[Federal Register Volume 87, Number 88 (Friday, May 6, 2022)]
[Notices]
[Pages 27099-27101]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-09816]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-107]


Wooden Cabinets and Vanities and Components Thereof From the 
People's Republic of China: Preliminary Results of Countervailing Duty 
Administrative Review, Rescission and Intent To Rescind Administrative 
Review, in Part; 2019-2020

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that the companies subject to this countervailing duty (CVD) 
administrative review of wooden cabinets and vanities and components 
thereof (cabinets) from the People's Republic of China (China) received 
countervailable subsidies during the period of review (POR), August 12, 
2019, through December 31, 2020. Interested parties are invited to 
comment on these preliminary results of review.

DATES: Applicable May 6, 2022.

FOR FURTHER INFORMATION CONTACT: Thomas Schauer, AD/CVD Operations, 
Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0410.

SUPPLEMENTARY INFORMATION:

Background

    On April 21, 2020, Commerce published the CVD order on cabinets 
from China.\1\ On April 1, 2021, Commerce published a notice of 
opportunity to request an administrative review of the Order for the 
POR.\2\ In April 2021, we received timely requests from multiple 
parties to conduct an administrative review of the Order. On June 11, 
2021, we published a notice of initiation for this administrative 
review.\3\ For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\4\ 
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 https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \1\ See Wooden Cabinets and Vanities and Components Thereof from 
the People's Republic of China: Countervailing Duty Order, 85 FR 
22134 (April 21, 2020) (Order).
    \2\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity to Request Administrative 
Review, 86 FR 17137 (April 1, 2021).
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 86 FR 31282, 31296 (June 11, 2021); see also 
Initiation of Antidumping and Countervailing Duty Administrative 
Reviews, 86 FR 41821, 41825 (August 3, 2021).
    \4\ See Memorandum, ``Wooden Cabinets and Vanities and 
Components Thereof from the People's Republic of China: Extension of 
Deadline for Preliminary Results of Countervailing Duty 
Administrative Review; 2019-2020,'' dated December 7, 2021.
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    On December 7, 2021, Commerce extended the deadline for the 
preliminary results of this review by 120 days to May 2, 2022.

Scope of the Order

    The scope of the Order covers cabinets from China. For a complete 
description of the scope of the Order, see the Preliminary Decision 
Memorandum.\5\
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    \5\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Administrative Review of the Countervailing Duty 
Order on Wooden Cabinets and Vanities and Components Thereof from 
the People's Republic of China; 2019-2020,'' dated concurrently 
with, and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Methodology

    We are conducting this administrative review in accordance with 
section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). 
For each of the subsidy programs found to be countervailable, we 
determine that there is a subsidy, i.e., a financial contribution by an 
``authority'' that confers a benefit to the recipient, and that the 
subsidy is specific.\6\ For a full description of the methodology 
underlying our preliminary conclusions, including our reliance, in 
part, on

[[Page 27100]]

adverse facts available pursuant to sections 776(a) and (b) of the Act, 
see the Preliminary Decision Memorandum. A list of topics included in 
the Preliminary Decision Memorandum is provided in Appendix I to this 
notice.
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    \6\ 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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Rescission of Administrative Review, in Part

    Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an 
administrative review, in whole or in part, if the parties that 
requested a review withdraw the request within 90 days of the date of 
publication of the notice of initiation. Commerce received withdrawal 
requests with respect to the 52 companies listed in Appendix II. 
Because the withdrawal requests were timely filed and no other parties 
requested a review of these companies, in accordance with 19 CFR 
351.213(d)(1), Commerce is rescinding this review of the Order for the 
52 companies listed in Appendix II.\7\
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    \7\ See, e.g., Lightweight Thermal Paper from the People's 
Republic of China: Notice of Rescission of Countervailing Duty 
Administrative Review; 2015, 82 FR 14349 (March 20, 2017); and 
Circular Welded Carbon Quality Steel Pipe from the People's Republic 
of China: Rescission of Countervailing Duty Administrative Review; 
2017, 84 FR 14650 (April 11, 2019).
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Intent To Rescind Administrative Review, in Part

    It is Commerce's practice to rescind an administrative review of a 
CVD order, pursuant to 19 CFR 351.213(d)(3), when there are no 
reviewable entries of subject merchandise during the POR for which 
liquidation is suspended.\8\ Normally, upon completion of an 
administrative review, the suspended entries are liquidated at the CVD 
assessment rate calculated for the review period.\9\ Therefore, for an 
administrative review of a company to be conducted, there must be a 
reviewable, suspended entry that Commerce can instruct U.S. Customs and 
Border Protection (CBP) to liquidate at the CVD assessment rate 
calculated for the review period.\10\
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    \8\ Id.
    \9\ See 19 CFR 351.212(b)(2).
    \10\ See 19 CFR 351.213(d)(3).
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    According to the CBP import data, the following four companies 
subject to this review did not have reviewable entries of subject 
merchandise during the POR for which liquidation is suspended: (1) 
Guangzhou Nuolande Import and Export Co., Ltd.; (2) Linyi Kaipu 
Furniture Co., Ltd.; (3) Shandong Longsen Woods Co., Ltd.; and (4) 
Zhoushan For-strong Wood Co., Ltd. Accordingly, in the absence of 
reviewable, suspended entries of subject merchandise during the POR, we 
intend to rescind this administrative review with respect to these four 
companies, in accordance with 19 CFR 351.213(d)(3).

Preliminary Rate for Non-Selected Companies

    There are two companies for which a review was requested and not 
rescinded, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent: (1) Jiangsu 
Xiangsheng Bedtime Furniture Co., Ltd., and (2) Senke Manufacturing 
Company. For these non-selected companies, we are basing the subsidy 
rate on the subsidy rate calculated for Dalian Hualing Wood Co., Ltd., 
the only mandatory respondent with a preliminary subsidy rate that is 
not zero, de minimis, or based entirely on facts available.\11\ This 
methodology to establish the non-selected subsidy rate is consistent 
with our practice with regard to the all-others rate, pursuant to 
section 705(c)(5)(A)(i) of the Act.
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    \11\ See Preliminary Decision Memorandum at 6.
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Preliminary Results of Administrative Review

    As a result of this administrative review, we preliminarily find 
that the following net countervailable subsidy rates exist for the 
period August 12, 2019, through December 31, 2020:

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                                                                   Subsidy rate--2019       Subsidy rate--2020
                            Company                               (percent ad valorem)     (percent ad valorem)
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Dalian Hualing Wood Co., Ltd..................................                    22.29                    16.91
Nantong Aershin Cabinet Co., Ltd.\12\.........................                   229.40                   229.40
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                       Review-Specific Average Rate Applicable to the Following Companies
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Jiangsu Xiangsheng Bedtime Furniture Co., Ltd.................                    22.29                    16.91
Senke Manufacturing Company...................................                    22.29                    16.91
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Assessment Rates
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    \12\ This company was selected as a mandatory respondent but did 
not respond to Commerce's initial questionnaire. Accordingly, the 
rate for this company was based on facts available with an adverse 
inference pursuant to sections 776(a) and (b) of the Act. For a 
detailed discussion, see Preliminary Decision Memorandum.
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    Upon issuance of the final results of this administrative review, 
consistent with section 751(a)(1) of the Act and 19 CFR 351.212(b)(2), 
Commerce shall determine, and CBP shall assess, countervailing duties 
on all appropriate entries covered by this review. For the 52 companies 
for which this review is rescinded, Commerce will instruct CBP to 
assess countervailing duties on all appropriate entries at the rate 
equal to the cash deposit of estimated countervailing duties required 
at the time of entry, or withdrawal from warehouse, for consumption, 
during the period August 12, 2019, through December 31, 2020, in 
accordance with 19 CFR 351.212(c)(l)(i).
    For the companies remaining in the review, Commerce intends to 
issue assessment instructions to CBP no earlier than 35 days after the 
date of publication of the final results of this review in the Federal 
Register. If a timely summons is filed at the U.S. Court of 
International Trade, the assessment instructions will direct CBP not to 
liquidate relevant entries until the time for parties to file a request 
for a statutory injunction has expired (i.e., within 90 days of 
publication).

Cash Deposit Requirements

    Pursuant to section 751(a)(2)(C) of the Act, Commerce intends, upon 
publication of the final results, to instruct CBP to collect cash 
deposits of estimated countervailing duties in the amounts calculated 
in the final results of this review for the respective companies listed 
above, on shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
final results of this administrative review. If the rate calculated in 
the final results is zero or de minimis, no cash deposit will be 
required on shipments of the subject merchandise entered or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this review.

[[Page 27101]]

    For all non-reviewed companies, CBP will continue to collect cash 
deposits of estimated countervailing duties at the all-others rate 
(i.e., 20.93 percent) \13\ or the most recent company-specific rate 
applicable to the company, as appropriate. These cash deposit 
requirements, when imposed, shall remain in effect until further 
notice.
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    \13\ See Order, 85 FR at 22135.
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Disclosure and Public Comment

    We intend to disclose the calculations performed for these 
preliminary results to the parties within five days after public 
announcement of the preliminary results in accordance with 19 CFR 
351.224(b). Pursuant to 19 CFR 351.309(c), interested parties may 
submit case briefs no later than 30 days after the date of publication 
of this notice. Rebuttal briefs, limited to issues raised in the case 
briefs, may be filed no later than seven days after the date for filing 
case briefs.\14\ Parties who submit case or rebuttal briefs in this 
proceeding 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.\15\ Commerce has temporarily modified certain of its 
requirements for serving documents containing business proprietary 
information.\16\
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    \14\ See 19 CFR 351.309(d).
    \15\ See 19 CFR 351.309(c)(2) and (d)(2).
    \16\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 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, filed electronically via ACCESS. An 
electronically filed document must be received successfully in its 
entirety by Commerce's electronic records system, ACCESS, by 5:00 p.m. 
Eastern Time within 30 days after the date of publication of this 
notice.\17\ Requests should contain: (1) The party's name, address and 
telephone number; (2) the number of participants; and (3) a list of 
issues to be discussed. If a request for a hearing is made, we will 
inform parties of the scheduled date and time for the hearing.
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    \17\ See 19 CFR 351.310(c).
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    Unless extended, we intend to issue the final results of this 
administrative review, including the results of our analysis of the 
issues raised by the parties in their case briefs, no later than 120 
days after the date of publication of this notice in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act.

Notification to Interested Parties

    We are issuing and publishing these preliminary results in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 
351.213(d)(4) and 19 CFR 351.221(b)(4).

    Dated: May 2, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Rescission of Administrative Review, in Part
V. Intent to Rescind Administrative Review, in Part
VI. Non-Selected Companies Under Review
VII. Diversification of China's Economy
VIII. Subsidies Valuation
IX. Benchmarks and Discount Rates
X. Use of Facts Otherwise Available and Application of Adverse 
Inferences
XI. Analysis of Programs
XII. Recommendation

Appendix II--List of Companies for Which Requests for Review Were 
Timely Withdrawn

1. Anhui Swanch Cabinetry Co., Ltd.
2. Anhui Xinyuanda Cupboard Co., Ltd.
3. Dalian Jiaye Wood Products Co., Ltd.
4. Dalian Meisen Woodworking Co., Ltd.
5. Dandong Laroyal Cabinetry Co., Ltd.
6. Foremost Worldwide Co., Ltd.
7. Fujian Dushi Wooden Industry Co., Ltd.
8. Fujian Senyi Kitchen Cabinet Co., Ltd.
9. Fuzhou CBM Import & Export Co., Ltd.
10. Fuzhou Minlian Wood Industry Co., Ltd.
11. Hangzhou Entop Houseware Co., Ltd.
12. Hangzhou Hoca Kitchen & Bath Products Co., Ltd.
13. Hangzhou Home Dee Sanitary Ware Co., Ltd.
14. Hangzhou Royo Import & Export Co., Ltd.
15. Heyond Cabinet Co., Ltd.
16. Honsoar New Building Material Co., Ltd.
17. HS Furniture Industrial Co., Ltd.
18. Jiang Su Rongxin Wood Industry Co., Ltd.
19. Jiang Su Rongxin Cabinets Ltd.
20. Jiangsu Beichen Wood Co., Ltd.
21. Jiangsu Sunwell Cabinetry Co., Ltd.
22. Jiangsu Weisen Houseware Co., Ltd.
23. KM Cabinetry Co., Limited
24. Kunshan Baiyulan Furniture Co., Ltd.
25. Linyi Bomei Furniture Co., Ltd.
26. Linyi Bonn Flooring Manufacturing Co., Ltd.
27. Morewood Cabinetry Co., Ltd.
28. Pizhou Ouyme Import & Export Trade Co., Ltd.
29. Qingdao Shousheng Industry Co., Ltd.
30. Qufu Xinyu Furniture Co., Ltd.
31. Rizhao Foremost Landbridge Wood Industries Co., Ltd.
32. Rizhao Foremost Woodwork Manufacturing Company Ltd.
33. Shandong Huanmei Wood Co., Ltd.
34. Shanghai Beautystar Cabinetry Co., Ltd.
35. Shanghai Zifeng International Trading Co., Ltd.
36. Sheen Lead International Trading (Shanghai) Co., Ltd.
37. Shenzhen Pengchengzhirong Trade Co., Ltd.
38. Shouguang Fushi Wood Co., Ltd.
39. Shouguang Jinxiangyuan Home Furnishing Co., Ltd.
40. Shouguang Sanyang Wood Industry Co., Ltd.
41. Suzhou Siemo Wood Import & Export Co., Ltd.
42. Tech Forest Cabinetry Co., Ltd.
43. The Ancientree Cabinet Co., Ltd.
44. Weifang Fuxing Wood Co., Ltd.
45. Weihai Jarlin Cabinetry Manufacture Co., Ltd.
46. Xiamen Adler Cabinetry Co., Ltd.
47. Xiamen Goldenhome Co., Ltd.
48. Xuzhou Yihe Wood Co., Ltd.
49. Yichun Dongmeng Wood Co., Ltd.
50. Yixing Pengjia Cabinetry Co., Ltd.
51. Zhangzhou OCA Furniture Co., Ltd.
52. Zhongshan KM Cabinetry Co., Ltd.

[FR Doc. 2022-09816 Filed 5-5-22; 8:45 am]
BILLING CODE 3510-DS-P