[Federal Register Volume 80, Number 164 (Tuesday, August 25, 2015)]
[Notices]
[Pages 51535-51536]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-21047]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-967; C-570-968]


Aluminum Extrusions From the People's Republic of China: Notice 
of Court Decision Not in Harmony With Final Scope Ruling and Notice of 
Amended Final Scope Ruling Pursuant to Court Decision

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

SUMMARY: On July 22, 2015, the United States Court of International 
Trade (CIT or Court) sustained the Department of Commerce's 
(Department's) final results of redetermination,\1\ in which the 
Department determined that certain Quick-Connect frames and Quick-
Connect handles imported by Rubbermaid Commercial Products LLC 
(Rubbermaid) meet the description of excluded finished merchandise, and 
that certain mopping kits imported by Rubbermaid meet the description 
of excluded finished goods kits, and are therefore not covered by the 
scope of the Orders,\2\ pursuant to the CIT's remand order in 
Rubbermaid Commercial Products LLC v. United States, Court No. 11-
00463, Slip Op. 14-113 (CIT September 23, 2014) (Rubbermaid I).
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    \1\ See Rubbermaid Commercial Products LLC v. United States, 
Court No. 11-00463, Slip Op. 15-79 (CIT July 22, 2015) (Rubbermaid 
II), which sustained the Final Results of Redetermination Pursuant 
to Court Remand, Rubbermaid Commercial Products LLC v. United 
States, Court No. 11-00463 (CIT September 23, 2014) (Remand 
Results).
    \2\ See Aluminum Extrusions from the People's Republic of China: 
Antidumping Duty Order, 76 FR 30650 (May 26, 2011) and Aluminum 
Extrusions from the People's Republic of China: Countervailing Duty 
Order, 76 FR 30653 (May 26, 2011) (Orders).
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    Consistent with the decision of the United States Court of Appeals 
for the Federal Circuit (CAFC) in Timken,\3\ as clarified by Diamond 
Sawblades,\4\ the Department is notifying the public that the final 
judgment in this case is not in harmony with the Department's Final 
Scope Ruling on Cleaning System Components and is therefore amending 
its final scope ruling.\5\
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    \3\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \4\ See Diamond Sawblades Mfrs. Coalition v. United States, 626 
F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
    \5\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Final Scope Ruling on Certain Cleaning System Components,'' 
(October 25, 2011) (Final Scope Ruling on Cleaning System 
Components).

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DATES: Effective date: August 1, 2015.

FOR FURTHER INFORMATION CONTACT: Eric B. Greynolds, AD/CVD Operations, 
Office III, Enforcement and Compliance, U.S. Department of Commerce, 
14th Street and Constitution Avenue NW., Washington, DC 20230; 
telephone: 202-482-6071.

SUPPLEMENTARY INFORMATION: On July 7, 2011, Rubbermaid submitted its 
scope request involving 13 product models, which fall into three 
categories of floor cleaning products: Quick-Connect frames, Quick-
Connect handles, and mopping kits.\6\ The Department issued the Final 
Scope Ruling on Cleaning System Components on October 25, 2011, in 
which it determined that the Quick-Connect frames and Quick-Connect 
handles at issue do no not meet the exclusion criteria for finished 
merchandise and, thus, are covered by the scope of the Orders because 
they are designed to function collaboratively in order to form a 
completed cleaning device, but the components to make a final cleaning 
device are not part of a packaged combination at the time of

[[Page 51536]]

importation.\7\ The Department further determined that the mopping kits 
at issue do not meet the exclusion criteria for finished goods kits 
and, thus, are covered by the scope of the Orders because they lack the 
disposable mop ends at the time of importation.\8\
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    \6\ See Rubbermaid's July 7, 2011, Scope Request (Scope 
Request).
    \7\ See Final Scope Ruling on Cleaning System Components at 9.
    \8\ Id.
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    In Rubbermaid I the Court held that the Department failed to 
adequately explain its reasoning in the final scope ruling that the 
Quick-Connect frames and Quick-Connect handles at issue did not meet 
the finished merchandise exclusion because they were ``designed to 
function collaboratively'' with other components to form a completed 
cleaning device.\9\ Thus, on remand, the Court ordered the Department 
to reconsider its analysis of the finished merchandise exclusion and 
its application to products designed to work in conjunction with other 
goods,\10\ and to further consider Rubbermaid's argument distinguishing 
``finished goods'' (to be excluded) from ``intermediate goods'' (to be 
included).\11\ In addition, the Court ordered the Department to 
reconsider its alleged distinction between merchandise that is designed 
to be adaptable, interchangeable and flexible, and merchandise that is 
permanently assembled, in light of any appropriate scope rulings.\12\ 
The Court also held that if the Department continues to find that the 
Quick-Connect handles and Quick-Connect frames do not constitute 
``finished merchandise'', then the Department must affirmatively define 
that term, taking into account Rubbermaid's proposed definition.\13\ 
Lastly, concerning the mopping kits at issue, the Court ordered the 
Department to reconsider its interpretation of the finished goods kit 
exclusion, taking into account applicable scope rulings that discuss 
the adaptable, interchangeable nature of products for purposes of this 
exclusion.\14\
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    \9\ See Rubbermaid I, Slip Op. 14-113 at 17-20.
    \10\ Id. at 20.
    \11\ Id. at 20-23.
    \12\ Id. at 23-27.
    \13\ Id. at 28-29.
    \14\ Id. at 30-33, referencing Banner Stands Scope Ruling and 
the Memorandum to Christian Marsh, Deputy Assistant Secretary for 
Antidumping and Countervailing Duty Operations, ``Final Scope Ruling 
on EZ Fabric Wall Systems,'' (November 9, 2011) (EZ Fabric Wall 
Systems Scope Ruling).
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    In the Remand Results, the Department clarified its interpretation 
of the exclusion criteria for ``finished merchandise'' and ``finished 
goods kits.'' \15\ The Department first found that, pursuant to its 
interpretation of the finished merchandise exclusion, the quick-connect 
frames and quick-connect handles were excluded from the Orders because 
(1) they are comprised of extruded aluminum and non-extruded aluminum 
components (thus satisfying the ``aluminum extrusions as parts . . .'' 
definition of the exclusion), and (2) they are ``fully and permanently 
assembled and completed at the time of entry,'' regardless of whether 
they are later incorporated with other components, or assembled into a 
larger downstream product (i.e., a subassembly).\16\
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    \15\ See Remand Results 11-12, 14-17.
    \16\ Id. at 11-12, 14-17.
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    With respect to the mopping kits, the Department found that these 
products met the exclusion for finished goods kits because (1) they 
were comprised of aluminum extrusions plus an additional non-extruded 
aluminum component which went beyond mere fasteners, and (2) in light 
of the certain other scope rulings,\17\ the interchangeable disposable 
mop end was not necessary to meet the exclusion for a finished goods 
kit.\18\ On July 22, 2015, the CIT sustained the Department's Remand 
Results.\19\
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    \17\ See Banner Stands Scope Ruling; see also EZ Wall Systems 
Scope Ruling.
    \18\ Id.
    \19\ See Rubbermaid II, Slip Op. 15-79 at 15.
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Timken Notice

    In its decision in Timken \20\ as clarified by Diamond Sawblades, 
the CAFC has held that, pursuant to sections 516A(c) and (e) of the 
Tariff Act of 1930, as amended (the Act), the Department must publish a 
notice of a court decision that is not ``in harmony'' with a Department 
determination and must suspend liquidation of entries pending a 
``conclusive'' court decision. The CIT's July 22, 2015, judgment in 
Rubbermaid II sustaining the Department's decision in the Remand 
Results to find that the Quick-Connect frames, Quick-Connect handles, 
and mopping kits at issue to be excluded from the scope of the Orders, 
constitutes a final decision of that court that is not in harmony with 
the Department's Final Scope Ruling on Cleaning System Components. This 
notice is published in fulfillment of the publication requirements of 
Timken. Accordingly, the Department will continue the suspension of 
liquidation of the Quick-Connect frames, Quick-Connect handles, and 
mopping kits at issue pending expiration of the period of appeal or, if 
appealed, pending a final and conclusive court decision.
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    \20\ See Timken, 893 F.2d at 341.
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Amended Final Determination

    Because there is now a final court decision with respect to the 
Final Scope Ruling on Cleaning System Components, the Department amends 
its final scope ruling. The Department finds that the scope of the 
Orders does not cover the 13 product models of Quick-Connect frames, 
Quick-Connect handles, and mopping kits addressed in the underlying 
Scope Request filed by Rubbermaid. The Department will instruct U.S. 
Customs and Border Protection (CBP) that the cash deposit rate will be 
zero percent for Rubbermaid's Quick-Connect frames, Quick-Connect 
handles, and mopping kits. In the event that the CIT's ruling is not 
appealed, or if appealed, upheld by the CAFC, the Department will 
instruct CBP to liquidate entries of Rubbermaid's Quick-Connect frames, 
Quick-Connect handles, and mopping kits without regard to antidumping 
and/or countervailing duties, and to lift suspension of liquidation of 
such entries.
    This notice is issued and published in accordance with section 
516A(c)(1) of the Act.

    Dated: August 19, 2015.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2015-21047 Filed 8-24-15; 8:45 am]
BILLING CODE 3510-DS-P