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Foreign-Trade Zone (FTZ) 38--Spartanburg County, South Carolina; Notification of Proposed Production Activity; Teijin Carbon Fibers, Inc. (Polyacrylonitrile-Based Carbon Fiber); Greenwood, South Carolina

American Government Special Collections Reference Desk

American Government Topics:  Teijin

Foreign-Trade Zone (FTZ) 38--Spartanburg County, South Carolina; Notification of Proposed Production Activity; Teijin Carbon Fibers, Inc. (Polyacrylonitrile-Based Carbon Fiber); Greenwood, South Carolina

Andrew McGilvray
Department of Commerce
24 June 2019


[Federal Register Volume 84, Number 121 (Monday, June 24, 2019)]
[Notices]
[Page 29496]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-13364]


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

DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-38-2019]


Foreign-Trade Zone (FTZ) 38--Spartanburg County, South Carolina; 
Notification of Proposed Production Activity; Teijin Carbon Fibers, 
Inc. (Polyacrylonitrile-Based Carbon Fiber); Greenwood, South Carolina

    The South Carolina State Ports Authority, grantee of FTZ 38, 
submitted a notification of proposed production activity to the FTZ 
Board on behalf of Teijin Carbon Fibers, Inc. (TCF), located in 
Greenwood, South Carolina. The notification conforming to the 
requirements of the regulations of the FTZ Board (15 CFR 400.22) was 
received on June 7, 2019.
    The applicant indicates that it will be submitting a separate 
application for FTZ designation at the TCF facility (currently under 
construction) under FTZ 38. The facility will be used for the 
production of polyacrylonitrile-based (PAN) carbon fiber. Pursuant to 
15 CFR 400.14(b), FTZ activity would be limited to the specific 
foreign-status materials and components and specific finished product 
described in the submitted notification (as described below) and 
subsequently authorized by the FTZ Board.
    Production under FTZ procedures could exempt TCF from customs duty 
payments on the foreign-status components used in export production. On 
its domestic sales, for the foreign-status materials/components noted 
below, TCF would be able to choose the duty rate during customs entry 
procedures that applies to carbon fiber (duty free). TCF 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 components and materials sourced from abroad include sizing 
agent, spinning oil, 12,000 tow PAN precursor and 24,000 tow PAN 
precursor (duty rate ranges from 5.3% to 7.5%). The request indicates 
that certain materials/components are subject to special duties under 
Section 301 of the Trade Act of 1974 (Section 301), depending on the 
country of origin. The applicable 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 August 5, 2019.
    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 Diane Finver at 
Diane.Finver@trade.gov or (202) 482-1367.

    Dated: June 18, 2019.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2019-13364 Filed 6-21-19; 8:45 am]
BILLING CODE 3510-DS-P

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