[Federal Register Volume 80, Number 124 (Monday, June 29, 2015)]
[Notices]
[Pages 36968-36970]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-15891]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-023]


Certain Uncoated Paper From the People's Republic of China: 
Preliminary Affirmative Countervailing Duty Determination and Alignment 
of Final Determination With Final Antidumping Duty Determination

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

SUMMARY: The Department of Commerce (the Department) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of certain uncoated paper (uncoated paper) from 
the People's Republic of China (PRC). The period of investigation is 
January 1, 2014, through December 31, 2014. Interested parties are 
invited to comment on this preliminary determination.

DATES: Effective Date: June 29, 2015.

FOR FURTHER INFORMATION CONTACT: Patricia Tran or Joy Zhang, Office 
III, AD/CVD Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
1503 and (202) 482-1168, respectively.

Alignment of Final Countervailing Duty (CVD) Determination With Final 
Antidumping Duty (AD) Determination

    On the same day that the Department initiated this CVD 
investigation, the Department also initiated a CVD investigation of 
uncoated paper from Indonesia and AD investigations of uncoated paper 
from Australia, Brazil, the PRC, Indonesia, and Portugal.\1\ The AD and 
CVD investigations cover the same merchandise. On June 17, 2015, in 
accordance with section 705(a)(1) of the Tariff Act of 1930, as amended 
(the Act) and 19 CFR 351.210(b)(4)(i), Petitioners \2\ requested 
alignment of the final CVD determination with the final AD 
determination of uncoated paper from the PRC.\3\ Therefore, in 
accordance with section 705(a)(1) of the Act and 19 CFR 
351.210(b)(4)(i), we are aligning the final CVD determination with the 
final AD determination. Consequently, the final CVD determination will 
be issued on the same date as the final AD determination, which is 
currently scheduled to be issued no later than November 2, 2015, unless 
postponed.
---------------------------------------------------------------------------

    \1\ See Certain Uncoated Paper From the People's Republic of 
China and Indonesia: Initiation of Countervailing Duty 
Investigations, 80 FR 8598 (February 18, 2015); and Certain Uncoated 
Paper From Australia, Brazil, the People's Republic of China, 
Indonesia, and Portugal: Initiation of Less-Than-Fair-Value 
Investigations, 80 FR 8608 (February 18, 2015).
    \2\ Petitioners are United Steel, Paper and Forestry, Rubber, 
Manufacturing, Energy, Allied Industrial and Service Workers 
International Union; Domtar Corporation; Finch Paper LLC; P.H. 
Glatfelter Company; and Packaging Corporation of America 
(collectively, Petitioners).
    \3\ See Letter from Petitioners regarding ``Certain Uncoated 
Paper from People's Republic of China: Request for Alignment'' (June 
17, 2015).
---------------------------------------------------------------------------

Scope of the Investigation

    The product covered by this investigation is uncoated paper from 
the PRC. For a complete description of the scope of the investigation, 
see Appendix 1 to this notice.

Methodology

    The Department is conducting this CVD investigation in accordance 
with section 701 of the Act. For a full description of the methodology 
underlying our preliminary conclusions, see the Preliminary Issues and 
Decision

[[Page 36969]]

Memorandum.\4\ The Preliminary Issues and Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
http://access.trade.gov and is available to all parties in the Central 
Records Unit, room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Preliminary Issues and Decision 
Memorandum can be accessed directly on the Internet at http://enforcement.trade.gov/frn/index.html. The signed Preliminary Issues and 
Decision Memorandum and the electronic version of the Preliminary 
Issues and Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \4\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance 
regarding ``Decision Memorandum for the Preliminary Determination in 
the Countervailing Duty Investigation of Certain Uncoated Ppaer from 
the People's Republic of China,'' dated concurrently with this 
notice (Preliminary Issues and Decision Memorandum).
---------------------------------------------------------------------------

    For this preliminary determination, we have relied on facts 
available for Sun Paper (Hong Kong) Co., Ltd. (Sun Paper HK) and 
Shandong Sun Paper Industry Joint Stock Co., Ltd. (Shandong Sun Paper) 
(collectively Sun Paper), and UPM Changshu (UPM), mandatory 
respondents, because the companies did not act to the best of their 
ability and respond to the Department's requests for information. 
Further, we have drawn an adverse inference in selecting from among the 
facts otherwise available to calculate the ad valorem rate for Sun 
Paper and UPM.\5\ We have also relied on facts available, with adverse 
inferences, with respect to certain information requested of the 
Government of China. For further information, see ``Use of Facts 
Otherwise Available and Adverse Inferences'' in the Preliminary 
Decision Memorandum.
---------------------------------------------------------------------------

    \5\ See sections 776(a) and (b) of the Act.
---------------------------------------------------------------------------

    The Department's analysis of program usage by Asia Symbol 
(Guangdong) Omya Minerals Co., Ltd. (AS Omya), Asia Symbol (Shandong) 
Pulp & Paper Co., and Greenpoint Global Trading (Macao Commercial 
Offshore) Limted (Greenpoint) (collectively, the Asia Symbol 
Companies), a mandatory respondent, is also contained in the 
Preliminary Decision Memorandum.

Preliminary Determination and Suspension of Liquidation

    In accordance with section 703(d)(1)(A)(i) of the Act, we 
calculated a CVD rate for each individually investigated producer/
exporter of the subject merchandise. For companies not individually 
investigated, we calculated an all others rate as described below.
    We preliminarily determine the estimated countervailable subsidy 
rates to be:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
------------------------------------------------------------------------
Asia Symbol (Guangdong) Omya Minerals Co., Ltd. (AS                 5.82
 Omya), Asia Symbol (Shandong) Pulp & Paper Co., and
 Greenpoint Global Trading (Macao Commercial Offshore)
 Limted (Greenpoint) (collectively, the Asia Symbol
 Companies).............................................
Sun Paper (Hong Kong) Co., Ltd. (Sun Paper HK) and                126.42
 Shandong Sun Paper Industry Joint Stock Co., Ltd.
 (Shandong Sun Paper) (collectively Sun Paper)..........
UPM Changshu (UPM)......................................          126.42
All Others..............................................            5.82
------------------------------------------------------------------------

    We are directing U.S. Customs and Border Protection (CBP) to 
suspend liquidation of all entries of uncoated paper from the PRC that 
are entered, or withdrawn from warehouse, for consumption on or after 
the date of the publication of this notice in the Federal Register, and 
to require a cash deposit for such entries of the merchandise in the 
amounts indicated above.
    In accordance with sections 703(d) and 705(c)(5)(A)(i) of the Act, 
for companies not investigated, we apply an estimated ``all-others'' 
rate equal to the weighted average countervailable subsidy rates 
established for exporters and producers individually investigated, 
excluding any zero and de minimis countervailable subsidy rates, and 
any rates determined entirely under section 776 of the Act. Thus, 
pursuant to the statute, we set the all others rate equal to the net 
subsidy rate of the Asia Symbol Companies.

Verification

    As provided in section 782(i)(1) of the Act, we intend to verify 
the information submitted by the respondents prior to making our final 
determination.

Disclosure and Public Comment

    The Department intends to disclose to interested parties the 
calculations performed in connection with this preliminary 
determination within five days of its public announcement.\6\ 
Interested parties may submit case and rebuttal briefs. For a schedule 
of the deadlines for filing case briefs, rebuttal briefs, and hearing 
requests, see the Preliminary Issues and Decision Memorandum.
---------------------------------------------------------------------------

    \6\ See 19 CFR 351.224(b).
---------------------------------------------------------------------------

U.S. International Trade Commission (ITC) Notification

    In accordance with section 703(f) of the Act, we will notify the 
ITC of our determination. In addition, we are making available to the 
ITC all non-privileged and non-proprietary information relating to this 
investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an administrative protective order, without the written consent 
of the Assistant Secretary for Enforcement and Compliance.
    In accordance with section 705(b)(2) of the Act, if our final 
determination is affirmative, the ITC will make its final determination 
within 45 days after the Department makes its final determination.
    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: June 22, 2015.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix 1--Scope of the Investigation

    The merchandise covered by these investigations includes 
uncoated paper in sheet form; weighing at least 40 grams per square 
meter but not more than 150 grams per square meter; that either is a 
white paper with a GE brightness level \7\ of 85 or higher or is a 
colored paper; whether or not surface-decorated, printed (except as 
described below), embossed, perforated, or punched; irrespective of 
the smoothness of the surface; and irrespective of dimensions 
(Certain Uncoated Paper).
---------------------------------------------------------------------------

    \7\ One of the key measurements of any grade of paper is 
brightness. Generally speaking, the brighter the paper the better 
the contrast between the paper and the ink. Brightness is measured 
using a GE Reflectance Scale, which measures the reflection of light 
off a grade of paper. One is the lowest reflection, or what would be 
given to a totally black grade, and 100 is the brightest measured 
grade. ``Colored paper'' as used in this scope definition means a 
paper with a hue other than white that reflects one of the primary 
colors of magenta, yellow, and cyan (red, yellow, and blue) or a 
combination of such primary colors.
---------------------------------------------------------------------------

    Certain Uncoated Paper includes (a) uncoated free sheet paper 
that meets this scope definition; (b) uncoated groundwood paper 
produced from bleached chemi-thermo-mechanical pulp (BCTMP) that 
meets this scope definition; and (c) any other uncoated paper that 
meets this scope definition regardless of the type of pulp used to 
produce the paper.

[[Page 36970]]

    Specifically excluded from the scope are (1) paper printed with 
final content of printed text or graphics and (2) lined paper 
products, typically school supplies, composed of paper that 
incorporates straight horizontal and/or vertical lines that would 
make the paper unsuitable for copying or printing purposes.
    Imports of the subject merchandise are provided for under 
Harmonized Tariff Schedule of the United States (HTSUS) categories 
4802.56.1000, 4802.56.2000, 4802.56.3000, 4802.56.4000, 
4802.56.6000, 4802.56.7020, 4802.56.7040, 4802.57.1000, 
4802.57.2000, 4802.57.3000, and 4802.57.4000. Some imports of 
subject merchandise may also be classified under 4802.62.1000, 
4802.62.2000, 4802.62.3000, 4802.62.5000, 4802.62.6020, 
4802.62.6040, 4802.69.1000, 4802.69.2000, 4802.69.3000, 4811.90.8050 
and 4811.90.9080. While HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
scope of the investigations is dispositive.

Appendix 2--List of Topics Discussed in the Preliminary Issues and 
Decision Memorandum

I. Summary
II. Background
III. Alignment
IV. Scope Comments
V. Scope of the Investigation
VI. Injury Test
VII. Application of Countervailing Duty Law to Imports from the PRC
VIII. Subsidies Valuation
IX. Benchmark and Discount Rates
X. Use of Facts Otherwise Available and Adverse Inferences
XI. Analysis of Programs
XII. ITC Notification
XIII. Disclosure and Public Comment
XIV. Verification
XV. Conclusion
Appendix

[FR Doc. 2015-15891 Filed 6-26-15; 8:45 am]
 BILLING CODE 3510-DS-P