[Federal Register Volume 82, Number 7 (Wednesday, January 11, 2017)]
[Notices]
[Pages 3284-3287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-00428]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-036]
Certain Biaxial Integral Geogrid Products From the People's
Republic of China: Final Determination of Sales at Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Department) determines that
certain biaxial integral geogrid products (geogrids) are being, or are
likely to be, sold in the United States at less than fair value (LTFV),
as provided in section 735 of the Tariff Act of 1930, as amended (the
Act). The final weighted-average dumping margins for the investigation
on geogrids from the PRC are listed in the ``Final Determination
Margins'' section of this notice.
DATES: Effective January 11, 2017.
FOR FURTHER INFORMATION CONTACT: Julia Hancock or Susan Pulongbarit,
AD/CVD Operations, Office V, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW., Washington, DC 20230; telephone: (202) 482-1394 or (202)
482-4031, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 22, 2016, the Department published its Preliminary
Determination.\1\ We invited interested parties to comment on our
Preliminary Determination of sales at LTFV. For a list of the parties
that filed case and rebuttal briefs, see the Issues and Decision
Memorandum.\2\
---------------------------------------------------------------------------
\1\ See Certain Biaxial Integral Geogrid Products from the
People's Republic of China: Affirmative Preliminary Determination of
Sales at Less Than Fair Value, Affirmative Determination of Critical
Circumstances, in Part, and Postponement of Final Determination, 81
FR 56584 (August 22, 2015) (Preliminary Determination) and
accompanying Preliminary Decision Memorandum.
\2\ See Memorandum from Gary Taverman, Associate Deputy
Assistant Secretary for Antidumping and Countervailing Duty
Operations, to Paul Piquado, Assistant Secretary for Enforcement and
Compliance, ``Issues and Decision Memorandum for the Final
Determination of the Antidumping Duty Investigation of Certain
Biaxial Integral Geogrid Products from the People's Republic of
China,'' dated concurrently with this notice (Issues and Decision
Memorandum).
---------------------------------------------------------------------------
Period of Investigation
The period of investigation (POI) is July 1, 2015, through December
31, 2015. This period corresponds to the two most recent fiscal
quarters prior to the month of the filing of the petition, which was
January 2016.\3\
---------------------------------------------------------------------------
\3\ See 19 CFR 351.204(b)(1).
---------------------------------------------------------------------------
Scope of the Investigation
The products covered by this investigation are geogrids from the
People's Republic of China (PRC). Subject geogrids enter the United
States through Harmonized Tariff Schedule of the United States (HTSUS)
statistical subheading 3926.90.9995, but may also enter through HTSUS
subheadings 3920.20.0050 and 3925.90.0000. While HTSUS subheadings are
provided for convenience and Customs purposes, the written description
of the scope of this investigation is dispositive.
No interested party commented on the scope of this investigation.
For a complete description of the scope of the investigation, see
Appendix I to this notice.
Analysis of Comments Received
We addressed all issues raised by parties in case and rebuttal
briefs in the Issues and Decision Memorandum.\4\ Appendix II to this
notice includes a list of the issues which the parties raised and to
which the Department responded in the Issues and Decision Memorandum.
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 http://access.trade.gov. The
Issues and Decision Memorandum is available
[[Page 3285]]
to all parties in the Central Records Unit, room B8024 of the main
Department of Commerce building. In addition, a complete version of the
Issues and Decision Memorandum is available at http://enforcement.trade.gov/frn/index.html. The signed and electronic
versions of the Issues and Decision Memorandum are identical in
content.
---------------------------------------------------------------------------
\4\ See Issues and Decision Memorandum.
---------------------------------------------------------------------------
Verification
As provided in section 782(i) of the Act, in September 2016, the
Department conducted verification of the information submitted by BOSTD
Geosynthetics Qingdao Ltd. (BOSTD) and Taian Modern Plastic Co., Ltd.
(Taian Modern) for use in the final determination. We issued our
verification reports on November 4, 2016, and November 14, 2016.\5\ The
Department used standard verification procedures, including examination
of relevant accounting and production records and original source
documents provided by respondents.\6\
---------------------------------------------------------------------------
\5\ See the Department's two memoranda regarding: ``Verification
of the Sales and Factors Response of Taian Modern Plastic Co., Ltd.
(Taian Modern) in the Antidumping Duty Less Than Fair Value
Investigation of Certain Biaxial Integral Geogrid Products from the
People's Republic of China,'' dated November 4, 2016 (Taian Modern
Verification Report); and ``Verification of the Sales and Factors
Responses of BOSTD Geosynthetics Qingdao Ltd. (BOSTD) in the
Antidumping Investigation of Certain Biaxial Integral Geogrid
Products from the People's Republic of China,'' dated November 15,
2016 (BOSTD Verification Report).
\5\ Id.
\6\ Id.
---------------------------------------------------------------------------
Changes Since the Preliminary Determination
Based on the Department's analysis of the comments received and our
findings at verification, we find that BOSTD and Taian Modern failed to
cooperate by not acting to the best of their ability in this proceeding
and, pursuant to section 776(b) of the Act and 19 CFR 351.308(a), we
based BOSTD's and Taian Modern's respective dumping margins on total
adverse facts available (AFA). For further discussion, see the Issues
and Decision Memorandum.
Combination Rates
In the Initiation Notice,\7\ the Department stated that it would
calculate combination rates for the respondents that are eligible for a
separate rate in this investigation. Policy Bulletin 05.1 describes
this practice.\8\ In this case, because neither respondent qualified
for a separate rate, combination rates were not calculated.
---------------------------------------------------------------------------
\7\ See Certain Biaxial Integral Geogrid Products from the
People's Republic of China: Initiation of Less-Than-Fair-Value
Investigation, 81 FR 7755, 7756 (February 16, 2016) (Initiation
Notice).
\8\ See Enforcement and Compliance's Policy Bulletin No. 05.1,
regarding, ``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.
---------------------------------------------------------------------------
Final Affirmative Determination of Critical Circumstances, in Part
For the Preliminary Determination, the Department found that
critical circumstances existed with respect to imports of geogrids from
the PRC produced or exported by Taian Modern and the PRC-wide entity,
but not with respect to imports of geogrids from BOSTD.\9\ We are not
modifying our final critical circumstances finding for the PRC-wide
entity (which now includes Taian Modern and BOSTD). Thus, pursuant to
section 735(a)(3) of the Act and 19 CFR 351.206, we find that critical
circumstances exist with respect to all exports of subject merchandise
in this investigation. For further discussion, see the Issues and
Decision Memorandum at Comments 1, 9 and 13.
---------------------------------------------------------------------------
\9\ See Preliminary Determination, and accompanying Preliminary
Decision Memorandum at 7-10.
---------------------------------------------------------------------------
PRC-Wide Entity
In this final determination, as discussed above, we are applying a
rate based entirely on adverse facts available to the PRC-wide entity
(which now includes the two mandatory respondents). Additionally, as
explained in the Preliminary Determination, the Department did not
receive timely responses to its Q&V questionnaire or separate rate
applications from the PRC exporters and/or producers of subject
merchandise that were named in the petition and to which the Department
issued Q&V questionnaires.\10\ As these non-responsive PRC companies
did not demonstrate that they are eligible for separate rate status,
the Department continues to consider them to be part of the PRC-wide
entity.
---------------------------------------------------------------------------
\10\ See Preliminary Determination, and accompanying Preliminary
Decision Memorandum at 16-17 (Separate Rate).
---------------------------------------------------------------------------
PRC-Wide Rate
For the final determination, we assigned as the AFA rate for the
PRC-wide entity the highest dumping margin from the petition, i.e.,
372.81 percent. In selecting this AFA rate for the PRC-wide entity, the
Department's practice is to select a rate that is sufficiently adverse
to ensure that the uncooperative party does not obtain a more favorable
result by failing to cooperate than if it had fully cooperated.\11\
Specifically, it is the Department's practice to select, as an AFA
rate, the higher of: (a) The highest dumping margin alleged in the
petition; or, (b) the highest calculated dumping margin of any
respondent in the investigation.\12\ There are no calculated margins
for any respondents in this investigation. Therefore, as AFA, the
Department has assigned to the PRC-wide entity the rate of 372.81
percent, which is the highest dumping margin alleged in the petition.
The dumping margin for the PRC-wide entity applies to all entries of
the merchandise under investigation.\13\
---------------------------------------------------------------------------
\11\ See, e.g., Notice of Preliminary Determination of Sales at
Less Than Fair Value and Postponement of Final Determination:
Purified Carboxymethylcellulose from Finland, 69 FR 77216 (December
27, 2004), unchanged in Notice of Final Determination of Sales at
Less Than Fair Value: Purified Carboxymethylcellulose from Finland,
70 FR 28279 (May 17, 2005).
\12\ See, e.g., Certain Stilbenic Optical Brightening Agents
from the People's Republic of China: Final Determination of Sales at
Less Than Fair Value, 77 FR 17436, 17438 (March 26, 2012); Final
Determination of Sales at Less Than Fair Value: Certain Cold-Rolled
Flat-Rolled Carbon Quality Steel Products from the People's Republic
of China, 65 FR 34660 (May 31, 2000), and accompanying Issues and
Decision Memorandum.
\13\ For a detailed discussion, see Issues and Decision
Memorandum.
---------------------------------------------------------------------------
Final Determination
The Department determines that the estimated final weighted-average
dumping margins are as follows:
------------------------------------------------------------------------
Weighted-
average
Exporter Producer margin
(percent)
------------------------------------------------------------------------
PRC-Wide Entity \14\........................... ......... 372.81
------------------------------------------------------------------------
\14\ As discussed above, the PRC-wide entity includes BOSTD and Taian
Modern.
Disclosure
Because our final determination is based entirely on AFA, there are
no calculations to disclose.
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 geogrids from the PRC
as described in the ``Scope of the Investigation'' section, which were
entered, or withdrawn from warehouse, for consumption on or after
August 22, 2016, the date of publication in the Federal Register of the
Preliminary Determination. For entries made by Taian Modern and the
PRC-wide entity, in accordance with section 735(c)(4)(A) of the Act,
because we
[[Page 3286]]
continue to find that critical circumstances exist, we will instruct
CBP to continue to suspend liquidation of all appropriate entries of
geogrids from the PRC which were entered, or withdrawn from warehouse,
for consumption on or after May 24, 2016, which is 90 days prior to the
date of publication in the Federal Register of the Preliminary
Determination. Provisional measures were not imposed retrospectively
for BOSTD because of the Department's preliminary negative critical
circumstances determination with respect to it. However, the final
affirmative critical circumstances determination now applies to BOSTD
as it is now being treated as part of the PRC-wide entity. Accordingly,
pursuant to section 735(c)(4)(C) of the Act, the Department will
instruct CBP to suspend liquidation of all entries of geogrids from the
PRC from BOSTD, which were entered, or withdrawn from warehouse, for
consumption on or after 90-days prior to the date of publication of
this final determination in the Federal Register.
Further, pursuant to section 735(c)(1)(B)(ii) of the Act, the
Department will instruct CBP to require a cash deposit \15\ equal to
the amount by which the normal value exceeds U.S. price, adjusted where
appropriate for export subsidies and estimated domestic subsidy pass-
through. For all combinations of PRC exporters/producers of merchandise
under consideration, the cash deposit rate will be equal to the dumping
margin established for the PRC-wide entity.
---------------------------------------------------------------------------
\15\ 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).
---------------------------------------------------------------------------
As we stated in the Preliminary Determination, 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.\16\ In this LTFV investigation, for the PRC-wide entity, which
received an AFA rate, pursuant to section 776(b) of the Act, the
Department has adjusted the PRC-wide entity's AD cash deposit rate by
the lowest export subsidy rate determined for any party in the
companion CVD proceeding.\17\ Here, that rate is zero and, thus, no
adjustment is necessary for the PRC-wide rate.\18\ Furthermore, the
Department did not adjust the final determination AD cash deposit rates
for estimated domestic subsidy pass-through because respondents
provided no reliable, accurate information to support an adjustment,
pursuant to section 777A(f) of the Act.\19\
---------------------------------------------------------------------------
\16\ See Preliminary Determination, 81 FR at 56585-6.
\17\ See, e.g., Certain Passenger Vehicle and Light Truck Tires
from the People's Republic of China: Preliminary Determination of
Sales at Less Than Fair Value; Preliminary Affirmative Determination
of Critical Circumstances; In Part and Postponement of Final
Determination, 80 FR 4250 (January 27, 2015), and accompanying
Issues and Decision Memorandum at 35.
\18\ See Countervailing Duty Investigation of Certain Biaxial
Integral Geogrid Products from the People's Republic of China: Final
Affirmative Determination and Final Determination of Critical
Circumstances, in Part, dated concurrently with this notice.
\19\ See Issues and Decision Memorandum at Comments 1 and 9 for
further discussion of our findings to apply total AFA to BOSTD and
Taian Modern.
---------------------------------------------------------------------------
International Trade Commission Notification
In accordance with section 735(d) of the Act, we notified the
International Trade Commission (ITC) of the final affirmative
determination of sales at LTFV. As the Department's final determination
is affirmative, in accordance with section 735(b)(2) of the Act, the
ITC will determine, within 45 days, whether the domestic industry in
the United States is materially injured, or threatened with material
injury, by reason of imports of geogrids for sale from the PRC, or
sales (or the likelihood of sales) for importation, of geogrids from
the PRC. If the ITC determines that such injury does not exist, this
proceeding will be terminated and all securities posted will be
refunded or canceled. 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.
Return or Destruction of Proprietary Information
This notice also serves as a reminder to the parties subject to
administrative protective order (APO) of their responsibility
concerning the disposition of propriety information disclosed under APO
in accordance with 19 CFR 351.305. Timely written notification of
return or destruction of APO materials or conversion to judicial
protective order is hereby requested. Failure to comply with the
regulations and terms of an APO is a sanctionable violation.
This determination is issued and published in accordance with
sections 735(d) and 777(i)(1) of the Act.
Dated: January 4, 2017.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
Appendix I--Scope of the Investigation
The products covered by the scope are certain biaxial integral
geogrid products. Biaxial integral geogrid products are a polymer
grid or mesh material (whether or not finished, slit, cut-to-length,
attached to woven or non-woven fabric or sheet material, or
packaged) in which four-sided openings in the form of squares,
rectangles, rhomboids, diamonds, or other four-sided figures
predominate. The products covered have integral strands that have
been stretched to induce molecular orientation into the material (as
evidenced by the strands being thinner in width toward the middle
between the junctions than at the junctions themselves) constituting
the sides of the openings and integral junctions where the strands
intersect. The scope includes products in which four-sided figures
predominate whether or not they also contain additional strands
intersecting the four-sided figures and whether or not the inside
corners of the four-sided figures are rounded off or not sharp
angles. As used herein, the term ``integral'' refers to strands and
junctions that are homogenous with each other. The products covered
have a tensile strength of greater than 5 kilonewtons per meter
(``kN/m'') according to American Society for Testing and Materials
(``ASTM'') Standard Test Method D6637/D6637M in any direction and
average overall flexural stiffness of more than 100,000 milligram-
centimeter according to the ASTM D7748/D7748M Standard Test Method
for Flexural Rigidity of Geogrids, Geotextiles and Related Products,
or other equivalent test method standards.
Subject merchandise includes material matching the above
description that has been finished, packaged, or otherwise further
processed in a third country, including by trimming, slitting,
coating, cutting, punching holes, stretching, attaching to woven or
non-woven fabric or sheet material, or any other finishing,
packaging, or other further processing that would not otherwise
remove the merchandise from the scope of the investigations if
performed in the country of manufacture of the biaxial integral
geogrid.
The products subject to the scope are currently classified in
the Harmonized Tariff Schedule of the United States (``HTSUS'')
under the following subheading: 3926.90.9995. Subject merchandise
may also enter under subheadings 3920.20.0050 and 3925.90.0000. The
HTSUS subheadings set forth above are provided for convenience and
U.S. Customs purposes only. The written description of the scope is
dispositive.
Appendix II--Issues and Decision Memorandum
I. Summary
[[Page 3287]]
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Changes Since the Preliminary Determination
VI. Application of Adverse Facts Available
VII. Affirmative Finding of Critical Circumstances
VIII. List of Comments
IX. Discussion of the Issues
Company-Specific Issues
BOSTD
Comment 1: Application of Total Adverse Facts Available (AFA) to
BOSTD
Comment 2: Moot Arguments for BOSTD
Taian Modern
Comment 3: Application of Total AFA to Taian Modern
Comment 4: Moot Arguments for Taian Modern
General Issues
Comment 5: Selection of AFA Rate to PRC-Wide Entity
Comment 6: Critical Circumstances
Comment 7: Moot Arguments for General Issues
[FR Doc. 2017-00428 Filed 1-10-17; 8:45 am]
BILLING CODE 3510-DS-P