Current through September 30, 2024
Section 810.300 - High-wage assembly expenditures credit(a) A producer may receive a single credit of five percent towards the total LVC requirement if it demonstrates any one of the following: (1) Operation of (or a long term contract with) a "high-wage" engine assembly plant in North America with a minimum annual production capacity of originating engines;(2) Operation of (or a long term contract with) a "high-wage" transmission assembly plant in North America with a minimum annual production capacity of originating transmissions; or(3) Operation of (or a long term contract with) a "high-wage" advanced battery assembly plant in North America with a minimum annual production capacity of originating advanced battery packs.(b) A plant is "high-wage" for purposes of this section if it has an average hourly base wage rate of at least US$16 per hour for the entire plant. The US$16 per hour average hourly base wage rate for high-wage assembly expenditures credit is determined by calculating the average hourly base wage rate in the same manner as detailed in § 810.105 .(c) Minimum annual production capacity levels are set forth in the USMCA and in guidance issued by CBP and are outside the Department's authority.(d) The definition of "long term contract" is set forth in the Uniform Regulations.(e) If a plant used by a producer to satisfy the material and manufacturing expenditures component of the LVC requirement meets the requirements of paragraph (a) of this section, the producer may use that plant to qualify for the high-wage assembly expenditures credit.