[Federal Register Volume 78, Number 67 (Monday, April 8, 2013)]
[Notices]
[Page 20889]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-08111]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B-29-2013]
Foreign-Trade Zone (FTZ) 158--Vicksburg/Jackson, Mississippi;
Notification of Proposed Production Activity; Bauhaus USA, Inc.;
(Upholstered Furniture); Saltillo, Mississippi
The Greater Mississippi Foreign-Trade Zone, Inc., grantee of FTZ
158, submitted a notification of proposed production activity on behalf
of Bauhaus USA, Inc. (Bauhaus), located in Saltillo, 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 Bauhaus facility is located within Site 16 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 1600, 74 FR 262-263, 1-5-2009). Board Order
1600 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 (3.5 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 Bauhaus'
production within FTZ 158 is subject to full customs duties.
The current request seeks to extend the company's current FTZ
authority indefinitely. 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 Bauhaus from customs
duty payments on the foreign micro-denier suede upholstery fabric used
in export production. On its domestic sales, Bauhaus 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 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. 2013-08111 Filed 4-5-13; 8:45 am]
BILLING CODE 3510-DS-P