As originally reported back in June, the U.S. Department of Commerce (DOC) made a preliminary determination that mattresses from China were being sold in the United States at less-than-fair value that was materially injuring, and/or threatening material injury to the domestic industry.
INITIAL DETERMINATION
CBP decided to retroactively suspend liquidation and impose AD duty cash deposit requirements for all (except two companies) as of March 6, 2019. For Healthcare and Zinus, suspension of liquidation and cash deposit requirements were to be in effect starting June 4, 2019. Since the determination, however, petitioners and impacted manufacturers submitted comments alleging significant ministerial errors in the preliminary determination.
A ministerial error is defined in 19 CFR 351.224(f) as “an error in addition, subtraction, or other arithmetic function, clerical error resulting from inaccurate copying, duplication, or the like, and any other similar type of unintentional error which the Secretary considers ministerial.”
The correction of which, on its own or in combination with other errors, would result in:
(1) A change of at least five absolute percentage points in, but not less than 25 percent of, the antidumping duty rate calculated in the original preliminary determination; or
(2) a difference between an antidumping duty rate of zero or de minimis and an antidumping duty rate of greater than de minimis or vice versa.
AMENDED DETERMINATION
Unfortunately for the subsequent petitioners, upon correction of the significant ministerial errors, the estimated weighted-average dumping margin increased for several named parties.
The following is a summary of amendments to the original preliminary determination:
- Healthcare Co., LTD – AD increase from 38.56% to 69.3%;
- Zinus (Xiamen) Inc. – Unchanged, error not significant;
- Increase of estimated weighted-average dumping margin to from 74.65% to 81.31% for each non-examined respondent that preliminarily received a separate rate; and
- Addition of separate listed rates for Foshan City Shunde Haozuan Furniture Co., Ltd, Jiashan Nova Co., Ltd, and Foshan Suilong Furniture Co. Ltd.
As a result, the duty rate by exporter/producer/supplier is:
- China-Wide Entity – 1,731.75%
- Separate Rate Companies – 81.31%
- Zinus (Xiamen) Inc. – 84.64%
- Healthcare Co., Ltd. – 69.3%
SCOPE OF RULING
The scope of this investigation covers all types of both youth and adult mattresses, as well as “innerspring mattresses,” “non-innerspring mattresses,” and “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 and are generally produced from foams (e.g., polyurethane, memory (viscoelastic), latex foam, gel-infused viscoelastic (gel foam), thermo-bonded polyester, polyethylene) or other resilient filling.
“Mattress” has been defined as 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. All adult and youth mattresses are included regardless of actual size description.
FURNITURE PARTS
Mattresses covered by the investigation may be imported independently, as part of furniture or furniture mechanisms such as:
- 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
- parts of a set with a mattress foundation, the base or support for a mattress such as box springs.
- can be static, foldable, or adjustable.
If imported as part of furniture with furniture mechanisms (or as part of a set-in combination with a mattress foundation), only the mattress is covered by the scope of this investigation.
EXCLUSIONS
Excluded from the scope of this investigation are “futon” mattresses, airbeds (inflatable), waterbeds (air- or liquid-filled bladders), mattress toppers which act as a removable bedding accessory that supplements a mattress by providing an additional layer, and any product covered by the existing antidumping duty order on uncovered innerspring mattress goods.
Futons are defined as a bi-fold frame made of wood, metal, or plastic material, or any combination, that functions as both seating furniture (such as a couch, love seat, or sofa) and a bed. The “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 acts as both the bed and seating surface for the futon.
CLASSIFICATION
The products subject to this investigation are currently properly classifiable under Harmonized Tariff Schedule as:
- 9404.21.0010,
- 9404.21.0013,
- 9404.29.1005,
- 9404.29.1013,
- 9404.29.9085,
- 9404.29.9087
- 9404.21.0095,
- 9404.29.1095,
- 9404.29.9095,
- 9401.40.0000, and
- 9401.90.5081.
These HTSUS subheadings are provided for convenience and Customs purposes only. All written description of the merchandise will be subject to the order.
AMENDED JULY FEDERAL REGISTER NOTICE
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