[Federal Register Volume 85, Number 129 (Monday, July 6, 2020)]
[Notices]
[Pages 40226-40229]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-14531]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-552-825]


Utility Scale Wind Towers From the Socialist Republic of Vietnam: 
Final Determination of Sales at Less Than Fair Value and Final 
Affirmative 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 the Socialist Republic 
of Vietnam

[[Page 40227]]

(Vietnam) by CS Wind Group \1\ are being, or are likely to be, sold in 
the United States at less than fair value (LTFV) for the period of 
investigation January 1, 2019 through June 30, 2019.
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    \1\ CS Wind Vietnam Co., Ltd. (also known as CS Wind Tower Co., 
Ltd.) and CS Wind Corporation (collectively, CS Wind Group) are the 
two entities that are directly involved in the production, export, 
and sale of subject merchandise. As explained in the Clarification 
of the Respondent's Name section infra, in this final determination 
we clarify that this investigation covers the CS Wind Group.

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DATES: Applicable July 6, 2020.

FOR FURTHER INFORMATION CONTACT: Joshua A. DeMoss, 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) 482-3362.

SUPPLEMENTARY INFORMATION:

Background

    On July 9, 2019, the Wind Tower Trade Coalition (the petitioner) 
filed the antidumping duty Petition on wind towers from Vietnam.\2\ The 
petitioner explained in the Petition it's belief that CS Wind Vietnam 
Co., Ltd. (CS Wind) is the sole Vietnamese wind tower producer and 
exporter that is not subject to the Existing Wind Towers Order wind 
towers from Vietnam.\3\ The petitioner noted that: ``The U.S. 
International Trade Commission found that there were no imports of wind 
towers from Vietnamese firms other than CS Wind from 2012- June 2018. 
Therefore, we believe that all exports to the United States from 
Vietnam are produced by CS Wind and thus subject to this antidumping 
duty investigation.'' \4\
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    \2\ See Petitioner's Letter, ``Petition for the Imposition of 
Antidumping Duties on Utility Scale Wind Towers from the Socialist 
Republic of Vietnam,'' dated July 9, 2019 (Petition), Volume V of 
the Petition at 1.
    \3\ Id. (citing 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) (Existing Wind Towers Order),
    \4\ Id. (citing Utility Scale Wind Towers from China and 
Vietnam, Inv. Nos. 701-TA-486 and 731-TA-1195-1196, USITC Pub. 4888 
(Apr. 2019) (Review) at IV-1).
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    On August 5, 2019, Commerce published the Initiation Notice in this 
investigation of wind towers from Vietnam.\5\ In the Initiation Notice, 
we stated that this investigation applies to CS Wind and again noted 
that petitioner identified CS Wind as ``the only Vietnamese wind tower 
producer that is not currently subject to the existing AD order on wind 
towers from Vietnam.'' \6\ On February 14, 2020, Commerce published in 
the Federal Register the Preliminary Determination of sales at LTFV by 
CS Wind of wind towers from Vietnam.\7\
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    \5\ See Utility Scale Wind Towers from Canada, Indonesia, the 
Republic of Korea, and the Socialist Republic of Vietnam: Initiation 
of Less-Than-Fair-Value Investigations, 84 FR 37992 (August 5, 2019) 
(Initiation Notice).
    \6\ Id., 84 FR at 37997.
    \7\ See Utility Scale Wind Towers from the Socialist Republic of 
Vietnam: Preliminary Affirmative Determination of Sales at Less-
Than-Fair-Value and Preliminary Affirmative Determination of 
Critical Circumstances, 85 FR 8565 (February 14, 2020), and 
accompanying Preliminary Decision Memorandum (Preliminary 
Determination).
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    On February 27, 2020, Commerce postponed the deadline for the final 
determination until June 29, 2020.\8\ 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, which is adopted by this notice.\9\
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    \8\ See Utility Scale Wind Towers From the Socialist Republic of 
Vietnam: Postponement of Final Determination of Sales at Less-Than-
Fair-Value Investigation, 85 FR 11341(February 27, 2020).
    \9\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Determination in the Less-Than-Fair-Value Investigation of 
Utility Scale Wind Towers from the Socialist Republic of Vietnam,'' 
dated concurrently with, and hereby adopted by, this notice (Issues 
and Decision Memorandum).
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Clarification of the Respondent's Name

    In the Preliminary Determination, consistent with the information 
provided by the petitioners in the Petition, we stated that CS Wind is 
the only producer and exporter of wind towers in Vietnam not currently 
subject to the Existing Wind Towers Order from Vietnam.\10\ However, 
the Petition also explained that it intended for the investigation to 
apply to the producer/exporter combination excluded from the Existing 
Wind Towers Order.\11\ The companies excluded from the Existing Wind 
Towers Order are in fact the CS Wind Group, consisting of CS Wind and 
its owner, CS Wind Corporation, which were determined to be affiliated 
in that proceeding.\12\ In addition, information on the record 
indicates that CS Wind was formerly known as CS Wind Tower Co., 
Ltd.\13\ and Commerce received a communication from U.S. Customs and 
Border Protection (CBP), requesting information as to whether the 
entity ``CS Wind Tower Co., Ltd.'' is the same company as the mandatory 
respondent CS Wind Vietnam Co., Ltd. ``CS Wind Tower Co., Ltd.'' \14\ 
On the basis of this record information, we conclude that CS Wind 
Vietnam Co., Ltd. and CS Wind Tower Co., Ltd. are the same entity and 
will convey that understanding to CBP upon the issuance of this final 
determination.
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    \10\ See Preliminary Determination at 1 (citing Existing Wind 
Towers Order; and Utility Scale Wind Towers from the Socialist 
Republic of Vietnam: Notice of Court Decision Not in Harmony With 
the Final Determination of Less Than Fair Value Investigation and 
Notice of Amended Final Determination of Investigation, 82 FR 15493 
(March 29, 2017) (Amended Final Determination)).
    \11\ See Volume V of the Petition at 1
    \12\ Id.
    \13\ See CS Wind's Letter, ``CS Wind's Section A Questionnaire 
Response in the Antidumping Duty Investigation of Utility Scale Wind 
Towers From the Socialist Republic of Vietnam (A-552-825),'' dated 
September 6, 2019, at 26.
    \14\ See Commerce's Memo, ``U.S. Customs and Border Protection 
Question,'' dated June 18, 2020.
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    Because nothing on the record indicates that the status of the 
entities in the CS Wind Group have changed, and as indicated in the 
Petition, Initiation Notice, and the Preliminary Determination, this 
investigation is intended to cover the producer and exporter 
combination excluded from the Existing Wind Towers Order, for purposes 
of the final determination, Commerce clarifies that this investigation 
covers wind towers produced and exported by the CS Wind Group, which 
includes CS Wind Vietnam Co., Ltd., otherwise known as CS Wind Tower 
Co., Ltd. (collectively, CS Wind) and its affiliated owner, CS Wind 
Corporation.\15\
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    \15\ See Existing Wind Towers Order; Amended Final 
Determination. See also Commerce's Memorandum, ``CS Wind Entities,'' 
dated concurrently with this memorandum (Final Analysis Memo).
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Scope of the Investigation

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

Scope Comments

    Commerce did not receive any scope comments and has not updated the 
scope of the investigation since the Preliminary Determination.

Verification

    Because the mandatory respondent in this investigation did not 
provide necessary information requested by Commerce, we did not conduct 
verification.

[[Page 40228]]

Changes Since the Preliminary Determination and Use of Adverse Facts 
Available

    Commerce has made no changes to the Preliminary Determination. As 
stated in the Preliminary Determination, we found that the application 
of facts available with an adverse inference with respect to the 
examined respondent was warranted, in accordance with sections 776(a) 
and (b) of the Tariff Act of 1930, as amended (the Act).\16\
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    \16\ See Preliminary Determination at 3-10.
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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 accompanying this notice. 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.

Final Affirmative 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 exist with 
respect to imports of wind towers from Vietnam because the factors 
under section 773(e)(1)(A) of the Act were met. Our final determination 
remains unchanged. Accordingly, pursuant to section 735(a)(3) of the 
Act, we find that critical circumstances do exist with respect to 
imports of wind towers from Vietnam. 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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    \17\ In the companion countervailing duty (CVD) investigation, 
Commerce calculated a 2.16 percent export subsidy rate for CS Wind 
Vietnam Co., Ltd. See unpublished Federal Register notice titled 
``Utility Scale Wind Towers from the Socialist Republic from the 
Socialist Republic of Vietnam: Final Affirmative Countervailing Duty 
Determination,'' dated concurrently with this notice, and 
accompanying Issues and Decision Memorandum.
    \18\ CS Wind Tower Co., Ltd. is a former name for CS Wind 
Vietnam Co., Ltd; see also Final Analysis Memo.
    \19\ In the Preliminary Determination, we stated that CS Wind is 
the only producer and exporter of wind towers in Vietnam not 
currently subject to the existing antidumping duty order on wind 
towers from Vietnam. See Preliminary Determination at 1 (citing 
Existing Wind Towers Order); and Utility Scale Wind Towers from the 
Socialist Republic of Vietnam: Notice of Court Decision Not in 
Harmony With the Final Determination of Less Than Fair Value 
Investigation and Notice of Amended Final Determination of 
Investigation, 82 FR 15493 (March 29, 2017)). Commerce clarifies 
that this investigation covers wind towers excluded from the 
Existing Wind Towers Order (i.e., wind towers produced and exported 
by the CS Wind Group, which includes both CS Wind and CS Wind 
Corporation). For further information, see the Clarification of the 
Respondent's Name section, supra, Issues and Decision Memorandum, 
and Final Analysis Memo.

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                                                                  Weighted-average          Cash deposit rate
                    Exporter and producer                          dumping margin        (adjusted for  subsidy
                                                                      (percent)          offset) (percent) \17\
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CS Wind Vietnam Co., Ltd. a/k/a CS Wind Tower Co., Ltd.\18\                     65.96                     63.80
 and CS Wind Corporation \19\ (collectively, the CS Wind
 Group).....................................................
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Continuation of Suspension of Liquidation

    In accordance with section 735(c)(4)(A) of the Act, because we 
continue to find that critical circumstances exist, we will direct 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 November 16, 2019, which is 
90 days prior to the date of publication in the Federal Register of the 
affirmative Preliminary Determination.
    This investigation covers a single producer and exporter 
combination that is excluded from the Existing Wind Towers Order 
covering the same merchandise from Vietnam (A-552-814). Pursuant to 
section 735(c)(1) 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: 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. 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 found export subsidies for certain 
respondents. 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 
estimated weighted-average dumping margin adjusted for export subsidies 
at this time.

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 Vietnam 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

[[Page 40229]]

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) 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. Clarification of the Respondent
IV. Scope of the Investigation
V. Adjustment for Countervailed Export Subsidies
VI. Application of Adverse Facts Available
VII. Discussion of the Issues
    Comment 1: Application of Total Adverse Facts Available to CS 
Wind
    Comment 2: Critical Circumstances
    Comment 3: Moot Issues
VIII. Recommendation

[FR Doc. 2020-14531 Filed 7-2-20; 8:45 am]
BILLING CODE 3510-DS-P