[Federal Register Volume 89, Number 152 (Wednesday, August 7, 2024)]
[Notices]
[Pages 64411-64412]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-17418]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-552-833]


Raw Honey From the Socialist Republic of Vietnam: Final Results 
of Antidumping Duty Changed Circumstances Review

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

SUMMARY: The U.S. Department of Commerce (Commerce) finds the Socialist 
Republic of Vietnam (Vietnam) remains a non-market economy (NME) 
country for purposes of U.S. antidumping duty (AD) law due to the 
sustained and pervasive government influence over its country's 
economic activities.

DATES: Applicable August 7, 2024.

FOR FURTHER INFORMATION CONTACT: Chien-Min Yang, Office of Policy, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-5484.

SUPPLEMENTARY INFORMATION:

Background

    Commerce determined that Vietnam was an NME country under the U.S. 
AD law in 2002. Since then, Commerce has consistently treated Vietnam 
as an NME in all AD investigations and administrative reviews involving 
imported products from Vietnam.
    On September 8, 2023, the Government of Vietnam (GOVN) submitted a 
letter to Commerce requesting a review of Vietnam's status as an NME 
country within the context of a changed circumstances review (CCR) of 
the AD order on raw honey from Vietnam.\1\ In response, Commerce 
initiated a NME CCR and published the initiation in the Federal 
Register on October 30, 2023.\2\ This review examines whether Vietnam 
remains an NME country for purposes of the AD law, in accordance with 
sections 751(b) and 771(18)(C)(ii) of the Tariff Act of 1930, as 
amended (the Act).
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    \1\ See GOVN's Letter, ``Request for the U.S. Commerce to 
Initiate a Changed Circumstances Review,'' dated September 8, 2023.
    \2\ See Raw Honey from the Socialist Republic of Vietnam: 
Initiation of Antidumping Duty Changed Circumstances Review, 88 FR 
74152 (October 30, 2023).
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    To ensure full public and interested party participation in this 
inquiry, Commerce invited public comment on Vietnam's economic status 
as an NME country. All comments and rebuttal comments were received by 
December 21, 2023, and February 1, 2024, respectively. Invitations for 
comments, along with the comments and rebuttal comments themselves, 
have remained accessible using the Federal eRulemaking portal at 
https://www.regulations.gov under Docket Number ITA-2023-0010.
    On March 8, 2024, Commerce received new factual information from 
several domestic industries claiming that the GOVN submitted false 
statements and omitted material facts regarding Vietnam's alleged 
reforms in the context of the ongoing review of Vietnam's status as an 
NME country.\3\ Given that Commerce has the inherent authority to 
protect the integrity of its proceedings, it accepted the alleged 
information as part of the administrative record and allowed all other 
interested parties as well as the public to comment on these 
allegations until April 5, 2024.\4\
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    \3\ See Domestic Interested Parties' Letter, ``Raw Honey from 
the Socialist Republic of Vietnam- Comments on the Government of 
Vietnam's False Statements and Material Omissions,'' dated March 8, 
2024. The domestic interested parties are: Catfish Farmers of 
America and individual U.S. catfish processors America's Catch, 
Inc., Alabama Catfish, LLC d/b/a Harvest Select Catfish, Inc., 
Consolidated Catfish Companies, LLC d/b/a Country Select Catfish, 
Delta Pride Catfish, Inc., Guidry's Catfish, Inc., Heartland Catfish 
Company, Magnolia Processing, Inc. d/b/a Pride of the Pond, and 
Simmons Farm raised Catfish, Inc.
    \4\ See Memorandum, ``Changed Circumstances Review of the 
Socialist Republic of Vietnam's Status as a Non-market Economy 
Country: Extension of Time to File Rebuttal Comments,'' dated March 
29, 2024.
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    On May 8, 2024, Commerce also held a public hearing regarding the 
CCR of Vietnam's status as an NME country.\5\ This hearing allowed the 
interested parties and the general public who participated in the 
proceeding to express their views.
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    \5\ See Hearing Transcript, ``Public Hearing,'' dated May 8, 
2024.
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Analysis of Comments Received

    Commerce's analysis of the issues raised by parties to this CCR 
regarding Vietnam's status as a non-market economy country is included 
in the NME Analysis Memorandum.\6\ The NME Analysis Memorandum is a 
public document 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 NME Analysis 
Memorandum can be accessed directly

[[Page 64412]]

at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \6\ See Memorandum, ``Review of Vietnam's Status as a Non-market 
Economy Country,'' dated concurrently with this notice (NME Analysis 
Memorandum).
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Final Results of Changed Circumstances Review

    This CCR was conducted pursuant to section 771(18)(A) of the Act, 
which defines the term ``non-market economy country'' as a foreign 
country determined by Commerce not to ``operate on market principles of 
cost or pricing structures, so that sales of merchandise in such 
country do not reflect the fair value of the merchandise.'' Section 
771(18)(B) of the Act lists six factors Commerce must consider in any 
inquiry made under section 771(18)(A) of the Act, and under section 
771(18)(C)(i) of the Act, a country's NME status remains in effect 
until revoked.
    Section 771(18)(B) of the Act requires that Commerce take into 
account: (1) the extent to which the currency of the foreign country is 
convertible into the currency of other countries; (2) the extent to 
which wage rates in the foreign country are determined by foreign 
bargaining between labor and management; (3) the extent to which joint 
ventures or other investments by firms of other foreign countries are 
permitted in the foreign country; (4) the extent of government 
ownership or control of the means of production; (5) the extent of 
government control over the allocation of resources and over the price 
and output decisions of enterprises; and (6) such other factors as the 
administering authority (i.e., Commerce) considers appropriate.
    Since Commerce's Vietnam NME Determination (2002),\7\ the GOVN has 
undertaken notable market-oriented reforms to promote the development 
of a more market-based economic system. These reforms have helped make 
its national currency, the dong, more readily convertible, increased 
Vietnam's openness to foreign investment, and gradually reduced 
government ownership over the means of production within the economy.
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    \7\ See Memorandum, ``Antidumping Duty Investigation of Certain 
Frozen Fish Fillets from the Socialist Republic of Vietnam--
Determination of Market Economy Status,'' dated November 8, 2002 
(Commerce Vietnam NME Determination (2002)).
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    Despite these market-oriented reforms, the GOVN remains entrenched 
in many aspects of the Vietnamese economy. The State Bank of Vietnam is 
still not independent and continues to intervene in the foreign 
exchange market to influence the value of the dong. Labor unions remain 
dominated by the state-controlled Vietnam General Confederation of 
Labor, hindering genuine collective bargaining and ultimately creating 
conditions for suppressed wages and labor costs. Although Vietnam has 
taken steps to make its overall foreign direct investment environment 
more attractive, market access barriers, regulatory transparency, and 
restrictions on corporate control and foreign ownership persist.
    In addition to the above referenced points, Vietnam's economy is 
still characterized by significant state ownership and control over the 
means of production, most notably over companies and land. The GOVN 
continues to play a significant role over the pricing and allocation of 
credit in Vietnam. State-owned enterprises (SOE) command a 
disproportionate amount of lending credit, among other structural 
advantages, despite the SOE's relatively low efficiency levels compared 
to their private-sector counterparts. The GOVN also uses state-directed 
planning to communicate its objectives for the economy in terms of 
business outcomes and resource allocations, and pervasive government 
price controls continue to influence final prices of goods in Vietnam. 
Finally, the Communist Party of Vietnam's influence over the judicial 
system and persistent challenges with corruption continue to undermine 
some of Vietnam's reform initiatives.
    In sum, while Vietnam has implemented notable market-oriented 
reforms, the extent of government involvement in the economy continues 
to distort market conditions, rendering Vietnamese prices and costs 
unusable for U.S. antidumping duty calculations. Therefore, based on 
the totality of the six factors analyzed, Commerce determines that 
Vietnam remains a non-market economy for purposes of U.S. AD law.

Notification to Interested Parties

    This notice is issued and published in accordance with sections 
751(b) and 771(18)(C)(ii) of the Act.

    Dated: August 1, 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.
[FR Doc. 2024-17418 Filed 8-6-24; 8:45 am]
BILLING CODE 3510-DS-P