[Federal Register Volume 84, Number 240 (Friday, December 13, 2019)]
[Notices]
[Pages 68104-68106]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-26947]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-552-826]
Utility Scale Wind Towers From the Socialist Republic of Vietnam:
Preliminary Affirmative Countervailing Duty 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 utility scale wind towers (wind towers) from the Socialist
Republic of Vietnam (Vietnam). The period of investigation is January
1, 2018 through December 31, 2018. Interested parties are invited to
comment on this preliminary determination.
DATES: Applicable December 13, 2019.
FOR FURTHER INFORMATION CONTACT: Davina Friedmann, Paul Walker, or
Julie Geiger, AD/CVD Operations, Office VI, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-
0698; (202) 482-0413; or (202) 482-2057, 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 August 6,
2019.\1\ On September 13, 2019, in accordance with section 703(c)(1)(A)
of the Act and 19 CFR 351.205(b)(2), Commerce published its
postponement of the deadline for the preliminary determination of the
investigation, and the revised deadline is now December 6, 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
http://access.trade.gov and 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 Utility Scale Wind Towers from Canada, Indonesia, and
the Socialist Republic of Vietnam: Initiation of Countervailing Duty
Investigations, 84 FR 38216 (August 6, 2019) (Initiation Notice).
\2\ See Utility Scale Wind Towers from Canada, Indonesia, and
the Socialist Republic of Vietnam: Postponement of Preliminary
Determinations of Countervailing Duty Investigations, 84 FR 48329
(September 13, 2019).
\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination of the Countervailing Duty Investigation of Utility
Scale Wind Towers from the Socialist Republic of Vietnam,'' 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 wind towers from
Vietnam. 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\ No interested party
commented on the scope of the investigation as it appeared in the
Initiation Notice. Accordingly, Commerce is preliminarily not modifying
the scope language as it appeared in the Initiation Notice. See
Appendix I.
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\4\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice, 84 FR at 38217.
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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
[[Page 68105]]
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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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 countervailing duty (CVD) determination in this
investigation with the final determination in the companion antidumping
duty (AD) investigation of wind towers from Vietnam based on a request
made by the Wind Tower Trade Coalition (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 April 20, 2020, unless postponed.
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\7\ See Petitioner's Letter, ``Utility Scale Wind Towers from
the Socialist Republic of Vietnam: Request to Align Countervailing
Duty Investigation Final Determination with Antidumping Duty
Investigation Final Determination,'' dated November 27, 2019.
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All-Others Rate
Sections 703(d)(1)(A)(i) 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 on
facts otherwise available, as outlined under section 776 of the Act.
In this investigation, Commerce calculated an individually-
estimated countervailable subsidy rate for the mandatory respondent, CS
Wind Vietnam Co., Ltd. (CS Wind), which is not zero, de minimis, or
based entirely on facts otherwise available. Because CS Wind is the
only mandatory respondent in this investigation and its individually-
calculated rate is not zero, de minimis, or determined entirely under
section 776 of the Act, Commerce has assigned CS Wind's rate as the
estimated all-others rate.
Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
------------------------------------------------------------------------
Subsidy
Producer/exporter rate
(percent)
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CS Wind Vietnam Co., Ltd.................................... 2.43
All Others.................................................. 2.43
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Suspension of Liquidation
In accordance with sections 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 section
703(d)(1)(B) of the Act and 19 CFR 351.205(d), Commerce will instruct
CBP to require a cash deposit equal to the rates indicated above.
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 for
submitting case briefs.\8\ 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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\8\ 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 (ITC) Notification
In accordance with section 703(f) of the Act, Commerce will notify
the ITC of its determination. Pursuant to 705(b)(2) of the Act, 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 whether imports of the subject
merchandise are materially injuring, or threaten material injury to,
the U.S. industry.
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: December 6, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation consists of
certain wind towers, whether or not tapered, and sections thereof.
Certain wind towers support the nacelle and rotor blades in a wind
turbine with a minimum rated electrical power generation capacity in
excess of 100 kilowatts and with a minimum height of 50 meters
measured from the base of the tower to the bottom of the nacelle
(i.e., where the top of the tower and nacelle are joined) when fully
assembled.
A wind tower section consists of, at a minimum, multiple steel
plates rolled into cylindrical or conical shapes and welded together
(or otherwise attached) to form a steel shell, regardless of
coating, end-finish, painting, treatment, or method of manufacture,
and with or without flanges, doors, or internal or external
components (e.g., flooring/decking, ladders, lifts, electrical buss
boxes, electrical cabling, conduit, cable harness for nacelle
generator, interior lighting, tool and storage lockers) attached to
the wind tower section. Several wind tower sections are normally
required to form a completed wind tower.
[[Page 68106]]
Wind towers and sections thereof are included within the scope
whether or not they are joined with non-subject merchandise, such as
nacelles or rotor blades, and whether or not they have internal or
external components attached to the subject merchandise.
Specifically excluded from the scope are nacelles and rotor
blades, regardless of whether they are attached to the wind tower.
Also excluded are any internal or external components which are not
attached to the wind towers or sections thereof, unless those
components are shipped with the tower sections.
Further, excluded from the scope of the antidumping duty
investigations are any products covered by the existing antidumping
duty order on utility scale wind towers from the Socialist Republic
of Vietnam. See Utility Scale Wind Towers from the Socialist
Republic of Vietnam: Amended Final Determination of Sales at Less
Than Fair Value and Antidumping Duty Order, 78 FR 11150 (February
15, 2013).
Merchandise covered by this investigation is currently
classified in the Harmonized Tariff Schedule of the United States
(HTSUS) under subheading 7308.20.0020 or 8502.31.0000. Wind towers
of iron or steel are classified under HTSUS 7308.20.0020 when
imported separately as a tower or tower section(s). Wind towers may
be classified under HTSUS 8502.31.0000 when imported as combination
goods with a wind turbine (i.e., accompanying nacelles and/or rotor
blades). While 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 Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Alignment
VI. Injury Test
VII. Application of the CVD Law to Imports from Vietnam
VIII. Subsidies Valuation
IX. Analysis of Programs
X. Entered Value Adjustment
XI. Calculation of the All-Others Rate
XII. ITC Notification
XIII. Recommendation
[FR Doc. 2019-26947 Filed 12-12-19; 8:45 am]
BILLING CODE 3510-DS-P