[Federal Register Volume 79, Number 143 (Friday, July 25, 2014)]
[Notices]
[Pages 43393-43395]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-17487]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-008]


Calcium Hypochlorite From the People's Republic of China: 
Preliminary Determination of Sales at Less Than Fair Value and 
Postponement of Final Determination

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

DATES: Effective Date: July 25, 2014.
SUMMARY: The Department of Commerce (``Department'') preliminarily 
determines that calcium hypochlorite from the People's Republic of 
China (``PRC'') is being, or is likely to be, sold in the United States 
at less than fair value (``LTFV''), as provided in section 733 of the 
Tariff Act of 1930, as amended (``the Act''). The period of 
investigation (``POI'') is April 1, 2013, through September 30, 2013. 
The estimated margin of sales at LTFV is shown in the ``Preliminary 
Determination'' section of this notice. In accordance with 19 CFR 
351.210(b)(2), the final determination will be issued 135 days after 
the date of publication of this preliminary determination in the 
Federal Register. Interested parties are invited to comment on this 
preliminary determination.

FOR FURTHER INFORMATION CONTACT: Kabir Archuletta, AD/CVD Operations, 
Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
2593.

SUPPLEMENTARY INFORMATION:

Scope of the Investigation

    The product covered by this investigation is calcium hypochlorite, 
regardless of form (e.g., powder, tablet (compressed), crystalline 
(granular), or in liquid solution), whether or not blended with other 
materials, containing at least 10% available chlorine measured by 
actual weight. The scope also includes bleaching powder and hemibasic 
calcium hypochlorite.
    Calcium hypochlorite has the general chemical formulation 
Ca(OCl)2, but may also be sold in a more dilute form as 
bleaching powder with the chemical formulation, 
Ca(OCl)2.CaCl2.Ca(OH)2.2H2O 
or hemibasic calcium hypochlorite with the chemical formula of 
2Ca(OCl)2.Ca(OH)2 or 
Ca(OCl)2.0.5Ca(OH)2. Calcium hypochlorite has a 
Chemical Abstract Service (``CAS'') registry number of 7778-54-3, and a 
U.S. Environmental Protection Agency (``EPA'') Pesticide Code (``PC'') 
Number of 014701. The subject calcium hypochlorite has an International 
Maritime Dangerous Goods (``IMDG'') code of Class 5.1 UN 1748, 2880, or 
2208 or Class 5.1/8 UN 3485, 3486, or 3487.
    Calcium hypochlorite is currently classifiable under the subheading 
2828.10.0000 of the Harmonized Tariff Schedule of the United States 
(``HTSUS''). The subheading covers commercial calcium hypochlorite and 
other calcium hypochlorite. When tableted or blended with other 
materials, calcium hypochlorite may be entered under other tariff 
classifications, such as 3808.94.5000 and 3808.99.9500, which cover 
disinfectants and similar products. While the HTSUS subheadings, the 
CAS registry number, the U.S. EPA PC number, and the IMDG codes are 
provided for convenience and customs purposes, the written description 
of the scope of this investigation is dispositive.

Methodology

    The Department conducted this investigation in accordance with 
section 731 of the Act. Because all mandatory respondents in this 
investigation either withdrew from the proceeding or did not cooperate 
to the best of their ability with the Department's requests for 
information, the Department preliminarily determines that the 
application of adverse facts available (``AFA'') is warranted for this 
preliminary determination, in accordance with section 776 of the Act 
and 19 CFR 351.308.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum hereby adopted by 
this notice.\1\ The Preliminary

[[Page 43394]]

Decision Memorandum is a public document and is on file electronically 
via Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (``IA ACCESS''). IA ACCESS is 
available to registered users at http://iaaccess.trade.gov, and is 
available to all parties in the Central Records Unit, room 7046 of the 
main Department of Commerce building. In addition, a complete version 
of the Preliminary Decision Memorandum can be accessed directly on the 
Internet at http://trade.gov/enforcement/. The signed Preliminary 
Decision Memorandum and the electronic version of the Preliminary 
Decision Memorandum are identical in content.
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    \1\ See Memorandum to Paul Piquado, Assistant Secretary for 
Enforcement and Compliance, from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Decision Memorandum for Preliminary Determination of the 
Antidumping Duty Investigation of Calcium Hypochlorite from the 
People's Republic of China,'' dated concurrently with this notice 
(``Preliminary Decision Memorandum'').
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Combination Rates

    In the Initiation Notice, the Department stated that it would 
calculate combination rates for the respondents that are eligible for a 
separate rate in this investigation.\2\ Policy Bulletin 05.1 sets forth 
this practice.\3\ However, as described in the Preliminary Decision 
Memorandum, all parties subject to this investigation are preliminarily 
found to be part of the PRC-wide entity, to which we do not assign a 
separate combination rate.\4\
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    \2\ See Calcium Hypochlorite From the People's Republic of 
China: Initiation of Antidumping Duty Investigation, 79 FR 2410, 
2414 (January 14, 2014) (``Initiation Notice'').
    \3\ See Enforcement and Compliance Policy Bulletin No. 05.1 
``Separate-Rates Practice and Application of Combination Rates in 
Antidumping Investigations involving Non-Market Economy Countries,'' 
(April 5, 2005) (``Policy Bulletin 05.1''), available on the 
Department's Web site at http://enforcement.trade.gov/policy/bull05-1.pdf.
    \4\ Id.
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Preliminary Determination

    The preliminary weighted-average antidumping duty margin percentage 
is as follows:

------------------------------------------------------------------------
                                                             Weighted-
                        Exporter                              average
                                                            margin  (%)
------------------------------------------------------------------------
PRC-Wide Entity \5\.....................................          210.52
------------------------------------------------------------------------

     
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    \5\ The PRC-wide entity includes China Petrochemical 
International (Wuhan) Co., Ltd., Tianjin JinBin International Trade 
Co., Ltd., and Wuhan Rui Sunny Chemical Co., Ltd.
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Disclosure \1\ and Public Comment

    Normally, the Department discloses to interested parties the 
calculations performed in connection with a preliminary determination 
within five days of the date of publication of the notice of 
preliminary determination in the Federal Register, in accordance with 
19 CFR 351.224(b). However, because the Department preliminarily 
applied AFA to each of the mandatory respondents in this investigation, 
in accordance with section 776 of the Act, there are no calculations to 
disclose. Accordingly, the calculations performed in connection with 
this preliminary determination are not proprietary in nature, and are 
described in the Preliminary Decision Memorandum.
    Interested parties are invited to comment on this preliminary 
determination. Interested parties may submit case briefs to the 
Department no later than 30 days after the date of publication of this 
preliminary determination.\6\ A table of contents, list of authorities 
used, and an executive summary of issues should accompany any briefs 
submitted to the Department.\7\
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    \6\ See 19 CFR 351.309(c)(1)(i).
    \7\ See 19 CFR 351.309(c)(2).
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    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 Enforcement and Compliance, U.S. Department of Commerce, 
filed electronically in IA ACCESS. An electronically filed document 
must be received successfully in its entirety in IA ACCESS, by 5:00 
p.m. Eastern Standard Time, within 30 days after the date of 
publication of this notice.\8\ Hearing requests should contain the 
party's name, address, and telephone number, the number of 
participants, and a list of the issues you intend to present at the 
hearing. If a request for a hearing is made, the Department intends to 
hold the hearing at the U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230, at a time and location 
to be determined. Parties should confirm by telephone the date, time, 
and location of the hearing two days before the scheduled date.
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    \8\ See 19 CFR 351.310(c).
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Suspension of Liquidation

    In accordance with section 733(d) of the Act, the Department will 
instruct U.S. Customs and Border Protection (``CBP'') to suspend 
liquidation of all entries of calcium hypochlorite from the PRC, as 
described in the ``Scope of the Investigation'' section, entered, or 
withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register. Furthermore, 
consistent with our practice, where the product under investigation is 
also subject to a concurrent countervailing duty investigation, we 
instruct CBP to require a cash deposit equal to the amount by which the 
normal value exceeds the export price or constructed export price, less 
the amount of the countervailing duty determined to constitute an 
export subsidy. In this LTFV investigation, with regard to PRC-wide 
entity, export subsidies constitute 9.62 percent \9\ of the 
preliminarily calculated countervailing duty rate in the concurrent 
countervailing duty investigation, and, thus, we will offset the PRC-
wide rate of 210.52 percent by the countervailing duty rate 
attributable to export subsidies (i.e., 9.62 percent) to calculate the 
cash deposit rate for this LTFV investigation.
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    \9\ The following subsidy programs in the preliminary 
determination of the concurrent countervailing duty investigation 
are export subsidies: Discounted Loans for Export-Oriented 
Enterprises (1.06%), Export Credits from China's Export-Import Bank 
(1.06%), Export Credit Insurance from China Export and Credit 
Insurance Corporation (Sinosure) (1.06%), Foreign Trade Development 
Fund (0.55%), Famous Brands Program (0.55%), Provision of Shipping 
for LTAR (5.34%). See Calcium Hypochlorite From the People's 
Republic of China: Preliminary Affirmative Countervailing Duty 
Determination, and Alignment of Final Countervailing Duty 
Determination With Final Antidumping Duty Determination, 79 FR 30082 
(May 27, 2014), and accompanying Preliminary Decision Memorandum at 
11.
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Postponement of Final Determination and Extension of Provisional 
Measures

    Pursuant to a request from Wuhan Rui Sunny Chemical Co., Ltd., we 
are postponing the final determination and extending the provisional 
measures from a four-month period to no more than six months.\10\ 
Accordingly, we will make our final determination no later than 135 
days after the date of publication of this preliminary determination, 
pursuant to section 735(a)(2) of the Act.\11\
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    \10\ See Letter to the Secretary of Commerce from Wuhan Rui 
Sunny Chemical Co., Ltd., ``Request for Extension of Final 
Determination'' (July 1, 2014).
    \11\ See also 19 CFR 351.210(e).
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International Trade Commission (``ITC'') Notification

    In accordance with section 733(f) of the Act, we notified the ITC 
of our preliminary affirmative determination of sales at LTFV. Section 
735(b)(2) of the Act requires the ITC to make its final determination 
as to whether the domestic industry in the United States is materially 
injured, or threatened with material injury, by reason of imports of 
calcium hypochlorite, or sales (or the likelihood of sales) for 
importation, of the merchandise under consideration within 45 days of 
our final determination.
    This determination is issued and published in accordance with 
sections

[[Page 43395]]

733(f) and 777(i)(1) of the Act and 19 CFR 351.205(b)(2).

    Dated: 16 July 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

    List of Topics Discussed in the Preliminary Decision Memorandum:

I. Summary
II. Background
    1. Initiation
    2. Period of Investigation
    3. Postponement of Preliminary Determination
    4. Postponement of Final Determination and Extension of Provisional 
Measures
    5. Scope of the Investigation
    6. Scope Comments
    7. Selection of Respondents
III. Discussion of the Methodology
    1. Non-Market Economy Country
    2. Separate Rates
    3. Total Adverse Facts Available for Rui Sunny
    A. Background
    B. Facts Available and Selection Based Upon Adverse Inferences for 
Rui Sunny
    4. The PRC-Wide Entity
    5. Application of Facts Available and Selection Based Upon Adverse 
Inferences for the PRC-Wide Entity
    6. Corroboration of AFA Rate
    7. Verification
    8. Section 777A(f) of the Act
IV. ITC Notification
V. Conclusion

[FR Doc. 2014-17487 Filed 7-24-14; 8:45 am]
BILLING CODE 3510-DS-P