Home Page American Government Reference Desk Shopping Special Collections About Us Contribute



Escort, Inc.






GM Icons
By accessing/using The Crittenden Automotive Library/CarsAndRacingStuff.com, you signify your agreement with the Terms of Use on our Legal Information page. Our Privacy Policy is also available there.

Foreign-Trade Zone (FTZ) 134--Proposed Production Activity; Chattanooga, Tennessee, Volkswagen Group of America Chattanooga Operations, LLC (Passenger Motor Vehicles); Chattanooga, Tennessee


American Government Topics:  Volkswagen

Foreign-Trade Zone (FTZ) 134--Proposed Production Activity; Chattanooga, Tennessee, Volkswagen Group of America Chattanooga Operations, LLC (Passenger Motor Vehicles); Chattanooga, Tennessee

Andrew McGilvray
Department of Commerce
14 May 2021


[Federal Register Volume 86, Number 92 (Friday, May 14, 2021)]
[Notices]
[Page 26460]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-10240]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-38-2021]


Foreign-Trade Zone (FTZ) 134--Proposed Production Activity; 
Chattanooga, Tennessee, Volkswagen Group of America Chattanooga 
Operations, LLC (Passenger Motor Vehicles); Chattanooga, Tennessee

    Volkswagen Group of America Chattanooga Operations, LLC 
(Volkswagen), submitted a notification of proposed production activity 
to the FTZ Board for its facility in Chattanooga, Tennessee. The 
notification conforming to the requirements of the regulations of the 
FTZ Board (15 CFR 400.22) was received on May 6, 2021.
    Volkswagen already has authority to produce passenger motor 
vehicles within within FTZ 134. The current request would add 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 Volkswagen 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, Volkswagen would be able to choose 
the duty rates during customs entry procedures that applies to 
passenger motor vehicles (duty rate 2.5%). Volkswagen 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: Sound 
absorbers (bitumen film hot melt adhesive); polycrystalline fiber 
nonwoven mats; and, steel seal gaskets (duty rate ranges from 2.7% to 
4.3%). The request indicates that certain materials/components are 
subject to duties under Section 232 of the Trade Expansion Act of 1962 
(Section 232) or Section 301 of the Trade Act of 1974 (Section 301), 
depending on the country of origin. The applicable Section 232 and 
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: 
ftz@trade.gov. The closing period for their receipt is June 23, 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 Christopher Wedderburn at 
Chris.Wedderburn@trade.gov.

    Dated: May 11, 2021.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2021-10240 Filed 5-13-21; 8:45 am]
BILLING CODE 3510-DS-P




The Crittenden Automotive Library