[Federal Register Volume 89, Number 120 (Friday, June 21, 2024)]
[Notices]
[Pages 52024-52026]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-13594]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-123]


Certain Corrosion Inhibitors From the People's Republic of China: 
Final Results of Countervailing Duty Administrative Review; 2022

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
certain producers and exporters of certain corrosion inhibitors from 
the People's Republic of China (China) received countervailable 
subsidies during the period of review (POR) January 1, 2022, through 
December 31, 2022.

DATES: Applicable June 21, 2024.

FOR FURTHER INFORMATION CONTACT: Ted Pearson, AD/CVD Operations, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202)-482-2631.

Background

    On April 3, 2024, Commerce published in the Federal Register the 
preliminary results of the 2022 administrative review of the 
countervailing duty order on corrosion inhibitors from China and 
invited comments from interested parties.\1\ For

[[Page 52025]]

a complete description of the events that occurred since the 
Preliminary Results, see the Issues and Decision Memorandum.\2\ 
Commerce conducted this review in accordance with section 751(a)(1)(A) 
of the Tariff Act of 1930, as amended (the Act).
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    \1\ See Certain Corrosion Inhibitors from the People's Republic 
of China: Preliminary Results of Countervailing Duty Administrative 
Review and Rescission of Review, in Part, 2022, 89 FR 23001 (April 
3, 2024) (Preliminary Results), and accompanying Preliminary 
Decision Memorandum (PDM).
    \2\ See Memorandum, ``Decision Memorandum for the Final Results 
of the Administrative Review of the Countervailing Duty Order on 
Certain Corrosion Inhibitors from the People's Republic of China; 
2022,'' dated concurrently with, and hereby adopted by, this notice 
(Issues and Decision Memorandum).
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Scope of the Order

    The products covered by the order are corrosion inhibitors from 
China. For a full description of the scope of the order, see the Issues 
and Decision Memorandum.

Analysis of Comments Received

    All issues raised by the interested parties in their case and 
rebuttal briefs are addressed in the Issues and Decision Memorandum. 
The topics discussed and the issues raised by parties to which we 
responded in the Issues and Decision Memorandum are listed in the 
appendix to this notice. The Issues and Decision Memorandum is a public 
document and is on file electronically via Enforcement and Compliance's 
Antidumping and Countervailing Duties 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.

Changes Since the Preliminary Results

    Based on comments received from interested parties, we made certain 
changes to the calculations for Anhui Trust Chem Co., Ltd. (ATC) and 
Nantong Botao Chemical Co., Ltd. (Botao) for the benchmark for ocean 
freight. For a discussion of these changes, see the Issues and Decision 
Memorandum.

Methodology

    Commerce conducted this administrative review in accordance with 
section 751(a)(1)(A) of the Act. For each of the subsidy programs found 
to be countervailable, we determine that there is a subsidy, i.e., a 
government-provided financial contribution that gives rise to a benefit 
to the recipient, and that the subsidy is specific.\3\ For a full 
description of the methodology underlying Commerce's conclusions, 
including any determination that relied upon the use of adverse facts 
available pursuant to sections 776(a) and (b) of the Act, see the 
Issues and Decision Memorandum.
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    \3\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Companies Not Selected for Individual Review

    The statute and Commerce's regulations do not address the 
establishment of a rate to be applied to companies not selected for 
individual examination when Commerce limits its examination in an 
administrative review pursuant to section 777A(e)(2) of the Act. 
However, Commerce normally determines the rates for non-selected 
companies in reviews in a manner that is consistent with section 
705(c)(5) of the Act, which provides the basis for calculating the all-
others rate in an investigation. Section 705(c)(5)(A)(i) of the Act 
instructs Commerce, as a general rule, to calculate the all-others rate 
equal to the weighted average of the countervailable subsidy rates 
established for exporters and producers individually investigated, 
excluding any zero or de minimis countervailable subsidy rates, and any 
rates determined entirely on the basis of facts available.
    There are three companies for which a review was requested and not 
rescinded, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent. In this review, 
the rates for ATC and Botao were above de minimis and not based 
entirely on facts available. Therefore, we are applying to the non-
selected companies the average of the net subsidy rates calculated for 
ATC and Botao, which we calculated using the publicly-ranged sales data 
submitted by ATC and Botao.\4\
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    \4\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly-ranged U.S. 
sale quantities for the merchandise under consideration. Commerce 
then compares (B) and (C) to (A) and selects the rate closest to (A) 
as the most appropriate rate for all other producers and exporters. 
See, e.g., Ball Bearings and Parts Thereof from France, Germany, 
Italy, Japan, and the United Kingdom: Final Results of Antidumping 
Duty Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010).
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Final Results of Review

    We find the following net countervailable subsidy rates exist for 
the period January 1, 2022, through December 31, 2022:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Anhui Trust Chem Co., Ltd.\5\...........................           19.09
Nantong Botao Chemical Co., Ltd.\6\.....................           16.63
Gold Chemical Limited...................................           18.40
Jiangyin Delian Chemical Co., Ltd.......................           18.40
Kanghua Chemical Co., Ltd.\7\...........................           18.40
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Disclosure
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    \5\ As discussed in the Preliminary Results PDM, Commerce finds 
the following companies to be cross-owned with ATC: Nanjing Trust 
Chem Co., Ltd.; and Jiangsu Trust Chem Co., Ltd.
    \6\ As discussed in the Preliminary Results PDM, Commerce finds 
the following companies to be cross-owned with Botao: Rugao Connect 
Chemical Co., Ltd.; Rugao Jinling Chemical Co., Ltd.; and Nantong 
Yutu Group Co., Ltd.
    \7\ Formerly known as Nantong Kanghua Chemical Co., Ltd. See 
Certain Corrosion Inhibitors from the People's Republic of China: 
Notice of Final Results of Antidumping Duty Changed Circumstances 
Review, 88 FR 1357 (January 10, 2023).
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    We intend to disclose the calculations and analysis performed for 
these final results of review within five days of any public 
announcement or, if there is no public announcement, within five days 
after the date of publication of this notice in the Federal Register in 
accordance with 19 CFR 351.224(b).

Assessment

    In accordance with section 751(a)(2)(C) of the Act and 19 CFR 
351.212(b)(2), Commerce shall determine, and U.S. Customs and Border 
Protection (CBP) shall assess, countervailing duties on all appropriate 
entries covered by this review. Commerce intends to issue assessment 
instructions to CBP no earlier than 35 days after 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

    In accordance with section 751(a)(1) of the Act, Commerce also 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amounts shown for the companies listed 
above for shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
final results of this administrative review. For all non-reviewed 
firms, we will instruct CBP to continue to collect cash deposits of 
estimated countervailing duties at the all-others rate or the most 
recent

[[Page 52026]]

company-specific rate applicable to the company, as appropriate. These 
cash deposit requirements, when imposed, shall remain in effect until 
further notice.

Administrative Protective Order

    This notice also serves as a final 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 hereby requested. Failure 
to comply with the regulations and terms of an APO is a violation 
subject to sanction.

Notification to Interested Parties

    The final results are issued and published in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(5).

    Dated: June 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

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Non-Selected Companies Under Review
V. Subsidies Valuation
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Analysis of Programs
VIII. Discussion of the Issue
    Comment: Whether Commerce Should Modify the Benchmark for Ocean 
Freight
IX. Recommendation

[FR Doc. 2024-13594 Filed 6-20-24; 8:45 am]
BILLING CODE 3510-DS-P