[Federal Register Volume 87, Number 150 (Friday, August 5, 2022)]
[Notices]
[Pages 47980-47983]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-16836]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-113]


Certain Collated Staples From the People's Republic of China: 
Preliminary Results and Partial Rescission of the Countervailing Duty 
Administrative Review; 2019-2020

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies were provided to producers 
and exporters of certain collated steel staples (collated staples) from 
the People's Republic of China (China) during the period of review 
(POR) from November 12, 2019, through December 31, 2020. Additionally, 
Commerce is rescinding the review with respect to 79 companies. 
Interested parties are invited to comment on these preliminary results.

DATES: Applicable August 5, 2022.

FOR FURTHER INFORMATION CONTACT: Joshua Simonidis and Jinny Ahn, AD/CVD 
Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-0608 and (202) 
482-0339, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 20, 2020, Commerce published the countervailing duty (CVD) 
order on collated staples from China.\1\ On August 2, 2021, we received 
a timely request for an administrative review from Kyocera Senco 
Industrial Tools, Inc. (the petitioner).\2\ On September 7, 2021, 
Commerce published in the Federal Register a notice of initiation of an 
administrative review of the Order on 87 producers/exporters.\3\ For a 
description of the events that occurred since the initiation of this 
review, see the Preliminary Decision Memorandum.\4\
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    \1\ See Certain Collated Steel Staples from the People's 
Republic of China: Countervailing Duty Order, 85 FR 43813 (July 20, 
2020) (Order).
    \2\ See Petitioner's Letter, ``Request for Administrative 
Reviews,'' dated August 2, 2021.
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 86 FR 50034, 50045-46 (September 7, 2021) 
(Initiation Notice).
    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results in the Countervailing Duty Administrative Review and Partial 
Rescission: Certain Collated Steel Staples 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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[[Page 47981]]

    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 https://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. A list of topics discussed in the Preliminary 
Decision Memorandum is included as Appendix I to this notice.

Scope of the Order

    The product covered by the Order is collated staples from China. 
For a complete description of the scope of the Order, see the 
Preliminary Decision Memorandum.

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 a party who requested 
the review withdraws the request within 90 days of the date of 
publication of the notice of initiation. As noted in the Preliminary 
Decision Memorandum, on September 16, 2021, the petitioner timely 
withdrew its request for review for Youngwoo (Cangzhou) Fasteners Co., 
Ltd. (Youngwoo).\5\ Because there was a timely withdrawal of request 
for review for Youngwoo and because there are no other active requests 
for review for Youngwoo, we are rescinding this review with respect to 
Youngwoo, pursuant to 19 CFR 351.213(d)(1). As such, we have included 
Youngwoo in the list of companies in Appendix III of this notice.
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    \5\ See Preliminary Decision Memorandum at 2.
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    In addition, based on our analysis of U.S. Customs and Border 
Protection (CBP) information, we preliminarily determine that 78 
companies had no entries of subject merchandise during the POR.\6\ On 
July 1, 2022, we notified parties that we intended to rescind this 
administrative review with respect to the 78 companies because there 
are no reviewable suspended entries. No parties commented on the 
notification of intent to rescind the review, in part.\7\ Pursuant to 
19 CFR 351.213(d)(3), we are rescinding the administrative review of 
these companies. We have included a list of these 78 companies in 
Appendix III of this notice. For additional information regarding this 
determination, see the Preliminary Decision Memorandum.\8\
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    \6\ See Appendix III.
    \7\ See Memorandum, ``Notice of Intent to Rescind Review, In 
Part,'' dated July 1, 2022.
    \8\ See Preliminary Decision Memorandum at 3-4.
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Methodology

    Commerce is conducting this 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 countervailable, we preliminarily 
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.\9\ For a full description of the methodology 
underlying our preliminary conclusions, including our reliance, in 
part, on adverse facts available pursuant to sections 776(a) and (b) of 
the Act, see the Preliminary Decision Memorandum.\10\
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    \9\ 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.
    \10\ See Preliminary Decision Memorandum at 7-38.
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Preliminary Rate for Non-Selected Companies Under Review

    As discussed above, Commerce initiated this administrative review 
on 87 producers/exporters and is rescinding this administrative review, 
in part, with respect to 79 producers/exporters. In addition, Commerce 
selected three mandatory respondents, China Staple Enterprise (Tianjin) 
(China Staple), Shanghai Yueda Nails Co., Ltd. (Shanghai Yueda), and 
Tianjin Hweschun Fasteners Mfg. Co. Ltd. (Tianjin Hweschun) for 
individual examination. However, only Tianjin Hweschun participated in 
this administrative review. For the remaining five companies subject to 
this review, because the rate calculated for Tianjin Hweschun is above 
de minimis and not based entirely on facts available, we are applying 
to the five non-selected companies Tianjin Hweschun's subsidy rate. 
This methodology to establish the rate for the non-selected companies 
is pursuant to section 705(c)(5)(A) of the Act, which governs the 
calculation of the ``all-others'' rate in an investigation, as 
guidance. For additional information, see the Preliminary Decision 
Memorandum.\11\ For a list of the non-selected companies, see Appendix 
II to this notice.
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    \11\ Id. at 4-5.
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Preliminary Results of the Review

    In accordance with 19 CFR 351.221(b)(4)(i), we calculated a 
countervailable subsidy rate for Tianjin Hweschun. We determined the 
countervailable subsidy rate for China Staple and Shanghai Yueda based 
entirely on adverse facts available (AFA), in accordance with section 
776 of the Act,\12\ due to their failure to participate in this review. 
Therefore, the only rate that is not zero, de minimis, or based 
entirely on facts otherwise available is the rate calculated for 
Tianjin Hweschun. Consequently, as discussed above, we applied the rate 
for Tianjin Hweschun to all other producers/exporters subject to this 
review but not selected for individual examination (i.e., non-selected 
companies).
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    \12\ For information detailing the derivation of the AFA rate 
applied, see Memorandum, ``AFA Calculation Memorandum for the 
Preliminary Results in the Administrative Review of Certain Collated 
Steel Staples from the People's Republic of China,'' dated 
concurrently with this memorandum.
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    We preliminarily find the countervailable subsidy rates for the 
mandatory and non-selected respondents under review for the period of 
November 12, 2019, through December 31, 2020, to be as follows:

------------------------------------------------------------------------
                                                                Subsidy
                      Producer/exporter                          rate
                                                               (percent)
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Tianjin Hweschun Fasteners Mfg. Co. Ltd.....................       35.63
China Staple Enterprise (Tianjin)...........................      193.36
Shanghai Yueda Nails Co., Ltd...............................      193.36
Non-Selected Companies Under Review \13\....................       35.63
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Verification

    As provided in section 782(i)(3) of the Act, Commerce intends to 
verify the information relied upon for its final results.
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    \13\ See Appendix II.
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Disclosure and Public Comment

    We intend to disclose to interested parties the calculations 
performed for these preliminary results within five days of the date of 
publication of this notice in accordance with 19 CFR 351.224(b).
    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance. A timeline for the 
submission of case briefs and written comments will be provided to 
interested parties at a later date.\14\ Rebuttal briefs, limited to 
issues raised in case briefs, may be submitted no later than seven days 
after the deadline date for case

[[Page 47982]]

briefs.\15\ Note that Commerce has temporarily modified certain of its 
requirements for serving documents containing business proprietary 
information until further notice.\16\
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    \14\ See 19 CFR 351.309(c).
    \15\ See 19 CFR 351.309(d); see also Temporary Rule Modifying 
AD/CVD Service Requirements Due to COVID-19, 85 FR 17006, 17007 
(March 26, 2020) (``To provide adequate time for release of case 
briefs via ACCESS, E&C intends to schedule the due date for all 
rebuttal briefs to be 7 days after case briefs are filed (while 
these modifications remain in effect).'').
    \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 351.309(c)(2) and (d)(2), parties who submit 
case briefs or rebuttal briefs in this review 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. Case and rebuttal 
briefs must be filed using ACCESS.\17\ An electronically filed document 
must be received successfully in its entirety by ACCESS by 5:00 p.m. 
Eastern Time on the established deadline.
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    \17\ See 19 CFR 351.303.
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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, 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.\18\ Parties should confirm by telephone the 
date and time of the hearing two days before the scheduled date.
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    \18\ See 19 CFR 351.310.
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Final Results

    Unless the deadline is extended, we intend to issue the final 
results of this administrative review, which will include the results 
of our analysis of the issues raised in the case briefs, within 120 
days of publication of these preliminary results in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act and 19 CFR 
351.213(h).

Assessment Rates

    Upon completion of the 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 companies for which 
this review is rescinded, Commerce will instruct CBP to assess 
countervailing duties on all appropriate entries at a 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 
November 12, 2019, through December 31, 2020, in accordance with 19 CFR 
351.212(c)(l)(i). We intend to issue appropriate assessment 
instructions to CBP no earlier than 35 days after the date of 
publication of this notice in the Federal Register.
    For the companies remaining in the review, Commerce will instruct 
CBP to assess countervailing duties on all appropriate entries at the 
subsidy rates calculated in the final results of this review. We intend 
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

    In accordance with section 751(a)(1) 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 shown for 
each of the respective companies listed above and in Appendix II 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. For all non-reviewed firms, we 
will instruct CBP to continue to collect cash deposits at the most 
recent company-specific or all-others rate applicable to the company. 
These cash deposit requirements, when imposed, shall remain in effect 
until further notice.

Notification to Interested Parties

    These preliminary results are issued and published pursuant to 
sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(4).

    Dated: July 29, 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. Rescission of Administrative Review, In Part
IV. Non-Selected Companies Under Review
V. Scope of the Order
VI. Alleged Upstream Subsidies on Galvanized Steel Wire
VII. Diversification of China's Economy
VIII. Use of Facts Otherwise Available and Application of Adverse 
Inferences
IX. Subsidies Valuation
X. Inputs and Electricity Benchmarks
XI. Analysis of Programs
XII. Recommendation

Appendix II

List of Non-Selected Companies

1. A-Jax International Co., Ltd.
2. China Dinghao Co., Ltd.
3. Rise Time Industrial Ltd.
4. Shaoxing Bohui Import Export Co., Ltd.
5. Zhejiang Best Nail Industrial Co., Ltd.

Appendix III

List of Companies Subject to Rescission of Review

1. Anping Haotie Metal Technology Co.
2. Changzhou Kya Trading Co., Ltd.
3. China Wind International Ltd.
4. Dezhou Hualude Hardware Products Co., Ltd.
5. Dt China (Shanghai) Ltd, Ningbo Branch.
6. Ejen Brothers Limited.
7. eTeklon Co., Ltd.
8. Fastnail Products Limited.
9. Foshan Chan Seng Import and Export Co., Ltd.
10. Guangdong Meite Mechanical Co., Ltd.
11. H&B Promotional Limited.
12. Hangzhou Great Import & Export Co., Ltd.
13. Hangzhou Light Industrial Products, Arts & Crafts, Textiles 
Import & Export Co., Ltd.
14. Hangzhou Strong Lion New Material Co., Ltd.
15. Hebei Cangzhou New Century Foreign Trade Co., Ltd.
16. Hebei Jinshi Industrial Metal Co., Ltd.
17. Hebei Machinery Import and Export Co., Ltd.
18. Hebei Minmetals Co., Ltd.
19. Hengtuo Metal Products Co., Ltd.
20. Hk Quanyi Coil Spring Metals Product Limited.
21. Huanghua Baizhou Trading Co., Ltd.
22. Jiangmen Rui Xing Yuan Import and Export Co., Ltd.
23. Jiaxing Brothers Hardware Co., Ltd.
24. Jinhua Qual Max Trading Co., Ltd.
25. Kinglong Manufacturing Co., Ltd.
26. Milan Pacific International Limited.
27. Mingguang Ruifeng Hardware Products Co., Ltd.
28. Ningbo (Yinzhou) Yongjia Electrical Tools Co., Ltd.

[[Page 47983]]

29. Ningbo Alldo Stationery Co., Ltd.
30. Ningbo Deli Import & Export Co., Ltd.
31. Ningbo Guangbo Import & Export Co., Ltd.
32. Ningbo Huayi Import & Export Co., Ltd.
33. Ningbo Mascube Imp. & Exp. Corp.
34. Ningbo Mate Import & Export Co., Ltd.
35. Ningbo Pacrim Manufacturing Co., Ltd.
36. Ningbo S-Chande Import & Export Co., Ltd.
37. Ningbo Sunlit International Co., Ltd.
38. Ningbo Yuanyu Imp. & Exp. Co., Ltd.
39. Ninghai Huihui Stationery Co., Ltd.
40. Oli-Fast Fasteners (Tianjin).
41. Qingdao Top Metal Industrial Co., Ltd.
42. Qingdao Top Steel Industrial Co., Ltd.
43. Rayson Electrical Mfg., Ltd.
44. Rebon Building Material Co., Limited.
45. Shanghai Genmes Office Products Co., Ltd.
46. Shanghai Jade Shuttle Hardware.
47. Shanghai Lansi Trading Co., Ltd.
48. Shanghai Yinwo Technologies Development Co., Ltd.
49. Shaoxing Best Nail Industrial Co., Ltd.
50. Shaoxing Feida Nail Industry Co., Ltd.
51. Shaoxing Huasheng Stationery Manufacturing Co., Ltd.
52. Shaoxing Jingke Hardware Co., Ltd.
53. Shaoxing Mingxing Nail Co., Ltd.
54. Shaoxing Shunxing Metal Producting Co., Ltd.
55. Shaoxing Xinyi Hardware & Tools Co., Ltd.
56. Shaoxing Yiyou Stationery Co., Ltd.
57. Shenzhen Jinsunway Mould Co., Ltd.
58. Shijiazhuang Shuangming Trade Co., Ltd.
59. Shouguang Hongsheng Import and Export Co., Ltd.
60. Shun Far Enterprise Co., Ltd.
61. Suntec Industries Co., Ltd.
62. Suqian Real Faith International Trade Co., Ltd.
63. Taizhou Dajiang Ind. Co., Ltd.
64. Team One (Shanghai) Co., Ltd.
65. Tianjin Bluekin Industries Co., Ltd.
66. Tianjin D&C Technology Development.
67. Tianjin Huixinshangmao Co., Ltd.
68. Tianjin Jin Xin Sheng Long Metal Products Co., Ltd.
69. Tianjin Jinyifeng Hardware Co., Ltd.
70. Tsi Manufacturing LLC.
71. Tung Yung International Limited.
72. Unicom (Tianjin) Fasteners Co., Ltd.
73. Wire Products Manufacturing Co., Ltd.
74. Yangjiang Meijia Economic & Trade Co., Ltd.
75. Youngwoo (Cangzhou) Fasteners Co., Ltd. (Youngwoo)
76. Yuchen Imp. and Exp. Co, Ltd.
77. Yueqing Yuena Electric Science and Technology Co., Ltd.
78. Zhejiang Fairtrade E-Commerce Co., Ltd.
79. Zhejiang KYT Technology Co., Ltd.

[FR Doc. 2022-16836 Filed 8-4-22; 8:45 am]
 BILLING CODE 3510-DS-P