[Federal Register Volume 87, Number 138 (Wednesday, July 20, 2022)]
[Notices]
[Pages 43238-43239]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-15503]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-954, C-570-955]
Certain Magnesia Carbon Bricks From the People's Republic of
China: Notice of Covered Merchandise Referral and Initiation of Covered
Merchandise Inquiry
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) has received a
covered merchandise referral from U.S. Customs and Border Protection
(CBP) in connection with a CBP investigation concerning alleged evasion
of the antidumping/countervailing duty (AD/CVD) orders on certain
magnesia carbon bricks (bricks) from the People's Republic of China
(China). In accordance with 19 CFR 351.227(b)(1), Commerce is
initiating a covered merchandise inquiry to determine whether the
merchandise described in the referral is subject to the AD/CVD orders
on bricks from China. Interested parties are invited to comment and
submit factual information addressing this initiation.
DATES: Applicable July 20, 2022.
FOR FURTHER INFORMATION CONTACT: Brittany Bauer at (202) 482-3860, AD/
CVD Operations Office V, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
Background
Section 517(b)(4)(A)(i) of the Tariff Act of 1930, as amended (the
Act), provides a procedure whereby if, during the course of an Enforce
and Protect Act (EAPA) investigation, CBP is unable to determine
whether the merchandise at issue is covered merchandise within the
meaning of section 517(a)(3) of the Act, it shall refer the matter to
Commerce to make such a determination. Section 517(a)(3) of the Act
defines covered merchandise as merchandise that is subject to an AD
order issued under section 736 of the Act or a CVD order issued under
section 706 of the Act. Section 517(b)(4)(B) of the Act states that
Commerce, after receiving a covered merchandise referral from CBP,
shall determine whether the merchandise is covered merchandise and
promptly transmit its determination to CBP. Commerce's regulations at
19 CFR 351.227 establish procedures for covered merchandise referrals
that Commerce receives from CBP in connection with an EAPA
investigation.\1\
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\1\ See Regulations to Improve Administration and Enforcement of
Antidumping and Countervailing Duty Laws, 86 FR 52300, 52354-62
(September 20, 2021) (final rule promulgating the regulation
establishing procedures for covered merchandise referrals).
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On June 30, 2022, Commerce received a sufficient covered
merchandise referral from CBP regarding CBP EAPA Investigation No. 7412
\2\ which concerns the AD/CVD orders on bricks from China.\3\
Specifically, CBP explained that an allegation was filed by the
Magnesia Carbon Brick Fair Trade Coalition (MCBFTC) alleging that
products imported by Fedmet Resource Corporation, LLC (Fedmet) as non-
subject Bastion[supreg] brand magnesia alumina carbon (MAC) bricks are
instead magnesia carbon bricks which are covered by the AD/CVD orders.
CBP informed Commerce that CBP is unable to determine whether certain
merchandise is covered merchandise subject to the AD/CVD orders on
bricks from China. Thus, CBP has requested that Commerce issue a
determination as to whether products imported as non-subject
Bastion[supreg] brand MAC bricks are subject to the AD/CVD orders on
bricks from China.
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\2\ See CBP's Letter, ``Covered Merchandise Referral Request for
EAPA Investigation 7412 (Remand Number 7703), Imported by Fedmet
Resources Corporation, LLC: Antidumping and Countervailing Duty
Orders on Certain Magnesia Carbon Brick from the People's Republic
of China,'' dated June 30, 2022. The covered merchandise referral
and any supporting documents will be made available on Enforcement
and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS).
\3\ See Certain Magnesia Carbon Bricks from Mexico and the
People's Republic of China: Antidumping Duty Orders, 75 FR 57257
(September 20, 2010); see also Certain Magnesia Carbon Bricks from
the People's Republic of China: Countervailing Duty Order, 75 FR
57442 (September 21, 2010).
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Initiation of Covered Merchandise Inquiry
Commerce is hereby notifying interested parties that it is
initiating a covered merchandise inquiry to determine whether the
merchandise subject to the referral is covered merchandise within the
meaning of section 517(a)(3) of the Act. Additionally, Commerce intends
to provide interested parties with the opportunity to participate in
this segment of the proceeding, including through the submission of
comments and factual information, and, if appropriate, verification. In
accordance with 19 CFR 351.227(m)(2), Commerce is initiating a single
inquiry regarding the merchandise described in the covered merchandise
referral on the record of the AD proceeding. Upon issuance of a final
covered merchandise determination, Commerce will include a copy of the
determination on the record of the CVD proceeding.
In accordance with 19 CFR 351.227(d)(1), within 30 days of the date
of publication of this notice, interested parties are permitted one
opportunity to submit comment and factual information addressing the
initiation. Within 14 days of the filing of such comments, any
interested party is permitted one opportunity to submit comment and
factual information to rebut, clarify, or correct factual information
submitted by the other interested parties.
In accordance with 19 CFR 351.227(d)(2), following initiation of a
covered merchandise inquiry, Commerce may also issue questionnaires and
verify submissions received, where appropriate. Commerce may limit
issuance of questionnaires to a reasonable number of respondents.
Questionnaire responses are due on the date specified by Commerce.
Within 14 days after a questionnaire response has been filed with
Commerce, an interested party other than the original submitter is
permitted one opportunity to submit comment and factual information to
rebut, clarify, or correct factual information contained in the
questionnaire response. Within seven days of the filing of such
rebuttal, clarification, or correction, the original submitter is
permitted one opportunity to submit comment and factual information to
rebut, clarify, or correct factual information submitted in the
interested party's rebuttal, clarification, or correction.
In certain circumstances, Commerce may issue a preliminary
determination as to whether there is a reasonable basis to believe or
suspect that the product that is subject to the covered merchandise
inquiry is covered by the scope of the order. Pursuant to 19 CFR
351.227(c), Commerce intends to issue a final determination within 120
days of the publication of this notice (this deadline may be extended
if Commerce determines that good cause exists to warrant an extension).
Promptly after publication of Commerce's final determination, Commerce
will convey a
[[Page 43239]]
copy of the final determination in the manner prescribed by section
516A(a)(2)(A)(ii) of the Act to all parties to the proceeding and
Commerce will transmit its final determination to CBP in accordance
with section 517(b)(4)(B) of the Act.\4\
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\4\ See 19 CFR 351.227(e)(2).
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Pursuant to 19 CFR 351.227(d)(5), during the pendency of this
proceeding, Commerce may rescind, in whole or in part, a covered
merchandise inquiry. Situations in which Commerce may rescind a covered
merchandise inquiry include if CBP withdraws its covered merchandise
referral or if Commerce determines that it can address CBP's covered
merchandise referral in another segment of the proceeding. In
accordance with 19 CFR 351.227(c)(3), Commerce may align the deadlines
of this covered merchandise inquiry with the deadlines of another
segment of the proceeding if it determines it is appropriate to do so.
Parties are hereby notified that this may be the only notice that
Commerce publishes in the Federal Register concerning this covered
merchandise referral. Except as indicated below, interested parties
that wish to participate in this segment of the proceeding and receive
notice of the final determination, must submit their letters of
appearance as discussed below. Further, any representative of an
interested party desiring access to business proprietary information in
this segment of the proceeding must file an application for access to
business proprietary information under administrative protective order
(APO), as discussed below.
Scope of the AD/CVD Orders
The merchandise covered by the orders are certain chemically bonded
(resin or pitch), magnesia carbon bricks with a magnesia component of
at least 70 percent magnesia (MgO) by weight, regardless of the source
of raw materials for the MgO, with carbon levels ranging from trace
amounts to 30 percent by weight, regardless of enhancements (for
example, magnesia carbon bricks can be enhanced with coating, grinding,
tar impregnation or coking, high temperature heat treatments, anti-slip
treatments or metal casing) and regardless of whether or not
antioxidants are present (for example, antioxidants can be added to the
mix from trace amounts to 15 percent by weight as various metals, metal
alloys, and metal carbides).
Certain magnesia carbon bricks that are subject to the AD/CVD
orders are currently classifiable under subheadings 6902.10.1000,
6902.10.5000, 6815.91.0000, 6815.99.2000 and 6815.99.4000 of the
Harmonized Tariff Schedule of the United States (HTSUS). While HTSUS
subheadings are provided for convenience and customs purposes, the
written description is dispositive.
Merchandise Subject to the Covered Merchandise Inquiry
The covered merchandise inquiry will address whether the scope
covers products imported by Fedmet as non-subject Bastion[supreg] brand
MAC bricks. Pursuant to 19 CFR 351.227(m)(1), Commerce will consider,
based on the available record evidence, whether the final determination
in the covered merchandise inquiry should be applied on a (i) producer-
specific, exporter-specific, importer-specific basis, or some
combination thereof; or (ii) on a country-wide basis, regardless of the
producer, exporter, or importer, to all products from the same country
with the same relevant physical characteristics as the product at
issue.
Filing Requirements
All submissions to Commerce must be filed electronically via
Enforcement and Compliance's ACCESS, unless an exception applies.\5\ An
electronically filed document must be received successfully in its
entirety by the applicable deadline. Note that Commerce has temporarily
modified certain of its requirements for serving documents containing
business proprietary information until further notice.\6\ Each
submission must be placed on the record of the segment of the
proceeding for the AD order (A-570-954), ACCESS Covered Merchandise
Inquiry segment ``EAPA--7412.''
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\5\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011), as amended in Enforcement
and Compliance; Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on help using
ACCESS is found at https://access.trade.gov/help.aspx and a handbook
is found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filing%20Procedures.pdf.
\6\ See Temporary Rule Modifying AD/CVD Service Requirements Due
to COVID-19, 85 FR 17006 (March 26, 2020); see also Temporary Rule
Modifying AD/CVD Service Requirements Due to COVID19; Extension of
Effective Period, 85 FR 41363 (July 10, 2020).
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Suspension of Liquidation
In accordance with 19 CFR 351.227(l)(1), Commerce will notify CBP
of the initiation of the covered merchandise inquiry and direct CBP to
continue to suspend liquidation of entries of products subject to the
covered merchandise inquiry that were already subject to the suspension
of liquidation, and to apply the cash deposit rate that would be
applicable if the product were determined to be covered by the scope of
the orders. Should Commerce issue preliminary or final covered
merchandise determinations, Commerce will follow the suspension of
liquidation rules under 19 CFR 351.227(l)(2)-(4). In accordance with 19
CFR 351.227(l)(5), nothing in this section affects CBP's authority to
take any additional action with respect to the suspension of
liquidation or related measures.
Notification to Interested Parties
Interested parties that wish to participate in this segment of the
proceeding and be added to the public service list for this segment of
the proceeding must file a letter of appearance in accordance with 19
CFR 351.103(d)(1), with one exception: the relevant parties to CBP's
EAPA investigation publicly identified by CBP in the covered
merchandise referral referenced above are not required to submit a
letter of appearance, and will be added to the public service list for
this segment of the proceeding by Commerce.
Commerce placed an APO on the record on July 11, 2022.\7\ Commerce
intends to place the business proprietary versions of the documents
contained in the covered merchandise referral on the record of this
proceeding in ACCESS.
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\7\ See Memorandum, ``Request for Establishment of
Administrative Protective Order Certain Magnesia Carbon Bricks from
the People's Republic of China (A-570-954),'' dated July 11, 2022.
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Representatives of interested parties must submit applications for
disclosure under the APO in accordance with the procedures outlined in
Commerce's regulations at 19 CFR 351.305. Those procedures apply to
this segment of the proceeding, with one exception: APO applicants
representing the parties that have been identified by CBP as an
importer in the covered merchandise referral (referenced above) are
exempt from the additional filing requirements for importers pursuant
to 19 CFR 351.305(d).
This notice is issued and published pursuant to section 517(b)(4)
of the Act and 19 CFR 351.227(b).
Dated: July 15, 2022.
Alex Villanueva,
Senior Director, Office I, Antidumping and Countervailing Duty
Operations.
[FR Doc. 2022-15503 Filed 7-19-22; 8:45 am]
BILLING CODE 3510-DS-P