Narrow Woven Ribbons with Woven Selvedge from the People's Republic of China: Final Affirmative Countervailing Duty Determination, 41801-41804 [2010-17541]

Download as PDF Federal Register / Vol. 75, No. 137 / Monday, July 19, 2010 / Notices 41801 Dated: July 13, 2010. Christopher Cassel, Director, Subsidies Enforcement Office, Import Administration. DEPARTMENT OF COMMERCE DEPARTMENT OF COMMERCE Foreign-Trade Zones Board International Trade Administration [FR Doc. 2010–17535 Filed 7–16–10; 8:45 am] [Order No. 1693] (C–570–953) BILLING CODE 3510–DS–P Expansion of Foreign-Trade Zone 163 Ponce, Puerto Rico, Area DEPARTMENT OF COMMERCE Pursuant to its authority under the ForeignTrade Zones Act of June 18, 1934, as amended (19 U.S.C. 81a–81u), the ForeignTrade Zones Board (the Board) adopts the following Order: Foreign-Trade Zones Board [Order No. 1692] Expansion of Foreign-Trade Zone 163, Ponce, Puerto Rico, Area Pursuant to its authority under the ForeignTrade Zones Act of June 18, 1934, as amended (19 U.S.C. 81a–81u), the ForeignTrade Zones Board (the Board) adopts the following Order: jlentini on DSKJ8SOYB1PROD with NOTICES Whereas, CODEZOL, C.D., grantee of Foreign-Trade Zone 163, submitted an application to the Board for authority to expand existing Site 1 to include additional acreage and to expand the zone to include a site at the ProCaribe Industrial Park (Site 11) in Penuelas, Puerto Rico, adjacent to the Ponce Customs and Border Protection port of entry (FTZ Docket 53–2009, filed 11/23/09); Whereas, notice inviting public comment was given in the Federal Register (74 FR 62747, 12/1/09) and the application has been processed pursuant to the FTZ Act and the Board’s regulations; and, Whereas, the Board adopts the findings and recommendation of the examiner’s report, and finds that the requirements of the FTZ Act and Board’s regulations are satisfied, and that the proposal is in the public interest; Now, therefore, the Board hereby orders: The application to expand FTZ 163 is approved, subject to the FTZ Act and the Board’s regulations, including Section 400.28, and subject to a sunset provision that would terminate authority on June 30, 2015, for Site 11 if no activity has occurred under FTZ procedures before that date. Signed at Washington, DC, this 8 day of July 2010. Ronald K. Lorentzen, Deputy Assistant Secretary for Import Administration, Alternate Chairman, ForeignTrade Zones Board. Whereas, CODEZOL, C.D., grantee of Foreign-Trade Zone 163, submitted an application to the Board for authority to expand its zone to include a site at the Yaucono Industrial Park (Site 12) in Ponce, Puerto Rico, within the Ponce Customs and Border Protection port of entry (FTZ Docket 17–2010, filed 3/8/ 10); Whereas, notice inviting public comment was given in the Federal Register (75 FR 12730–12731, 3/17/10) and the application has been processed pursuant to the FTZ Act and the Board’s regulations; and, Whereas, the Board adopts the findings and recommendation of the examiner’s report (including the renumbering of Rio Piedras Distribution Center located within existing Site 3 as Site 13), and finds that the requirements of the FTZ Act and Board’s regulations are satisfied, and that the proposal is in the public interest; Now, therefore, the Board hereby orders: The application to expand FTZ 163 is approved, subject to the FTZ Act and the Board’s regulations, including § 400.28, and subject to a sunset provision that would terminate authority on June 30, 2015, for Site 12 if no activity has occurred under FTZ procedures before that date. Signed at Washington, DC, this 8 day of July 2010. Ronald K. Lorentzen, Deputy Assistant Secretary for Import Administration, Alternate Chairman, ForeignTrade Zones Board. Attest: Andrew McGilvray, Executive Secretary. [FR Doc. 2010–17540 Filed 7–16–10; 8:45 am] BILLING CODE 3510–DS–P Attest: Andrew McGilvray, Executive Secretary. [FR Doc. 2010–17542 Filed 7–16–10; 8:45 am] BILLING CODE 3510–DS–P VerDate Mar<15>2010 16:24 Jul 16, 2010 Jkt 220001 PO 00000 Frm 00009 Fmt 4703 Sfmt 4703 Narrow Woven Ribbons with Woven Selvedge from the People’s Republic of China: Final Affirmative Countervailing Duty Determination AGENCY: Import Administration, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (the ‘‘Department’’) has determined that countervailable subsidies are being provided to producers and exporters of narrow woven ribbons with woven selvedge from the People’s Republic of China (‘‘PRC’’). For information on the estimated countervailing duty rates, please see the ‘‘Suspension of Liquidation’’ section, below. EFFECTIVE DATE: July 19, 2010. FOR FURTHER INFORMATION CONTACT: Scott Holland and Anna Flaaten, AD/ CVD Operations, Office 1, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482–1279 and (202) 482–5156, respectively. SUPPLEMENTARY INFORMATION: Period of Investigation The period for which we are measuring subsidies, or period of investigation, is January 1, 2008, through December 31, 2008. Case History The following events have occurred since the publication of the preliminary determination in the Federal Register on December 14, 2009. See Narrow Woven Ribbons with Woven Selvedge from the People’s Republic of China: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Countervailing Duty Determination with Final Antidumping Duty Determination, 74 FR 66090 (December 14, 2009) (‘‘Preliminary Determination’’). On December 16, 2009, the Department issued a supplemental questionnaire to the Government of China (‘‘GOC’’) which responded on January 6, 2010. From January 18, 2010, to January 20, 2010, the Department conducted verification of the questionnaire responses submitted by the GOC and mandatory respondent Yama Ribbons and Bows Co., Ltd. (‘‘Yama’’). See Memoranda from Scott Holland and Anna Flaaten, International Trade Analysts, to Susan H. Kuhbach, E:\FR\FM\19JYN1.SGM 19JYN1 jlentini on DSKJ8SOYB1PROD with NOTICES 41802 Federal Register / Vol. 75, No. 137 / Monday, July 19, 2010 / Notices Office Director, AD/CVD Operations, Office 1, ‘‘Verification Report of the Xiamen Municipal Government of the People’s Republic of China’’ (March 17, 2010) and ‘‘Verification Report: Yama Ribbons and Bows Co., Ltd.’’ (March 17, 2010). On January 20, 2010, the Department issued a post–preliminary analysis regarding additional subsidy programs. See Memorandum from Scott Holland and Anna Flaaten, International Trade Analysts, to Ronald Lorentzen, Deputy Assistant Secretary for Import Administration, ‘‘Post–Preliminary Findings for Additional Subsidy Programs’’ (January 20, 2010). On February 18, 2010, the Department extended the due date for the final determination by 60 days in accordance with its alignment of the final countervailing duty (CVD) determination with the final determination in the companion antidumping duty investigation of narrow woven ribbon with woven selvedge from the PRC. See Preliminary Determination, 74 FR at 66092; Narrow Woven Ribbons with Woven Selvedge from the People’s Republic of China: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 75 FR 7244, 7245–46 (February 18, 2010). As explained in the memorandum from the Deputy Assistant Secretary for Import Administration, the Department exercised its discretion to toll deadlines for the duration of the closure of the Federal Government from February 5, 2010, through February 12, 2010. Thus, all deadlines in this segment of the proceeding were extended by seven days. The revised deadline for the final determination of this investigation was thus extended to July 10, 2010. See Memorandum to the Record from Ronald Lorentzen, DAS for Import Administration, regarding ‘‘Tolling of Administrative Deadlines As a Result of the Government Closure During the Recent Snowstorms,’’ dated February 12, 2010. However, July 10, 2010, falls on a Saturday, and it is the Department’s long–standing practice to issue a determination the next business day when the statutory deadline falls on a weekend, federal holiday, or any other day when the Department is closed. See Notice of Clarification: Application of ‘‘Next Business Day’’ Rule for Administrative Determination Deadlines Pursuant to the Tariff Act of 1930, As Amended, 70 FR 24533 (May 10, 2005). Accordingly, the deadline for completion of the final determination became July 12, 2010. On March 18, 2010, the Department postponed the briefing schedule as described in the Preliminary VerDate Mar<15>2010 16:24 Jul 16, 2010 Jkt 220001 Determination until further notice to allow the Department to consider an issue which may have required a post– preliminary analysis. On May 17, 2010, the Department set the Briefing and Hearing Schedule and invited interested parties to comment on the denominator used in the Department’s calculation in the Preliminary Determination of this case. The Department received case briefs from the GOC, Yama, and Bestpak Gifts & Crafts Co. Ltd., a Chinese producer and exporter of the subject merchandise, on June 1, 2010, and a rebuttal brief from the petitioner, Berwick Offray, LLC and its wholly–owned subsidiary Lion Ribbons Company, Inc. (collectively, ‘‘Petitioner’’), on June 7, 2010. A public hearing was held on June 14, 2010, where the same parties presented their arguments. Scope of the Investigation The merchandise subject to the investigation is narrow woven ribbons with woven selvedge, in any length, but with a width (measured at the narrowest span of the ribbon) less than or equal to 12 centimeters, composed of, in whole or in part, man–made fibers (whether artificial or synthetic, including but not limited to nylon, polyester, rayon, polypropylene, and polyethylene teraphthalate), metal threads and/or metalized yarns, or any combination thereof. Narrow woven ribbons subject to the investigation may: • also include natural or other non– man-made fibers; • be of any color, style, pattern, or weave construction, including but not limited to single–faced satin, double–faced satin, grosgrain, sheer, taffeta, twill, jacquard, or a combination of two or more colors, styles, patterns, and/or weave constructions; • have been subjected to, or composed of materials that have been subjected to, various treatments, including but not limited to dyeing, printing, foil stamping, embossing, flocking, coating, and/or sizing; • have embellishments, including but ´ not limited to applique, fringes, embroidery, buttons, glitter, sequins, laminates, and/or adhesive backing; • have wire and/or monofilament in, on, or along the longitudinal edges of the ribbon; • have ends of any shape or dimension, including but not limited to straight ends that are perpendicular to the longitudinal edges of the ribbon, tapered ends, flared ends or shaped ends, and the ends of such woven ribbons may or PO 00000 Frm 00010 Fmt 4703 Sfmt 4703 may not be hemmed; • have longitudinal edges that are straight or of any shape, and the longitudinal edges of such woven ribbon may or may not be parallel to each other; • consist of such ribbons affixed to like ribbon and/or cut–edge woven ribbon, a configuration also known as an ‘‘ornamental trimming;’’ • be wound on spools; attached to a card; hanked (i.e., coiled or bundled); packaged in boxes, trays or bags; or configured as skeins, balls, bateaus or folds; and/or • be included within a kit or set such as when packaged with other products, including but not limited to gift bags, gift boxes and/or other types of ribbon. Narrow woven ribbons subject to the investigation include all narrow woven fabrics, tapes, and labels that fall within this written description of the scope of this investigation. Excluded from the scope of the investigation are the following: (1) formed bows composed of narrow woven ribbons with woven selvedge; (2) ‘‘pull–bows’’ (i.e., an assemblage of ribbons connected to one another, folded flat and equipped with a means to form such ribbons into the shape of a bow by pulling on a length of material affixed to such assemblage) composed of narrow woven ribbons; (3) narrow woven ribbons comprised at least 20 percent by weight of elastomeric yarn (i.e., filament yarn, including monofilament, of synthetic textile material, other than textured yarn, which does not break on being extended to three times its original length and which returns, after being extended to twice its original length, within a period of five minutes, to a length not greater than one and a half times its original length as defined in the Harmonized Tariff Schedule of the United States (‘‘HTSUS’’), Section XI, Note 13) or rubber thread; (4) narrow woven ribbons of a kind used for the manufacture of typewriter or printer ribbons; (5) narrow woven labels and apparel tapes, cut–to-length or cut–toshape, having a length (when measured across the longest edge– to-edge span) not exceeding eight centimeters; (6) narrow woven ribbons with woven selvedge attached to and forming the handle of a gift bag; (7) cut–edge narrow woven ribbons formed by cutting broad woven E:\FR\FM\19JYN1.SGM 19JYN1 jlentini on DSKJ8SOYB1PROD with NOTICES Federal Register / Vol. 75, No. 137 / Monday, July 19, 2010 / Notices fabric into strips of ribbon, with or without treatments to prevent the longitudinal edges of the ribbon from fraying (such as by merrowing, lamination, sono–bonding, fusing, gumming or waxing), and with or without wire running lengthwise along the longitudinal edges of the ribbon; (8) narrow woven ribbons comprised at least 85 percent by weight of threads having a denier of 225 or higher; (9) narrow woven ribbons constructed from pile fabrics (i.e., fabrics with a surface effect formed by tufts or loops of yarn that stand up from the body of the fabric); (10) narrow woven ribbon affixed (including by tying) as a decorative detail to non–subject merchandise, such as a gift bag, gift box, gift tin, greeting card or plush toy, or affixed (including by tying) as a decorative detail to packaging containing non–subject merchandise; (11) narrow woven ribbon that is (a) affixed to non–subject merchandise as a working component of such non–subject merchandise, such as where narrow woven ribbon comprises an apparel trimming, book marker, bag cinch, or part of an identity card holder, or (b) affixed (including by tying) to non– subject merchandise as a working component that holds or packages such non–subject merchandise or attaches packaging or labeling to such non–subject merchandise, such as a ‘‘belly band’’ around a pair of pajamas, a pair of socks or a blanket; (12) narrow woven ribbon(s) comprising a belt attached to and imported with an item of wearing apparel, whether or not such belt is removable from such item of wearing apparel; and (13) narrow woven ribbon(s) included with non–subject merchandise in kits, such as a holiday ornament craft kit or a scrapbook kit, in which the individual lengths of narrow woven ribbon(s) included in the kit are each no greater than eight inches, the aggregate amount of marrow woven ribbon(s) included in the kit does not exceed 48 linear inches, none of the narrow woven ribbon(s) included in the kit is on a spool, and the narrow woven ribbon(s) is only one of multiple items included in the kit. The merchandise subject to this investigation is classifiable under the HTSUS statistical categories 5806.32.1020; 5806.32.1030; VerDate Mar<15>2010 16:24 Jul 16, 2010 Jkt 220001 5806.32.1050 and 5806.32.1060. Subject merchandise also may enter under subheadings 5806.31.00; 5806.32.20; 5806.39.20; 5806.39.30; 5808.90.00; 5810.91.00; 5810.99.90; 5903.90.10; 5903.90.25; 5907.00.60; and 5907.00.80 and under statistical categories 5806.32.1080; 5810.92.9080; 5903.90.3090; and 6307.90.9889. The HTSUS statistical categories and subheadings are provided for convenience and customs purposes; however, the written description of the merchandise under investigation is dispositive. Scope Comments Prior to the Preliminary Determination in this case, we received a request from certain retailers of narrow woven ribbons that the Department modify the scope of the investigation to exclude narrow woven ribbons included in kits or sets in ‘‘de minimis’’ amounts. Because of concerns over whether the proposed scope exclusion language would be administrable, we declined to modify the scope in the companion antidumping duty preliminary determinations, and we did not use the language suggested by these retailers or the alternative language proposed by Petitioner. See Narrow Woven Ribbons with Woven Selvedge from Taiwan: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 75 FR 7236, 7240 (February 18, 2010) and Narrow Woven Ribbons with Woven Selvedge from the People’s Republic of China: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 75 FR 7244, 7246 (February 18, 2010). Following the preliminary determinations, on March 24, 2010, and June 3, 2010, Petitioner submitted additional language for this scope exclusion. Having determined that the language contained in Petitioner’s June 3, 2010, submission is administrable, we have incorporated this language in exclusion 13. See the ‘‘Scope of Investigation’’ section, above. 41803 preliminary determination that there is a reasonable indication that an industry in the United States is materially injured by reason of allegedly subsidized imports of narrow woven ribbons with woven selvedge from the PRC. See Narrow Woven Ribbons With Woven Selvedge From China and Taiwan, 74 FR 46224 (September 8, 2009) and Narrow Woven Ribbons with Woven Selvedge from China and Taiwan, Investigation Nos. 701–TA–467 and 731–TA–1165, USITC Pub. 4099 (August 2009). Analysis of Comments Received All issues raised in the case and rebuttal briefs by parties to this investigation are addressed in the Memorandum from Edward C. Yang, Acting Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, to Ronald K. Lorentzen, Deputy Assistant Secretary for Import Administration, entitled ‘‘Issues and Decision Memorandum for the Final Determination in the Countervailing Duty Investigation of Certain Narrow Woven Ribbons With Woven Selvedge from the People’s Republic of China’’ (July 12, 2010) (hereafter ‘‘Decision Memorandum’’), which is hereby adopted by this notice. Attached to this notice as an Appendix is a list of the issues that parties have raised and to which we have responded in the Decision Memorandum. Parties can find a complete discussion of all issues raised in this investigation and the corresponding recommendations in this public memorandum, which is on file in the Central Records Unit, room 1117 in the main building of the Commerce Department. In addition, a complete version of the Decision Memorandum can be accessed directly on the Internet at https://ia.ita.doc.gov/frn/. The paper copy and electronic version of the Decision Memorandum are identical in content. Use of Adverse Facts Available For purposes of this final determination, we have continued to rely on facts available and have continued to use adverse inferences in Injury Test accordance with sections 776(a) and (b) Because the PRC is a ‘‘Subsidies of the Act to determine the Agreement Country’’ within the meaning countervailable subsidy rates for of section 701(b) of the Tariff Act of Changtai Rongshu Co., Ltd. (‘‘Changtai 1930, as amended (the ‘‘Act’’), section Rongshu’’), which is one of the two 701(a)(2) of the Act applies to this companies selected to respond to our investigation. Accordingly, the U.S. questionnaires. In addition, consistent International Trade Commission (‘‘ITC’’) with our findings in the post– must determine whether imports of the preliminary analysis regarding subject merchandise from the PRC additional subsidy programs, we have materially injure, or threaten material continued to rely on facts available and injury to a U.S. industry. On September have continued to use adverse 8, 2009, the ITC issued its affirmative inferences in accordance with sections PO 00000 Frm 00011 Fmt 4703 Sfmt 4703 E:\FR\FM\19JYN1.SGM 19JYN1 41804 Federal Register / Vol. 75, No. 137 / Monday, July 19, 2010 / Notices 776(a) and (b) of the Act to find a grant to Yama under the Xiamen Municipal Science and Technology Program to be specific under section 771(5A)(D)(iii) of the Act. A full discussion of our decision to apply adverse facts available is presented in the Decision Memorandum in the section ‘‘Use of Facts Otherwise Available and Adverse Facts Available.’’ Suspension of Liquidation In accordance with section 705(c)(1)(B)(i)(I) of the Act, we have calculated individual rates for Yama and Changtai Rongshu. Section 705(c)(5)(A)(i) of the Act states that for companies not investigated, we will determine an ‘‘all others’’ rate equal to the weighted–average countervailable subsidy rates established for exporters and producers individually investigated, excluding any zero and de minimis countervailable subsidy rates, and any rates determined entirely under section 776 of the Act. In this case, the all others rate is based on Yama’s calculated rate. Exporter/manufacturer Net subsidy rate Yama Ribbons and Bows Co., Ltd. .......... Changtai Rongshu Textile Co., Ltd. ............... All Others ...................... 1.56 117.95 1.56 privileged and business proprietary information in our files, provided the ITC confirms that it will not disclose such information, either publicly or under an Administrative Protective Order (‘‘APO’’), without the written consent of the Assistant Secretary for Import Administration. Return or Destruction of Proprietary Information In the event that the ITC issues a final negative injury determination, this notice will serve as the only reminder to parties subject to an APO of their responsibility concerning the destruction of proprietary information disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely written notification of the return/ 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 which is subject to sanction. This determination is published pursuant to sections 705(d) and 777(i) of the Act. Dated: July 12, 2010. Ronald K. Lorentzen, Deputy Assistant Secretary for Import Administration. jlentini on DSKJ8SOYB1PROD with NOTICES Also, in accordance with section 703(d) of the Act, we instructed U.S. Customs and Border Protection to discontinue the suspension of liquidation for countervailing duty purposes for subject merchandise entered on or after April 13, 2010, but to continue the suspension of liquidation of entries made from December 14, 2010, through April 12, 2010. We will issue a countervailing duty order if the ITC issues a final affirmative injury determination, and will require a cash deposit of estimated countervailing duties for such entries of merchandise in the amounts indicated above. If the ITC determines that material injury, or threat of material injury, does not exist, this proceeding will be terminated and all estimated deposits or securities posted as a result of the suspension of liquidation will be refunded or canceled. APPENDIX ITC Notification In accordance with section 705(d) of the Act, we will notify the ITC of our final determination. In addition, we are making available to the ITC all non– privileged and non–proprietary information related to this investigation. We will allow the ITC access to all Comment 5: Inclusion of Terminated Programs in the AFA Rate Calculation VerDate Mar<15>2010 16:24 Jul 16, 2010 Jkt 220001 List of Comments and Issues in the Decision Memorandum General Issues Company–Specific Issues Comment 2: Xiamen Municipal Science and Technology Grant Program Specificity Comment 3: International Market Developing Fund Grants for SMEs Specificity Comment 4: Calculation of Yama’s Sales Denominator AFA All–Others Rate Comment 6: All–Others Rate Calculation [FR Doc. 2010–17541 Filed 7–16–10; 8:45 am] BILLING CODE 3510–DS–S Frm 00012 Fmt 4703 International Trade Administration A–583–844 Notice of Final Determination of Sales at Less Than Fair Value: Narrow Woven Ribbons with Woven Selvedge from Taiwan AGENCY: Import Administration, International Trade Administration, Department of Commerce. SUMMARY: We determine that imports of narrow woven ribbons with woven selvedge (NWR) from Taiwan are being, or are likely to be, sold in the United States at less than fair value (LTFV), as provided in section 735 of the Tariff Act of 1930, as amended (the Act). Based on our analysis of the comments received, we have made changes in the margin calculations. Therefore, the final determination differs from the preliminary determination. The final weighted– average dumping margins for the investigated companies are listed below in the section entitled ‘‘Final Determination Margins.’’ EFFECTIVE DATE: July 19, 2010. FOR FURTHER INFORMATION CONTACT: Hector Rodriguez or Holly Phelps, AD/ CVD Operations, Office 2, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482–0629 and (202) 482–0656, respectively. SUPPLEMENTARY INFORMATION: Comment 1: Double Counting/ Overlapping Remedies PO 00000 DEPARTMENT OF COMMERCE Sfmt 4703 Background On February 18, 2010, the Department published in the Federal Register the preliminary determination of sales at LTFV in the antidumping duty investigation of NWR from Taiwan. See Narrow Woven Ribbons with Woven Selvedge from Taiwan: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 75 FR 7236 (Feb. 18, 2010) (Preliminary Determination). Since the preliminary determination, the following events have occurred. In February 2010, the Department selected certain unaffiliated companies which supplied ribbon to Dear Year Brothers Mfg. Co., Ltd. (Dear Year) and Shienq Houng Group (i.e., Hsien Chan Enterprise Co., Ltd., Novelty Handicrafts Co., Ltd., and Shienq Huong Enterprise Co., Ltd. (collectively ‘‘Shienq Huong’’)), and we requested that these unaffiliated suppliers respond to section D of the questionnaire (i.e., the section relating to cost of production (COP) and E:\FR\FM\19JYN1.SGM 19JYN1

Agencies

[Federal Register Volume 75, Number 137 (Monday, July 19, 2010)]
[Notices]
[Pages 41801-41804]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-17541]


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

DEPARTMENT OF COMMERCE

International Trade Administration

(C-570-953)


Narrow Woven Ribbons with Woven Selvedge from the People's 
Republic of China: Final Affirmative Countervailing Duty Determination

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the ``Department'') has determined 
that countervailable subsidies are being provided to producers and 
exporters of narrow woven ribbons with woven selvedge from the People's 
Republic of China (``PRC''). For information on the estimated 
countervailing duty rates, please see the ``Suspension of Liquidation'' 
section, below.

EFFECTIVE DATE: July 19, 2010.

FOR FURTHER INFORMATION CONTACT: Scott Holland and Anna Flaaten, AD/CVD 
Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
1279 and (202) 482-5156, respectively.

SUPPLEMENTARY INFORMATION:

Period of Investigation

    The period for which we are measuring subsidies, or period of 
investigation, is January 1, 2008, through December 31, 2008.

Case History

    The following events have occurred since the publication of the 
preliminary determination in the Federal Register on December 14, 2009. 
See Narrow Woven Ribbons with Woven Selvedge from the People's Republic 
of China: Preliminary Affirmative Countervailing Duty Determination and 
Alignment of Final Countervailing Duty Determination with Final 
Antidumping Duty Determination, 74 FR 66090 (December 14, 2009) 
(``Preliminary Determination'').
    On December 16, 2009, the Department issued a supplemental 
questionnaire to the Government of China (``GOC'') which responded on 
January 6, 2010. From January 18, 2010, to January 20, 2010, the 
Department conducted verification of the questionnaire responses 
submitted by the GOC and mandatory respondent Yama Ribbons and Bows 
Co., Ltd. (``Yama''). See Memoranda from Scott Holland and Anna 
Flaaten, International Trade Analysts, to Susan H. Kuhbach,

[[Page 41802]]

Office Director, AD/CVD Operations, Office 1, ``Verification Report of 
the Xiamen Municipal Government of the People's Republic of China'' 
(March 17, 2010) and ``Verification Report: Yama Ribbons and Bows Co., 
Ltd.'' (March 17, 2010). On January 20, 2010, the Department issued a 
post-preliminary analysis regarding additional subsidy programs. See 
Memorandum from Scott Holland and Anna Flaaten, International Trade 
Analysts, to Ronald Lorentzen, Deputy Assistant Secretary for Import 
Administration, ``Post-Preliminary Findings for Additional Subsidy 
Programs'' (January 20, 2010). On February 18, 2010, the Department 
extended the due date for the final determination by 60 days in 
accordance with its alignment of the final countervailing duty (CVD) 
determination with the final determination in the companion antidumping 
duty investigation of narrow woven ribbon with woven selvedge from the 
PRC. See Preliminary Determination, 74 FR at 66092; Narrow Woven 
Ribbons with Woven Selvedge from the People's Republic of China: 
Preliminary Determination of Sales at Less Than Fair Value and 
Postponement of Final Determination, 75 FR 7244, 7245-46 (February 18, 
2010).
    As explained in the memorandum from the Deputy Assistant Secretary 
for Import Administration, the Department exercised its discretion to 
toll deadlines for the duration of the closure of the Federal 
Government from February 5, 2010, through February 12, 2010. Thus, all 
deadlines in this segment of the proceeding were extended by seven 
days. The revised deadline for the final determination of this 
investigation was thus extended to July 10, 2010. See Memorandum to the 
Record from Ronald Lorentzen, DAS for Import Administration, regarding 
``Tolling of Administrative Deadlines As a Result of the Government 
Closure During the Recent Snowstorms,'' dated February 12, 2010. 
However, July 10, 2010, falls on a Saturday, and it is the Department's 
long-standing practice to issue a determination the next business day 
when the statutory deadline falls on a weekend, federal holiday, or any 
other day when the Department is closed. See Notice of Clarification: 
Application of ``Next Business Day'' Rule for Administrative 
Determination Deadlines Pursuant to the Tariff Act of 1930, As Amended, 
70 FR 24533 (May 10, 2005). Accordingly, the deadline for completion of 
the final determination became July 12, 2010.
    On March 18, 2010, the Department postponed the briefing schedule 
as described in the Preliminary Determination until further notice to 
allow the Department to consider an issue which may have required a 
post-preliminary analysis. On May 17, 2010, the Department set the 
Briefing and Hearing Schedule and invited interested parties to comment 
on the denominator used in the Department's calculation in the 
Preliminary Determination of this case.
    The Department received case briefs from the GOC, Yama, and Bestpak 
Gifts & Crafts Co. Ltd., a Chinese producer and exporter of the subject 
merchandise, on June 1, 2010, and a rebuttal brief from the petitioner, 
Berwick Offray, LLC and its wholly-owned subsidiary Lion Ribbons 
Company, Inc. (collectively, ``Petitioner''), on June 7, 2010. A public 
hearing was held on June 14, 2010, where the same parties presented 
their arguments.

Scope of the Investigation

    The merchandise subject to the investigation is narrow woven 
ribbons with woven selvedge, in any length, but with a width (measured 
at the narrowest span of the ribbon) less than or equal to 12 
centimeters, composed of, in whole or in part, man-made fibers (whether 
artificial or synthetic, including but not limited to nylon, polyester, 
rayon, polypropylene, and polyethylene teraphthalate), metal threads 
and/or metalized yarns, or any combination thereof. Narrow woven 
ribbons subject to the investigation may:
     also include natural or other non-man-made fibers;
     be of any color, style, pattern, or weave construction, 
including but not limited to single-faced satin, double-faced satin, 
grosgrain, sheer, taffeta, twill, jacquard, or a combination of two or 
more colors, styles, patterns, and/or weave constructions;
     have been subjected to, or composed of materials that have 
been subjected to, various treatments, including but not limited to 
dyeing, printing, foil stamping, embossing, flocking, coating, and/or 
sizing;
     have embellishments, including but not limited to 
appliqu[eacute], fringes, embroidery, buttons, glitter, sequins, 
laminates, and/or adhesive backing;
     have wire and/or monofilament in, on, or along the 
longitudinal edges of the ribbon;
     have ends of any shape or dimension, including but not 
limited to straight ends that are perpendicular to the longitudinal 
edges of the ribbon, tapered ends, flared ends or shaped ends, and the 
ends of such woven ribbons may or may not be hemmed;
     have longitudinal edges that are straight or of any shape, 
and the longitudinal edges of such woven ribbon may or may not be 
parallel to each other;
     consist of such ribbons affixed to like ribbon and/or cut-
edge woven ribbon, a configuration also known as an ``ornamental 
trimming;''
     be wound on spools; attached to a card; hanked (i.e., 
coiled or bundled); packaged in boxes, trays or bags; or configured as 
skeins, balls, bateaus or folds; and/or
     be included within a kit or set such as when packaged with 
other products, including but not limited to gift bags, gift boxes and/
or other types of ribbon.
    Narrow woven ribbons subject to the investigation include all 
narrow woven fabrics, tapes, and labels that fall within this written 
description of the scope of this investigation.
    Excluded from the scope of the investigation are the following:
    (1) formed bows composed of narrow woven ribbons with woven 
selvedge;
    (2) ``pull-bows'' (i.e., an assemblage of ribbons connected to one 
another, folded flat and equipped with a means to form such ribbons 
into the shape of a bow by pulling on a length of material affixed to 
such assemblage) composed of narrow woven ribbons;
    (3) narrow woven ribbons comprised at least 20 percent by weight of 
elastomeric yarn (i.e., filament yarn, including monofilament, of 
synthetic textile material, other than textured yarn, which does not 
break on being extended to three times its original length and which 
returns, after being extended to twice its original length, within a 
period of five minutes, to a length not greater than one and a half 
times its original length as defined in the Harmonized Tariff Schedule 
of the United States (``HTSUS''), Section XI, Note 13) or rubber 
thread;
    (4) narrow woven ribbons of a kind used for the manufacture of 
typewriter or printer ribbons;
    (5) narrow woven labels and apparel tapes, cut-to-length or cut-to-
shape, having a length (when measured across the longest edge-to-edge 
span) not exceeding eight centimeters;
    (6) narrow woven ribbons with woven selvedge attached to and 
forming the handle of a gift bag;
    (7) cut-edge narrow woven ribbons formed by cutting broad woven

[[Page 41803]]

fabric into strips of ribbon, with or without treatments to prevent the 
longitudinal edges of the ribbon from fraying (such as by merrowing, 
lamination, sono-bonding, fusing, gumming or waxing), and with or 
without wire running lengthwise along the longitudinal edges of the 
ribbon;
    (8) narrow woven ribbons comprised at least 85 percent by weight of 
threads having a denier of 225 or higher;
    (9) narrow woven ribbons constructed from pile fabrics (i.e., 
fabrics with a surface effect formed by tufts or loops of yarn that 
stand up from the body of the fabric);
    (10) narrow woven ribbon affixed (including by tying) as a 
decorative detail to non-subject merchandise, such as a gift bag, gift 
box, gift tin, greeting card or plush toy, or affixed (including by 
tying) as a decorative detail to packaging containing non-subject 
merchandise;
    (11) narrow woven ribbon that is (a) affixed to non-subject 
merchandise as a working component of such non-subject merchandise, 
such as where narrow woven ribbon comprises an apparel trimming, book 
marker, bag cinch, or part of an identity card holder, or (b) affixed 
(including by tying) to non-subject merchandise as a working component 
that holds or packages such non-subject merchandise or attaches 
packaging or labeling to such non-subject merchandise, such as a 
``belly band'' around a pair of pajamas, a pair of socks or a blanket;
    (12) narrow woven ribbon(s) comprising a belt attached to and 
imported with an item of wearing apparel, whether or not such belt is 
removable from such item of wearing apparel; and
    (13) narrow woven ribbon(s) included with non-subject merchandise 
in kits, such as a holiday ornament craft kit or a scrapbook kit, in 
which the individual lengths of narrow woven ribbon(s) included in the 
kit are each no greater than eight inches, the aggregate amount of 
marrow woven ribbon(s) included in the kit does not exceed 48 linear 
inches, none of the narrow woven ribbon(s) included in the kit is on a 
spool, and the narrow woven ribbon(s) is only one of multiple items 
included in the kit.
    The merchandise subject to this investigation is classifiable under 
the HTSUS statistical categories 5806.32.1020; 5806.32.1030; 
5806.32.1050 and 5806.32.1060. Subject merchandise also may enter under 
subheadings 5806.31.00; 5806.32.20; 5806.39.20; 5806.39.30; 5808.90.00; 
5810.91.00; 5810.99.90; 5903.90.10; 5903.90.25; 5907.00.60; and 
5907.00.80 and under statistical categories 5806.32.1080; 5810.92.9080; 
5903.90.3090; and 6307.90.9889. The HTSUS statistical categories and 
subheadings are provided for convenience and customs purposes; however, 
the written description of the merchandise under investigation is 
dispositive.

Scope Comments

    Prior to the Preliminary Determination in this case, we received a 
request from certain retailers of narrow woven ribbons that the 
Department modify the scope of the investigation to exclude narrow 
woven ribbons included in kits or sets in ``de minimis'' amounts. 
Because of concerns over whether the proposed scope exclusion language 
would be administrable, we declined to modify the scope in the 
companion antidumping duty preliminary determinations, and we did not 
use the language suggested by these retailers or the alternative 
language proposed by Petitioner. See Narrow Woven Ribbons with Woven 
Selvedge from Taiwan: Preliminary Determination of Sales at Less Than 
Fair Value and Postponement of Final Determination, 75 FR 7236, 7240 
(February 18, 2010) and Narrow Woven Ribbons with Woven Selvedge from 
the People's Republic of China: Preliminary Determination of Sales at 
Less Than Fair Value and Postponement of Final Determination, 75 FR 
7244, 7246 (February 18, 2010).
    Following the preliminary determinations, on March 24, 2010, and 
June 3, 2010, Petitioner submitted additional language for this scope 
exclusion. Having determined that the language contained in 
Petitioner's June 3, 2010, submission is administrable, we have 
incorporated this language in exclusion 13. See the ``Scope of 
Investigation'' section, above.

Injury Test

    Because the PRC is a ``Subsidies Agreement Country'' within the 
meaning of section 701(b) of the Tariff Act of 1930, as amended (the 
``Act''), section 701(a)(2) of the Act applies to this investigation. 
Accordingly, the U.S. International Trade Commission (``ITC'') must 
determine whether imports of the subject merchandise from the PRC 
materially injure, or threaten material injury to a U.S. industry. On 
September 8, 2009, the ITC issued its affirmative preliminary 
determination that there is a reasonable indication that an industry in 
the United States is materially injured by reason of allegedly 
subsidized imports of narrow woven ribbons with woven selvedge from the 
PRC. See Narrow Woven Ribbons With Woven Selvedge From China and 
Taiwan, 74 FR 46224 (September 8, 2009) and Narrow Woven Ribbons with 
Woven Selvedge from China and Taiwan, Investigation Nos. 701-TA-467 and 
731-TA-1165, USITC Pub. 4099 (August 2009).

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this investigation are addressed in the Memorandum from Edward C. Yang, 
Acting Deputy Assistant Secretary for Antidumping and Countervailing 
Duty Operations, to Ronald K. Lorentzen, Deputy Assistant Secretary for 
Import Administration, entitled ``Issues and Decision Memorandum for 
the Final Determination in the Countervailing Duty Investigation of 
Certain Narrow Woven Ribbons With Woven Selvedge from the People's 
Republic of China'' (July 12, 2010) (hereafter ``Decision 
Memorandum''), which is hereby adopted by this notice. Attached to this 
notice as an Appendix is a list of the issues that parties have raised 
and to which we have responded in the Decision Memorandum. Parties can 
find a complete discussion of all issues raised in this investigation 
and the corresponding recommendations in this public memorandum, which 
is on file in the Central Records Unit, room 1117 in the main building 
of the Commerce Department. In addition, a complete version of the 
Decision Memorandum can be accessed directly on the Internet at https://ia.ita.doc.gov/frn/. The paper copy and electronic version of the 
Decision Memorandum are identical in content.

Use of Adverse Facts Available

    For purposes of this final determination, we have continued to rely 
on facts available and have continued to use adverse inferences in 
accordance with sections 776(a) and (b) of the Act to determine the 
countervailable subsidy rates for Changtai Rongshu Co., Ltd. 
(``Changtai Rongshu''), which is one of the two companies selected to 
respond to our questionnaires. In addition, consistent with our 
findings in the post-preliminary analysis regarding additional subsidy 
programs, we have continued to rely on facts available and have 
continued to use adverse inferences in accordance with sections

[[Page 41804]]

776(a) and (b) of the Act to find a grant to Yama under the Xiamen 
Municipal Science and Technology Program to be specific under section 
771(5A)(D)(iii) of the Act. A full discussion of our decision to apply 
adverse facts available is presented in the Decision Memorandum in the 
section ``Use of Facts Otherwise Available and Adverse Facts 
Available.''

Suspension of Liquidation

    In accordance with section 705(c)(1)(B)(i)(I) of the Act, we have 
calculated individual rates for Yama and Changtai Rongshu. Section 
705(c)(5)(A)(i) of the Act states that for companies not investigated, 
we will determine an ``all others'' rate equal to the weighted-average 
countervailable subsidy rates established for exporters and producers 
individually investigated, excluding any zero and de minimis 
countervailable subsidy rates, and any rates determined entirely under 
section 776 of the Act. In this case, the all others rate is based on 
Yama's calculated rate.

------------------------------------------------------------------------
                Exporter/manufacturer                  Net subsidy rate
------------------------------------------------------------------------
Yama Ribbons and Bows Co., Ltd......................                1.56
Changtai Rongshu Textile Co., Ltd...................              117.95
All Others..........................................                1.56
------------------------------------------------------------------------

    Also, in accordance with section 703(d) of the Act, we instructed 
U.S. Customs and Border Protection to discontinue the suspension of 
liquidation for countervailing duty purposes for subject merchandise 
entered on or after April 13, 2010, but to continue the suspension of 
liquidation of entries made from December 14, 2010, through April 12, 
2010.
    We will issue a countervailing duty order if the ITC issues a final 
affirmative injury determination, and will require a cash deposit of 
estimated countervailing duties for such entries of merchandise in the 
amounts indicated above. If the ITC determines that material injury, or 
threat of material injury, does not exist, this proceeding will be 
terminated and all estimated deposits or securities posted as a result 
of the suspension of liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, we will notify the 
ITC of our final determination. In addition, we are making available to 
the ITC all non-privileged and non-proprietary information related to 
this investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an Administrative Protective Order (``APO''), without the written 
consent of the Assistant Secretary for Import Administration.

Return or Destruction of Proprietary Information

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to an APO of their responsibility concerning the destruction of 
proprietary information disclosed under APO in accordance with 19 CFR 
351.305(a)(3). Timely written notification of the return/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 which is subject to sanction.
    This determination is published pursuant to sections 705(d) and 
777(i) of the Act.

    Dated: July 12, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.

APPENDIX

List of Comments and Issues in the Decision Memorandum

General Issues

Comment 1: Double Counting/Overlapping Remedies

Company-Specific Issues

Comment 2: Xiamen Municipal Science and Technology Grant Program - 
Specificity
Comment 3: International Market Developing Fund Grants for SMEs - 
Specificity
Comment 4: Calculation of Yama's Sales Denominator

AFA

Comment 5: Inclusion of Terminated Programs in the AFA Rate Calculation

All-Others Rate

Comment 6: All-Others Rate Calculation
[FR Doc. 2010-17541 Filed 7-16-10; 8:45 am]
BILLING CODE 3510-DS-S
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