Foreign-Trade Zone (FTZ) 18, Notification of Proposed Production Activity; KLA Corporation; (Semiconductor Wafer Fabrication Tools); Milpitas, California

KLA Corporation submitted a notification of proposed production activity to the FTZ Board (the Board) for its facilities in Milpitas, California within Subzone 18U. The notification conforming to the requirements of the Board's regulations (15 CFR 400.22) was received on June 12, 2026.

Pursuant to 15 CFR 400.14(b), FTZ production activity would be limited to the specific foreign-status material(s)/component(s) and specific finished product(s) described in the submitted notification (summarized below) and subsequently authorized by the Board. The benefits that may stem from conducting production activity under FTZ procedures are explained in the background section of the Board's website—accessible via www.trade.gov/​ftz.

The proposed finished products include: laptops loaded with proprietary software, customizing the functionality to support wired and wireless wafers; racks customized to support defect inspection and metrology tools; remote user stations customized to support defect inspection and metrology tools; camera assemblies used in defect inspection and metrology equipment; cameras kits used in defect inspection and metrology equipment; cameras used in defect inspection and metrology equipment; objective lens used in defect inspection and metrology equipment; objective lenses used in defect inspection and metrology equipment; lenses used in defect inspection and metrology equipment; mirrors used in defect inspection and metrology equipment; optical lens used in defect inspection and metrology equipment; laser assemblies and subassemblies used in defect inspection and metrology equipment; laser heads in defect inspection and metrology equipment; lasers used in defect inspection and metrology equipment; laser subassemblies designed for specialized or custom applications in advanced defect inspection or metrology systems; laser subassemblies standard defect inspection and metrology equipment; in situ wafer temperature monitoring systems; wafers incorporating embedded temperature sensors, including resistance temperature detectors and thermocouples, for measuring wafer temperature during semiconductor processing; broadband plasma patterned wafer defect inspection subassemblies; reticle defect inspection subassemblies; electron-beam wafer defect review and classification subassemblies; retrofit kits for inspection and metrology equipment; temperature calibration instruments for temperature measurement systems in semiconductor processing; broadband plasma wafer defect inspection assemblies; electron beam wafer defect inspection assemblies; and reticle defect inspection assemblies (duty free).

The proposed foreign-status materials/components include: grease formulations for reducing friction and protecting moving parts in mechanical assemblies; lubricating oils used for hydraulic systems, drive units, and lead screws in machinery; specialty lubricants and greases designed for demanding or unique equipment applications; 300mm lithograph grade wafer; silica solution; alcohol based cleaning kits; heat transfer fluids for temperature control in semiconductor manufacturing applications; perfluorinated polyether dielectric heat transfer fluids; epoxy-based adhesives for use in semiconductor manufacturing applications; granite sealant; clean room grease and lubricants; liquid threadlocking adhesives; photoplotter film; quarts based reticles; 150mm silicon wafers; 200mm silicon wafers; 300mm silicon wafers; chemical reagents used for diagnostic analysis and process monitoring in semiconductor manufacturing; chemical solutions used in wafer processing, cleaning, and surface treatment in semiconductor manufacturing; polymer-based additives used in the formulation and stabilization of process solutions in semiconductor manufacturing; ph buffer solutions; litmus papers; polyethylene hoses; polyethylene pipes; polyethylene tubes; polypropylene tubing; polyvinyl chloride (pvc) tubing; reinforced plastic tubing for use in metrology inspection tools; plastic tube fittings; insulation tape; masking tape; packaging tape; electrical tape; foam blocks; plastic tool positioning sheets; flexible plastic sheets and strips used in packaging or protective applications; plastic (polyethylene) sheets, films, and strips, including laminated or reinforced forms; fitted plastic storage containers designed for use in manufacturing processes or equipment handling; plastic boxes and cases intended for organizing, storing, or transporting components during production; plastic sacks and bags; plastic bottles; plastic packing materials; plastic brackets; plastic bushings; plastic cable chain; plastic cable tie; plastic clamps; decorative plastic cover for detection machine; plastic ducts; plastic gaskets; plastic hoses; plastic mounts; plastic o-rings; plastic pads; plastic pins; plastic screws; plastic seals; plastic spacers; plastic standoffs; plastic suction cups; plastic timing belts; plastic tubing; plastic washers; plastics clips; rubber pads; unreinforced rubber tubing without fittings; unreinforced rubber tubing with fittings; drive belts made of rubber; rubber belt, reinforced with synthetic fibers, for industrial automation; transmission belts made of rubber; endless rubber timing belt for industrial machinery; endless rubber timing belt with textile reinforcement for industrial equipment; open-ended rubber timing belt for machinery or conveyors; specialty rubber timing belt, not endless, for industrial applications; nitrile gloves included in tool installation kits; rubber gaskets; rubber seals; rubber washers; rubber seals, gaskets, and o-rings used in vacuum systems in metrology equipment; rubber vacuum pads and tips used for wafer handling in metrology equipment; rubber mounts and shock absorbers used for vibration control in metrology equipment; hard plastic cases; paper labels; lens cleaner wipes used in tool installation kits; technical manual, procedures, and work instructions; cleaning swabs included with tool installation kits; cleaning pads included with tool installation kits; fiber optic cleaning wipes included with tool installation kits; granite slab; ceramic covers; ceramic machinery chambers; ceramic machinery screws; ceramic nozzles; ceramic plugs; ceramic shields; ceramic cylinders; glass substrate for technical or laboratory use, without surface finishing or coatings; glass ( printed page 37382) substrate, precision cut, used in semiconductor, photolithography, or optical manufacturing; glass syringes; quartz syringes; glass master plate; quartz cell tube assembly; quartz sample holder; quartz window; sapphire viewports; steel pipes; steel tubes; stainless steel welded pipes; stainless steel welded tubes; cast steel fittings; steel cast unions; stainless steel flanges; stainless steel elbows for redirecting flow in piping systems; stainless steel sleeves for joining or reinforcing pipe connections; stainless steel connectors; stainless steel nipples nozzles; steel pipe fittings; steel fittings used to redirect, connect, or seal piping in fluid or gas systems; stainless steel bellows; stainless steel ferrules; stainless steel wire; stainless steel stranded wire without fittings; steel roller chain; steel screws and bolts with larger diameters, including cap, hex, and heavy-duty fasteners for structural or demanding uses; steel screws and bolts with smaller diameters, such as socket, set, and machine screws used in precision or light-duty applications; steel nuts; steel inserts; steel standoffs; steel lock washers; steel spring washers; flat washers made of steel; round washers made of steel; split washers made of steel; steel retaining cotter pins; steel retaining pins; steel retaining rings; steel fasteners without threads; steel springs; steel compression springs; steel gas springs; steel plunger springs; steel wave springs; stainless steel blocks; stainless steel brackets; stainless steel bushings; stainless steel clamps; stainless steel collars; stainless steel plates; stainless steel rings; stainless steel seals; steel blocks; steel brackets; steel bushings; steel clamps; steel collars; steel plates; steel rings; steel seals; copper elbow fittings; copper tube fittings; copper washers; brass screws; copper nuts; copper screws; brass nuts; copper lugs; copper spacers; copper bushings used in mechanical or electrical assemblies; copper chambers designed for vacuum systems or specialized equipment; copper fingers used in mechanical or electrical assemblies; copper gaskets designed for vacuum systems or specialized equipment; copper retainers used in mechanical or electrical assemblies; copper seals designed for vacuum systems or specialized equipment; copper springs used in mechanical or electrical assemblies; nickel bellows assemblies; nickel gaskets; nickel pins; nickel screws; aluminum rods used for movement or positioning in mechanical assemblies; aluminum support pillars for machinery or equipment; aluminum support structural profiles for machinery or equipment; aluminum plates; aluminum piping; aluminum tubes; aluminum couplings; aluminum elbows; aluminum sleeves; aluminum tube fittings; aluminum fasteners for specialized or custom applications in metrology equipment; aluminum nails used in mechanical or electrical assemblies; aluminum nuts used in mechanical or electrical assemblies; aluminum screws used in mechanical or electrical assemblies; aluminum stand-offs used in mechanical or electrical assemblies; aluminum staples used in mechanical or electrical assemblies; aluminum tacks used in mechanical or electrical assemblies; aluminum caps; aluminum centering rings; aluminum covers; aluminum pins; aluminum plates; aluminum shims; aluminum shipping brackets; titanium indenter; titanium pins used in mechanical or electrical assemblies; titanium screws used in mechanical or electrical assemblies; beryllium sheet—used in the manufacturer of semiconductor manufacturing equipment; aluminum clamps; steel clamps; padlocks; door locks; hinges; casters; aluminum slides and handles used for doors, panels, or adjustable components in building installations; steel slides and handles used for doors, panels, or adjustable components in building installations; aluminum slides and fittings for furniture; steel slides and fittings for furniture; aluminum metal mounting fittings, brackets, latches, release mechanisms, and rollers; steel metal mounting fittings, brackets, latches, release mechanisms, and rollers; aluminum brackets; steel brackets; steel flexible tubing; hydraulic cylinders; air (pneumatic) engines; non-linear acting pneumatic engines; air cylinders for pneumatic engines; peristaltic pump assembly; chiller pump assembly; diaphragm pumps; peristaltic pumps; centrifugal pumps; flow pumps; peristaltic pumps assembly; vacuum pump; blowers; fan assemblies; air compressors; air compressors assemblies; fan controllers; chiller assemblies; chiller units; chiller service kits; heat exchanger assemblies; heat exchangers; thermal processing and temperature control systems; evaporators; fluid handling and thermal control hardware for heat exchange equipment; filters for liquids; air/dust filters; filter guards; filter cartridge; filter housing; heat sealer; chemical applicators; nozzles; winch used to position and install tools; hydraulic jacks and lifts; lift bracket and jack with dolly; lift and handling equipment; board assembly for printers; frames and shields for printers; board assemblies used in laser photoplotter; printhead assemblies; supports and holders used in printers; plasma asher used to remove organic materials; board assemblies for machine tools; board assemblies for automated optical shaping equipment; housings for machine tools; computer laptops; computer systems; computers; keyboards and computer peripherals; hard disk drives; optical drives; control and adapter units and modules and converters; peripheral hardware to interface with a computer; optical readers; rfid (radio frequency identification) readers; printed circuit assemblies and printed circuit board (pcb) assemblies; components designed to absorb vibration or control motion in equipment, such as dampeners; mechanical assemblies for precise movement or support in automation, such as air bearings; modules for cleaning machinery, including cleaning cassettes and bushings; modules for guiding machinery; pressure reducing valves; valve to direct or control oil or air; copper check valves; steel check valves; safety valves; manual valves made of copper for use in plumbing, fluid control, or equipment assemblies; manual valves made of fluorocarbons for specialized or chemical-resistant uses; manual valves made of iron for use in machinery, piping, or metrology systems; manual valves made of polyethers for specialized or chemical-resistant uses; manual valves made of polyvinyl chloride for specialized or chemical-resistant uses; plastic manual valve; manual valves made of steel for use in machinery, piping, or metrology systems; cylinders used in standard fluid control systems or equipment; silencers used in standard fluid control systems or equipment; valve manifolds used in standard fluid control systems or equipment; ball bearings; aluminum spherical roller bearing; steel spherical roller bearing; aluminum needle roller bearing; steel needle roller bearing; aluminum cylindrical roller bearings; steel cylindrical roller bearings; aluminum air bearings; steel air bearings; aluminum bearings; steel linear bearings; bearing rings; bushings; sleeves; spacers; washers; shaft bearing assemblies; aluminum housed bearings; steel housed bearings; aluminum bearing assemblies; steel bearing assemblies; aluminum housing bearings; steel housing bearings; aluminum shaft bearings; steel shaft bearings; aluminum slide bearing assembly; steel slide bearing assembly; ball screws; gears and gearing (power-transmission elements); roller screws; speed changer; pulley assemblies; shaft couplings; screw assemblies used for precision movement ( printed page 37383) in semiconductor processing; mechanical gaskets; mechanical seals; o-ring carrier; seal assemblies; plasma rf generator; plasma asher; plasma controller; purge kit; semiconductor sanitization units; wafer transfer robots; plastic and polymer mounting and support components for semiconductor processing; process chamber hardware; wafer alignment units; wafer holding devices for semiconductor processing; gas springs; aluminum structural supports for semiconductor processing equipment; steel structural supports for semiconductor processing equipment; optical isolation tables; shock absorbers; solenoid interlocks; support brackets and guide rails for machinery or equipment; electric motors designed for specialized or custom applications in machinery or technical systems; electric motors for high-capacity or demanding uses in industrial or scientific equipment; electric motors used in standard equipment or assemblies, including ac and dc types; universal ac/dc motors 37.5 w; universal ac/dc motors not exceeding 750 w; direct current (dc) motors with an output exceeding 750 watts (w) but not exceeding 75kw; single-phase ac motors; multi-phase alternating current (ac) motors with an output not exceeding 750w; multi-phase alternating current (ac) motors with an output exceeding 750 watts (w) but not exceeding 75 kw; generator; carbon brushes; gear heads for motors; electric motor coils; motor spindles; electric generating sets; lamp ballasts; electrical transformers for power supplies; transformers exceeding 1 kilovolt-ampere (kva) but not exceeding 16 kva; transformers greater than 16 kilovolt-ampere (kva) but not greater than 500 kva; power supplies—static converters; inductors; power control assemblies (pcas) for power suppliers; magnets; magnetic assemblies and tracks; magnetic brakes; magnetic clutches; magnetic switches; magnetic sensors; magnetic track; lithium batteries; lead-acid storage batteries; lithium-ion batteries; battery packs and cartridges; industrial oven used in metrology equipment; fusion splicer used in metrology equipment; heat sealer; resistive heating; heater elements; data communication interface convertors; multiplexers; network switches; network adapter; printed circuit assemblies for network communication equipment; network video recorder; magnetic tapes; unrecorded magnetic media; cd-roms (compact disc read only memory; optical storage units; solid-state storage devices; firmware; video splitter assembly; camera for metrology equipment visual; display monitors; flat panel displays and touchscreens for specialized or high-resolution applications in advanced systems; printed circuit assemblies for cameras and other imaging devices; smoke detectors and signaling equipment; light emitting diodes (leds) indicators; signal indicator panels; tantalum fixed capacitors; aluminum electrolytic capacitors; multi-layer ceramic dielectric fixed capacitors; plastic fixed dielectric capacitors; fixed electric capacitors; variable capacitors; film-type fixed attenuators; film-type fixed carbon resistors; fixed electrical resistors; surface mount chip resistors; potentiometers; thermistors; printed circuit boards; fuses; electrical connectors exceeding 1,000 volts; couplings; feedthrough; splices; terminals; glass cartridge fuses; surface mount fuses; automatic circuit breakers; surge suppressors; relays not exceeding 60 volts; relays exceeding 60 volts; electrical switches; lamp holders; coaxial connectors; electrical connector adapters and couplers; muli-contact connectors; panel connectors; printed circuit connectors; ribbon and flat cable connectors; optical fiber connectors; fuse holders; junction boxes; junctionblocks; terminal block connectors; motion controllers; multi-access controllers; power distribution assembly; power distribution board; programmable controllers; switching boards; adapter boards; surge protectors; electronic control modules for electronic equipment; interface boards for electronic equipment; printed circuit boards for electronic equipment; power control assemblies for electronic equipment; electronic sensors; tungsten halogen lamp; filament bulbs; fluorescent lamps; metal halide lamps; lamp assemblies; gas discharge arc lamps; infrared bulbs; infrared lamps; ultraviolet bulbs; ultraviolet lamps; light emitting diode (led) lamps; lamp cooling nozzles; lamp exhaust assemblies; lamp shutter assemblies; electronic actuators; color cathode-ray tubes; cathodes for electron source assembly; connectors for electron source assembly; electron source assembly; flanges for electron source assembly; schottky diodes; zener diodes; light emitting diodes (leds); photo sensors; controller integrated circuits; field-programmable gate arrays (fpgas); processor integrated circuits; memory integrated cards; memory integrated circuits; integrated circuit amplifiers; calibration chips; field-programmable gate arrays (fpgas); integrated circuit comparators; integrated circuit converters; integrated circuit digital transceivers; signal generator; timing generator; electronic devices amplifier assembly used in standard equipment or systems; electrical assemblies with independent functions for semiconductor processing; electronic devices encoder assembly used in standard equipment or systems; electronic devices interface board used in standard equipment or systems; electronic devices sensor assembly used in standard equipment or systems; electronic devices signal processor assembly used in standard equipment or systems; piezo drivers; tilt indication sensors; insulated electrical copper wire; insulated electrical wire of base metal (aluminum) conductors; coaxial cable; conductors for coaxial cable; cable assemblies with connectors for data, power, or networking in electronic devices and systems; cable assemblies with connectors for specialized or custom applications in equipment or installations; usb and ethernet cable for data, power, or networking in electronic devices and systems; cable assemblies for telecommunications and low-voltage control systems; copper conductor cables for distributing power or transmitting signals in industrial setups; flexible cables used for power or signal connections in machinery and equipment; specialty cables for custom installations, including fiber optic and robotics applications; cables and cable assemblies exceeding 1000 volts; cables and cable assemblies exceeding 1000 volts fitted with connectors; cables and cable assemblies exceeding 1000 volts of copper; fiber optic cables; thermal gaskets; ceramic insulator; electrical insulator; ceramic insulators; insulating rings; ceramic insulating sleeves; plastic insulating pins; plastic insulating spacers; plastic insulation jackets; plastic insulation sleeve; electromagnetic interference (emi) filters; line filters; radio frequency (rf) filters; optical fibers; polarizer assemblies; attenuators; beam splitters; optical filters; optical lenses; optical mirrors; prisms; objective lenses designed for use in cameras or video equipment; objective lenses intended for specialized or custom optical systems; optical filter; mirrors; mounted lenses; mounted optical assemblies; barrel telescope; acousto-optic modulator; optical microscopes; compound optical microscopes; adapters for microscopes; chambers for microscopes; holders for microscopes; diffraction apparatus; diode laser; attenuators; laser pump assemblies and shutters used in advanced optical or scientific devices; electrical laser rangefinder; earthquake detectors; geophone; sensors, motion; ( printed page 37384) syringes; slit assemblies and detector system kits designed for specialized scientific or technical devices; slit assemblies and detector system kits for advanced metrology or precision instrumentation; slit assemblies and detector system kits incorporated into custom or high-performance systems; spectrometer slit assembly; force gauges; tension gauge; pins used in machines for testing materials; plates used in machines for testing materials; styluses and tips used in testing materials; electric temperature sensor; pyrometers; devices for measuring or monitoring temperature and light levels in semiconductor processing; sensor module assembly for tracking humidity in equipment or facilities; sensors for tracking humidity in equipment or facilities; process monitoring wired modules; flow sensors; flow switches; flow meters; instruments for measuring or monitoring fluid flow, pressure, and level; level gauges; pressure transducers; vacuum pressure gauge; vacuum sensors; anemometers; flow meter; baffles; cable for water flow meter; filament elements for ion vacuum gauges; sensors for water flow meter; gas analysis and detection systems; spectrometers; polarimeters; power detectors; optical measuring instruments for laser power and light intensity; power meters; power sensors; pressure gauges; thickness detectors; vacuum gauges; bases for electrical analysis systems; clamps for electrical analysis systems; optical detectors for laser and light measurement; filters for electrical analysis systems; inserts for electrical analysis systems; polarizer for analysis systems; supports for electrical analysis systems; strobe light; dosimeter; ion gauge sensor; oscilloscopes; multimeter; electrical signal measuring instruments for use in metrology equipment; electrical resistance measuring instruments for use in metrology equipment; picoammeter; semiconductor wafer testing equipment; frequency counters; radio frequency (rf) benches; printed circuit board (pcb) amplifier; printed circuit board (pcb) filter; optical inspection systems for detecting wafer defects; autocollimator; differential interferometer; sensors used in controllers; contamination standards used to calibrate instruments for particle size and detection; dimensional standards used to calibrate optical and mechanical devices, with diameter sizes of 200mm and 300mm; electrical resistivity standards used to calibrate measuring devices, with diameters sizes of 76.2mm, 200mm, and 300mm; indium tin oxide (ito) sheet resistance standards (125mm x 125mm x .7mm) used to calibrate measuring devices; nitride film thickness standards used to calibrate optical thickness measurement instruments; silicon dioxide film thickness standards used to calibrate optical thickness measurement instruments; step height dimensional standards (25mm x 25mm x 3.0mm and 10mm x 10mm) used to calibrate optical and mechanical devices; surface topography dimensional standards (12mmx8mm) used to calibrate optical and mechanical devices; covers for optical inspection equipment; doors for optical inspection equipment; panels for optical inspection equipment; housings for optical inspection equipment; thermostats; manostats; pneumatic box; pneumatic plate; line conditioner; liquid controller; mass flow controller; pressure controller; pump controller; temperature controller; leakage sensor; interlock boards; stage for wafer defect review systems; metal shelf; wire rack; advanced light sources for semiconductor and optical systems; flat lighting panels sources for semiconductor and optical systems; integrated light units for precision machinery; led modules for precision machinery; lighting assemblies used in industrial equipment; lighting housings used in industrial equipment; led bars; halogen light source assemblies; tungsten light source assemblies; lamp window assembly made of glass; lamp mount assembly; and lamp housing (duty rate ranges from duty-free to 20%).

The request indicates that certain materials/components are subject to duties under section 122 of the Trade Act of 1974 (Section 122), section 232 of the Trade Expansion Act of 1962 (section 232), section 301 of the Trade Act of 1974 (section 301), or subject to a pending section 232 investigation of the Trade Expansion Act of 1962, as amended, depending on the country of origin. The applicable section 122, section 232, and section 301 decisions require subject merchandise to be admitted to FTZs in privileged foreign status (19 CFR 146.41).

Public comment is invited from interested parties. Submissions shall be addressed to the Board's Executive Secretary and sent to: ftz@trade.gov. The closing period for their receipt is August 3, 2026.

A copy of the notification will be available for public inspection in the “Online FTZ Information System” section of the Board's website.

For further information, contact John Frye at John.Frye@trade.gov.