[Federal Register Volume 80, Number 165 (Wednesday, August 26, 2015)]
[Notices]
[Pages 51771-51774]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-21180]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-560-828]


Certain Uncoated Paper From Indonesia: Preliminary Determination 
of Sales at Less Than Fair Value and Postponement of Final 
Determination

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

SUMMARY: The Department of Commerce (Department) preliminarily 
determines that certain uncoated paper from Indonesia is being, or is 
likely to be, sold in the United States at less than fair value (LTFV), 
as provided in section 733(b) of the Tariff Act of 1930, as amended 
(the Act). The period of investigation (POI) is January 1, 2014, 
through December 31, 2014. The estimated weighted-average dumping 
margins of sales at LTFV are shown in the ``Preliminary Determination'' 
section of this notice. Interested parties are invited to comment on 
this preliminary determination.

DATES: Effective date: August 26, 2015.

FOR FURTHER INFORMATION CONTACT: Blaine Wiltse or Shannon Morrison, AD/
CVD Operations, Office II, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
6345 or (202) 482-6274, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    The Department initiated this investigation on February 10, 
2015.\1\ For a complete description of the events that followed the 
initiation of this investigation, see the memorandum that is dated 
concurrently with this determination and hereby adopted by this 
notice.\2\ The Preliminary 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 https://access.trade.gov, 
and 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 Decision Memorandum can be found at http://enforcement.trade.gov/frn/. The signed Preliminary Decision Memorandum 
and the electronic version of the Preliminary Decision Memorandum are 
identical in content.
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    \1\ See 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) 
(Initiation Notice).
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
entitled ``Decision Memorandum for the Preliminary Determination in 
the Antidumping Duty Investigation of Certain Uncoated Paper from 
Indonesia'' (Preliminary Decision Memorandum), dated concurrently 
with this notice.
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Scope of the Investigation

    The product covered by this investigation is uncoated paper from 
Indonesia. For a full description of the scope of this investigation, 
see the ``Scope of the Investigation,'' in Appendix I of this notice.

Scope Comments

    Certain interested parties commented on the scope of the 
investigation as it appeared in the Initiation Notice. For discussion 
of those comments, see the Preliminary Decision Memorandum.\3\
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    \3\ See also Memorandum from Erin Begnal, Director, Office III, 
to Ronald K. Lorentzen, Acting Assistant Secretary for Enforcement 
and Compliance, entitled ``Scope Comments Decision Memorandum for 
the Preliminary Determinations,'' dated August 3, 2015.

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[[Page 51772]]

Postponement of Deadline for Preliminary Determinations

    On May 15, 2015, the petitioners \4\ made a timely request for a 
50-day postponement of the preliminary determination in this 
investigation pursuant to section 733(c)(1)(A) of the Act and 19 CFR 
351.205(e).\5\ On June 1, 2015, we postponed the preliminary 
determination by 50 days, to August 19, 2015.\6\
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    \4\ The petitioners in this proceeding 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.
    \5\ See The petitioners' Letter to the Department, ``Certain 
Uncoated Paper From Indonesia: Request For Postponement Of The 
Preliminary Determination, dated May 15, 2015.
    \6\ See Certain Uncoated Paper from Australia, Brazil, the 
People's Republic of China, Indonesia, and Portugal: Postponement of 
Preliminary Determinations of Antidumping Duty Investigations, 80 FR 
31017 (June 1, 2015).
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Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. There is one mandatory respondent participating 
in this investigation, April Fine Paper Macao Limited/PT Anugerah 
Kertas Utama/PT Riau Andalan Kertas (collectively, APRIL). Export price 
for this company is calculated in accordance with section 772 of the 
Act. Normal value (NV) is calculated in accordance with section 773 of 
the Act. For a full description of the methodology underlying our 
preliminary conclusions, see the Preliminary Decision Memorandum.

Adverse Facts Available

    Because mandatory respondents Great Champ Trading Limited (Great 
Champ), Indah Kiat Pulp & Paper TBK (IK), and Pabrik Kertas Tjiwi Kimia 
(TK) failed to respond to the Department's questionnaire, we 
preliminarily determine to apply adverse facts available (AFA) to these 
respondents, in accordance with sections 776(a) and (b) of the Act and 
19 CFR 351.308. Moreover, the Department is collapsing IK and TK, along 
with an additional affiliated paper producer PT. Pindo Deli Pulp and 
Paper Mills because we find that these companies meet the criteria set 
forth in 19 CFR 351.401(f). Therefore, we are assigning these companies 
a single AFA rate--under the name APP/SMG--for purposes of the 
preliminary determination. For further discussion, see the Preliminary 
Decision Memorandum.

All-Others Rate

    Consistent with sections 733(d)(1)(A)(ii) and 735(c)(5) of the Act, 
the Department also calculated an estimated all-others rate. Section 
735(c)(5)(B) of the Act provides that where all rates are zero, de 
minimis or based on total facts available, the Department may use ``any 
reasonable method'' to establish the rate for non-selected respondents.
    In this investigation, we calculated a company-specific rate for 
the only cooperative mandatory respondent, APRIL, that is zero. 
Therefore, and pursuant to section 735(c)(5)(B) of the Act, we 
preliminary determine that it is reasonable to calculate the all-others 
rate based on a simple average of the zero margin and the margins based 
on AFA.

Preliminary Determination

    The Department preliminarily determines that the following 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                  Exporter/manufacturer                   dumping margin
                                                             (percent)
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Great Champ Trading Limited.............................           51.75
Indah Kiat Pulp & Paper TBK/Pabrik Kertas Tjiwi Kimia/PT           51.75
Pindo Deli Pulp and Paper Mills (APP/SMG)
April Fine Paper Macao Limited/PT Anugerah Kertas Utama/            0.00
 PT Riau Andalan Kertas (APRIL).........................
All Others..............................................           34.50
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, we are directing 
U.S. Customs and Border Protection (CBP) to suspend liquidation of all 
entries of certain uncoated paper from Indonesia, as described in 
Appendix I of this notice, for all companies other than APRIL which are 
entered, or withdrawn from warehouse, for consumption on or after the 
date of publication of this notice in the Federal Register. For APRIL, 
because its estimated weighted-average preliminary dumping margin is 
zero, we are not directing CBP to suspend liquidation of APRIL's 
entries.
    In accordance with 19 CFR 351.205(d), we will instruct CBP to 
require a cash deposit equal to the weighted-average amount by which 
the NV exceeds U.S. price, as indicated in the chart above, adjusted 
for export subsidies found in the preliminary determination of the 
companion countervailing duty investigation.\7\ Specifically, 
consistent with our longstanding 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 NV exceeds the U.S. price, as indicated below, less 
the amount of the countervailing duty determined to constitute an 
export subsidy.\8\ Therefore, for cash deposit purposes, we are 
subtracting from the applicable cash deposit rate that portion of the 
countervailing duty rate attributable to the export subsidies found in 
the preliminary affirmative countervailing duty determination. 
Accordingly, the export subsidy offsets are as follows: 29.36 percent 
for Great Champ and APP/SMG; and 0.00 percent for all others.\9\ After 
this adjustment, the resulting cash deposit rates will be 22.39 percent 
for Great Champ and APP/SMG.
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    \7\ See Certain Uncoated Paper from Indonesia: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Determination, 80 FR 36971 
(June 29, 2015), and accompanying Preliminary Decision Memorandum 
(CVD Investigation Uncoated Paper from Indonesia).
    \8\ See, e.g., Notice of Final Determination of Sales at Less 
Than Fair Value: Carbazole Violet Pigment 23 From India, 69 FR 
67306, 67307 (November 17, 2004); and Notice of Final Determination 
of Sales at Less Than Fair Value and Negative Critical Circumstances 
Determination: Bottom Mount Combination Refrigerator-Freezers From 
the Republic of Korea, 77 FR 17413 (March 26, 2012).
    \9\ See CVD Investigation Uncoated Paper from Indonesia.
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    Further, pursuant to section 733(d) of the Act and 19 CFR 
351.205(d), we will instruct CBP to require cash deposits \10\ equal to 
the above-noted rates, adjusted as appropriate for export subsidies, as 
follows: (1) The rate for the mandatory respondents listed above will 
be the respondent-specific rate we determined in this preliminary 
determination; (2) if the exporter is not a mandatory respondent 
identified above, but the producer is, the rate will be the specific 
rate established for the producer of the subject merchandise; and (3) 
the rate for all other producers or exporters will be the all others 
rate. These suspension of liquidation instructions will remain in 
effect until further notice.
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    \10\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
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Disclosure

    We will disclose the calculations performed to interested parties 
in this proceeding within five days of the date

[[Page 51773]]

of publication of this notice in accordance with 19 CFR 351.224(b).

Verification

    As provided in section 782(i) of the Act, we intend to verify 
information relied upon in making our final determination.

Public Comment

    Interested parties are invited to comment on this preliminary 
determination. Case briefs or other written comments may be submitted 
to the Assistant Secretary for Enforcement and Compliance no later than 
seven days after the date on which the final verification report is 
issued in this proceeding, and rebuttal briefs, limited to issues 
raised in case briefs, may be submitted no later than five days after 
the deadline date for case briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) 
and (d)(2), parties who submit case briefs or rebuttal briefs in this 
proceeding are encouraged to submit with each argument: (1) a statement 
of the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.
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    \11\ See 19 CFR 351.309.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, U.S. Department of Commerce. 
All documents must be filed electronically using ACCESS. An 
electronically-filed request must be received successfully in its 
entirety by ACCESS by 5:00 p.m. Eastern Standard Time, within 30 days 
after the date of publication of this notice.\12\ Requests should 
contain the party's name, address, and telephone number, the number of 
participants, and a list of the issues to be discussed. 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 date to be determined. Parties 
should confirm by telephone the date, time, and location of the hearing 
two days before the scheduled date.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioner. 19 CFR 351.210(e)(2) requires that requests by 
respondents for postponement of a final antidumping determination be 
accompanied by a request for extension of provisional measures from a 
four-month period to a period not more than six months in duration.
    APRIL requested that, in the event of an affirmative preliminary 
determination in this investigation, the Department postpone its final 
determination by 60 days (i.e., to 135 days after publication of the 
preliminary determination), and agreed to extend the application of the 
provisional measures prescribed under section 733(d) of the Act and 19 
CFR 351.210(e)(2), from a four-month period to a period not to exceed 
six months.\13\ In addition, the petitioners also requested that, in 
the event of a negative preliminary determination, the Department 
postpone its final determination in accordance with 19 CFR 
351.210(b)(c)(i).\14\
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    \13\ Id.
    \14\ See Letter from the petitioners, entitled, ``Certain 
Uncoated Paper from Indonesia--Petitioners' Comments on the 
Extension of the Final Determination,'' dated July 31, 2015.
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    In accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because (1) our preliminary determination is 
affirmative; (2) the requesting exporter accounts for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, we are postponing the final determination and 
extending the provisional measures from a four-month period to a period 
not greater than six months. 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.\15\
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    \15\ 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 are notifying the 
ITC of our affirmative preliminary determination of sales at LTFV. If 
our final determination is affirmative, the ITC will determine before 
the later of 120 days after the date of this preliminary determination 
or 45 days after our final determination whether these imports are 
materially injuring, or threaten material injury to, the U.S. industry.
    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: August 19, 2015.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation 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 \1\ 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).
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    \1\ 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.
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    Certain Uncoated Paper includes (a) uncoated free sheet paper 
that meets this scope definition; (b) uncoated ground wood 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.
    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 investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Postponement of Final Determination and Extension of Provisional 
Measures

[[Page 51774]]

V. Scope Comments
VI. Affiliation Determinations
VII. Discussion of Methodology
    a. Determination of the Comparison Method
    b. Results of the Differential Pricing Analysis
VIII. Date of Sale
IX. Product Comparisons
X. Export Price
XI. Duty Drawback
XII. Normal Value
    a. Home Market Viability
    b. Level of Trade
    c. Cost of Production (COP) Analysis
    1. Calculation of COP
    2. Test of Comparison Market Sales Prices
    3. Results of the COP Test
    d. Calculation of NV Based on Comparison Market Prices
XIII. Application of Facts Available and Use of Adverse Inference
    a. Use of Facts Available
    b. Application of Facts Available with an Adverse Inference
    c. Selection and Corroboration of Adverse Facts Available (AFA) 
Rate
XIV. Critical Circumstances
XV. Currency Conversion

[FR Doc. 2015-21180 Filed 8-25-15; 8:45 am]
BILLING CODE 3510-DS-P