[Federal Register Volume 84, Number 198 (Friday, October 11, 2019)]
[Notices]
[Pages 54841-54843]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-22315]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-489-838]
Certain Quartz Surface Products From the Republic of Turkey:
Preliminary Affirmative Countervailing Duty Determination, Preliminary
Affirmative Critical Circumstances 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 countervailable subsidies are being provided to producers and
exporters of certain quartz surface products (quartz surface products)
from the Republic of Turkey (Turkey). The period of investigation is
January 1, 2018 through December 31, 2018. Interested parties are
invited to comment on this preliminary determination.
DATES: Applicable October 11, 2019.
FOR FURTHER INFORMATION CONTACT: Stephanie Berger or Peter Zukowski,
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) 482-2483
or (202) 482-0189, 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 June 3,
2019.\1\ On July 3, 2019, Commerce postponed the preliminary
determination of this investigation, and the revised deadline is now
October 7, 2019.\2\ For a complete description of the events that
followed the initiation of this investigation, see the Preliminary
Decision Memorandum.\3\ 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 https://access.trade.gov,
and is available to all parties in the Central Records Unit, Room B8024
of the main 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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\1\ See Certain Quartz Surface Products from India and the
Republic of Turkey: Initiation of Countervailing Duty
Investigations, 84 FR 25524 (June 3, 2019) (Initiation Notice).
\2\ See Certain Quartz Surface Products from India and the
Republic of Turkey: Postponement of Preliminary Determinations in
the Countervailing Duty Investigations, 84 FR 31839 (July 3, 2019).
\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination of the Countervailing Duty Investigation of Certain
Quartz Surface Products from Turkey,'' 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 quartz surface
products from Turkey. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
In accordance with the Preamble to Commerce's regulations,\4\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage, (i.e., scope).\5\ Certain interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice. Commerce intends to issue its preliminary
decision regarding comments concerning the scope of the antidumping
duty (AD) and countervailing duty (CVD) investigations in the
preliminary determination of the companion AD investigation.
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\4\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice.
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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 gives
rise to a benefit to the recipient, and that the subsidy is
specific.\6\
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\6\ 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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Preliminary Affirmative Determination of Critical Circumstances
In accordance with section 703(e)(1) of the Act, Commerce
preliminarily determines that critical circumstances exist with respect
to imports of quartz surface products from Turkey for Belenco
Di[scedil] Ticaret A.[Scedil]. (Belenco) and all other exporters or
producers not individually examined. For a full description of the
methodology and results of Commerce's analysis, see the Preliminary
Decision Memorandum.
Alignment
As noted in the Preliminary Decision Memorandum, in accordance with
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is
aligning the final CVD determination in this investigation with the
final determination in the companion AD investigation of quartz surface
products from Turkey based on a request made by the petitioner.\7\
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 February 18, 2020, unless postponed.\8\
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\7\ See Petitioner's Letter, ``Certain Quartz Surface Products
from Turkey: Request to Align Determinations,'' dated October 1,
2019.
\8\ See Certain Quartz Surface Products from India and the
Republic of Turkey: Postponement of the Preliminary Determinations
in the Less-Than-Fair-Value Investigations, 84 FR 52062 (October 1,
2019).
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All-Others Rate
Sections 703(d) 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.
Commerce calculated an individual estimated countervailable subsidy
rate for Belenco and Peker Y[uuml]zey Tasar[inodot]lar[inodot]
[[Page 54842]]
Sanayi ve Tic. A.[Scedil]. (Peker Y[uuml]zey), the only individually
examined exporter/producer in this investigation. Because the only
individually calculated rate is not zero, de minimis, or based entirely
on facts otherwise available, the estimated weighted-average rate
calculated for Belenco/Peker Y[uuml]zey is the rate assigned to all
other producers and exporters, pursuant to section 705(c)(5)(A)(i) of
the Act.
Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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\9\ As discussed in the Preliminary Decision Memorandum,
Commerce has found the following company to be cross-owned with
Belenco Dis Ticaret AS: Peker Y[uuml]zey Tasar[inodot]lar[inodot]
Sanayi ve Tic. A.[Scedil].
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Subsidy rate
Company (percent)
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Belenco Di[scedil] Ticaret A.[Scedil]. and Peker 3.81
Y[uuml]zey Tasar[inodot]lar[inodot] Sanayi ve Tic.
A.[Scedil].\9\.........................................
All Others.............................................. 3.81
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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.
Section 703(e)(2) of the Act provides that, given an affirmative
determination of critical circumstances, any suspension of liquidation
shall apply to unliquidated entries of merchandise entered, or
withdrawn from warehouse, for consumption on or after the later of (a)
the date which is 90 days before the date on which the suspension of
liquidation was first ordered, or (b) the date on which notice of
initiation of the investigation was published. Commerce preliminarily
finds that critical circumstances exist for imports of subject
merchandise produced and/or exported by Belenco/Peker Y[uuml]zey and
All Others. In accordance with section 703(e)(2)(A) of the Act, the
suspension of liquidation shall apply to unliquidated entries of
merchandise from the exporters/producers identified in this paragraph
that were entered, or withdrawn from warehouse, for consumption on or
after the date which is 90 days before the publication of this notice.
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.\10\ 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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\10\ 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.
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 the
final determination is affirmative, the ITC will determine before the
later of 120 days after the date of this preliminary determination or
45 days after the 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).
Dated: October 7, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
Quartz surface products consist of slabs and other surfaces
created from a mixture of materials that includes predominately
silica (e.g., quartz, quartz powder, cristobalite, glass powder) as
well as a resin binder (e.g., an unsaturated polyester). The
incorporation of other materials, including, but not limited to,
pigments, cement, or other additives does not remove the merchandise
from the scope of the investigation. However, the scope of the
investigation only includes products where the silica content is
greater than any other single material, by actual weight. Quartz
surface products are typically sold as rectangular slabs with a
total surface area of approximately 45 to 60 square feet and a
nominal thickness of one, two, or three centimeters. However, the
scope of this investigation includes surface products of all other
sizes, thicknesses, and shapes. In addition to slabs, the scope of
this investigation includes, but is not limited to, other surfaces
such as countertops, backsplashes, vanity tops, bar tops, work tops,
tabletops, flooring, wall facing, shower surrounds, fire place
surrounds, mantels, and tiles. Certain quartz surface products are
covered by the investigation whether polished or unpolished, cut or
uncut, fabricated or not fabricated, cured or
[[Page 54843]]
uncured, edged or not edged, finished or unfinished, thermoformed or
not thermoformed, packaged or unpackaged, and regardless of the type
of surface finish.
In addition, quartz surface products are covered by the
investigation whether or not they are imported attached to, or in
conjunction with, non-subject merchandise such as sinks, sink bowls,
vanities, cabinets, and furniture. If quartz surface products are
imported attached to, or in conjunction with, such non-subject
merchandise, only the quartz surface product is covered by the
scope.
Subject merchandise includes material matching the above
description that has been finished, packaged, or otherwise
fabricated in a third country, including by cutting, polishing,
curing, edging, thermoforming, attaching to, or packaging with
another product, or any other finishing, packaging, or fabrication
that would not otherwise remove the merchandise from the scope of
the investigation if performed in the country of manufacture of the
quartz surface products.
The scope of the investigation does not cover quarried stone
surface products, such as granite, marble, soapstone, or quartzite.
Specifically excluded from the scope of the investigation are
crushed glass surface products. Crushed glass surface products must
meet each of the following criteria to qualify for this exclusion:
(1) The crushed glass content is greater than any other single
material, by actual weight; (2) there are pieces of crushed glass
visible across the surface of the product; (3) at least some of the
individual pieces of crushed glass that are visible across the
surface are larger than 1 centimeter wide as measured at their
widest cross-section (``Glass Pieces''); and (4) the distance
between any single Glass Piece and the closest separate Glass Piece
does not exceed three inches.
The products subject to the scope are currently classified in
the Harmonized Tariff Schedule of the United States (HTSUS) under
the following subheading: 6810.99.0010. Subject merchandise may also
enter under subheadings 6810.11.0010, 6810.11.0070, 6810.19.1200,
6810.19.1400, 6810.19.5000, 6810.91.0000, 6810.99.0080,
6815.99.4070, 2506.10.0010, 2506.10.0050, 2506.20.0010,
2506.20.0080, and 7016.90.1050. The HTSUS subheadings set forth
above are provided for convenience and U.S. Customs purposes only.
The written description of the scope 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. Preliminary Affirmative Determination of Critical Circumstances
VI. Injury Test
VII. Alignment
VIII. Subsidies Valuation
IX. Benchmarks and Interest Rates
X. Analysis of Programs
XI. Disclosure and Public Comment
XII. Conclusion
[FR Doc. 2019-22315 Filed 10-10-19; 8:45 am]
BILLING CODE 3510-DS-P