[Federal Register Volume 89, Number 95 (Wednesday, May 15, 2024)]
[Notices]
[Pages 42432-42434]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-10567]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-565-804]


Mattresses From the Philippines: Final Affirmative Determination 
of Sales at Less Than Fair Value and Final Affirmative Determination of 
Critical Circumstances

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
mattresses from the Philippines are being, or are likely to be, sold in 
the United States at less than fair value (LTFV). The period of 
investigation (POI) is July 1, 2022, through June 30, 2023.

DATES: Applicable May 15, 2024.

FOR FURTHER INFORMATION CONTACT: Sun Cho, AD/CVD Operations, Office V, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-6458.

SUPPLEMENTARY INFORMATION:

Background

    On March 1, 2024, Commerce published in the Federal Register its 
preliminary determination in the LTFV investigation of mattresses from 
the Philippines and invited interested parties to comment.\1\ No 
interested party submitted comments. Accordingly, the final 
determination of the LTFV investigation remains unchanged from the 
Preliminary Determination and no Issues and Decision Memorandum 
accompanies this notice.
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    \1\ See Mattresses from the Philippines: Preliminary Affirmative 
Determination of Sales at Less Than Fair Value, and Preliminary 
Affirmative Determination of Critical Circumstances, 89 FR 15146 
(March 1, 2024) (Preliminary Determination), and accompanying 
Preliminary Decision Memorandum (PDM).
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Scope of the Investigation

    The products covered by this investigation are mattresses from the 
Philippines. For a complete description of the scope of this 
investigation, see the appendix to this notice.

Scope Comments

    During the course of this investigation, Commerce received scope 
comments from parties. Commerce issued a Preliminary Scope Decision 
Memorandum to address these comments and set aside a period of time for 
parties to address scope issues in scope-specific case and rebuttal 
briefs.\2\ We received comments from parties on the Preliminary Scope 
Decision Memorandum, which we address in the Final Scope Decision 
Memorandum.\3\ We made changes to the scope of the investigation from 
the scope published in the Preliminary Determination, as noted in the 
appendix to this notice.
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    \2\ See Memorandum, ``Mattresses from Bosnia and Herzegovina, 
Bulgaria, Burma, India, Indonesia, Italy, Kosovo, Mexico, 
Philippines, Poland, Slovenia, Spain, and Taiwan: Preliminary Scope 
Decision Memorandum,'' dated February 23, 2024.
    \3\ See Memorandum, ``Mattresses from Bosnia and Herzegovina, 
Bulgaria, Burma, India, Indonesia, Italy, Kosovo, Mexico, 
Philippines, Poland, Slovenia, Spain, and Taiwan: Final Scope 
Decision Memorandum,'' dated concurrently with this notice.
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Final Affirmative Determination of Critical Circumstances

    We continue to find that critical circumstances exist for imports 
of mattresses from the Philippines for the mandatory respondent 
Maxiflex Philippines Corp./Polyfoam-RGC International Corporation/
Multiflex RNC Philippines, Inc./Multimax Industries Corporation 
(collectively, Maxiflex et al.)) and for all other producers and 
exporters pursuant to sections 735(a)(3)(A) and (B) of the Tariff Act 
of 1930, as amended (the Act), and 19 CFR 351.206.\4\
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    \4\ See Preliminary Determination PDM at 11-15.
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Use of Adverse Facts Available

    As discussed in the Preliminary Determination, we assigned Maxiflex 
et al. an estimated weighted-average dumping margin based on adverse 
facts available (AFA), pursuant to sections 776(a) and (b) of Act.\5\ 
There is no new information on the record that would cause us to 
revisit our decision in the Preliminary Determination. Accordingly, for 
this final

[[Page 42433]]

determination, we continue to find that the application of AFA pursuant 
to sections 776(a) and (b) of the Act is warranted with respect to 
Maxiflex et al.
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    \5\ Id., 89 FR at 15147.
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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.
    In the Preliminary Determination, we assigned a dumping margin of 
538.23 percent as the all-others rate based on the only calculated rate 
in the petition, pursuant to section 735(c)(5)(B) of the Act.\6\ As 
noted above, we received no comments on our Preliminary Determination; 
thus, we continue to assign a dumping margin of 538.23 percent as the 
all-others rate for this final determination.
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    \6\ Id., 89 FR at 15147.
    \7\ Commerce determined that the following companies are a 
single entity: Maxiflex Philippines Corp.; Multiflex RNC 
Philippines, Inc.; Multimax Industries Corporation; and Polyfoam-RGC 
International Corporation. See Preliminary Determination PDM.
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Final Determination

    The final estimated weighted-average dumping margin is as follows:

------------------------------------------------------------------------
                                                      Estimated weighted-
                  Exporter/producer                     average dumping
                                                       margin (percent)
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Maxiflex Philippines Corp./Polyfoam-RGC                         * 538.23
 International Corporation/Multiflex RNC
 Philippines, Inc./Multimax Industries Corporation
 \7\................................................
All Others..........................................              538.23
------------------------------------------------------------------------
* Rate based on facts available with adverse inferences.

Disclosure

    Normally, Commerce will disclose to the parties in a proceeding the 
calculations performed in connection with a final determination within 
five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of this 
notice of final determination in the Federal Register, in accordance 
with 19 CFR 351.224(b). However, because Commerce received no comments 
on the Preliminary Determination, it is adopting the Preliminary 
Determination as the final determination in this investigation. 
Consequently, there are no new calculations to disclose.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(4) of the Act, we will instruct 
U.S. Customs and Border Protection (CBP) to continue to suspend 
liquidation of subject merchandise, as described in the appendix to 
this notice, entered, or withdrawn from warehouse, for consumption, on 
or after December 2, 2023, which is 90 days prior to the date of the 
date of publication of the affirmative Preliminary Determination in the 
Federal Register.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), where appropriate, 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 respondent 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.

U.S. International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. 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 the Philippines no later than 
45 days after this final determination. If the ITC determines that such 
injury does not exist, the proceeding will be terminated, and all cash 
deposits will be refunded, and suspension of liquidation will be 
lifted. If the ITC determines that material injury, or the threat of 
material injury, exists, 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.

Administrative Protective Order

    This notice serves as the only reminder to parties subject to an 
administrative protective order (APO) 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 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 sanctionable 
violation.

Notification to Interested Parties

    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act, and 19 CFR 
351.210(c).

    Dated: May 8, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix

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

[[Page 42434]]

innersprings, foam, other resilient filling, or a combination of 
these materials. Mattresses also may 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 or how they are described 
(e.g., frameless futon mattress and tri-fold mattress).
    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 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 such 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 the People's Republic of China, 
South Africa, and the Socialist Republic of Vietnam. See Uncovered 
Innerspring Units from the People's Republic of China, South Africa, 
and Socialist Republic of Vietnam: Continuation of Antidumping Duty 
Orders, 84 FR 55285 (October 16, 2019).
    Also excluded from the scope of this investigation are bassinet 
pads with a nominal length of less than 39 inches, a nominal width 
of 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.
    Also excluded from the scope are the following hospital and 
patient care setting surfaces. Products that fall within the below 
categories and meet all the exclusion factors in the respective 
category qualify for such exclusion, regardless of whether they may 
be referenced as a mattress.
    Air Surfaces with all of the following characteristics: with the 
foot end comprised of either die-cut construction foam or air 
bladders to allow extension and retraction of the surface; enclosed 
in a fluid-resistant polyurethane-coated ticking with a zipper; with 
welded seams on the ticking, which are two or more layers of coated 
material thermally fused together with a permanent bond; with the 
core including air bladders, with or without foam inside; with a 
unique device identifier label for medical devices issued by an FDA-
accredited agency and listed in the FDA-administered Global Unique 
Device Identification Database.
    Stretcher Surfaces with all of the following characteristics: 
with a nominal thickness of 5 inches or less; with the foam core 
width tapered at one end; enclosed in a fluid-resistant 
polyurethane-coated ticking with a zipper; with welded seams on the 
ticking, which are two or more layers of coated material thermally 
fused together with a permanent bond; with the exterior of the 
ticking containing a welded flap to cover the ticking zipper; with 
loop velcro attached to the ticking to allow for the stretcher 
surface to be firmly affixed to the stretcher; with a unique device 
identifier label for medical devices issued by an FDA-accredited 
agency and listed in the FDA-administered Global Unique Device 
Identification Database.
    Birthing Bed Surfaces with all of the following characteristics: 
with a nominal thickness of 5 inches or less; with a foam core in 
two pieces that have either a V-shaped cutout or U-Shaped cutout; 
enclosed in a fluid-resistant polyurethane-coated ticking with a 
zipper; with welded seams on the ticking, which are two or more 
layers of coated material thermally fused together with a permanent 
bond; with attachment fasteners extending from the bottom of the 
surface comprised of snaps or plastic hook(s); with a unique device 
identifier label for medical devices issued by an FDA-accredited 
agency and listed in the FDA-administered Global Unique Device 
Identification Database.
    Foam Surfaces with all the following characteristics: with a 
nominal thickness of 6.5 inches or less; with a foam core that has 
articulation lines cut into the foam and/or die-cut construction in 
a portion of the foam to allow movement of the surface; enclosed in 
a fluid-resistant polyurethane-coated ticking with a zipper; with 
the ticking made of material meeting ASTM F1671B-07 requirements for 
porosity and ISO 10993 requirements for biocompatibility; with 
welded seams on the ticking, which are two or more layers of coated 
material thermally fused together with a permanent bond; with 
brackets or attachment knobs embedded in the surface core to allow 
the surface to be firmly affixed to the hospital bed frame; with a 
unique device identifier label for medical devices issued by an FDA-
accredited agency and listed in the FDA-administered Global Unique 
Device Identification Database, where the label includes the 
manufacturer's name and address as well as the product's name, date 
of manufacture, serial number, and Global Trade Identification 
Number (GTIN).
    The products subject to this investigation are currently 
classifiable under Harmonized Tariff Schedule of the United States 
(HTSUS) subheadings: 9404.21.0010, 9404.21.0013, 9404.21.0095, 
9404.29.1005, 9404.29.1013, 9404.29.1095, 9404.29.9085, 
9404.29.9087, and 9404.29.9095. Products subject to this 
investigation may also enter under HTSUS subheadings: 9401.41.0000, 
9401.49.0000, and 9401.99.9081. Although the HTSUS subheadings are 
provided for convenience and customs purposes, the written 
description of the merchandise subject to this investigation is 
dispositive.

[FR Doc. 2024-10567 Filed 5-14-24; 8:45 am]
BILLING CODE 3510-DS-P