[Federal Register Volume 84, Number 129 (Friday, July 5, 2019)]
[Notices]
[Pages 32121-32123]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-14338]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-122-858]
Certain Softwood Lumber Products From Canada: Final Results of
Countervailing Duty Expedited Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) has conducted an
expedited review of the countervailing duty (CVD) order on certain
softwood lumber products (softwood lumber) from Canada for the
producers/exporters that requested a review. As a result, we are
excluding certain producers/exporters from the CVD order on lumber from
Canada. We also find that certain producers/exporters received
countervailable subsidies at above de minimis rates during the January
1, 2015, through December 31, 2015, period of review.
DATES: Applicable July 5, 2019.
FOR FURTHER INFORMATION CONTACT: Kristen Johnson or Nicholas
Czajkowski, AD/CVD Operations, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4793
and (202) 482-1395, respectively.
SUPPLEMENTARY INFORMATION:
Background
Commerce published the Preliminary Results of the expedited review
on February 1, 2019.\1\ A summary of the events that occurred since
Commerce published the Preliminary Results, as well as a full
discussion of the issues raised by parties for the final results, may
be found in the Issues and Decision Memorandum.\2\ 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 https://access.trade.gov, and is available to all
parties in the Central Records Unit, Room B8024 of the main Department
of Commerce building. In
[[Page 32122]]
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.
---------------------------------------------------------------------------
\1\ See Certain Softwood Lumber Products From Canada:
Preliminary Results of Countervailing Duty Expedited Review, 84 FR
1051 (February 1, 2019) (Preliminary Results).
\2\ See Memorandum, ``Issues and Decision Memorandum for the
Final Results of Expedited Review of the Countervailing Duty Order
on Certain Softwood Lumber Products from Canada,'' dated
concurrently with, and hereby adopted by this notice.
---------------------------------------------------------------------------
Scope of the Order
The product covered by this order is certain softwood lumber
products from Canada. A full description of the scope of the order is
contained in the Issues and Decision Memorandum.\3\
---------------------------------------------------------------------------
\3\ Id.
---------------------------------------------------------------------------
Methodology
Commerce has conducted this CVD expedited review in accordance with
section 103(a) of the Uruguay Round Agreements Act (URAA) and 19 CFR
351.214(k). For a full description of the methodology underlying our
conclusions, see the Issues and Decision Memorandum. The subsidy
programs under review, and the issues raised in the case and rebuttal
briefs submitted by the 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 the Appendix.
Based on our review and analysis of the comments received from
parties, we made changes to the subsidy rate calculations for certain
producers/exporters since the Preliminary Results. For a discussion of
these changes, see the Issues and Decision Memorandum and the Final
Calculation Memoranda.\4\
---------------------------------------------------------------------------
\4\ Id.
---------------------------------------------------------------------------
We determined a CVD rate for each producer/exporter of the subject
merchandise that requested an expedited review.
Final Results of the Expedited Review
As a result of this expedited review, we determine the
countervailable subsidy rates to be:
---------------------------------------------------------------------------
\5\ Commerce finds the following companies to be cross-owned
with Fontaine Inc.: Gestion Natanis Inc., Les Placements Jean-Paul
Fontaine Ltee, and Placements Nicolas Fontaine Inc.
\6\ Commerce finds the following companies to be cross-owned
with Les Produits Forestiers D&G Lt[eacute]e: Le Groupe Gesco-Star
Lt[eacute]e, Les Produits Forestiers Portbec Lt[eacute]e, and Les
Produits Forestiers Startrees Lt[eacute]e.
\7\ Commerce finds the following companies to be cross-owned
with Marcel Lauzon Inc.: Placements Marcel Lauzon Ltee and
Investissements LRC Inc.
\8\ Commerce finds the following companies to be cross-owned
with Mobilier Rustique (Beauce) Inc.: J.F.S.R. Inc., Gestion C.A.
Rancourt Inc., Gestion J.F. Rancourt Inc., Gestion Suzie Rancourt
Inc., Gestion P.H.Q. Inc., 9331-3419 Quebec Inc., 9331-3468 Quebec
Inc., and SPQ Inc.
\9\ Commerce finds the following companies to be cross-owned
with North American Forest Products Ltd.: Parent-Violette Gestion
Lt[eacute]e and Le Groupe Parent Lt[eacute]e.
\10\ Commerce finds Bois Ouvre de Beauceville (1992), Inc. to be
cross-owned with Produits Matra, Inc. (Matra) and Sechoirs de Beauce
Inc. (Sechoirs). Matra and Sechoirs submitted separate requests for
the expedited review; however, based on record evidence, we found
them to be cross-owned, and therefore calculated a single
countervailing duty rate for both. Collectively, we refer to Matra,
Sechoirs, and their cross-owned affiliate as Groupe Matra.
\11\ Commerce finds the following companies to be cross-owned
with Roland Boulanger & Cie Lt[eacute]e: Industries Daveluyville,
Inc. and Les Manufacturiers Warwick Lt[eacute]e.
\12\ Commerce finds the following companies to be cross-owned
with Scierie Alexandre Lemay & Fils Inc.: Bois Lemay Inc. and
Industrie Lemay Inc.
------------------------------------------------------------------------
Subsidy
Producer/exporter rate
------------------------------------------------------------------------
Fontaine Inc. and its cross-owned affiliates \5\ (Fontaine). 1.26
Les Produits Forestiers D&G Lt[eacute]e and its cross-owned * 0.21
affiliates \6\ (D&G).......................................
Marcel Lauzon Inc. and its cross-owned affiliates (MLI) \7\. * 0.42
Mobilier Rustique (Beauce) Inc. and its cross-owned 1.99
affiliates \8\.............................................
North American Forest Products Ltd. and its cross-owned * 0.17
affiliates \9\ (NAFP)......................................
Produits Matra Inc. and Sechoirs de Beauce Inc. and their 5.80
cross-owned affiliate \10\.................................
Roland Boulanger & Cie Lt[eacute]e and its cross-owned * 0.31
affiliates \11\ (Roland)...................................
Scierie Alexandre Lemay & Fils Inc. and its cross-owned * 0.05
affiliates (Lemay) \12\....................................
------------------------------------------------------------------------
* de minimis subsidy rate.
Cash Deposit Instructions
Pursuant to section 19 CFR 351.214(k)(3)(iii), the final results of
this expedited review will not be the basis for the assessment of
countervailing duties. Upon the issuance of these final results,
Commerce will instruct U.S. Customs and Border Protection (CBP) to
collect cash deposits of estimated countervailing duties for the
companies subject to this expedited review, at the rates shown above,
on shipments of subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the date of publication of the
final results of this expedited review. These cash deposit
requirements, when imposed, shall remain in effect until further
notice.
Pursuant to 19 CFR 351.214(k)(3)(iv), because we have determined a
countervailable subsidy rate for D&G, MLI, NAFP, Roland, and Lemay that
is de minimis, with these final results of expedited review, we
determine to exclude D&G, MLI, NAFP, Roland, and Lemay from the CVD
order. Commerce's practice with respect to exclusions of companies from
a CVD duty order is to exclude the subject merchandise both produced
and exported by those companies.\13\ As a result, we will instruct CBP
to discontinue the suspension of liquidation and the collection of cash
deposits of estimated countervailing duties on all shipments of
softwood lumber produced and exported by D&G, MLI, NAFP, Roland, and
Lemay, entered, or withdrawn from warehouse, for consumption on or
after the date of publication of these final results. In addition, we
will instruct CBP to liquidate, without regard to countervailing
duties, all suspended entries of shipments of softwood lumber produced
and exported by D&G, MLI, NAFP, Roland, and Lemay, and to refund all
cash deposits of estimated countervailing duties collected on all such
shipments. Merchandise which D&G, MLI, NAFP, Roland, and Lemay exports
but does not produce, as well as merchandise D&G, MLI, NAFP, Roland,
and Lemay produces but is exported by another company, remains subject
to the CVD order.
---------------------------------------------------------------------------
\13\ See, e.g., Certain Corrosion-Resistant Steel Products from
India, Italy, Republic of Korea and the People's Republic of China:
Countervailing Duty Order, 81 FR 48387 (July 25, 2016).
---------------------------------------------------------------------------
Administrative Protective Orders
This notice also serves as a reminder to parties subject to
administrative protective order (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 with the regulations and terms of an APO is a sanctionable
violation.
Notification to Interested Parties
This determination is issued and published pursuant to section
103(a) of the URAA and in accordance with sections 19 CFR 351.214(k)
and 19 CFR 351.221(b)(5).
Dated: June 28, 2019.
Alex Villanueva,
Senior Director, Office I, Antidumping and Countervailing Duty
Operations.
Appendix--List of Topics Discussed in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Subsidies Valuation
V. Analysis of Programs
VI. Discussion of the Issues
Comment 1: Whether Article 19.3 of the Subsidies and Countervailing
Measures
[[Page 32123]]
(SCM) Agreement Requires ``Expedited CVD Reviews''
Comment 2: Whether Reviews Conducted Under Section 751(a)(2)(B) of
the Act Are Limited to New Exporters and Producers
Comment 3: Whether Reviews Conducted Under Section 751(a) of the Act
Cannot Begin Until at Least the Anniversary of the CVD Order and
Must Act as the Basis for the Assessment of CVD Duties
Comment 4: Whether Section 736(c) of the Act Can Serve as the Basis
for Conducting CVD Expedited Reviews
Comment 5: Whether Commerce Should Account for Respondents'
Purchases of Subject Merchandise/Rough-Hewn Lumber and Whether
Commerce Should Assign the ``All-Others'' Rate from the CVD Order to
the Respondents in the Current Proceeding
Comment 6: Whether the Accelerated Capital Cost Allowance (ACCA) for
Class 29 Assets Program Is De Jure Specific
Comment 7: Whether the Provincial and Federal Logging Tax Credits
(PLTC and FLTC) Are Countervailable
Comment 8: Whether Business Development Bank of Canada (BDC) Loans
Are Specific and Countervailable
Comment 9: Whether Commerce Correctly Determined Specificity for
Various Tax and Employment Programs
Comment 10: Whether the Workforce Skills Development and Recognition
Fund (aka, FDRCMO) Is De Facto Specific
Comment 11: Whether the Immigrant Investor Program Is De Facto
Specific
Comment 12: Whether the Tax Credit for On-the-Job Training Period Is
De Facto Specific
Comment 13: Whether the Tax Credit for Investments Relating to
Manufacturing and Processing Equipment Is De Jure Specific
Comment 14: Whether the Scientific Research and Experimental
Development (SR&ED) Tax Measure Is De Facto Specific
Comment 15: Whether Matra and Sechoirs Should Be Treated Separately
Comment 16: Whether Commerce Should Find Groupe Matra To Be
Creditworthy
Comment 17: Whether Commerce Erred in Its Analysis of Investissement
Qu[eacute]bec (IQ) Guaranteed Loans
Comment 18: Whether Commerce Should Continue to Apply Partial
Adverse Facts Available (AFA) to the Immigrant Investor Program
Comment 19: Whether it Was Proper for Commerce to Consider New
Subsidy Allegations in an Expedited Review
Comment 20: Whether New Brunswick's Property Tax Incentives for
Private Forest Producers Is Countervailable
Comment 21: Whether the Benefit Analysis for New Brunswick's
Property Assessment System Should Be Adjusted
Comment 22: Whether Commerce Should Correct Fontaine's Total Sales
Amount
Comment 23: Whether Commerce Should Use Fontaine's Taxes Paid in
2015 to Calculate Receipt of Alleged Benefits During the Period of
Review (POR)
VII. Recommendation
[FR Doc. 2019-14338 Filed 7-3-19; 8:45 am]
BILLING CODE 3510-DS-P