Background

The Foreign-Trade Zones Board has received from Polaris Industries Inc., operator of subzone 167B, a notification of proposed production activity for its facility in Osceola, Wis. Polaris already has authority to produce spark-ignition internal combustion engines to equip snowmobiles, all-terrain vehicles, and motorcycles within subzone 167B, and the current request would add finished spark-ignition internal combustion engines for on-road vehicles and foreign status components to the scope of authority.

Production under FTZ procedures could exempt Polaris from customs duty payments on the foreign-status components used in export production. On its domestic sales, Polaris would be able to choose the duty rate that applies to spark-ignition internal combustion engines for snowmobiles, all-terrain vehicles, motorcycles, and on-road vehicles (2.5 percent) for the specified foreign-status inputs. Customs duties also could possibly be deferred or reduced on foreign-status production equipment.

Comments on this request are due no later than May 24.

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