[Federal Register Volume 88, Number 66 (Thursday, April 6, 2023)]
[Notices]
[Pages 20473-20475]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07174]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-121]


Difluoromethane From the People's Republic of China: Preliminary 
Results of Antidumping Duty Administrative Review, Partial Rescission, 
and Preliminary Intent To Rescind, in Part, of Antidumping Duty 
Administrative Review; 2020-2022

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that the sole mandatory respondent under review made sales 
of difluoromethane (R-32) from the People's Republic of China (China) 
below normal value (NV) during the period of review (POR). 
Additionally, we are rescinding this review with respect to Huantai 
Dongyue International Trade Co., Ltd. (Huantai Dongyue) and 
preliminarily rescinding this review with respect to Zhejiang Sanmei 
Chemical Ind. Co., Ltd. (Zhejiang Sanmei). Interested parties are 
invited to comment on these preliminary results of review.

DATES: Applicable April 6, 2023.

FOR FURTHER INFORMATION CONTACT: Paul Gill, AD/CVD Operations, Office 
IX, Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, 
DC 20230; telephone: (202) 482-5673.

SUPPLEMENTARY INFORMATION: 

Background

    On May 13, 2022, based on timely requests for review, in accordance 
with 19 CFR 351.221(c)(1)(i), we initiated an administrative review of 
the antidumping duty order on R-32 from China.\1\ The POR is August 27, 
2020, through February 28, 2022. On November 2, 2022, we extended the 
preliminary results of this review to no later than March 31, 2023.\2\ 
For a complete description of the events that followed the initiation 
of this review, see the Preliminary Decision Memorandum.\3\
---------------------------------------------------------------------------

    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 87 FR 29280 (May 13, 2022); see also 
Difluoromethane (R-32) from the People's Republic of China: 
Antidumping Duty Order, 86 FR 13886 (March 11, 2021) (Order).
    \2\ See Memorandum, ``Difluoromethane (R-32) from the People's 
Republic of China: Extension of Deadline for Preliminary Results of 
Antidumping Duty Administrative Review, 2020-2022,'' dated November 
2, 2022.
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Antidumping Duty Administrative Review of 
Difluoromethane (R-32) from the People's Republic of China; 2020-
2022,'' dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
---------------------------------------------------------------------------

Scope of the Order

    The merchandise covered by the Order is difluoromethane (R-32), or 
its chemical equivalent, regardless of form, type, or purity level.\4\ 
R-32 is classified under Harmonized Tariff Schedule of the United 
States (HTSUS) subheading 2903.39.2035. Other merchandise subject to 
the scope may be classified under 2903.39.2045 and 3824.78.0020. While 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the subject merchandise is dispositive.
---------------------------------------------------------------------------

    \4\ For a complete description of the scope of the order, see 
Preliminary Decision Memorandum.
---------------------------------------------------------------------------

Partial Rescission of Administrative Review

    Pursuant to 19 CFR 351.213(d)(1), the Secretary 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 notice of initiation of the requested review. On July 
20, 2022, Huantai Dongyue timely withdrew its request for an 
administrative review.\5\ Because no other party requested a review of 
Huantai Dongyue, we are rescinding the administrative review for this 
company in accordance with 19 CFR 351.213(d)(1).
---------------------------------------------------------------------------

    \5\ See Huantai Dongyue's Letter, ``Withdrawal of Request for 
Administrative Review'' dated July 20, 2022.
---------------------------------------------------------------------------

Preliminary Intent To Rescind, in Part

    It is Commerce's practice to rescind an administrative review 
pursuant to 19 CFR 351.213(d)(3) when there are no reviewable entries 
of subject merchandise during the POR subject to

[[Page 20474]]

the antidumping duty order and for which liquidation is suspended.\6\ 
At the end of an administrative review, suspended entries are 
liquidated at the assessment rate computed for the review period.\7\ 
Therefore, for an administrative review to be conducted, there must be 
a reviewable, suspended entry to be liquidated at the newly calculated 
assessment rate.
---------------------------------------------------------------------------

    \6\ See, e.g., Solid Fertilizer Grade Ammonium Nitrate from the 
Russian Federation: Notice of Rescission of Antidumping Duty 
Administrative Review, 77 FR 65532 (October 29, 2012); see also 
Forged Steel Fittings from Taiwan: Preliminary Intent To Rescind the 
Antidumping Duty Administrative Review; 2018-2019, 85 FR 44503 (July 
23, 2020), unchanged in Forged Steel Fittings from Taiwan: 
Rescission of Antidumping Duty Administrative Review; 2018-2019, 85 
FR 71317 (November 9, 2020).
    \7\ See 19 CFR 351.212(b)(l).
---------------------------------------------------------------------------

    While Zhejiang Sanmei requested an administrative review of 
itself,\8\ the U.S. Customs and Border Protection Data (CBP) data on 
the record of this review show no evidence that Zhejiang Sanmei had 
suspended entries of subject merchandise during the POR,\9\ and we 
received confirmation of this from CBP.\10\ As the record contains no 
evidence of reviewable entries for Zhejiang Sanmei, we are 
preliminarily rescinding the review with respect to Zhejiang Sanmei in 
accordance with 19 CFR 351.213(d)(3).\11\
---------------------------------------------------------------------------

    \8\ See Zhejiang Sanmei's Letter, ``Request for Administrative 
Review,'' dated March 31, 2022.
    \9\ See Memorandum, ``Release of Customs Entry Data from U.S. 
Customs and Border Protection (CBP),'' dated May 16, 2022.
    \10\ See Memorandum, ``No Shipment Inquiry with Respect to 
{Zhejiang Sanmei{time}  During the Period 08/27/2020 Through 02/28/
2022,'' dated March 20, 2023.
    \11\ For additional information regarding this preliminary 
intent to rescind, see the Preliminary Decision Memorandum.
---------------------------------------------------------------------------

Preliminary Affiliation and Single Entity Determination

    Based on record evidence in this review, Commerce preliminarily 
finds that the following companies are affiliated, pursuant to section 
771(33)(F) of the Tariff Act of 1930, as amended (the Act): Taizhou 
Qingsong Refrigerant New Material Co., Ltd. (Taizhou Qingsong), Taixing 
Meilan New Materials Co., Ltd. (Taixing Meilan), and Jiangsu Meilan 
Chemical Co., Ltd. Furthermore, pursuant to 19 CFR 351.401(f)(1)-(2), 
we find that Taizhou Qingsong and Taixing Meilan should be treated as a 
single entity (collectively, Qingsong). For additional information, see 
the Affiliation and Collapsing Memorandum.\12\
---------------------------------------------------------------------------

    \12\ See Memorandum, ``Affiliation and Single Entity Status--
Taizhou Qingsong Refrigerant New Materials Co., Ltd. and Taixing 
Meilan New Materials Co., Ltd.,'' dated concurrently with this 
memorandum (Affiliation and Collapsing Memorandum).
---------------------------------------------------------------------------

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act. Export price is calculated in accordance with 
section 772 of the Act. NV is calculated in accordance with section 773 
of the Act. For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. 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 
the topics discussed in the Preliminary Decision Memorandum is attached 
as an Appendix to this notice.

Preliminary Results of the Review

    We preliminarily determine that the following weighted-average 
dumping margin exists for the period August 27, 2020, through February 
28, 2022:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                    Producer or exporter                       dumping
                                                                margin
                                                              (percent)
------------------------------------------------------------------------
Taizhou Qingsong Refrigerant New Material Co., Ltd.;             160.65
 Taixing Meilan New Materials Co., Ltd.....................
------------------------------------------------------------------------

Assessment Rates

    Upon issuing the final results, Commerce shall determine, and CBP 
shall assess, antidumping duties on all appropriate entries covered by 
this review.\13\
---------------------------------------------------------------------------

    \13\ See 19 CFR 351.106(c)(2).
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.212(b)(1), Commerce calculated importer-
specific ad valorem duty assessment rates based on the ratio of the 
total amount of dumping calculated for the importer's examined sales to 
the total entered value of those sales. Where either the respondent's 
weighted-average dumping margin is zero or de minimis within the 
meaning of 19 CFR 351.106(c)(1), or an importer-specific rate is zero 
or de minimis, we will instruct CBP to liquidate the appropriate 
entries without regard to antidumping duties.\14\
---------------------------------------------------------------------------

    \14\ Id.
---------------------------------------------------------------------------

    Pursuant to Commerce's assessment practice,\15\ for entries that 
were not reported in the U.S. sales data submitted by Qingsong, we will 
instruct CBP to liquidate such entries at the China-wide rate. For 
Zhejiang Sanmei, if Commerce rescinds the review for this company in 
the final results, then antidumping duties shall be assessed at rates 
equal to the cash deposit of estimated antidumping duties required at 
the time of entry, or withdrawal from warehouse, for consumption, 
during the POR, in accordance with 19 CFR 351.212(c)(1)(i).
---------------------------------------------------------------------------

    \15\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694 (October 24, 2011), for a full 
discussion of this practice.
---------------------------------------------------------------------------

    Finally, for Huantai Dongyue, the respondent for which we are 
rescinding the review, antidumping duties shall be assessed at rates 
equal to the cash deposit of estimated antidumping duties required at 
the time of entry, or withdrawal from warehouse, for consumption, 
during the POR, in accordance with 19 CFR 351.212(c)(1)(i).
    In accordance with section 751(a)(2)(C) of the Act, the final 
results of this review shall be the basis for the assessment of 
antidumping duties on entries of merchandise covered by the review and 
for future deposits of estimated antidumping duties, where applicable.
    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

    The following cash deposit requirements will be effective upon 
publication of the final results of administrative review for all 
shipments of subject merchandise entered, or

[[Page 20475]]

withdrawn from warehouse, for consumption on, or after, the publication 
date of the final results of review, as provided for by section 
751(a)(2)(C) of the Act: (1) the cash deposit rate for Qingsong will be 
equal to the weighted-average dumping margin established in the final 
results of this review (except, if the dumping margin is zero or de 
minimis, then the cash deposit rate will be zero); (2) for a previously 
investigated or reviewed exporter of subject merchandise not listed in 
the final results of review that has a separate rate, the cash deposit 
rate will continue to be the exporter's existing cash deposit rate; (3) 
for all Chinese exporters of subject merchandise that do not have a 
separate rate, the cash deposit rate will be the cash deposit rate 
established for the China-wide entity, 221.06 percent; \16\ and (4) for 
all exporters of subject merchandise that are not located in China and 
that are not eligible for a separate rate, the cash deposit rate will 
be the rate applicable to the China exporter(s) that supplied that non-
Chinese exporter. These deposit requirements, when imposed, shall 
remain in effect until further notice.
---------------------------------------------------------------------------

    \16\ See Common Alloy Aluminum Sheet from the People's Republic 
of China: Antidumping Duty Order, 84 FR 2813 (February 8, 2019).
---------------------------------------------------------------------------

Disclosure

    Commerce intends to disclose the calculations performed in 
connection with these preliminary results to interested parties within 
five days after the date of publication of this notice.\17\
---------------------------------------------------------------------------

    \17\ See 19 CFR 351.224(b).
---------------------------------------------------------------------------

Public Comment

    Interested parties may submit case briefs to Commerce no later than 
seven days after the date of the verification report issued in this 
administrative review.\18\ Rebuttal briefs, limited to issues raised in 
the case briefs, may be filed no later than seven days after the time 
limit for filing case briefs.\19\ Parties who submit case briefs 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.\20\ Case and rebuttal briefs 
should be filed using ACCESS.\21\
---------------------------------------------------------------------------

    \18\ See 19 CFR 351.309(c).
    \19\ Commerce is exercising its discretion, under 19 CFR 
351.309(d)(1), to alter the time limit for filing of rebuttal 
briefs.
    \20\ See 19 CFR 351.309(c)(2) and (d)(2).
    \21\ See 19 CFR 351.303.
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS within 30 days after the date of publication of this notice.\22\ 
Hearing 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. Oral presentations at the hearing will be 
limited to issues raised in the briefs. If a request for a hearing is 
made, parties will be notified of the time and date for the 
hearing.\23\
---------------------------------------------------------------------------

    \22\ See 19 CFR 351.310(c).
    \23\ See 19 CFR 351.310(d).
---------------------------------------------------------------------------

Verification

    As provided in section 782(i)(3) of the Act, Commerce intends to 
verify the information relied upon for its final results.

Final Results

    Commerce intends to issue the final results of this administrative 
review, including the results of its analysis raised in any written 
briefs, not later than 120 days after the publication of these 
preliminary results in the Federal Register, unless otherwise 
extended.\24\
---------------------------------------------------------------------------

    \24\ See section 751(a)(3)(A) of the Act.
---------------------------------------------------------------------------

Notification to Importers

    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in Commerce's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.

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, 19 CFR 
351.213, and 19 CFR 351.221(b)(4).

    Dated: March 30, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Preliminary Intent to Rescind, in Part
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation

[FR Doc. 2023-07174 Filed 4-5-23; 8:45 am]
BILLING CODE 3510-DS-P