[Federal Register Volume 88, Number 66 (Thursday, April 6, 2023)]
[Notices]
[Pages 20479-20481]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07250]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-857]


Certain Softwood Lumber Products From Canada: Final Results of 
the Expedited First Sunset Review of the Antidumping Duty Order

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

SUMMARY: As a result of this expedited sunset review, the U.S. 
Department of Commerce (Commerce) finds that revocation of the 
antidumping duty (AD) order on certain softwood lumber products 
(softwood lumber) from Canada would likely lead to the continuation or 
recurrence of dumping at the levels indicated in the ``Final Results of 
Sunset Review'' section of this notice.

DATES: Applicable April 6, 2023.

FOR FURTHER INFORMATION CONTACT: Zachary Shaykin, AD/CVD Operations, 
Office IV, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2638.

SUPPLEMENTARY INFORMATION: 

Background

    On January 3, 2018, Commerce published the AD order on imports of 
softwood lumber from Canada.\1\ On December 1, 2022, Commerce published 
the notice of initiation of the first sunset review of the Order 
pursuant to section

[[Page 20480]]

751(c) of the Tariff Act of 1930, as amended (the Act).\2\
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    \1\ See Certain Softwood Lumber Products from Canada: 
Antidumping Duty Order and Partial Amended Final Determination, 83 
FR 350 (January 3, 2018) (Order).
    \2\ See Initiation of Five-Year (Sunset) Reviews, 87 FR 73757 
(December 1, 2022).
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    On December 5 and 16, 2022, Commerce received notices of intent to 
participate within the 15-day deadline specified in 19 CFR 
351.218(d)(1)(i) from, respectively, the Committee Overseeing Action 
for Lumber International Trade Investigations or Negotiations 
(COALITION) and Sierra Pacific Industries and its subsidiary (Sierra 
Pacific) (collectively, the domestic interested parties).\3\ The 
domestic interested parties claimed interested party status under 
sections 771(9)(C) and (F) of the Act, as a manufacturer in the United 
States of the domestic like product and as an association of interested 
parties described in sections 771(9)(C) through (E) of the Act, 
respectively.\4\
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    \3\ See COALITION's Letter, ``Five-Year (``Sunset'') Review of 
the Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada: Notice of Intent to Participate,'' dated December 5, 2022 
(COALITION's Notice of Intent to Participate); see also Sierra 
Pacific's Letter, ``Certain Softwood Lumber Products from Canada: 
Notice of Intent to Participate in Sunset Review,'' dated December 
16, 2022 (Sierra Pacific's Notice of Intent to Participate).
    \4\ See COALITION's Notice of Intent to Participate at 2-4; see 
also Sierra Pacific's Notice of Intent to Participate at 1-2.
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    On December 30, 2022 and January 3, 2023, Commerce received timely 
and adequate substantive responses to the notice of initiation from the 
domestic interested parties within the 30-day deadline specified in 19 
CFR 351.218(d)(3).\5\ On January 5, 2023, one respondent interested 
party, Resolute FP Canada Inc. (Resolute) submitted a timely yet 
inadequate \6\ substantive response to the notice of initiation.\7\ On 
January 10, 2023, we received rebuttal comments to Resolute's 
substantive response from a domestic interested party.\8\ On January 
25, 2023, Commerce notified the U.S. International Trade Commission 
that we did not receive an adequate substantive response from 
respondent interested parties.\9\ As a result, pursuant to section 
751(c)(3)(B) of the Act and 19 CFR 351.218(e)(1)(ii)(C)(2), Commerce 
conducted expedited (120-day) sunset reviews of the Order.
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    \5\ See COALITION's Letter, ``Five-Year (``Sunset'') Review of 
the Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada: Substantive Response to Notice of Initiation,'' dated 
December 30, 2022; see Sierra Pacific's Letter, ``Certain Softwood 
Lumber Products from Canada: Substantive Response to the Notice of 
Initiation,'' dated January 3, 2023.
    \6\ Resolute failed to show that it accounts for 50 percent or 
more of total exports of subject merchandise to the United States 
from Canada during the five years preceding the year of the 
initiation of these sunset reviews, pursuant to 19 CFR 
351.218(e)(1)(ii)(A).
    \7\ See Resolute's Letter, ``Initiation of Five-Year (Sunset) 
Reviews, Certain Softwood Lumber from Canada, 87 FR 73,757 (Dep't of 
Commerce Dec. 1, 2022),'' dated January 5, 2023.
    \8\ See COALITION's Letter, ``Five-Year (``Sunset'') Review of 
the Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada: Rebuttal to Resolute's Substantive Response,'' dated January 
10, 2023.
    \9\ See Commerce's Letter, ``Sunset Reviews Initiated December 
1, 2022,'' dated January 25, 2023.
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    On January 26, 2023, Resolute submitted a request that Commerce 
provide interested parties an opportunity to submit a case brief 
commenting on the final results of the instant sunset review.\10\ On 
March 3, 2023, Resolute submitted a case brief.\11\ On March 6, 2023, 
the COALITION submitted a request that Commerce provide interested 
parties an opportunity to submit rebuttal briefs.\12\ On March 7, 2023, 
Resolute submitted rebuttal comments to the COALITION's request for a 
deadline for interested parties to submit rebuttal briefs in the 
instant sunset review.\13\ On March 8, 2023, Commerce provided 
interested parties an opportunity to submit case and rebuttal briefs 
with respect to this sunset review.\14\ On March 13, 2023, Sierra 
Pacific submitted a case brief with respect to the final results of the 
sunset review.\15\ On March 17, 2023, the domestic interested parties 
and Resolute submitted rebuttal briefs with respect to the issues 
raised in the interested parties' case briefs.\16\
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    \10\ See Resolute's Letter, ``Softwood Lumber from Canada: First 
Sunset Review; Resolute's Request For Briefing Schedule In Expedited 
Sunset Review Pursuant To 19 CFR 351.309(c)(1)(iii),'' dated January 
26, 2023.
    \11\ See Resolute's Letter, ``Certain Softwood Lumber from 
Canada, Five-Year (Sunset) Review: Resolute's Case Brief,'' dated 
March 3, 2023.
    \12\ See COALITION's Letter, ``Five-Year (``Sunset'') Review of 
the Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada: Request for Rebuttal Brief Deadline,'' dated March 6, 2023.
    \13\ See Resolute's Letter, ``Certain Softwood Lumber from 
Canada, Five-Year (Sunset) Review: Response to Petitioner's Request 
for Rebuttal Brief Deadline,'' dated March 7, 2023.
    \14\ See Memorandum, ``Certain Softwood Lumber Products from 
Canada, First Expedited Sunset Review; Briefing Schedule,'' dated 
March 8, 2023.
    \15\ See Sierra Pacific's Letter, ``Certain Softwood Lumber 
Products From Canada: Case Brief,'' dated March 13, 2023.
    \16\ See COALITION's Letter, ``Five-Year (``Sunset'') Review of 
the Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada: Rebuttal Brief,'' dated March 17, 2023; see also Sierra 
Pacific's Letter, ``Certain Softwood Lumber Products from Canada: 
Rebuttal Brief,'' dated March 17 2023; and Resolute's Letter, 
``Certain Softwood Lumber from Canada, Five-Year (Sunset) Review: 
Resolute's Rebuttal Brief,'' dated March 17, 2023.
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Scope of the Order

    The merchandise covered by this investigation is softwood lumber. 
For a complete description of the scope of the Order, see Appendix I.

Analysis of Comments Received

    All issues raised in this sunset review are addressed in the 
accompanying Issues and Decision Memorandum.\17\ The issues discussed 
in the Issues and Decision Memorandum are listed in Appendix II. The 
Issues and 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 Issues and Decision Memorandum can 
be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \17\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the Expedited First Sunset Review of the 
Antidumping Duty Order on Certain Softwood Lumber Products from 
Canada,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
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Final Results of Sunset Review

    Pursuant to sections 751(c)(1) and 752(c)(1) and (3) of the Act, 
Commerce determines that revocation of the Order would be likely to 
lead to the continuation or recurrence of dumping, and the magnitude of 
the weighted-average dumping margin likely to prevail is up to 7.28 
percent.

Administrative Protective Order (APO)

    This notice also serves as the only reminder to parties subject to 
an APO of their responsibility concerning the return or destruction of 
proprietary information disclosed under APO in accordance with 19 CFR 
351.305(a). Timely notification of the return or destruction of APO 
materials or conversion to judicial protective orders is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.

Notification to Interested Parties

    We are issuing and publishing the final results and this notice in 
accordance with sections 751(c), 752(c), 771(i)(1) of the Act, and 19 
CFR 351.218(e)(1)(II)(C)(2) and 351.221(c)(5).

    Dated: March 31, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Order

    The merchandise covered by this Order is softwood lumber, 
siding, flooring and certain

[[Page 20481]]

other coniferous wood (softwood lumber products). The scope 
includes:
     Coniferous wood, sawn, or chipped lengthwise, sliced or 
peeled, whether or not planed, whether or not sanded, or whether or 
not finger-jointed, of an actual thickness exceeding six 
millimeters.
     Coniferous wood siding, flooring, and other coniferous 
wood (other than moldings and dowel rods), including strips and 
friezes for parquet flooring, that is continuously shaped 
(including, but not limited to, tongued, grooved, rebated, 
chamfered, V-jointed, beaded, molded, rounded) along any of its 
edges, ends, or faces, whether or not planed, whether or not sanded, 
or whether or not end-jointed.
     Coniferous drilled and notched lumber and angle cut 
lumber.
     Coniferous lumber stacked on edge and fastened together 
with nails, whether or not with plywood sheathing.
     Components or parts of semi-finished or unassembled 
finished products made from subject merchandise that would otherwise 
meet the definition of the scope above.
    Finished products are not covered by the scope of this Order. 
For the purposes of this scope, finished products contain, or are 
comprised of, subject merchandise and have undergone sufficient 
processing such that they can no longer be considered intermediate 
products, and such products can be readily differentiated from 
merchandise subject to this Order at the time of importation. Such 
differentiation may, for example, be shown through marks of special 
adaptation as a particular product. The following products are 
illustrative of the type of merchandise that is considered 
``finished'' for the purpose of this scope: I-joists; assembled 
pallets; cutting boards; assembled picture frames; garage doors.
    The following items are excluded from the scope of this Order:
     Softwood lumber products certified by the Atlantic 
Lumber Board as being first produced in the Provinces of 
Newfoundland and Labrador, Nova Scotia, or Prince Edward Island from 
logs harvested in Newfoundland and Labrador, Nova Scotia, or Prince 
Edward Island.
     U.S.-origin lumber shipped to Canada for processing and 
imported into the United States if the processing occurring in 
Canada is limited to one or more of the following: (1) kiln drying; 
(2) planing to create smooth-to-size board; or (3) sanding.
     Box-spring frame kits if they contain the following 
wooden pieces--two side rails, two end (or top) rails and varying 
numbers of slats. The side rails and the end rails must be radius-
cut at both ends. The kits must be individually packaged and must 
contain the exact number of wooden components needed to make a 
particular box-spring frame, with no further processing required. 
None of the components exceeds 1'' in actual thickness or 83'' in 
length.
     Radius-cut box-spring-frame components, not exceeding 
1'' in actual thickness or 83'' in length, ready for assembly 
without further processing. The radius cuts must be present on both 
ends of the boards and must be substantially cut so as to completely 
round one corner.
    Softwood lumber product imports are generally entered under 
Chapter 44 of the Harmonized Tariff Schedule of the United States 
(HTSUS). This chapter of the HTSUS covers ``Wood and articles of 
wood.'' Softwood lumber products that are subject to this Order are 
currently classifiable under the following ten-digit HTSUS 
subheadings in Chapter 44:
    4406.11.0000; 4406.91.0000; 4407.10.01.01; 4407.10.01.02; 
4407.10.01.15; 4407.10.01.16; 4407.10.01.17; 4407.10.01.18; 
4407.10.01.19; 4407.10.01.20; 4407.10.01.42; 4407.10.01.43; 
4407.10.01.44; 4407.10.01.45; 4407.10.01.46; 4407.10.01.47; 
4407.10.01.48; 4407.10.01.49; 4407.10.01.52; 4407.10.01.53; 
4407.10.01.54; 4407.10.01.55; 4407.10.01.56; 4407.10.01.57; 
4407.10.01.58; 4407.10.01.59; 4407.10.01.64; 4407.10.01.65; 
4407.10.01.66; 4407.10.01.67; 4407.10.01.68; 4407.10.01.69; 
4407.10.01.74; 4407.10.01.75; 4407.10.01.76; 4407.10.01.77; 
4407.10.01.82; 4407.10.01.83; 4407.10.01.92; 4407.10.01.93; 
4407.11.00.01; 4407.11.00.02; 4407.11.00.42; 4407.11.00.43; 
4407.11.00.44; 4407.11.00.45; 4407.11.00.46; 4407.11.00.47; 
4407.11.00.48; 4407.11.00.49; 4407.11.00.52; 4407.11.00.53; 
4407.12.00.01; 4407.12.00.02; 4407.12.00.17; 4407.12.00.18; 
4407.12.00.19; 4407.12.00.20; 4407.12.00.58; 4407.12.00.59; 
4407.19.05.00; 4407.19.06.00; 4407.19.10.01; 4407.19.10.02; 
4407.19.10.54; 4407.19.10.55; 4407.19.10.56; 4407.19.10.57; 
4407.19.10.64; 4407.19.10.65; 4407.19.10.66; 4407.19.10.67; 
4407.19.10.68; 4407.19.10.69; 4407.19.10.74; 4407.19.10.75; 
4407.19.10.76; 4407.19.10.77; 4407.19.10.82; 4407.19.10.83; 
4407.19.10.92; 4407.19.10.93; 4409.10.05.00; 4409.10.10.20; 
4409.10.10.40; 4409.10.10.60; 4409.10.10.80; 4409.10.20.00; 
4409.10.90.20; 4409.10.90.40; 4418.50.0010; 4418.50.0030; 
4418.50.0050 and 4418.99.10.00.
    Subject merchandise as described above might be identified on 
entry documentation as stringers, square cut box-spring-frame 
components, fence pickets, truss components, pallet components, 
flooring, and door and window frame parts. Items so identified might 
be entered under the following ten-digit HTSUS subheadings in 
Chapter 44:
    4415.20.40.00; 4415.20.80.00; 4418.99.90.05; 4418.99.90.20; 
4418.99.90.40; 4418.99.90.95; 4421.99.70.40; and 4421.99.97.80.
    Although these HTSUS subheadings are provided for convenience 
and customs purposes, the written description of the scope of this 
Order is dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. History of the Order
V. Legal Framework
VI. Discussion of the Issues
    1. Likelihood of Continuation or Recurrence of Dumping
    2. Magnitude of the Dumping Margin Likely to Prevail
VII. Final Results of Sunset Review
VIII. Recommendation

[FR Doc. 2023-07250 Filed 4-5-23; 8:45 am]
BILLING CODE 3510-DS-P