[Federal Register Volume 85, Number 85 (Friday, May 1, 2020)]
[Notices]
[Pages 25391-25394]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-09407]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-533-889]
Certain Quartz Surface Products From India: Final Determination
of Sales at Less Than Fair Value and Final Negative Determination of
Critical Circumstances
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that certain
quartz surface products from India are being, or are likely to be, sold
in the United States at less than fair value (LTFV) during the period
of investigation (POI) April 1, 2018 through March 31, 2019.
DATES: Applicable May 1, 2020.
FOR FURTHER INFORMATION CONTACT: Charles Doss, 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) 482-4474.
SUPPLEMENTARY INFORMATION:
Background
On December 13, 2019, Commerce published the Preliminary
Determination in this investigation.\1\ A
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summary of the events that occurred since Commerce published the
Preliminary Determination, as well as a full discussion of the issues
raised by parties for this final determination, may be found in the
Issues and Decision Memorandum.\2\
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\1\ Certain Quartz Surface Products from India: Preliminary
Affirmative Determination of Sales at Less Than Fair Value,
Preliminary Negative Determination of Critical Circumstances,
Postponement of Final Determination, and Extension of Provisional
Measures, 84 FR 68123 (December 13, 2019) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum.
\2\ See Memorandum, ``Issues and Decision Memorandum for the
Final Determination in the Antidumping Duty Investigation of Certain
Quartz Surface Products from India,'' dated concurrently with, and
hereby adopted by, this notice (Issues and Decision Memorandum).
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Period of Investigation
The POI is April 1, 2018 through March 31, 2019.
Scope of the Investigation
The products covered by this investigation are certain quartz
surface products from India. For a full description of the scope of
this investigation, see Appendix I of this notice.
Scope Comments
On December 4, 2019, we issued a Preliminary Scope Memorandum.\3\
We received no scope case briefs from interested parties. Therefore,
Commerce has made no changes to the scope of this investigation since
the Preliminary Determination.
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\3\ See Memorandum, ``Certain Quartz Surface Products from India
and Turkey: Preliminary Scope Decision Memorandum,'' dated December
4, 2019.
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Analysis of Comments Received
All issues raised in the case briefs and rebuttal briefs submitted
by interested parties in this proceeding are discussed in the Issues
and Decision Memorandum. A list of the issues raised by parties and
responded to by Commerce in the Issues and Decision Memorandum is
attached to this notice as Appendix II. The Issues and Decision
Memorandum is a public document and is available 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. In addition, a complete
version of the Issues and Decision Memorandum can be accessed directly
at http://enforcement.trade.gov/frn/index.html. The signed and
electronic versions of the Issues and Decision Memorandum are identical
in content.
Verification
As provided in section 782(i) of the Tariff Act of 1930, as amended
(the Act), Commerce verified the sales and cost data reported by
mandatory respondents Pokarna Engineered Stone Limited (PESL) and the
Antique Group \4\ for use in our final determination. We used standard
verification procedures, including an examination of relevant
accounting and production records, and original source documents
provided by the respondents.
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\4\ The Antique Group is comprised of Antique Marbonite Private
Limited, India (Antique Marbonite or AMPL) and its affiliates Shivam
Enterprises (Shivam) and Prism Johnson Limited (Prism Johnson).
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Changes Since the Preliminary Determination
Based on our analysis of the comments received and our findings at
verification, we made certain changes to the margin calculations for
PESL and the Antique Group since the Preliminary Determination. For a
discussion of these changes, see the Issues and Decision Memorandum.
Final Negative Determination of Critical Circumstances
Commerce preliminarily determined that critical circumstances do
not exist for the mandatory respondents, PESL and the Antique Group, or
with respect to all other producers/exporters. No parties submitted
comments regarding our negative preliminary critical circumstances
determination and the factual basis for the preliminary negative
finding remains unchanged for this final determination. Therefore, in
accordance with sections 733(e)(1) and 735(a)(3) of the Act, and 19 CFR
351.206, Commerce finds that critical circumstances do not exist for
PESL, the Antique Group, or all other producers/exporters. For a full
description of the methodology and results of Commerce's critical
circumstances analysis, see the Issues and Decision Memorandum.
All-Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated
weighted-average dumping margin for all other producers and exporters
not individually investigated shall be equal to the weighted average of
the estimated weighted-average dumping margins established for
individually investigated exporters and producers, excluding any
margins that are zero or de minimis or any margins determined entirely
under section 776 of the Act.
In this investigation, Commerce calculated estimated weighted-
average dumping margins for PESL and Antique Group that are not zero,
de minimis, or based entirely on facts otherwise available. Commerce
calculated the all-others rate using a weighted average of the
estimated weighted-average dumping margins calculated for the examined
respondents using each company's publicly-ranged values for the
merchandise under consideration.\5\
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\5\ See, e.g., Ball Bearings and Parts Thereof from France,
Germany, Italy, Japan, and the United Kingdom: Final Results of
Antidumping Duty Administrative Reviews, Final Results of Changed-
Circumstances Review, and Revocation of an Order in Part, 75 FR
53661, 53663 (September 1, 2010); see also Memorandum, ``Certain
Quartz Surface Products from India: Calculation of All-Others' Rate
in Final Determination,'' dated concurrently with this notice.
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Final Determination
The estimated weighted-average dumping margins are as follows:
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Estimated Cash deposit rate
weighted-average (adjusted for
Exporter/producer dumping margin subsidy offset(s))
(percent) (percent)
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Antique Marbonite Private 5.15 3.58
Limited, India; Shivam
Enterprises (Shivam); and Prism
Johnson Limited (Prism Johnson)
Pokarna Engineered Stone Limited 2.67 0.33
All Others...................... 3.19 1.02
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Disclosure
We intend to disclose to interested parties the calculations and
analysis performed in this final determination within five days of any
public announcement or, if there is no public announcement, within five
days of the date of the publication of this notice to parties in this
proceeding in accordance with 19 CFR 351.224(b).
[[Page 25393]]
Continuation of Suspension of Liquidation
In accordance with section 735(c)(1)(B) of the Act, we will
instruct U.S. Customs and Border Protection (CBP) to continue the
suspension of liquidation of all appropriate entries of certain quartz
surface products, as described in Appendix I of this notice, which were
entered, or withdrawn from warehouse, for consumption on or after
December 13, 2019, the date of publication of the Preliminary
Determination of this investigation in the Federal Register. Further,
Commerce will instruct CBP to require a cash deposit equal to the
estimated amount by which the normal value exceeds the U.S. price as
shown above.
To determine the cash deposit rate, Commerce normally adjusts the
estimated weighted-average dumping margin by the amount of export
subsidies countervailed in a companion countervailing duty (CVD)
proceeding, when CVD provisional measures are in effect. In this case,
we have made an affirmative determination for countervailable export
subsidies for certain respondents, and, thus, we have offset the
estimated weighted-average dumping margin by the appropriate CVD rate.
Any such adjusted rates may be found in the table above. However,
suspension of liquidation for provisional measures in the companion CVD
case has been discontinued; therefore, we are not instructing CBP to
collect cash deposits based upon the adjusted estimated weighted-
average dumping margin for those subsidies at this time.
Pursuant to section 735(c)(1)(B)(ii) of the Act, we will instruct
CBP to require a cash deposit equal to the estimated amount by which
the normal value exceeds the U.S. price as follows: (1) The cash
deposit rates for the respondents listed above will be equal to the
respondent-specific estimated weighted-average dumping margin
determined in this final determination; (2) if the exporter is not a
respondent identified above but the producer is, then the cash deposit
rate will be equal to the respondent-specific estimated weighted-
average dumping margin established for that producer of the subject
merchandise; and (3) the cash deposit rate for all other producers and
exporters will be equal to the all others estimated weighted-average
dumping margin. These suspension of liquidation instructions will
remain in effect until further notice.
International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
International Trade Commission (ITC) of the final affirmative
determination of sales at LTFV. Because the final determination in this
proceeding is affirmative, in accordance with section 735(b)(2) 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, or sales (or the
likelihood of sales) for importation of certain quartz surface products
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 material injury or threat of
material injury does exist, Commerce will issue an antidumping duty
order directing CBP to assess, upon further instruction by Commerce,
antidumping 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.
Notification Regarding Administrative Protective Orders
This notice serves as the only reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely 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 the terms of an APO is a violation subject to sanction.
Notification to Interested Parties
We are issuing and publishing this determination and notice in
accordance with sections 735(d) and 777(i) of the Act and 19 CFR
351.210(c).
Dated: April 27, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by the investigation is certain quartz
surface products. 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 the investigation includes surface products of all other
sizes, thicknesses, and shapes. In addition to slabs, the scope of
the 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, fireplace
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 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,
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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 Issues and Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Final Negative Determination of Critical Circumstances
VI. Changes Since the Preliminary Determination
VII. Discussion of the Issues
Comment 1: Whether to Apply Adverse Inference Regarding PESL's
Date of Sale Reporting
Comment 2: Whether to Cap PESL's Freight, Insurance and Packing
Revenue
Comment 3: Treatment of PESL's Warranty Expenses
Comment 4: Whether to Exclude PESL's Paid U.S. Sample Sales
Comment 5: Whether to Rely on Antique Group's Profit Rate and
Selling Expenses to Calculate Constructed Value (CV) for PESL
Comment 6: Whether to Adjust PESL's General and Administrative
(G&A) Expense Ratio
Comment 7: Whether to Allocate the Costs of PESL's Non-prime
Products to Prime Products
Comment 8: Treatment of Antique Group's Reported Credit Expenses
Comment 9: Treatment of Antique Group's Reported Quality
Discounts
Comment 10: Whether the Arms-Length Test Was Appropriately
Applied with Respect to Antique Group's Collapsed Affiliate
Comment 11: Ministerial Error Regarding Application of Antique
Group's Reported Billing Adjustments
Comment 12: Whether the Initiation of the Investigation was
Contrary to Law
VIII. Recommendation
[FR Doc. 2020-09407 Filed 4-30-20; 8:45 am]
BILLING CODE 3510-DS-P