law.

The Office of Administration, Bureau of Industry and Security, U.S. Department of Commerce, displays public comments on the BIS Freedom of Information Act (FOIA) Web site at

http://www.bis.doc.gov/foia.

This office does not maintain a separate public inspection facility. If you have technical difficulties accessing this Web site, please call BIS's Office of Administration at (202) 482-1900 for assistance.

Dated: August 23, 2016.

Kevin J. Wolf,

Assistant Secretary for Export Administration.

Proposed Fiscal Year 2018 Annual Materials Plan

Material

Unit

Quantity

Footnote

Potential Disposals:

Beryllium Metal

ST

2

Chromium, Ferro

ST

23,500

Chromium, Metal

ST

200

E-Waste

MT

50

(

2

)

Dysprosium

MT

0.5

Germanium Scrap

kg

5,000

Iridium Catalyst

Lbs

50

Manganese, Ferro

ST

50,000

Manganese, Metallurgical Grade

SDT

322,025

Nickel Based Alloys

Lbs

150,000

Platinum

Tr Oz

8,380

Platinum—Iridium

Tr Oz

489

Tantalum Carbide Powder

Lb Ta

3,777

Tantalum Scrap

Lbs

190

Tin

MT

804

Titanium Based Alloys

Lbs

75,000

Tungsten Metal Powder

LB W

275,738

(

1

)

Tungsten Ores and Concentrates

LB W

3,000,000

Yttrium Aluminum Garnet Rods

kg

250

Zinc

ST

7,993

(

1

)

Potential Acquisitions:

Antimony

MT

1,100

Beryllium Metal

ST

2

(

3

)

Boron Carbide

MT

1,000

High Modulus High Strength Carbon Fibers

MT

72

CZT (Cadmium Zinc Tellurium substrates)

cm

2

32,000

Dysprosium

MT

0.5

Electrolytic Manganese Metal

MT

3,000

Europium

MT

18

Ferro-niobium

MT

209

Germanium Metal

kg

1,000

HMX/RDX

Lbs

5,500,000

Lithium Cobalt Oxide (LCO)

kg

600

Lithium Nickel Cobalt Aluminum Oxide (LNCAO)

kg

2,160

Mesocarbon Microbeads (MCMB)

kg

15,552

Rare Earths

MT

416

(

4

)

Silicon Carbide Fibers

Lbs

875

TATB (Triamino-Trinitrobenzene)

LB

48,000

Tantalum

Lb Ta

33,990

Tungsten-3 Rhenium Metal

kg

5,000

Yttrium Oxide

MT

10

Potential Conversions:

Beryllium Metal

ST

2

Footnote Key:

1

Actual quantity will be limited to remaining inventory.

2

Strategic and Critical Materials collected from E-Waste.

3

This acquisition allows for use of non-stockpile materials in the production of material meeting modern specifications. U.S.C. 50 § 98 Sec. 5a(1) allows for replacement of stockpile materials with better quality material without specific legislated authority.

4

Excludes acquisition of yttrium, dysprosium and europium as these rare earths were requested under separate legislation.

[FR Doc. 2016-20579 Filed 8-26-16; 8:45 am]

BILLING CODE 3510-33-P