[Federal Register Volume 84, Number 71 (Friday, April 12, 2019)]
[Notices]
[Pages 14971-14972]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-07254]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-1074]


Certain Industrial Automation Systems and Components Thereof 
Including Control Systems, Controllers, Visualization Hardware, Motion 
and Motor Control Systems, Networking Equipment, Safety Devices, and 
Power Supplies; Issuance of a General Exclusion Order and a Cease and 
Desist Order; Termination of the Investigation

AGENCY: U.S. International Trade Commission.

ACTION: Notice.

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SUMMARY: Notice is hereby given that the U.S. International Trade 
Commission has issued a general exclusion order (``GEO'') denying entry 
of certain industrial automation systems and components thereof 
including control systems, controllers, visualization hardware, motion 
and motor control systems, networking equipment, safety devices, and 
power supplies that infringe complainant's asserted trademarks. The 
Commission has also issued a cease and desist order (``CDO'') directed 
to respondent Fractioni (Hongkong) Ltd. (``Fractioni''). The 
investigation is terminated.

FOR FURTHER INFORMATION CONTACT: Houda Morad, Office of the General 
Counsel, U.S. International Trade Commission, 500 E Street SW, 
Washington, DC 20436, telephone (202) 708-4716. Copies of non-
confidential documents filed in connection with this investigation are 
or will be available for inspection during official business hours 
(8:45 a.m. to 5:15 p.m.) in the Office of the Secretary, U.S. 
International Trade Commission, 500 E Street SW, Washington, DC 20436, 
telephone (202) 205-2000. General information concerning the Commission 
may also be obtained by accessing its internet server at https://www.usitc.gov. The public record for this investigation may be viewed 
on the Commission's electronic docket (EDIS) at https://edis.usitc.gov. 
Hearing-impaired persons are advised that information on this matter 
can be obtained by contacting the Commission's TDD terminal on (202) 
205-1810.

SUPPLEMENTARY INFORMATION: The Commission instituted this investigation 
on October 16, 2017, based on a complaint filed by Complainant Rockwell 
Automation, Inc. of Milwaukee, Wisconsin (``Complainant'' or 
``Rockwell''). See 82 FR 48113-15 (Oct. 16, 2017). The complaint, as

[[Page 14972]]

supplemented, alleges violations of section 337 based on the 
infringement of certain registered trademarks and copyrights and on 
unfair methods of competition and unfair acts in the importation or 
sale of certain industrial automation systems and components thereof 
including control systems, controllers, visualization hardware, motion 
and motor control systems, networking equipment, safety devices, and 
power supplies, the threat or effect of which is to destroy or 
substantially injure an industry in the United States. See id. The 
notice of investigation identifies fifteen respondents: Can Electric 
Limited of Guangzhou, China (``Can Electric''); Capnil (HK) Company 
Limited of Hong Kong (``Capnil''); Fractioni of Shanghai, China; Fujian 
Dahong Trade Co. of Fujian, China (``Dahong''); GreySolution Limited d/
b/a Fibica of Hong Kong (``GreySolution''); Huang Wei Feng d/b/a A-O-M 
Industry of Shenzhen, China (``Huang''); KBS Electronics Suzhou Co, 
Ltd. of Shanghai, China (``KBS''); PLC-VIP Shop d/b/a VIP Tech Limited 
of Hong Kong (``PLC-VIP''); Radwell International, Inc. d/b/a PLC 
Center of Willingboro, New Jersey (``Radwell''); Shanghai EuoSource 
Electronic Co., Ltd of Shanghai, China (``EuoSource''); ShenZhen T-Tide 
Trading co., Ltd. of Shenzhen, China (``T-Tide''); SoBuy Commercial 
(HK) Co. Limited of Hong Kong (``SoBuy''); Suzhou Yi Micro Optical Co., 
Ltd., d/b/a Suzhou Yiwei Guangxue Youxiangongsi, d/b/a Easy Microoptics 
Co. LTD. of Jiangsu, China (``Suzhou''); Wenzhou Sparker Group Co. 
Ltd., d/b/a Sparker Instruments of Wenzhou, China (``Sparker''); and 
Yaspro Electronics (Shanghai) Co., Ltd. of Shanghai, China 
(``Yaspro''). See id. The Office of Unfair Import Investigations 
(``OUII'') is also a party in this investigation. See id.
    Nine respondents were found in default, namely, Fractioni, 
GreySolution, KBS, EuoSource, T-Tide, SoBuy, Suzhou, Yaspro and Can 
Electric (collectively, ``the Defaulted Respondents''). See Order No. 
17 (Feb. 1, 2018), unreviewed, Comm'n Notice (Feb. 26, 2018); Order No. 
32 (June 28, 2018), unreviewed, Comm'n Notice (July 24, 2018). In 
addition, five unserved respondents (Capnil, Dahong, Huang, PLC-VIP, 
and Sparker) were terminated from the investigation and one respondent 
(Radwell) was terminated based on the entry of a consent order. See 
Order No. 41 (July 17, 2018), unreviewed, Comm'n Notice (Aug. 13, 
2018); Order No. 42 (July 20, 2018), unreviewed, Comm'n Notice (Aug. 
15, 2018).
    On October 23, 2018, the ALJ issued a final initial determination 
(``FID'') finding a violation of section 337 by the Defaulted 
Respondents based on the infringement of Complainant's asserted 
trademarks, namely, U.S. Trademark Reg. Nos. 1172995, 696401, 693780, 
1172994, 712800, 712836, 2510226, 2671196, 2701786, and 2412742. The 
ALJ also recommended that the Commission: (1) Issue a GEO; (2) issue a 
CDO against defaulted respondent Fractioni; and (3) set a bond at 100% 
of the entered value of the infringing products during the period of 
Presidential review. No petitions for review of the subject FID were 
filed.
    On December 20, 2018, the Commission issued a notice determining 
not to review the FID. See 83 FR 67346-48 (Dec. 28, 2018). The 
Commission's determination resulted in a finding of a section 337 
violation. See id. The Commission's notice also requested written 
submissions on remedy, the public interest, and bonding. On February 
15, 2019, Complainant and OUII submitted written submissions and on 
February 22, 2019, OUII submitted a reply submission in response to the 
Commission's notice.
    As explained in the Commission's Opinion issued concurrently 
herewith, the Commission has determined that the appropriate remedy in 
this investigation is: (1) A GEO prohibiting the unlicensed entry of 
certain industrial automation systems and components thereof including 
control systems, controllers, visualization hardware, motion and motor 
control systems, networking equipment, safety devices, and power 
supplies that infringe Complainant's asserted trademarks, pursuant to 
19 U.S.C. 1337(d)(2), and (2) a CDO directed to defaulted respondent 
Fractioni, pursuant to 19 U.S.C. 1337(f)(1). The Commission has also 
determined that the bond during the period of Presidential review 
pursuant to 19 U.S.C. 1337(j) shall be in the amount of 100 percent of 
the entered value of the imported articles that are subject to the GEO. 
The Commission has further determined that the public interest factors 
enumerated in subsections 337(d)(1) and (f)(1) (19 U.S.C. 1337(d)(1), 
(f)(1)) do not preclude the issuance of the GEO and CDO.
    Commissioner Schmidtlein disagrees with the Commission's decision 
not to issue cease and desist orders against all of the defaulting 
respondents under section 337(g)(1), and her views have been filed on 
EDIS.
    The Commission's opinion and orders were delivered to the President 
and to the United States Trade Representative on the day of issuance.
    The authority for the Commission's determination is contained in 
section 337 of the Tariff Act of 1930, as amended (19 U.S.C. 1337), and 
in part 210 of the Commission's Rules of Practice and Procedure (19 CFR 
part 210).

    By order of the Commission.

    Issued: April 8, 2019.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2019-07254 Filed 4-11-19; 8:45 am]
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