Oklahoma Steel Tubing Factory Seeks Duty-Free Foreign Parts
Published Date: 3/26/2026
Notice
Summary
Webco Industries in Kellyville, Oklahoma wants to start making steel tubing using special foreign materials under a Foreign-Trade Zone (FTZ) to save on import duties. This change could lower costs by reducing taxes on certain steel parts, with public comments open until May 5, 2026. If approved, Webco can produce welded stainless and nickel alloy steel tubing more efficiently and affordably.
Analyzed Economic Effects
3 provisions identified: 2 benefits, 1 costs, 0 mixed.
FTZ use may cut Webco's import costs
Webco Industries asked to produce welded stainless steel tubing and nickel alloy steel tubing inside Foreign-Trade Zone (FTZ) 164 in Kellyville, Oklahoma. If the Board approves FTZ treatment, Webco says it could produce these tubes more efficiently and affordably by reducing import duties on certain steel parts.
Duty rates for listed steel items (0–2%)
The proposed finished products (welded stainless steel tubing and nickel alloy steel tubing) and the listed foreign-status input materials (coiled rolled stainless steel slit coils, cold rolled nickel alloy steel slit coils, and hot rolled stainless steel slit coils) have duty rates that range from duty-free to 2%.
Section 122/232 materials require privileged FTZ status
The request indicates certain materials may be subject to duties under section 122 of the Trade Act of 1974 or section 232 of the Trade Expansion Act of 1962 depending on origin. Those decisions require the subject merchandise to be admitted to FTZs in privileged foreign status under 19 CFR 146.41.
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