Don’t Sleep on it! Domestic Mattress Producers Seek Antidumping and Countervailing Duties on Imports from 13 Countries

ArentFox Schiff

On July 28, 2023, 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 (USW) (collectively, the Mattress Petitioners), filed antidumping duty (AD) petitions on mattresses from Bosnia and Herzegovina, Bulgaria, Burma, India, Italy, Kosovo, Mexico, Philippines, Poland, Slovenia, Spain, and Taiwan, and a countervailing duty (CVD) petition on mattresses from Indonesia.

The Mattress Petitioners allege that imports of mattresses from the aforementioned countries are injuring the US domestic industry because they are sold in the United States for less than “normal value” and that imports from Indonesia are unfairly subsidized.

The Mattress Petitioners request the imposition of significant AD/CVD duties, between 43% to 1,094%. AD/CVD duties will be imposed if the US Department of Commerce (DOC) determines that such alleged dumping is occurring and if the US International Trade Commission (ITC) determines that there is “material injury” (or the threat thereof) by reason of the dumped or subsidized imports.

If the investigations are affirmative, importers of mattresses from Bosnia and Herzegovina, Bulgaria, Burma, India, Indonesia, Italy, Kosovo, Mexico, Philippines, Poland, Slovenia, Spain, and Taiwan will be liable for any potential AD and/or CVD duties imposed.

Similar mattresses imported from China, South Africa, and Vietnam are already subject to AD Orders, commanding hefty rates of 234.51% (China), 121.39% (South Africa), and 116.31% (Vietnam). In addition, imports of mattresses from China are also currently subject to 25% Section 301 duties.

Scope of Investigations

Per the petition, these investigations cover 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 the petitions 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 or size description.

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.

The products subject to the petition are classifiable under 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, 9404.29.9095. Products subject to these petitions may also enter under HTSUS subheadings: 9401.41.0000, 9401.49.0000, and 9401.99.9081.

Excluded from the scope are the following products are “futon” mattresses; airbeds and waterbeds; certain multifunctional furniture that is convertible from seating to sleeping (e.g., convertible sofas); certain basinet pads; and mattress “toppers.”

Also excluded from the scope are products already covered by existing AD orders on uncovered innerspring units from China, South Africa, and Vietnam.

Alleged AD Margins

  • Bosnia and Herzegovina – 321%
  • Bulgaria – 117%
  • Burma – 154%
  • India – 61%
  • Italy – 200%
  • Kosovo – 915%
  • Mexico – 92%
  • Philippines – 497%
  • Poland – 43%
  • Slovenia – 1,094%
  • Spain – 66%
  • Taiwan – 738%

Estimated Key Dates of Interest to Exporters and Importers

The following are estimated key dates for these investigations, once initiated by the DOC and the ITC:

First Deadlines:
ITC Preliminary Injury Phase

approx. August 11, 2023questionnaire responses will be due.
August 18, 2023 – ITC Preliminary Staff Conference
September 11, 2023 - ITC Preliminary injury determination
Commerce Initiation Date August 17, 2023

Commerce Preliminary AD Determinations

January 4, 2024 - AD preliminary determination

The preliminary results deadline can be extended.

Commerce Preliminary CVD Determinations

October 23, 2023 - CVD preliminary determination

The preliminary results deadline can be extended.

Earliest Suspension of Liquidation (theoretical) August 17, 2023 – Subject to both affirmative critical circumstances finding by ITC and DOC.

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© ArentFox Schiff | Attorney Advertising

Written by:

ArentFox Schiff
Contact
more
less

ArentFox Schiff on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide