[Federal Register Volume 81, Number 176 (Monday, September 12, 2016)]
[Notices]
[Pages 62729-62731]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-21859]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-928]


Uncovered Innerspring Units From the People's Republic of China: 
Final Results of Antidumping Duty Administrative Review; 2014-2015

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: On March 10, 2016, the Department of Commerce (the 
``Department'') published the preliminary results of the administrative 
review of the antidumping duty order on uncovered innerspring units 
(``innersprings'') from the People's Republic of China (``PRC''). We 
gave interested parties an opportunity to comment on the preliminary 
results, and based upon our analysis of the comments and information 
received, we made certain changes for these final results. In these 
final results, we determine that innersprings are being, or are likely 
to be, sold in the United States at less than fair value. The period of 
review (``POR'') is February 1, 2014, through January 31, 2015. The 
final weighted-average dumping margins are listed below in the ``Final 
Results of Review'' section of this notice.

DATES: Effective September 12, 2016.

FOR FURTHER INFORMATION CONTACT: Kenneth Hawkins, AD/CVD Operations, 
Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
6491.

SUPPLEMENTARY INFORMATION:

Background

    This review covers two exporters of subject merchandise: East Grace 
Corporation (``East Grace'') and Macao Commercial and Industrial Spring 
Mattress Manufacturer (``Macao Commercial'').
    The Department published the preliminary results on March 10, 
2016.\1\ A summary of the events that occurred since the Department 
published the Preliminary Results, as well as a full discussion of the 
issues raised by parties for these final results, may be found in the 
Final Issues and Decision Memorandum.\2\
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    \1\ See Uncovered Innerspring Units from the People's Republic 
of China: Preliminary Results of the Antidumping Duty Administrative 
Review; 2014-2015, 81 FR 12688 (March 10, 2016) (``Preliminary 
Results'') and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Uncovered Innerspring Units from the People's Republic of China: 
Issues and Decision Memorandum for the Final Results of the 2014-
2015 Administrative Review'' (``Issues and Decision Memorandum''), 
dated concurrently with this notice.
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    Also, as explained in the memorandum from the Acting Assistant 
Secretary for Enforcement and Compliance, the Department exercised its 
authority to toll all administrative deadlines due to the recent 
closure of the Federal Government.\3\ As a consequence, all deadlines 
in this segment of the proceeding have been extended by four business 
days. The revised deadline for the final results is now September 6, 
2016.
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    \3\ Memorandum to the Record from Ron Lorentzen, Acting A/S for 
Enforcement & Compliance, regarding ``Tolling of Administrative 
Deadlines As a Result of the Government Closure During Snowstorm 
Jonas,'' dated January 27, 2016, extending all administrative 
deadlines by four business days.
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Scope of the Order

    The merchandise subject to the order is uncovered innerspring 
units.\4\ The product is currently classified under subheading 
9404.29.9010 and has also been classified under subheadings 
9404.10.0000, 7326.20.0070, 7320.20.5010, or 7320.90.5010, of the 
Harmonized Tariff Schedule of the United States (``HTSUS''). The HTSUS 
subheadings are provided for convenience and customs purposes only; the 
written product description of the scope of the order is dispositive.
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    \4\ See Issues and Decision Memorandum for a complete 
description of the Scope of the Order.
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Analysis of Comments Received

    All issues raised in parties' case and rebuttal briefs are 
addressed in the Issues and Decision Memorandum, which is incorporated 
herein by reference. A list of the issues which parties raised, and to 
which we responded in the Issues and Decision Memorandum, is attached 
to this notice as an Appendix. The Issues and Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (``ACCESS''). ACCESS is available to registered users at 
http://access.trade.gov, and it is available to all parties in the 
Central Records Unit, Room B8024 of the main Department of Commerce 
building. The Issues and Decision Memorandum can be accessed at http://enforcement.trade.gov/frn/index.html. The signed and electronic

[[Page 62730]]

versions of the Issues and Decision Memorandum are identical in 
content.

Companies That Did Not Establish Their Eligibility for a Separate Rate

    In the Preliminary Results, the Department found that East Grace 
failed to establish its eligibility to receive a separate rate and that 
it was, thus, part of the PRC-wide entity.\5\ The Department has not 
received any comments that would warrant a review of that 
determination. Therefore, we continue to find that East Grace is part 
of the PRC-wide entity for purposes of this review. Because no party 
requested a review of the PRC-wide entity in this review, the PRC-wide 
entity is not under review and therefore its rate is not subject to 
change.\6\ The rate previously established for the PRC-wide entity in 
this proceeding is 234.51 percent.
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    \5\ See Preliminary Results, 81 FR at 12689.
    \6\ See Antidumping Proceedings: Announcement of Change in 
Department Practice for Respondent Selection in Antidumping Duty 
Proceedings and Conditional Review of the Nonmarket Economy Entity 
in NME Antidumping Duty Proceedings, 78 FR 65963 (November 4, 2013).
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Changes Since the Preliminary Results

    In the Preliminary Results, we found that Macao Commercial had no 
shipments of PRC-origin innersprings during the POR and, therefore, had 
no reviewable shipments.\7\ However, after considering comments raised 
by interested parties and additional questionnaire responses submitted 
after the Preliminary Results, the Department is revising its 
preliminary results with respect to Macao Commercial. Specifically, we 
determine that use of facts available with respect to Macao Commercial 
is warranted pursuant to section 776(a)(1) & (2)(A), (B), and (C) of 
the Tariff Act of 1930, as amended (``the Act''). We are also applying 
an adverse inference in selecting from among the facts available, 
pursuant to section 776(b) of the Act, because we find that Macao 
Commercial failed to cooperate to the best of its ability in providing 
the requested information. Based on the foregoing, we find that Macao 
Commercial has failed to demonstrate that it had no shipments of PRC-
origin innersprings during the POR, and we are assigning a rate to 
Macao Commercial using adverse facts available.
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    \7\ See Preliminary Results, 81 FR at 12689.
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    As part of this determination, we have not adopted petitioner 
Leggett and Platt, Inc.'s suggestion that the Department also find that 
the country of origin of all of Macao Commercial's exports of 
innersprings to the United States during the POR is the PRC. However, 
the information placed on the record during this administrative review 
as well as prior circumvention findings in this proceeding \8\ raise a 
concern that there are entries which should be subject to the Order but 
currently are not. The Department intends to consider these facts to 
determine if it would be appropriate for the Department to self-
initiate a circumvention inquiry.
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    \8\ See, e.g., Uncovered Innerspring Units from the People's 
Republic of China: Affirmative Final Determination of Circumvention 
of the Antidumping Duty Order, 79 FR 3345 (January 21, 2014).
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Final Results of Review

    The weighted-average dumping margin for the period February 1, 
2014, through January 31, 2015, is as follows:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                        Exporter                          dumping margin
                                                             (percent)
------------------------------------------------------------------------
Macao Commercial and Industrial Spring Mattress                   234.51
 Manufacturer...........................................
------------------------------------------------------------------------

Assessment

    Pursuant to section 751(a)(2)(A) of the Act and 19 CFR 351.212(b), 
the Department will determine, and U.S. Customs and Border Protection 
(``CBP'') shall assess, antidumping duties on all appropriate entries. 
The Department intends to issue assessment instructions to CBP 15 days 
after the date of publication of the final results of review in the 
Federal Register. For East Grace, the Department will instruct CBP to 
assess antidumping duties on the companies' entries of subject 
merchandise (i.e., PRC-origin innersprings) at the rate for the PRC-
entity of 234.51 percent. For Macao Commercial, the Department will 
instruct CBP to assess antidumping duties on the companies' entries of 
subject merchandise (i.e., PRC-origin innersprings) at the 
individually-assigned rate of 234.51 percent.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for all 
shipments of the subject merchandise from the PRC entered, or withdrawn 
from warehouse, for consumption on or after the publication date, as 
provided for by section 751(a)(2)(C) of the Act: (1) For the exporter 
listed above, the cash deposit rate will be 234.51 percent for their 
entries of subject merchandise (i.e., PRC-origin innersprings); (2) for 
previously investigated or reviewed PRC and non-PRC exporters not 
listed above that have a separate rate, the cash deposit rate will 
continue to be the exporter-specific rate published for the most 
recently completed segment of this proceeding in which the exporter was 
reviewed; (3) for all PRC exporters of subject merchandise which have 
not been found to be entitled to a separate rate, the cash deposit rate 
will be that established for the PRC-wide entity of 234.51 percent; and 
(4) for all non-PRC exporters of subject merchandise which have not 
received their own rate, the cash deposit rate will be the rate 
applicable to the PRC exporter that supplied that non-PRC exporter with 
the subject merchandise. The deposit requirements, when imposed, shall 
remain in effect until further notice.

Reimbursement of Duties

    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this POR. Failure to comply with this 
requirement could result in the Department's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of doubled antidumping duties.

Administrative Protective Order

    In accordance with 19 CFR 351.305(a)(3), this notice also serves as 
a final reminder to parties subject to administrative protective order 
(``APO'') of their responsibility concerning the return or destruction 
of proprietary information disclosed under APO, which continues to 
govern business proprietary information in this segment of the 
proceeding. Timely written notification of the return or destruction of 
APO materials, or conversion to judicial protective order, is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.

Notification to Interested Parties

    We are issuing and publishing this administrative review and notice 
in accordance with sections 751(a)(1) and 777(i) of the Act.

    Dated: September 6, 2016.
Christian Marsh,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations.

Appendix I--List of Topics Discussed in the Final Decision Memorandum

1. Summary
2. Background

[[Page 62731]]

3. Scope of the Order
4. Discussion of the Issue
5. Application of Facts Available
6. Affiliations
7. Sales Process
8. Q&V Information Financial Statements/Sales Reconciliations
9. Cost Reconciliations
10. Use of Adverse Inferences
11. Country of Origin
12. Recommendation

[FR Doc. 2016-21859 Filed 9-9-16; 8:45 am]
BILLING CODE 3510-DS-P