Foreign-Trade Zone (FTZ) 126-Reno, Nevada; Notification of Proposed Production Activity; Tesla, Inc. (Battery Penthouse Controllers); McCarren and Sparks, Nevada, 37060-37061 [2020-13268]
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37060
Notices
Federal Register
Vol. 85, No. 119
Friday, June 19, 2020
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VerDate Sep<11>2014
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USDA Committee Management Officer.
[FR Doc. 2020–13283 Filed 6–18–20; 8:45 am]
BILLING CODE 3411–15–P
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B–38–2020]
Foreign-Trade Zone (FTZ) 126—Reno,
Nevada; Notification of Proposed
Production Activity; Tesla, Inc. (Battery
Penthouse Controllers); McCarren and
Sparks, Nevada
Tesla, Inc. (Tesla) submitted a
notification of proposed production
activity to the FTZ Board for its
facilities in McCarren and Sparks,
Nevada. The notification conforming to
the requirements of the regulations of
the FTZ Board (15 CFR 400.22) was
received on June 10, 2020.
Tesla already has authority to produce
lithium-ion batteries, electric motors,
and stationary energy storage systems
within Subzone 126D. The current
request would add a finished product
and eleven 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 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 Tesla 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 and in the existing scope
of authority, Tesla would be able to
choose the duty rate during customs
entry procedures that apply to battery
penthouse controllers (duty rate 2.7%).
Tesla 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 battery penthouse
controllers, plastic carriers, aluminum
gaskets, gearbox casings, power
converters, radial bearings, resolver
sensors, rotor rings, unsaturated
polyester imide resin, plastic vents, and
voltage measurement boards (duty rate
ranges from duty-free to 6.5%). The
request indicates that certain materials/
components are subject to special duties
under Section 232 of the Trade
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Federal Register / Vol. 85, No. 119 / Friday, June 19, 2020 / Notices
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 July
29, 2020.
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
Juanita Chen at juanita.chen@trade.gov
or 202–482–1378.
Dated: June 15, 2020.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2020–13268 Filed 6–18–20; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–120]
Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof
From the People’s Republic of China:
Preliminary Affirmative Countervailing
Duty Determination, Preliminary
Negative Critical Circumstances
Determination, and Alignment of Final
Determination With Final Antidumping
Duty Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily determines
that producers and/or exporters subject
to this investigation received
countervailable subsidies. Interested
parties are invited to comment on this
preliminary determination.
DATES: Applicable June 19, 2020.
FOR FURTHER INFORMATION CONTACT:
Andrew Huston, AD/CVD Operations,
Office VII, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–4261.
SUPPLEMENTARY INFORMATION:
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AGENCY:
Background
This preliminary determination is
made in accordance with section 703(b)
VerDate Sep<11>2014
17:17 Jun 18, 2020
Jkt 250001
of the Tariff Act of 1930, as amended
(the Act). Commerce published the
notice of initiation of this investigation
on February 18, 2020.1 On March 26,
2020, Commerce postponed the
preliminary determination of this
investigation and reset the deadline to
June 15, 2020.2
For a complete description of the
events that followed the initiation of
this investigation, see the Preliminary
Decision Memorandum.3 A list of topics
discussed in the Preliminary Decision
Memorandum is included as Appendix
II to this notice. The Preliminary
Decision Memorandum is a public
document and is on file electronically
via Enforcement and Compliance’s
Antidumping and Countervailing Duty
Centralized Electronic Service System
(ACCESS). ACCESS is available to
registered users at https://
access.trade.gov. In addition, a complete
version of the Preliminary Decision
Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/.
The signed and electronic versions of
the Preliminary Decision Memorandum
are identical in content.
Scope of the Investigation
The products covered by this
investigation are certain large vertical
shaft engines. For a complete
description of the scope of this
investigation, see Appendix I.
Scope Comments
In accordance with the Preamble to
Commerce’s regulations,4 the Initiation
Notice set aside a period of time for
parties to raise issues regarding product
coverage (i.e., scope).5 Certain interested
parties commented on the scope of the
investigation as it appeared in the
Initiation Notice. For a summary of the
product coverage comments submitted
to the record for this preliminary
determination, and accompanying
discussion and analysis of all comments
1 See Certain Vertical Shaft Engines Between
223cc and 999cc, and Parts Thereof from the
People’s Republic of China: Initiation of
Countervailing Duty Investigation, 83 FR 8835
(February 18, 2020) (Initiation Notice).
2 See Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the
People’s Republic of China: Postponement of
Preliminary Determination in the Countervailing
Duty Investigation, 85 FR 17042 (March 26, 2020).
3 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Affirmative Determination and
Preliminary Negative Critical Circumstances
Determination in the Countervailing Duty
Investigation of Certain Vertical Shaft Engines
Between 225cc and 999cc, and Parts Thereof from
the People’s Republic of China,’’ dated concurrently
with, and hereby adopted by, this notice
(Preliminary Decision Memorandum).
4 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997).
5 See Initiation Notice.
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37061
timely received, see the Preliminary
Decision Memorandum. Commerce has
not modified the scope language as it
appeared in the Initiation Notice. See
Appendix I.
Period of Investigation
The period of investigation is January
1, 2019 through December 31, 2019.
Methodology
Commerce is conducting this
investigation in accordance with section
701 of the Act. For each of the subsidy
programs found countervailable,
Commerce preliminarily determines
that there is a subsidy, i.e., a financial
contribution by an ‘‘authority’’ that
confers a benefit on the recipient, and
that the subsidy is specific.6 For a full
description of the methodology
underlying our preliminary conclusions,
see the Preliminary Decision
Memorandum.
In making these findings, Commerce
relied, in part, on facts available. For
further information, see ‘‘Use of Facts
Otherwise Available and Adverse
Inferences’’ in the Preliminary Decision
Memorandum.
Alignment
In accordance with section 705(a)(1)
of the Act and 19 CFR 351.210(b)(4),
and based on the petitioners’ 7 request,8
we are aligning the final countervailing
duty (CVD) determination in this
investigation with the final
determination in the companion
antidumping duty (AD) investigation of
certain large vertical shaft engines from
China. Consequently, the final CVD
determination will be issued on the
same date as the final AD
determination, which is currently
scheduled to be issued no later than
October 26, 2020, unless postponed.
Preliminary Negative Determination of
Critical Circumstances
The Petition 9 included an allegation
that critical circumstances exist with
6 See sections 771(5)(B) and (D) of the Act
regarding financial contribution; section 771(5)(E)
of the Act regarding benefit; and section 771(5A) of
the Act regarding specificity.
7 The petitioners are the Coalition of American
Vertical Engine Producers and its individual
members.
8 See Petitioners’ Letter, ‘‘Certain Vertical Shaft
Engines Between 225cc and 999cc, and Parts
Thereof from the People’s Republic of China:
Request to Align Countervailing Duty Investigation
Final Determination with Antidumping Duty
Investigation Final Determination,’’ dated June 5,
2020.
9 See Petitioners’ Letter, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the
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Agencies
[Federal Register Volume 85, Number 119 (Friday, June 19, 2020)]
[Notices]
[Pages 37060-37061]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-13268]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B-38-2020]
Foreign-Trade Zone (FTZ) 126--Reno, Nevada; Notification of
Proposed Production Activity; Tesla, Inc. (Battery Penthouse
Controllers); McCarren and Sparks, Nevada
Tesla, Inc. (Tesla) submitted a notification of proposed production
activity to the FTZ Board for its facilities in McCarren and Sparks,
Nevada. The notification conforming to the requirements of the
regulations of the FTZ Board (15 CFR 400.22) was received on June 10,
2020.
Tesla already has authority to produce lithium-ion batteries,
electric motors, and stationary energy storage systems within Subzone
126D. The current request would add a finished product and eleven
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 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 Tesla 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 and in the existing scope of authority, Tesla
would be able to choose the duty rate during customs entry procedures
that apply to battery penthouse controllers (duty rate 2.7%). Tesla
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 battery
penthouse controllers, plastic carriers, aluminum gaskets, gearbox
casings, power converters, radial bearings, resolver sensors, rotor
rings, unsaturated polyester imide resin, plastic vents, and voltage
measurement boards (duty rate ranges from duty-free to 6.5%). The
request indicates that certain materials/components are subject to
special duties under Section 232 of the Trade
[[Page 37061]]
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:
[email protected]. The closing period for their receipt is July 29, 2020.
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 Juanita Chen at
[email protected] or 202-482-1378.
Dated: June 15, 2020.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2020-13268 Filed 6-18-20; 8:45 am]
BILLING CODE 3510-DS-P