[Federal Register Volume 85, Number 158 (Friday, August 14, 2020)]
[Notices]
[Pages 49631-49634]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-17809]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-533-896]
Common Alloy Aluminum Sheet From India: Preliminary Affirmative
Countervailing Duty Determination, Preliminary Negative Critical
Circumstances 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 common alloy aluminum sheet (aluminum sheet) from India.
The period of investigation is January 1, 2019 through December 31,
2019. Interested parties are invited to comment on this preliminary
determination.
DATES: Applicable August 14, 2020.
FOR FURTHER INFORMATION CONTACT: Benito Ballesteros AD/CVD Operations,
Office V, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-7425.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended
[[Page 49632]]
(the Act). Commerce published the notice of initiation of this
investigation on April 7, 2020.\1\ On May 13, 2020, Commerce postponed
the preliminary determination to August 7, 2020.\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. 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 Common Alloy Aluminum Sheet from Bahrain, Brazil, India,
and the Republic of Turkey: Initiation of Countervailing Duty
Investigations, 85 FR 19449 (April 7, 2020) (Initiation Notice).
\2\ See Common Alloy Aluminum Sheet from Bahrain, Brazil, India,
and the Republic of Turkey: Postponement of Preliminary
Determinations in the Countervailing Duty Investigations, 85 FR
29930 (May 19, 2020).
\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination: Countervailing Duty Investigation of Common Alloy
Aluminum Sheet from India,'' dated concurrently with, and hereby
adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is aluminum sheet from
India. 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\ we
set aside a period of time, as stated in the Initiation Notice, for
parties to raise issues regarding product coverage (i.e., scope).\5\ We
received several comments concerning the scope of the antidumping duty
(AD) and countervailing duty (CVD) investigations of aluminum sheet as
it appeared in the Initiation Notice. We are currently evaluating the
scope comments filed by the interested parties. We intend to issue our
preliminary decision regarding the scope of the AD and CVD
investigations in the preliminary determinations of the companion AD
investigations, the deadline for which is October 6, 2020.\6\ We will
incorporate the scope decisions from the AD investigations into the
scope of the final CVD determination for this investigation after
considering any relevant comments submitted in scope case and rebuttal
briefs.\7\
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\4\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice, 85 FR at 19450.
\6\ See Common Alloy Aluminum Sheet from Bahrain, Brazil,
Croatia, Egypt, Germany, Greece, India, Indonesia, Italy, Republic
of Korea, Oman, Romania, Serbia, Slovenia, South Africa, Spain,
Taiwan, and the Republic of Turkey: Postponement of Preliminary
Determinations in the Less-Than-Fair-Value Investigations, 85 FR
45576, 45577 (July 29, 2020).
\7\ The deadline for interested parties to submit scope case and
rebuttal briefs will be established in the preliminary scope
decision memorandum.
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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 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.\8\
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\8\ 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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Commerce notes that, in making these findings, it relied, in part,
on facts available and, because Commerce finds that one or more
respondents did not act to the best of their ability to respond to
Commerce's requests for information, Commerce drew an adverse inference
where appropriate in selecting from among the facts otherwise
available.\9\ For further information, see ``Use of Facts Otherwise
Available and Adverse Inferences'' in the Preliminary Decision
Memorandum.
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\9\ See sections 776(a) and (b) of the Act.
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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 CVD determination in this investigation with the
final determinations in the companion AD investigations of aluminum
sheet from Bahrain, Brazil, India, and the Republic of Turkey based on
a request made by the petitioners.\10\ Consequently, the final CVD
determination will be issued on the same date as the final AD
determinations, which are currently scheduled to be issued no later
than December 21, 2020, unless postponed.
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\10\ See Petitioners' Letter, ``Countervailing Duty
Investigations of Common Alloy Aluminum Sheet from Bahrain, Brazil,
India, and the Republic of Turkey--Petitioners' Request to Align
Final Countervailing Duty Determinations with the Companion
Antidumping Duty Final Determinations,'' dated July 17, 2020. The
petitioners are the Aluminum Association Common Alloy Aluminum Sheet
Trade Enforcement Working Group and its Individual Members, Aleris
Rolled Products, Inc., Arconic, Inc., Constellium Rolled Products
Ravenswood, LLC, JW Aluminum Company, Novelis Corporation, and
Texarkana Aluminum, Inc.
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Preliminary Negative Determination of Critical Circumstances
The petitioners submitted an allegation that critical circumstances
exist with respect to imports of aluminum sheet from India.\11\ The
petitioners alleged, based on trade statistics, that there is a
reasonable basis to believe or suspect that critical circumstances
exist with regard to imports of aluminum sheet.\12\ Based on monthly
shipment information requested from the mandatory respondents, Commerce
is preliminarily determining that critical circumstances do not exist
within the meaning of section 703(e)(1) of the Act. For further
information, see the Preliminary Decision Memorandum.
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\11\ See Petitioners' Letter, ``Countervailing Duty
Investigations of Common Alloy Aluminum Sheet from India and the
Republic of Turkey--Petitioners' Allegation of Critical
Circumstances,'' dated July 14, 2020.
\12\ Id.
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All-Others Rate
Sections 703(d) 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 under section
776 of the Act.
In this investigation, Commerce calculated estimated
countervailable subsidy rates individually for Hindalco and MALCO, 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 individual estimated subsidy rates calculated for the
examined respondents using each company's publicly-ranged values for
the merchandise under consideration.\13\
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\13\ See Memorandum, ``Countervailing Duty Investigation of
Common Alloy Aluminum Sheet from India: Preliminary Determination
Subsidy Rate for All-Others,'' dated August 7, 2020.
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Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
[[Page 49633]]
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Subsidy rate
Company ad valorem
(percent)
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Hindalco Industries Limited \14\........................ 34.84
Manaksia Aluminium Company Limited...................... 4.55
All Others.............................................. 29.76
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Suspension of Liquidation
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\14\ As discussed in the Preliminary Decision Memorandum,
Commerce has found the following company to be cross-owned with
Hindalco: Utkal Alumina International Limited.
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In accordance with section 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 entered, or
withdrawn from warehouse, for consumption on or after the date of
publication of this notice in the Federal Register. Further, pursuant
to 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
All interested parties will have the opportunity to submit case and
rebuttal briefs on the preliminary scope determination. The deadline to
submit these comments will be established in the preliminary scope
decision memorandum. Scope rebuttal briefs (which are limited to issues
raised in the scope briefs) may be submitted no later than seven days
after the deadline for the scope briefs. These deadlines apply to the
AD and CVD aluminum sheet investigations, regardless of the deadlines
of the preliminary determinations in the AD investigations. For all
scope briefs and rebuttals thereto, parties must file identical
documents simultaneously on the records of all the ongoing AD and CVD
aluminum sheet investigations. No new factual information or business
proprietary information may be included in either scope briefs or
rebuttal scope briefs.
Case briefs or other written comments on non-scope matters 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 seven days
after the deadline date for case briefs.\15\ Commerce has modified
certain of its requirements for serving documents containing business
proprietary information until further notice.\16\ 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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\15\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
\16\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020).
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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 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 Notification
In accordance with section 703(f) of the Act, Commerce will notify
the International Trade Commission (ITC) of its determination. 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.
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: August 7, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I--Scope of the Investigation
The product covered by this investigation is common alloy
aluminum sheet, which is a flat-rolled aluminum product having a
thickness of 6.3 mm or less, but greater than 0.2 mm, in coils or
cut-to-length, regardless of width. Common alloy sheet within the
scope of this investigation includes both not clad aluminum sheet,
as well as multi-alloy, clad aluminum sheet. With respect to not
clad aluminum sheet, common alloy sheet is manufactured from a IXXX-
, 3XXX-, or 5XXX-series alloy as designated by the Aluminum
Association. With respect to multi-alloy, clad aluminum sheet,
common alloy sheet is produced from a 3XXX-series core, to which
cladding layers are applied to either one or both sides of the core.
Common alloy sheet may be made to ASTM specification B209-14 but
can also be made to other specifications. Regardless of
specification, however, all common alloy sheet meeting the scope
description is included in the scope. Subject merchandise includes
common alloy sheet that has been further processed in a third
country, including but not limited to annealing, tempering,
painting, varnishing, trimming, cutting, punching, and/or slitting,
or any other processing that would not otherwise remove the
merchandise from the scope of the investigation if performed in the
country of manufacture of the common alloy sheet.
Excluded from the scope of this investigation is aluminum can
stock, which is suitable for use in the manufacture of aluminum
beverage cans, lids of such cans, or tabs used to open such cans.
Aluminum can stock is produced to gauges that range from 0.200 mm to
0.292 mm, and has an H-l9, H-41, H-48, or H-391 temper. In addition,
aluminum can stock has a lubricant applied to the flat surfaces of
the can stock to facilitate its movement through machines used in
the manufacture of beverage cans. Aluminum can stock is properly
classified under Harmonized Tariff Schedule of the United States
(HTSUS) subheadings 7606.12.3045 and 7606.12.3055.
Where the nominal and actual measurements vary, a product is
within the scope if application of either the nominal or actual
measurement would place it within the scope based on the definitions
set for the above.
Common alloy sheet is currently classifiable under HTSUS
subheadings 7606.11.3060, 7606.11.6000, 7606.12.3096, 7606.12.6000,
7606.91.3095, 7606.91.6095, 7606.92.3035, and 7606.92.6095. Further,
merchandise that falls within the scope of this investigation may
also be entered into the United States under HTSUS subheadings
7606.11.3030, 7606.12.3015, 7606.12.3025, 7606.12.3035,
7606.12.3091, 7606.91.3055, 7606.91.6055, 7606.92.3025,
7606.92.6055, 7607.11.9090. Although the HTSUS subheadings are
provided for convenience and customs purposes, the written
description of the scope of this investigation is dispositive.
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Appendix II--List of Topics Discussed in the Preliminary Decision
Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Preliminary Affirmative Determination of Critical Circumstance,
In Part
VI. Subsidies Valuation
VII. Benchmarks and Discount Rates
VIII. Use of Facts Otherwise Available and Adverse Inferences
IX. Analysis of Programs
X. Conclusion
[FR Doc. 2020-17809 Filed 8-13-20; 8:45 am]
BILLING CODE 3510-DS-P