[Federal Register Volume 78, Number 67 (Monday, April 8, 2013)]
[Notices]
[Pages 20889-20890]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-08113]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[B-21-2013]


Foreign-Trade Zone (FTZ) 158--Vicksburg/Jackson, Mississippi; 
Notification of Proposed Production Activity; H.M. Richards, Inc., 
(Upholstered Furniture), Guntown, Mississippi

    The Greater Mississippi Foreign-Trade Zone, Inc., grantee of FTZ 
158, submitted a notification of proposed production activity on behalf 
of H.M. Richards, Inc. (HMRI), located in Guntown, Mississippi. The 
notification conforming to the requirements of the regulations of the 
FTZ Board (15 CFR 400.22) was received on February 28, 2013.
    The HMRI facility is located within Site 15 of FTZ 158 and 
currently has authority to conduct cut-and-sew activity using certain 
foreign micro-denier suede upholstery fabrics to produce upholstered 
furniture and related parts (upholstery cover sets) on a restricted 
basis (see, Board Order 1599, 74 FR 263, 1-5-2009). Board Order 1599 
authorized the production of upholstered furniture (sofa, chairs, and 
recliners) for a five-year period, with a scope of authority that only 
provides FTZ savings on a limited quantity (3.6 million square yards/
year) of foreign origin, micro-denier suede upholstery fabric finished 
with a hot caustic soda solution process. All foreign upholstery fabric 
other than micro-denier suede fabric used in HMRI's production within 
FTZ 158 is subject to full customs duties.
    The current request seeks to extend the company's current FTZ 
authority indefinitely, with an increase to 6.5 million square yards 
per year for the FTZ Board-imposed limit on the volume of foreign-
origin micro-denier suede upholstery fabric. Pursuant to 15 CFR 
400.14(b), FTZ activity would be limited to the specific foreign-status 
materials and components and specific finished products described in 
the submitted notification (as described below) and subsequently 
authorized by the FTZ Board.
    Production under FTZ procedures could exempt HMRI from customs duty 
payments on the foreign micro-denier suede upholstery fabric used in 
export production. On its domestic sales, HMRI would be able to apply 
the finished upholstery cover set (i.e., furniture part) or finished 
furniture duty rate (free) for the micro-denier suede fabric listed 
below. Customs duties also could

[[Page 20890]]

possibly be deferred or reduced on foreign status production equipment.
    The proposed scope of authority under FTZ procedures would only 
involve micro-denier suede upholstery fabrics finished with a hot 
caustic soda solution process, as detailed in the notification (duty 
rate ranges from 2.7 to 17.2%). All other material inputs used in the 
production activity would be in domestic (duty paid) status.
    Public comment is invited from interested parties. Submissions 
shall be addressed to the FTZ Board's Executive Secretary at the 
address below. The closing period for their receipt is May 20, 2013.
    A copy of the notification will be available for public inspection 
at the Office of the Executive Secretary, Foreign-Trade Zones Board, 
Room 21013, U.S. Department of Commerce, 1401 Constitution Avenue NW., 
Washington, DC 20230-0002, and in the ``Reading Room'' section of the 
FTZ Board's Web site, which is accessible via www.trade.gov/ftz.
    For further information, contact Pierre Duy at 
[email protected], or (202) 482-1378.

    Dated: April 2, 2013.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2013-08113 Filed 4-5-13; 8:45 am]
BILLING CODE 3510-DS-P