[Federal Register Volume 89, Number 2 (Wednesday, January 3, 2024)]
[Notices]
[Pages 321-324]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-28945]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[A-552-836]


Certain Paper Shopping Bags From the Socialist Republic of 
Vietnam: Preliminary Affirmative Determination of Sales at Less Than 
Fair Value, Preliminary Affirmative Critical Circumstances 
Determination, Postponement of Final Determination, and Extension of 
Provisional Measures

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that certain paper shopping bags (paper bags) from the 
Socialist Republic of Vietnam (Vietnam) are being, or are likely to be, 
sold in the United States at less than fair value (LTFV). The period of 
investigation (POI) is October 1, 2022, through March 31, 2023. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable January 3, 2024.

FOR FURTHER INFORMATION CONTACT: Myrna Lobo, 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) 482-2371.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation

[[Page 322]]

in the Federal Register on June 27, 2023.\1\ On October 3, 2023, 
Commerce postponed the preliminary determination of this investigation 
until December 27, 2023.\2\
---------------------------------------------------------------------------

    \1\ See Certain Paper Shopping Bags from Cambodia, the People's 
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the 
Republic of Turkey, and the Socialist Republic of Vietnam: 
Initiation of Less-Than-Fair-Value Investigations, 88 FR 41589 (June 
27, 2023) (Initiation Notice).
    \2\ See Certain Paper Shopping Bags from Cambodia, the People's 
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the 
Republic of Turkey, and the Socialist Republic of Vietnam: 
Postponement of Preliminary Determinations in the Less-Than-Fair-
Value Investigations, 88 FR 68097 (October 3, 2023).
---------------------------------------------------------------------------

    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
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.
---------------------------------------------------------------------------

    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination in the Less-Than-Fair-Value Investigation 
of Certain Paper Shopping Bags from the Socialist Republic of 
Vietnam,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
---------------------------------------------------------------------------

Scope of the Investigation

    The products covered by this investigation are paper bags from 
Vietnam. 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\ in 
the Initiation Notice, Commerce set aside a period of time for parties 
to raise issues regarding product coverage (i.e., scope).\5\ Certain 
interested parties commented on the scope of the investigation as it 
appeared in the Initiation Notice. For a summary of the product 
coverage comments and rebuttal responses submitted to the record for 
this investigation and accompanying discussion and analysis of all 
comments timely received, see the Preliminary Scope Decision 
Memorandum.\6\ As discussed in the Preliminary Scope Decision 
Memorandum, Commerce preliminarily modified the scope language as it 
appeared in the Initiation Notice. In the Preliminary Scope Decision 
Memorandum, Commerce established the deadline for parties to submit 
scope case and rebuttal briefs.
---------------------------------------------------------------------------

    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See AD Initiation Notice, 88 FR at 41590; see also Certain 
Paper Shopping Bags from the People's Republic of China and India: 
Postponement of Preliminary Determinations in the Countervailing 
Duty Investigations, 88 FR 41380, 41381 (August 7, 2023).
    \6\ See Memorandum, ``Preliminary Scope Decision Memorandum,'' 
dated concurrently with this notice (Preliminary Scope Decision 
Memorandum).
---------------------------------------------------------------------------

Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce has calculated export prices in 
accordance with section 772(a) of the Act. Because Vietnam is a non-
market economy (NME) country, within the meaning of section 771(18) of 
the Act, Commerce has calculated normal value in accordance with 
section 773(c) of the Act.
    Furthermore, pursuant to sections 776(a) and (b) of the Act, 
Commerce preliminarily has relied upon facts otherwise available, with 
adverse inferences (AFA), to assign a dumping margin for the Vietnam-
wide entity. For a full description of the methodology underlying 
Commerce's preliminary determination, see the Preliminary Decision 
Memorandum.

Preliminary Affirmative Determination of Critical Circumstances

    In accordance with section 733(e) of the Act and 19 CFR 351.206, 
Commerce preliminarily determines that critical circumstances exist 
with respect to imports of paper bags from Vietnam for Goldsun 
Packaging and Printing Joint Stock Company (Goldsun), the non-selected 
respondents eligible for a separate rate, and the Vietnam-wide entity. 
For a full description of the methodology and results of Commerce's 
analysis, see the Preliminary Decision Memorandum.

Vietnam-Wide Entity

    Commerce preliminarily finds that several companies, including one 
mandatory respondent (Hi-Level, as discussed below), have not 
established their eligibility for a separate rate and are considered to 
be part of the Vietnam-wide entity.\7\
---------------------------------------------------------------------------

    \7\ These companies are NamCuong Packaging, Pan Pacific Vietnam, 
SIC Paper Bag, Kien Nang, Co., Ltd., and TLC Packaging. Moreover, 
International Packaging Limited Company is ineligible for a separate 
rate because it did not have a sale during the POI. See Preliminary 
Decision Memorandum.
---------------------------------------------------------------------------

Combination Rates

    In the Initiation Notice,\8\ Commerce stated that it would 
calculate producer/exporter combination rates for the respondents that 
are eligible for a separate rate in this investigation. Policy Bulletin 
05.1 describes this practice.\9\
---------------------------------------------------------------------------

    \8\ See Initiation Notice, 88 FR at 41593.
    \9\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available at 
https://access.trade.gov/Resources/policy/bull05-1.pdf.
---------------------------------------------------------------------------

Separate Rates

    In this investigation, in addition to Goldsun, we have 
preliminarily granted certain non-individually examined respondents a 
separate rate. However, because Hi-Level Enterprise Co., Ltd. (Hi-
Level) requested a separate rate and did not fully respond to 
Commerce's questionnaire as a mandatory respondent, we have 
preliminarily denied a separate rate to Hi-Level and are treating it as 
part of the Vietnam-wide entity.
    In calculating the rate for non-individually examined separate rate 
respondents in NME antidumping duty (AD) investigation, Commerce 
normally looks to section 735(c)(5)(A) of the Act, which pertains to 
the calculation of the all-others rate in a market economy AD 
investigation, for guidance. Pursuant to section 735(c)(5)(A) of the 
Act, normally this rate shall be an amount equal to the weighted 
average of the estimated AD rate established for those companies 
individually examined, excluding zero and de minimis and any rates 
based entirely under section 776 of the Act. Commerce calculated an 
individual estimated weighted-average dumping margin for Goldsun that 
is not zero, de minimis, or based entirely on facts otherwise 
available. Thus, the weighted average dumping margin calculated for 
Goldsun is the basis to determine the weighted-average dumping margin 
for the non-examined separate rate companies, using section 
735(c)(5)(A) of the Act for guidance, which provides for the 
determination of the estimated weighted-average dumping for all other 
producers and exporters in a market economy investigation. See the 
below table in the ``Preliminary Determination'' section of this 
notice.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

[[Page 323]]



------------------------------------------------------------------------
                                                        Weighted-average
           Producer                    Exporter          dumping margin
                                                           (percent)
------------------------------------------------------------------------
Goldsun Packaging and Printing  Goldsun Packaging and              51.25
 Joint Stock Company.            Printing Joint Stock
                                 Company.
Dong Sung Vina Printing Co.,    Dong Sung Printing                 51.25
 Ltd \10\.                       Co., Ltd \11\.
Khang Thanh Manufacturing       Khang Thannh                       51.25
 Company Limited.                Manufacturing
                                 Company Limited.
Vietnam Red Star Industry       Vietnam Red Star                   51.25
 Company Limited.                Industry Company
                                 Limited.
Vietnam-Wide Entity...........  .....................            * 92.34
------------------------------------------------------------------------
* Rate based on AFA.

Disclosure

    Commerce intends to disclose to interested parties the calculations 
performed in connection with this preliminary determination within five 
days of its public announcement or, if there is no public announcement, 
within five days of the date of publication of this notice in 
accordance with 19 CFR 351.224(b).
---------------------------------------------------------------------------

    \10\ Dong Sung is sometimes translated as one word ``Dongsung.''
    \11\ Id.
---------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date 90 
days prior to the date of publication of this notice in the Federal 
Register, as discussed below. Further, pursuant to section 733(d)(1)(B) 
of the Act and 19 CFR 351.205(d), Commerce will instruct CBP to require 
a cash deposit equal to the weighted-average amount by which normal 
value exceeds U.S. price, as indicated in the chart above, as follows: 
(1) for the producer/exporter combination listed in the table above, 
the cash deposit rate is equal to the estimated weighted-average 
dumping margin listed for that combination in the table; (2) for all 
combinations of Vietnam producers/exporters of subject merchandise that 
have not established eligibility for their own separate rates, the cash 
deposit rate will be equal to the estimated weighted-average dumping 
margin established for the Vietnam-wide entity; and (3) for all third-
county exporters of subject merchandise not listed in the table above, 
the cash deposit rate is the cash deposit rate applicable to the 
Vietnam producer/exporter combination (or the Vietnam-wide entity) that 
supplied that third-country exporter.
    Section 733(e)(2) of the Act provides that, given an affirmative 
determination of critical circumstances, any suspension of liquidation 
shall apply to unliquidated entries of merchandise entered, or 
withdrawn from warehouse, for consumption on or after the later of: (a) 
the date which is 90 days before the date on which the suspension of 
liquidation was first ordered, or (b) the date on which notice of 
initiation of the investigation was published. Commerce preliminarily 
finds that critical circumstances exist for imports of subject 
merchandise from Goldsun, the non-selected respondents eligible for a 
separate rate, and the Vietnam-wide entity.\11\ In accordance with 
section 733(e)(2)(A) of the Act, the suspension of liquidation shall 
apply to all unliquidated entries of merchandise from Goldsun, the non-
selected respondents eligible for a separate rate, and the Vietnam-wide 
entity that were entered, or withdrawn from warehouse, for consumption 
on or after the date which is 90 days before the publication of this 
notice in the Federal Register.
    These suspension of liquidation instructions will remain in effect 
until further notice.

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments \12\ may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the final verification report is issued in 
this investigation.\13\ Rebuttal briefs, limited to issues raised in 
the case briefs, may be filed not later than five days after the date 
for filing case briefs.\14\ Interested parties who submit case briefs 
or rebuttal briefs in this proceeding must submit: (1) a table of 
contents listing each issue; and (2) a table of authorities.\15\
---------------------------------------------------------------------------

    \12\ See 19 CFR 351.309(c)(1)(i); see also 19 CFR 351.303 (for 
general filing requirements).
    \13\ Case briefs and rebuttal briefs submitted in response to 
this preliminary LTFV determination should not include scope-related 
issues. See Preliminary Scope Decision Memorandum.
    \14\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Service Final Rule).
    \15\ See 19 351.309(c)(2) and (d)(2).
---------------------------------------------------------------------------

    As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this investigation, we instead request 
that interested parties provide at the beginning of their briefs a 
public, executive summary for each issue raised in their briefs.\16\ 
Further, we request that interested parties limit their executive 
summary of each issue to no more than 450 words, not including 
citations. We intend to use the executive summaries as the basis of the 
comment summaries included in the issues and decision memorandum that 
will accompany the final determination in this investigation. We 
request that interested parties include footnotes for relevant 
citations in the executive summary of each issue. Note that Commerce 
has amended certain of its requirements pertaining to the service of 
documents in 19 CFR 351.303(f).\17\
---------------------------------------------------------------------------

    \16\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \17\ See APO and Service Final Rule.
---------------------------------------------------------------------------

    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, 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 the date and time of the hearing two 
days before the scheduled date.

[[Page 324]]

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioners. Pursuant to 19 CFR 351.210(e)(2), Commerce requires 
that requests by exporters for postponement of a final determination be 
accompanied by a request for extension of provisional measures from a 
four-month period to a period not more than six months in duration.
    On November 21, 2023, the Coalition for Fair Trade in Shopping Bags 
(the petitioner) requested that Commerce postpone the final 
determination in the event of a negative preliminary determination.\18\ 
On December 20, 2023, Goldsun timely requested that Commerce postpone 
the final determination and that provisional measures be extended to a 
period not to exceed six months in the event of an affirmative 
preliminary determination.\19\ In accordance with section 735(a)(2)(A) 
of the Act and 19 CFR 351.210(b)(2)(ii), because: (1) the preliminary 
determination is affirmative; (2) the requesting exporter accounts for 
a significant proportion of exports of the subject merchandise; and (3) 
no compelling reasons for denial exist, Commerce is postponing the 
final determination and extending the provisional measures from a four-
month period to a period not greater than six months. Accordingly, 
Commerce will make its final determination no later than 135 days after 
the date of publication of this preliminary determination.
---------------------------------------------------------------------------

    \18\ See Petitioner's Letter, ``Petitioner's Request for 
Postponement of the Final Determinations,'' dated November 21, 2023.
    \19\ See Goldsun's Letter, ``Request to Extend Final 
Determination,'' dated December 20, 2023.
---------------------------------------------------------------------------

U.S. International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its preliminary 
determination of sales at LTFV. 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 the subject merchandise are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: December 27, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The products within the scope of this investigation are paper 
shopping bags with handles of any type, regardless of whether there 
is any printing, regardless of how the top edges are finished (e.g., 
folded, serrated, or otherwise finished), regardless of color, and 
regardless of whether the top edges contain adhesive or other 
material for sealing closed. Subject paper shopping bags have a 
width of at least 4.5 inches and depth of at least 2.5 inches.
    Paper shopping bags typically are made of kraft paper but can be 
made from any type of cellulose fiber, paperboard, or pressboard 
with a basis weight less than 300 grams per square meter (GSM).
    A non-exhaustive illustrative list of the types of handles on 
shopping bags covered by the scope include handles made from any 
materials such as twisted paper, flat paper, yarn, ribbon, rope, 
string, or plastic, as well as die-cut handles (whether the punchout 
is fully removed or partially attached as a flap).
    Excluded from the scope are:
     Paper sacks or bags that are of a \1/6\ or \1/7\ barrel 
size (i.e., 11.5-12.5 inches in width, 6.5-7.5 inches in depth, and 
13.5-17.5 inches in height) with flat paper handles or die-cut 
handles;
     Paper sacks or bags with die-cut handles, a grams per 
square meter paper weight of less than 86 GSM, and a height of less 
than 11.5 inches; and
     Paper sacks or bags (i) with non-paper handles made 
wholly of woven ribbon or other similar woven fabric \20\ and (ii) 
that are finished with folded tops or for which tied knots or t-bar 
aglets (made of wood, metal, or plastic) are used to secure the 
handles to the bags.
---------------------------------------------------------------------------

    \20\ Paper sacks or bags with handles made of braided or twisted 
materials, such as rope or cord, do not qualify for this exclusion.
---------------------------------------------------------------------------

    The above-referenced dimensions are provided for paper bags in 
the opened position. The height of the bag is the distance from the 
bottom fold edge to the top edge (i.e., excluding the height of 
handles that extend above the top edge). The depth of the bag is the 
distance from the front of the bag edge to the back of the bag edge 
(typically measured at the bottom of the bag). The width of the bag 
is measured from the left to the right edges of the front and back 
panels (upon which the handles typically are located).
    This merchandise is currently classifiable under Harmonized 
Tariff Schedule of the United States (HTSUS) subheadings 
4819.30.0040 and 4819.40.0040. The HTSUS subheadings are provided 
for convenience and customs purposes only; the written description 
of the scope is dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Discussion of the Methodology
V. Preliminary Affirmative Determination of Critical Circumstances
VI. Currency Conversion
VII. Recommendation

[FR Doc. 2023-28945 Filed 1-2-24; 8:45 am]
BILLING CODE 3510-DS-P