Notice2024-04323
Mattresses From Mexico: Preliminary Affirmative Determination of Sales at Less Than Fair Value
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
March 1, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that mattresses (mattresses) from Mexico 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. Interested parties are invited to comment on this preliminary determination.
Full Text
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<title>Federal Register, Volume 89 Issue 42 (Friday, March 1, 2024)</title>
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[Federal Register Volume 89, Number 42 (Friday, March 1, 2024)]
[Notices]
[Pages 15152-15155]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-04323]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-201-859]
Mattresses From Mexico: Preliminary Affirmative Determination of
Sales at Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that mattresses (mattresses) from Mexico 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. Interested parties are invited to comment on this preliminary
determination.
DATES: Applicable March 1, 2024.
FOR FURTHER INFORMATION CONTACT: Dakota Potts or Benjamin Blythe, 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) 482-0223 or (202)
482-3457, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce
published the notice of initiation of this investigation on August 23,
2023.\1\ On October 23, 2023, Commerce postponed the preliminary
determination of this investigation until February 23, 2024.\2\
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\1\ See Mattresses from Bosnia and Herzegovina, Bulgaria, Burma,
India, Italy, Kosovo, Mexico, the Philippines, Poland, Slovenia,
Spain, and Taiwan: Initiation of Less-Than-Fair-Value
Investigations, 88 FR 57433 (August 23, 2023) (Initiation Notice).
\2\ See Mattresses From Bosnia and Herzegovina, Bulgaria, Burma,
India, Italy, Kosovo, Mexico, the Philippines, Poland, Slovenia,
Spain, and Taiwan: Postponement of Preliminary Determinations in the
Less-Than-Fair-Value Investigations, 88 FR 72737 (October 23, 2023).
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For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\3\ A list of topics included in the Preliminary Decision
Memorandum is included as Appendix II to this notice. 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 <a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete
version of the Preliminary Decision Memorandum can be accessed directly
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Affirmative Determination of Sales at Less Than Fair Value in the
Investigation of Mattresses from Mexico,'' dated concurrently with,
and hereby adopted by, this notice (Preliminary Decision
Memorandum).
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Scope of the Investigation
The products covered by this investigation are mattresses from
Mexico. For a complete description of the scope of this investigation,
see Appendix I.
Scope Comments
In accordance with the Preamble,\4\ we set aside a period of time
for parties to raise issues regarding product coverage (i.e.,
scope).\5\ Certain interested parties commented on the scope of the
investigation as it appeared in the Initiation Notice. For a summary of
the product coverage comments and rebuttal responses submitted to the
record for this preliminary determination and accompanying discussion
and analysis of all comments timely received, see the Preliminary Scope
Decision Memorandum.\6\ Commerce is not preliminarily modifying the
scope language as it appeared in the Initiation Notice. See the scope
in Appendix I to this notice.
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\4\ See Antidumping Duties; Countervailing Duties; Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice, 88 FR at 57434.
\6\ 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 concurrently with this preliminary
determination (Preliminary Scope Decision Memorandum).
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In the Preliminary Scope Decision Memorandum, Commerce established
the deadline for parties to submit scope case and rebuttal briefs.\7\
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\7\ Id.
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Methodology
Commerce is conducting this investigation in accordance with
section 731 of the Act. Commerce calculated export prices in accordance
with sections 772(a) and (b) of the Act. Normal value is calculated in
accordance with section 773 of the Act. For a full description of the
methodology underlying the preliminary determination, see the
Preliminary Decision Memorandum.
All-Others Rate
Sections 733(d)(1)(A)(ii) and 735(c)(5)(A) of the Act provide that
in the preliminary determination Commerce shall determine an estimated
all-others rate for all exporters and producers not individually
examined. This rate shall be an amount equal to the weighted average of
the estimated weighted-average dumping margins established for
exporters and producers individually investigated, excluding any zero
and de minimis margins, and any margins determined entirely under
section 776 of the Act.
In this investigation, Commerce calculated an estimated weighted-
average dumping margin above de minimis for one mandatory respondent,
Ureblock S.A. de C.V. (Ureblock), and applied the preliminary estimated
weighted-average dumping margin for one mandatory respondent and one
voluntary respondent, GAIM Regiomontana SA De CV (GAIM) and Wendy
Colchones S.A. de C.V. (Wendy), respectively, under section 776 of the
Act. Therefore, consistent with our practice,\8\ for the all-others
rate in this investigation, we preliminarily assigned the above-de
minimis dumping margin calculated for Ureblock as the all-others rate.
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\8\ See Paper File Folders from India: Final Affirmative
Determination of Sales at Less Than Fair Value, 88 FR 69138 (October
5, 2023).
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Preliminary Determination
Commerce preliminarily determines that the following estimated
weighted-average dumping margins exist:
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Weighted-
average
Exporter/producer dumping margin
(percent)
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Ureblock S.A. de C.V./Espumas de Oriente S.A. de C.V.\9\ 41.29
GAIM Regiomontana SA De CV.............................. * 61.97
Wendy Colchones S.A. de C.V............................. * 61.97
All Others.............................................. 41.29
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* Adverse Facts Available (AFA)
Suspension of Liquidation
In accordance with section 733(d)(2) of the Act, Commerce will
direct U.S. Customs and Border Protection (CBP) to suspend liquidation
of entries of subject merchandise, as described in Appendix I, entered,
or withdrawn from warehouse, for consumption on or after the date of
publication of this notice in the Federal Register.
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\9\ Commerce preliminarily determines that Ureblock and Espumas
de Oriente S.A. de C.V. (Espumas) are affiliated pursuant to section
771(33)(A) of the Act, and further that these companies should be
treated as a single entity pursuant to 19 CFR 351.401(f). For
further discussion, see Preliminary Decision Memorandum; see also
Memorandum, ``Preliminary Determination Affiliation and Single
Entity Memorandum for Ureblock S.A. de C.V. and Espumas de Oriente,
S.A. de C.V.,'' dated concurrently with this notice.
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Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR
351.205(d), 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 rates for the respondents
listed above will be equal to the company-specific estimated weighted-
average dumping margins determined in this preliminary 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.
Disclosure
Commerce intends to disclose its calculations and analysis
performed to interested parties in this preliminary 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 in the Federal Register, in accordance with 19 CFR 351.224(b).
Verification
As provided in section 782(i)(1) of the Act, Commerce intends to
verify the information relied upon in making its final determination.
Public Comment
Case briefs or other written comments on non-scope issues may be
submitted to the Assistant Secretary for Enforcement and Compliance no
later than seven days after the date on which the last verification
report is issued in this investigation.\10\ 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.\11\ Interested parties who
submit case briefs or rebuttal briefs in this proceeding must submit:
(1) a table of contents listing each issue; and (2) a table of
authorities.\12\
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\10\ See 19 CFR 351.309(c)(1)(i); see also 19 CFR 351.303 (for
general filing requirements).
\11\ See 19 CFR 351.309(d); see also Administrative Protective
Order, Service, and Other Procedures in Antidumping and
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29,
2023) (APO and Service Final Rule).
\12\ See 19 351.309(c)(2) and (d)(2).
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their brief that should be limited to five pages
total, including footnotes. In this investigation, we instead request
that interested parties provide at the beginning of their briefs a
public, executive summary for each issue raised in their briefs.\13\
Further, we request that interested parties limit their executive
summary of each issue to no more than 450 words, not including
citations. We intend to use the executive summaries as the basis of the
comment summaries included in the issues and decision memorandum that
will accompany the final determination in this investigation. We
request that interested parties include footnotes for relevant
citations in the executive summary of each issue. Note that Commerce
has amended certain of its requirements pertaining to the service of
documents in 19 CFR 351.303(f).\14\
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\13\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\14\ See APO and Service Final Rule.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce, within 30 days
after the date of publication of this notice. Requests should contain
the party's name, address, and telephone number, the
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number of participants, whether any participant is a foreign national,
and a list of the issues to be discussed. If a request for a hearing is
made, Commerce will inform parties of the time and date for the
hearing. Parties should confirm by telephone the date, time, and
location of the hearing two days before the scheduled date.
Postponement of Final Determination and Extension of Provisional
Measures
Section 735(a)(2) of the Act provides that a final determination
may be postponed until not later than 135 days after the date of the
publication of the preliminary determination in the Federal Register
if, in the event of an affirmative preliminary determination, a request
for such postponement is made by exporters who account for a
significant proportion of exports of the subject merchandise, or in the
event of a negative preliminary determination, a request for such
postponement is made by the petitioners.\15\ Section 351.210(e)(2) of
Commerce's regulations requires that a request by an exporter for
postponement of the final determination be accompanied by a request for
extension of provisional measures from a four-month period to a period
not more than six months in duration.\16\
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\15\ The petitioners are Brooklyn Bedding LLC; Carpenter Co.;
Corsicana Mattress Company; Future Foam, Inc.; FXI, Inc.; Kolcraft
Enterprises, Inc.; Leggett & Platt, Incorporated; Serta Simmons
Bedding, LLC; Southerland, Inc.; Tempur Sealy International; the
International Brotherhood of Teamsters; and the United Steel, Paper
and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and
Service Workers International Union, AFL-CIO.
\16\ See 19 CFR 351.210(e)(2).
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Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that
Commerce will issue the final determination within 75 days after the
date of its preliminary determination. Accordingly, Commerce will make
its final determination no later than 75 days after the signature date
of this preliminary determination. On February 6, 2024, pursuant to 19
CFR 351.210(e), the petitioners requested that Commerce postpone the
final determination in accordance with 19 CFR 351.210(b)(2)(i) if the
preliminary determination in the investigation is negative. However,
since the preliminary determination is affirmative, the petitioners'
request for postponement is not applicable.
U.S. International Trade Commission Notification
In accordance with section 733(f) of the Act, Commerce will notify
the U.S. International Trade Commission (ITC) of its preliminary
determination. If the final determination is affirmative, the ITC will
determine before the later of 120 days after the date of this
preliminary determination or 45 days after the final determination
whether these imports of mattresses from Mexico are materially
injuring, or threaten material injury to, the U.S. industry.
Notification to Interested Parties
This preliminary determination is issued and published in
accordance with sections 733(f) and 777(i)(1) of the Act, and 19 CFR
351.205(c).
Dated: February 23, 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 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 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.
The products subject to this investigation are currently
classifiable under Harmonized
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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.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Use of Facts Available With Adverse Inferences
V. Affiliation and Single Entity Treatment
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation
[FR Doc. 2024-04323 Filed 2-29-24; 8:45 am]
BILLING CODE 3510-DS-P
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