[Federal Register Volume 85, Number 129 (Monday, July 6, 2020)]
[Notices]
[Pages 40239-40241]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-14530]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-867]


Utility Scale Wind Towers From Canada: 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 imports 
of utility scale wind towers (wind towers) from Canada are being, or 
are likely to be, sold in the United States at less than fair value 
(LTFV) for the period of investigation July 1, 2018 through June 30, 
2019.

DATES: Applicable July 6, 2020.

FOR FURTHER INFORMATION CONTACT: Michael J. Heaney, 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) 482-4475.

SUPPLEMENTARY INFORMATION:

Background

    On February 14, 2020, Commerce published in the Federal Register 
the Preliminary Determination of sales at LTFV of wind towers from 
Canada, in which we also postponed the final determination until June 
29, 2020.\1\ We invited interested parties to comment on the 
Preliminary Determination. A 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\ See Utility Scale Wind Towers from Canada: 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, 85 FR 8562 (February 14, 2020) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Utility Scale Wind Towers from Canada,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is wind towers from 
Canada. For a full description of the scope of this investigation, see 
the ``Scope of the Investigation'' in Appendix I of this notice.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
parties in this investigation are addressed in the Issues and Decision 
Memorandum. A list of the issues addressed 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 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. In addition, a complete 
version of the Issues and Decision Memorandum can be accessed directly 
at http://enforcement.trade.gov/frn/. 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 normally verifies information relied upon in making 
its final determination; however, we were unable to conduct 
verification in this investigation.\3\ Pursuant to section 776(a)(2)(D) 
of the Act, in situations where information has been provided but the 
information cannot be verified, Commerce will use ``facts otherwise 
available'' in reaching the applicable determination. Accordingly, we 
have relied on facts available in making our final determination.
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    \3\ See Memorandum, ``Antidumping Duty Investigation of Utility 
Scale Wind Towers from Canada--Cancellation of Verification,'' dated 
April 10, 2020.
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received, we have made 
certain changes to the margin calculation for the respondent. For a 
discussion of these changes, see the ``Margin Calculations'' section of 
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 
exporters and producers individually investigated excluding rates that 
are zero, de minimis, or determined entirely under section 776 of the 
Act. Marmen Inc., Marmen [Eacute]nergie Inc., and Marmen Energy Co. 
(collectively, the Marmen Group) is the only respondent for which 
Commerce calculated an estimated weighted-average dumping margin that 
is not zero, de minimis, or based entirely on facts otherwise 
available. Therefore, for purposes of determining the all-others rate, 
and pursuant to section 735(c)(5)(A) of the Act, we are using the 
estimated weighted-average dumping margin calculated for the Marmen 
Group, as referenced in the ``Final Determination'' section below.

Final Negative Determination of Critical Circumstances

    In accordance with section 733(e)(1) of the Act and 19 CFR 351.206, 
we preliminarily determined that critical circumstances did not exist 
with respect to imports of wind towers from Canada because section 
773(e)(1)(B) of the Act was not met (i.e., U.S. imports did not 
increase by 15 percent from the base to the comparison period). Our 
final determination remains unchanged. Accordingly, pursuant to section 
735(a)(3) of the Act, we find that critical circumstances do not exist 
with respect to imports of wind towers from Canada. For a full 
description of the methodology and results of Commerce's critical 
circumstances analysis, see the Issues and Decision Memorandum.

Final Determination

    The final estimated weighted-average dumping margins are as 
follows:

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                                                                  Weighted-average          Cash deposit rate
                    Exporter or producer                           dumping margin        (adjusted for  subsidy
                                                                      (percent)          offset)  (percent) \4\
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Marmen lnc./Marmen Energie Inc..............................                     4.94                      4.94

[[Page 40240]]

 
All Others..................................................                     4.94                      4.94
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Disclosure
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    \4\ In the companion countervailing duty (CVD) investigation, 
Commerce calculated a 0.00 percent export subsidy rate for the 
Marmen Group and for all other producers and exporters. See 
unpublished Federal Register notice titled ``Utility Scale Wind 
Towers from Canada: Final Affirmative Countervailing Duty 
Determination and Negative Determination of Critical 
Circumstances,'' dated concurrently with this notice, and 
accompanying Issues and Decision Memorandum. As the final cash 
deposit rate for estimated antidumping duties for all other 
exporters and producers is based on the Marmen Group's final rate, 
we further find that no export subsidy adjustment is warranted to 
the all-others' estimated weighted-average dumping margin.
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    We intend to disclose the calculations performed in this final 
determination within five days of the date of publication of this 
notice to parties in this proceeding, in accordance with 19 CFR 
351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, for this final 
determination, we will direct U.S. Customs and Border Protection (CBP) 
to continue to suspend liquidation of all entries of wind towers, as 
described in Appendix I of this notice, which are entered, or withdrawn 
from warehouse, for consumption on or after February 14, 2020, the date 
of publication in the Federal Register of the affirmative Preliminary 
Determination.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), we will instruct CBP to require a cash deposit for such 
entries of merchandise equal to the estimated weighted-average dumping 
margin as follows: (1) The cash deposit rate for the company listed in 
the table above will be equal to the company-specific estimated 
weighted-average dumping margin identified for that company in the 
table; (2) if the exporter is not a company identified above, but the 
producer is, then the cash deposit rate will be equal to the company-
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.
    To determine the cash deposit rate, Commerce normally adjusts the 
estimated weighted-average dumping margin by the amount of export 
subsidies determined in a companion CVD proceeding when CVD provisional 
measures are in effect. Accordingly, where Commerce makes an 
affirmative determination for export subsidies, Commerce offsets the 
calculated estimated weighted-average dumping margin by the appropriate 
rate(s). In this case, we have not found export subsidies for any 
respondents. Therefore, we are not instructing CBP to collect cash 
deposits based upon the estimated weighted-average dumping margin 
adjusted for export subsidies.

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 Commerce's final determination 
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 wind towers from Canada no later than 45 days 
after this final determination. If the ITC determines that such injury 
does not exist, this proceeding will be terminated, and all cash 
deposits will be refunded. If the ITC determines that such 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, as discussed above in the ``Continuation of 
Suspension of Liquidation'' section.

Notification Regarding Administrative Protective Orders

    This notice serves as a 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 written 
notification of 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 sanctionable 
violation.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).

    Dated: June 29, 2020.
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.
    Wind towers and sections thereof are included within the scope 
whether or not they are joined with nonsubject 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.
    Merchandise covered by this investigation is currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS)

[[Page 40241]]

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 Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Margin Calculations
V. Final Negative Determination of Critical Circumstances
VI. Adjustment for Countervailed Export Subsidies
VII. Discussion of the Issues
    Comment 1: Steel Plate Costs Smoothing
    Comment 2: Use of Amended Financial Statements
    Comment 3: Rejection of New Information
    Comment 4: Average-to-Transaction Comparison Method
    Comment 5: Non-Verification of Marmen Group's Data
    Comment 6: Date of Sale
    Comment 7: The Marmen Group's Sales of Completed Wind Towers or 
Wind Tower Sections
    Comment 8: Adverse Facts Available (AFA)
VIII. Recommendation

[FR Doc. 2020-14530 Filed 7-2-20; 8:45 am]
BILLING CODE 3510-DS-P