Automaker wants to use foreign-sourced navigation apparatus in California plants.
Tesla has submitted a request to use a foreign-sourced navigation apparatus at its electric vehicle production facilities in Palo Alto and Fremont, Calif.
Tesla submitted the notification of proposed activity to the Foreign-Trade Zones Board on Aug. 1.
Tesla already has authority to produce electric vehicles and components of electric vehicles within FTZ Subzone 18G. The request would add the vehicle navigation apparatus to the scope of authority.
If approved, Tesla would be able to choose the duty rates during customs entry procedures that apply to electric passenger vehicles and related components (duty-free to 3.4 percent). Tesla would be able to avoid duty on foreign-status components that become scrap or waste. Customs duties also could be deferred or reduced on foreign-status production equipment.
Public comments will be accepted until Sept. 24. A copy of the notification is available at the FTZ Board website.
Tesla submits FTZ request
