[Federal Register Volume 87, Number 171 (Tuesday, September 6, 2022)]
[Notices]
[Pages 54455-54456]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-19190]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-357-826]


White Grape Juice Concentrate From Argentina: Preliminary 
Affirmative Countervailing Duty Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of white grape juice concentrate from 
Argentina. The period of investigation is January 1, 2021, through 
December 31, 2021. Interested parties are invited to comment on this 
preliminary determination.

DATES: Applicable September 6, 2022.

FOR FURTHER INFORMATION CONTACT: Gene H. Calvert, AD/CVD Operations, 
Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-3586.

SUPPLEMENTARY INFORMATION: 

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). On April 20, 
2022, Commerce initiated a countervailing duty (CVD) investigation of 
imports of white grape juice concentrate from Argentina.\1\ On June 9, 
2022, Commerce postponed the preliminary determination until August 29, 
2022.\2\ For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Determination 
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 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.
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    \1\ See White Grape Juice Concentrate from the Republic of 
Argentina: Initiation of Countervailing Duty Investigation, 87 FR 
24945 (April 27, 2022) (Initiation Notice).
    \2\ See White Grape Juice Concentrate from Argentina: 
Postponement of Preliminary Determination in the Countervailing Duty 
Investigation, 87 FR 35164 (June 9, 2022).
    \3\ See Memorandum, ``Decision Memorandum for the Affirmative 
Preliminary Determination in the Countervailing Duty Investigation 
of White Grape Juice Concentrate from Argentina,'' 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 white grape juice 
concentrate from Argentina. 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\ 
Commerce set aside a period of time in the Initiation Notice for 
parties to raise issues regarding product coverage (i.e., scope).\5\ 
Commerce received no comments from interested parties concerning the 
scope of the concurrent antidumping duty and CVD investigations of WGJC 
from Argentina.\6\
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    \4\ See Antidumping Duties; Countervailing Duties; Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice, 87 FR at 24946.
    \6\ Although Commerce received comments within this deadline 
from Delano Growers Grape Products, LLC (the petitioner), these 
comments did not relate to the scope language published in the 
Initiation Notice. See Petitioner's Letter, ``Petition for the 
Imposition of Antidumping and Countervailing Duties: White Grape 
Juice Concentrate from Argentina,'' dated May 24, 2022.
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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 to be 
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.\7\
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    \7\ See section 771(5)(B) 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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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 for Cepas Argentinas S.A. (Cepas) and for 
Federacion de Cooperativas Vitivinicolas Argentinas Coop. Ltda 
(Fecovita), the two individually-examined exporters/producers, 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 sales values for the 
merchandise under consideration.\8\
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    \8\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted-average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly-ranged U.S. 
sales values for the merchandise under consideration. Commerce then 
compares (B) and (C) to (A) and selects the rate closest to (A) as 
the most appropriate rate for all other producers and exporters. For 
a complete analysis of the data, see Memorandum, ``Preliminary 
Determination of Subsidy Rate for All Others,'' dated April 29, 
2022.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated net 
countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
------------------------------------------------------------------------
Cepas Argentinas S.A. \9\...............................            3.71
Federacion de Cooperativas Vitivinicolas Argentinas                 7.16
 Coop. Ltda \10\........................................
All Others..............................................            5.54
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Suspension of Liquidation
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    \9\ As discussed in the Preliminary Decision Memorandum, 
Commerce has preliminarily found Cepas Argentinas S.A. and San 
Lamberto Inversiones S.A. to be cross-owned, pursuant to 19 CFR 
351.525(b)(6)(vi).
    \10\ Fecovita is also known as ``Fecovita Coop Ltd.'' See 
Memorandum, ``Respondent Selection,'' dated June 3, 2022.
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    In accordance with sections 703(d)(1)(B) and (d)(2) of the Act,

[[Page 54456]]

Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section 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 in this preliminary determination to interested parties 
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

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after 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.\11\ Note that Commerce has temporarily modified 
certain of its requirements for serving documents containing business 
proprietary information, until further notice.\12\ Pursuant to 19 CFR 
351.309(c)(2) and (d)(2), parties who submit case 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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    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \12\ 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 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.

U.S. International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the U.S. 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 whether imports of white grape 
juice concentrate from Argentina are materially injuring, or threaten 
material injury to, the U.S. industry.

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 29, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The scope of this investigation covers white grape juice 
concentrate with a Brix level of 65 to 68, whether in frozen or non-
frozen forms. White grape juice concentrate is concentrated grape 
juice produced from grapes of the Vitis vinifera L. species with a 
white flesh, including fresh market table grapes and raisin grapes 
(e.g., Thompson Seedless), as well as several varietals of wine 
grapes (e.g., Chardonnay, Chenin Blanc, Sauvignon Blanc, Colombard, 
etc.). The scope of this investigation covers white grape juice 
concentrate regardless of whether it has been certified as kosher, 
organic, or organic kosher. The white grape juice concentrate 
subject to this investigation consists of 100 percent grape juice 
with no other types of juice intermixed and no additional sugars or 
additives included.
    The scope does not cover white grape juice concentrate produced 
from grapes of the Vitis labrusca species (e.g., Niagara).
    The products covered by this investigation are currently 
classified under the following Harmonized Tariff Schedule of the 
United States (HTSUS) subheadings: 2009.69.0040 and 2009.69.0060. 
The HTSUS subheadings and specifications are provided for 
convenience and customs purposes; the written description of the 
scope is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Injury Test
IV. Scope Comments
V. Scope of the Investigation
VI. Subsidies Valuation
VII. Analysis of Programs
VIII. Recommendation

[FR Doc. 2022-19190 Filed 9-2-22; 8:45 am]
BILLING CODE 3510-DS-P