[Federal Register Volume 84, Number 45 (Thursday, March 7, 2019)]
[Notices]
[Pages 8304-8306]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-04127]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-549-835]


Rubber Bands From Thailand: 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 Thailand are being, or are likely to be, sold in the United 
States at less than fair value (LTFV) during the period of 
investigation (POI) January 1, 2017, through December 31, 2017.

DATES: Applicable March 7, 2019.

FOR FURTHER INFORMATION CONTACT: Laurel LaCivita 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: (202) 482-4243 
or (202) 482-2483, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On September 6, 2018, Commerce published the Preliminary 
Determination of sales at LTFV of rubber bands from Thailand.\1\ A 
complete 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.\2\
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    \1\ See Rubber Bands From Thailand: Preliminary Affirmative 
Determination of Sales at Less Than Fair Value, Postponement of 
Final Determination, and Extension of Provisional Measures, 83 FR 
45220 (September 6, 2018) (Preliminary Determination) and 
accompanying memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Rubber 
Bands from Thailand'' (Preliminary Decision Memorandum).
    \2\ See Memorandum, ``Issues and Decision Memorandum for Final 
Affirmative Determination in the Antidumping Duty Investigation of 
Rubber Bands from Thailand,'' dated concurrently with this 
determination and hereby adopted by this notice (Issues and Decision 
Memorandum).
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    The Issues and Decision Memorandum is a public document and is 
available 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 B-8024 of Commerce's 
main building. In addition, a complete version of the Issues and 
Decision Memorandum can be accessed at http://enforcement.trade.gov/frn/. The signed Issues and Decision Memorandum and electronic version 
are identical in content.
    Commerce exercised its discretion to toll all deadlines affected by 
the partial federal government closure from December 22, 2018, through 
the resumption of operations on January 29, 2019.\3\ If the new 
deadline falls on a non-business day, in accordance with Commerce's 
practice, the deadline will become the next business day. The revised 
deadline for the final determination of this investigation is now 
February 28, 2019.
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    \3\ See Memorandum, ``Deadlines Affected by the Partial Shutdown 
of the Federal Government,'' dated January 28, 2019. All deadlines 
in this segment of the proceeding have been extended by 40 days.
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Period of Investigation

    The POI is January 1, 2017, through December 31, 2017.

Scope of the Investigation

    The products covered by this investigation are rubber bands from 
Thailand. For a full description of the scope of this investigation, 
see the ``Scope of the Investigation'' in Appendix I of this notice.

Scope Comments

    During the course of this investigation and the concurrent 
countervailing duty (CVD) investigation, Commerce received scope 
comments from interested parties. Certain interested parties commented 
on the scope of the investigation as it appeared in the Preliminary 
Scope Decision Memorandum,\4\ which was issued concurrently with the 
Preliminary Determination. Commerce addressed all scope comments 
received in the Final Scope Decision Memorandum and determined not to 
make changes to the scope that appeared in the Preliminary 
Determination.\5\
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    \4\ 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 Decision 
Memorandum).
    \5\ 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 
November 13, 2018 (Final Scope Decision Memorandum).

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[[Page 8305]]

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), Commerce verified the sales and cost data reported by U. 
Yong Industry Co., Ltd. (U. Yong), as well as data reported by Liang 
Hah Heng International Rubber Co., Ltd. (Liang Hah Heng) and Hah Shung 
Heng Co. (Hah Shung Heng) (collectively, Liang Hah Heng) 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 the respondents.

Analysis of Comments Received

    All issues raised in the case briefs and rebuttal briefs submitted 
by interested parties in this proceeding are discussed in the Issues 
and Decision Memorandum. A list of the issues raised by parties and 
responded to by Commerce in the Issues and Decision Memorandum is 
attached at Appendix II.

Changes Since the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations for U. 
Yong and Liang Hah Heng since the Preliminary Determination. For a 
discussion of these changes, see the ``Margin Calculations'' section of 
the Issues and Decision Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all-other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
individually investigated exporters and producers, excluding any 
margins that are zero or de minimis or any margins determined entirely 
under section 776 of the Act. U. Yong is the only respondent for which 
Commerce calculated an estimated weighted-average dumping margin that 
is not zero, de minimis, or based entirely on facts otherwise 
available. Therefore, for purposes of determining the ``all-others'' 
rate, and pursuant to section 735(c)(5)(A) of the Act, we are using the 
estimated weighted-average dumping margin calculated for U. Yong, as 
referenced in the ``Final Determination'' section below.

Final Determination

    The weighted-average dumping margins are as follows:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         margins
                                                               (percent)
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U. Yong Industry Co., Ltd...................................        5.87
Liang Hah Heng International Rubber Co., Ltd./Hah Shung Heng        0.00
 Co.........................................................
All-Others..................................................        5.87
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    Consistent with section 735(a)(4) of the Act, based on the zero 
rate for Liang Hah Heng and Hah Shung Heng, Commerce determines that 
Liang Hah Heng and Hah Shung Heng have not sold merchandise which they 
produced and exported at LTFV.

Disclosure

    We will disclose the calculations performed within five days of any 
public announcement of this notice in accordance with 19 CFR 
351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we will 
instruct U.S. Customs and Border Protection (CBP) to continue the 
suspension of liquidation of all appropriate entries of rubber bands 
from Thailand, as described in Appendix I of this notice, which were 
entered, or withdrawn from warehouse, for consumption on or after 
September 6, 2018, the date of publication of the Preliminary 
Determination of this investigation in the Federal Register. Further, 
Commerce will instruct CBP to require a cash deposit equal to the 
estimated amount by which the normal value exceeds the U.S. price as 
shown above. Because the estimated weighted-average dumping margin for 
Liang Hah Heng and Hah Shung Heng is zero, entries of shipments of 
subject merchandise both produced by Liang Hah Heng or Hah Shung Heng 
and exported by either of these companies will not be subject to 
suspension of liquidation or cash deposit requirements. In such 
situations, Commerce applies the exclusion to the provisional measures 
to the producer/exporter combination that was examined in the 
investigation. Accordingly, Commerce is directing CBP to not suspend 
merchandise produced by Liang Hah Heng or Hah Shung Heng and exported 
by either of these companies. However, entries of subject merchandise 
in any other producer/exporter combination, e.g., merchandise produced 
by a third party and exported by Liang Hah Heng or Hah Shung Heng, or 
produced by Liang Hah Heng or Hah Shung Heng and exported by a third 
party, are subject to the cash deposit requirements at the all-others 
rate.
    Furthermore, other than for entries of subject merchandise produced 
by Liang Hah Heng or Hah Shung Heng and exported by either of these 
companies, pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), Commerce will instruct CBP to require a cash deposit for 
such entries of merchandise equal to the estimated weighted-average 
dumping margin or the estimated all-others rate, as follows: (1) The 
cash deposit rate for the respondents listed above will be equal to the 
respondent-specific estimated weighted-average dumping margin 
determined in this final determination; (2) if the exporter is not a 
respondent identified above but the producer is, then the cash deposit 
rate will be equal to the respondent-specific estimated weighted-
average dumping margin established for that producer of the subject 
merchandise; and (3) the cash deposit rate for all other producers and 
exporters will be equal to the all-others estimated weighted-average 
dumping margin.

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 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, or sales (or the 
likelihood of sales) for importation of rubber bands from Thailand 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, 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, other than those produced by Liang Hah Heng or Hah 
Shung Heng and exported by either of these companies because their rate 
is zero, entered, or withdrawn from warehouse, for consumption on or 
after the effective date of the suspension of liquidation.

[[Page 8306]]

Notification Regarding Administrative Protective Orders

    This notice serves as the only 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 violation subject to sanction.

Notification to Interested Parties

    We are issuing and publishing this determination and notice in 
accordance with sections 735(d) and 777(i) of the Act and 19 CFR 
351.210(c).

    Dated: February 28, 2019.
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 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-in-
one, 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.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Changes Since the Preliminary Determination
V. Discussion of the Issues
    Comment 1: Adverse Facts Available for Liang Hah Heng
    Comment 2: Collapsing of Liang Hah Heng and Hah Shung Heng
    Comment 3: Date of Sale for Liang Hah Heng
    Comment 4: Liang Hah Heng's Packing Costs Allocation
    Comment 5: Liang Hah Heng's Reported Costs
    Comment 6: G&A Expenses for Liang Hah Heng
    Comment 7: Commerce's Application of Quarterly Cost Methodology 
to U. Yong
    Comment 8: Rubber Band Variance Allocation for U. Yong
    Comment 9: Monthly Adjustment to Standard Costs for U. Yong
    Comment 10: Appropriate CONNUM for Rubber Bands of Mixed Sizes 
for U. Yong
    Comment 11: U. Yong's U.S. Indirect Selling Expenses
VI. Recommendation

[FR Doc. 2019-04127 Filed 3-6-19; 8:45 am]
BILLING CODE 3510-DS-P