[Federal Register Volume 83, Number 224 (Tuesday, November 20, 2018)]
[Notices]
[Pages 58547-58549]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-25294]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-069]


Rubber Bands 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 (Commerce) determines that rubber 
bands from the People's Republic of China (China) are being, or are 
likely to be, sold in the United States at less than fair value (LTFV) 
during the period of investigation (POI) July 1, 2017, through December 
31, 2017.

DATES: Applicable November 20, 2018.

FOR FURTHER INFORMATION CONTACT: Paul Stolz or Stephanie Berger, AD/CVD 
Operations, Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone:

[[Page 58548]]

(202) 482-4474 or (202) 482-2483, respectively.

SUPPLEMENTARY INFORMATION:

Background

    This final determination is made in accordance with section 735(a) 
of the Tariff Act of 1930, as amended (the Act). On September 6, 2018, 
Commerce published in the Federal Register its preliminary affirmative 
determination of sales at LTFV in the investigation of rubber bands 
from China.\1\ We invited interested parties to comment on the 
Preliminary Determination. We received no comments from interested 
parties in this respect.
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    \1\ See Less-Than-Fair-Value Investigation of Rubber Bands from 
the People's Republic of China: Preliminary Affirmative 
Determination of Sales at Less Than Fair Value and Preliminary 
Affirmative Determination of Critical Circumstances, 83 FR 45213 
(September 6, 2018) (Preliminary Determination).
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Period of Investigation

    The POI is July 1, 2017, through December 31, 2017. This period 
corresponds to the two most recent fiscal quarters prior to the month 
of the filing of the Petition, which was filed on January 30, 2018.\2\
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    \2\ See letter from Alliance Rubber Co., ``Petition for 
Imposition of Antidumping and Countervailing Duties on Rubber Bands 
from Thailand, China and Sri Lanka,'' dated January 30, 2018 (the 
Petition).
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Scope Comments

    We invited parties to comment on Commerce's Preliminary Scope 
Memorandum, and the changes made to the scope of the investigation 
therein.\3\ We have reviewed the briefs submitted by interested 
parties, considered the arguments therein, but have not made further 
changes to the scope of the investigation beyond those incorporated in 
the Preliminary Determination. For further discussion, see Commerce's 
Final Scope Decision Memorandum.\4\
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    \3\ See memorandum, ``Rubber Bands from the People's Republic of 
China and Thailand: Scope Comments Decision Memorandum for the 
Preliminary Antidumping Duty and Countervailing Duty 
Determinations,'' dated August 29, 2018 (Preliminary Scope 
Memorandum).
    \4\ See memorandum, ``Rubber Bands from the People's Republic of 
China and Thailand: Scope Decision Memorandum for the Final 
Antidumping Duty and Countervailing Duty Determinations,'' dated 
concurrently with, and hereby adopted by, this notice.
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Scope of the Investigation

    The products covered by this investigation are rubber bands from 
China. For a complete description of the scope of this investigation, 
see the Appendix to this notice.

Analysis of Comments Received

    As noted above, we received no comments in response to the 
Preliminary Determination. For the purposes of this final 
determination, Commerce has made no changes to the Preliminary 
Determination.

China-Wide Entity

    As explained in the Preliminary Determination, Commerce did not 
receive timely responses to its quantity and value (Q&V) questionnaire, 
nor did it receive separate rate applications, from certain exporters 
and/or producers of subject merchandise that were named in the Petition 
and to which Commerce issued Q&V questionnaires.\5\ As these non-
responsive China companies did not demonstrate that they are eligible 
for separate rate status, Commerce continues to consider them to be a 
part of the China-wide entity. Because these companies, which comprise 
part of the China-wide entity, failed to submit the requested Q&V 
information, we determine that the China-wide entity did not cooperate 
to the best of its ability. Consequently, we continue to find that the 
China-wide entity withheld requested information and significantly 
impeded the proceeding by not submitting the requested information. As 
a result, we are continuing to find that the use of adverse facts 
available (AFA), pursuant to sections 776(a) and (b) of the Act, is 
appropriate and are applying a rate based entirely on AFA to the China-
wide entity.
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    \5\ See Preliminary Determination at the ``Methodology'' 
section, and the memorandum, ``Decision Memorandum for the 
Preliminary Determination in the Less-Than-Fair-Value Investigation 
of Rubber Bands from the People's Republic of China,'' dated August 
29, 2018 (PDM) at 4-7.
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China-Wide Rate

    In selecting the AFA rate for the China-wide entity, Commerce'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.\6\ Specifically, 
it is Commerce'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.\7\ 
Because no party responded to Commerce's Q&V questionnaire, and thus no 
mandatory respondents could be selected, there are no calculated 
dumping margins on the record of this investigation. Therefore, as AFA, 
Commerce has assigned to the China-wide entity, the rate of 27.27 
percent, which is the only dumping margin alleged in the Petition.\8\
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    \6\ See Statement of Administrative Action accompanying the 
Uruguay Round Agreements Act, H.R. Rep. No. 103-316 at 870 (1994) 
(H.R. Rep 103-316), reprinted in 1994 U.S.C.A.A.N.
    \7\ 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.
    \8\ See Preliminary Determination at 45213-14 and the PDM at 6-
7.
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Final Affirmative Determination of Critical Circumstances

    In accordance with section 733(e)(1) of the Act and 19 CFR 351.206, 
we preliminarily found that critical circumstances exist with respect 
to imports of rubber bands from the China-wide entity.\9\ As stated 
above, we received no comments with respect to the Preliminary 
Determination. Therefore, for the final determination, 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 subject 
merchandise exported by the China-wide entity.
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    \9\ Id. at 45213 and see the PDM at 7-10.
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Final Determination

    The final weighted-average dumping margin is as follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                     Producer/exporter                          margin
                                                              (percent)
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China-Wide Entity..........................................       27.27
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Disclosure

    Normally, Commerce discloses to interested parties the calculations 
performed in connection with a final determination within five days of 
its public announcement or, if there is no public announcement, within 
five days of the date of publication of this notice in accordance with 
19 CFR 351.224(b). However, because Commerce applied AFA to the China-
wide entity in this investigation, in accordance with section 776 of 
the Act, there are no individually examined companies participating in 
this investigation, and the applied AFA rate is based solely on the 
Petition. Thus, there are no calculations to disclose.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(4)(A) of the Act, we will 
instruct U.S. Customs and Border Protection

[[Page 58549]]

(CBP) to continue to suspend liquidation of all imports of the 
merchandise subject to the investigation from the China-wide entity, 
that were entered or withdrawn from warehouse, for consumption on or 
after June 8, 2018, 90 days prior to publication of the Preliminary 
Determination notice in the Federal Register, and require a cash 
deposit for such entries as noted below.
    Further, pursuant to section 735(c)(1)(B)(ii) of the Act, Commerce 
will instruct CBP to collect a cash deposit as follows: (1) The rate 
for the exporters listed in the chart above will be the rate we have 
determined in this final determination; (2) for all Chinese exporters 
of subject merchandise which have not received their own rate, the 
cash-deposit rate will be the China-wide rate; and (3) for all non-
Chinese exporters of subject merchandise which have not received their 
own rate, the cash-deposit rate will be the 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.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (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 rubber bands 
from China no later than 45 days after this 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, 
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.

Notification Regarding Administrative Protective Orders

    This notice serves as a reminder to parties subject to an 
administrative protective order (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 sanctionable violation.

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 13, 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

Scope of the Investigation

    The products subject to this investigation are bands made of 
vulcanized rubber, with a flat length, as actually measured end-to-
end by the band lying flat, no less than \1/2\ inch and no greater 
than 10 inches; with a width, which measures the dimension 
perpendicular to the length, actually of at least 3/64 inch and no 
greater than 2 inches; and a wall thickness actually from 0.020 inch 
to 0.125 inch. Vulcanized rubber has been chemically processed into 
a more durable material by the addition of sulfur or other 
equivalent curatives or accelerators. Subject products are included 
regardless of color or inclusion of printed material on the rubber 
band's surface, including but not limited to, rubber bands with 
printing on them, such as a product name, advertising, or slogan, 
and printed material (e.g., a tag) fastened to the rubber band by an 
adhesive or another temporary type of connection. The scope includes 
vulcanized rubber bands which are contained or otherwise exist in 
various forms and packages, such as, without limitation, vulcanized 
rubber bands included within a desk accessory set or other type of 
set or package, and vulcanized rubber band balls. The scope excludes 
products that consist of an elastomer loop and durable tag all-
inone, and bands that are being used at the time of import to fasten 
an imported product.
    Excluded from the scope of this investigation are vulcanized 
rubber bands of various sizes with arrow shaped rubber protrusions 
from the outer diameter that exceeds at the anchor point a wall 
thickness of 0.125 inches and where the protrusion is used to loop 
around, secure and lock in place.
    Excluded from the scope of this investigation are yarn/fabric-
covered vulcanized rubber hair bands, regardless of size.
    Merchandise covered by this investigation is currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) under subheading 4016.99.3510. Merchandise covered by the 
scope may also enter under HTSUS subheading 4016.99.6050. While the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of the investigation is 
dispositive.

[FR Doc. 2018-25294 Filed 11-19-18; 8:45 am]
 BILLING CODE 3510-DS-P