Federal Register / Vol. 70, No. 209 / Monday, October 31, 2005 / Notices 62295 

DEPARTMENT OF COMMERCE 

Foreign–Trade Zones Board 

(Docket 53–2005) 

Foreign–Trade Zone 84 - Houston, 

Texas, Foreign–Trade Zone 38 - 

Spartanburg Co., South Carolina, 

Foreign–Trade Zone 126 - Reno, 

Nevada, Foreign–Trade Zone 70 - 

Detroit, Michigan, Request for 

Manufacturing Authority, Michelin 

North America (Wheel Assembly) 

Applications have been submitted to 

the Foreign–Trade Zones Board (the 

Board) by the following grantees, on 

behalf of Michelin North America 

(MNA), requesting authority to assemble 

wheels under FTZ procedures at the 

sites listed below. The applications 

were formally filed on October 20, 2005. 

Grantee: FTZ 84, Port of Houston 

Authority 

Site: SZ 84R 

Location: 8800 City Park Loop, 

Houston, Texas 

Employees: 50 employees 

Grantee: FTZ 38, South Carolina State 

Ports Authority 

Site: FTZ 38, Site 5 

Location: 101 Michelin Drive, 

Laurens, South Carolina 

Employees: 96 employees 

Grantee: FTZ 126, Economic 

Development Authority of Western 

Nevada 

Site: FTZ 126, Site 7 

Location: 14551 Industry Circle, Reno, 

Nevada 

Employees: 36 employees 

Grantee: FTZ 70, Greater Detroit 

Foreign Trade Zone, Inc. 

Site: FTZ 70, Site 18 

Location: 7111 Crabb Road, 

Temperance, Michigan 

Employees: 40 employees 

The general–purpose zone sites are 

warehouses operated by TNT Logistics 

for MNA. The applicants are requesting 

to perform wheel assembly using 

domestic and foreign components on 

behalf of auto manufacturer clients at 

each of the sites. Foreign–sourced 

components include tires (HTSUS 

4011.10, 4011.20, 4011.61, 4011.62, 

4011.63, 4011.92, 4011.93, 4011.94, 

4011.99, duty–free to 4.0%), wheel rims 

(HTSUS 8708.70, duty–free to 2.5%), 

flaps (HTSUS 4012.90, duty–free to 

4.2%), valves (HTSUS 8481.80, duty–

free to 5%), tubes (HTSUS 4013.10, 

duty–free to 3.7%), gaskets (HTSUS 

4016.93, duty–free to 2.5%), sensors 

(HTSUS 8525.10, duty–free), and nuts 

(HTSUS 7318.16, duty–free). 

FTZ procedures would exempt MNA 

from Customs duty payments on the 

foreign components used in production 

for export to non–NAFTA countries. On 

shipments for U.S. consumption and to 

NAFTA markets, MNA could elect the 

wheel assembly duty rate (generally 

dutiable as an auto part - 2.5%) for the 

foreign components (mostly tires 

dutiable at 4%) listed above. The auto 

part duty rate (2.5%) would apply if the 

wheel assemblies are shipped via zone–

to-zone transfer to U.S. motor vehicle 

assembly plants with subzone status. 

The applications indicate that the 

savings from FTZ procedures would 

help improve the facilities’ international 

competitiveness. 

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 one of 

the following addresses: 

1. Submissions Via Express/Package 

Delivery Services: Foreign–Trade-Zones 

Board, U.S. Department of Commerce, 

Franklin Court Building - Suite 4100W, 

1099 14th St. NW, Washington, D.C. 

20005; or 

2. Submissions Via the U.S. Postal 

Service: Foreign–Trade-Zones Board, 

U.S. Department of Commerce, FCB - 

Suite 4100W, 1401 Constitution Ave. 

NW, Washington, D.C. 20230. 

The closing period for their receipt is 

December 30, 2005. Rebuttal comments 

in response to material submitted 

during the foregoing period may be 

submitted during the subsequent 15-day 

period (to January 17, 2006). 

Copies of the requests will be 

available for public inspection at the 

Office of the Foreign–Trade Zones 

Board’s Executive Secretary at address 

Number 1 listed above. 

Dated: October 21, 2005. 

Dennis Puccinelli, 

Executive Secretary. 

[FR Doc. 05–21616 Filed 10–28–05; 8:45 am] 

BILLING CODE 3510–DS–S 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

[Docket No: 051017266–5266–01] 

Revision to the Unverified List—

Guidance as to ‘‘Red Flags’’

AGENCY: Bureau of Industry and 

Security, Commerce. 

ACTION: Notice. 

SUMMARY: On June 14, 2002, the Bureau 

of Industry and Security (‘‘BIS’’) 

published a notice in the Federal 

Register that set forth a list of persons 

in foreign countries who were parties to 

past export transactions where prelicense checks or post-shipment 

verifications could not be conducted for 

reasons outside the control of the U.S. 

Government (‘‘Unverified List’’). 

Additionally, on July 16, 2004, BIS 

published a notice in the Federal 

Register that advised exporters that the 

Unverified List would also include 

persons in foreign countries in 

transactions where BIS is not able to 

verify the existence or authenticity of 

the end-user, intermediate consignee, 

ultimate consignee, or other party to the 

transaction. These notices advised 

exporters that the involvement of a 

listed person as a party to a proposed 

transaction constitutes a ‘‘red flag’’ as 

described in the guidance set forth in 

Supplement No. 3 to 15 CFR part 732, 

requiring heightened scrutiny by the 

exporter before proceeding with such a 

transaction. This notice adds five 

entities to the Unverified List. The 

entities are: T.Z.H. International Co. 

Ltd., Room 23, 2/F, Kowloon Bay Ind 

Center, No. 15 Wany Hoi Rd, Kowloon 

Bay, Hong Kong, Special Administrative 

Region; Design Engineering Center, 

House 184, Street 36, Sector F–10/1, 

Islamabad, Pakistan; Kantry, 13/2 

Begovaya Street, Moscow, Russia 

125284; Elaton Company, 20B 

Berezhkovskaya Naberezhnaya, 

Moscow, Russia; and Pskovenergo 

Service, 47–A Sovetskaya Street, Pskov, 

Russia Federation, 180000. 

DATES: This notice is effective October 

31, 2005. 

FOR FURTHER INFORMATION CONTACT: 

Thomas W. Andrukonis, Office of 

Enforcement Analysis, Bureau of 

Industry and Security, Telephone: (202) 

482–4255. 

SUPPLEMENTARY INFORMATION: In 

administering export controls under the 

Export Administration Regulations (15 

CFR parts 730 to 774) (‘‘EAR’’), BIS 

carries out a number of preventive 

enforcement activities with respect to 

individual export transactions. Such 

activities are intended to assess 

diversion risks, identify potential 

violations, verify end-uses, and 

determine the suitability of end-users to 

receive U.S. commodities or technology. 

In carrying out these activities, BIS 

officials, or officials of other federal 

agencies acting on BIS’s behalf, 

selectively conduct pre-licence checks 

(‘‘PLCs’’) to verify the bona fides of the 

transaction and the suitability of the 

end-user or ultimate consignee. In 

addition, such officials sometimes carry 

out post-shipment verifications