Foreign-Trade Zone 70; Detroit, MI; Application for Subzone Status MascoTech, Inc., Plant (Forged Steel Automotive Products) Detroit, Michigan

DEPARTMENT OF COMMERCE

[Docket 16-97]

Foreign-Trade Zone 70; Detroit, MI; Application for Subzone

Status MascoTech, Inc., Plant (Forged Steel Automotive Products)

Detroit, Michigan

An application has been submitted to the Foreign-Trade Zones Board

(the Board) by the Greater Detroit Foreign-Trade Zone, Inc., grantee of

FTZ 70, requesting special-purpose subzone status for the automotive

parts forging facility of MascoTech, Inc. (MTI), located in Detroit,

Michigan. The application was submitted pursuant to the provisions of

the Foreign-Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the

regulations of the Board (15 CFR Part 400). It was formally filed on

March 12, 1997.

The MTI plant, known as the ``MascoTech Forming Technologies-

Braun'' facility (12 acres, 270,000 sq. ft.) is located at 19001

Glendale Avenue, Detroit, Michigan. The facility (241 employees) is

used to produce various forged automotive components, including clutch

housings, pinion and differential gears, combustion plates, brake

parts, bumper tubes, parts of air conditioners, constant velocity

joints, piston pins, and axle arms for the U.S. market and export. The

production process involves warm and cold forging using coiled and

straight bar alloy and carbon steel (grades 1018, 1019, 4615; HTSUS

Headings 7213, 7214, 7215, 7227, 7228; duty rate range 1.3%-5.2%).

FTZ procedures would exempt MTI from Customs duty payments on the

foreign steel used in the export production. On its domestic sales, the

company would be able to choose the duty rate that applies to the

finished automotive components (2.7%) for the foreign steel inputs

noted above. The motor vehicle duty rate (2.5%) could apply to the

finished products that are shipped to U.S. motor vehicle assembly

plants with subzone status for manufacture into finished motor vehicles

under FTZ procedures. FTZ procedures would also exempt foreign steel

that becomes scrap during the production process from Customs duties.

The application indicates that subzone status would help improve the

international competitiveness of the MTI plant.

In accordance with the Board's regulations, a member of the FTZ

Staff has been designated examiner to investigate the application and

report to the Board.

Public comment on the application is invited from interested

parties. Submissions (original and three copies) shall be addressed to

the Board's Executive Secretary at the address below. The closing

period for their receipt is June 2, 1997. Rebuttal comments in response

to material submitted during the foregoing period may be submitted

during the subsequent 15-day period (to [June 16, 1997]).

A copy of the application and the accompanying exhibits will be

available for public inspection at each of the following locations:

U.S. Department of Commerce, Export Assistance Center, McNamara

Building, Room 1140, 477 Michigan Avenue, Detroit, MI 48226

Office of the Executive Secretary, Foreign-Trade Zones Board, U.S.

Department of Commerce, Room 3716, 14th Street & Pennsylvania Avenue,

NW., Washington, DC 20230-0002

Dated: March 21, 1997.

John J. Da Ponte, Jr.,

Executive Secretary.

[FR Doc. 97-8262 Filed 3-31-97; 8:45 am]

BILLING CODE 3510-DS-P