Stainless Steel Sheet and Strip From the People's Republic of China: Initiation of Countervailing Duty Investigation, 13322-13326 [2016-05469]

Download as PDF 13322 Federal Register / Vol. 81, No. 49 / Monday, March 14, 2016 / Notices Comment 12: Whether The Department Should Have Investigated Other Potential Countervailable Subsidies Dated: March 4, 2016. Paul Piquado, Assistant Secretary for Enforcement and Compliance. [FR Doc. 2016–05713 Filed 3–11–16; 8:45 am] BILLING CODE 3510–DS–P Appendix I Scope of the Investigation The merchandise covered by this investigation is polyethylene terephthalate (PET) resin having an intrinsic viscosity of at least 0.70, but not more than 0.88, deciliters per gram. The scope includes blends of virgin PET resin and recycled PET resin containing 50 percent or more virgin PET resin content by weight, provided such blends meet the intrinsic viscosity requirements above. The scope includes all PET resin meeting the above specifications regardless of additives introduced in the manufacturing process. The merchandise subject to this investigation is properly classified under subheading 3907.60.00.30 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS subheading is provided for convenience and customs purposes, the written description of the merchandise under investigation is dispositive. Appendix II List of Topics Discussed in the Issues and Decision Memorandum Tariff Liability Issues Comment 1: Whether the Absence of Duty Liability Based on OCTAL’s Location in the SFZ Is a Countervailable Subsidy Comment 2: Whether Petitioners’ Subsidy Allegations Regarding OCTAL’s Tariff Exemptions Were Properly Alleged Provision of Land for Less Than Adequate Remuneration (LTAR) Issues Comment 3: Whether the Department Should Recalculate the Land for LTAR Rate With a Revised Benchmark Comment 4: Whether the Provision of Land for LTAR to OCTAL Is an Export Subsidy Comment 5: Whether The Department Should Recalculate the Land for LTAR Rate To Adjust for OCTAL’s Expenses To Develop the Land jstallworth on DSK7TPTVN1PROD with NOTICES Provision of Infrastructure for LTAR Issues Comment 6: Whether the Department Should Continue To Find That OCTAL Benefited From GSO Non-General Infrastructure Funding in The Salalah Free Zone (SFZ) Comment 7: Whether GSO Non-General Infrastructure Funding in the SFZ Is an Export Subsidy Comment 8: Whether the Department Miscalculated the GSO Non-General Infrastructure Funding Subsidy Provision of Electricity for LTAR Issues Comment 9: Whether the Department Should Revise Its Electricity for LTAR Benchmark Comment 10: Whether the Provision of Electricity for LTAR Is Specific Miscellaneous Issues Comment 11: Whether the Department Should Countervail OCTAL’s Lease With Salalah Port Services Company SAOG (SPSC) VerDate Sep<11>2014 14:27 Mar 11, 2016 Jkt 238001 DEPARTMENT OF COMMERCE International Trade Administration [C–570–043] Stainless Steel Sheet and Strip From the People’s Republic of China: Initiation of Countervailing Duty Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Effective March 3, 2016. FOR FURTHER INFORMATION CONTACT: Sean Carey at (202) 482–3964; AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230. SUPPLEMENTARY INFORMATION: AGENCY: The Petition On February 12, 2016, the Department of Commerce (Department) received a countervailing duty (CVD) petition concerning imports of stainless steel sheet and strip from the People’s Republic of China (PRC), filed in proper form on behalf of AK Steel Corporation, Allegheny Ludlum, LLC d/b/a ATI Flat Rolled Products, North American Stainless, and Outokumpu Stainless USA, LLC (collectively, Petitioners).1 The CVD petition was accompanied by an Antidumping Duty (AD) petition for stainless steel sheet and strip from the PRC.2 Petitioners are domestic producers of stainless steel sheet and strip, which represents the domestic industry engaged in the manufacture of stainless steel sheet and strip in the United States.3 On February 17, 2016, the Department requested information and clarification of certain areas of the Petition.4 On 1 See ‘‘Stainless Steel Sheet and Strip from the People’s Republic of China—Petitions for the Imposition of Antidumping and Countervailing Duties,’’ dated February 12, 2016 (Petition). 2 Id. 3 See Volume I of the Petition, at 2–3. 4 See the following February 17, 2016, letters from the Department to Petitioners: ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Stainless Steel Sheet and Strip from the People’s Republic of China: Supplemental Questions’’ (General Issues Supplemental Questionnaire), ‘‘Petition for the Imposition of Countervailing Duties on Imports of Stainless Steel Sheet and Strip from the People’s Republic of China: Supplemental Questions’’ (CVD Supplemental Questionnaire). PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 February 19, 2016, Petitioners filed responses to these requests 5 and an amendment to the scope section of the petition.6 In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), Petitioners allege that the Government of China (GOC) is providing countervailable subsidies (within the meaning of sections 701 and 771(5) of the Act) to imports of stainless steel sheet and strip from the PRC, and that such imports are materially injuring, or threatening material injury to, an industry in the United States. Also, consistent with section 702(b)(1) of the Act, for those alleged programs in the PRC on which we have initiated a CVD investigation, the Petition is accompanied by information reasonably available to Petitioners supporting their allegation. The Department finds that Petitioner filed this Petition on behalf of the domestic industry because it is an interested party as defined in section 771(9)(C) of the Act, and Petitioner has demonstrated sufficient industry support with respect to the CVD investigation that it is requesting the Department to initiate.7 Period of Investigation Pursuant to 19 CFR 351.204(b)(2), because the Petition was filed on February 12, 2016, the period of investigation is January 1, 2015, through December 31, 2015. Scope of the Investigation The product covered by this investigation is stainless steel sheet and strip from the PRC. For a full description of the scope of the investigation, see the ‘‘Scope of the Investigation’’ in Appendix I of this notice. Comments on Scope of the Investigations During our review of the Petition, the Department issued questions to, and received responses from, Petitioners pertaining to the proposed scope to ensure that the scope language in the Petition would be an accurate reflection 5 See the following February 19, 2016, responses from Petitioners: ‘‘Stainless Steel Sheet and Strip from the People’s Republic of China—Petitioners’ Response to the Department’s Questions on General and Injury Volume of Petition and Amendment to Petition to Modify Scope Language,’’ (General Issues Supplement); ‘‘Stainless Steel Sheet and Strip from the People’s Republic of China— Petitioners’ Response to the CVD Supplemental Questionnaire’’ (CVD Supplemental Response). 6 See CVD Supplemental Response, at Exhibit GEN-Supp.2. 7 See the ‘‘Determination of Industry Support for the Petitions’’ section below. E:\FR\FM\14MRN1.SGM 14MRN1 Federal Register / Vol. 81, No. 49 / Monday, March 14, 2016 / Notices of the products for which the domestic industry is seeking relief.8 As discussed in the preamble to the Department’s regulations,9 we are setting aside a period for interested parties to raise issues regarding product coverage (scope). The Department will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determinations. If scope comments include factual information (see 19 CFR 351.102(b)(21)), all such factual information should be limited to public information. In order to facilitate preparation of its questionnaires, the Department requests all interested parties submit such comments by 5:00 p.m. Eastern Time (ET) on Tuesday, March 23, 2016, which is 20 calendar days from the signature date of this notice. Any rebuttal comments, which may include factual information, must be filed by 5:00 p.m. ET on Monday, April 4, 2016, because 10 calendar days after the initial comments deadline falls on Saturday, April 2, 2016.10 The Department requests that any factual information the parties consider relevant to the scope of the investigation be submitted during this time period. However, if a party subsequently finds that additional factual information pertaining to the scope of the investigations may be relevant, the party may contact the Department and request permission to submit the additional information. All such comments must also be filed on the record of each of the concurrent AD and CVD investigations. Filing Requirements All submissions to the Department must be filed electronically using Enforcement and Compliance’s Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS).11 An electronically-filed document must be received successfully 8 See General Issues Supplemental Questionnaire. Antidumping Duties; Countervailing Duties; Final Rule, 62 FR 27296, 27323 (May 19, 1997). 10 See 19 CFR 351.303(b)(1) (‘‘For both electronically filed and manually filed documents, if the applicable due date falls on a non-business day, the Secretary will accept documents that are filed on the next business day.’’) 11 See 19 CFR 351.303 (for general filings requirements); see also Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance; Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014) for details of the Department’s electronic filing requirements, which went into effect on August 5, 2011. Information on help using ACCESS can be found at https://access.trade.gov/help.aspx and a handbook can be found at https:// access.trade.gov/help/Handbook%20on %20Electronic%20Filling%20Procedures.pdf. jstallworth on DSK7TPTVN1PROD with NOTICES 9 See VerDate Sep<11>2014 14:27 Mar 11, 2016 Jkt 238001 in its entirety by the time and date it is due. Documents excepted from the electronic submission requirements must be filed manually (i.e., in paper form) with Enforcement and Compliance’s APO/Dockets Unit, Room 18022, U.S. Department of Commerce, 14th Street and Constitution Avenue NW, Washington, DC 20230, and stamped with the date and time of receipt by the applicable deadlines. Consultations Pursuant to section 702(b)(4)(A)(i) of the Act, the Department notified representatives of the GOC of the receipt of the Petition. Also, in accordance with section 702(b)(4)(A)(ii) of the Act, the Department provided representatives of the GOC the opportunity for consultations with respect to the CVD Petition. Consultations were held with representatives of the PRC on February 25, 2016.12 All invitation letters and memoranda regarding these consultations are on file electronically via ACCESS. Determination of Industry Support for the Petition Section 702(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 702(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) At least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, the Department shall: (i) Poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support using a statistically valid sampling method to poll the ‘‘industry.’’ Section 771(4)(A) of the Act defines the ‘‘industry’’ as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs the Department to look to producers and workers who produce the 12 See Memorandum, ‘‘Countervailing Duty Petition on Stainless Steel Sheet from the People’s Republic of China: Consultations with the Government of China,’’ February 26, 2016. PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 13323 domestic like product. The International Trade Commission (ITC), which is responsible for determining whether ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both the Department and the ITC must apply the same statutory definition regarding the domestic like product,13 they do so for different purposes and pursuant to a separate and distinct authority. In addition, the Department’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law.14 Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the Petition). With regard to the domestic like product, Petitioners do not offer a definition of the domestic like product distinct from the scope of the investigation. Based on our analysis of the information submitted on the record, we have determined that stainless sheet and strip constitutes a single domestic like product, and we have analyzed industry support in terms of that domestic like product.15 In determining whether Petitioners have standing under section 702(c)(4)(A) of the Act, we considered the industry support data contained in the Petition with reference to the domestic like product as defined in the ‘‘Scope of the Investigation’’ in Appendix I of this notice. Petitioners provided their production of the domestic like product in 2015, as well 13 See section 771(10) of the Act. USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d 865 F.2d 240 (Fed. Cir. 1989)). 15 For a discussion of the domestic like product analysis in this case, see Countervailing Duty Investigation Initiation Checklist: Stainless Steel Sheet and Strip from the People’s Republic of China (PRC CVD Initiation Checklist), at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petitions Covering Stainless Steel Sheet and Strip from the People’s Republic of China (Attachment II). This checklist is dated concurrently with this notice and on file electronically via ACCESS. Access to documents filed via ACCESS is also available in the Central Records Unit, Room 18022 of the main Department of Commerce building. 14 See E:\FR\FM\14MRN1.SGM 14MRN1 13324 Federal Register / Vol. 81, No. 49 / Monday, March 14, 2016 / Notices jstallworth on DSK7TPTVN1PROD with NOTICES as an estimate of total production of the domestic like product for the entire domestic industry.16 To establish industry support, Petitioners compared their own production to total estimated production of the domestic like product for the entire domestic industry.17 We have relied upon data Petitioners provided for purposes of measuring industry support.18 Our review of the data provided in the Petition, the Second General Issues Supplement, and other information readily available to the Department indicates that Petitioners have established industry support.19 First, the Petition established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, the Department is not required to take further action in order to evaluate industry support (e.g., polling).20 Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petition account for at least 25 percent of the total production of the domestic like product.21 Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petition account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petition.22 Accordingly, the Department determines that the Petition was filed on behalf of the domestic industry within the meaning of section 702(b)(1) of the Act. The Department finds that Petitioners filed the Petition on behalf of the domestic industry because they are interested parties as defined in section 771(9)(C) of the Act and that they have demonstrated sufficient industry support with respect to the CVD investigation that they are requesting the Department initiate.23 16 See Volume I of the Petition, at 4–5 and Exhibits GEN–1 and GEN–12. 17 Id. For further discussion, see PRC CVD Initiation Checklist, at Attachment II. 18 See PRC CVD Initiation Checklist, at Attachment II. 19 Id. 20 See section 702(c)(4)(D) of the Act; see also PRC CVD Initiation Checklist, at Attachment II. 21 See PRC CVD Initiation Checklist, at Attachment II. 22 Id. 23 Id. VerDate Sep<11>2014 14:27 Mar 11, 2016 Jkt 238001 Injury Test Because the PRC is a ‘‘Subsidies Agreement Country’’ within the meaning of section 701(b) of the Act, section 701(a)(2) of the Act applies to this investigation. Accordingly, the ITC must determine whether imports of the subject merchandise from the PRC materially injure, or threaten material injury to, a U.S. industry. Allegations and Evidence of Material Injury and Causation Petitioners allege that imports of the subject merchandise are benefitting from countervailable subsidies and that such imports are causing, or threatening to cause, material injury to the U.S. industry producing the domestic like product. In addition, Petitioners allege that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.24 Petitioners contend that the industry’s injured condition is illustrated by: reduced market share, underselling and price suppression or depression, lost sales and revenues, reductions in U.S. production, shipments, and capacity utilization, decreased employment, and financial deterioration.25 We have assessed the allegations and supporting evidence regarding material injury, threat of material injury, and causation, and we have determined that these allegations are properly supported by adequate evidence and meet the statutory requirements for initiation.26 Initiation of Countervailing Duty Investigation Section 702(b)(1) of the Act requires the Department to initiate a CVD investigation whenever an interested party filed a CVD petition on behalf of an industry that: (1) alleges elements necessary for an imposition of a duty under section 701(a) of the Act; and (2) is accompanied by information reasonably available to Petitioners supporting the allegations. Petitioners allege that producers/ exporters of stainless steel sheet and strip from the PRC benefit from countervailable subsidies bestowed by the GOC. The Department examined the Petition and finds that it complies with 24 See Volume I of the Petition, at 13 and Exhibit GEN–6; see also General Issues Supplement, at 4–5 and Exhibit GEN-Supp. 6. 25 See Volume I of the Petition, at 14–19 and Exhibits GEN–6 and GEN–8 through GEN–12; see also Second General Issues Supplement, at 4–5 and Exhibit GEN-Supp. 5. 26 See PRC CVD Initiation Checklist, at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and Countervailing Duty Petitions Covering Stainless Steel Sheet and Strip from the People’s Republic of China. PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 the requirements of section 702(b)(1) of the Act. Therefore, in accordance with section 702(b)(1) of the Act, we are initiating a CVD investigation to determine whether manufacturers, producers, or exporters of stainless steel sheet and strip from the PRC receive countervailable subsidies from the GOC. Based on our review of the Petition, we find that there is sufficient information to initiate a CVD investigation on all 41 alleged programs in the PRC.27 For a full discussion of the basis for our decision to initiate on each program, see the PRC CVD Initiation Checklist. A public version of the initiation checklists for each investigation is available on ACCESS. In accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determination no later than 65 days after the date of this initiation. On June 29, 2015, the President of the United States signed into law the Trade Preferences Extension Act of 2015, which made numerous amendments to the AD and CVD law.28 The 2015 law does not specify dates of application for those amendments. On August 6, 2015, the Department published an interpretative rule, in which it announced the applicability dates for each amendment to the Act, except for amendments contained in section 771(7) of the Act, which relate to determinations of material injury by the ITC.29 The amendments to sections 771(15), 773, 776, and 782 of the Act are applicable to all determinations made on or after August 6, 2015, and, therefore, apply to this CVD investigation.30 Respondent Selection Petitioners named 158 companies as producers/exporters of stainless steel sheet and strip in the PRC.31 Following standard practice in CVD investigations, the Department will, where appropriate, select respondents based on U.S. Customs and Border Protection (‘‘CBP’’) data for U.S. imports of amorphous silica fabric during the period of investigation. For this investigation, the Department will release U.S. Customs and Border Protection (CBP) data for 27 See PRC CVD Initiation Checklist for a more detailed explanation. 28 See Trade Preferences Extension Act of 2015, Pub. L. 114–27, 129 Stat. 362 (2015). 29 See Dates of Application of Amendments to the Antidumping and Countervailing Duty Laws Made by the Trade Preferences Extension Act of 2015, 80 FR 46793 (August 6, 2015) (Applicability Notice). 30 Id., at 46794–95. The 2015 amendments may be found at https://www.congress.gov/bill/114thcongress/house-bill/1295/text/pl. 31 See Volume I of the Petition, at Exhibit GEN– 5. E:\FR\FM\14MRN1.SGM 14MRN1 Federal Register / Vol. 81, No. 49 / Monday, March 14, 2016 / Notices U.S. imports of subject merchandise during the period of investigation under the Harmonized Tariff Schedule of the United States (HTSUS) numbers listed in the scope. We intend to release the CBP data under Administrative Protective Order (APO) to all parties with access to information protected by APO within five business days of the announcement of this Federal Register notice. Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305(b). Instructions for filing such applications may be found at http:// enforcement.trade.gov/apo/. Interested parties may submit comments regarding the CBP data and respondent selection. Comments must be filed in accordance with the filing requirements stated above. If respondent selection is necessary, we intend to base our decision regarding respondent selection upon comments received from interested parties and our analysis of the record information within 20 days of publication of this notice. Distribution of Copies of the Petition In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR 351.202(f), copies of the public version of the Petition have been provided to the GOC via ACCESS. Because of the particularly large number of producers/ exporters identified in the Petition, the Department considers the service of the public version of the Petition to the foreign producers/exporters satisfied by the delivery of the public version to the GOC, consistent with 19 CFR 351.203(c)(2). jstallworth on DSK7TPTVN1PROD with NOTICES ITC Notification We will notify the ITC of our initiation, as required by section 702(d) of the Act. Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petition was filed, whether there is a reasonable indication that imports of stainless steel sheet and strip from the PRC are materially injuring, or threatening material injury to, a U.S. industry.32 A negative ITC determination will result in the investigation being terminated; 33 otherwise, these investigation will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) Evidence 32 See 33 See section 703(a)(2) of the Act. section 703(a)(1) of the Act. VerDate Sep<11>2014 14:27 Mar 11, 2016 submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by the Department; and (v) evidence other than factual information described in (i)–(iv). Any party, when submitting factual information, is required to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 34 and, if the information is being submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct.35 Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Parties should review the regulations prior to submitting factual information in these investigations. Extension of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351, or as otherwise specified by the Secretary. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351. For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, we may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in the letter or memorandum setting forth the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, stand-alone submission; under limited circumstances, we will grant untimelyfiled requests for the extension of time limits. Review Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013), available at http://www.gpo.gov/ fdsys/pkg/FR-2013-09-20/html/201322853.htm, prior to submitting factual information in these investigations. 34 See 35 See Jkt 238001 PO 00000 19 CFR 351.301(b). 19 CFR 351.301(b)(2). Frm 00016 Fmt 4703 Sfmt 4703 13325 Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.36 Parties are hereby reminded that revised certification requirements are in effect for company/government officials, as well as their representatives. Investigations initiated on the basis of petitions filed on or after August 16, 2013, and other segments of any AD or CVD proceedings initiated on or after August 16, 2013, should use the formats for the revised certifications provided at the end of the Final Rule.37 The Department intends to reject factual submissions if the submitting party does not comply with the applicable revised certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. On January 22, 2008, the Department published Antidumping and Countervailing Duty Proceedings: Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). Parties wishing to participate in these investigations should ensure that they meet the requirements of these procedures (e.g., the filing of letters of appearance as discussed at 19 CFR 351.103(d)). This notice is issued and published pursuant to sections 702 and 777(i) of the Act. Dated: March 3, 2016. Paul Piquado, Assistant Secretary for Enforcement and Compliance. Appendix I Scope of the Investigation The merchandise covered by this investigation is stainless steel sheet and strip, whether in coils or straight lengths. Stainless steel is an alloy steel containing, by weight, 1.2 percent or less of carbon and 10.5 percent or more of chromium, with or without other elements. The subject sheet and strip is a flatrolled product with a width that is greater than 9.5 mm and with a thickness of 0.3048 mm and greater but less than 4.75 mm, and that is annealed or otherwise heat treated, and pickled or otherwise descaled. The subject sheet and strip may also be further processed (e.g., cold-rolled, annealed, tempered, polished, aluminized, coated, painted, varnished, trimmed, cut, punched, 36 See section 782(b) of the Act. Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also frequently asked questions regarding the Final Rule, available at http://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 37 See E:\FR\FM\14MRN1.SGM 14MRN1 jstallworth on DSK7TPTVN1PROD with NOTICES 13326 Federal Register / Vol. 81, No. 49 / Monday, March 14, 2016 / Notices or slit, etc.) provided that it maintains the specific dimensions of sheet and strip set forth above following such processing. The products described include products regardless of shape, and include products of either rectangular or non-rectangular crosssection where such cross-section is achieved subsequent to the rolling process, i.e., products which have been ‘‘worked after rolling’’ (e.g., products which have been beveled or rounded at the edges). For purposes of the width and thickness requirements referenced above: (1) Where the nominal and actual measurements vary, a product is within the scope if application of either the nominal or actual measurement would place it within the scope based on the definitions set forth above; and (2) where the width and thickness vary for a specific product (e.g., the thickness of certain products with non-rectangular cross-section, the width of certain products with nonrectangular shape, etc.), the measurement at its greatest width or thickness applies. All products that meet the written physical description, and in which the chemistry quantities do not exceed any one of the noted element levels listed above, are within the scope of this investigation unless specifically excluded. Subject merchandise includes stainless steel sheet and strip that has been further processed in a third country, including but not limited to cold-rolling, annealing, tempering, polishing, aluminizing, coating, painting, varnishing, trimming, cutting, punching, and/or slitting, or any other processing that would not otherwise remove the merchandise from the scope of the investigation if performed in the country of manufacture of the stainless steel sheet and strip. Excluded from the scope of this investigation are the following: (1) Sheet and strip that is not annealed or otherwise heat treated and not pickled or otherwise descaled; (2) plate (i.e., flat-rolled stainless steel products of a thickness of 4.75 mm or more); and (3) flat wire (i.e., cold-rolled sections, with a mill edge, rectangular in shape, of a width of not more than 9.5 mm). The products under investigation are currently classifiable under Harmonized Tariff Schedule of the United States (HTSUS) subheadings 7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.13.0081, 7219.14.0030, 7219.14.0065, 7219.14.0090, 7219.23.0030, 7219.23.0060, 7219.24.0030, 7219.24.0060, 7219.32.0005, 7219.32.0020, 7219.32.0025, 7219.32.0035, 7219.32.0036, 7219.32.0038, 7219.32.0042, 7219.32.0044, 7219.32.0045, 7219.32.0060, 7219.33.0005, 7219.33.0020, 7219.33.0025, 7219.33.0035, 7219.33.0036, 7219.33.0038, 7219.33.0042, 7219.33.0044, 7219.33.0045, 7219.33.0070, 7219.33.0080, 7219.34.0005, 7219.34.0020, 7219.34.0025, 7219.34.0030, 7219.34.0035, 7219.34.0050, 7219.35.0005, 7219.35.0015, 7219.35.0030, 7219.35.0035, 7219.35.0050, 7219.90.0010, 7219.90.0020, 7219.90.0025, 7219.90.0060, 7219.90.0080, 7220.12.1000, 7220.12.5000, 7220.20.1010, 7220.20.1015, 7220.20.1060, 7220.20.1080, 7220.20.6005, 7220.20.6010, 7220.20.6015, 7220.20.6060, 7220.20.6080, 7220.20.7005, 7220.20.7010, 7220.20.7015, 7220.20.7060, 7220.20.7080, 7220.90.0010, VerDate Sep<11>2014 14:27 Mar 11, 2016 Jkt 238001 7220.90.0015, 7220.90.0060, and 7220.90.0080. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of this proceeding is dispositive. [FR Doc. 2016–05469 Filed 3–11–16; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–570–806] Silicon Metal From the People’s Republic of China: Preliminary Results of Antidumping Duty Administrative Review; 2014–2015 Enforcement and Compliance, International Trade Administration, Department of Commerce DATES: Effective Date: March 14, 2016. SUMMARY: The Department of Commerce (‘‘Department’’) is conducting an administrative review of the antidumping duty order on silicon metal from the People’s Republic of China (‘‘PRC’’) for the period of review (‘‘POR’’) June 1, 2014, through May 31, 2015. This review covers two PRC companies. The Department preliminarily determines that both of the companies under review, Shanghai Jinneng and Shanghai Jinfeng, are part of the PRC-wide entity. Interested parties are invited to comment on these preliminary results. FOR FURTHER INFORMATION CONTACT: Aleksandras Nakutis, AD/CVD Operations, Office IV, Enforcement & Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482–3147. SUPPLEMENTARY INFORMATION: AGENCY: Background The Department published the notice of initiation of this administrative review on August 3, 2015.1 The Department has exercised its discretion to toll all administrative deadlines due to the recent closure of the Federal Government because of Snowstorm ‘‘Jonas’’. Thus, all of the deadlines in this segment of the proceeding have been extended by four business days. The revised deadline for the preliminary 1 See Initiation of Antidumping and Countervailing Duty Administrative Reviews, 80 FR 45947 (August 03, 2015) (‘‘Initiation Notice’’). The companies under review are: Shanghai Jinneng International Trade Co. Ltd. (‘‘Shanghai Jinneng’’) and Shanghai Jinfeng Hardware Plastics Co. Ltd. (‘‘Shanghai Jinfeng’’). PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 results of review is now March 7, 2016.2 For a complete description of the events that followed the initiation of this administrative review, see the Preliminary Decision Memorandum 3 that is dated concurrently with, and hereby adopted by, 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 http://access.trade.gov and in the Central Records Unit, room B8024 of the main Department of Commerce building. In addition, a complete version of the Preliminary Results Decision Memorandum can be accessed directly on the Internet at http:// enforcement.trade.gov/frn/index.html. The signed and the electronic versions of the Preliminary Decision Memorandum are identical in content. Scope of the Order The merchandise covered by this review is silicon metal containing at least 96.00 percent, but less than 99.99 percent of silicon by weight. Also covered by this review is silicon metal containing between 89.00 and 96.00 percent silicon by weight but which contains a higher aluminum content than the silicon metal containing at least 96.00 percent but less than 99.99 percent silicon by weight (58 FR 27542, May 10, 1993). Silicon metal is currently provided for under subheadings 2804.69.10 and 2804.69.50 of the Harmonized Tariff Schedule (‘‘HTS’’) as a chemical product, but is commonly referred to as a metal. Semiconductor-grade silicon (silicon metal containing by weight not less than 99.99 percent of silicon and provided for in subheading 2804.61.00 of the HTS) is not subject to this order. Although the HTS numbers are provided for convenience and customs purposes, the written description remains dispositive. 2 See Memorandum to the Record from Ron Lorentzen, Acting Assistant Secretary for Enforcement & Compliance, regarding ‘‘Tolling of Administrative Deadlines as a Result of the Government Closure during Snowstorm Jonas,’’ dated January 27, 2016. 3 See Decision Memorandum for Preliminary Results of Antidumping Duty Administrative Review: Silicon Metal from the People’s Republic of China; 2014–2015 (‘‘Preliminary Decision Memorandum’’), from Christian Marsh, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations to Paul Piquado, Assistant Secretary for Enforcement and Compliance. E:\FR\FM\14MRN1.SGM 14MRN1

Agencies

[Federal Register Volume 81, Number 49 (Monday, March 14, 2016)]
[Notices]
[Pages 13322-13326]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-05469]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-043]


Stainless Steel Sheet and Strip From the People's Republic of 
China: Initiation of Countervailing Duty Investigation

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

DATES: Effective March 3, 2016.

FOR FURTHER INFORMATION CONTACT: Sean Carey at (202) 482-3964; AD/CVD 
Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

The Petition

    On February 12, 2016, the Department of Commerce (Department) 
received a countervailing duty (CVD) petition concerning imports of 
stainless steel sheet and strip from the People's Republic of China 
(PRC), filed in proper form on behalf of AK Steel Corporation, 
Allegheny Ludlum, LLC d/b/a ATI Flat Rolled Products, North American 
Stainless, and Outokumpu Stainless USA, LLC (collectively, 
Petitioners).\1\ The CVD petition was accompanied by an Antidumping 
Duty (AD) petition for stainless steel sheet and strip from the PRC.\2\ 
Petitioners are domestic producers of stainless steel sheet and strip, 
which represents the domestic industry engaged in the manufacture of 
stainless steel sheet and strip in the United States.\3\
---------------------------------------------------------------------------

    \1\ See ``Stainless Steel Sheet and Strip from the People's 
Republic of China--Petitions for the Imposition of Antidumping and 
Countervailing Duties,'' dated February 12, 2016 (Petition).
    \2\ Id.
    \3\ See Volume I of the Petition, at 2-3.
---------------------------------------------------------------------------

    On February 17, 2016, the Department requested information and 
clarification of certain areas of the Petition.\4\ On February 19, 
2016, Petitioners filed responses to these requests \5\ and an 
amendment to the scope section of the petition.\6\
---------------------------------------------------------------------------

    \4\ See the following February 17, 2016, letters from the 
Department to Petitioners: ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Imports of Stainless Steel 
Sheet and Strip from the People's Republic of China: Supplemental 
Questions'' (General Issues Supplemental Questionnaire), ``Petition 
for the Imposition of Countervailing Duties on Imports of Stainless 
Steel Sheet and Strip from the People's Republic of China: 
Supplemental Questions'' (CVD Supplemental Questionnaire).
    \5\ See the following February 19, 2016, responses from 
Petitioners: ``Stainless Steel Sheet and Strip from the People's 
Republic of China--Petitioners' Response to the Department's 
Questions on General and Injury Volume of Petition and Amendment to 
Petition to Modify Scope Language,'' (General Issues Supplement); 
``Stainless Steel Sheet and Strip from the People's Republic of 
China--Petitioners' Response to the CVD Supplemental Questionnaire'' 
(CVD Supplemental Response).
    \6\ See CVD Supplemental Response, at Exhibit GEN-Supp.2.
---------------------------------------------------------------------------

    In accordance with section 702(b)(1) of the Tariff Act of 1930, as 
amended (the Act), Petitioners allege that the Government of China 
(GOC) is providing countervailable subsidies (within the meaning of 
sections 701 and 771(5) of the Act) to imports of stainless steel sheet 
and strip from the PRC, and that such imports are materially injuring, 
or threatening material injury to, an industry in the United States. 
Also, consistent with section 702(b)(1) of the Act, for those alleged 
programs in the PRC on which we have initiated a CVD investigation, the 
Petition is accompanied by information reasonably available to 
Petitioners supporting their allegation.
    The Department finds that Petitioner filed this Petition on behalf 
of the domestic industry because it is an interested party as defined 
in section 771(9)(C) of the Act, and Petitioner has demonstrated 
sufficient industry support with respect to the CVD investigation that 
it is requesting the Department to initiate.\7\
---------------------------------------------------------------------------

    \7\ See the ``Determination of Industry Support for the 
Petitions'' section below.
---------------------------------------------------------------------------

Period of Investigation

    Pursuant to 19 CFR 351.204(b)(2), because the Petition was filed on 
February 12, 2016, the period of investigation is January 1, 2015, 
through December 31, 2015.

Scope of the Investigation

    The product covered by this investigation is stainless steel sheet 
and strip from the PRC. For a full description of the scope of the 
investigation, see the ``Scope of the Investigation'' in Appendix I of 
this notice.

Comments on Scope of the Investigations

    During our review of the Petition, the Department issued questions 
to, and received responses from, Petitioners pertaining to the proposed 
scope to ensure that the scope language in the Petition would be an 
accurate reflection

[[Page 13323]]

of the products for which the domestic industry is seeking relief.\8\
---------------------------------------------------------------------------

    \8\ See General Issues Supplemental Questionnaire.
---------------------------------------------------------------------------

    As discussed in the preamble to the Department's regulations,\9\ we 
are setting aside a period for interested parties to raise issues 
regarding product coverage (scope). The Department will consider all 
comments received from interested parties and, if necessary, will 
consult with interested parties prior to the issuance of the 
preliminary determinations. If scope comments include factual 
information (see 19 CFR 351.102(b)(21)), all such factual information 
should be limited to public information. In order to facilitate 
preparation of its questionnaires, the Department requests all 
interested parties submit such comments by 5:00 p.m. Eastern Time (ET) 
on Tuesday, March 23, 2016, which is 20 calendar days from the 
signature date of this notice. Any rebuttal comments, which may include 
factual information, must be filed by 5:00 p.m. ET on Monday, April 4, 
2016, because 10 calendar days after the initial comments deadline 
falls on Saturday, April 2, 2016.\10\
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    \9\ See Antidumping Duties; Countervailing Duties; Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \10\ See 19 CFR 351.303(b)(1) (``For both electronically filed 
and manually filed documents, if the applicable due date falls on a 
non-business day, the Secretary will accept documents that are filed 
on the next business day.'')
---------------------------------------------------------------------------

    The Department requests that any factual information the parties 
consider relevant to the scope of the investigation be submitted during 
this time period. However, if a party subsequently finds that 
additional factual information pertaining to the scope of the 
investigations may be relevant, the party may contact the Department 
and request permission to submit the additional information. All such 
comments must also be filed on the record of each of the concurrent AD 
and CVD investigations.

Filing Requirements

    All submissions to the Department must be filed electronically 
using Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS).\11\ An electronically-
filed document must be received successfully in its entirety by the 
time and date it is due. Documents excepted from the electronic 
submission requirements must be filed manually (i.e., in paper form) 
with Enforcement and Compliance's APO/Dockets Unit, Room 18022, U.S. 
Department of Commerce, 14th Street and Constitution Avenue NW, 
Washington, DC 20230, and stamped with the date and time of receipt by 
the applicable deadlines.
---------------------------------------------------------------------------

    \11\ See 19 CFR 351.303 (for general filings requirements); see 
also Antidumping and Countervailing Duty Proceedings: Electronic 
Filing Procedures; Administrative Protective Order Procedures, 76 FR 
39263 (July 6, 2011); see also Enforcement and Compliance; Change of 
Electronic Filing System Name, 79 FR 69046 (November 20, 2014) for 
details of the Department's electronic filing requirements, which 
went into effect on August 5, 2011. Information on help using ACCESS 
can be found at https://access.trade.gov/help.aspx and a handbook 
can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filling%20Procedures.pdf.
---------------------------------------------------------------------------

Consultations

    Pursuant to section 702(b)(4)(A)(i) of the Act, the Department 
notified representatives of the GOC of the receipt of the Petition. 
Also, in accordance with section 702(b)(4)(A)(ii) of the Act, the 
Department provided representatives of the GOC the opportunity for 
consultations with respect to the CVD Petition.
    Consultations were held with representatives of the PRC on February 
25, 2016.\12\ All invitation letters and memoranda regarding these 
consultations are on file electronically via ACCESS.
---------------------------------------------------------------------------

    \12\ See Memorandum, ``Countervailing Duty Petition on Stainless 
Steel Sheet from the People's Republic of China: Consultations with 
the Government of China,'' February 26, 2016.
---------------------------------------------------------------------------

Determination of Industry Support for the Petition

    Section 702(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 702(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, the Department 
shall: (i) Poll the industry or rely on other information in order to 
determine if there is support for the petition, as required by 
subparagraph (A); or (ii) determine industry support using a 
statistically valid sampling method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs the Department to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both the Department and 
the ITC must apply the same statutory definition regarding the domestic 
like product,\13\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, the Department's 
determination is subject to limitations of time and information. 
Although this may result in different definitions of the like product, 
such differences do not render the decision of either agency contrary 
to law.\14\
---------------------------------------------------------------------------

    \13\ See section 771(10) of the Act.
    \14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------

    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
Petition).
    With regard to the domestic like product, Petitioners do not offer 
a definition of the domestic like product distinct from the scope of 
the investigation. Based on our analysis of the information submitted 
on the record, we have determined that stainless sheet and strip 
constitutes a single domestic like product, and we have analyzed 
industry support in terms of that domestic like product.\15\
---------------------------------------------------------------------------

    \15\ For a discussion of the domestic like product analysis in 
this case, see Countervailing Duty Investigation Initiation 
Checklist: Stainless Steel Sheet and Strip from the People's 
Republic of China (PRC CVD Initiation Checklist), at Attachment II, 
Analysis of Industry Support for the Antidumping and Countervailing 
Duty Petitions Covering Stainless Steel Sheet and Strip from the 
People's Republic of China (Attachment II). This checklist is dated 
concurrently with this notice and on file electronically via ACCESS. 
Access to documents filed via ACCESS is also available in the 
Central Records Unit, Room 18022 of the main Department of Commerce 
building.
---------------------------------------------------------------------------

    In determining whether Petitioners have standing under section 
702(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petition with reference to the domestic like product 
as defined in the ``Scope of the Investigation'' in Appendix I of this 
notice. Petitioners provided their production of the domestic like 
product in 2015, as well

[[Page 13324]]

as an estimate of total production of the domestic like product for the 
entire domestic industry.\16\ To establish industry support, 
Petitioners compared their own production to total estimated production 
of the domestic like product for the entire domestic industry.\17\ We 
have relied upon data Petitioners provided for purposes of measuring 
industry support.\18\
---------------------------------------------------------------------------

    \16\ See Volume I of the Petition, at 4-5 and Exhibits GEN-1 and 
GEN-12.
    \17\ Id. For further discussion, see PRC CVD Initiation 
Checklist, at Attachment II.
    \18\ See PRC CVD Initiation Checklist, at Attachment II.
---------------------------------------------------------------------------

    Our review of the data provided in the Petition, the Second General 
Issues Supplement, and other information readily available to the 
Department indicates that Petitioners have established industry 
support.\19\ First, the Petition established support from domestic 
producers (or workers) accounting for more than 50 percent of the total 
production of the domestic like product and, as such, the Department is 
not required to take further action in order to evaluate industry 
support (e.g., polling).\20\ Second, the domestic producers (or 
workers) have met the statutory criteria for industry support under 
section 702(c)(4)(A)(i) of the Act because the domestic producers (or 
workers) who support the Petition account for at least 25 percent of 
the total production of the domestic like product.\21\ Finally, the 
domestic producers (or workers) have met the statutory criteria for 
industry support under section 702(c)(4)(A)(ii) of the Act because the 
domestic producers (or workers) who support the Petition account for 
more than 50 percent of the production of the domestic like product 
produced by that portion of the industry expressing support for, or 
opposition to, the Petition.\22\ Accordingly, the Department determines 
that the Petition was filed on behalf of the domestic industry within 
the meaning of section 702(b)(1) of the Act.
---------------------------------------------------------------------------

    \19\ Id.
    \20\ See section 702(c)(4)(D) of the Act; see also PRC CVD 
Initiation Checklist, at Attachment II.
    \21\ See PRC CVD Initiation Checklist, at Attachment II.
    \22\ Id.
---------------------------------------------------------------------------

    The Department finds that Petitioners filed the Petition on behalf 
of the domestic industry because they are interested parties as defined 
in section 771(9)(C) of the Act and that they have demonstrated 
sufficient industry support with respect to the CVD investigation that 
they are requesting the Department initiate.\23\
---------------------------------------------------------------------------

    \23\ Id.
---------------------------------------------------------------------------

Injury Test

    Because the PRC is a ``Subsidies Agreement Country'' within the 
meaning of section 701(b) of the Act, section 701(a)(2) of the Act 
applies to this investigation. Accordingly, the ITC must determine 
whether imports of the subject merchandise from the PRC materially 
injure, or threaten material injury to, a U.S. industry.

Allegations and Evidence of Material Injury and Causation

    Petitioners allege that imports of the subject merchandise are 
benefitting from countervailable subsidies and that such imports are 
causing, or threatening to cause, material injury to the U.S. industry 
producing the domestic like product. In addition, Petitioners allege 
that subject imports exceed the negligibility threshold provided for 
under section 771(24)(A) of the Act.\24\
---------------------------------------------------------------------------

    \24\ See Volume I of the Petition, at 13 and Exhibit GEN-6; see 
also General Issues Supplement, at 4-5 and Exhibit GEN-Supp. 6.
---------------------------------------------------------------------------

    Petitioners contend that the industry's injured condition is 
illustrated by: reduced market share, underselling and price 
suppression or depression, lost sales and revenues, reductions in U.S. 
production, shipments, and capacity utilization, decreased employment, 
and financial deterioration.\25\ We have assessed the allegations and 
supporting evidence regarding material injury, threat of material 
injury, and causation, and we have determined that these allegations 
are properly supported by adequate evidence and meet the statutory 
requirements for initiation.\26\
---------------------------------------------------------------------------

    \25\ See Volume I of the Petition, at 14-19 and Exhibits GEN-6 
and GEN-8 through GEN-12; see also Second General Issues Supplement, 
at 4-5 and Exhibit GEN-Supp. 5.
    \26\ See PRC CVD Initiation Checklist, at Attachment III, 
Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Stainless Steel Sheet and Strip from the People's Republic 
of China.
---------------------------------------------------------------------------

Initiation of Countervailing Duty Investigation

    Section 702(b)(1) of the Act requires the Department to initiate a 
CVD investigation whenever an interested party filed a CVD petition on 
behalf of an industry that: (1) alleges elements necessary for an 
imposition of a duty under section 701(a) of the Act; and (2) is 
accompanied by information reasonably available to Petitioners 
supporting the allegations.
    Petitioners allege that producers/exporters of stainless steel 
sheet and strip from the PRC benefit from countervailable subsidies 
bestowed by the GOC. The Department examined the Petition and finds 
that it complies with the requirements of section 702(b)(1) of the Act. 
Therefore, in accordance with section 702(b)(1) of the Act, we are 
initiating a CVD investigation to determine whether manufacturers, 
producers, or exporters of stainless steel sheet and strip from the PRC 
receive countervailable subsidies from the GOC.
    Based on our review of the Petition, we find that there is 
sufficient information to initiate a CVD investigation on all 41 
alleged programs in the PRC.\27\ For a full discussion of the basis for 
our decision to initiate on each program, see the PRC CVD Initiation 
Checklist. A public version of the initiation checklists for each 
investigation is available on ACCESS.
---------------------------------------------------------------------------

    \27\ See PRC CVD Initiation Checklist for a more detailed 
explanation.
---------------------------------------------------------------------------

    In accordance with section 703(b)(1) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determination no later than 65 days after the date of this initiation.
    On June 29, 2015, the President of the United States signed into 
law the Trade Preferences Extension Act of 2015, which made numerous 
amendments to the AD and CVD law.\28\ The 2015 law does not specify 
dates of application for those amendments. On August 6, 2015, the 
Department published an interpretative rule, in which it announced the 
applicability dates for each amendment to the Act, except for 
amendments contained in section 771(7) of the Act, which relate to 
determinations of material injury by the ITC.\29\ The amendments to 
sections 771(15), 773, 776, and 782 of the Act are applicable to all 
determinations made on or after August 6, 2015, and, therefore, apply 
to this CVD investigation.\30\
---------------------------------------------------------------------------

    \28\ See Trade Preferences Extension Act of 2015, Pub. L. 114-
27, 129 Stat. 362 (2015).
    \29\ See Dates of Application of Amendments to the Antidumping 
and Countervailing Duty Laws Made by the Trade Preferences Extension 
Act of 2015, 80 FR 46793 (August 6, 2015) (Applicability Notice).
    \30\ Id., at 46794-95. The 2015 amendments may be found at 
https://www.congress.gov/bill/114th-congress/house-bill/1295/text/pl.
---------------------------------------------------------------------------

Respondent Selection

    Petitioners named 158 companies as producers/exporters of stainless 
steel sheet and strip in the PRC.\31\ Following standard practice in 
CVD investigations, the Department will, where appropriate, select 
respondents based on U.S. Customs and Border Protection (``CBP'') data 
for U.S. imports of amorphous silica fabric during the period of 
investigation. For this investigation, the Department will release U.S. 
Customs and Border Protection (CBP) data for

[[Page 13325]]

U.S. imports of subject merchandise during the period of investigation 
under the Harmonized Tariff Schedule of the United States (HTSUS) 
numbers listed in the scope. We intend to release the CBP data under 
Administrative Protective Order (APO) to all parties with access to 
information protected by APO within five business days of the 
announcement of this Federal Register notice. Interested parties must 
submit applications for disclosure under APO in accordance with 19 CFR 
351.305(b). Instructions for filing such applications may be found at 
http://enforcement.trade.gov/apo/. Interested parties may submit 
comments regarding the CBP data and respondent selection. Comments must 
be filed in accordance with the filing requirements stated above. If 
respondent selection is necessary, we intend to base our decision 
regarding respondent selection upon comments received from interested 
parties and our analysis of the record information within 20 days of 
publication of this notice.
---------------------------------------------------------------------------

    \31\ See Volume I of the Petition, at Exhibit GEN-5.
---------------------------------------------------------------------------

Distribution of Copies of the Petition

    In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR 
351.202(f), copies of the public version of the Petition have been 
provided to the GOC via ACCESS. Because of the particularly large 
number of producers/exporters identified in the Petition, the 
Department considers the service of the public version of the Petition 
to the foreign producers/exporters satisfied by the delivery of the 
public version to the GOC, consistent with 19 CFR 351.203(c)(2).

ITC Notification

    We will notify the ITC of our initiation, as required by section 
702(d) of the Act.

Preliminary Determination by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petition was filed, whether there is a reasonable 
indication that imports of stainless steel sheet and strip from the PRC 
are materially injuring, or threatening material injury to, a U.S. 
industry.\32\ A negative ITC determination will result in the 
investigation being terminated; \33\ otherwise, these investigation 
will proceed according to statutory and regulatory time limits.
---------------------------------------------------------------------------

    \32\ See section 703(a)(2) of the Act.
    \33\ See section 703(a)(1) of the Act.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by the Department; and (v) evidence other than 
factual information described in (i)-(iv). Any party, when submitting 
factual information, is required to specify under which subsection of 
19 CFR 351.102(b)(21) the information is being submitted \34\ and, if 
the information is being submitted to rebut, clarify, or correct 
factual information already on the record, to provide an explanation 
identifying the information already on the record that the factual 
information seeks to rebut, clarify, or correct.\35\ Time limits for 
the submission of factual information are addressed in 19 CFR 351.301, 
which provides specific time limits based on the type of factual 
information being submitted. Parties should review the regulations 
prior to submitting factual information in these investigations.
---------------------------------------------------------------------------

    \34\ See 19 CFR 351.301(b).
    \35\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Extension of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351, or as 
otherwise specified by the Secretary. In general, an extension request 
will be considered untimely if it is filed after the expiration of the 
time limit established under 19 CFR 351. For submissions that are due 
from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in the letter or memorandum setting 
forth the deadline (including a specified time) by which extension 
requests must be filed to be considered timely. An extension request 
must be made in a separate, stand-alone submission; under limited 
circumstances, we will grant untimely-filed requests for the extension 
of time limits. Review Extension of Time Limits; Final Rule, 78 FR 
57790 (September 20, 2013), available at http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm, prior to submitting factual 
information in these investigations.

Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\36\ 
Parties are hereby reminded that revised certification requirements are 
in effect for company/government officials, as well as their 
representatives. Investigations initiated on the basis of petitions 
filed on or after August 16, 2013, and other segments of any AD or CVD 
proceedings initiated on or after August 16, 2013, should use the 
formats for the revised certifications provided at the end of the Final 
Rule.\37\ The Department intends to reject factual submissions if the 
submitting party does not comply with the applicable revised 
certification requirements.
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    \36\ See section 782(b) of the Act.
    \37\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also 
frequently asked questions regarding the Final Rule, available at 
http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
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Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. On January 22, 2008, the 
Department published Antidumping and Countervailing Duty Proceedings: 
Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 
22, 2008). Parties wishing to participate in these investigations 
should ensure that they meet the requirements of these procedures 
(e.g., the filing of letters of appearance as discussed at 19 CFR 
351.103(d)).
    This notice is issued and published pursuant to sections 702 and 
777(i) of the Act.

    Dated: March 3, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation is stainless steel 
sheet and strip, whether in coils or straight lengths. Stainless 
steel is an alloy steel containing, by weight, 1.2 percent or less 
of carbon and 10.5 percent or more of chromium, with or without 
other elements. The subject sheet and strip is a flat-rolled product 
with a width that is greater than 9.5 mm and with a thickness of 
0.3048 mm and greater but less than 4.75 mm, and that is annealed or 
otherwise heat treated, and pickled or otherwise descaled. The 
subject sheet and strip may also be further processed (e.g., cold-
rolled, annealed, tempered, polished, aluminized, coated, painted, 
varnished, trimmed, cut, punched,

[[Page 13326]]

or slit, etc.) provided that it maintains the specific dimensions of 
sheet and strip set forth above following such processing. The 
products described include products regardless of shape, and include 
products of either rectangular or non-rectangular cross-section 
where such cross-section is achieved subsequent to the rolling 
process, i.e., products which have been ``worked after rolling'' 
(e.g., products which have been beveled or rounded at the edges).
    For purposes of the width and thickness requirements referenced 
above: (1) Where the nominal and actual measurements vary, a product 
is within the scope if application of either the nominal or actual 
measurement would place it within the scope based on the definitions 
set forth above; and (2) where the width and thickness vary for a 
specific product (e.g., the thickness of certain products with non-
rectangular cross-section, the width of certain products with non-
rectangular shape, etc.), the measurement at its greatest width or 
thickness applies.
    All products that meet the written physical description, and in 
which the chemistry quantities do not exceed any one of the noted 
element levels listed above, are within the scope of this 
investigation unless specifically excluded.
    Subject merchandise includes stainless steel sheet and strip 
that has been further processed in a third country, including but 
not limited to cold-rolling, annealing, tempering, polishing, 
aluminizing, coating, painting, varnishing, trimming, cutting, 
punching, and/or slitting, or any other processing that would not 
otherwise remove the merchandise from the scope of the investigation 
if performed in the country of manufacture of the stainless steel 
sheet and strip.
    Excluded from the scope of this investigation are the following: 
(1) Sheet and strip that is not annealed or otherwise heat treated 
and not pickled or otherwise descaled; (2) plate (i.e., flat-rolled 
stainless steel products of a thickness of 4.75 mm or more); and (3) 
flat wire (i.e., cold-rolled sections, with a mill edge, rectangular 
in shape, of a width of not more than 9.5 mm).
    The products under investigation are currently classifiable 
under Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings 7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.13.0081, 
7219.14.0030, 7219.14.0065, 7219.14.0090, 7219.23.0030, 
7219.23.0060, 7219.24.0030, 7219.24.0060, 7219.32.0005, 
7219.32.0020, 7219.32.0025, 7219.32.0035, 7219.32.0036, 
7219.32.0038, 7219.32.0042, 7219.32.0044, 7219.32.0045, 
7219.32.0060, 7219.33.0005, 7219.33.0020, 7219.33.0025, 
7219.33.0035, 7219.33.0036, 7219.33.0038, 7219.33.0042, 
7219.33.0044, 7219.33.0045, 7219.33.0070, 7219.33.0080, 
7219.34.0005, 7219.34.0020, 7219.34.0025, 7219.34.0030, 
7219.34.0035, 7219.34.0050, 7219.35.0005, 7219.35.0015, 
7219.35.0030, 7219.35.0035, 7219.35.0050, 7219.90.0010, 
7219.90.0020, 7219.90.0025, 7219.90.0060, 7219.90.0080, 
7220.12.1000, 7220.12.5000, 7220.20.1010, 7220.20.1015, 
7220.20.1060, 7220.20.1080, 7220.20.6005, 7220.20.6010, 
7220.20.6015, 7220.20.6060, 7220.20.6080, 7220.20.7005, 
7220.20.7010, 7220.20.7015, 7220.20.7060, 7220.20.7080, 
7220.90.0010, 7220.90.0015, 7220.90.0060, and 7220.90.0080. Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, the written description of the scope of this proceeding is 
dispositive.

[FR Doc. 2016-05469 Filed 3-11-16; 8:45 am]
 BILLING CODE 3510-DS-P