[Federal Register Volume 83, Number 153 (Wednesday, August 8, 2018)]
[Notices]
[Pages 39058-39060]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-16900]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-075]


Certain Plastic Decorative Ribbon From the People's Republic of 
China: Preliminary Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that certain plastic decorative ribbon (plastic ribbon) from the 
People's Republic of China (China) is being, or is likely to be, sold 
in the United States at less than fair value (LTFV), for the period of 
investigation (POI) April 1, 2017, through September 30, 2017. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable August 8, 2018.

FOR FURTHER INFORMATION CONTACT: Nancy Decker, Lauren Caserta, or 
Caitlin Monks, AD/CVD Operations, Office VII, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: 
(202) 482-0196, (202) 482-4737, or (202) 482-2670, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce published the notice of initiation of this investigation 
on January 23, 2018.\1\ Commerce exercised its discretion to toll 
deadlines affected by the closure of the Federal Government from 
January 20 through 22, 2018.\2\ Subsequently, Commerce postponed the 
deadline for the preliminary determination to July 30, 2018.\3\ For a 
complete description of the events that followed the initiation of this 
investigation, see the Preliminary Decision Memorandum.\4\ A list of 
topics included in the Preliminary Decision Memorandum is included as 
Appendix II to this notice. 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 Plastic Decorative Ribbon from the People's 
Republic of China: Initiation of Less-Than-Fair-Value Investigation, 
83 FR 3126 (January 23, 2018) (Initiation Notice).
    \2\ See Memorandum, ``Deadlines Affected by the Shutdown of the 
Federal Government,'' dated January 23, 2018 (Tolling Memorandum). 
Accordingly, all deadlines in this segment of the proceeding have 
been extended by 3 days.
    \3\ Note that the revised deadline reflects a full postponement 
to 190 days after the date on which this investigation was 
initiated, in addition to the 3-day extension due to closure of the 
Federal Government. See Certain Plastic Decorative Ribbon from the 
People's Republic of China: Postponement of Preliminary 
Determination in the Less-Than-Fair-Value Investigation, 83 FR 13256 
(March 28, 2018).
    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Antidumping Duty Investigation of Certain 
Plastic Decorative Ribbon from the People's Republic of China'' 
(Preliminary Decision Memorandum), dated concurrently with and 
hereby adopted by this notice.
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Scope of the Investigation

    The product covered by this investigation is plastic ribbon from 
China. For a full description of the scope of this investigation, see 
the ``Scope of the Investigation'' in Appendix I.

Scope Comments

    In accordance with the preamble to the Commerce's regulations,\5\ 
the Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\6\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttal responses submitted to the record for this preliminary 
determination, and accompanying discussion and analysis of all comments 
timely received, see the Preliminary Scope Decision Memorandum.\7\ In 
response to the submitted comments, Commerce is preliminarily modifying 
the scope language as it appeared in the Initiation Notice to exclude 
certain shredded plastic film/strip and to clarify ``exclusion (4).'' 
See ``Scope of the Investigation'' in Appendix I, which includes the 
additional clarifying language.
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    \5\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \6\ See Initiation Notice, 83 FR at 3126.
    \7\ See Memorandum, ``Certain Plastic Decorative Ribbon from the 
People's Republic of China: Scope Comments Preliminary Decision 
Memorandum'' (Preliminary Scope Decision Memorandum), dated 
concurrently with and hereby adopted by this notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Export prices have been calculated in 
accordance with section 772(a) of the Act. Because China is a non-
market economy within the meaning of section 771(18) of the Act, we 
calculated normal value (NV) in accordance with section 773(c) of the 
Act. In addition, Commerce has preliminarily relied upon facts 
available under section 776(a)(1) of the Act, including the use of an 
adverse inference under section 776(b) of the Act, for determining the 
antidumping margin for one producer and exporter combination, as well 
as for the China-wide entity. For a full description of the methodology 
underlying our preliminary conclusions, see the Preliminary Decision 
Memorandum.

Combination Rates

    In the Initiation Notice, Commerce stated that it would calculate 
producer/exporter combination rates for the respondents that are 
eligible for a separate rate in this investigation. Policy Bulletin 
05.1 describes this practice.\8\
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    \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 
Commerce's website at http://enforcement.trade.gov/policy/bull05-1.pdf.

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[[Page 39059]]

Preliminary Determination

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

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
            Exporter                     Producer             dumping
                                                              margin
                                                             (percent)
------------------------------------------------------------------------
Ningbo Junlong Craft Gift Co.,   Ningbo Junlong Craft              45.16
 Ltd.                             Gift Co., Ltd.
Dongguan Mei Song Plastic        Dongguan Mei Song                 50.93
 Industry Co., Ltd.               Plastic Industry Co.,
                                  Ltd.
Ricai Film Artwork Materials     Dongguan Ricai Plastic         * 370.04
 Co., Ltd.                        Technology Co., Ltd.
Sun Rich (Asia) Ltd............  Kai Feng Decoration               48.05
                                  (Hui Zhou) Co., Ltd.
Sun Rich (Asia) Ltd............  Sheng Yi Decoration               48.05
                                  (Dong Guan) Co., Ltd.
Joynice Gifts & Crafts Co., Ltd  Joynice Gifts & Crafts            48.05
                                  Co., Ltd.
Chiapton Gifts Decorative        Nan Mei (Huizhou)                 48.05
 Limited.                         Ribbon Art Factory Ltd.
Chiapton Gifts Decorative        Shantou Longhu YingXin            48.05
 Limited.                         Art Craft Factory Co.
                                  Ltd.
Colorart Plastic Ribbon          Colorart Industrial               48.05
 Productions Limited.             Limited.
Zhejiang Shaoxing Royal Arts &   Santa's Collection                48.05
 Crafts Co., Ltd.                 Shaoxing Co. Ltd.
Zhejiang Shaoxing Royal Arts &   Zheijang Shaoxing Royal           48.05
 Crafts Co., Ltd.                 Arts & Crafts Co., Ltd.
Wingo Gift & Crafts (Shenzhen)   Wingo Gift & Crafts               48.05
 Co., Ltd.                        (Shenzhen) Co., Ltd.
Seng San Enterprises Co., Ltd..  Xin Seng San Handicraft           48.05
                                  (ShenZhen) Co., Ltd.
Xiangxin Decoration Factory....  Xiangxin Decoration               48.05
                                  Factory.
Xinghui Packaging Co., Ltd.....  Xinghui Packaging Co.,            48.05
                                  Ltd.
Shenzhen SHS Technology R&D      Shenzhen SHS Technology           48.05
 Co., Ltd.                        R&D Co., Ltd.
------------------------------------------------------------------------
                    China-Wide Entity                           * 370.04
------------------------------------------------------------------------
* Determined on the basis of adverse facts available.

    As detailed in the Preliminary Decision Memorandum, because parties 
to whom we issued Q&V questionnaires did not provide timely quantity 
and value questionnaire responses or separate rate applications,\9\ the 
China-wide entity also includes these non-responsive companies. See 
Appendix III for a list of companies that did not respond to the 
quantity and value questionnaire.
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    \9\ See Memorandum to the File, ``Antidumping Duty Investigation 
of Plastic Decorative Ribbon from the People's Republic of China: 
Respondent Selection'' (March 1, 2018).
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Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, we will direct 
U.S. Customs and Border Protection (CBP) to suspend liquidation of all 
entries of plastic ribbon from China as described in the scope of the 
investigation section entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of this notice in the 
Federal Register.
    Pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the 
weighted-average amount by which the NV exceeds U.S. price as follows: 
(1) The cash deposit rate for the exporter/producer combination listed 
in the table above will be the rate identified for that combination in 
the table; (2) for all combinations of Chinese exporters/producers of 
merchandise under consideration that have not received their own 
separate rate above, the cash-deposit rate will be the cash deposit 
rate established for the China-wide entity, 370.04 percent; and (3) for 
all non-Chinese exporters of the merchandise under consideration which 
have not received their own separate rate above, the cash-deposit rate 
will be the cash deposit rate applicable to the Chinese exporter/
producer combination that supplied that non-Chinese exporter. These 
suspension of liquidation instructions will remain in effect until 
further notice.

Disclosure and Public Comment

    We will disclose the calculations performed to parties to this 
proceeding within five days of the date of announcement of this 
preliminary determination in accordance with 19 CFR 351.224(b). 
Interested parties may submit case briefs, rebuttal briefs, and hearing 
requests.\10\ For a schedule of the deadlines for filing case briefs, 
rebuttal briefs, and hearing requests, see the Preliminary Decision 
Memorandum at Section IX.
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    \10\ See 19 CFR 351.309(c)-(d), 19 CFR 351.310(c).
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International Trade Commission (ITC) Notification

    In accordance with section 733(f) of the Act, we will notify the 
United States International Trade Commission (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: July 30, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation is certain plastic 
decorative ribbon having a width (measured at the narrowest span of 
the ribbon) of less than or equal to four (4) inches in actual 
measurement, including but not limited to ribbon wound onto itself; 
a spool, a core or a tube (with or without flanges); attached to a 
card or strip; wound into a keg- or egg-shaped configuration; made 
into bows, bow-like items, or other shapes or configurations; and 
whether or not packaged or labeled for

[[Page 39060]]

retail sale. The subject merchandise is typically made of substrates 
of polypropylene, but may be made in whole or in part of any type of 
plastic, including without limitation, plastic derived from 
petroleum products and plastic derived from cellulose products. 
Unless the context otherwise clearly indicates, the word ``ribbon'' 
used in the singular includes the plural and the plural ``ribbons'' 
includes the singular.
    The subject merchandise includes ribbons comprised of one or 
more layers of substrates made, in whole or in part, of plastics 
adhered to each other, regardless of the method used to adhere the 
layers together, including without limitation, ribbons comprised of 
layers of substrates adhered to each other through a lamination 
process. Subject merchandise also includes ribbons comprised of (a) 
one or more layers of substrates made, in whole or in part, of 
plastics adhered to (b) one or more layers of substrates made, in 
whole or in part, of non-plastic materials, including, without 
limitation, substrates made, in whole or in part, of fabric.
    The ribbons subject to this investigation may be of any color or 
combination of colors (including without limitation, ribbons that 
are transparent, translucent or opaque) and may or may not bear 
words or images, including without limitation, those of a holiday 
motif. The subject merchandise includes ribbons with embellishments 
and/or treatments, including, without limitation, ribbons that are 
printed, hot-stamped, coated, laminated, flocked, crimped, die-cut, 
embossed (or that otherwise have impressed designs, images, words or 
patterns), and ribbons with holographic, metallic, glitter or 
iridescent finishes.
    Subject merchandise includes ``pull-bows'' an assemblage of 
ribbons connected to one another, folded flat, and equipped with a 
means to form such ribbons into the shape of a bow by pulling on a 
length of material affixed to such assemblage, and ``pre-notched'' 
bows, an assemblage of notched ribbon loops arranged one inside the 
other with the notches in alignment and affixed to each other where 
notched, and which the end user forms into a bow by separating and 
spreading the loops circularly around the notches, which form the 
center of the bow. Subject merchandise includes ribbons that are 
packaged with non-subject merchandise, including ensembles that 
include ribbons and other products, such as gift wrap, gift bags, 
gift tags and/or other gift packaging products. The ribbons are 
covered by the scope of this investigation; the ``other products'' 
(i.e., the other, non-subject merchandise included in the ensemble) 
are not covered by the scope of this investigation.
    Excluded from the scope of this investigation are the following: 
(1) Ribbons formed exclusively by weaving plastic threads together; 
(2) ribbons that have metal wire in, on, or along the entirety of 
each of the longitudinal edges of the ribbon; (3) ribbons with an 
adhesive coating covering the entire span between the longitudinal 
edges of the ribbon for the entire length of the ribbon; (4) ribbon 
formed into a bow without a tab or other means for attaching the bow 
to an object using adhesives, where the bow has: (a) An outer layer 
that is either flocked or made of fabric, and (b) a flexible metal 
wire at the base which permits attachment to an object by twist-
tying; (5) elastic ribbons, meaning ribbons that elongate when 
stretched and return to their original dimension when the stretching 
load is removed; (6) ribbons affixed as a decorative detail to non-
subject merchandise, such as a gift bag, gift box, gift tin, 
greeting card or plush toy, or affixed (including by tying) as a 
decorative detail to packaging containing non subject merchandise; 
(7) ribbons that are (a) affixed to non-subject merchandise as a 
working component of such non-subject merchandise, such as where the 
ribbon comprises a book marker, bag cinch, or part of an identity 
card holder, or (b) affixed (including by tying) to non-subject 
merchandise as a working component that holds or packages such non-
subject merchandise or attaches packaging or labeling to such non-
subject merchandise, such as a ``belly band'' around a pair of 
pajamas, a pair of socks or a blanket; (8) imitation raffia made of 
plastics having a thickness not more than one (1) mil when measured 
in an unfolded/untwisted state; and (9) ribbons in the form of bows 
having a diameter of less than seven-eighths (\7/8\) of an inch, or 
having a diameter of more than 16 inches, based on actual 
measurement. For purposes of this exclusion, the diameter of a bow 
is equal to the diameter of the smallest circular ring through which 
the bow will pass without compressing the bow.
    The scope of the investigation is not intended to include 
shredded plastic film or shredded plastic strip, in each case where 
the shred does not exceed 5 mm in width and does not exceed 18 
inches in length, imported in bags.
    Further, excluded from the scope of the antidumping duty 
investigation are any products covered by the existing antidumping 
duty order on polyethylene terephthalate film, sheet, and strip (PET 
Film) from the People's Republic of China (China). See Polyethylene 
Terephthalate Film, Sheet, and Strip from Brazil, the People's 
Republic of China and the United Arab Emirates: Antidumping Duty 
Orders and Amended Final Determination of Sales at Less Than Fair 
Value for the United Arab Emirates, 73 FR 66595 (November 10, 2008).
    Merchandise covered by this investigation is currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) under subheadings 3920.20.0015 and 3926.40.0010. Merchandise 
covered by this investigation also may enter under subheadings 
3920.10.0000; 3920.20.0055; 3920.30.0000; 3920.43.5000; 
3920.49.0000; 3920.62.0050; 3920.62.0090; 3920.69.0000; 
3921.90.1100; 3921.90.1500; 3921.90.1910; 3921.90.1950; 
3921.90.4010; 3921.90.4090; 3926.90.9996; 5404.90.0000; 
9505.90.4000; 4601.99.9000; 4602.90.0000; 5609.00.3000; 
5609.00.4000; and 6307.90.9889. These HTSUS subheadings are provided 
for convenience and customs purposes; the written description of the 
scope of this investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. SUMMARY
II. BACKGROUND
III. PERIOD OF INVESTIGATION
IV. SCOPE COMMENTS
V. SCOPE OF THE INVESTIGATION
VI. DISCUSSION OF THE METHODOLOGY
    a. Non-Market Economy Country
    b. Surrogate Country and Surrogate Values Comments
    c. Separate Rates
    d. The China-wide Entity
    e. Application of Facts Available and Adverse Inferences
    f. Date of Sale
    g. Comparisons to Fair Value
    h. U.S. Price
    i. Normal Value
    j. Factor Valuation Methodology
VII. CURRENCY CONVERSION
VIII. ADJUSTMENT UNDER SECTION 777A(F) OF THE ACT
IX. DISCLOSURE AND PUBLIC COMMENT
X. VERIFICATION
XI. CONCLUSION

Appendix III

Unresponsive Companies

1. Best Craftwork Products Co., Ltd.
2. Billion Trend International Ltd.
3. Dongguan Xinghui Packaging Co., Ltd.
4. Fangtai Webbing Co.
5. Foshan City Shunde District Fangtai Webbing Co., Ltd.
6. Hangzhou Jiefa Materials Co., Ltd.
7. Hangzhou Owner Party Co., Ltd.
8. Jiaxing Kaiya Textile Co., Ltd.
9. Long Fine Gift & Bags Factory
10. Nan Mei Decorative Ribbons Co., Ltd.
11. Ningbo Qianyi Color Ribbon Co., Ltd.
12. Ningbo Sellers Union Co., Ltd.
13. Qingdao Hileaders Co., Ltd.
14. Shanghai Foreign Trade Enterprises Pudong Co., Ltd.
15. Shenzhen Ao Wei Gift Co., Ltd.
16. Shenzhen Gary Gifts Packing Co., Ltd.
17. Shenzhen Guangyunda Technology Co., Ltd.
18. True Color Gift Packing Co., Ltd.
19. Wellmark Gift (Shenzhen) Co Ltd
20. Wello Gift Co., Ltd.
21. Xiamen Golden Grand Lucky Ribbon & Bow Co., Ltd.
22. Xiamen Meisida Decorations Co., Ltd.
23. Yangzhou Bestpak Gifts & Crafts Co., Ltd.
24. Yiwu Eco-Tondo Artware Co., Ltd.
25. Yongjiaxin Gifts & Crafts Factory

[FR Doc. 2018-16900 Filed 8-7-18; 8:45 am]
 BILLING CODE 3510-DS-P