[Federal Register Volume 86, Number 139 (Friday, July 23, 2021)]
[Notices]
[Pages 38982-38983]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-15662]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-025; C-533-862]


Polyethylene Terephthalate Resin From the People's Republic of 
China and India: Final Results of the Expedited First Sunset Reviews of 
the Countervailing Duty Orders

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: As a result of these expedited sunset reviews, the Department 
of Commerce (Commerce) finds that revocation of the countervailing duty 
(CVD) orders on polyethylene terephthalate (PET) resin from the 
People's Republic of China (China) and India would be likely to lead to 
continuation or recurrence of countervailable subsidies at the levels 
as indicated in the ``Final Results of Sunset Review'' section of this 
notice.

DATES: Applicable July 23, 2021.

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 May 6, 2016, Commerce published the CVD orders on PET resin from 
China and India in the Federal Register.\1\ On March 31, 2021, Commerce 
published the notice of initiation of the first sunset reviews of the 
Orders, pursuant to section 751(c) of the Tariff Act of 1930, as 
amended (the Act).\2\ Commerce received a notice of intent to 
participate from DAK Americas, LLC, Indorama Ventures USA Inc., and Nan 
Ya Plastics Corporation, America (collectively, domestic interested 
parties) within the deadline specified in 19 CFR 351.218(d)(1)(i).\3\ 
Each claimed interested party status under section 771(9)(C) of the Act 
as domestic producers engaged in the production of PET resin in the 
United States.
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    \1\ See Certain Polyethylene Terephthalate Resin from India and 
the People's Republic of China: Countervailing Duty Order (India) 
and Amended Final Affirmative Countervailing Duty Determination and 
Countervailing Duty Order (People's Republic of China), 81 FR 27977 
(May 6, 2016) (Orders).
    \2\ See Initiation of Five-Year (Sunset) Review, 86 FR 16701 
(March 31, 2021).
    \3\ See Domestic Interested Parties' Letters, ``Five-Year 
(Sunset) Review of the Countervailing Duty Order on Certain 
Polyethylene Terephthalate Resin from the People's Republic of 
China--Domestic Interested Parties' Notice of Intent to 
Participate,'' dated April 15, 2021; and ``Five-Year (Sunset) Review 
of the Countervailing Duty Order on Certain Polyethylene 
Terephthalate Resin from India--Domestic Interested Parties' Notice 
of Intent to Participate,'' dated April 15, 2021.
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    On April 30, 2021, Commerce received a substantive response from 
the domestic interested parties within the 30-day deadline specified in 
19 CFR 351.218(d)(3)(i).\4\ On May 3, 2021, two respondent interested 
parties, CG Roxane, LLC (CG Roxane) and Niagara Bottling, LLC 
(Niagara), filed substantive responses pursuant to 19 CFR 
351.218(d)(3), to the record of the China sunset review.\5\ However, 
for the substantive responses of respondent interested parties to be 
considered adequate under this regulation, the respondents must account 
for, on average, more than 50 percent (volume or value) of total 
exports during the five-year period preceding the year of publication 
of the initiation notice, pursuant to 19 CFR 351.218(e)(1)(ii)(A). CG 
Roxane and Niagara failed to demonstrate this. We did not receive a 
substantive response from any other interested party in these 
proceedings.
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    \4\ See Domestic Interested Parties' Letters, ``Five-Year 
(Sunset) Review of the Countervailing Duty Order on Certain 
Polyethylene Terephthalate Resin from the People's Republic of 
China--Domestic Interested Parties' Substantive Response to Notice 
of Initiation,' dated April 30, 2021 (China Substantive Response); 
and ``Five-Year (Sunset) Review of the Countervailing Duty Order on 
Certain Polyethylene Terephthalate Resin from India--Domestic 
Interested Parties' Substantive Response to Notice of Initiation,'' 
dated April 30, 2021 (India Substantive Response).
    \5\ See CG Roxane's Letter, ``Sunset Review of Polyethylene 
Terephthalate Resin from China and Oman: Response to Notice of 
Institution,'' dated May 3, 2021; and Niagara's Letter, ``Sunset 
Review of Polyethylene Terephthalate Resin from China: Response to 
Notice of Institution,'' dated May 3, 2021.
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    On May 21, 2021, Commerce notified the U.S. International Trade 
Commission (ITC) that it did not receive an adequate substantive 
response from respondent interested parties.\6\ As a result, pursuant 
to section 751(c)(3)(B) of the Act and 19 CFR 351.218(e)(1)(ii)(C)(2), 
Commerce conducted expedited (120-day) sunset reviews of these Orders.
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    \6\ See Commerce's Letter, ``Sunset Review for April 2021,'' 
dated May 21, 2021.
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Scope of the Orders

    The merchandise covered by these orders is polyethylene 
terephthalate (PET) resin having an intrinsic viscosity of at least 
0.70, but not more than 0.88, deciliters per gram. The scope includes 
blends of virgin PET resin and recycled PET resin containing 50 percent 
or more virgin PET resin content by weight, provided such blends meet 
the intrinsic viscosity requirements above. The scope includes all PET 
resin meeting the above specifications regardless of additives 
introduced in the manufacturing process. The merchandise subject to 
these orders is properly classified under subheading 3907.60.00.30 of 
the Harmonized Tariff Schedule of the United States (HTSUS). Although 
the HTSUS subheading is provided for convenience and customs purposes, 
the written description of the merchandise covered by these orders is 
dispositive.

Analysis of Comments Received

    All issues raised in these sunset reviews are addressed in the 
Issues and Decision Memorandum, including the likelihood of 
continuation or recurrence of countervailable subsidies and the net 
countervailable subsidy likely to prevail if the Orders were 
revoked.\7\ 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 Services System 
(ACCESS). ACCESS is available to registered users at http://access.trade.gov. In addition, a complete version of the Issues and 
Decision Memorandum can be accessed directly at https://enforcement.trade.gov/frn/index.html. A list of the issues discussed in 
the decision memorandum is attached at the appendix to this notice.
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    \7\ See Memorandum, ``Issues and Decision Memorandum for the 
Expedited First Sunset Review of the Countervailing Duty Orders of 
Polyethylene Terephthalate Resin from the People's Republic of China 
and India,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
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Final Results of Sunset Reviews

    Pursuant to sections 751(c)(1) and 752(b) of the Act, Commerce 
determines that revocation of the Orders would be likely to lead to 
continuation or recurrence of countervailable subsidies at the 
following rates:

[[Page 38983]]



------------------------------------------------------------------------
                                                              Net
                                                        countervailable
            Manufacturer/producer/exporter                subsidy rate
                                                           (percent)
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                          PET Resin From China
------------------------------------------------------------------------
Xingyu...............................................               7.53
Dragon Group.........................................              47.56
All Others...........................................              27.55
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                          PET Resin From India
------------------------------------------------------------------------
Dhunseri.............................................               5.12
JBF Industries Limited...............................             153.80
All Others...........................................               5.12
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Administrative Protective Order

    This notice serves as the only reminder to parties subject to the 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a). Timely written notification 
of the destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and terms of an APO is a violation which is subject to 
sanction.

Notification to Interested Parties

    We are issuing and publishing this notice in accordance with 
sections 751(c), 752(b), and 777(i)(1) of the Act.

    Dated: July 16, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Orders
IV. History of the Orders
V. Legal Framework
VI. Discussion of the Issues
    1. Likelihood of Continuation or Recurrence of a Countervailable 
Subsidy
    2. Net Countervailable Subsidy Rates Likely to Prevail
    3. Nature of the Subsidies
VII. Final Results of Review
VIII. Recommendation

[FR Doc. 2021-15662 Filed 7-22-21; 8:45 am]
BILLING CODE 3510-DS-P