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last update: September 2002 


Foreign-Trade Zones Board
[Docket 42-97]

Foreign-Trade Zone 46--Cincinnati, Ohio, Area; Application for 
Expansion and Request for Manufacturing Authority, Cincinnati Milacron, 
Inc. (Horizontal Turning and Grinding Machinery and Related Consumable 

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Greater Cincinnati Foreign Trade Zone, Inc., grantee 
of FTZ 46, requesting authority to expand its zone at the Oakley 
Industrial Complex, and requesting, on behalf of Cincinnati Milacron, 
Inc., authority to manufacture horizontal turning and grinding 
machinery and metalworking consumable products under zone procedures 
within FTZ 46, Cincinnati, Ohio, area, within the Cincinnati Customs 
port of entry. 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 
May 23, 1997.
    FTZ 46 was approved on January 12, 1979 (Board Order 141, 44 FR 
4003; 1/19/79) and relocated on December 19, 1994 (Board Order 720, 59 
FR 66891; 12/28/94). The zone currently consists of 35 acres at 175 
Progress Place in Springdale (Hamilton County), Ohio, some 17 miles 
north of downtown Cincinnati.
    The applicant is now requesting authority to expand the zone by 
adding a site (122 acres-5 parcels) located at 4701 Marburg Avenue, 
Cincinnati, Ohio. The new site is owned by Cincinnati Milacron (CM), 
which will serve as operator of the site.
    The application also requests authority on behalf of CM to 
manufacture horizontal turning and grinding machinery and metalworking 
consumable products under zone procedures at the Marburg Avenue 
facilities within the proposed expansion site of FTZ 46. The facilities 
(99 acres/2,450 employees) are used to produce computer-numerically-
controlled horizontal turning and grinding (metal working) machines 
(horizontal machining centers/lathes, composites processing machines, 
flexible manufacturing cells, grinding machines; duty rates: 4.2, 4.4%) 
and consumable products used in metalworking (grinding wheels, soluble 
oil metal working fluids; duty rate: 1.5%). Components purchased from 
abroad (up to 29% of finished product value) include: lamps, 
oscilloscopes, chemical analysis instruments, wire and cables, 
electrical boards/panels, numerical process controllers, printed 
circuit assemblies, electrical apparatus, AC/DC motors, transformers, 
gears, flywheels, clutches, shaft couplings, pulleys, bearings (roller/
ball), valves, parts of plastic/rubber forming machines, injection 
molding machines, parts of machine tools, parts of automatic data 
processing machines, spray guns, parts of centrifuges, filtering/
purifying machines, heat exchange units, fans, pumps, linear acting 
engines, parts of nuclear reactors, fasteners, chain, wire ropes/
cables, tubes/pipes and fittings, hoses, abrasive wheels, transfers, 
articles of plastic, oil seals, gaskets, conveyor/transmission belts, 
cements/mortars, and resins (1997 duty rates: free-9.8%, 9.2 cents/
kg+2.4%). Foreign items used in the manufacture of metal working 
consumable products include grinding wheels, abrasives, diamond 
dressing, refractory ceramic goods, refractometers, cubic boron 
nitrate, silicon carbide, artificial corundum, glass frit, phenolic 
resins, epoxy resins, clay, furfuryl alcohol, and fiberglass 
reinforcements (1997 duty rates: free-7.1%, .07 cents/kg+2.8%). Some 15 
percent of the finished machines are exported.
    FTZ procedures would exempt CM from Customs duty payments on the 
foreign components used in export production. On its domestic sales, CM 
would be able to choose the duty rates that apply to finished turning 
and grinding machinery and metalworking consumable products for the 
foreign components noted above. CM would also defer duty payments on 
foreign-origin finished vertical turning and grinding machinery 
admitted to the proposed subzone. FTZ procedures would also exempt 
certain merchandise from state/local ad valorem inventory taxes. The 
application indicates that the savings from FTZ procedures would help 
improve CM'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 3 copies) shall be addressed to the 
Board's Executive Secretary at the address below. The closing period 
for their receipt is August 4, 1997. Rebuttal comments in response to 
material submitted during the foregoing period may be submitted during 
the subsequent 15-day period (to August 18, 1997).
    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, Export Assistance Center, 36 East 7th St., 
Suite 2650, Cincinnati, OH 45202.
Office of the Executive Secretary, Foreign-Trade Zones Board, U.S. 
Department of Commerce, Room 3716, 14th Street & Pennsylvania Avenue, 
N.W., Washington, DC 20230.

    Dated: May 23, 1997.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 97-14479 Filed 6-3-97; 8:45 am]