[Federal Register Volume 86, Number 56 (Thursday, March 25, 2021)]
[Notices]
[Pages 15894-15897]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-06188]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-555-001]
Mattresses From Cambodia: Final Affirmative Determination of
Sales at Less Than Fair Value and Final Negative Determination of
Critical Circumstances
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that imports
of mattresses from Cambodia are being, or are likely to be, sold in the
United States at less than fair value (LTFV) for the period of
investigation January 1, 2019, through December 31, 2019.
DATES: Applicable March 25, 2021.
FOR FURTHER INFORMATION CONTACT: John McGowan or Preston Cox, AD/CVD
[[Page 15895]]
Operations, Office VI, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3019 or (202) 482-5041,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On November 3, 2020, Commerce published the Preliminary
Determination in the LTFV investigation of mattresses from Cambodia, in
which we also postponed the final determination until March 18,
2021.\1\ We invited interested parties to comment on the Preliminary
Determination. A summary of the events that occurred since Commerce
published the Preliminary Determination, as well as a full discussion
of the issues raised by parties for this final determination, may be
found in the Issues and Decision Memorandum.\2\ 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 https://access.trade.gov. In addition, a complete
version of the Issues and Decision Memorandum can be accessed directly
at http://enforcement.trade.gov/frn/index.html.
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\1\ See Mattresses from Cambodia: Preliminary Affirmative
Determination of Sales at Less Than Fair Value, Preliminary
Affirmative Determination of Critical Circumstances, Postponement of
Final Determination, and Extension of Provisional Measures, 85 FR
69594 (November 3, 2020) (Preliminary Determination), and
accompanying Preliminary Decision Memorandum (PDM).
\2\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination in the Less-Than-Fair-Value
Investigation of Mattresses from Cambodia,'' dated concurrently
with, and hereby adopted by, this notice (Issues and Decision
Memorandum).
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Scope of the Investigation
The products covered by this investigation are mattresses from
Cambodia. For a complete description of the scope of this
investigation, see the ``Scope of the Investigation'' in Appendix I.
Scope Comments
In Commerce's Preliminary Scope Decision Memorandum, we set aside a
period of time for parties to raise issues regarding product coverage
(i.e., scope) in scope case briefs or other written comments on scope
issues.\3\ Certain interested parties commented on the scope of the
investigation as it appeared in the Preliminary Scope Decision
Memorandum, unchanged from the Initiation Notice.\4\ For a summary of
the product coverage comments and rebuttal responses submitted to the
record for this final determination, and accompanying discussion and
analysis of all comments timely received, see the Final Scope
Memorandum.\5\ In the Final Scope Memorandum, Commerce determined that
it is not modifying the scope language as it appeared in the Initiation
Notice. See the scope in Appendix I to this notice.
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\3\ See Memorandum, ``Mattresses from Cambodia, Indonesia,
Malaysia, Serbia, Thailand, the Republic of Turkey, the Socialist
Republic of Vietnam, and the People's Republic of China: Scope
Comments Decision Memorandum for the Preliminary Determination,''
dated October 27, 2020 (Preliminary Scope Decision Memorandum).
\4\ See Mattresses from Cambodia, Indonesia, Malaysia, Serbia,
Thailand, the Republic of Turkey, and the Socialist Republic of
Vietnam: Initiation of Less-Than-Fair-Value Investigations, 85 FR
23002 (April 24, 2020) (Initiation Notice).
\5\ See Memorandum, ``Mattresses from Cambodia, Indonesia,
Malaysia, Serbia, Thailand, the Republic of Turkey, the Socialist
Republic of Vietnam, and the People's Republic of China: Final Scope
Decision Memorandum,'' dated concurrently with, and hereby adopted
by, this notice (Final Scope Memorandum).
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Analysis of Comments Received
All issues raised in the case and rebuttal briefs that were
submitted by parties in this investigation are addressed in the Issues
and Decision Memorandum. A list of the issues addressed in the Issues
and Decision Memorandum is attached at Appendix II.
Verification
Commerce was unable to conduct on-site verification of the
information relied upon in making its final determination in this
investigation. However, we took additional steps in lieu of an on-site
verification to verify the information relied upon in making this final
determination, in accordance with section 782(i) of the Tariff Act of
1930, as amended (the Act).\6\
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\6\ See Commerce's Letter, dated December 15, 2020.
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Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
interested parties, we made certain changes to the margin calculations
for Best Mattresses/Rose Lion.\7\ For a discussion of these changes,
see the Issues and Decision Memorandum. In light of the change to the
weighted-average dumping margin of Best Mattress/Rose Lion, we have
also revised the all-others rate.
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\7\ In the Preliminary Determination, Commerce determined that
the two mandatory respondents (i.e., Best Mattresses International
Company Limited (Best Mattresses) and Rose Lion Furniture
International Company Limited (Rose Lion)) are affiliated, pursuant
to sections 771(33)(A) and (F) of the Act, and to treat them as a
single entity, pursuant to 19 CFR 351.401(f). For a discussion of
this analysis, see PDM at 4-5.
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Final Negative Determination of Critical Circumstances
Commerce preliminarily determined that critical circumstances
existed with respect to imports of mattresses from Best Mattresses/Rose
Lion and that critical circumstances did not exist with respect to all
other exporters or producers not individually examined.\8\ We modified
our critical circumstances finding for Best Mattresses/Rose Lion for
the final determination. Thus, pursuant to section 735(a)(3) of the
Act, we find that critical circumstances do not exist with respect to
imports of mattresses from Cambodia. For a full description of the
methodology and results of Commerce's critical circumstances analysis,
see the Issues and Decision Memorandum.
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\8\ See Preliminary Determination, 85 FR at 69595, and
accompanying PDM at 5-7.
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All-Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated
weighted-average dumping margin for all other producers and exporters
not individually investigated shall be equal to the weighted average of
the estimated weighted-average dumping margins established for
exporters and producers individually investigated, excluding rates that
are zero, de minimis, or determined entirely under section 776 of the
Act.
Commerce calculated an individual estimated weighted-average
dumping margin for Best Mattresses/Rose Lion, the only individually
examined exporter/producer in this investigation. Because the only
individually calculated dumping margin is not zero, de minimis, or
based entirely on facts otherwise available, the estimated weighted-
average dumping margin calculated for Best Mattresses/Rose Lion is the
margin assigned to all other producers and exporters, pursuant to
section 735(c)(5)(A) of the Act.
Final Determination
The final estimated weighted-average dumping margins are as
follows:
------------------------------------------------------------------------
Estimated
weighted-
average
Exporter/producer dumping
margin
(percent)
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Best Mattresses International Company Limited/Rose Lion 45.34
Furniture International....................................
[[Page 15896]]
All Others.................................................. 45.34
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Disclosure
We intend to disclose to parties in this proceeding the
calculations performed for this final determination within five days of
the date of publication of this notice, in accordance with 19 CFR
351.224(b).
Continuation of Suspension of Liquidation
In accordance with section 735(c)(1)(B) of the Act, Commerce will
instruct U.S. Customs and Border Protection (CBP) to continue to
suspend liquidation of all appropriate entries of mattresses from
Cambodia, as described in Appendix I of this notice, which are entered,
or withdrawn from warehouse, for consumption on or after November 3,
2020, the date of publication of the Preliminary Determination in the
Federal Register.
Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR
351.210(d), upon publication of this notice, Commerce will instruct CBP
to require a cash deposit equal to the estimated weighted-average
dumping margin or the estimated all-others rate, as follows: (1) The
cash deposit rate for the respondents listed above will be equal to the
company-specific estimated weighted-average dumping margin determined
in this final determination; (2) if the exporter is not a respondent
identified above but the producer is, then the cash deposit rate will
be equal to the company-specific estimated weighted-average dumping
margin established for that producer of the subject merchandise; and
(3) the cash deposit rate for all other producers and exporters will be
equal to the all-others estimated weighted-average dumping margin.
These suspension-of-liquidation instructions will remain in effect
until further notice.
Further, because our final critical circumstances determination is
negative, in accordance with section 735(c)(3) of the Act, we will
instruct CBP to terminate the retroactive suspension of liquidation
ordered at the Preliminary Determination for Best Mattresses/Rose Lion
and to refund any cash deposits required with respect to entries of
shipments of subject merchandise covered by the retroactive suspension
of liquidation.
International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
International Trade Commission (ITC) of the final affirmative
determination of sales at LTFV. Because Commerce's final determination
is affirmative, in accordance with section 735(b)(2) of the Act, the
ITC will make its final determination as to whether the domestic
industry in the United States is materially injured, or threatened with
material injury, by reason of imports or sales (or the likelihood of
sales) for importation of mattresses from Cambodia no later than 45
days after this final determination. If the ITC determines that such
injury does not exist, this proceeding will be terminated, and all cash
deposits posted will be refunded and suspension of liquidation will be
lifted. If the ITC determines that such injury does exist, Commerce
will issue an antidumping duty order directing CBP to assess, upon
further instruction by Commerce, antidumping duties on all imports of
the subject merchandise entered, or withdrawn from warehouse, for
consumption on or after the effective date of the suspension of
liquidation, as discussed above in the ``Continuation of Suspension of
Liquidation'' section.
Notification Regarding Administrative Protective Orders (APO)
This notice will serve as a reminder to parties subject to an
administrative protective order of their responsibility concerning the
disposition of proprietary information disclosed under APO in
accordance with 19 CFR 351.305(a)(3). Timely written notification of
return or destruction of APO materials or conversion to judicial
protective order is hereby requested. Failure to comply with the
regulations and the terms of an APO is a violation which is subject to
sanction.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).
Dated: March 18, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The products covered by this investigation are all types of
youth and adult mattresses. The term ``mattress'' denotes an
assembly of materials that at a minimum includes a ``core,'' which
provides the main support system of the mattress, and may consist of
innersprings, foam, other resilient filling, or a combination of
these materials. Mattresses may also contain: (1) ``upholstery,''
the material between the core and the top panel of the ticking on a
single-sided mattress; or between the core and the top and bottom
panel of the ticking on a double-sided mattress; and/or (2)
``ticking,'' the outermost layer of fabric or other material (e.g.,
vinyl) that encloses the core and any upholstery, also known as a
cover.
The scope of this investigation is restricted to only ``adult
mattresses'' and ``youth mattresses.'' ``Adult mattresses'' are
frequently described as ``twin,'' ``extra-long twin,'' ``full,''
``queen,'' ``king,'' or ``California king'' mattresses. ``Youth
mattresses'' are typically described as ``crib,'' ``toddler,'' or
``youth'' mattresses. All adult and youth mattresses are included
regardless of size and size description.
The scope encompasses all types of ``innerspring mattresses,''
``non-innerspring mattresses,'' and ``hybrid mattresses.''
``Innerspring mattresses'' contain innersprings, a series of metal
springs joined together in sizes that correspond to the dimensions
of mattresses. Mattresses that contain innersprings are referred to
as ``innerspring mattresses'' or ``hybrid mattresses.'' ``Hybrid
mattresses'' contain two or more support systems as the core, such
as layers of both memory foam and innerspring units.
``Non-innerspring mattresses'' are those that do not contain any
innerspring units. They are generally produced from foams (e.g.,
polyurethane, memory (viscoelastic), latex foam, gel- infused
viscoelastic (gel foam), thermobonded polyester, polyethylene) or
other resilient filling.
Mattresses covered by the scope of this investigation may be
imported independently, as part of furniture or furniture mechanisms
(e.g., convertible sofa bed mattresses, sofa bed mattresses imported
with sofa bed mechanisms, corner group mattresses, day-bed
mattresses, roll-away bed mattresses, high risers, trundle bed
mattresses, crib mattresses), or as part of a set in combination
with a ``mattress foundation.'' ``Mattress foundations'' are any
base or support for a mattress. Mattress foundations are commonly
referred to as ``foundations,'' ``boxsprings,'' ``platforms,'' and/
or ``bases.'' Bases can be static, foldable, or adjustable. Only the
mattress is covered by the scope if imported as part of furniture,
with furniture mechanisms, or as part of a set in combination with a
mattress foundation.
Excluded from the scope of this investigation are ``futon''
mattresses. A ``futon'' is a bi-fold frame made of wood, metal, or
plastic material, or any combination thereof, that functions as both
seating furniture (such as a couch, love seat, or sofa) and a bed. A
``futon mattress'' is a tufted mattress, where the top covering is
secured to the bottom with thread that goes completely through the
mattress from the top through to the bottom, and it does not contain
innersprings or foam. A futon mattress is both the bed and seating
surface for the futon.
Also excluded from the scope are airbeds (including inflatable
mattresses) and
[[Page 15897]]
waterbeds, which consist of air- or liquid-filled bladders as the
core or main support system of the mattress.
Also excluded is certain multifunctional furniture that is
convertible from seating to sleeping, regardless of filler material
or components, where that filler material or components are
upholstered, integrated into the design and construction of, and
inseparable from, the furniture framing, and the outermost layer of
the multifunctional furniture converts into the sleeping surface.
Such furniture may, and without limitation, be commonly referred to
as ``convertible sofas,'' ``sofabeds,'' ``sofa chaise sleepers,''
``futons,'' ``ottoman sleepers'' or a like description.
Also excluded from the scope of this investigation are any
products covered by the existing antidumping duty orders on
uncovered innerspring units from China or Vietnam. See Uncovered
Innerspring Units from the People's Republic of China: Notice of
Antidumping Duty Order, 74 FR 7661 (February 19, 2009); Antidumping
Duty Order: Uncovered Innerspring Units from the Socialist Republic
of Vietnam, 73 FR 75391 (December 11, 2008).
Also excluded from the scope of this investigation are bassinet
pads with a nominal length of less than 39 inches, a nominal width
less than 25 inches, and a nominal depth of less than 2 inches.
Additionally, also excluded from the scope of this investigation
are ``mattress toppers.'' A ``mattress topper'' is a removable
bedding accessory that supplements a mattress by providing an
additional layer that is placed on top of a mattress. Excluded
mattress toppers have a height of four inches or less.
The products subject to this investigation are currently
properly classifiable under HTSUS subheadings: 9404.21.0010,
9404.21.0013, 9404.29.1005, 9404.29.1013, 9404.29.9085, and
9404.29.9087. Products subject to this investigation may also enter
under HTSUS subheadings: 9404.21.0095, 9404.29.1095, 9404.29.9095,
9401.40.0000, and 9401.90.5081. Although the HTSUS subheadings are
provided for convenience and customs purposes, the written
description of the merchandise subject to this investigation is
dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Scope of the Investigation
VI. Final Negative Determination of Critical Circumstances
VII. Changes Since the Preliminary Determination
VIII. Discussion of the Issues
IX. Recommendation
[FR Doc. 2021-06188 Filed 3-24-21; 8:45 am]
BILLING CODE 3510-DS-P