[Federal Register Volume 88, Number 193 (Friday, October 6, 2023)]
[Notices]
[Pages 69612-69615]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-22238]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-088]


Certain Steel Racks and Parts Thereof From the People's Republic 
of China: Preliminary Results and Partial Rescission of the Antidumping 
Duty Administrative Review, and Preliminary Determination of No 
Shipments; 2021-2022

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that certain steel racks and parts thereof (steel racks) 
from the People's Republic of China (China) were sold in the United 
States at prices below normal value (NV) during the period of review 
(POR) September 1, 2021, through August 31, 2022. Further, we 
preliminarily determine that two companies had no shipments of subject 
merchandise during the POR, and two companies do not qualify for a 
separate rate. Additionally, we are rescinding this review with respect 
to the four companies for which all review requests were timely 
withdrawn. We invite interested parties to comment on the preliminary 
results of this review.

DATES: Applicable October 6, 2023.

FOR FURTHER INFORMATION CONTACT: Jonathan Hill or Elizabeth Bremer, 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) 482-3518 and (202) 
482-4987, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On September 1, 2022, Commerce published in the Federal Register a 
notice of opportunity to request an administrative review of the 
antidumping duty order on steel racks from China.\1\ After receiving 
review requests, Commerce initiated this review with respect to 12 
companies.\2\ On May 25, 2023, Commerce extended the deadline for these 
preliminary results of review by 119 days, to September 29, 2023.\3\
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    \1\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity to Request Administrative 
Review and Join Annual Inquiry Service List, 87 FR 53719 (September 
1, 2022); and Certain Steel Racks and Parts Thereof from the 
People's Republic of China: Amended Final Affirmative Antidumping 
Duty Determination and Antidumping Duty Order; and Countervailing 
Duty Order, 84 FR 48584 (September 16, 2019) (Order).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 87 FR 66275 (November 3, 2022); see also 
Initiation of Antidumping and Countervailing Duty Administrative 
Reviews, 88 FR 50 (January 3, 2023).
    \3\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Antidumping Duty Administrative Review,'' dated May 25, 
2023.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\4\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included as an appendix 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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    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Antidumping Duty Administrative Review of Certain 
Steel Racks and Parts Thereof from the People's Republic of China; 
2021-2022,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
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Scope of the Order

    The merchandise covered by the Order is steel racks and parts 
thereof, assembled, to any extent, or unassembled, including but not 
limited to, vertical components (e.g., uprights, posts, or columns), 
horizontal or diagonal components (e.g., arms or beams), braces, 
frames, locking devices (e.g., end plates and beam connectors), and 
accessories (including, but not limited to, rails, skid channels, skid 
rails, drum/coil beds, fork clearance bars, pallet supports, row 
spacers, and wall ties).
    Merchandise covered by the Order is classified in the Harmonized 
Tariff Schedule of the United States (HTSUS) under subheadings 
7326.90.8688, 9403.20.0081, 9403.90.8041, and 9403.99.9041.\5\ Subject 
merchandise may also be classified under subheadings 7308.90.3000, 
7308.90.6000, 7308.90.9590, and 9403.20.0090. The HTSUS subheadings are 
provided for convenience and U.S. customs purposes only. The written 
description of the scope is dispositive.
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    \5\ On February 9, 2022, Commerce received a request from U.S. 
Customs and Border Protection (CBP) to update the ACE Case Reference 
File (CRF) for certain steel racks and parts thereof from the 
People's Republic of China. Specifically, CBP requested that 
Commerce add a certain HTSUS subheading to case numbers A-570-088 
and C-570-089 to reflect the 2022 updates to the HTSUS. On May 4, 
2022, Commerce added the HTSUS subheading 9403.99.9041 to the CRF 
for case A-570-088. See Memorandum, ``Request from Customs and 
Border Protection to Update the ACE AD/CVD Case Reference File: 
Certain Steel Racks and Parts Thereof from the People's Republic of 
China (A-570-088, C-570-089),'' dated May 4, 2022.
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    A full description of the scope of the Order is contained in the 
Preliminary Decision Memorandum.

Preliminary Determination of No Shipments

    On December 5 and 12, 2022, Hebei Minmetals Co., Ltd. (Hebei 
Minmetals) and Xiamen Luckyroc Industry Co., Ltd. (Luckyroc), 
respectively, timely filed certifications that they did not export or 
sell subject merchandise during the POR and that there were no 
suspended entries of their subject merchandise into the United States 
during the POR. On August 9, 2023, we requested that CBP identify any 
POR entries of subject merchandise from Hebei Minmetals or Luckyroc.\6\ 
Based on an analysis of information from CBP, and each company's 
certification, we preliminarily determine that Hebei Minmetals and 
Luckyroc had no shipments of subject merchandise during the POR.\7\
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    \6\ See Memorandum, ``Information from U.S. Customs and Border 
Protection Regarding No Shipment Claims,'' dated concurrently with 
this notice.
    \7\ See Preliminary Decision Memorandum.
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    Consistent with Commerce's practice, we are not rescinding this 
administrative review with respect to Hebei Minmetals and Luckyroc but 
intend to complete the review of these companies and issue appropriate

[[Page 69613]]

assessment instructions to CBP based on the final results of the 
review.\8\
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    \8\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694 (October 24, 2011); see also the 
``Assessment Rates'' section, infra.
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Partial Rescission of the Administrative Review

    Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an 
administrative review, in whole or in part, if all parties who 
requested a review withdraw their requests within 90 days of the date 
that the notice of initiation of the requested review was published in 
the Federal Register. All requests to review the following companies 
were timely withdrawn: (1) Guangdong Wireking Housewares and Hardware 
Co., Ltd.; \9\ (2) Suzhou (China) Sunshine Hardware & Equipment Imp. & 
Exp. Co. Ltd.; \10\ (3) Jiangsu Starshine Industry Equipment Co., Ltd. 
(Starshine); \11\ and (4) Suntop (Xiamen) Display System Inc.\12\ 
Therefore, consistent with 19 CFR 351.213(d)(1), Commerce is rescinding 
this review, in part, with respect to these companies.
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    \9\ See Coalition for Fair Rack Imports' Letter, ``Partial 
Withdrawal of Request for Administrative Review,'' dated December 
19, 2022.
    \10\ Id.
    \11\ See Starshine's Letter, ``Request for Review,'' dated 
January 5, 2023.
    \12\ See Aladdin Manufacturing Corporation and Mohawk Home's 
Letter, ``Withdrawal of Request for Administrative Review 
(Administrative Review 9/1/2021-8/31/2022),'' dated February 1, 
2023.
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Preliminary Affiliation and Single Entity Determination

    Based on record evidence in this review, Commerce preliminarily 
determines that the following companies are affiliated, pursuant to 
section 771(33)(F) of the Tariff Act of 1930, as amended (the Act), and 
that they should be treated as a single collapsed entity (i.e., 
Xinguang Rack), pursuant to 19 CFR 351.401(f)(1)-(2): (1) Ningbo 
Xinguang Rack Co., Ltd.; (2) Ningbo Jiabo Rack Co., Ltd.; and (3) 
Ningbo Lede Hardware Co., Ltd. For additional information, see the 
Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act. We calculated export and constructed export 
prices in accordance with section 772 of the Act. Further, because 
China is a non-market economy (NME) country within the meaning of 
section 771(18) of the Act, we calculated NV in accordance with section 
773(c) of the Act. For a full description of the methodology underlying 
our preliminary results, see the Preliminary Decision Memorandum.

Separate Rates

    In all proceedings involving an NME country, Commerce maintains a 
rebuttable presumption that all companies are subject to government 
control and, thus, should be assessed a single weighted-average dumping 
margin unless the company can affirmatively demonstrate an absence of 
government control, both in law (de jure) and in fact (de facto), with 
respect to its exports (i.e., can affirmatively demonstrate that it is 
eligible for a separate rate).\13\ Commerce has preliminarily 
determined that information placed on the record by Jiangsu JISE 
Intelligent Storage Equipment Co., Ltd. (Jiangsu Storage), Jiangsu Nova 
Intelligent Logistics Equipment Co., Ltd. (Jiangsu Nova), Nanjing 
Kingmore Logistics Equipment Manufacturing Co., Ltd. (Kingmore), and 
Xinguang Rack demonstrates that these companies are eligible for 
separate rate status.\14\
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    \13\ See Notice of Final Determination of Sales at Less Than 
Fair Value, and Affirmative Critical Circumstances, In Part: Certain 
Lined Paper Products from the People's Republic of China, 71 FR 
53079, 53082 (September 8, 2006); see also Final Determination of 
Sales at Less Than Fair Value and Final Partial Affirmative 
Determination of Critical Circumstances: Diamond Sawblades and Parts 
Thereof from the People's Republic of China, 71 FR 29303, 29307 (May 
22, 2006).
    \14\ See Preliminary Decision Memorandum.
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    However, Commerce has preliminarily determined that Nanjing 
Dongsheng Shelf Manufacturing Co., Ltd. and Nanjing Ironstone Storage 
Equipment Co., Ltd. have not demonstrated their eligibility for a 
separate rate because each company did not file a timely separate rate 
application or separate rate certification with Commerce. Therefore, we 
have preliminarily treated these companies as part of the China-wide 
entity.
    Because no party requested a review of the China-wide entity, the 
China-wide entity is not under review. Accordingly, the weighted-
average dumping margin determined for the China-wide entity (i.e., 
144.50 percent) \15\ is not subject to change in this review. For 
additional information, see the Preliminary Decision Memorandum.
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    \15\ See Order, 84 FR at 48586.
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Weighted-Average Dumping Margin for the Non-Examined Companies Granted 
a Separate Rate

    The statute and Commerce's regulations do not address what 
weighted-average dumping margin to apply to companies not selected for 
individual examination when Commerce limits its examination in an 
administrative review pursuant to section 777A(c)(2) of the Act. 
Generally, Commerce looks to section 735(c)(5) of the Act for guidance 
regarding establishing a weighted-average dumping margin for 
respondents which were not individually examined in an administrative 
review.
    Section 735(c)(5)(A) of the Act provides that Commerce will base 
the all-others rate in an investigation on the weighted average of the 
estimated weighted-average dumping margins calculated for the 
individually examined respondents, excluding rates that are zero, de 
minimis, or based entirely on facts available. Where the weighted-
average dumping margin for each of the individually examined companies 
is zero, de minimis, or based entirely on facts available, section 
735(c)(5)(B) of the Act provides that Commerce may use ``any reasonable 
method'' to establish the estimated all-others rate.
    Because the preliminary weighted-average dumping margins calculated 
for the individually examined companies (Jiangsu Nova and Xinguang 
Rack) in this administrative review are not zero, de minimis, or based 
entirely on facts available, we have preliminarily assigned Jiangsu 
Storage and Kingmore--which have been found to be eligible for a 
separate rate, but were not selected for individual examination--a 
weighted-average dumping margin equal to the average, weighted by the 
publicly ranged total sales quantities, of the weighted-average dumping 
margins calculated for Jiangsu Nova and Xinguang Rack, consistent with 
the guidance in section 735(c)(5)(B) of the Act.\16\
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    \16\ See Memorandum, ``Calculation of the Weighted-Average 
Dumping Margin for Respondents Not Selected for Individual 
Examination,'' dated concurrently with this notice.
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Preliminary Results of Review

    We are assigning the following weighted-average dumping margins to 
the companies listed below for the period September 1, 2021, through 
August 31, 2022:

[[Page 69614]]



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                                                        Weighted-average
                       Exporter                          dumping margin
                                                           (percent)
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Jiangsu Nova Intelligent Logistics Equipment Co., Ltd              50.31
Ningbo Xinguang Rack Co., Ltd./Ningbo Jiabo Rack Co.,              27.59
 Ltd./Ningbo Lede Hardware Co., Ltd..................
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 Review-Specific Rate Applicable to the Following Non-Examined Companies
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Jiangsu JISE Intelligent Storage Equipment Co., Ltd..              48.41
Nanjing Kingmore Logistics Equipment Manufacturing                 48.41
 Co., Ltd............................................
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Disclosure and Public Comment

    Commerce intends to disclose to parties to the proceeding the 
calculations performed for these preliminary results of review under 
administrative protective order within five days of the date of 
publication of this notice in the Federal Register.\17\
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    \17\ See 19 CFR 351.224(b).
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    Interested parties may submit case briefs to Commerce no later than 
30 days after the date of publication of these preliminary results of 
review in the Federal Register.\18\ Rebuttal briefs may be filed with 
Commerce no later than seven days after case briefs are due and may 
respond only to arguments raised in the case briefs.\19\ A table of 
contents, list of authorities used, and an executive summary of issues 
should accompany any briefs submitted to Commerce. The summary should 
be limited to five pages total, including footnotes.\20\
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    \18\ See 19 CFR 351.309(c)(1)(ii).
    \19\ See 19 CFR 351.309(d).
    \20\ See 19 CFR 351.309(c)(2) and (d)(2).
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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 in the Federal Register. 
Requests for a hearing should contain: (1) the requesting party's name, 
address, and telephone number; (2) the number of individuals associated 
with the requesting party that will attend the hearing and whether any 
of those individuals is a foreign national; and (3) a list of the 
issues the party intends to discuss at the hearing. Oral arguments at 
the hearing will be limited to issues raised in the case and rebuttal 
briefs. If a request for a hearing is made, Commerce will announce the 
date and time of the hearing. Parties should confirm the date and time 
of the hearing two days before the scheduled hearing date.
    All submissions to Commerce, with limited exceptions, must be filed 
electronically using ACCESS. An electronically filed document must be 
received successfully in its entirety by Commerce's electronic records 
system, ACCESS, by 5:00 p.m. Eastern Time on the due date.\21\ Note 
that Commerce has temporarily modified certain of its requirements for 
serving documents containing business proprietary information, until 
further notice.\22\
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    \21\ See 19 CFR 351.303 (for general filing requirements); see 
also Antidumping and Countervailing Duty Proceedings: Electronic 
Filing Procedures; Administrative Protective Order Procedures, 76 FR 
39263 (July 6, 2011).
    \22\ 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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Final Results of Review

    Unless otherwise extended, Commerce intends to issue the final 
results of this administrative review, which will include the results 
of its analysis of issues raised in any briefs, within 120 days of 
publication of these preliminary results of review in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act.

Assessment Rates

    In accordance with section 751(a)(2)(C) of the Act, the assessment 
of antidumping duties on entries of merchandise covered by the review 
shall be based on the final results of this review. Therefore, upon 
issuance of the final results of review, Commerce will determine, and 
CBP shall assess, antidumping duties on all appropriate entries of 
subject merchandise covered by this review.\23\
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    \23\ See 19 CFR 351.212(b)(1).
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    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).
    We will calculate importer or customer-specific assessment rates 
for the individually examined respondents, in accordance with 19 CFR 
351.212(b)(1).\24\ Where the respondent reported reliable entered 
values, we will calculate importer or customer-specific ad valorem 
assessment rates by dividing the total amount of dumping calculated in 
the final results of this review for all reviewed U.S. sales to the 
importer/customer by the total entered value of the merchandise sold to 
the importer/customer.\25\ Where the respondent did not report entered 
values, we will calculate importer or customer-specific per-unit 
assessment rates by dividing the total amount of dumping calculated in 
the final results of this review for all reviewed U.S. sales to the 
importer/customer by the total quantity of those sales. While we will 
calculate estimated ad valorem importer or customer-specific assessment 
rates to determine whether the per-unit assessment rates are de 
minimis, we will use the per-unit assessment rates where entered values 
were not reported.\26\ Where either the respondent's ad valorem 
weighted-average dumping margin is zero or de minimis, or an importer 
or customer-specific ad valorem assessment rate is zero or de 
minimis,\27\ we will instruct CBP to liquidate the appropriate entries 
without regard to antidumping duties.
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    \24\ We applied the assessment rate calculation method adopted 
in Antidumping Proceedings: Calculation of the Weighted-Average 
Dumping Margin and Assessment Rate in Certain Antidumping 
Proceedings: Final Modification, 77 FR 8101 (February 14, 2012).
    \25\ See 19 CFR 351.212(b)(1).
    \26\ Id.
    \27\ See 19 CFR 351.106(c)(2).
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    The assessment rate for a company not individually examined that 
qualifies for a separate rate will be equal to the weighted-average 
dumping margin determined for the company in the final results of this 
review.\28\ If that rate is zero or de minimis, we will instruct CBP

[[Page 69615]]

to liquidate the appropriate entries without regard to antidumping 
duties.
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    \28\ See Drawn Stainless Steel Sinks from the People's Republic 
of China: Preliminary Results of the Antidumping Duty Administrative 
Review and Preliminary Determination of No Shipments; 2014-2015, 81 
FR 29528 (May 12, 2016), and accompanying Preliminary Decision 
Memorandum at 10-11, unchanged in Drawn Stainless Steel Sinks from 
the People's Republic of China: Final Results of Antidumping Duty 
Administrative Review; Final Determination of No Shipments; 2014-
2015, 81 FR 54042 (August 15, 2016).
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    The assessment rate for companies that are not eligible for a 
separate rate, which are therefore considered to be part of the China-
wide entity, will be equal to the weighted-average dumping margin for 
the China-wide entity, i.e., 144.50 percent.\29\
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    \29\ See Order, 84 FR at 48586.
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    Pursuant to a refinement to Commerce's assessment practice, where 
sales of subject merchandise exported by an individually examined 
respondent were not reported in the U.S. sales data submitted by the 
respondent, but the merchandise was entered into the United States 
during the POR, we will instruct CBP to liquidate any entries of such 
merchandise at the antidumping duty assessment rate for the China-wide 
entity.\30\ Additionally, where Commerce determines that an exporter 
under review had no shipments of subject merchandise during the POR, 
any suspended entries of subject merchandise that entered under that 
exporter's CBP case number during the POR will be liquidated at the 
antidumping duty assessment rate for the China-wide entity.
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    \30\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694 (October 24, 2011), for a full 
discussion of this practice.
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Cash Deposit Requirements

    The following cash deposit requirements will be in effect for all 
shipments of subject merchandise entered, or withdrawn from warehouse, 
for consumption on, or after, the date of publication of the notice of 
the final results of this administrative review in the Federal 
Register, as provided for by section 751(a)(2)(C) of the Act: (1) for 
an exporter granted a separate rate in the final results of this 
review, the cash deposit rate will be equal to the weighted-average 
dumping margin established in the final results of this review for the 
company (except, if the rate is de minimis, then a cash deposit rate of 
zero will be required); (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 China 
exporters of subject merchandise that do not have a separate rate, the 
cash deposit rate will be equal to the weighted-average dumping margin 
assigned to the China-wide entity, which is 144.50 percent; and (4) for 
a non-China exporter of subject merchandise that does not have a 
separate rate, the cash deposit rate will be equal to the weighted-
average dumping margin applicable to the China exporter(s) that 
supplied that non-China exporter.
    These cash deposit requirements, when imposed, shall remain in 
effect until further notice.

Notification to Importers

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

Notification to Interested Parties

    We are issuing and publishing these preliminary results of review 
in accordance with sections 751(a)(l) and 777(i)(l) of the Act, and 19 
CFR 351.213 and 351.221(b)(4).

    Dated: September 29, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Affiliation and Single Entity Treatment
VI. Preliminary Determination of No Shipments
VII. Selection of Respondents
VIII. Discussion of Methodology
IX. Currency Conversion
X. Recommendation

[FR Doc. 2023-22238 Filed 10-5-23; 8:45 am]
BILLING CODE 3510-DS-P