Certain Softwood Lumber Products From Canada: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 19657-19659 [2017-08673]
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Federal Register / Vol. 82, No. 81 / Friday, April 28, 2017 / Notices
or other reasonable accommodation for
access to the facility or proceedings by
contacting the person listed in the
section titled FOR FURTHER INFORMATION
CONTACT. All reasonable
accommodation requests are managed
on a case by case basis.
Dated: April 13, 2017.
Glenn Casamassa,
Associate Deputy Chief, National Forest
System.
[FR Doc. 2017–08556 Filed 4–27–17; 8:45 am]
BILLING CODE 3411–15–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–122–858]
Certain Softwood Lumber Products
From Canada: Preliminary Affirmative
Countervailing Duty Determination,
and Alignment of Final Determination
With Final Antidumping Duty
Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) preliminarily
determines that countervailable
subsidies are being provided to
producers and exporters of certain
softwood lumber products (softwood
lumber) from Canada. The period of
investigation is January 1, 2015, through
December 31, 2015.
DATES: Effective April 28, 2017.
FOR FURTHER INFORMATION CONTACT:
Lana Nigro (Tolko), Toby Vandall
(Canfor), Justin Neuman (JDIL), Patricia
Tran (West Fraser), and Kristen Johnson
(Resolute), AD/CVD Operations, Offices
I and III, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230; telephone: (202) 482–1779,
(202) 482–1664, (202) 482–0486, (202)
482–1503, and (202) 482–4793,
respectively.
AGENCY:
SUPPLEMENTARY INFORMATION:
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Background
This preliminary determination is
made in accordance with section 703(b)
of the Tariff Act of 1930, as amended
(the Act). The Department published the
notice of initiation of this investigation
on December 22, 2017.1 On February 2,
2017, the Department postponed the
1 See Certain Softwood Lumber Products from
Canada: Initiation of Countervailing Duty
Investigation, 81 FR 93897 (December 22, 2016)
(Initiation Notice).
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Jkt 241001
preliminary determination of this
investigation and the revised deadline is
now April 24, 2017.2
On April 13, 2017, the Department
preliminarily determined that critical
circumstances exist with respect to
certain companies.3 For a complete
description of the events that followed
the initiation of this investigation, see
the Preliminary Decision
Memorandum.4 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, and is available to all
parties in the Central Records Unit,
room B8024 of the main Department of
Commerce building. In addition, a
complete version of the Preliminary
Decision Memorandum can be accessed
directly at https://enforcement.trade.gov/
frn/. The signed and electronic versions
of the Preliminary Decision
Memorandum are identical in content.
Scope of the Investigation
The product covered by this
investigation is softwood lumber from
Canada. For a complete description of
the scope of this investigation, see
Appendix I.
Scope Comments
In accordance with the preamble to
the Department’s regulations,5 the
Initiation Notice set aside a period of
time for parties to raise issues regarding
product coverage, (i.e., scope).6 Certain
interested parties commented on the
scope of the investigation as it appeared
in the Initiation Notice as well as on
additional language proposed by the
Department. On March 29, 2017, a letter
presenting a proposal for company
exclusions was filed on behalf of the
Government of Canada (GOC), Canadian
2 See Certain Softwood Lumber Products from
Canada: Postponement of Preliminary
Determination in the Countervailing Duty
Investigation, 82 FR 9055 (February 2, 2017).
3 See Antidumping and Countervailing Duty
Investigations of Certain Softwood Lumber Products
from Canada: Preliminary Determinations of
Critical Circumstances, signed April 13, 2017
(Preliminary CC Determination).
4 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Determination in the
Countervailing Duty Investigation of Certain
Softwood Lumber Products from Canada,’’ dated
concurrently with, and hereby adopted by, this
notice (Preliminary Decision Memorandum).
5 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997).
6 See Initiation Notice.
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Fmt 4703
Sfmt 4703
19657
provincial and territorial governments,
as well as the Canadian industry
associations.7 The Department finds that
it lacks the authority to conduct the
requested company exclusion process in
the context of this countervailing duty
investigation (CVD) on softwood lumber
from Canada.8
With respect to other proposed scope
exclusions, including the request to
exclude merchandise from certain
provinces, the Department is inviting
comments on those proposed exclusions
and will incorporate the decisions into
the final CVD and AD determinations
after considering any relevant comments
submitted in case and rebuttal briefs.
Comments on any proposed scope
exclusions are due no later than seven
days of publication of this notice in the
Federal Register. Please note that the
Department will not accept any new
factual information in these
submissions. The Department intends to
set the same deadline on the record of
the companion AD investigation. For
further information regarding proposed
scope excusions, see the Preliminary
Decision Memorandum accompanying
this notice.
Methodology
The Department is conducting this
investigation in accordance with section
701 of the Act. For each of the subsidy
programs found countervailable, the
Department preliminarily determines
that there is a subsidy, i.e., a financial
contribution by an ‘‘authority’’ that
gives rise to a benefit to the recipient,
and that the subsidy is specific.9
Alignment
As noted in the Preliminary Decision
Memorandum, in accordance with
section 705(a)(1) of the Act and 19 CFR
351.210(b)(4), the Department is
aligning the final CVD determination in
this investigation with the final
determination in the companion AD
7 See letter from the Government of Canada,
‘‘Proposal for Company Exclusions,’’ dated March
29, 2017; see also letter from the Government of
New Brunswick, ‘‘Softwood Lumber from Canada:
Proposals for Product- or Company-Based
Exclusions from the CVD Investigation,’’ dated
March 31, 2017; letter from Government of British
Columbia, ‘‘Certain Softwood Lumber Products
from Canada: Comments in Support of Clarifying
and Exclusionary Language Proposed by Canada
Regarding the Scope of these Investigations,’’ dated
April 3, 2017.
8 See Memorandum from Gary Taverman,
Associate Deputy Assistant Secretary for
Antidumping and Countervailing Duty Operations,
to Ronald K. Lorentzen, Acting Assistant Secretary
for Enforcement and Compliance, dated April 24,
2017.
9 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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Federal Register / Vol. 82, No. 81 / Friday, April 28, 2017 / Notices
investigation of softwood lumber from
Canada based on a request made by the
petitioner.10 Consequently, the final
CVD determination will be issued on
the same date as the final AD
determination, which is currently
scheduled to be issued no later than
September 6, 2017, unless postponed.
All-Others Rate
Sections 703(d) and 705(c)(5)(A) of
the Act provide that in the preliminary
determination, the Department shall
determine an estimated all-others rate
for companies not individually
examined. This rate shall be an amount
equal to the weighted average of the
estimated subsidy rates established for
those companies individually
examined, excluding any zero and de
minimis rates and any rates based
entirely under section 776 of the Act.
In this investigation, the Department
calculated individually estimated
countervailable subsidy rates for Canfor
Corporation (Canfor), J.D. Irving,
Limited (JDIL),11 Resolute FP Canada
Inc. (Resolute), Tolko Marketing and
Sales Ltd. (Tolko), and West Fraser
Timber Co. Ltd. (West Fraser), that are
not zero, de minimis, or based entirely
on facts otherwise available. The
Department calculated the all-others
rate using a weighted-average of the
individually estimated subsidy rates
calculated for the examined respondents
using each company’s business
proprietary data for the merchandise
under consideration.12
Preliminary Determination
The Department preliminarily
determines that the following estimated
countervailable subsidy rates exist:
Subsidy rate
(%)
Company
Canfor Corporation and its cross-owned affiliates 13 ..........................................................................................................................
J.D. Irving, Limited and its cross-owned affiliates 14 ...........................................................................................................................
Resolute FP Canada Inc. and its cross-owned affiliates 15 ................................................................................................................
Tolko Marketing and Sales Ltd. and its cross-owned affiliates 16 .......................................................................................................
West Fraser Mills Ltd. and its cross-owned affiliates 17 ......................................................................................................................
All-Others: ............................................................................................................................................................................................
20.26
3.02
12.82
19.50
24.12
19.88
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Suspension of Liquidation
In accordance with section
703(d)(1)(B) and (d)(2) of the Act, the
Department will direct U.S. Customs
and Border Protection (CBP) to suspend
liquidation of entries of subject
merchandise as described in the scope
of the investigation section entered, or
withdrawn from warehouse, for
consumption on or after the date of
publication of this notice in the Federal
Register. Further, pursuant to 19 CFR
351.205(d), the Department will instruct
CBP to require a cash deposit equal to
the rates indicated above.
Section 703(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. As
discussed in Preliminary CC
Determination, the Department
preliminarily found that critical
circumstances exist for imports of
subject merchandise produced and/or
exported by JDIL and the companies
subject to the All-Others rate.18
Accordingly, in accordance with section
703(e)(2)(A) of the Act, the suspension
of liquidation shall apply to
unliquidated entries of merchandise
from the exporters/producers identified
in this paragraph that were entered, or
withdrawn from warehouse, for
consumption on or after the date which
is 90 days before the publication of this
notice.
The Department intends to disclose
its calculations and analysis performed
to interested parties in this preliminary
determination within five days of its
public announcement or within five
days of the date of this notice in
accordance with 19 CFR 351.224(b).
Public Comment
Case briefs or other written comments
may be submitted to the Assistant
Secretary for Enforcement and
Compliance no later than seven days
after the date on which the last
verification report is issued in this
investigation. Rebuttal briefs, limited to
issues raised in case briefs, may be
submitted no later than five days after
the deadline date for case briefs.19
Pursuant to 19 CFR 351.309(c)(2) and
(d)(2), parties who submit case briefs or
rebuttal briefs in this investigation are
encouraged to submit with each
argument: (1) A statement of the issue;
(2) a brief summary of the argument;
and (3) a table of authorities.
Pursuant to 19 CFR 351.310(c),
interested parties who wish to request a
hearing, limited to issues raised in the
10 See Letter from the petitioner, ‘‘Certain
Softwood Lumber Products from Canada: Request
for Alignment of the Countervailing Duty Final
Determination with the Companion Antidumping
Duty Final Determination’’ dated April 13, 2017.
11 See MacLean-Fogg Co. v. United States, 753
F.3d 1237 (Fed. Cir. 2014) (holding that voluntary
respondents are considered ‘‘individually
investigated’’ for purposes of calculating the allothers rate). The Department accepted JDIL as a
voluntary respondent in this investigation.
12 See Memorandum to the File, ‘‘Calculation of
the ‘‘All-Others’’ Rate in the Preliminary
Determination of the Countervailing Duty
Investigation of Softwood Lumber Products from
Canada’’ (April 24, 2017).
13 The Department preliminarily has found the
following companies to be cross-owned with Canfor
Corporation: Canadian Forest Products, Ltd., and
Canfor Wood Products Marketing, Ltd.
14 The Department preliminarily has found the
following companies to be cross-owned with JDIL:
Miramichi Timber Holdings Limited, The New
Brunswick Railway Company, Rothesay Paper
Holdings Ltd., St. George Pulp & Paper Limited, and
Irving Paper Limted.
15 The Department preliminarily has found the
following companies to be cross-owned with
Resolute: Resolute Growth Canada Inc., Resolute
Sales Inc., Abitibi-Bowater Canada Inc., Bowater
Canadian Ltd., Resolute Forest Products Inc.,
Produits Forestiers Maurice S.E.C., and 9192–8515
Quebec Inc.
16 The Department preliminarily has found the
following companies to be cross-owned with Tolko:
Tolko Industries Ltd., and Meadow Lake OSB
Limited Partnership.
17 The Department preliminarily has found the
following companies to be cross-owned with West
Fraser: West Fraser Timber Co. Ltd., West Fraser
Alberta Holdings, Ltd., Blue Ridge Lumber Inc.,
Manning Forest Products, Ltd., Sunpine Inc., and
Sundre Forest Products Inc.
18 See Antidumping and Countervailing Duty
Investigations of Certain Softwood Lumber Products
from Canada: Preliminary Determinations of
Critical Circumstances, signed April 12, 2017
(Preliminary CC Determination).
19 See 19 CFR 351.309; see also 19 CFR 351.303
(for general filing requirements).
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Disclosure
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Verification
As provided in section 782(i)(1) of the
Act, the Department intends to verify
the information relied upon in making
its final determination.
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Federal Register / Vol. 82, No. 81 / Friday, April 28, 2017 / Notices
Dated: April 24, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
• Coniferous lumber stacked on edge and
fastened together with nails, whether or not
with plywood sheathing.
• Components or parts of semi-finished or
unassembled finished products made from
subject merchandise that would otherwise
meet the definition of the scope above.
Softwood lumber product imports are
generally entered under Chapter 44 of the
Harmonized Tariff Schedule of the United
States (‘‘HTSUS’’). This chapter of the
HTSUS covers ‘‘Wood and articles of wood.’’
Softwood lumber products that are subject to
this investigation are currently classifiable
under the following ten-digit HTSUS
subheadings in Chapter 44: 4407.10.01.01;
4407.10.01.02; 4407.10.01.15; 4407.10.01.16;
4407.10.01.17; 4407.10.01.18; 4407.10.01.19;
4407.10.01.20; 4407.10.01.42; 4407.10.01.43;
4407.10.01.44; 4407.10.01.45; 4407.10.01.46;
4407.10.01.47; 4407.10.01.48; 4407.10.01.49;
4407.10.01.52; 4407.10.01.53; 4407.10.01.54;
4407.10.01.55; 4407.10.01.56; 4407.10.01.57;
4407.10.01.58; 4407.10.01.59; 4407.10.01.64;
4407.10.01.65; 4407.10.01.66; 4407.10.01.67;
4407.10.01.68; 4407.10.01.69; 4407.10.01.74;
4407.10.01.75; 4407.10.01.76; 4407.10.01.77;
4407.10.01.82; 4407.10.01.83; 4407.10.01.92;
4407.10.01.93; 4409.10.05.00; 4409.10.10.20;
4409.10.10.40; 4409.10.10.60; 4409.10.10.80;
4409.10.20.00; 4409.10.90.20; 4409.10.90.40;
and 4418.90.25.00.
Subject merchandise as described above
may also be classified as stringers, square cut
box-spring-frame components, fence pickets,
truss components, pallet components,
flooring, and door and window frame parts
under the following ten-digit HTSUS
subheadings in Chapter 44: 4415.20.40.00;
4415.20.80.00; 4418.90.46.05; 4418.90.46.20;
4418.90.46.40; 4418.90.46.95; 4421.90.70.40;
4421.90.94.00; and 4421.90.97.80.
Although these HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
scope of the investigation is dispositive.
Appendix I
Appendix II
Scope of the Investigation
List of Topics Discussed in the Preliminary
Decision Memorandum
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, the
Department intends to hold the hearing
at the U.S. Department of Commerce,
1401 Constitution Avenue NW.,
Washington, DC 20230, at a time and
date to be determined and interested
parties will be notified by the
Department, via letter. Parties should
confirm by telephone the date, time, and
location of the hearing two days before
the scheduled date.
International Trade Commission
Notification
In accordance with section 703(f) of
the Act, the Department will notify the
International Trade Commission (ITC) of
its determination. 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.
Notification to Interested Parties
asabaliauskas on DSK3SPTVN1PROD with NOTICES
This determination is issued and
published pursuant to sections 703(f)
and 777(i) of the Act and 19 CFR
351.205(c).
The merchandise covered by this
investigation is softwood lumber, siding,
flooring and certain other coniferous wood
(‘‘softwood lumber products’’). The scope
includes:
• Coniferous wood, sawn, or chipped
lengthwise, sliced or peeled, whether or not
planed, whether or not sanded, or whether or
not finger-jointed, of an actual thickness
exceeding six millimeters.
• Coniferous wood siding, flooring, and
other coniferous wood (other than moldings
and dowel rods), including strips and friezes
for parquet flooring, that is continuously
shaped (including, but not limited to,
tongued, grooved, rebated, chamfered, Vjointed, beaded, molded, rounded) along any
of its edges, ends, or faces, whether or not
planed, whether or not sanded, or whether or
not end-jointed.
• Coniferous drilled and notched lumber
and angle cut lumber.
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17:38 Apr 27, 2017
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I. Summary
II. Background
III. Scope Comments and Requests for
Exclusion
IV. Scope of the Investigation
V. Subsidies Valuation
VI. Analysis of Programs
VII. Calculation of the All-Others Rate
VIII. ITC Notification
IX. Disclosure and Public Comment
X. Verification
XI. Conclusion
[FR Doc. 2017–08673 Filed 4–27–17; 8:45 am]
BILLING CODE 3510–DS–P
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19659
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
RIN 0648–XE201
Deepwater Horizon Oil Spill; Notice of
Intent To Conduct Strategic
Restoration Planning That Considers
Existing Projects for Barataria Bay,
Louisiana and To Initiate Restoration
Planning With Regard to the MidBarataria Sediment Diversion
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Notice of intent to prepare a
Strategic Restoration Plan for Barataria
Basin, Louisiana, and to initiate
restoration planning with regard to the
Mid-Barataria Sediment Diversion.
AGENCY:
NOAA, on behalf of the
Federal and state natural resource
trustees for the Louisiana Trustee
Implementation Group (Louisiana TIG
Trustees) for the Deepwater Horizon
(DWH) oil spill, is initiating two actions
with this notice.
First, the Louisiana TIG Trustees are
announcing their intent to prepare a
Strategic Restoration Plan for Barataria
Basin, Louisiana, pursuant to the
Deepwater Horizon Programmatic
Damage Assessment and Restoration
Plan and Programmatic Environmental
Impact Statement (PDARP/PEIS) (Feb
2016). This Barataria Basin Strategic
Restoration Plan, referred to herein as
the Phase I Plan, will consider
identifying habitat restoration
components of the Louisiana Draft 2017
Coastal Master Plan (draft 2017 CMP) to
serve as an Oil Pollution Act (OPA)
Strategic Restoration Plan for restoring
wetland, coastal, and nearshore habitat
in Barataria Basin, Louisiana, consistent
with OPA and with the Trustees’
PDARP/PEIS. The Louisiana TIG
Trustees will consider whether a
combination of Barataria Basin habitat
restoration projects in the draft 2017
CMP constitutes a preferred alternative,
among other feasible alternatives, for
fulfilling OPA’s and the PDARP/PEIS’s
intent for the trustees to address
ecosystem-level injuries and to restore,
rehabilitate, replace, or acquire the
equivalent of the injured wetland,
coastal and nearshore habitat resources
and services and compensate for interim
losses of those resources from the
Deepwater Horizon oil spill. Any
projects or suites of projects that are
ultimately included in the resulting
Strategic Restoration Plan will be
further analyzed in subsequent phased
SUMMARY:
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]]>Agencies
[Federal Register Volume 82, Number 81 (Friday, April 28, 2017)]
[Notices]
[Pages 19657-19659]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-08673]
=======================================================================
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-122-858]
Certain Softwood Lumber Products From Canada: Preliminary
Affirmative Countervailing Duty Determination, and Alignment of Final
Determination With Final Antidumping Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) preliminarily
determines that countervailable subsidies are being provided to
producers and exporters of certain softwood lumber products (softwood
lumber) from Canada. The period of investigation is January 1, 2015,
through December 31, 2015.
DATES: Effective April 28, 2017.
FOR FURTHER INFORMATION CONTACT: Lana Nigro (Tolko), Toby Vandall
(Canfor), Justin Neuman (JDIL), Patricia Tran (West Fraser), and
Kristen Johnson (Resolute), AD/CVD Operations, Offices I and III,
Enforcement and Compliance, International Trade Administration, U.S.
Department of Commerce, 1401 Constitution Avenue NW., Washington, DC
20230; telephone: (202) 482-1779, (202) 482-1664, (202) 482-0486, (202)
482-1503, and (202) 482-4793, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended (the Act). The Department
published the notice of initiation of this investigation on December
22, 2017.\1\ On February 2, 2017, the Department postponed the
preliminary determination of this investigation and the revised
deadline is now April 24, 2017.\2\
---------------------------------------------------------------------------
\1\ See Certain Softwood Lumber Products from Canada: Initiation
of Countervailing Duty Investigation, 81 FR 93897 (December 22,
2016) (Initiation Notice).
\2\ See Certain Softwood Lumber Products from Canada:
Postponement of Preliminary Determination in the Countervailing Duty
Investigation, 82 FR 9055 (February 2, 2017).
---------------------------------------------------------------------------
On April 13, 2017, the Department preliminarily determined that
critical circumstances exist with respect to certain companies.\3\ For
a complete description of the events that followed the initiation of
this investigation, see the Preliminary Decision Memorandum.\4\ 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, and is available to all parties in the Central
Records Unit, room B8024 of the main Department of Commerce building.
In addition, a complete version of the Preliminary Decision Memorandum
can be accessed directly at https://enforcement.trade.gov/frn/. The
signed and electronic versions of the Preliminary Decision Memorandum
are identical in content.
---------------------------------------------------------------------------
\3\ See Antidumping and Countervailing Duty Investigations of
Certain Softwood Lumber Products from Canada: Preliminary
Determinations of Critical Circumstances, signed April 13, 2017
(Preliminary CC Determination).
\4\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Countervailing Duty Investigation of Certain
Softwood Lumber Products from Canada,'' dated concurrently with, and
hereby adopted by, this notice (Preliminary Decision Memorandum).
---------------------------------------------------------------------------
Scope of the Investigation
The product covered by this investigation is softwood lumber from
Canada. For a complete description of the scope of this investigation,
see Appendix I.
Scope Comments
In accordance with the preamble to the Department's regulations,\5\
the Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage, (i.e., scope).\6\ Certain interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice as well as on additional language proposed by the
Department. On March 29, 2017, a letter presenting a proposal for
company exclusions was filed on behalf of the Government of Canada
(GOC), Canadian provincial and territorial governments, as well as the
Canadian industry associations.\7\ The Department finds that it lacks
the authority to conduct the requested company exclusion process in the
context of this countervailing duty investigation (CVD) on softwood
lumber from Canada.\8\
---------------------------------------------------------------------------
\5\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\6\ See Initiation Notice.
\7\ See letter from the Government of Canada, ``Proposal for
Company Exclusions,'' dated March 29, 2017; see also letter from the
Government of New Brunswick, ``Softwood Lumber from Canada:
Proposals for Product- or Company-Based Exclusions from the CVD
Investigation,'' dated March 31, 2017; letter from Government of
British Columbia, ``Certain Softwood Lumber Products from Canada:
Comments in Support of Clarifying and Exclusionary Language Proposed
by Canada Regarding the Scope of these Investigations,'' dated April
3, 2017.
\8\ See Memorandum from Gary Taverman, Associate Deputy
Assistant Secretary for Antidumping and Countervailing Duty
Operations, to Ronald K. Lorentzen, Acting Assistant Secretary for
Enforcement and Compliance, dated April 24, 2017.
---------------------------------------------------------------------------
With respect to other proposed scope exclusions, including the
request to exclude merchandise from certain provinces, the Department
is inviting comments on those proposed exclusions and will incorporate
the decisions into the final CVD and AD determinations after
considering any relevant comments submitted in case and rebuttal
briefs. Comments on any proposed scope exclusions are due no later than
seven days of publication of this notice in the Federal Register.
Please note that the Department will not accept any new factual
information in these submissions. The Department intends to set the
same deadline on the record of the companion AD investigation. For
further information regarding proposed scope excusions, see the
Preliminary Decision Memorandum accompanying this notice.
Methodology
The Department is conducting this investigation in accordance with
section 701 of the Act. For each of the subsidy programs found
countervailable, the Department preliminarily determines that there is
a subsidy, i.e., a financial contribution by an ``authority'' that
gives rise to a benefit to the recipient, and that the subsidy is
specific.\9\
---------------------------------------------------------------------------
\9\ 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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Alignment
As noted in the Preliminary Decision Memorandum, in accordance with
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), the Department
is aligning the final CVD determination in this investigation with the
final determination in the companion AD
[[Page 19658]]
investigation of softwood lumber from Canada based on a request made by
the petitioner.\10\ Consequently, the final CVD determination will be
issued on the same date as the final AD determination, which is
currently scheduled to be issued no later than September 6, 2017,
unless postponed.
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\10\ See Letter from the petitioner, ``Certain Softwood Lumber
Products from Canada: Request for Alignment of the Countervailing
Duty Final Determination with the Companion Antidumping Duty Final
Determination'' dated April 13, 2017.
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All-Others Rate
Sections 703(d) and 705(c)(5)(A) of the Act provide that in the
preliminary determination, the Department shall determine an estimated
all-others rate for companies not individually examined. This rate
shall be an amount equal to the weighted average of the estimated
subsidy rates established for those companies individually examined,
excluding any zero and de minimis rates and any rates based entirely
under section 776 of the Act.
In this investigation, the Department calculated individually
estimated countervailable subsidy rates for Canfor Corporation
(Canfor), J.D. Irving, Limited (JDIL),\11\ Resolute FP Canada Inc.
(Resolute), Tolko Marketing and Sales Ltd. (Tolko), and West Fraser
Timber Co. Ltd. (West Fraser), that are not zero, de minimis, or based
entirely on facts otherwise available. The Department calculated the
all-others rate using a weighted-average of the individually estimated
subsidy rates calculated for the examined respondents using each
company's business proprietary data for the merchandise under
consideration.\12\
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\11\ See MacLean-Fogg Co. v. United States, 753 F.3d 1237 (Fed.
Cir. 2014) (holding that voluntary respondents are considered
``individually investigated'' for purposes of calculating the all-
others rate). The Department accepted JDIL as a voluntary respondent
in this investigation.
\12\ See Memorandum to the File, ``Calculation of the ``All-
Others'' Rate in the Preliminary Determination of the Countervailing
Duty Investigation of Softwood Lumber Products from Canada'' (April
24, 2017).
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Preliminary Determination
The Department preliminarily determines that the following
estimated countervailable subsidy rates exist:
------------------------------------------------------------------------
Subsidy rate
Company (%)
------------------------------------------------------------------------
Canfor Corporation and its cross-owned affiliates \13\.. 20.26
J.D. Irving, Limited and its cross-owned affiliates \14\ 3.02
Resolute FP Canada Inc. and its cross-owned affiliates 12.82
\15\...................................................
Tolko Marketing and Sales Ltd. and its cross-owned 19.50
affiliates \16\........................................
West Fraser Mills Ltd. and its cross-owned affiliates 24.12
\17\...................................................
All-Others:............................................. 19.88
------------------------------------------------------------------------
Suspension of Liquidation
In accordance with section 703(d)(1)(B) and (d)(2) of the Act, the
Department will direct U.S. Customs and Border Protection (CBP) to
suspend liquidation of entries of subject merchandise as described in
the scope of the investigation section entered, or withdrawn from
warehouse, for consumption on or after the date of publication of this
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d),
the Department will instruct CBP to require a cash deposit equal to the
rates indicated above.
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\13\ The Department preliminarily has found the following
companies to be cross-owned with Canfor Corporation: Canadian Forest
Products, Ltd., and Canfor Wood Products Marketing, Ltd.
\14\ The Department preliminarily has found the following
companies to be cross-owned with JDIL: Miramichi Timber Holdings
Limited, The New Brunswick Railway Company, Rothesay Paper Holdings
Ltd., St. George Pulp & Paper Limited, and Irving Paper Limted.
\15\ The Department preliminarily has found the following
companies to be cross-owned with Resolute: Resolute Growth Canada
Inc., Resolute Sales Inc., Abitibi-Bowater Canada Inc., Bowater
Canadian Ltd., Resolute Forest Products Inc., Produits Forestiers
Maurice S.E.C., and 9192-8515 Quebec Inc.
\16\ The Department preliminarily has found the following
companies to be cross-owned with Tolko: Tolko Industries Ltd., and
Meadow Lake OSB Limited Partnership.
\17\ The Department preliminarily has found the following
companies to be cross-owned with West Fraser: West Fraser Timber Co.
Ltd., West Fraser Alberta Holdings, Ltd., Blue Ridge Lumber Inc.,
Manning Forest Products, Ltd., Sunpine Inc., and Sundre Forest
Products Inc.
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Section 703(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. As discussed in
Preliminary CC Determination, the Department preliminarily found that
critical circumstances exist for imports of subject merchandise
produced and/or exported by JDIL and the companies subject to the All-
Others rate.\18\ Accordingly, in accordance with section 703(e)(2)(A)
of the Act, the suspension of liquidation shall apply to unliquidated
entries of merchandise from the exporters/producers identified in this
paragraph that were entered, or withdrawn from warehouse, for
consumption on or after the date which is 90 days before the
publication of this notice.
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\18\ See Antidumping and Countervailing Duty Investigations of
Certain Softwood Lumber Products from Canada: Preliminary
Determinations of Critical Circumstances, signed April 12, 2017
(Preliminary CC Determination).
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Disclosure
The Department intends to disclose its calculations and analysis
performed to interested parties in this preliminary determination
within five days of its public announcement or within five days of the
date of this notice in accordance with 19 CFR 351.224(b).
Verification
As provided in section 782(i)(1) of the Act, the Department intends
to verify the information relied upon in making its final
determination.
Public Comment
Case briefs or other written comments may be submitted to the
Assistant Secretary for Enforcement and Compliance no later than seven
days after the date on which the last verification report is issued in
this investigation. Rebuttal briefs, limited to issues raised in case
briefs, may be submitted no later than five days after the deadline
date for case briefs.\19\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2),
parties who submit case briefs or rebuttal briefs in this investigation
are encouraged to submit with each argument: (1) A statement of the
issue; (2) a brief summary of the argument; and (3) a table of
authorities.
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\19\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
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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
[[Page 19659]]
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, the Department intends to hold the
hearing at the U.S. Department of Commerce, 1401 Constitution Avenue
NW., Washington, DC 20230, at a time and date to be determined and
interested parties will be notified by the Department, via letter.
Parties should confirm by telephone the date, time, and location of the
hearing two days before the scheduled date.
International Trade Commission Notification
In accordance with section 703(f) of the Act, the Department will
notify the International Trade Commission (ITC) of its determination.
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.
Notification to Interested Parties
This determination is issued and published pursuant to sections
703(f) and 777(i) of the Act and 19 CFR 351.205(c).
Dated: April 24, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation is softwood
lumber, siding, flooring and certain other coniferous wood
(``softwood lumber products''). The scope includes:
Coniferous wood, sawn, or chipped lengthwise, sliced or
peeled, whether or not planed, whether or not sanded, or whether or
not finger-jointed, of an actual thickness exceeding six
millimeters.
Coniferous wood siding, flooring, and other coniferous
wood (other than moldings and dowel rods), including strips and
friezes for parquet flooring, that is continuously shaped
(including, but not limited to, tongued, grooved, rebated,
chamfered, V-jointed, beaded, molded, rounded) along any of its
edges, ends, or faces, whether or not planed, whether or not sanded,
or whether or not end-jointed.
Coniferous drilled and notched lumber and angle cut
lumber.
Coniferous lumber stacked on edge and fastened together
with nails, whether or not with plywood sheathing.
Components or parts of semi-finished or unassembled
finished products made from subject merchandise that would otherwise
meet the definition of the scope above.
Softwood lumber product imports are generally entered under
Chapter 44 of the Harmonized Tariff Schedule of the United States
(``HTSUS''). This chapter of the HTSUS covers ``Wood and articles of
wood.'' Softwood lumber products that are subject to this
investigation are currently classifiable under the following ten-
digit HTSUS subheadings in Chapter 44: 4407.10.01.01; 4407.10.01.02;
4407.10.01.15; 4407.10.01.16; 4407.10.01.17; 4407.10.01.18;
4407.10.01.19; 4407.10.01.20; 4407.10.01.42; 4407.10.01.43;
4407.10.01.44; 4407.10.01.45; 4407.10.01.46; 4407.10.01.47;
4407.10.01.48; 4407.10.01.49; 4407.10.01.52; 4407.10.01.53;
4407.10.01.54; 4407.10.01.55; 4407.10.01.56; 4407.10.01.57;
4407.10.01.58; 4407.10.01.59; 4407.10.01.64; 4407.10.01.65;
4407.10.01.66; 4407.10.01.67; 4407.10.01.68; 4407.10.01.69;
4407.10.01.74; 4407.10.01.75; 4407.10.01.76; 4407.10.01.77;
4407.10.01.82; 4407.10.01.83; 4407.10.01.92; 4407.10.01.93;
4409.10.05.00; 4409.10.10.20; 4409.10.10.40; 4409.10.10.60;
4409.10.10.80; 4409.10.20.00; 4409.10.90.20; 4409.10.90.40; and
4418.90.25.00.
Subject merchandise as described above may also be classified as
stringers, square cut box-spring-frame components, fence pickets,
truss components, pallet components, flooring, and door and window
frame parts under the following ten-digit HTSUS subheadings in
Chapter 44: 4415.20.40.00; 4415.20.80.00; 4418.90.46.05;
4418.90.46.20; 4418.90.46.40; 4418.90.46.95; 4421.90.70.40;
4421.90.94.00; and 4421.90.97.80.
Although these HTSUS subheadings are provided for convenience
and customs purposes, the written description of the scope of the
investigation is dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope Comments and Requests for Exclusion
IV. Scope of the Investigation
V. Subsidies Valuation
VI. Analysis of Programs
VII. Calculation of the All-Others Rate
VIII. ITC Notification
IX. Disclosure and Public Comment
X. Verification
XI. Conclusion
[FR Doc. 2017-08673 Filed 4-27-17; 8:45 am]
BILLING CODE 3510-DS-P
