[Federal Register Volume 89, Number 42 (Friday, March 1, 2024)]
[Notices]
[Pages 15126-15129]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-04320]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-469-826]


Mattresses From Spain: Preliminary Affirmative Determination of 
Sales at Less Than Fair Value, Postponement of Final Determination, and 
Extension of Provisional Measures

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that mattresses from Spain 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: Joy Zhang or Matthew Palmer, AD/CVD 
Operations, Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-1168 or (202) 482-1678, 
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 https://access.trade.gov. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination in the Less-Than-Fair-Value Investigation 
of Mattresses from Spain,'' 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 
Spain. 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\

[[Page 15127]]

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: Scope Comments 
Decision Memorandum for the Preliminary Determination,'' 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 has calculated export price and 
constructed export price in accordance with section 772 of the Act. 
Normal value is calculated in accordance with section 773 of the Act. 
Furthermore, pursuant to sections 776(a) and (b) of the Act, Commerce 
preliminarily relied upon facts otherwise available, with adverse 
inferences (AFA) for Interplasp Fabrica de Espuma de Poliuretano 
(Interplasp). For a full description of the methodology underlying the 
preliminary determination, see the Preliminary Decision Memorandum.

All-Others Rate

    Section 733(d)(1)(ii) of the Act provides that in the preliminary 
determination, Commerce shall determine an estimated all-others rate 
for all exporters and producers not individually examined. Pursuant to 
section 735(c)(5)(A) of the Act, 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 preliminarily assigned a rate based 
entirely on facts available to Interplasp. Therefore, the only rate 
that is not zero, de minimis, or based entirely on facts otherwise 
available is the rate calculated for Healthcare Foam, S.L. Unipersonal 
(HC Foam).\8\ Consequently, the rate calculated for HC Foam is also 
assigned as the rate for all other producers and exporters.
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    \8\ Commerce preliminarily determines that Healthcare Foam, S.L. 
Unipersonal and its affiliate Comotex Sistemas Del Descanso, S.L. 
Unipersonal are a single entity (HC Foam). For further discussion, 
see Preliminary Decision Memorandum; see also Memorandum, 
``Antidumping Investigation on Mattresses from Spain: Preliminary 
Affiliation and Collapsing Memorandum,'' dated concurrently with 
this notice.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
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Healthcare Foam, S.L. Unipersonal/Comotex Sistemas Del             10.74
 Descanso, S.L. Unipersonal.................................
Interplasp Fabrica de Espuma de Poliuretano.................    * 280.28
All Others..................................................       10.74
------------------------------------------------------------------------
* 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. 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 rate 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. These suspension of liquidation 
measures will remain in effect until further notice.

Disclosure

    Commerce intends to disclose the calculations performed in 
connection with this preliminary determination to interested parties 
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 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 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.\9\ 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.\10\ 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.\11\
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    \9\ See 19 CFR 351.309(c)(1)(i); see also 19 CFR 351.303 (for 
general filing requirements).
    \10\ 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).
    \11\ 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.\12\ 
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).\13\
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    \12\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \13\ 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

[[Page 15128]]

number of participants, 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.

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 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 petitioner. Section 351.210(e)(2) of Commerce's regulations 
requires that a request by exporters 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.
    On February 21, 2024, pursuant to 19 CFR 351.210(e), HC Foam 
requested that Commerce postpone the final determination and that 
provisional measures be extended to a period not to exceed six 
months.\14\ In accordance with section 735(a)(2)(A) of the Act and 19 
CFR 351.210(b)(2)(ii), because: (1) the preliminary determination is 
affirmative; (2) the requesting exporter accounts for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, Commerce is postponing the final 
determination and extending the provisional measures from a four-month 
period to a period not greater than six months. Accordingly, Commerce 
will make its final determination no later than 135 days after the date 
of publication of this preliminary determination.
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    \14\ See HC Foam's Letter, ``Request to Extend Final 
Determination,'' dated February 21, 2024.
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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 imports of mattresses from Spain 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 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

[[Page 15129]]

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. Affiliation and Single Entity Treatment
V. Use of Facts Available With Adverse Inferences
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation

[FR Doc. 2024-04320 Filed 2-29-24; 8:45 am]
BILLING CODE 3510-DS-P