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last update: September 2002 
  
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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board
[Docket 60-97]

 
Foreign-Trade Zone 124--Gramercy, LA; Application for Subzone 
Status, Halter Marine, Inc. (Shipbuilding)

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the South Louisiana Port Commission, grantee of FTZ 124, 
requesting special-purpose subzone status for the shipbuilding facility 
of Halter Marine, Inc. (HMI), located in Lockport, Louisiana. The 
application was submitted pursuant to the provisions of the Foreign-
Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the regulations of 
the Board (15 CFR Part 400). It was formally filed on July 16, 1997.
    The HMI shipyard (133 acres, 270 employees) is located on State 
Highway 308, north of the City of Lockport (LaFourche Parish), 
Louisiana, and is used in the construction, repair, and conversion of 
commercial and military vessels for domestic and international 
customers. Foreign components used at the HMI shipyard (up to 20% of 
total) include propulsion units, main engines, casting plates, bow 
thrusters, and pilot chairs (1997 duty rate range: free-10%, ad 
valorem).
    FTZ procedures would exempt HMI from Customs duty payments on the 
foreign components used in export activity. On its domestic sales, the 
company would be able to choose the duty rate that applies to finished 
oceangoing vessels (duty free) for the foreign-origin components noted 
above. The manufacturing activity conducted under FTZ procedures would 
be subject to the ``standard shipyard restriction'' applicable to 
foreign-origin steel mill products, which requires that full duties be 
paid on such items. Foreign-sourced steel mill products, such as pipe 
and plate, would be subject to the full Customs duties applicable to 
those items. The application indicates that the savings from FTZ 
procedures would help improve the facility's 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 on the application is invited from interested 
parties. Submissions (original and three copies) shall be addressed to 
the Board's Executive Secretary at the address below. The closing 
period for their receipt is September 22, 1997. Rebuttal

---- page 39809 ----

comments in response to material submitted during the foregoing period 
may be submitted during the subsequent 15-day period (to October 7, 
1997).
    A copy of the application will be available for public inspection 
at the following locations:

Office of the Port Director, U.S. Customs Service, P.O. Box 490, 110 
North Airline Avenue, Gramercy, LA 70052
Office of the Executive Secretary, Foreign-Trade Zones Board, Room 
3716, U.S. Department of Commerce, 14th Street & Pennsylvania Avenue, 
NW, Washington, DC 20230.

    Dated: July 17, 1997.
John J. Da Ponte, Jr.,
Executive Secretary.
[FR Doc. 97-19551 Filed 7-23-97; 8:45 am]
BILLING CODE 3510-DS-P