[Federal Register Volume 72, Number 40 (Thursday, March 1, 2007)]
[Notices]
[Pages 9304-9305]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-3512]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

Docket 6-2007


Foreign-Trade Zone 196 - Fort Worth, Texas, Request for 
Manufacturing Authority, Motorola, Inc., (Mobile Phone Kitting)

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Alliance Corridor, Inc., grantee of FTZ 196, 
requesting authority on behalf of Motorola, Inc. (Motorola) to perform 
mobile phone kitting under FTZ procedures within FTZ 196. The 
application was filed on February 16, 2007.
    The Motorola facilities (3,800 employees, annual capacity for up to 
50 - 60 million mobile phone sets) are located at multiple locations 
(including those of affiliates and third-party contractors) within 
Sites 1 and 2 of FTZ 196, and include 4801 Westport Parkway and 15005 
Peterson Court, in Fort Worth, Texas. Motorola has requested authority 
to process (kit) certain imported components into mobile phone sets 
(2006 HTSUS 8525.20 and proposed 2007 HTSUS 8517.12 and 8517.69 - the 
phones enter the United States duty-free). The company may source the 
following potentially dutiable components from abroad (representing 95% 
of total materials) for processing under FTZ procedures, as described 
in its application: Nicad batteries (HTSUS 8507.80), power supplies 
(HTSUS 8504.40), lithium batteries (HTSUS 8507.30), cables (2006 HTSUS 
8544.41 and proposed 2007 HTSUS 8544.42), connectors and plugs (HTSUS 
8536.69), decals (3919.90), plastic holsters (HTSUS 3926.90), leather 
carrying cases (HTSUS 4202.31.60.00), leather pouches/cases (HTSUS 
4202.91.00.90), plastic carrying cases (HTSUS 4202.92.90.60), leather 
straps (HTSUS 4205.00.40.00), wrist straps (HTSUS 6307.90), key pads 
fitted with connectors (HTSUS 8537.10), external speaker sets (HTSUS 
8518.22), headsets with microphone (HTSUS 8518.30) and

[[Page 9305]]

hands free speaker kits (HTSUS 8518.90). Duty rates on these inputs 
range from duty-free to 17.6 percent, ad valorem.
    FTZ procedures would allow Motorola to elect the finished-product 
duty rate for the imported components listed above. The application 
indicates that most of the FTZ savings would result from choosing the 
duty-free rate on mobile phones for imported nicad and lithium 
batteries (duty rates 3.4% and 2.5% ad valorem, respectively). The 
company indicates that it would also realize logistical/paperwork 
savings and duty-deferral savings under FTZ procedures. Motorola's 
application states that the above-cited savings from zone procedures 
could help improve the international competitiveness of its Texas 
facilities.
    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 is invited from interested parties. Submissions 
(original and 3 copies) shall be addressed to the Board's Executive 
Secretary at the address below. The closing period for their receipt is 
April 30, 2007. Rebuttal comments in response to material submitted 
during the foregoing period may be submitted during the subsequent 15-
day period to May 15, 2007.
    A copy of the application and accompanying exhibits will be 
available for public inspection at each of the following locations: 
U.S. Department of Commerce Export Assistance Center, 808 Throckmorton 
Street, Fort Worth, TX 76102-6315; and, Office of the Executive 
Secretary, Foreign-Trade Zones Board, Room 2814B, U.S. Department of 
Commerce, 1401 Constitution Avenue, NW, Washington, D.C. 20230-0002.
    For further information, contact Liz Whiteman at (202) 482-0473.

    Dated: February 20, 2007.
Andrew McGilvray,
Executive Secretary.
[FR Doc. E7-3512 Filed 2-28-07; 8:45 am]
BILLING CODE 3510-DS-S