[Federal Register Volume 74, Number 196 (Tuesday, October 13, 2009)]
[Notices]
[Pages 52454-52455]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-24601]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 41-2009]


Foreign-Trade Zone 158--Vicksburg/Jackson, MS, Application for 
Subzone; Max Home, LLC (Upholstered Furniture); Fulton and Iuka, MS

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Greater Mississippi

[[Page 52455]]

Foreign-Trade Zone, Inc., FTZ 158, requesting special-purpose subzone 
status for the upholstered furniture manufacturing facilities of Max 
Home, LLC (Max Home), located in Fulton and Iuka, Mississippi. The 
application was submitted pursuant to the provisions of the Foreign-
Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the regulations of 
the Board (15 CFR part 400). It was formally filed on October 6, 2009.
    The Max Home facilities (348 employees) consist of two sites on 35 
acres: Site 1 (26 acres) is located at 101 Max Place, Fulton, 
Mississippi; and Site 2 (9 acres) is located at 1509 Paul Edmondson 
Drive, Iuka, Mississippi. The facilities are used to produce 
upholstered furniture (up to 170,000 sofas, sleep sofas, chairs, and 
sectionals combined annually) and cut-and-sewn upholstery covers for 
the U.S. market and export. The application proposes that Max Home 
utilize foreign-origin ``micro-denier suede'' fabric to be cut and sewn 
into furniture upholstery covers under FTZ procedures. The finished 
upholstery covers (HTSUS 9401.90; duty free) would then be assembled 
into finished chairs, seats, sofas, sleep sofas, and sectionals 
manufactured by Max Home at the facilities.
    The proposed scope of authority under FTZ procedures would only 
involve duty savings on foreign-origin, micro-denier suede fabrics 
(classified under HTSUS Headings 5407, 5512, 5515, 5516, 5903, 5906, 
6001, 6005, 6006; duty rate range: 2.7-17.2%) finished with a caustic 
soda wash process, which the applicant indicates are not produced by 
U.S. mills. The application indicates that Max Home does not seek FTZ 
benefits on any of the other foreign fabrics used in production at the 
facilities (i.e., full duties would be paid on all such fabrics). All 
other material inputs used in production would be domestic-status.
    FTZ procedures would exempt Max Home from customs duty payments on 
the foreign micro-denier suede fabric used in export production. On 
micro-denier suede fabric used in production for the U.S. market, Max 
Home could elect the finished upholstery cover (i.e., furniture part) 
duty rate (free) after the fabric has been cut, sewn, and formed into 
upholstery covers, at which time they are entered for consumption from 
the zone. Max Home would also have the option to elect the finished 
furniture duty rate (free) for the subject fabric when the finished 
furniture is entered for domestic consumption. The application 
indicates that the savings from FTZ procedures would help improve the 
facilities' international competitiveness.
    In accordance with the Board's regulations, Pierre Duy of the FTZ 
Staff is designated examiner to evaluate and analyze the facts and 
information presented in the application and case record and to report 
findings and recommendations to the Board.
    Public comment is invited from interested parties. Submissions 
(original and 3 copies) shall be addressed to the Board's Executive 
Secretary at the following address: Office of the Executive Secretary, 
Room 2111, U.S. Department of Commerce, 1401 Constitution Avenue, NW., 
Washington, DC 20230-0002. The closing period for receipt of comments 
is December 14, 2009. Rebuttal comments in response to material 
submitted during the foregoing period may be submitted during the 
subsequent 15-day period to December 28, 2009.
    A copy of the application will be available for public inspection 
at the Office of the Foreign-Trade Zones Board's Executive Secretary at 
the address listed above and in the ``Reading Room'' section of the 
Board's Web site, which is accessible via http://www.trade.gov/ftz. For 
further information, contact Pierre Duy at [email protected] or 
(202) 482-1378.

    Dated: October 6, 2009.
Elizabeth Whiteman,
Acting Executive Secretary.
[FR Doc. E9-24601 Filed 10-9-09; 8:45 am]
BILLING CODE 3510-DS-P