KNOXVILLE, Tenn.—Mlily, part of Nantong Healthcare Co., has opened a U.S. headquarters in Knoxville and plans to bring additional production to a plant in Winnsboro, S.C. The pair of moves, the company said, will help it sidestep a U.S. tariff increase on China-made goods.
As of July 10, the U.S. Department of Commerce increased the tariff rates on Healthcare's mattress imports from China, raising the tariff from 38.56 percent to 69.3 percent.
"We're making a significant investment here to grow our business in the U.S. and our Knoxville location will be a pivotal part of our growth," Healthcare CEO James Ni said. "Our business model is working, and the combination of the plant and the headquarters will lead to even greater success in the U.S. market."
The 10,000-sq.-ft. Knoxville location houses sales, marketing and product development staff as well as a retail store.
The location in Winnsboro covers 650,000 square feet . Currently, it employs 25 people assembling beds from Healthcare components made in Serbia and Thailand. Foam is scheduled to be poured in the fourth quarter. At that point the plant could employ 250 people.