[Federal Register Volume 83, Number 221 (Thursday, November 15, 2018)]
[Notices]
[Pages 57421-57424]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24869]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-073]


Antidumping Duty Investigation of Common Alloy Aluminum Sheet 
From the People's Republic of China: Affirmative Final Determination of 
Sales at Less-Than-Fair Value

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

SUMMARY: The Department of Commerce (Commerce) determines that common 
alloy aluminum sheet (common alloy sheet) 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.

DATES: Applicable November 15, 2018.

FOR FURTHER INFORMATION CONTACT: Scott Hoefke or Julie Geiger, AD/CVD 
Operations, Office VI, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone (202) 482-4947 and (202) 482-2057, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On June 6, 2018, Commerce published in the Federal Register the 
Preliminary Determination and invited interested parties to comment.\1\ 
On August 8, 2018, Commerce published in the Federal Register the 
Amended Preliminary Determination.\2\ A summary of the events that 
occurred since Commerce published the Preliminary Determination, as 
well as a full discussion of the issues raised by parties for this 
final determination, may be found in the Issues and Decision Memorandum 
that is dated concurrently with this determination and hereby adopted 
by this notice.\3\
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    \1\ See Antidumping Duty Investigation of Common Alloy Aluminum 
Sheet from the People's Republic of China: Affirmative Preliminary 
Determination of Sales at Less-Than-Fair Value, Preliminary 
Affirmative Determination of Critical Circumstance, and Postponement 
of Final Determination, 83 FR 29088 (June 22, 2018) (Preliminary 
Determination) and accompanying Preliminary Decision Memorandum.
    \2\ See Common Alloy Aluminum Sheet from the People's Republic 
of China: Amended Preliminary Affirmative Determination of Sales at 
Less Than Fair Value, 83 FR 39056 (August 8, 2018) (Amended 
Preliminary Determination).
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the Antidumping Duty Investigation of Common Alloy 
Aluminum Sheet from the People's Republic of China,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).

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[[Page 57422]]

    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 and 
is available 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 can be accessed directly 
at http://enforcement.trade.gov/frn/. The signed Issues and Decision 
Memorandum and the electronic version are identical in content.

Scope Comments

    We invited parties to comment on Commerce's Scope Comments 
Preliminary Decision Memorandum.\4\ Commerce has reviewed the briefs 
submitted by interested parties, considered the arguments therein, and 
has made no changes to the scope of the investigation. For further 
discussion, see Commerce's Scope Comments Final Decision Memorandum.\5\
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    \4\ See Memorandum, ``Common Alloy Aluminum Sheet from the 
People's Republic of China: Scope Comments Preliminary Decision 
Memorandum,'' dated June 15, 2018.
    \5\ See Memorandum, ``Common Alloy Aluminum Sheet from the 
People's Republic of China: Scope Comments Final Decision 
Memorandum,'' dated concurrently with this memorandum.
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Methodology

    Commerce conducted this investigation in accordance with section 
731 of the Tariff Act of 1930, as amended (the Act). For a full 
description of the methodology underlying our final determination, see 
the Issues and Decision Memorandum.

Scope of the Investigation

    The merchandise covered by this investigation is common alloy sheet 
from China. For a complete description of the scope of this 
investigation, see Appendix I.

Verification

    As provided in section 782(i) of the Act, in July, we conducted 
verification of the questionnaire responses submitted by Henan Mingtai 
Industrial Co., Ltd. and Zhengzhou Mingtai (collectively, Mingtai). We 
issued verification reports on August 28, 2018.\6\ We used standard 
verification procedures, including an examination of relevant 
accounting and financial records, and original source documents 
provided by Mingtai.
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    \6\ See Commerce Memoranda, ``Verification of the Questionnaire 
Responses of Henan Mingtai Al Industrial Co., ltd. and Zhengzhou 
Mingtai Industry Co., Ltd. in the Less-Than-Fair-Value Investigation 
of Common Alloy Aluminum Sheet from the People's Republic of 
China,'' dated August 28, 2018.
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Period of Investigation

    The POI is April 1, 2017, through September 30, 2017.

Analysis of Comments Received

    The issues raised in the case and rebuttal briefs that were 
submitted by parties are discussed in the Issues and Decision 
Memorandum. A list of the issues that parties raised, and to which we 
responded in the Issues and Decision Memorandum, is attached to this 
notice at Appendix II.

Final Affirmative Determination, in Part, of Critical Circumstances

    In the Preliminary Determination, we found that critical 
circumstances exist for to Nanjie Resources Co., Limited (Nanjie), Yong 
Jie New Material Co., Ltd. (Yong Jie New Material), and Zhejiang 
Yongjie Aluminum Co., Ltd. (Yongjie Aluminum) (collectively, Yongjie 
Companies); Zhejiang GKO Aluminium Stock Co., Ltd. (GKO Aluminium); the 
companies eligible for a separate rate; and the China-wide entity.\7\ 
After analyzing comments received from interested parties regarding our 
preliminary critical circumstances determinations, we continue to find 
that, in accordance with section 735(a)(3) of the Act and 19 CFR 
351.206, critical circumstances exist with respect to Nanjie, the 
Yongjie Companies, GKO Aluminium, the companies eligible for a separate 
rate, and the China-wide entity.\8\
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    \7\ See Preliminary Determination, 83 FR at 29089.
    \8\ See Issues and Decision Memorandum, at Comment 2.
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Use of Adverse Facts Available (AFA)

    For the final determination we continue to rely upon facts 
otherwise available, with adverse inferences (AFA), for the China-wide 
entity, the Yongjie Companies, and GKO Aluminium, pursuant to sections 
776(a) and (b) of the Act.

Changes Since the Preliminary Determination

    Based on our review and analysis of the comments received from 
parties, and minor corrections presented at verification, we made 
certain changes to Mingtai's margin calculation since the Preliminary 
Determination. For Mingtai, we calculated U.S. price and normal value 
using the same methodology stated in the Preliminary Determination, 
except as follows:
     We revised the surrogate value for Mingtai's argon factor 
of production using data from Bulgaria instead of South Africa.
     We revised the surrogate value for Mingtai's prompt 
aluminum scrap factor of production.
     We revised Mingtai's normal value calculation by: (1) 
Disallowing a claimed by-product offset; and (2) treating run-around 
aluminum scrap as a direct material input, not as a by-product.

China-Wide Entity

    For the final determination, we continue to find that the China-
wide entity, which includes certain Chinese exporters and/or producers 
that did not respond to Commerce's requests for information, including 
mandatory respondents GKO Aluminium and the Yongjie Companies, failed 
to provide necessary information, failed to provide information in a 
timely manner, and significantly impeded this proceeding by not 
submitting the requested information. We also continue to find that the 
China-wide entity failed to cooperate to the best of its ability. As a 
result, we continue to rely on AFA in determining the rate for the 
China-wide entity and, as AFA, we select the highest rate listed in the 
initiation of the investigation (i.e., 59.72 percent), which is greater 
than the revised weighted-average dumping margin of Mingtai (i.e., 
49.85 percent).\9\
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    \9\ See Issues and Decision Memorandum, at 5-7.
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Combination Rates

    Consistent with Preliminary Determination \10\ and Policy Bulletin 
05.1,\11\ Commerce calculated combination rates for the respondents 
that are eligible for a separate rate in this investigation.
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    \10\ See Preliminary Determination, 83 FR at 29089-29090.
    \11\ 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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Final Determination

    The final weighted-average antidumping margins are as follows:

[[Page 57423]]



----------------------------------------------------------------------------------------------------------------
                                                                                                   Cash deposit
                                                                                     Weighted-     adjusted for
                   Exporter                                 Producer              average margin  subsidy offset
                                                                                     (percent)       (percent)
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Henan Mingtai Al Industrial Co., Ltd./          Henan Mingtai Al Industrial Co.,           49.85           49.85
 Zhengzhou Mingtai Industry Co., Ltd.            Ltd./Zhengzhou Mingtai Industry
                                                 Co., Ltd.
Alcha International Holdings Limited..........  Jiangsu Alcha Aluminium Co., Ltd           49.85           49.85
Alumax Composite Material (Jiangyin) Co., Ltd.  Chalco Ruimin Co., Ltd..........           49.85           49.85
Granges Aluminum (Shanghai) Co., Ltd..........  Granges Aluminum (Shanghai) Co.,           49.85           49.85
                                                 Ltd.
Henan Founder Beyond Industry Co., Ltd........  Henan Xintai Aluminum Industry             49.85           49.85
                                                 Co., Ltd.
Huafon Nikkei Aluminium Corporation...........  Huafon Nikkei Aluminium                    49.85           49.85
                                                 Corporation.
Jiangsu Lidao New Material Co., Ltd...........  Henan Jinyang Luyue Co., Ltd....           49.85           49.85
Jiangsu Lidao New Material Co., Ltd...........  Jiangsu Zhong He Aluminum Co.,             49.85           49.85
                                                 Ltd.
Jiangyin Litai Ornamental Materials Co., Ltd..  Jiangyin Litai Ornamental                  49.85           49.85
                                                 Materials Co., Ltd.
Jiangyin New Alumax Composite Material Co. Ltd  Chalco Ruimin Co., Ltd..........           49.85           49.85
Shandong Fuhai Industrial Co., Ltd............  Shandong Fuhai Industrial Co.,             49.85           49.85
                                                 Ltd.
Tianjin Zhongwang Aluminium Co., Ltd..........  Tianjin Zhongwang Aluminium Co.,           49.85           49.85
                                                 Ltd.
Xiamen Xiashun Aluminum Foil Co., Ltd.........  Xiamen Xiashun Aluminum Foil               49.85           49.85
                                                 Co., Ltd.
Yantai Jintai International Trade Co., Ltd....  Shandong Nanshan Aluminium Co.,            49.85           49.85
                                                 Ltd.
Yinbang Clad Material Co., Ltd................  Yinbang Clad Material Co., Ltd..           49.85           49.85
Zhengzhou Silverstone Limited.................  Henan Zhongyuan Aluminum Co.,              49.85           49.85
                                                 Ltd.
Zhengzhou Silverstone Limited.................  Luoyang Xinlong Aluminum Co.,              49.85           49.85
                                                 Ltd.
Zhengzhou Silverstone Limited.................  Shanghai Dongshuo Metal Trade              49.85           49.85
                                                 Co., Ltd.
Zhengzhou Silverstone Limited.................  Zhengzhou Mingtai Industry Co.,            49.85           49.85
                                                 Ltd.
                                                                                 -------------------------------
    China-Wide Entity \12\....................  ................................           59.72           59.72
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Disclosure

    We intend to disclose to parties in this proceeding the 
calculations performed for this final determination within five days of 
the date of public announcement of our final determination, in 
accordance with 19 CFR 351.224(b).
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    \12\ The China-wide entity also includes the following companies 
that filed separate rate applications: Nanjie Resources Co., 
Limited, Yong Jie New Material Co., Ltd., and Zhejiang Yongjie 
Aluminum Co., Ltd., Zhejiang GKO Aluminium Stock Co., Ltd.; Alnan 
Aluminium Inc.; Chalco Ruimin Co., Ltd.; CHALCO-SWA Cold Rolling 
Co., Ltd.; Luoyang Wanji Aluminium Processing Co., Ltd.; and Wanji 
Global (Singapore) PTE. LTD.
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Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, for this final 
determination, we will direct U.S. Customs and Border Protection (CBP) 
to continue to suspend liquidation of all entries of common alloy sheet 
from China, as described in Appendix I of this notice, which are 
entered, or withdrawn from warehouse, for consumption on or after June 
6, 2018, the date of publication in the Federal Register of the 
affirmative Preliminary Determination. Further, 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 normal value exceeds U.S. price, as indicated in the chart above 
as follows: (1) For the producer/exporter combinations listed in the 
table above, the cash deposit rate is equal to the estimated weighted-
average dumping margin listed for that combination in the table; (2) 
for all combinations of Chinese producers/exporters of merchandise 
under consideration that have not established eligibility for their own 
separate rates, the cash deposit rate will be equal to the estimated 
weighted-average dumping margin established for the China-wide entity; 
and (3) for all third-county exporters of merchandise under 
consideration not listed in the table above, the cash deposit rate is 
the cash deposit rate applicable to the Chinese producer/exporter 
combination (or the China-wide entity) that supplied that third country 
exporter. These suspension of liquidation instructions will remain in 
effect until further notice.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
International Trade Commission (ITC) of the final affirmative 
determination of sales at LTFV. Because Commerce's final determination 
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 or sales (or the likelihood of 
sales) for importation of common alloy sheet, no later than 45 days 
after this final determination. If the ITC determines that such injury 
does not exist, this proceeding will be terminated and all cash 
deposits posted will be refunded. If the ITC determines that such 
injury does exist, Commerce will issue an antidumping duty order 
directing CBP to assess, upon further instruction by Commerce, 
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, as discussed above in the 
``Suspension of Liquidation'' section.

Notification Regarding Administrative Protective Orders

    This notice will serve 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(a)(3). 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.

Return or Destruction of Proprietary Information

    In the event the ITC issues a final negative injury determination, 
this notice serves as the only reminder to parties subject to an APO of 
their responsibility concerning the destruction of proprietary 
information disclosed under APO in accordance with 19 CFR 
351.305(a)(3). Timely written notification of the return or destruction 
of APO materials, or conversion to judicial protective order, is hereby 
requested. Failure to comply

[[Page 57424]]

with the regulations and terms of an APO is a violation subject to 
sanction.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).

    Dated: November 5, 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 aluminum common 
alloy sheet (common alloy sheet), which is a flat-rolled aluminum 
product having a thickness of 6.3 mm or less, but greater than 0.2 
mm, in coils or cut-to-length, regardless of width. Common alloy 
sheet within the scope of this investigation includes both not clad 
aluminum sheet, as well as multi-alloy, clad aluminum sheet. With 
respect to not clad aluminum sheet, common alloy sheet is 
manufactured from a 1XXX-, 3XXX-, or 5XXX-series alloy as designated 
by the Aluminum Association. With respect to multi-alloy, clad 
aluminum sheet, common alloy sheet is produced from a 3XXX-series 
core, to which cladding layers are applied to either one or both 
sides of the core.
    Common alloy sheet may be made to ASTM specification B209-14, 
but can also be made to other specifications. Regardless of 
specification, however, all common alloy sheet meeting the scope 
description is included in the scope. Subject merchandise includes 
common alloy sheet that has been further processed in a third 
country, including but not limited to annealing, tempering, 
painting, varnishing, trimming, cutting, punching, and/or slitting, 
or any other processing that would not otherwise remove the 
merchandise from the scope of the investigations if performed in the 
country of manufacture of the common alloy sheet.
    Excluded from the scope of this investigation is aluminum can 
stock, which is suitable for use in the manufacture of aluminum 
beverage cans, lids of such cans, or tabs used to open such cans. 
Aluminum can stock is produced to gauges that range from 0.200 mm to 
0.292 mm, and has an H-19, H-41, H-48, or H-391 temper. In addition, 
aluminum can stock has a lubricant applied to the flat surfaces of 
the can stock to facilitate its movement through machines used in 
the manufacture of beverage cans. Aluminum can stock is properly 
classified under Harmonized Tariff Schedule of the United States 
(HTSUS) subheadings 7606.12.3045 and 7606.12.3055.
    Where the nominal and actual measurements vary, a product is 
within the scope if application of either the nominal or actual 
measurement would place it within the scope based on the definitions 
set for the above.
    Common alloy sheet is currently classifiable under HTSUS 
subheadings 7606.11.3060, 7606.11.6000, 7606.12.3090, 7606.12.6000, 
7606.91.3090, 7606.91.6080, 7606.92.3090, and 7606.92.6080. Further, 
merchandise that falls within the scope of this investigation may 
also be entered into the United States under HTSUS subheadings 
7606.11.3030, 7606.12.3030, 7606.91.3060, 7606.91.6040, 
7606.92.3060, 7606.92.6040, 7607.11.9090. Although the 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 Issues and Decision 
Memorandum

I. Summary
II. List of Issues
III. Background
IV. Period of Investigation
V. Scope of Investigation
VI. Scope Comments
VII. Changes from the Preliminary Determination
VIII. Adjustment Under Section 777A(F) of the Act
IX. Selection and Corroboration of the Adverse Facts Available Rate
X. Discussion of the Issues
    Comment 1: Application of Adverse Facts Available (AFA)
    Comment 2: Critical Circumstances Determination
    Comment 3: Surrogate Country
    Comment 4: Surrogate Value for Aluminum Scrap
    Comment 5: Surrogate Value for Argon
    Comment 6: Mingtai's Aluminum Scrap
    Comment 7: Separate Rate Status for Wanji Global and Luoyang 
Wanji
    Comment 8: Separate Rate Status for Tianjin Zhongwang
V. Recommendation

[FR Doc. 2018-24869 Filed 11-14-18; 8:45 am]
 BILLING CODE 3510-DS-P