[Federal Register Volume 84, Number 67 (Monday, April 8, 2019)]
[Notices]
[Pages 13886-13888]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-06856]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-096]
Aluminum Wire and Cable From the People's Republic of China:
Preliminary Affirmative Countervailing Duty Determination and Alignment
of Final Determination With Final Antidumping Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that producers and/or exporters subject to this investigation received
countervailable subsidies. Interested parties are invited to comment on
this preliminary determination.
DATES: Applicable April 8, 2019.
FOR FURTHER INFORMATION CONTACT: Caitlin Monks, Celeste Chen, or
Preston Cox, AD/CVD Operations, Office VII, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: 202-482-2670,
202-242-0890, or 202-482-5041, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce
published the notice of initiation of this investigation on October 18,
2018.\1\ On November 27, 2018, Commerce postponed the preliminary
determination of this investigation, and reset the deadline to February
19, 2019.\2\ Subsequently, 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\ Accordingly, the revised deadline for the preliminary
determination decision is now April 1, 2019.
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\1\ See Aluminum Wire and Cable from the People's Republic of
China: Initiation of Countervailing Duty Investigation, 83 FR 52805
(October 18, 2018) (Initiation Notice).
\2\ See Aluminum Wire and Cable from the People's Republic of
China: Postponement of Preliminary Determination in the
Countervailing Duty Investigation, 83 FR 60822 (November 27, 2018).
\3\ See Memorandum to the Record from 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, ``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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For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\4\ A list of topics discussed 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 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
Preliminary Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed and electronic versions of the
Preliminary Decision Memorandum are identical in content.
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\4\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Countervailing Duty Investigation of Aluminum
Wire and and Cable from the People's Republic of China,'' dated
concurrently with, and hereby adopted by, this notice (Preliminary
Decision Memorandum).
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Scope of the Investigation
The products covered by this investigation are aluminum wire and
cable. For a complete description of the scope of this investigation,
see Appendix I.
Scope Comments
In accordance with the Preamble to 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, as well as to certain questions posed by
Commerce with regard to the scope language. For a summary of the
product coverage comments submitted to the record for this preliminary
determination, and accompanying discussion and analysis of all comments
timely received, see the Preliminary Decision Memorandum. Commerce is
preliminarily modifying the scope language as it appeared in the
Initiation Notice. See revised scope in Appendix I.
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\5\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\6\ See Initiation Notice.
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Period of Investigation
The period of investigation is January 1, 2017, through December
31, 2017.
Methodology
Commerce is conducting this investigation in accordance with
section 701 of the Act. For each of the subsidy programs found
countervailable, Commerce preliminarily determines that there is a
subsidy, i.e., a financial contribution by an ``authority'' that
confers a benefit on the recipient, and that the subsidy is
specific.\7\ For a full description of the methodology underlying our
preliminary conclusions, see the Preliminary Decision Memorandum.
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\7\ See sections 771(5)(B) and (D) of the Act regarding
financial contribution; section 771(5)(E) of the Act regarding
benefit; and section 771(5A) of the Act regarding specificity.
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In making these findings, Commerce relied, in part, on facts
available.
[[Page 13887]]
Further, because one or more respondents did not act to the best of
their ability to respond to Commerce's requests for information, an
adverse inference was drawn, where appropriate, in selecting from among
the facts otherwise available.\8\ For further information, see ``Use of
Facts Otherwise Available and Adverse Inferences'' in the Preliminary
Decision Memorandum.
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\8\ See sections 776(a) and (b) of the Act.
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Alignment
In accordance with section 705(a)(1) of the Act and 19 CFR
351.210(b)(4), and based on the petitioner's request,\9\ we are
aligning the final CVD determination in this investigation with the
final determination in the companion AD investigation of aluminum wire
and cable from China. Consequently, the final CVD determination will be
issued on the same date as the final AD determination, which is
currently scheduled to be issued no later than August 12, 2019, unless
postponed.
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\9\ See Letter from the petitioners, ``Aluminum Wire and Cable
from China: Petitioners' Request for Alignment of the Final
Countervailing Duty and Antidumping Duty Final Determinations,''
dated March 11, 2019.
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All-Others Rate
Sections 703(d)(1)(A)(i) and 705(c)(5)(A) of the Act provide that
in the preliminary determination, Commerce shall determine an estimated
all-others rate for companies not individually examined. This rate
shall be an amount equal to the weighted average of the estimated
subsidy rates established for those companies individually examined,
excluding any zero and de minimis rates and any rates based entirely
under section 776 of the Act.
In this investigation, Commerce calculated individual estimated
countervailable subsidy rates for Shanghai Silin Special Equipment Co.,
Ltd. (Silin), and Changfeng Wire & Cable Co., Ltd. (Changfeng) that are
not zero, de minimis, or based entirely on the facts otherwise
available. Commerce calculated the all-others' rate using a simple
average of the individual estimated subsidy rates calculated for the
examined respondents.\10\
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\10\ With two respondents under examination, Commerce normally
calculates (A) a weighted-average of the estimated subsidy rates
calculated for the examined respondents; (B) a simple average of the
estimated subsidy rates calculated for the examined respondents; and
(C) a weighted-average of the estimated subsidy rates calculated for
the examined respondents using each company's publicly-ranged U.S.
sale quantities for the merchandise under consideration. Commerce
then compares (B) and (C) to (A) and selects the rate closest to (A)
as the most appropriate rate for all other producers and exporters.
See, e.g., Ball Bearings and Parts Thereof from France, Germany,
Italy, Japan, and the United Kingdom: Final Results of Antidumping
Duty Administrative Reviews, Final Results of Changed-Circumstances
Review, and Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010). Because complete publicly ranged sales data was
not available, Commerce could not follow its normal methodology.
Therefore, we used a simple average of the estimated subsidy rates
calculated for the examined respondents.
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Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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\11\ As discussed in the Preliminary Decision Memorandum,
Commerce has assigned Silin's rate to each of the entities named as
cross-owned in its affiliation questionnaire response: Jiangxi Silin
International Cable Co., Ltd.
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Subsidy rate
Producer/exporter (percent)
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Shanghai Silin Special Equipment Co., Ltd.\11\.......... 15.77
Changfeng Wire & Cable Co., Ltd......................... 11.57
Shanghai Yang Pu Qu Gong................................ 164.16
All-Others.............................................. 13.67
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Suspension of Liquidation
In accordance with section 703(d)(1)(B) and (d)(2) of the Act,
Commerce will direct U.S. Customs and Border Protection (CBP) to
suspend liquidation of entries of subject merchandise 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. Further, pursuant to 19 CFR 351.205(d),
Commerce will instruct CBP to require a cash deposit equal to the rates
indicated above.
Disclosure
Commerce intends to disclose its calculations and analysis
performed to interested parties in this preliminary determination
within five days of its public announcement, or if there is no public
announcement, within five days of the date of this notice in accordance
with 19 CFR 351.224(b).
Verification
As provided in section 782(i)(1) of the Act, Commerce intends to
verify the information relied upon in making its final determination.
Public Comment
Case briefs or other written comments may be submitted to the
Assistant Secretary for Enforcement and Compliance no later than seven
days after the date on which the last verification report is issued in
this investigation. Rebuttal briefs, limited to issues raised in case
briefs, may be submitted no later than five days after the deadline
date for case briefs.\12\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2),
parties who submit case briefs or rebuttal briefs in this investigation
are encouraged to submit with each argument: (1) A statement of the
issue; (2) a brief summary of the argument; and (3) a table of
authorities.
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\12\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce within 30 days
after the date of publication of this notice. Requests should contain
the party's name, address, and telephone number, the number of
participants, whether any participant is a foreign national, and a list
of the issues to be discussed. If a request for a hearing is made,
Commerce intends to hold the hearing at the U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time
and date to be determined. Parties should confirm by telephone the
date, time, and location of the hearing two days before the scheduled
date.
Parties are reminded that briefs and hearing requests are to be
filed electronically using ACCESS and that electronically filed
documents must be received successfully in their entirety by 5 p.m.
Eastern Time on the due date.
International Trade Commission Notification
In accordance with section 703(f) of the Act, Commerce will notify
the International Trade Commission (ITC) of its determination. If
Commerce's final determination is affirmative, the ITC will make its
final determination before the later of 120 days after the date of this
preliminary determination or 45 days after Commerce's final
determination.
Notification to Interested Parties
This determination is issued and published pursuant to sections
703(f) and 777(i) of the Act and 19 CFR 351.205(c).
[[Page 13888]]
Dated: April 1, 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 scope of the investigation covers aluminum wire and cable,
which is defined as an assembly of one or more electrical conductors
made from 8000 Series Aluminum Alloys (defined in accordance with
ASTM B800), Aluminum Alloy 1350 (defined in accordance with ASTM
B230/B230M or B609/B609M), and/or Aluminum Alloy 6201 (defined in
accordance with ASTM B398/B398M), provided that: (1) At least one of
the electrical conductors is insulated; (2) each insulated
electrical conductor has a voltage rating greater than 80 volts and
not exceeding 1000 volts; and (3) at least one electrical conductor
is stranded and has a size not less than 16.5 thousand circular mil
(kcmil) and not greater than 1000 kcmil. The assembly may: (1)
Include a grounding or neutral conductor; (2) be clad with aluminum,
steel, or other base metal; or (3) include a steel support center
wire, one or more connectors, a tape shield, a jacket or other
covering, and/or filler materials.
Most aluminum wire and cable products conform to National
Electrical Code (NEC) types THHN, THWN, THWN-2, XHHW-2, USE, USE-2,
RHH, RHW, or RHW-2, and also conform to Underwriters Laboratories
(UL) standards UL-44, UL-83, UL-758, UL-854, UL-1063, UL-1277, UL-
1569, UL-1581, or UL-4703, but such conformity is not required for
the merchandise to be included within the scope.
The scope of the investigation specifically excludes aluminum
wire and cable products in lengths less than six feet, whether or
not included in equipment already assembled at the time of
importation.
The merchandise covered by the investigation is currently
classifiable under subheading 8544.49.9000 of the Harmonized Tariff
Schedule of the United States (HTSUS). Products subject to the scope
may also enter under HTSUS subheading 8544.42.9090. 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 Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Injury Test
VI. Alignment
VII. Application of the CVD Law to Imports from China
VIII. Diversification of China's Economy
IX. Subsidies Valuation
X. Benchmarks and Interest Rates
XI. Use of Facts Otherwise Available and Adverse Inferences
XII. Analysis of Programs
XIII. Calculation of the All-Others Rate
XIV. ITC Notification
XV. Verification
XVI. Disclosure and Public Comment
XVII. Conclusion
[FR Doc. 2019-06856 Filed 4-5-19; 8:45 am]
BILLING CODE 3510-DS-P