Background

Furniture. The Foreign-Trade Zones Board has authorized production activity under zone procedures on a limited basis at the Max Home LLC facilities within subzone 158F in Iuka and Fulton, Miss.

Max Home already had authority to conduct cut-and-sew activity at these facilities using certain foreign micro-denier suede upholstery fabrics to produce upholstered furniture and related parts on a restricted basis. Board Order 1744 authorized such production for five years, with a scope of authority that only provided FTZ savings on a limited quantity (2.23 million square yards per year) of foreign micro-denier suede upholstery fabric finished with a hot caustic soda solution process. All other foreign upholstery fabrics used in Max Home’s production within subzone 158F were subject to full customs duties.

The FTZ Board has now approved, on a limited basis, a request to renew Max Home’s FTZ authority indefinitely (with no increase in the annual quantitative limit) and to add foreign-status leather and certain polyurethane-type fabrics to the scope of authority. Foreign-status upholstery leather (HTSUS 4107.11, 4107.92 and 4107.99) may only be admitted to the subzone in privileged foreign status.

New Subzone. The FTZ Board has approved the establishment of subzone 233A at the Next Level Apparel facility in Ashford, Ala. No authorization for production activity at this facility has yet been requested.

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