Wooden Bedroom Furniture From the People's Republic of China: Preliminary Rescission of Antidumping Duty New Shipper Review, 1456-1458 [2012-238]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 77, Number 6 (Tuesday, January 10, 2012)]
[Notices]
[Pages 1456-1458]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-238]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-890]


Wooden Bedroom Furniture From the People's Republic of China: 
Preliminary Rescission of Antidumping Duty New Shipper Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

DATES: Effective Date: January 10, 2012.

SUMMARY: The Department of Commerce (the ``Department'') is currently 
conducting a new shipper review (``NSR'') of the antidumping duty order 
on wooden bedroom furniture (``WBF'') from the People's Republic of 
China (``PRC'') for the period of January 1, 2011, through June 30, 
2011. As discussed below, we preliminarily determine that the producer 
and exporter Marvin Furniture (Shanghai) Co., Ltd. (``Marvin 
Furniture'') did not satisfy the regulatory requirements to request an 
NSR; therefore, we are preliminarily rescinding this NSR. We invite 
interested parties to comment on these preliminary results. See 
``Comments'' section below.

FOR FURTHER INFORMATION CONTACT: Patrick O'Connor or Rebecca Pandolph, 
AD/CVD Operations, Office 4, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
0989 or (202) 482-3627 respectively.

SUPPLEMENTARY INFORMATION:

Background

    The antidumping duty order on WBF from the PRC was published on 
January 4, 2005.\1\ On August 1, 2011, the Department received a 
request for an NSR from Marvin Furniture. On August 11, 2011, the 
Department issued a supplemental questionnaire to Marvin Furniture 
requesting further information regarding its sales and shipment for 
which Marvin Furniture requested the NSR. On August 19, 2011, Marvin 
Furniture submitted its response to the Department's supplemental 
questionnaire and the Department placed on the record of this review 
U.S. Customs and Border Protection (``CBP'') data for entries of WBF 
imported from the PRC. On August 19, 2011, the Department also sent 
Marvin Furniture a supplemental questionnaire regarding the results of 
the CBP data query. On August 24, 2011, Marvin Furniture provided 
comments on the CBP data. On August 25, 2011, the Department initiated 
this NSR. See Wooden Bedroom Furniture From the People's Republic of 
China: Initiation of Antidumping Duty New Shipper Review, 76 FR 54208 
(August 31, 2011) (``Initiation Notice'').
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    \1\ See Notice of Amended Final Determination of Sales at Less 
Than Fair Value and Antidumping Duty Order: Wooden Bedroom Furniture 
From the People's Republic of China, 70 FR 329 (January 4, 2005).
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    On August 26, 2011 and August 31, 2011, Marvin Furniture responded 
to the Department's August 19, 2011 supplemental questionnaire 
regarding the results of the CBP query. On September 7, 2011, the 
Department issued a supplemental questionnaire to Marvin Furniture 
asking it to provide documentation for the responses Marvin Furniture 
provided in its submissions dated August 26, 2011, and August 31, 2011. 
On September 14, 2011, Marvin Furniture responded to the Department's 
September 7, 2011 supplemental questionnaire and submitted copies of 
its entry documents.
    On September 19, 2011, the Department sent Marvin Furniture another 
supplemental questionnaire regarding certain entries. On September 27, 
2011, Marvin Furniture responded to the Department's September 19, 2011 
supplemental questionnaire. On September 30, 2011, the American 
Furniture Manufacturers Committee for Legal Trade and Vaughan-Bassett 
Furniture Company, Inc. (collectively ``Petitioners'') submitted 
comments on Marvin Furniture's eligibility for its NSR. On October 14, 
2011, Marvin Furniture submitted rebuttal comments to Petitioners' 
statements.
    On August 30, 2011, the Department issued the antidumping 
questionnaire to Marvin Furniture. On October 24, 2011, and on November 
2, 2011, the Department issued supplemental questionnaires to Marvin 
Furniture regarding its responses to the antidumping questionnaire. 
During the period September through November 2011, Marvin Furniture 
responded to the Department's antidumping questionnaire and related 
supplemental questionnaires. On December 9, 2011, the Department placed 
certain CBP Entry Documents on the record.

Period of Review

    Pursuant to 19 CFR 351.214(g), the period of review (``POR'') for 
this NSR is the semi-annual period of January 1, 2011 through June 30, 
2011.

Scope of the Order

    The product covered by the order is wooden bedroom furniture. 
Wooden bedroom furniture is generally, but not exclusively, designed, 
manufactured, and offered for sale in coordinated groups, or bedrooms, 
in which all of the individual pieces are of approximately the same 
style and approximately the same material and/or finish. The subject 
merchandise is made substantially of wood products, including both 
solid wood and also engineered wood products made from wood particles, 
fibers, or other wooden materials such as plywood, strand board, 
particle board, and fiberboard, with or without wood veneers, wood 
overlays, or laminates, with or without non-wood components or trim 
such as metal, marble, leather, glass, plastic, or other resins, and 
whether or not assembled, completed, or finished.
    The subject merchandise includes the following items: (1) Wooden 
beds such as loft beds, bunk beds, and other beds; (2) wooden 
headboards for beds (whether stand-alone or attached to side rails), 
wooden footboards for beds, wooden side rails for beds, and wooden 
canopies for beds; (3) night tables, night stands, dressers, commodes, 
bureaus, mule chests, gentlemen's chests, bachelor's chests, lingerie 
chests, wardrobes, vanities, chessers, chifforobes, and wardrobe-type 
cabinets; (4) dressers with framed glass mirrors that are attached to, 
incorporated in, sit on, or hang over the dresser; (5) chests-on-
chests,\2\ highboys,\3\ lowboys,\4\ chests of drawers,\5\ chests,\6\ 
door chests,\7\

[[Page 1457]]

chiffoniers,\8\ hutches,\9\ and armoires; \10\ (6) desks, computer 
stands, filing cabinets, book cases, or writing tables that are 
attached to or incorporated in the subject merchandise; and (7) other 
bedroom furniture consistent with the above list.
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    \2\ A chest-on-chest is typically a tall chest-of-drawers in two 
or more sections (or appearing to be in two or more sections), with 
one or two sections mounted (or appearing to be mounted) on a 
slightly larger chest; also known as a tallboy.
    \3\ A highboy is typically a tall chest of drawers usually 
composed of a base and a top section with drawers, and supported on 
four legs or a small chest (often 15 inches or more in height).
    \4\ A lowboy is typically a short chest of drawers, not more 
than four feet high, normally set on short legs.
    \5\ A chest of drawers is typically a case containing drawers 
for storing clothing.
    \6\ A chest is typically a case piece taller than it is wide 
featuring a series of drawers and with or without one or more doors 
for storing clothing. The piece can either include drawers or be 
designed as a large box incorporating a lid.
    \7\ A door chest is typically a chest with hinged doors to store 
clothing, whether or not containing drawers. The piece may also 
include shelves for televisions and other entertainment electronics.
    \8\ A chiffonier is typically a tall and narrow chest of drawers 
normally used for storing undergarments and lingerie, often with 
mirror(s) attached.
    \9\ A hutch is typically an open case of furniture with shelves 
that typically sits on another piece of furniture and provides 
storage for clothes.
    \10\ An armoire is typically a tall cabinet or wardrobe 
(typically 50 inches or taller), with doors, and with one or more 
drawers (either exterior below or above the doors or interior behind 
the doors), shelves, and/or garment rods or other apparatus for 
storing clothes. Bedroom armoires may also be used to hold 
television receivers and/or other audio-visual entertainment 
systems.
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    The scope of the order excludes the following items: (1) Seats, 
chairs, benches, couches, sofas, sofa beds, stools, and other seating 
furniture; (2) mattresses, mattress supports (including box springs), 
infant cribs, water beds, and futon frames; (3) office furniture, such 
as desks, stand-up desks, computer cabinets, filing cabinets, 
credenzas, and bookcases; (4) dining room or kitchen furniture such as 
dining tables, chairs, servers, sideboards, buffets, corner cabinets, 
china cabinets, and china hutches; (5) other non-bedroom furniture, 
such as television cabinets, cocktail tables, end tables, occasional 
tables, wall systems, book cases, and entertainment systems; (6) 
bedroom furniture made primarily of wicker, cane, osier, bamboo or 
rattan; (7) side rails for beds made of metal if sold separately from 
the headboard and footboard; (8) bedroom furniture in which bentwood 
parts predominate; \11\ (9) jewelry armories; \12\ (10) cheval mirrors; 
\13\ (11) certain metal parts; \14\ (12) mirrors that do not attach to, 
incorporate in, sit on, or hang over a dresser if they are not designed 
and marketed to be sold in conjunction with a dresser as part of a 
dresser-mirror set; (13) upholstered beds \15\ and (14) toy boxes.\16\
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    \11\ As used herein, bentwood means solid wood made pliable. 
Bentwood is wood that is brought to a curved shape by bending it 
while made pliable with moist heat or other agency and then set by 
cooling or drying. See CBP's Headquarters Ruling Letter 043859, 
dated May 17, 1976.
    \12\ Any armoire, cabinet or other accent item for the purpose 
of storing jewelry, not to exceed 24 inches in width, 18 inches in 
depth, and 49 inches in height, including a minimum of 5 lined 
drawers lined with felt or felt-like material, at least one side 
door (whether or not the door is lined with felt or felt-like 
material), with necklace hangers, and a flip-top lid with inset 
mirror. See Issues and Decision Memorandum from Laurel LaCivita to 
Laurie Parkhill, Office Director, concerning ``Jewelry Armoires and 
Cheval Mirrors in the Antidumping Duty Investigation of Wooden 
Bedroom Furniture from the People's Republic of China,'' dated 
August 31, 2004. See also Wooden Bedroom Furniture From the People's 
Republic of China: Final Changed Circumstances Review, and 
Determination To Revoke Order in Part, 71 FR 38621 (July 7, 2006).
    \13\ Cheval mirrors are any framed, tiltable mirror with a 
height in excess of 50 inches that is mounted on a floor-standing, 
hinged base. Additionally, the scope of the order excludes 
combination cheval mirror/jewelry cabinets. The excluded merchandise 
is an integrated piece consisting of a cheval mirror, i.e., a framed 
tiltable mirror with a height in excess of 50 inches, mounted on a 
floor-standing, hinged base, the cheval mirror serving as a door to 
a cabinet back that is integral to the structure of the mirror and 
which constitutes a jewelry cabinet line with fabric, having 
necklace and bracelet hooks, mountings for rings and shelves, with 
or without a working lock and key to secure the contents of the 
jewelry cabinet back to the cheval mirror, and no drawers anywhere 
on the integrated piece. The fully assembled piece must be at least 
50 inches in height, 14.5 inches in width, and 3 inches in depth. 
See Wooden Bedroom Furniture From the People's Republic of China: 
Final Changed Circumstances Review and Determination To Revoke Order 
in Part, 72 FR 948 (January 9, 2007).
    \14\ Metal furniture parts and unfinished furniture parts made 
of wood products (as defined above) that are not otherwise 
specifically named in this scope (i.e., wooden headboards for beds, 
wooden footboards for beds, wooden side rails for beds, and wooden 
canopies for beds) and that do not possess the essential character 
of wooden bedroom furniture in an unassembled, incomplete, or 
unfinished form. Such parts are usually classified under HTSUS 
subheadings 9403.90.7005, 9403.90.7010, or 9403.90.7080.
    \15\ Upholstered beds that are completely upholstered, i.e., 
containing filling material and completely covered in sewn genuine 
leather, synthetic leather, or natural or synthetic decorative 
fabric. To be excluded, the entire bed (headboards, footboards, and 
side rails) must be upholstered except for bed feet, which may be of 
wood, metal, or any other material and which are no more than nine 
inches in height from the floor. See Wooden Bedroom Furniture from 
the People's Republic of China: Final Results of Changed 
Circumstances Review and Determination to Revoke Order in Part, 72 
FR 7013 (February 14, 2007).
    \16\ To be excluded the toy box must: (1) Be wider than it is 
tall; (2) have dimensions within 16 inches to 27 inches in height, 
15 inches to 18 inches in depth, and 21 inches to 30 inches in 
width; (3) have a hinged lid that encompasses the entire top of the 
box; (4) not incorporate any doors or drawers; (5) have slow-closing 
safety hinges; (6) have air vents; (7) have no locking mechanism; 
and (8) comply with American Society for Testing and Materials 
(ASTM) standard F963-03. Toy boxes are boxes generally designed for 
the purpose of storing children's items such as toys, books, and 
playthings. See Wooden Bedroom Furniture from the People's Republic 
of China: Final Results of Changed Circumstances Review and 
Determination to Revoke Order in Part, 74 FR 8506 (February 25, 
2009). Further, as determined in the scope ruling memorandum 
``Wooden Bedroom Furniture from the People's Republic of China: 
Scope Ruling on a White Toy Box,'' dated July 6, 2009, the 
dimensional ranges used to identify the toy boxes that are excluded 
from the wooden bedroom furniture order apply to the box itself 
rather than the lid.
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    Imports of subject merchandise are classified under subheadings 
9403.50.9042 and 9403.50.9045 of the U.S. Harmonized Tariff Schedule 
(``HTSUS'') as ``wooden * * * beds'' and under subheading 9403.50.9080 
of the HTSUS as ``other * * * wooden furniture of a kind used in the 
bedroom.'' In addition, wooden headboards for beds, wooden footboards 
for beds, wooden side rails for beds, and wooden canopies for beds may 
also be entered under subheading 9403.50.9042 or 9403.50.9045 of the 
HTSUS as ``parts of wood.'' Subject merchandise may also be entered 
under subheadings 9403.50.9041, 9403.60.8081, 9403.20.0018, or 
9403.90.8041.\17\ Further, framed glass mirrors may be entered under 
subheading 7009.92.1000 or 7009.92.5000 of the HTSUS as ``glass mirrors 
* * * framed.'' The order covers all wooden bedroom furniture meeting 
the above description, regardless of tariff classification. Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, our written description of the scope of this proceeding is 
dispositive.
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    \17\ On October 27, 2011, CBP provided notification that HTSUS 
number 9403.90.8041 should be added to the scope of the order, as 
certain articles under this number may fall within the scope. See 
Memorandum from Patrick O'Connor to the File, ``Request for Customs 
and Border Protection to Update AD/CVD Module for Wooden Bedroom 
Furniture from the People's Republic of China,'' dated January 4, 
2012.
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Preliminary Rescission of the Antidumping New Shipper Review of Marvin 
Furniture

    The NSR provisions of the Department's regulations require that the 
entity making that request for an NSR must document and certify, among 
other things: (1) The date on which subject merchandise of the exporter 
or producer making the request was first entered or withdrawn from 
warehouse, for consumption, or, if it cannot establish the date of 
first entry, the date on which the exporter or producer first shipped 
the merchandise for export to the United States; (2) the volume of that 
and subsequent shipments; and (3) the date of the first sale to an 
unaffiliated customer in the United States. See 19 CFR 
351.214(b)(2)(iv). If these provisions, among others, are met, the 
Department will initiate an NSR to establish an individual weighted-
average dumping margin for the new shipper. See generally 19 CFR 
351.214(b)(2).
    In its request for an NSR, Marvin Furniture provided certified 
statements that its first entry of subject merchandise into the United 
States entered on June 20, 2011, and that it had multiple sales, which 
took place on June 27, 2011, and June 28, 2011. See Letter

[[Page 1458]]

from Marvin Furniture to the Secretary of Commerce ``Request for 
Initiation of Antidumping New Shipper Review,'' dated July 30, 2011. 
Based on this information, the Department initiated the NSR for Marvin 
Furniture. See Initiation Notice.
    However, based on an analysis of CBP data, the CBP Entry Documents, 
and Marvin Furniture's supplemental questionnaire responses, the 
Department has determined that Marvin Furniture had additional entries 
that were not reported to the Department in its request for an NSR 
under 19 CFR 351.214(b)(2)(iv). As noted, in order to qualify for an 
NSR under 19 CFR 351.214, a company must certify and document among 
other things, the date of its first entry and the volume of that and 
subsequent shipments to the United States. Id. Because Marvin Furniture 
had additional entries of subject merchandise to the United States 
prior to the POR that it did not report to the Department in its 
request for an NSR, the Department has preliminarily found that Marvin 
Furniture's request for an NSR did not satisfy the regulatory 
requirements for requesting an NSR, and the Department thus 
preliminarily determines that it is appropriate to rescind the NSR for 
Marvin Furniture. As much of the factual information used in our 
analysis for the rescission of Marvin Furniture's NSR involves business 
proprietary information, a full discussion of the basis for our 
preliminary results is set forth in the Memorandum to Abdelali 
Elouaradia, AD/CVD Operations, Office 4, ``Preliminary Analysis of 
Marvin Furniture (Shanghai) Co., Ltd.'s Previous Entries in the 
Antidumping Duty New Shipper Review of Wooden Bedroom Furniture from 
the People's Republic of China,'' dated concurrently with this notice.

Assessment Rates

    If the Department proceeds to a final rescission of Marvin 
Furniture's NSR, the assessment rate to which Marvin Furniture's 
shipments will be subject will not be affected by this review. The 
assessment rate, however, could change if the Department conducts an 
administrative review of the antidumping duty order on WBF from the PRC 
covering the period of January 1, 2011, through December 31, 2011. 
Thus, if we proceed to a final rescission, we will instruct CBP to 
continue to suspend entries during the period January 1, 2011, through 
December 31, 2011, of subject merchandise exported by Marvin Furniture 
until CBP receives instructions relating to an administrative review of 
the WBF order covering the period January 1, 2011, through December 31, 
2011.

Cash Deposit Requirements

    If the Department proceeds to a final rescission, effective upon 
publication of the final rescission of the NSR, we will instruct CBP to 
discontinue the option of posting a bond or security in lieu of a cash 
deposit for entries of subject merchandise exported by Marvin 
Furniture. Also, if we proceed to a final rescission of the NSR, the 
cash deposit rate will continue to be the PRC-wide rate for entries 
exported by Marvin Furniture.

Disclosure

    We will disclose our analysis memorandum to the parties to this 
proceeding not later than five days after the date of public 
announcement, or, if there is no public announcement, within five days 
of the date of publication of this notice. See 19 CFR 351.224(b).

Comments

    Interested parties are invited to comment on these preliminary 
results and may submit case briefs within 30 days of the date of 
publication of this notice, unless otherwise notified by the 
Department. See 19 CFR351.309(c)(ii). Rebuttal briefs, limited to 
issues raised in the case briefs, will be due five days later, pursuant 
to 19 CFR 351.309(d). Parties are requested to provide a summary of 
their arguments not to exceed five pages, and a table of the statutes, 
regulations, and cases cited.
    Interested parties who wish to request a hearing, or to participate 
if one is requested, must submit a written request to the Assistant 
Secretary for Import Administration within 30 days of the date of 
publication of this notice. 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. See 19 CFR 351.310(c). Issues 
raised in the hearing will be limited to those raised in case and 
rebuttal briefs. The Department will issue the final rescission or 
final results of this NSR, including the results of our analysis of 
issues raised in any briefs, not later than 90 days after this 
preliminary rescission is issued, unless the deadline for the final 
rescission or final results is extended. See 19 CFR 351.214(i).

Notification to Importers

    This notice serves as a preliminary reminder to the 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 the Secretary's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    The NSR and notice are in accordance with sections 751(a)(2)(B) and 
777(i) of the Tariff Act of 1930, as amended and 19 CFR 351.214(f).

    Dated: January 4, 2012.
Christian Marsh,
Acting Assistant Secretary for Import Administration.
[FR Doc. 2012-238 Filed 1-9-12; 8:45 am]
BILLING CODE 3510-DS-P