[Federal Register Volume 89, Number 77 (Friday, April 19, 2024)]
[Notices]
[Pages 28736-28738]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-08374]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-557-824]


Boltless Steel Shelving Units Prepackaged for Sale From Malaysia: 
Final Affirmative Determination of Sales at Less-Than-Fair Value

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
imports of boltless steel shelving units prepackaged for sale (boltless 
steel shelving) from Malaysia are being, or are likely to be, sold in 
the United States at less-than-fair value (LTFV). The period of 
investigation is April 1, 2022, through March 31, 2023.

DATES: Applicable April 19, 2024.

FOR FURTHER INFORMATION CONTACT: Samuel Frost, AD/CVD Operations, 
Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-8180.

SUPPLEMENTARY INFORMATION:

Background

    On November 29, 2023, Commerce published in the Federal Register 
its preliminary affirmative determination in this investigation, in 
which we also postponed the final determination until April 12, 
2024.\1\ We invited parties to comment on the Preliminary 
Determination.
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    \1\ See Boltless Steel Shelving Units Prepackaged for Sale from 
Malaysia: Preliminary Affirmative Determination of Sales at Less 
Than Fair Value, Postponement of Final Determination, and Extension 
of Provisional Measures, 88 FR 83386 (November 29, 2023) 
(Preliminary Determination), and accompanying Preliminary Decision 
Memorandum.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination, may be found in the 
Issues and Decision Memorandum.\2\ 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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    \2\ See Memorandum, ``Decision Memorandum for the Final 
Affirmative Determination of Sales at Less-Than-Fair-Value Boltless 
Steel Shelving Units Prepackaged for Sale from Malaysia,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is boltless steel 
shelving from Malaysia. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    During the course of this investigation, Commerce received scope 
comments from interested parties. Commerce issued a Preliminary Scope 
Decision Memorandum to address these comments and set aside a period of 
time for parties to address scope issues in scope-specific case and 
rebuttal briefs.\3\ We received comments from interested parties on the 
Preliminary Scope Decision Memorandum, which we addressed in the Final 
Scope Decision Memorandum.\4\ We did not make any changes to the scope 
of the investigation from the scope published in the Preliminary 
Determination.
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    \3\ See Memorandum, ``Antidumping Duty Investigations of 
Boltless Steel Shelving Units Prepackaged for Sale from India, 
Malaysia, Taiwan, Thailand, and the Socialist Republic of Vietnam: 
Preliminary Scope Decision Memorandum,'' dated November 13, 2023 
(Preliminary Scope Decision Memorandum).
    \4\ See Memorandum, ``Antidumping Duty Investigation of Boltless 
Steel Shelving Units Prepackaged for Sale from Malaysia, Taiwan, 
Thailand, and the Socialist Republic of Vietnam: Final Scope 
Decision Memorandum,'' dated April 12, 2024 (Final Scope Decision 
Memorandum).
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Verification

    In the Preliminary Determination, Commerce stated that it intended 
to verify the information relied upon in making its final 
determination.\5\ However, due to circumstances discussed in the Issues 
and Decision Memorandum, Commerce declined to conduct any verifications 
in this investigation.\6\
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    \5\ See Preliminary Determination, 88 FR at 83388.
    \6\ See Issues and Decision Memorandum at Comment 1.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by interested 
parties in this investigation are addressed in the Issues and Decision 
Memorandum. A list of the issues raised is attached to this notice as 
Appendix II.

Changes Since the Preliminary Determination

    We have made certain changes since the Preliminary Determination. 
For a discussion of these changes, see the Issues and Decision 
Memorandum.

Use of Adverse Facts Available

    As discussed in the Preliminary Determination, Commerce assigned to 
certain mandatory respondents in this investigation, Nanjing Chervon 
Industry Co., Ltd. (Nanjing Chervon) and Wuxi Bote Electrical Apparatus 
Co., Ltd. (Wuxi Bote), estimated weighted-average dumping margins on 
the basis of adverse facts available (AFA), pursuant to sections 776(a) 
and (b) of the Tariff Act of 1930, as amended (the Act).\7\ There is no 
new information on the record that would cause us to revisit our 
decision in the Preliminary Determination. Accordingly, for this final 
determination, we continue to find that the application of AFA pursuant 
to sections 776(a) and (b) of the Act is warranted with respect to 
Nanjing Chervon and Wuxi Bote.
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    \7\ See Preliminary Determination, 88 FR at 83387.
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    Moreover, in the Preliminary Determination, Commerce calculated an 
estimated weighted-average dumping margin of zero for Eonmetall 
Industries Sdn. Bhd. (EMI).\8\ However, following the Preliminary 
Determination, we determined that information submitted by EMI in this 
investigation is unverifiable.\9\ Therefore, as explained in the Issues 
and Decision Memorandum, we find that EMI failed to provide verifiable 
information and did not cooperate to the best of its ability in this 
proceeding. As such, for this final determination, we determine it is 
also appropriate to apply a dumping margin based on AFA to EMI, in 
accordance with sections 776(a) and (b) of the Act. For further 
discussion, see the Issues and Decision Memorandum.
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    \8\ Id.
    \9\ See Memorandum, ``Verification Cancellation and 
Establishment of Briefing Schedule,'' dated January 22, 2024.

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[[Page 28737]]

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters and producers individually investigated excluding rates that 
are zero, de minimis, or determined entirely under section 776 of the 
Act.
    Pursuant to section 735(c)(5)(B) of the Act, if the estimated 
weighted-average dumping margins established for all exporters and 
producers individually examined are zero, de minimis or determined 
based entirely on facts otherwise available, Commerce may use any 
reasonable method to establish the estimated weighted-average dumping 
margin for all other producers or exporters. Consequently, pursuant to 
section 735(c)(5)(B) of the Act, Commerce's normal practice under these 
circumstances has been to calculate the all-others rate as a simple 
average of the alleged dumping margins(s) from the petition.\10\ In the 
Petition, the petitioner provided two dumping margins, 35.45 percent 
and 81.12 percent.\11\ Therefore, in the absence of any estimated 
weighted-average dumping margin on the record of this investigation 
that is not zero, de minimis, or determined entirely under section 776 
of the Act, we are assigning the simple average of the two dumping 
margins in the Initiation Checklist, i.e., 58.29 percent, as the all-
others rate.\12\
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    \10\ See, e.g., Notice of Preliminary Determination of Sales at 
Less Than Fair Value: Sodium Nitrite from the Federal Republic of 
Germany, 73 FR 21909, 21912 (April 23, 2008), unchanged in Notice of 
Final Determination of Sales at Less Than Fair Value: Sodium Nitrite 
from the Federal Republic of Germany, 73 FR 38986, 38987 (July 8, 
2008), and accompanying Issues and Decision Memorandum at Comment 2; 
see also Notice of Final Determination of Sales at Less Than Fair 
Value: Raw Flexible Magnets from Taiwan, 73 FR 39673, 39674 (July 
10, 2008); and Steel Threaded Rod from Thailand: Preliminary 
Determination of Sales at Less Than Fair Value and Affirmative 
Preliminary Determination of Critical Circumstances, 78 FR 79670, 
79671 (December 31, 2013), unchanged in Steel Threaded Rod from 
Thailand: Final Determination of Sales at Less Than Fair Value and 
Affirmative Final Determination of Critical Circumstances, 79 FR 
14476, 14477 (March 14, 2014).
    \11\ See Edsal Manufacturing Co., Inc. (Petitioner)'s Letter, 
``Boltless Steel Shelving Units Prepackaged for Sale from India, 
Malaysia, Taiwan, Thailand, and Vietnam--Petition for the Imposition 
of Antidumping Duties'' dated April 25, 2023 (Petition) at Volume 
III; see also Petitioner's Letter, ``Boltless Steel Shelving Units 
Prepackaged for Sale from Malaysia--Petitioner's Response to the 
Department's Second Supplemental Questionnaire Regarding Volume III 
of the Petition for the Imposition of Antidumping Duties on Imports 
from Malaysia,'' dated May 8, 2023.
    \12\ See Checklist, ``Antidumping Duty Investigation Initiation 
Checklist: Boltless Steel Shelving Units Prepackaged for Sale from 
Malaysia,'' dated May 15, 2023 (Initiation Checklist), at 7.
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Final Determination

    The final estimated dumping margins are as follows:

------------------------------------------------------------------------
                                                             Estimated
                                                              dumping
                    Producer/exporter                         margins
                                                             (percent)
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Eonmetall Industries Sdn. Bhd...........................         * 81.12
Nanjing Chervon Industry Co., Ltd.......................         * 81.12
Wuxi Bote Electrical Apparatus Co., Ltd.................         * 81.12
All Others..............................................           58.29
------------------------------------------------------------------------
* Rate based on facts available with adverse inferences.

Disclosure

    Normally, Commerce will disclose to the parties in a proceeding the 
calculations performed in connection with a final determination within 
five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of the notice 
of final determination in the Federal Register, in accordance with 19 
CFR 351.224(b). However, because Commerce relied solely on the 
application of AFA for the mandatory respondents in this investigation, 
there are no calculations to disclose for this final determination.

Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of subject merchandise as described in Appendix I 
of this notice, which were entered, or withdrawn from warehouse, for 
consumption, on or after November 29, 2023, the date of publication of 
the Preliminary Determination in the Federal Register, except for those 
entries of subject merchandise produced and exported by EMI.
    In accordance with section 735(c)(1)(B) of the Act, for EMI, 
Commerce will direct CBP to suspend liquidation of all subject 
merchandise as described in Appendix I of this notice, which were 
entered, or withdrawn from warehouse, for consumption, on or after the 
date of publication of this notice in the Federal Register.\13\
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    \13\ For additional discussion of this issue, see the Issues and 
Decision Memorandum at Comment 2.
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    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), Commerce will instruct CBP to require a cash deposit equal 
to the estimated weighted-average dumping margin or the estimated all-
others rate, as follows: (1) the cash deposit rate for the respondents 
listed above will be equal to the company-specific estimated dumping 
margins determined in this final determination; (2) if the exporter is 
not a respondent identified above but the producer is, then the cash 
deposit rate will be equal to the company-specific estimated dumping 
margin established for that producer of the subject merchandise; and 
(3) the cash deposit rate for all other producers and exporters will be 
equal to the all-others estimated dumping margin.
    These suspension of liquidation instructions will remain in effect 
until further notice.

U.S. International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of our final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of boltless steel 
shelving from Malaysia no later than 45 days after this final 
determination. If the ITC determines that material injury or threat of 
material injury does not exist, the proceeding will be terminated and 
all cash deposits will be refunded or canceled, and suspension of 
liquidation will be lifted. If the ITC determines that such injury does 
exist, Commerce will issue an antidumping duty order directing CBP to 
assess, upon further instruction by Commerce, antidumping duties on all 
imports of the subject merchandise that are entered, or withdrawn from 
warehouse, for consumption on or after the effective date of the 
suspension of liquidation, as discussed above in the ``Suspension of 
Liquidation'' section.

Administrative Protective Order

    This notice serves as the only reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return or destruction of APO materials or 
conversion to judicial protective order is

[[Page 28738]]

hereby requested. Failure to comply with the regulations and terms of 
an APO is a sanctionable violation.

Notification to Interested Parties

    This final determination and notice are issued and published in 
accordance with sections 735(d) and 777(i) of the Act, and 19 CFR 
351.210(c).

    Dated: April 12, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The scope of this investigation covers boltless steel shelving 
units prepackaged for sale, with or without decks (boltless steel 
shelving). The term ``prepackaged for sale'' means that, at a 
minimum, the steel vertical supports (i.e., uprights and posts) and 
steel horizontal supports (i.e., beams, braces) necessary to 
assemble a completed shelving unit (with or without decks) are 
packaged together for ultimate purchase by the end-user. The scope 
also includes add-on kits. Add-on kits include, but are not limited 
to, kits that allow the end-user to add an extension shelving unit 
onto an existing boltless steel shelving unit such that the 
extension and the original unit will share common frame elements 
(e.g., two posts). The term ``boltless'' refers to steel shelving in 
which the vertical and horizontal supports forming the frame are 
assembled primarily without the use of nuts and bolts, or screws. 
The vertical and horizontal support members for boltless steel 
shelving are assembled by methods such as, but not limited to, 
fitting a rivet, punched or cut tab, or other similar connector on 
one support into a hole, slot or similar receptacle on another 
support. The supports lock together to form the frame for the 
shelving unit, and provide the structural integrity of the shelving 
unit separate from the inclusion of any decking. The incidental use 
of nuts and bolts, or screws to add accessories, wall anchors, tie-
bars or shelf supports does not remove the product from scope. 
Boltless steel shelving units may also come packaged as partially 
assembled, such as when two upright supports are welded together 
with front-to-back supports, or are otherwise connected, to form an 
end unit for the frame. The boltless steel shelving covered by this 
investigation may be commonly described as rivet shelving, welded 
frame shelving, slot and tab shelving, and punched rivet (quasi-
rivet) shelving as well as by other trade names. The term ``deck'' 
refers to the shelf that sits on or fits into the horizontal 
supports (beams or braces) to provide the horizontal storage surface 
of the shelving unit.
    The scope includes all boltless steel shelving meeting the 
description above, regardless of: (1) vertical support or post type 
(including but not limited to open post, closed post and tubing); 
(2) horizontal support or beam/brace profile (including but not 
limited to Z-beam, C-beam, L-beam, step beam and cargo rack); (3) 
number of supports; (4) surface coating (including but not limited 
to paint, epoxy, powder coating, zinc and other metallic coating); 
(5) number of levels; (6) weight capacity; (7) shape (including but 
not limited to rectangular, square, and corner units); (8) decking 
material (including but not limited to wire decking, particle board, 
laminated board or no deck at all); or (9) the boltless method by 
which vertical and horizontal supports connect (including but not 
limited to keyhole and rivet, slot and tab, welded frame, punched 
rivet and clip).
    Specifically excluded from the scope are:
     wall-mounted shelving, defined as shelving that is hung 
on the wall and does not stand on, or transfer load to, the floor. 
The addition of a wall bracket or other device to attach otherwise 
freestanding subject merchandise to a wall does not meet the terms 
of this exclusion;
     wire shelving units, which consist of shelves made from 
wire that incorporates both a wire deck and wire horizontal supports 
(taking the place of the horizontal beams and braces) into a single 
piece with tubular collars that slide over the posts and onto 
plastic sleeves snapped on the posts to create the finished shelving 
unit;
     bulk-packed parts or components of boltless steel 
shelving units; and
     made-to-order shelving systems.
    Subject boltless steel shelving enters the United States through 
Harmonized Tariff Schedule of the United States (HTSUS) statistical 
subheading 9403.20.0075. While the HTSUS subheading is provided for 
convenience and customs purposes, the written description of the 
scope of this investigation is dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Changes From the Preliminary Determination
IV. Use of Facts Otherwise Available and Adverse Inference
V. Discussion of the Issues
    Comment 1: Whether Commerce's Post-Preliminary Decision to 
Cancel Verification and Apply Adverse Facts Available (AFA) to EMI 
was Appropriate
    Comment 2: Whether Commerce Should Order Suspension of 
Liquidation of EMI's Entries Dating Back to the Preliminary 
Determination
VI. Recommendation

[FR Doc. 2024-08374 Filed 4-18-24; 8:45 am]
BILLING CODE 3510-DS-P