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last update: September 2002 


                           DEPARTMENT OF COMMERCE

    			Foreign-Trade Zones Board

                           (Docket A(28a3)-1-92)

  Foreign-Trade Subzone 146C, Fedders North America, Inc., Effingham, IL;
      for Expansion of Manufacturing Authority; Room Air Conditioners

                          Thursday, August 6, 1992

The Foreign-Trade Zones Board (the Board) has been notified pursuant to 
 400.28(a)(3) of the Board's regulations by the Bi-State Authority, grantee 
of FTZ 146, Lawrence County, Illinois, with additional information as to the 
sourcing of foreign components for activity under FTZ procedures at the 
Fedders North America, Inc., room air conditioner manufacturing plant in 
Effingham, Illinois (FTZ Subzone 146C).

The Board authorized subzone status for the Fedders plant in March, 1992
(Board Order 561, 57 FR 9103, 3-16-92). Manufacturing authority involves
the production of room air conditioners for the U.S. market and for export
using certain materials and components sourced from abroad, which account
for some 20 percent of finished product material value.
The original application listed certain components being sourced from
aboard. The Board has now been notified that certain components were
inadvertently omitted. The FTZ Staff has reviewed the list and concluded
that public comment should be invited on the following items which are
subject to inverted tariffs based on the 2.2 percent duty rate for finished
air conditioners: compressors (HTSUSA# 8414.30, duty rate: 3.4%), overloads
and start assists (8414.90.20402, 3.4%), power cords (8544.60.200009,
5.3%), reversing valves (8481.20.00007, 3.7%), insulation (8548.00.00002,
3.9%), heating coils (8516.29.00908, 3.7%), grooved copper tubing
(7407.10.10000, 6.3%), and aluminum (7607.11.00006, 5.3%). The
manufacturing activity otherwise remains unchanged.

Zone procedures would exempt Fedders from Customs duty payments on the
foreign components used in production for export. On domestic sales, the
firm would be able to choose the duty rate for finished air conditioners
(2.2%) to apply to foreign-origin components (average duty rate 4.3%).
Public comment is invited from interested parties. Submission (original and
3 copies) shall be addressed to the Board's Executive Secretary at the
address below. The closing period for their receipt is August 26, 1992. A
copy of the request will be available for public inspection at the
following location: 
Office of the Executive Secretary, 
Foreign-Trade Zones Board, 
U.S. Department of Commerce, Room 3716, 
14th Street and Pennsylvania Avenue, NW., 
Washington, DC 20230.

Dated: July 30, 1992.

John J. Da Ponte, Jr.,

Executive Secretary.

(FR Doc. 92-18695 Filed 8-5-92; 8:45 am)