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DEPARTMENT OF COMMERCE Foreign-Trade Zones Board [Docket 2-96] Foreign-Trade Zone 75--Phoenix, Arizona; Application for Subzone Status; Sitix of Phoenix, Inc. (Semiconductor Wafers;) Phoenix, Arizona
An application has been submitted to the Foreign-Trade Zones Board (the Board) by the City of Phoenix, Arizona, grantee of FTZ 75, requesting special-purpose subzone status for the new semiconductor wafer manufacturing plant of Sitix of Phoenix, Inc. (Sitix) (subsidiary of Sumitomo Sitix Corp.), located in Phoenix, Arizona. 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 January 16, 1996.
The Sitix plant (currently under construction) will involve a 466,000-square foot manufacturing facility on 106 acres, located at 19801 Tatum Blvd., Phoenix. The facility (200 employees at the outset) will be used to produce semiconductor wafers which are used by manufacturers of integrated circuits. Foreign sourced materials (up to 40% of total) will involve primarily silicon ingots, corundum, carbides, paints/varnishes, cleaning agents, lubrications, waxes, polishing materials and packaging materials. Some of the finished products will be exported.
Zone procedures would exempt Sitix from payments of Customs duties on foreign materials used in production for export. On domestic sales, the company would be able to choose the duty rate that applies to silicon wafers (duty-free) rather than the duty rates that would otherwise apply to the foreign-sourced items (0-6%). Sitix is also seeking an exemption from Customs duties on foreign materials that become scrap and waste during the production process (an estimated 40- 50%). The application indicates that the savings from zone procedures would help improve the plant'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 is invited from interested parties. Submissions (original and 3 copies) shall be addressed to the Board's Executive Secretary at the address below. The closing period for their receipt is March 25, 1996. Rebuttal comments in response to material submitted during the foregoing period may be submitted during the subsequent 15- day period (to April 8, 1996).
A copy of the application and accompanying exhibits will be available for public inspection at each of the following locations:
U.S. Department of Commerce, District Office, Phoenix Plaza, Suite 970, 2901 North Central Avenue, Phoenix, AZ 85012 Office of the Executive Secretary, Foreign-Trade Zones Board, U.S. Department of Commerce, Room 3716, 14th and Pennsylvania Avenue NW., Washington, DC 20230.
Dated: January 17, 1996. John J. Da Ponte, Jr., Executive Secretary. [FR Doc. 96-891 Filed 1-22-96; 8:45 am]