[Federal Register Volume 85, Number 148 (Friday, July 31, 2020)]
[Notices]
[Pages 46069-46070]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-16696]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-092]


Mattresses From the People's Republic of China: Initiation of 
Antidumping Duty New Shipper Review

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

SUMMARY: The Department of Commerce (Commerce) has determined that a 
request for a new shipper review (NSR) of the antidumping duty order on 
mattresses from the People's Republic of China (China) meets the 
statutory and regulatory requirements for initiation. The period of 
review (POR) for the NSR is June 4, 2019 through May 31, 2020.

DATES: Applicable July 31, 2020.

FOR FURTHER INFORMATION CONTACT: Jesse Montoya, AD/CVD Operations, 
Office IV, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-8211.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce published the mattresses Order on December 16, 2019.\1\ On 
June 29, 2020, pursuant to section 751(a)(2)(B)(i) of the Tariff Act of 
1930, as amended (the Act), and 19 CFR 351.214(c), Commerce received a 
timely NSR request from Shanghai Sunbeauty Trading Co., Ltd. 
(Sunbeauty).\2\
---------------------------------------------------------------------------

    \1\ See Mattresses from the People's Republic of China: 
Antidumping Duty Order, 84 FR 68395 (December 16, 2020) (Order).
    \2\ See Sunbeauty's Letter, ``Mattresses from the People's 
Republic of China: Request for New Shipper Review,'' dated June 29, 
2020 (NSR Request).
---------------------------------------------------------------------------

    In its submission, Sunbeauty certified that it is the exporter of 
the subject merchandise upon which its request for a NSR is based.\3\ 
Pursuant to section 751(a)(2)(B)(i)(I) of the Act and 19 CFR 
351.214(b)(2)(ii)(A), Sunbeauty certified that it did not export 
mattresses to the United States during the period of investigation 
(POI).\4\ Sunbeauty also provided in its submission, pursuant to 19 CFR 
351.214(b)(2)(ii)(B), a certification from the company that produced or 
supplied the subject merchandise to Sunbeauty that the producer or 
supplier did not export the subject merchandise to the United States 
during the POI.\5\ Additionally, pursuant to section 
751(a)(2)(B)(i)(II) of the Act and 19 CFR 351.214(b)(2)(iii)(A), 
Sunbeauty certified that, since the initiation of the investigation, it 
has never been affiliated with any producer or exporter that exported 
mattresses to the United States during the POI, including those not 
individually examined during the investigation.\6\ As required by 19 
CFR 351.214(b)(2)(iii)(B), Sunbeauty also certified that its export 
activities are not controlled by the central government of China.\7\ 
Further, Sunbeauty stated that it has not made subsequent shipments of 
subject merchandise during the POR.\8\
---------------------------------------------------------------------------

    \3\ Id. at Exhibit 1.
    \4\ Id.
    \5\ Id.
    \6\ Id.
    \7\ Id.
    \8\ Id. at 3.
---------------------------------------------------------------------------

    In addition to the certifications described above, pursuant to 19 
CFR 351.214(b)(2)(iv), Sunbeauty submitted documentation establishing 
the following: (1) The date on which it first shipped subject 
merchandise for export to the United States and the date on which the 
merchandise was first entered, or withdrawn from warehouse, for 
consumption; (2) the volume of its first shipment; and (3) the date of 
its first sale to an unaffiliated customer in the United States.\9\
---------------------------------------------------------------------------

    \9\ Id. at Exhibit 2.
---------------------------------------------------------------------------

    Commerce conducted a query of U.S. Customs and Border Protection 
(CBP) data and confirmed that Sunbeauty's subject merchandise entered 
the United States for consumption and that liquidation of such entries 
had been properly suspended for antidumping duties. The CBP data that 
Commerce examined are consistent with information provided by Sunbeauty 
in its NSR request. In particular, the CBP data confirm the price and 
quantity reported by Sunbeauty for the sale that forms that basis of 
its NSR request.\10\
---------------------------------------------------------------------------

    \10\ Id.; see also Memorandum, ``Initiation of Antidumping New 
Shipper Review of Mattresses from the People's Republic of China: 
Shanghai Sunbeauty Trading Co., Ltd. Initiation Checklist,'' dated 
concurrently with this notice.
---------------------------------------------------------------------------

Period of Review

    Pursuant to 19 CFR 351.214(c), an exporter or producer may request 
an NSR within one year of the date on which its subject merchandise was 
first entered, or withdrawn from warehouse, for consumption, or shipped 
to the United States, as appropriate. Sunbeauty requested this NSR 
within one year of the date on which its merchandise first entered the 
United States, and made its request in June 2020, which is the first 
semiannual anniversary month of the Order.\11\ In accordance with 19 
CFR 351.214(g)(l)(ii)(B), the POR is June 4, 2019 through May 31, 2020.
---------------------------------------------------------------------------

    \11\ See NSR Request at Exhibit 2.
---------------------------------------------------------------------------

Initiation of NSR

    Pursuant to section 751(a)(2)(B) of the Act, 19 CFR 351.214(b), and 
based on the information on the record, we find that Sunbeauty's NSR 
request meets the threshold requirements for initiation of a NSR of its 
shipment(s) of mattresses to the United States.\12\ However, if the 
information supplied by Sunbeauty is later found to be incorrect or 
insufficient during the course of this NSR, Commerce may rescind the 
review or apply adverse facts available, pursuant to section 776 of the 
Act, as appropriate. Pursuant to 19 CFR 351.221(c)(1)(i), Commerce will 
publish the notice of initiation of an NSR no later than the last day 
of the month following the anniversary or semiannual anniversary month 
of the order. Commerce intends to issue the preliminary results of this 
review no later than 180 days from the date of initiation, and the 
final results of this review no later than 90 days after the date the 
preliminary results are issued.\13\
---------------------------------------------------------------------------

    \12\ See generally NSR Request.
    \13\ See section 751(a)(2)(B)(iii) of the Act.
---------------------------------------------------------------------------

    It is Commerce's usual practice, in cases involving non-market 
economies, to require that a company seeking to establish eligibility 
for an antidumping duty rate separate from the country-wide rate (i.e., 
separate rate) to provide evidence of de jure and de facto absence of 
government control over the company's export activities.\14\ 
Accordingly, Commerce will issue questionnaires to Sunbeauty 
requesting, inter alia, information regarding its export activities for 
the purpose of

[[Page 46070]]

determining whether it is eligible for a separate rate. The review of 
the exporter will proceed if the response provides sufficient 
indication that the exporter is not subject to either de jure or de 
facto government control with respect to its exports of mattresses.
---------------------------------------------------------------------------

    \14\ See Policy Bulletin 05.1, ``Separate-Rates Practice and 
Application of Combination Rates in Antidumping Investigations 
Involving Non-Market Economy Countries,'' available at http://ia.ita.doc.gov/policy/bull05-l.pdf.
---------------------------------------------------------------------------

    We intend to conduct this NSR in accordance with section 
751(a)(2)(B) of the Act.\15\ Because Sunbeauty certified that it 
exported subject merchandise, the sale of which is the basis for its 
NSR request, Commerce will instruct CBP to continue to suspend 
liquidation of all entries of subject merchandise exported by 
Sunbeauty. To assist in its analysis of the bona fide nature of 
Sunbeauty's sale(s), upon initiation of this NSR, Commerce will require 
Sunbeauty to submit, on an ongoing basis, complete transaction 
information concerning any sales of subject merchandise to the United 
States that were made subsequent to the POR.
---------------------------------------------------------------------------

    \15\ The Act was amended by the Trade Facilitation and Trade 
Enforcement Act of 2015 which removed from section 751(a)(2)(B) of 
the Act the provision directing Commerce to instruct CBP to allow an 
importer the option of posting a bond or security in lieu of a cash 
deposit during the pendency of an NSR.
---------------------------------------------------------------------------

    Interested parties requiring access to proprietary information in 
this NSR should submit applications for disclosure under administrative 
protective order in accordance with 19 CFR 351.305 and 351.306. This 
initiation notice is published in accordance with section 751(a)(2)(B) 
of the Act and 19 CFR 351.214 and 351.221(c)(1)(i).

    Dated: July 27, 2020.
Scot Fullerton,
Associate Deputy Assistant Secretary for AD/CVD Operations.
[FR Doc. 2020-16696 Filed 7-30-20; 8:45 am]
BILLING CODE 3510-DS-P