[Federal Register Volume 84, Number 196 (Wednesday, October 9, 2019)]
[Notices]
[Pages 54115-54116]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-22071]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-057]
Certain Tool Chests and Cabinets From the People's Republic of
China: Preliminary Results of Countervailing Duty Administrative
Review; 2017-2018
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that Zhongshan Geelong Manufacturing Co. Ltd. (Geelong), the sole
producer subject to this administrative review of certain tool chests
and cabinets (tool chests) from the People's Republic of China (China)
received countervailable subsidies during the period of review (POR),
September 15, 2017 through December 31, 2018. Interested parties are
invited to comment on these preliminary results of review.
DATES: Applicable October 9, 2019.
FOR FURTHER INFORMATION CONTACT: Thomas Schauer, AD/CVD Operations,
Office I, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-0410.
SUPPLEMENTARY INFORMATION:
Background
On January 24, 2018, Commerce published the countervailing duty
(CVD) order on tool chests from China.\1\ On February 8, 2019, we
published a notice of opportunity to request an administrative review
of the Order for the POR.\2\ On February 28, 2019, we received timely
requests from Geelong \3\ and Home Depot \4\ to conduct an
administrative review of the Order with regard to Geelong.\5\ On April
1, 2019, we published a notice of initiation for this administrative
review.\6\
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\1\ See Certain Tool Chests and Cabinets from the People's
Republic of China: Countervailing Duty Order, 83 FR 3299 (January
24, 2018) (Order).
\2\ See Antidumping or Countervailing Duty Order, Finding, or
Suspended Investigation; Opportunity to Request Administrative
Review, 84 FR 2816, 2817 (February 8, 2019).
\3\ See Geelong's Letter, ``Administrative Review of the
Countervailing Duty Order on Certain Tool Chests and Cabinets from
the People's Republic of China: Request for Review,'' dated February
28, 2019.
\4\ See Home Depot's Letter, ``Administrative Review of the
Countervailing Duty Order on Certain Tool Chests and Cabinets from
the People's Republic of China: Request for Review,'' dated February
28, 2019.
\5\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 84 FR 12200, 12206 (April 1, 2019)
(Initiation Notice). The parties requested reviews of Geelong,
Geelong Sales (MCO) Ltd. (MCO), and Geelong Sales Co. International
(HK) Ltd. However, neither of the latter two companies produce
subject merchandise and we preliminarily determine that neither of
these two companies received any subsidies. See ``Decision
Memorandum for the Preliminary Results of the Administrative Review
of the Countervailing Duty Order on Certain Tool Chests and Cabinets
from the People's Republic of China; 2017-2018,'' dated concurrently
with, and hereby adopted by, this notice (Preliminary Decision
Memorandum) at ``Attribution of Subsidies.'' MCO, an affiliate of
Geelong located in Macau, exports the subject merchandise Geelong
produces to the United States. See Letter, ``Administrative Review
of the Countervailing Duty Order on Certain Tool Chests and Cabinets
from the People's Republic of China: First Supplemental
Questionnaire Response,'' dated May 10, 2019, at Exhibit SQl-1.
\6\ See Initiation Notice, 84 FR at 12206.
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Scope of the Order
The scope of the Order covers tool chests from China. A full
description of the scope of the Order is contained in the Preliminary
Decision Memorandum.\7\
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\7\ See Preliminary Decision Memorandum.
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Methodology
We are conducting this administrative review in accordance with
section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act).
For each of the subsidy programs found countervailable, we determine
that there is a subsidy, i.e., a financial contribution by an
``authority'' that confers a benefit to the recipient, and that the
subsidy is specific.\8\ For a full description of the methodology
underlying our preliminary conclusions, including our reliance, in
part, on adverse facts available pursuant to sections 776(a) and (b) of
the Act, see the Preliminary Decision Memorandum. A list of topics
included in the Preliminary Decision Memorandum is provided in the
appendix to this notice.
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\8\ 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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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 Commerce building. In addition, a
[[Page 54116]]
complete version of the Preliminary Decision Memorandum can be accessed
directly at https://enforcement.trade.gov/frn/index.html. The signed
and the electronic versions of the Preliminary Decision Memorandum are
identical in content.
Preliminary Results of Review
We preliminarily find that the following net countervailable
subsidy rates exist for the sole respondent, Geelong, for the period
September 15, 2017 through December 31, 2018:
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Subsidy rate- Subsidy rate-
2017 (percent 2018 (percent
Company ad valorem) ad valorem)
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Zhongshan Geelong Manufacturing Co. 1.27 1.15
Ltd..................................
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Assessment Rates
Upon issuance of the final results of this administrative review,
Commerce shall determine, and U.S. Customs and Border Protection (CBP)
shall assess, countervailing duties on all appropriate entries covered
by this review. We intend to issue assessment instructions to CBP 15
days after publication of the final results of this review.
Cash Deposit Requirements
Pursuant to section 751(a)(2)(C) of the Act, we intend, upon
publication of the final results, to instruct CBP to collect cash
deposits of estimated CVDs, in the amounts indicated above for Geelong,
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 administrative review. These cash deposit
requirements, when imposed, shall remain in effect until further
notice.
Disclosure and Public Comment
We intend to disclose the calculations performed for these
preliminary results to the parties within five days after public
announcement of the preliminary results in accordance with 19 CFR
351.224(b). Pursuant to 19 CFR 351.309(c), interested parties may
submit case briefs not later than 30 days after the date of publication
of this notice. Rebuttal briefs, limited to issues raised in the case
briefs, may be filed not later than five days after the date for filing
case briefs.\9\ Parties who submit case briefs or rebuttal briefs in
this proceeding 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.\10\
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\9\ See 19 CFR 351.309(d).
\10\ See 19 CFR 351.309(c)(2) and (d)(2).
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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, filed electronically via ACCESS. An
electronically filed document must be received successfully in its
entirety by Commerce's electronic records system, ACCESS, by 5:00 p.m.
Eastern Time within 30 days after the date of publication of this
notice.\11\ Requests should contain: (1) The party's name, address and
telephone number; (2) the number of participants; and (3) a list of
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. Unless the
deadline is extended, pursuant to section 751(a)(3)(A) of the Act, we
intend to issue the final results of this administrative review,
including the results of our analysis of the issues raised by the
parties in their case briefs, no later than 120 days after the date of
publication of this notice.
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\11\ See 19 CFR 351.310(c).
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Notification to Interested Parties
These preliminary results are issued and published in accordance
with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR
351.221(b)(4).
Dated: October 3, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Diversification of China's Economy
V. Subsidies Valuation
VI. Benchmarks and Discount Rates
VII. Use of Facts Otherwise Available and Application of Adverse
Inferences
VIII. Analysis of Programs
IX. Conclusion
[FR Doc. 2019-22071 Filed 10-8-19; 8:45 am]
BILLING CODE 3510-DS-P