[Federal Register Volume 82, Number 214 (Tuesday, November 7, 2017)]
[Notices]
[Pages 51602-51604]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-24199]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-928]


Uncovered Innerspring Units From the People's Republic of China: 
Preliminary Results and Rescission, in Part, of the Antidumping Duty 
Administrative Review; 2016-2017

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

SUMMARY: The Department of Commerce (the Department) is conducting an 
administrative review of the antidumping duty order on uncovered 
innerspring units (innerspring units) from the People's Republic of 
China (PRC). The period of review (POR) is February 1, 2016, through 
January 31, 2017. The Department preliminarily determines that PT 
Sunhere Buana International (PT Sunhere) failed to cooperate to the 
best of its ability and is, therefore, basing its margin on facts 
otherwise available with an adverse inference (AFA). The Department is 
also rescinding the administrative review with respect to Jietai 
Machinery Ltd. (HK) (Jietai Machinery). Interested parties are invited 
to comment on these preliminary results.

FOR FURTHER INFORMATION CONTACT: Kenneth Hawkins, AD/CVD Operations, 
Office V, Enforcement and Compliance, International Trade 
Administration, Department of Commerce, 1401 Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-6491.

SUPPLEMENTARY INFORMATION: 

Background

    On February 19, 2009, the Department published an antidumping duty 
order on innerspring units from the PRC (the Order).\1\ On February 28, 
2017, Leggett & Platt, Inc. (the petitioner) submitted a request for 
the Department to conduct an administrative review of the Order that 
examines Jietai Machinery and PT Sunhere's exports of subject 
merchandise made during the POR.\2\ On April 10, 2016, the Department 
published in the Federal Register a notice of initiation of this 
administrative review of the Order concerning Jietai Machinery and PT 
Sunhere's POR

[[Page 51603]]

exports of subject merchandise.3 4 On May 1, 2017 the 
Department issued its questionnaire to Jietai Machinery and PT 
Sunhere.\5\ The Department's questionnaire to Jietai Machinery was 
returned as undeliverable.\6\ The Department confirmed delivery of its 
questionnaire to PT Sunhere.\7\ On September 6, 2017, based on guidance 
from U.S. Customs and Border Protection (CBP), we added harmonized 
tariff schedule (HTS) number 7326.20.0090 to the Scope of the Order.\8\
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    \1\ See Uncovered Innerspring Units from the People's Republic 
of China: Notice of Antidumping Duty Order, 74 FR 7661 (February 19, 
2009).
    \2\ See Uncovered Innerspring Units from the People's Republic 
of China: Request for Antidumping Administrative Review, dated 
February 28, 2017.
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 17188 (April 10, 2017) (Initiation 
Notice).
    \4\ PT Sunhere is located in Indonesia, a market economy 
country. The Department is examining PT Sunhere's exports of subject 
merchandise for this administrative review.
    \5\ See the Department's Letter to Jietai Machinery, dated May 
1, 2017; see also, the Department's Letter to PT Sunhere, dated May 
1, 2017 (Questionnaires).
    \6\ See Memorandum to the File, re: ``Antidumping Duty 
Administrative Questionnaire Not Delivered,'' dated August 2, 2017.
    \7\ See Memorandum to the File, re: 2016-2017 Administrative 
Review of Uncovered Innerspring Units from the People's Republic of 
China: Delivery Notification of Antidumping Duty Questionnaire to PT 
Sunhere Buana International, dated August 15, 2017.
    \8\ See Memorandum to the File, through Paul Walker, Program 
Manager, Antidumping and Countervailing Duty Operations, Office V, 
from Kenneth Hawkins, Case Analyst, Antidumping and Countervailing 
Duty Operations, Office V, re: ``Uncovered Innersprings from the 
People's Republic of China (A-570-928) and South Africa (A-791-
821,'' dated September 6, 2017 (Additional HTS Memo).
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Scope of the Order

    The merchandise subject to the order is uncovered innerspring units 
composed of a series of individual metal springs joined together in 
sizes corresponding to the sizes of adult mattresses (e.g., twin, twin 
long, full, full long, queen, California king and king) and units used 
in smaller constructions, such as crib and youth mattresses. The 
product is currently classified under subheading 9404.29.9010 and has 
also been classified under subheadings 9404.10.0000, 9404.29.9005, 
9404.29.9011, 7326.20.0070, 7326.20.0090, 7320.20.5010, 7320.90.5010, 
or 7326.20.0071 of the Harmonized Tariff Schedule of the United States 
(HTSUS).\9\ The HTSUS subheadings are provided for convenience and 
customs purposes only; the written description of the scope of the 
order is dispositive.\10\
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    \9\ On September 6, 2017, the Department added HTS 7326.20.0090 
to the scope based on a request from CBP. See Additional HTS Memo.
    \10\ For a full description of the scope of the order, see the 
Department Memorandum, ``Decision Memorandum for Preliminary Results 
of 2016-2017 Antidumping Duty Administrative Review: Uncovered 
Innerspring Units from the People's Republic of China,'' dated 
concurrently with and hereby adopted by this notice (Preliminary 
Decision Memorandum).
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Methodology

    The Department is conducting this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). With 
respect to PT Sunhere, we relied on facts available and, because PT 
Sunhere did not act to the best of its ability to respond to the 
Department's requests for information, we drew an adverse inference in 
selecting from among the facts otherwise available.\11\
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    \11\ See sections 776(a) and (b) of the Act.
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    For a full description of the methodology underlying our 
conclusions, please see the Preliminary Decision Memorandum. The 
Preliminary 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 
in the Central Records Unit, Room B8024 of the main Department of 
Commerce building. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly on the internet at http://enforcement.trade.gov/frn/. The signed Preliminary Decision Memorandum 
and the electronic versions of the Preliminary Decision Memorandum are 
identical in content.

Partial Rescission of Administrative Review

    The Department issued its questionnaire to Jietai Machinery but the 
questionnaire was returned as undeliverable. Despite our request to the 
petitioner, we received no alternative addresses for Jietai Machinery. 
Accordingly, consistent with the Department's practice in similar 
circumstances,\12\ the Department is rescinding the administrative 
review with respect to Jietai Machinery.
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    \12\ See, e.g., Certain Frozen Warmwater Shrimp from Thailand; 
Partial Rescission of Antidumping Duty Administrative Review, 72 FR 
50931 (September 5, 2007).
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Preliminary Results of Review

    The Department preliminarily determines that a dumping margin of 
234.51 percent exists for PT Sunhere for the period February 1, 2016, 
through January 31, 2017.

Public Comment 13
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    \13\ Normally, the Department discloses to interested parties 
the calculations performed in connection with the preliminary 
results of review within five days of the date of publication of the 
notice of preliminary results in the Federal Register, in accordance 
with 19 CFR 351.224(b). However, because PT Sunhere did not 
participate and its rate is based solely on AFA, there are no 
calculations to disclose.
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    Pursuant to 19 CFR 351.309(c)(1)(ii), interested parties may submit 
case briefs not later than 30 days after the date of publication of 
this notice in the Federal Register. Rebuttal briefs, limited to issues 
raised in the case briefs, may be filed not later than five days after 
the date for filing case briefs.\14\ Parties who submit case briefs or 
rebuttal briefs in this proceeding are encouraged to submit with each 
argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities.\15\ Case and rebuttal briefs 
should be filed using ACCESS.\16\
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    \14\ See 19 CFR 351.309(d)(1).
    \15\ See 19 CFR 351.309(c)(2) and (d)(2).
    \16\ See 19 CFR 351.303.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance within 30 days of the date of 
publication of this notice. Requests should contain: (1) The party's 
name, address and telephone number; (2) the number of participants; and 
(3) a list of issues parties intend to discuss. Issues raised in the 
hearing will be limited to those raised in the respective case and 
rebuttal briefs. If a request for a hearing is made, the Department 
intends to hold the hearing at the U.S. Department of Commerce, 1401 
Constitution Avenue NW., Washington, DC 20230, at a date and time to be 
determined.\17\ Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.
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    \17\ See 19 CFR 351.310(d).
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    Unless extended, the Department intends to issue the final results 
of this administrative review, which will include the results of our 
analysis of all issues raised in the case briefs, within 120 days of 
publication of these preliminary results in the Federal Register, 
pursuant to section 751(a)(3)(A) of the Act.

Assessment Rates

    As noted above, we are rescinding the review with respect to Jietai 
Machinery. As such, the Department intends to issue appropriate 
assessment instructions to U.S. Customs and Border Protection (CBP) 15 
days after the date of publication of this notice for Jietai

[[Page 51604]]

Machinery. Antidumping duties shall be assessed at rates equal to the 
cash deposit of estimated antidumping duties required at the time of 
entry, or withdrawal from warehouse, for consumption in accordance with 
19 CFR 351.212(c)(1)(i).
    Upon issuance of the final results, the Department will determine, 
and CBP shall assess, antidumping duties on all appropriate entries 
covered by this review.\18\ The Department intends to issue assessment 
instructions to CBP 15 days after the publication date of the final 
results of this review. We will instruct CBP to assess antidumping 
duties on all appropriate entries covered by this review if any 
assessment rate calculated in the final results of this review is above 
de minimis. The final results of this review shall be the basis for the 
assessment of antidumping duties on entries of merchandise covered by 
the final results of this review and for future deposits of estimated 
duties, where applicable. Assessment of duties resulting from the final 
results of this review will pertain only to entries of subject 
merchandise (i.e., innerspring units from the PRC).
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    \18\ See 19 CFR 351.212(b)(1).
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Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for 
shipments of the subject merchandise from the PRC entered, or withdrawn 
from warehouse, for consumption on or after the publication date of 
this notice, as provided by section 751(a)(2)(C) of the Act: (1) For PT 
Sunhere, the cash deposit rate will be that established in the final 
results of this review (except, if the rate is zero or de minimis, then 
zero cash deposit will be required) and the Department will collect 
cash deposits only on PT Sunhere's PRC-origin merchandise; (2) for 
previously investigated or reviewed PRC and non-PRC exporters not 
listed above that received a separate rate in a prior segment of this 
proceeding, the cash deposit rate will continue to be the existing 
exporter-specific rate published for the most recently completed 
period; (3) for all PRC exporters of subject merchandise that have not 
been found to be entitled to a separate rate, the cash deposit rate 
will be the PRC-wide rate 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. These deposit 
requirements, when imposed, shall remain in effect until further 
notice.

Notification to Importers

    This notice also serves as a preliminary 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 review period. Failure to comply 
with this requirement could result in the Department's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.213.

    Dated: October 31, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

1. Summary
2. Background
3. Scope of the Order
4. Partial Rescission of Administrative Review
5. Discussion of the Methodology
    a. Application of Facts Otherwise Available
    b. Use of Adverse Inference
    c. Selection of the Adverse Facts Available Rate
6. Recommendation

[FR Doc. 2017-24199 Filed 11-6-17; 8:45 am]
 BILLING CODE 3510-DS-P