Commerce, 'Under Protest,' Finds Ethan Allen Chests Not Subject to China Wooden Bedroom Furniture Duties
Four models of “accent” chests imported by Ethan Allen are not subject to antidumping duties on wooden bedroom furniture from China, said the Commerce Department in a remand redetermination filed “under protest” on Feb. 12. Reversing course from a 2014 scope ruling where it found all four models covered by AD duties (see 14060403), Commerce said all four models are living room furniture, not bedroom furniture, despite continued concerns that they are suitable and sometimes advertised for bedroom use.
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The filing now goes for approval by the Court of International Trade, which in December faulted Commerce’s overbroad interpretation of furniture used in a bedroom (see 1512010073). Though standalone furniture may sometimes be included under the scope, finding part of a living room set subject to bedroom furniture duties exceeds that narrow exception, said the court as it sent the ruling back to Commerce for reconsideration.
In the case of Ethan Allen’s Vivica chest, Commerce followed CIT’s instructions and found the product’s inclusion in a living room set, and the scope’s exemption for “other non-bedroom furniture,” means the chest is not subject to AD duties. Despite evidence that the Vivica chest is also intended for use in the bedroom, Commerce said it was forced to go along with the court’s holding that the evidence was insufficient to subject the Vivica to wooden bedroom furniture duties.
In line with the court’s instructions, Commerce turned to a broader set of criteria to determine whether Ethan Allen’s Marlene, Nadine and Serpentine chests. The original petition for bedroom furniture duties, which said it did not intend to cover living room furniture, defined living room chests as “usually more decorative” than bedroom furniture, and “typically not as deep” because they’re not meant to hold clothes.
Though all three models are just as deep as Ethan Allen’s bedroom chests, there is a “visible distinction” between the exterior designs of the Marlene, Nadine and Serpentine chests and the company’s bedroom chests, said Commerce. The three chests’ contours and panels are more curved, with serpentine design and rounded edges as opposed to the chests sold in Ethan Allen’s bedroom sets that have relatively flat panels with straight contours,” it said. “Further, the Marlene has a ‘careworn, markedly textured finish,’ the Nadine has ‘antiqued silver-leaf or Raven black finishes,’ and the Serpentine has a ‘black crackle canvas.’” Each of the three models has the physical characteristics of both bedroom furniture and living room furniture, said Commerce.
However, the expectations of consumers and intended ultimate use of the Marlene, Nadine and Serpentine chests is that of living room furniture, said Commerce. According to the agency, Ethan Allen provided evidence that the three models are marketed as standalone “accent” furniture, “suitable for use in many rooms, but primarily outside of the bedroom.” The three models are not sold in bedroom sets, despite some advertising and product displays that show the chests in a bedroom setting, it said. Taken as a whole, and given CIT’s instruction that standalone furniture can only rarely be considered bedroom furniture, the Marlene, Nadine and Serpentine chests join the Vivica chest in being exempt from antidumping duties, said Commerce.
Email ITTNews@warren-news.com for a copy of the remand redetermination.