[Federal Register Volume 69, Number 171 (Friday, September 3, 2004)]
[Notices]
[Pages 53885-53886]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-20152]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 40-2004]
Foreign-Trade Zone 153--San Diego, CA; Application for Subzone
Status; Callaway Golf Company Facilities (Golf Clubs), Carlsbad, CA
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the City of San Diego, California, grantee of FTZ 153,
requesting special-purpose subzone status for the golf club
manufacturing facilities of Callaway Golf Company (Callaway), located
in Carlsbad, California. 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 August 27, 2004.
The proposed subzone would include Callaway's manufacturing and
warehousing facilities at four sites in Carlsbad (San Diego County),
California: Site 1 (four buildings)'' Building 1 (manufacturing/7
acres/128,000 sq.ft. under roof)--2285 Rutherford Road, located
adjacent to the McClellen-Palomar Airport; Building 2 (2 acres/38,000
sq.ft.)--5928 Pascal Court, located immediately to the west of Building
1; Building 3 (manufacturing, warehousing/5 acres/73,000 sq.ft.)--5960
Pascal Court, located to the rear of Building 2; Building 8 (2 acres/
20,000 sq.ft.)--2261 Rutherford Road, located immediately to the west
of Building 2; Site 2--Headquarters Building (manufacturing/11 acres/
245,000 sq. ft.)--2180 Rutherford Road, located about 1,500 feet to the
west of Site 1; Site 3 (three buildings)--Building 5 (research and
development/5 acres/63,000 sq.ft.)--5858 Dryden Place, located about
three-fourths of a mile southwest of Site 2; and, Building 6 (testing
and development/9 acres/10,000 sq.ft.)--5860 Dryden Place, located
adjacent to Building 5; and, Grounds Keeping Building (960 sq.ft.)--
5825 Dryden Place; Site 4--Building 7 (warehousing/9 acres/150,000
sq.ft./leased)--2081 Faraday Avenue, located approximately 900 feet to
the west of Site 2.
The facilities (2,000 employees) are used to produce golf clubs
(drivers/fairway woods, irons, putters) and to distribute U.S. and
foreign-made golf clubs, parts of golf clubs, and accessories for
export and the U.S. market. The golf club manufacturing process at the
facilities involves machining and assembly, and could produce up to 13
million units annually. Components purchased from abroad (about 35% of
finished golf club value) used in manufacturing and production may
include: parts of golf clubs (heads and parts of heads, shafts, grips,
head covers, divot tools), glues, adhesives, plastic plugs and
ferrules, leather golf bags, golf bags of textile materials (Textile
Categories 369 and 870; would be admitted under privileged foreign (PF)
status (19 CFR 146.41)), name plates, medallions, and plates (duty rate
range: free--20%, ad valorem). Additional foreign-sourced components
and accessories to be distributed to the U.S. market and export
include: golf clubs, parts of golf clubs, golf balls, plugs, ferrules,
leather luggage/briefcases/shoe cases/golf gloves/duffel bags, leather
golf bags, umbrellas, metal boxes and lids, name plates, table
decorations of iron or steel; and, the following items classified
within Textile Categories 331/631/831, 359/459/659/859, 363/369/669,
670/870: golf bags of textile materials, pouches, hats/caps/visors,
towels, and golf gloves of textile materials (to be admitted under PF
status).
FTZ procedures would exempt Callaway from Customs duty payments on
the foreign component inputs used in export production. On its domestic
sales and exports to NAFTA markets, the company would be able to choose
the duty rate that applies to finished golf clubs (4.4%) for the
foreign-sourced inputs noted above. Callaway would be able to defer
Customs duty payments on
[[Page 53886]]
the foreign-origin golf clubs and accessories that would be admitted to
the proposed subzone for U.S. distribution. The application indicates
that subzone status would help improve the facilities' 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 following addresses:
1. Submissions via Express/Package Delivery Services: Foreign-Trade
Zones Board, U.S. Department of Commerce, Franklin Court Building-Suite
4100W, 1099 14th Street, NW., Washington, DC 20005; or,
2. Submissions via the U.S. Postal Service: Foreign-Trade Zones
Board, U.S. Department of Commerce, FCB-4100W, 1401 Constitution Ave.,
NW., Washington, DC 20230.
The closing period for their receipt is November 2, 2004. Rebuttal
comments in response to material submitted during the foregoing period
may be submitted during the subsequent 15-day period (to November 17,
2004).
A copy of the application will be available for public inspection
at the Office of the Foreign-Trade Zones Board's Executive Secretary at
address No.1 listed above and at the U.S. Department of Commerce Export
Assistance Center, Suite 230, 6363 Greenwich Drive, San Diego, CA
92122.
Dated: August 27, 2004.
Dennis Puccinelli,
Executive Secretary.
[FR Doc. 04-20152 Filed 9-2-04; 8:45 am]
BILLING CODE 3510-DS-P