Voglio sapere a riguardo di…

lotter on DSK11XQN23PROD with NOTICES2

Federal Register / Vol. 86, No. 213 / Monday, November 8, 2021 / Notices satisfy national defense requirements, that are critical to the minimum operations of the economy and government. 3
On the basis of the facts considered in this investigation, the Secretary finds that the impact of excessive imports on the domestic automobile and automobile parts industry and the serious effects resulting from the consequent displacement of production in the United States is causing a weakening of our internal economy that may impair the national security as set forth in section 232.4 In making this determination, the Secretary examined the increase in volume of subject imports and their effects on domestic prices, domestic production, and research and development R&D
relevant to technological advancements for defense capabilities. As required by section 232d, the Secretary also considered the impact of foreign competition on the economic welfare of the automobile and automobile parts industry in the United States. He also considered other relevant factors bearing on the state of the industry. As also required by statute, the Secretary examined the effect of imports on national defense requirements, including: U.S. production needed for such requirements; existing and anticipated availabilities of the human resources, products, raw materials, and other supplies and services essential to the national defense; the requirements for growth of such industries and such supplies and services including the investment, exploration, and development necessary to assure such growth; and the importation of goods in terms of their quantities, availabilities, characters, and use as those affect such industries and the capacity of the United States to meet national security requirements.
As also required by section 232d, the Secretary recognized the close relation of the economic welfare of the United States to its national security; the impact of foreign competition on the economic welfare of individual domestic industries; and any substantial unemployment, decrease in revenues of government, loss of skills, or any other serious effects resulting from the displacement of any domestic products by excessive imports, without excluding other factors, in determining whether a weakening of the U.S. economy by such imports may impair national security. In
particular, this report assesses whether automobiles and certain automobile parts are being imported in such quantities or under such circumstances as to threaten to impair the national security. 5 This report summarizes the findings of the Secretary.
For purposes of this report, U.S.
producers and domestic producers of automobiles and automobile parts refer to both American-owned and foreign-owned producers operating in the United States.6 Otherwise, specific reference is made to American-owned or foreign-owned producers, as appropriate.
Findings The automotive industry has traditionally been a great engine of economic growth throughout history and, for decades, the strength of the United States automotive manufacturing sector has directly contributed to the industrial base that provides the economic strength and technological innovation that enables our armed forces to project military power and maintain our status as a world power. Many of the most important innovations and technological advancements over the past 100 years have come from the automotive sector, and the strength of this sector drives technological advancements in the defense sector.
Today, the defense sector is heavily interconnected and reliant on the automotive industry for R&D to meet current and future military requirements such as vehicle electrification, autonomous driving, hydrogen fuel cell products, advanced semiconductor utilization, radar, laser and sonar ranging, global positioning system GPS navigation, anti-lock brakes, reduction in vehicle weight lightweighting, and fuel efficiency efforts. Product development in partnership between U.S. automotive manufacturers and defense agencies results in technological advancements in military aircraft, space aircraft, unmanned aerial systems, missiles, and submarines.
However, the United States automobile industrys technological leadership in innovation is quickly diminishing. In conducting this investigation, the Secretary has found that significant import penetration over the course of the past three decades has U.S.C. 1862b3A.
the purposes of this report, Americanowned producers are General Motors, Ford, and Tesla, as well as Chrysler for years prior to 1998
and American Motors for 19851987. Producers and manufacturers are used interchangeably in this report.

of Commerce, Bureau of Export Administration, The Effect of Imports of Iron Ore and Semi-Finished Steel on the National Security, Oct. 2001 2001 Report at 5.
4 19 U.S.C. 1862d.

VerDate Sep<11>2014

21:19 Nov 05, 2021

Jkt 256001

severely weakened the U.S. automotive industry, as American-owned production of automobiles and automobile parts has been reduced by imports and the domestic manufacturing base has weakened.
Overall, the share of global R&D
investments in the automotive sector attributable to the United States has significantly declined and, today, the share of R&D conducted by Americanowned companies is a fraction of the share conducted by foreign competitors.
If production volumes continue to decline domestically, the United States contribution to automotive R&D will further weaken and will impede the automobile industrys ability to invest in the development of technologies that are imperative to maintaining a leading edge in U.S. military capabilities.
This is especially significant for American-owned manufacturers. The Secretary notes that, in the procurement of military equipment, including military vehicles, automobiles, and automobile parts, the United States Department of Defense DOD relies predominantly on suppliers located in the United States, both Americanowned and foreign-owned. However, because in a time of national emergency, foreign-owned suppliers operating in the United States may not be reliable sources of equipment, the DOD must be able to rely on a sufficient presence of American-owned manufacturers for its military needs. In addition, due to the high cost of technological innovation in the automotive sector and the significant revenue potential from innovative developments, manufacturers fiercely protect their technology and trade secrets in order to stay competitive, which means that American-owned firms do not have access to technology and trade secrets developed by foreign-owned firms and that, in time of war, when foreignowned firms may decline to share their R&D with the DOD, the United States Government will not have access to all the latest developments in the industry.7 With respect to highlyadvanced technologies that have significant, cutting-edge military applications, moreover, firms tend to conduct R&D in their home countries where the potential for intellectual property spillover and theft is reduced.
Thus, the U.S. military cannot depend on foreign-owned firms in the United States to access to new technologies. For
5 19

6 For
3 Department
62029

PO 00000

Frm 00003

Fmt 4701

Sfmt 4703

7 As much as 30 percent of industry revenue potential is attributable to new services and emerging technologies in the automotive sector. Jeff Desjardins, The Future of Automotive Innovation, Feb. 15, 2018, https www.visualcapitalist.com/
future-automobile-innovation/.

E:FRFM08NON2.SGM

08NON2