[Federal Register Volume 84, Number 210 (Wednesday, October 30, 2019)]
[Notices]
[Pages 58137-58139]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-23611]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-096]
Aluminum Wire and Cable From the People's Republic of China:
Final Affirmative Countervailing Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that
countervailable subsidies are being provided to producers and exporters
of aluminum wire and cable from the People's Republic of China (China).
DATES: Applicable October 30, 2019.
FOR FURTHER INFORMATION CONTACT: Caitlin Monks or Nancy Decker, 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 or 202-482-0196,
respectively.
SUPPLEMENTARY INFORMATION:
Background
The petitioners in this investigation are Encore Wire Corporation
(Encore) and Southwire Company, LLC (Southwire) (the petitioners). In
addition to the Government of China (GOC), the mandatory respondents in
this investigation are Shanghai Silin Special Equipment Co., Ltd.
(Silin), Changfeng Wire & Cable Co., Ltd. (Changfeng), and Shanghai
Yang Pu Qu Gong (Qu Gong). Qu Gong did not respond to our requests for
information.
On April 8, 2019, Commerce published in the Federal Register the
Preliminary Determination of this investigation.\1\ On September 11,
2019, Commerce issued its Post-Preliminary Analysis.\2\
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\1\ See 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, 84 FR 13886 (April 8, 2019) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum
(PDM).
\2\ See Memorandum, ``Post-Preliminary Analysis of
Countervailing Duty Investigation: Aluminum Wire and Cable from the
People's Republic of China,'' dated September 11, 2019.
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A summary of events that occurred since Commerce published the
Preliminary Determination, as well as a full discussion of comments
from interested parties for this final determination, is provided in
the Issues and Decision Memorandum.\3\ 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 Commerce
building. In addition, a complete version of the Issues and Decision
Memorandum can be accessed directly at http://enforcement.trade.gov.
The signed and electronic versions of the Issues and Decision
Memorandum are identical in content.
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\3\ See Memorandum, ``Issues and Decision Memorandum for the
Final Determination in the Countervailing Duty Investigation of
Aluminum Wire and Cable from the People's Republic of China,'' dated
concurrently with, and hereby adopted by, this notice (Issues and
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.
Period of Investigation
The period of investigation is January 1, 2017 through December 31,
2017.
Use of Adverse Facts Available
In making this final determination, Commerce is relying on facts
otherwise available, including adverse facts available (AFA), pursuant
to section 776(a) of the Tariff Act of 1930, as amended (the Act). For
a full discussion of our application of AFA, see the Preliminary
Determination and the Issues and Decision Memorandum.\4\
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\4\ See Preliminary Determination PDM at ``Use of Facts
Otherwise Available and Adverse Inferences;'' see also Issues and
Decision Memorandum at ``Use of Facts Otherwise Available and
Adverse Inferences.''
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Analysis of Comments Received
In the Issues and Decision Memorandum, we address all issues raised
in parties' case and rebuttal briefs. A list of the issues that parties
raised, and to which we responded, is attached to this notice as
Appendix II.
Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
parties, minor corrections presented at verification, and our
verification findings, we made changes to Changfeng's subsidy rate
calculation, and we have now assigned Silin a rate based entirely on
AFA. For a discussion of these changes, see the Issues and Decision
Memorandum.
Final Determination
In accordance with section 705(c)(1)(B)(i)(I) of the Tariff Act of
1930, as amended (the Act), we calculated an individual estimated
subsidy rate for Changfeng and assigned to Qu Gong and Silin rates
based entirely on AFA pursuant to section 776 of the Act.
Section 705(c)(5)(A) of the Act provides that in the final
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. Changfeng is the only respondent for which we
calculated an estimated weighted-average subsidy rate that is not zero,
de minimis, or based entirely on facts otherwise available. Therefore,
[[Page 58138]]
for purposes of determining the all-others rate, and pursuant to
section 705(c)(5)(A) of the Act, we are using the subsidy rate
calculated for Changfeng.
Commerce determines the total estimated net countervailable subsidy
rates to be the following:
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Subsidy
Producer/exporter rate
(percent)
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Shanghai Silin Special Equipment Co., Ltd.\5\ 165.63
Changfeng Wire & Cable Co., Ltd............................ 33.44
Shanghai Yang Pu Qu Gong................................... 165.63
All-Others................................................. 33.44
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Disclosure
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\5\ As discussed in the Preliminary Determination PDM, Commerce
has assigned Silin's rate to the entity named as cross-owned in its
affiliation questionnaire response: Jiangxi Silin International
Cable Co., Ltd.
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We intend to disclose to interested parties under Administrative
Protective Order (APO), the calculations performed in connection with
this final determination within five days of any public announcement
or, if there is no public announcement, within five days of the date of
publication of the notice of final determination in the Federal
Register, in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination, and pursuant to
sections 703(d)(1)(B) and (2) of the Act, we instructed U.S. Customs
and Border Protection (CBP) to suspend liquidation of all entries of
merchandise under consideration from China that were entered or
withdrawn from warehouse, for consumption, on or after April 8, 2019,
i.e., the date of publication of the Preliminary Determination in the
Federal Register. In accordance with section 703(d) of the Act, we
issued instructions to CBP to discontinue the suspension of liquidation
for countervailing duty purposes for subject merchandise entered, or
withdrawn from warehouse, on or after August 6, 2019, but to continue
the suspension of liquidation of all entries from April 8, 2019 through
August 5, 2019.
If the U.S. International Trade Commission (ITC) issues a final
affirmative injury determination, we will issue a countervailing duty
order, reinstate the suspension of liquidation under section 706(a) of
the Act, and will require a cash deposit of estimated countervailing
duties for entries of subject merchandise in the amounts indicated
above. If the ITC determines that material injury, or threat of
material injury, does not exist, this proceeding will be terminated,
and all estimated duties deposited as a result of the suspension of the
suspension of liquidation will be refunded.
International Trade Commission Notification
In accordance with section 705(d) of the Act, we will notify the
ITC of our determination. Because Commerce's final determination in
this proceeding is affirmative, in accordance with section 705(b) of
the Act, the ITC will make its final determination as to whether the
domestic industry in the United States is materially injured, or
threatened with material injury, by reason of imports of aluminum wire
and cable from China no later than 45 days after our final
determination. If the ITC determines that material injury or threat of
material injury does not exist, the proceeding will be terminated, and
all cash deposits will be refunded. If the ITC determines that such
injury does exist, Commerce will issue a countervailing duty order
directing CBP to assess, upon further instruction by Commerce,
countervailing duties on all imports of the subject merchandise
entered, or withdrawn from warehouse, for consumption on or after the
effective date of the suspension of liquidation, as discussed above in
the ``Continuation of Suspension of Liquidation'' section.
Notification Regarding Administrative Protective Orders
This notice serves as a reminder to the parties subject to an APO
of their responsibility concerning the disposition 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, alternatively, conversion to judicial protective
order, is hereby requested. Failure to comply with the regulations and
terms of an APO is a violation that is subject to sanction.
Notification to Interested Parties
This determination is issued and published pursuant to sections
705(d) and 777(i) of the Act and 19 CFR 351.210(c).
Dated: October 18, 2019.
Carole Showers,
Executive Director, Office Policy, Policy & Negotiations, 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 1,000 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 1,000 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 Issues and Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Use of Facts Otherwise Available and Adverse Inferences
VI. Subsidies Valuation
VII. Analysis of Programs
VIII. Analysis of Comments
General Issues
Comment 1: Export Buyer's Credits
Comment 2: Other Subsidies
Comment 3: Benchmark for Aluminum Rod
Comment 4: Double Remedies for Aluminum Rod
Comment 5: Loan Calculations
Issues Related to Silin and its Suppliers/Producers
Comment 6: Whether to Apply AFA to Silin
Comment 7: Whether to Apply Partial AFA to Qingdao Cable
Comment 8: Xinqi Cable's Electricity Benefit Calculation
Issues Related to Changfeng
[[Page 58139]]
Comment 9: Whether to Apply AFA to Changfeng
Comment 10: Whether to Apply Partial AFA to Changfeng's Policy
Loans
IX. Recommendation
[FR Doc. 2019-23611 Filed 10-29-19; 8:45 am]
BILLING CODE 3510-DS-P