[Federal Register Volume 81, Number 12 (Wednesday, January 20, 2016)]
[Notices]
[Pages 3101-3104]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-01023]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-560-828]


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

AGENCY: Enforcement and Compliance, International Trade Administration, 
Commerce.
SUMMARY: The Department of Commerce (the Department) determines that 
certain uncoated paper (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 735(a) of the Tariff Act of 1930, as amended 
(the Act). The period of investigation (POI) is January 1, 2014, 
through December 31, 2014. The final dumping margins of sales at LTFV 
are listed below in the ``Final Determination'' section of this notice.

DATES: Effective: January 20, 2016.

FOR FURTHER INFORMATION CONTACT: Blaine Wiltse, 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.

SUPPLEMENTARY INFORMATION:

Background

    On August 26, 2015, the Department published the Preliminary 
Determination of this antidumping duty (AD) investigation.\1\ The 
following events occurred since the Preliminary Determination was 
issued.
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    \1\ See Certain Uncoated Paper From Indonesia: Preliminary 
Determination of Sales at Less Than Fair Value and Postponement of 
Final Determination, 80 FR 51771 (August 26, 2015) (Preliminary 
Determination).
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    On October 30, 2015, we received case briefs from Petitioners \2\ 
and PT Anugerah Kertas Utama/PT Riau Andalan Kertas/APRIL Fine Paper 
Macao Commercial Offshore Limited (collectively, APRIL). On November 4, 
2015, we received rebuttal briefs from the same interested parties. On 
November 12, 2015, we held a public hearing at the request of 
Petitioners.
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    \2\ Petitioners in this investigation 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.
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    The Department is issuing a scope comments decision memorandum for 
the final determinations of the AD and countervailing duty (CVD) 
investigations of uncoated paper, which is incorporated by reference 
in, and hereby adopted by, this final determination.\3\
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    \3\ See the Department's memorandum to the file titled, ``Less-
Than-Fair-Value Investigations of Certain Uncoated Paper from 
Australia, Brazil, the People's Republic of China, Indonesia, and 
Portugal; and Countervailing Duty Investigations of Certain Uncoated 
Paper from the People's Republic of China and Indonesia: Scope 
Comments Decision Memorandum for the Final Determinations,'' dated 
January 8, 2016 (Final Scope Decision Memorandum).
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Scope of the Investigation and Scope Comments

    The product covered by this investigation is uncoated paper from 
Indonesia. For a complete description of the scope of this 
investigation, see the ``Scope of the Investigation,'' in Appendix I of 
this notice, which incorporates changes made subsequent to the 
Preliminary Determination.
    On October 2, 2015, Gartner Studios, Inc. submitted its case brief 
on the scope

[[Page 3102]]

of the investigations.\4\ On October 19, 2015, American Greetings 
Corporation (American Greetings) submitted its case brief regarding the 
scope of the investigations.\5\ On October 29, 2015, Petitioners 
submitted their rebuttal brief regarding the scope of the 
investigations.\6\ The Department is issuing a scope comments decision 
memorandum for the final determinations of the AD and CVD 
investigations of uncoated paper, which is incorporated by reference 
in, and hereby adopted by, this final determination.\7\ As explained in 
the Final Scope Decision Memorandum, to facilitate the scope's 
administrability and enforcement, we have clarified the scope language 
such that uncoated paper with ``final printed content'' is excluded 
from the scope of the investigations.
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    \4\ See Letter to Secretary Pritzker, from Gartner Studios, 
Inc., ``Certain Uncoated Paper from Australia, Brazil, the People's 
Republic of China, Indonesia, and Portugal: Case Brief'' (October 2, 
2015).
    \5\ See Letter to Secretary Pritzker, from American Greetings, 
``Certain Uncoated Paper from Australia, Brazil, the People's 
Republic of China, Indonesia, and Portugal: Case Brief of American 
Greetings Corporation'' (October 19, 2015).
    \6\ See Letter to Secretary Pritzker, from Petitioners, 
``Certain Uncoated Paper from Australia, Brazil, the People's 
Republic of China, Indonesia, and Portugal: Scope Rebuttal Brief'' 
(October 29, 2015).
    \7\ See Final Scope Decision Memorandum.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation that are not related to the scope of this 
investigation are addressed in the Issues and Decision Memorandum, 
which is incorporated by reference by, and hereby adopted by, this 
notice.\8\ A list of the issues raised is attached to this notice as 
Appendix II. The 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 https://access.trade.gov and it is available to all parties in the Central 
Records Unit, room B-8024 of the main Department of Commerce building. 
In addition, a complete version of the Issues and Decision Memorandum 
can be accessed directly at http://enforcement.trade.gov/frn/index.html. The signed and electronic versions of the Issues and 
Decision Memorandum are identical in content.
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    \8\ See Memorandum to Paul Piquado, ``Issues and Decision 
Memorandum for the Final Affirmative Determination in the Less-Than-
Fair-Value Investigation of Certain Uncoated Paper from Indonesia'' 
(January 8, 2016) (Issues and Decision Memorandum).
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Verification

    As provided in section 782(i) of the Act, in September 2015, the 
Department verified the sales and cost information submitted by APRIL 
for use in our final determination. We used standard verification 
procedures, including an examination of relevant accounting and 
production records, and original source documents provided by APRIL.\9\
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    \9\ See Memorandum to the File from Heidi K. Schriefer and Ji 
Young Oh, Senior Accountants, entitled ``Verification of the Cost 
Response of APRIL Fine Paper Macao Offshore Limited in the 
Antidumping Duty Investigation of Certain Uncoated Paper from 
Indonesia,'' dated October 20, 2015; and Memorandum to the File from 
Blaine Wiltse, Senior Analyst, entitled ``Verification of the Sales 
Response of PT Anugerah Kertas Utama (AKU), PT Riau Andalan Kertas 
(RAK), and APRIL Fine Paper Macao Commercial Offshore Limited (AFPM) 
(collectively, APRIL) in the Antidumping Duty Investigation of 
Certain Uncoated Paper from Indonesia,'' dated October 22, 2015.
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received and findings at 
verification, we made certain changes to the margin calculations for 
APRIL. For a discussion of these changes, see the ``Margin 
Calculations'' section of the Issues and Decision Memorandum. In 
addition, we changed the dumping margin assigned to two additional 
mandatory respondents in this investigation, Great Champ Trading 
Limited (Great Champ) and Indah Kiat Pulp & Paper TBK/Pabrik Kertas 
Tjiwi Kimia/PT. Pindo Deli Pulp and Paper Mills (APP/SMG). Because 
these companies failed to respond to the Department's questionnaire, in 
the Preliminary Determination, we based the preliminary dumping margin 
for these companies on adverse facts available (AFA), in accordance 
with sections 776(a) and (b) of the Act and 19 CFR 351.308. As AFA, we 
preliminarily assigned a rate of 51.75 percent (i.e., the highest 
transaction-specific dumping margin for APRIL). For the final 
determination, we assigned these companies an AFA margin of 17.39 
percent, which is the highest transaction-specific dumping margin for 
APRIL. For further discussion, see the Issues and Decision Memorandum 
at Comment 1. We also revised the all-others rate.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated all-
others rate shall be an amount equal to the weighted-average of the 
estimated weighted-average dumping margins established for exporters 
and producers individually investigated excluding any zero or de 
minimis margins, and margins determined entirely under section 776 of 
the Act. For the Final Determination, the Department calculated the 
``all-others'' rate based on APRIL's final dumping margin of 2.05 
percent.

Final Determination

    The Department determines that the final weighted-average dumping 
margins are as follows:

------------------------------------------------------------------------
                                                       Weighted-average
                Exporter/Manufacturer                   dumping margin
                                                           (percent)
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Great Champ Trading Limited.........................               17.39
Indah Kiat Pulp & Paper TBK/Pabrik Kertas Tjiwi                    17.39
 Kimia/PT. Pindo Deli Pulp and Paper Mills (APP/SMG)
April Fine Paper Macao Limited/PT Anugerah Kertas                   2.05
 Utama/PT Riau Andalan Kertas (APRIL)...............
All-Others..........................................                2.05
------------------------------------------------------------------------

Disclosure

    We will disclose the calculations performed to interested parties 
within five days of the public announcement of this final determination 
in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, the Department 
will instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of uncoated paper from 
Indonesia, as described in Appendix I of this notice, which were 
entered, or withdrawn from warehouse, for consumption on or after 
August 26, 2015, the date of publication of the preliminary 
determination of this investigation in the Federal Register.

[[Page 3103]]

    Further, CBP shall require a cash deposit equal to the estimated 
amount by which the normal value exceeds the U.S. price, as follows: 
(1) The rate for the mandatory respondents listed above will be the 
respondent-specific rates we determined in this final determination; 
(2) if the exporter is not a firm identified in this investigation, but 
the producer is, the rate will be the rate established for the producer 
of the subject merchandise; and (3) the rate for all other producers or 
exporters will be 2.05 percent.
    Consistent with our practice,\10\ where the product under 
investigation is also subject to a concurrent CVD investigation, we 
instruct CBP to require a cash deposit less the amount of the 
countervailing duty determined to constitute an export subsidy.\11\ 
Therefore, in the event that a CVD order is issued and suspension of 
liquidation is resumed in the companion CVD investigation on uncoated 
paper from Indonesia, the Department will instruct CBP to require cash 
deposits adjusted for export subsidies, as appropriate, found in the 
final determination of the companion CVD investigation. Specifically, 
for cash deposit purposes, we will subtract from the applicable cash 
deposit rate that portion of the CVD rate attributable to the export 
subsidies found in the final affirmative countervailing duty 
determination for each respondent (i.e., 57.78 percent for Great Champ 
and APP/SMG).\12\ After this adjustment, the resulting cash deposit 
rates will be 0.00 percent for Great Champ and APP/SMG. Because the 
Department found no export subsidies for APRIL, the cash deposit rate 
for APRIL and firms covered by the all-others rate will remain 2.05 
percent.
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    \10\ The Department terminated the suspension of liquidation 
associated with the CVD investigation effective October 27, 2015. 
See CBP message no. 5300305 dated October 27, 2015. Therefore, until 
and unless suspension of liquidation is resumed, we will not adjust 
the AD cash deposit rate for collection of duties associated with 
export subsidies.
    \11\ 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).
    \12\ See the Memorandum to the File, through Shawn Thompson, 
Program Manager, Office II, AD/CVD Operations, from Blaine Wiltse, 
Senior Analyst, Office II, AD/CVD Operations, entitled, ``Placing 
Information on the Record: Export Subsidies Calculated in the 
Countervailing Duty Final Determination of Certain Uncoated Paper 
from Indonesia,'' dated January 8, 2016.
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    The instructions suspending liquidation will remain in effect until 
further notice.

International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we will notify the 
ITC of the final affirmative determination of sales at LTFV. Because 
the final determination in this proceeding is affirmative, in 
accordance with section 735(b)(2) of the Act, the ITC will 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 uncoated paper from Indonesia no later than 45 
days after our final determination. If the ITC determines that material 
injury or threat of material injury does not exist, the proceeding will 
be terminated and all cash deposits will be refunded. If the ITC 
determines that such injury does exist, the Department will issue an 
antidumping duty order directing CBP to assess, upon further 
instruction by the Department, antidumping duties on all imports of the 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation.

Notification Regarding Administrative Protective Orders (APO)

    This notice serves as a reminder to parties subject to an APO of 
their responsibility concerning the disposition of proprietary 
information disclosed under APO in accordance with 19 CFR 
351.305(a)(3). Timely notification of the return or destruction of APO 
materials, or conversion to judicial protective order, is hereby 
requested. Failure to comply with the regulations and the terms of an 
APO is a violation subject to sanction.
    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act.

     Dated: January 8, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by the 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. For 
purposes of this scope definition, paper shall be considered 
``printed with final content'' where at least one side of the sheet 
has printed text and/or graphics that cover at least five percent of 
the surface area of the entire sheet.
    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 Issues and Decision Memorandum:

I. Summary
II. Background
III. Period of Investigation
IV. Margin Calculations
V. List of Comments
VI. Discussion of Comments
    Comment 1: Selection and Corroboration of the AFA Rate for Great 
Champ and APP/SMG
    Comment 2: Stock Lot Sales
    Comment 3: Unreported Home Market Rebates
    Comment 4: Additional Changes to APRIL's Margin Program
    Comment 5: APRIL's Variable and Fixed Overhead Costs
    Comment 6: APRIL's Costs Associated with Broke Paper
    Comment 7: Adjustments to APRIL's Cost Reconciliation

[[Page 3104]]

    Comment 8: Calculating APRIL's Financial Expenses
VII. Conclusion

[FR Doc. 2016-01023 Filed 1-19-16; 8:45 am]
 BILLING CODE 3510-DS-P