2022-23137. Uncovered Innerspring Units From the People's Republic of China: Preliminary Results of Antidumping Duty Administrative Review; 2021-2022

AGENCY:

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

SUMMARY:

The U.S. Department of Commerce (Commerce) is conducting an administrative review of the antidumping duty order on uncovered innerspring units (innersprings) from the People's Republic of China (China). The period of review (POR) is February 1, 2021, through January 31, 2022. Commerce preliminarily determines that the two companies under review, Bomei Tex Ltd. (Bomei) and Saffron Living Co., Ltd. (Saffron Living), are part of the China-wide entity. We invite interested parties to comment on these preliminary results.

DATES:

Applicable October 25, 2022.

FOR FURTHER INFORMATION CONTACT:

Christopher Maciuba, AD/CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: [phone].

SUPPLEMENTARY INFORMATION:

Background

On February 8, 2022, Commerce published in the Federal Register a notice of opportunity to request an administrative review of the antidumping duty order on innersprings from China for the POR.^[1] On April 12, 2022, in response to a timely request from Leggett & Platt, Incorporated (the petitioner),^[2] and in accordance with section 751(a) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.221(c)(1)(i), we initiated an administrative review of the Order with respect to Bomei and Saffron Living.^[3]

On April 21, 2022, we provided U.S. Customs and Border Protection (CBP) entry data under administrative protective order (APO) to all interested parties having APO access and invited parties to submit comments by April 28, 2022.^[4] No party filed comments. The deadline for interested parties to submit a no-shipment certification, separate rate application (SRA), or separate rate certification (SRC) was May 12, 2022.^[5] No party submitted a no-shipment certification, SRA, or SRC.

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. All uncovered innerspring units are included in the scope regardless of width and length. Included within this definition are innersprings typically ranging from 30.5 inches to 76 inches in width and 68 inches to 84 inches in length. Innersprings for crib mattresses typically range from 25 inches to 27 inches in width and 50 inches to 52 inches in length.

Uncovered innerspring units are suitable for use as the innerspring component in the manufacture of innerspring mattresses, including mattresses that incorporate a foam encasement around the innerspring.

Pocketed and non-pocketed innerspring units are included in this definition. Non-pocketed innersprings are typically joined together with helical wire and border rods. Non-pocketed innersprings are included in this definition regardless of whether they have border rods attached to the perimeter of the innerspring. Pocketed innersprings are individual coils covered by a “pocket” or “sock” of a nonwoven synthetic material or woven material and then glued together in a linear fashion.

Uncovered innersprings are classified under subheading 9404.29.9010 and have 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). The HTSUS subheadings are provided for convenience and customs purposes only; the written description of the scope of the Order is dispositive.

Methodology

Commerce is conducting this administrative review in accordance with section 751(a)(1)(B) of the Act and 19 CFR 351.213.

Preliminary Results of Review

The companies subject to this review, i.e., Bomei and Saffron Living, did not file no-shipment certifications, SRAs, or SRCs. Thus, Commerce preliminarily determines that these companies have not demonstrated their eligibility for separate rate status. As such, Commerce also preliminarily determines that the companies are part of the China-wide entity.

In addition, Commerce no longer considers the non-market economy (NME) entity as an exporter conditionally subject to an antidumping duty administrative review.^[6] Accordingly, the NME entity will not be under review unless Commerce specifically receives a request for, or self-initiates, a review of the NME entity.^[7] In this administrative review, no party requested a review of the China-wide entity and we have not self-initiated a review of the China-wide entity. Because no review of the China-wide entity is being conducted, the China-wide entity's entries are not subject to the review and the rate applicable to the NME entity is not subject to change as a result of this review. The China-wide entity rate is 234.51 percent.^[8]

Public Comment

Interested parties are invited to comment on the preliminary results and may submit case briefs, filed electronically via Enforcement and Compliance's Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), within 30 days after the date of publication of these preliminary results of review. ACCESS is available to registered users at https://access.trade.gov. Rebuttal briefs, limited to issues raised in the case briefs, must be filed within seven days after the time limit for filing case briefs.^[9] Parties who submit case or rebuttal briefs in this proceeding are requested to submit with each argument a statement of the issue, a brief summary of the argument, and a table of authorities.^[10] Executive summaries should be limited to five pages total, including footnotes. Note that Commerce has temporarily modified certain portions of its requirements for serving documents containing business proprietary information, until further notice.^[11]

Interested parties who wish to request a hearing must submit a written request to Commerce within 30 days of the date of publication of this notice.^[12] Requests should contain: (1) the party's name, address, and telephone number; (2) the number of participants; and (3) a list of issues to be discussed. 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, parties will be notified of the time and date for the hearing to be held.^[13]

Commerce 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 , unless extended, pursuant to section 751(a)(3)(A) of the Act.

Assessment Rates

Upon issuance of the final results of this review, Commerce will determine, and CBP will assess, antidumping duties on all appropriate entries covered by this review.^[14] If these preliminary results are unchanged for the final results of review, we intend to instruct CBP to liquidate entries of subject merchandise exported by Bomei and Saffron Living at the China-wide entity rate of 234.51 percent.

Commerce intends to issue assessment instructions to CBP no earlier than 35 days after the date of publication of the final results of this review in the Federal Register . If a timely summons is filed at the U.S. Court of International Trade, the assessment instructions will direct CBP not to liquidate relevant entries until the time for parties to file a request for a statutory injunction has expired ( i.e., within 90 days of publication).

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 entered, or withdrawn from warehouse, for consumption on or after the publication date of the final results of review, as provided for by section 751(a)(2)(C) of the Act: (1) for previously investigated or reviewed Chinese and non-Chinese exporters who are not under review in this segment of the proceeding but who have separate rates, the cash deposit rate will continue to be the exporter-specific rate published for the most recent period; (2) for all Chinese exporters of subject merchandise that have not been found to be entitled to a separate rate (including Bomei and Saffron Living), the cash deposit rate will be the China-wide rate of 234.51 percent; and (3) for all non-Chinese exporters of subject merchandise which have not received their own rate, the cash deposit rate will be the rate applicable to Chinese exporter(s) that supplied that non-Chinese 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 Commerce's presumption that reimbursement of antidumping duties occurred and the subsequent assessment of double antidumping duties.

Notification to Interested Parties

These preliminary results of review are issued and published in accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.213(h) and 351.221(b)(4).

Dated: October 18, 2022.

Lisa W. Wang,

Assistant Secretary, for Enforcement and Compliance.

Footnotes

1.   See Antidumping or Countervailing Duty Order, Finding, or Suspended Investigation; Opportunity to Request Administrative Review and Join Annual Inquiry Service List,87 FR 7112 (February 8, 2022); see also Uncovered Innerspring Units from the People's Republic of China: Notice of Antidumping Duty Order,74 FR 7661 (February 19, 2009) ( Order).

2.   See Petitioner's Letter, “Request for 2021-2022 Antidumping Duty Administrative Review,” dated February 28, 2022.

3.   See Initiation of Antidumping and Countervailing Duty Administrative Reviews,87 FR 21619 (April 12, 2022). ( Initiation Notice).

4.   See Memorandum, “U.S. Customs and Border Protection Data Query,” dated April 21, 2022.

5.   See Initiation Notice, 87 FR at 21619-20 (“With respect to antidumping administrative reviews, if a producer or exporter named in this notice of initiation had no exports, sales, or entries during the period of review (POR), it must notify Commerce within 30 days of publication of this notice in the Federal Register . . . . Separate Rate Certifications . . . {and} . . . Separate Rate Applications are due to Commerce no later than 30 calendar days after publication of this Federal Register notice.”).

6.   See Antidumping Proceedings: Announcement of Change in Department Practice for Respondent Selection in Antidumping Duty Proceedings and Conditional Review of the Non-Market Economy Entity in NME Antidumping Duty Proceedings,78 FR 65963, 65970 (November 4, 2013).

7.  In accordance with 19 CFR 351.213(b)(1), parties should specify that they are requesting a review of entries from exporters comprising the entity, and to the extent possible, include the names of such exporters in their requests.

8.   See Order, 74 FR at 7662.

9.   See19 CFR 351.309(d)(1) and (2); see also Temporary Rule Modifying AD/CVD Service Requirements Due to COVID-19; Extension of Effective Period,85 FR 41363 (July 10, 2020) ( Temporary Rule).

10.   See19 CFR 351.309(c) and (d); see also19 CFR 351.303 (for general filing requirements).

11.   See Temporary Rule.

12.   See19 CFR 351.310(c).

13.   See19 CFR 310(d).

14.    See19 CFR 351.212(b)(1).