Certain Iron Mechanical Transfer Drive Components From the People's Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value, 75032-75037 [2016-26104]

Download as PDF mstockstill on DSK3G9T082PROD with NOTICES 75032 Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices section, with an outside diameter (O.D.) not more than nominal 16 inches (406.4 mm), regardless of wall thickness, surface finish (e.g., black, galvanized, or painted), end finish (plain end, beveled end, grooved, threaded, or threaded and coupled), or industry specification (e.g., American Society for Testing and Materials International (ASTM), proprietary, or other), generally known as standard pipe, fence pipe and tube, sprinkler pipe, and structural pipe (although subject product may also be referred to as mechanical tubing). Specifically, the term ‘‘carbon quality’’ includes products in which: (a) iron predominates, by weight, over each of the other contained elements; (b) the carbon content is 2 percent or less, by weight; and (c) none of the elements listed below exceeds the quantity, by weight, as indicated: (i) 1.80 percent of manganese; (ii) 2.25 percent of silicon; (iii) 1.00 percent of copper; (iv) 0.50 percent of aluminum; (v) 1.25 percent of chromium; (vi) 0.30 percent of cobalt; (vii) 0.40 percent of lead; (viii) 1.25 percent of nickel; (ix) 0.30 percent of tungsten; (x) 0.15 percent of molybdenum; (xi) 0.10 percent of niobium; (xii) 0.41 percent of titanium; (xiii) 0.15 percent of vanadium; or (xiv) 0.15 percent of zirconium. Covered products are generally made to standard O.D. and wall thickness combinations. Pipe multi-stenciled to a standard and/or structural specification and to other specifications, such as American Petroleum Institute (API) API–5L specification, may also be covered by the scope of these investigations. In particular, such multi-stenciled merchandise is covered when it meets the physical description set forth above, and also has one or more of the following characteristics: Is 32 feet in length or less; is less than 2.0 inches (50 mm) in outside diameter; has a galvanized and/or painted (e.g., polyester coated) surface finish; or has a threaded and/or coupled end finish. Standard pipe is ordinarily made to ASTM specifications A53, A135, and A795, but can also be made to other specifications. Structural pipe is made primarily to ASTM specifications A252 and A500. Standard and structural pipe may also be produced to proprietary specifications rather than to industry specifications. Sprinkler pipe is designed for sprinkler fire suppression systems and may be made to industry specifications such as ASTM A53 or to proprietary specifications. Fence tubing is included in the scope regardless of certification to a specification listed in the exclusions below, and can also be made to the ASTM A513 specification. Products that meet the physical description set forth above but are made to the following nominal outside diameter and wall thickness combinations, which are recognized by the industry as typical for fence tubing, are included despite being certified to ASTM mechanical tubing specifications: VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 O.D. in inches (nominal) 1.315 1.315 1.315 1.315 1.315 1.315 1.315 1.660 1.660 1.660 1.660 1.660 1.900 1.900 1.900 1.900 1.900 1.900 2.375 2.375 2.375 2.375 2.375 2.375 2.375 2.875 2.875 3.500 3.500 4.000 4.000 4.500 ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... ..................... Wall thickness in inches (nominal) 0.035 0.047 0.055 0.065 0.072 0.083 0.095 0.055 0.065 0.083 0.095 0.109 0.047 0.055 0.065 0.072 0.095 0.109 0.047 0.055 0.065 0.072 0.095 0.109 0.120 0.109 0.165 0.109 0.165 0.148 0.165 0.203 Gauge 20 18 17 16 15 14 13 17 16 14 13 12 18 17 16 15 13 12 18 17 16 15 13 12 11 12 8 12 8 9 8 7 The scope of this investigation does not include: (a) pipe suitable for use in boilers, superheaters, heat exchangers, refining furnaces and feedwater heaters, whether or not cold drawn, which are defined by standards such as ASTM A178 or ASTM A192; (b) finished electrical conduit, i.e., Electrical Rigid Steel Conduit (also known as Electrical Rigid Metal Conduit and Electrical Rigid Metal Steel Conduit), Finished Electrical Metallic Tubing, and Electrical Intermediate Metal Conduit, which are defined by specifications such as American National Standard (ANSI) C80.1–2005, ANSI C80.3–2005, or ANSI C80.6–2005, and Underwriters Laboratories Inc. (UL) UL–6, UL–797, or UL–1242; (c) finished scaffolding, i.e., component parts of final, finished scaffolding that enter the United States unassembled as a ‘‘kit.’’ A kit is understood to mean a packaged combination of component parts that contains, at the time of importation, all of the necessary component parts to fully assemble final, finished scaffolding; (d) tube and pipe hollows for redrawing; (e) oil country tubular goods produced to API specifications; (f) line pipe produced to only API specifications, such as API 5L, and not multistenciled; and (g) mechanical tubing, whether or not colddrawn, other than what is included in the above paragraphs. The products subject to this investigation are currently classifiable in Harmonized PO 00000 Frm 00007 Fmt 4703 Sfmt 4703 Tariff Schedule of the United States (HTSUS) statistical reporting numbers 7306.19.1010, 7306.19.1050, 7306.19.5110, 7306.19.5150, 7306.30.1000, 7306.30.5015, 7306.30.5020, 7306.30.5025, 7306.30.5032, 7306.30.5040, 7306.30.5055, 7306.30.5085, 7306.30.5090, 7306.50.1000, 7306.50.5030, 7306.50.5050, and 7306.50.5070. The HTSUS subheadings above are provided for convenience and U.S. Customs purposes only. The written description of the scope of the investigation is dispositive. Appendix II List of Topics Discussed in the Issues and Decision Memorandum I. Summary II. Background III. Scope of the Investigation IV. Margin Calculations V. Discussion of the Issues 1. Management Fees 2. Weight Basis for Ajmal Steel 3. Ajmal Steel’s Rebate Adjustment 4. Depreciation on Revalued Assets for Ajmal Steel 5. General and Administrative and Financial Expenses for Ajmal Steel 6. Revision of Ajmal Steel’s POI Depreciation Analysis 7. Universal’s Level of Trade Adjustment 8. Credit Expenses for one of Universal’s U.S. Customers 9. U.S. Packing Costs for Universal 10. Sales to Universal’s Affiliated Reseller Al Zaher Building Materials LLC VI. Recommendation [FR Doc. 2016–26107 Filed 10–27–16; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–570–032] Certain Iron Mechanical Transfer Drive Components From the People’s Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (the ‘‘Department’’) determines that certain iron mechanical transfer drive components (‘‘IMTDC’’) from the People’s Republic of China (‘‘PRC’’) are being, or are likely to be, sold in the United States at less than fair value (‘‘LTFV’’). The period of investigation (‘‘POI’’) is April 1, 2015 through September 30, 2015. The final weightedaverage dumping margins of sales at LTFV are listed in the ‘‘Final Determination Dumping Margins’’ section of this notice. DATES: Effective October 28, 2016. FOR FURTHER INFORMATION CONTACT: Krisha Hill or Jonathan Hill, AD/CVD AGENCY: E:\FR\FM\28OCN1.SGM 28OCN1 Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230; telephone (202) 482–4037 or (202) 482–3518, respectively. SUPPLEMENTARY INFORMATION: Background On June 8, 2016, the Department published in the Federal Register its preliminary affirmative determination in the LTFV investigation of IMTDC from the PRC.1 A summary of the events that occurred since the Department published the Preliminary Determination, as well as a full discussion of the issues raised by parties for this final determination, may be found in the Issues and Decision Memorandum.2 The Issues and 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 is available to all parties in the Central Records Unit, Room B8024 of the main Department of Commerce building. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at http:// enforcement.trade.gov/frn/. The signed Issues and Decision Memorandum and the electronic version are identical in content. Period of Investigation The period of investigation (‘‘POI’’) is April 1, 2015, through September 30, 2015. mstockstill on DSK3G9T082PROD with NOTICES Scope of the Investigation The products covered by this investigation are iron mechanical transfer drive components. These products are properly classified under Harmonized Tariff Schedule of the 1 See Certain Iron Mechanical Transfer Drive Components From the People’s Republic of China: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 81 FR 36876 (June 8, 2016) (Preliminary Determination) and accompanying Preliminary Decision Memorandum. 2 See Memorandum from Gary Taverman, Associate Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, to Ronald Lorentzen, Acting Assistant Secretary for Enforcement and Compliance, ‘‘Antidumping Duty Investigation of Certain Iron Mechanical Transfer Drive Components from the People’s Republic of China: Issues and Decision Memorandum for the Final Determination of Sales at Less-Than-FairValue,’’ (‘‘Issues and Decision Memorandum’’), dated concurrently with this determination and hereby adopted by this notice. VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 United States (‘‘HTSUS’’) subheadings 8483.30.8090, 8483.50.6000, 8483.50.9040, 8483.50.9080, 8483.90.3000, 8483.90.8080. Covered merchandise may also enter under the following HTSUS subheadings: 7325.10.0080, 7325.99.1000, 7326.19.0010, 7326.19.0080, 8431.31.0040, 8431.31.0060, 8431.39.0010, 8431.39.0050, 8431.39.0070, 8431.39.0080, and 8483.50.4000. Although the HTSUS subheading is provided for convenience and customs purposes, the written description of the merchandise under investigation is dispositive. For a complete description of the scope of the investigation, see Appendix I to this notice. Scope Comments Since the Preliminary Determination, Petitioner, as well as interested parties Caterpillar Inc., Carrier Corporation, Dahua Machine Manufacturing Co. Ltd., General Motors Corporation, Kohler Co., Mercury Marine, Otis Elevator Company, Speed Solutions International Inc., ZF Services, LLC, and Vibracoustic North America LP, commented on the scope of this investigation as well as the companion IMTDCs LTFV investigation from the Canada and IMTDCs countervailing duty investigation from the PRC. The Department reviewed these comments and has incorporated into the scope of these investigations Petitioner’s exclusion for certain flywheels with a permanently attached outer ring gear and for certain parts of torsional vibration dampers. For further discussion, see the ‘‘Final Scope Decision Memorandum.’’ 3 The scope in Appendix I reflects the final modified scope language. Analysis of Comments Received All issues raised in the case and rebuttal briefs that were submitted by parties in this investigation are addressed in either the Final Determination Scope Decision Memorandum or the Issues and Decision Memorandum accompanying this notice, which is hereby adopted by this notice. A list of the issues 3 See Memorandum from Abdelali Elouaradia, Director, Office IV, Antidumping and Countervailing Duty Operations, to Gary Taverman, Associate Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, regarding ‘‘Antidumping Duty Investigations of Certain Iron Mechanical Transfer Drive Components from Canada and the People’s Republic of China and Countervailing Duty Investigation of Certain Iron Mechanical Transfer Drive Components from the People’s Republic of China: Scope Decision Memorandum for the Final Determinations,’’ (‘‘Final Scope Decision Memorandum’’) dated concurrently with this final determination. PO 00000 Frm 00008 Fmt 4703 Sfmt 4703 75033 addressed in the Issues and Decision Memorandum is attached to this notice at Appendix II. Verification As provided in section 782(i) of the Tariff Act of 1930, as amended (‘‘the Act’’), in June 2016, we verified the sales and factors of production information submitted by Powermach Import & Export Co., Ltd. (‘‘Powermach’’),4 the sole participating individually examined respondent. We used standard verification procedures, including an examination of relevant accounting and production records, and original source documents provided by Powermach.5 Separate Rates In the Preliminary Determination, the Department granted separate-rate status to all of the companies which provided separate rates information, except NOK (Wuxi) Vibration Control China Co. Ltd. (‘‘NVCC’’), which withdrew from participation as a mandatory respondent in this investigation, and Baldor Electric Canada (‘‘Baldor’’) and Yueqing Bethel Shaft Collar Manufacturing Co., Ltd. (‘‘Yueqing Bethel’’), which failed to respond to the Department’s request for supplemental information. In this final determination, the Department has continued to treat these three companies as part of the PRC-wide entity and is also treating Zhejiang Dongxing Auto Parts Co., Ltd. (‘‘Dongxing’’) as part of the PRC-wide entity. For a full discussion of the Department’s separate rates determinations with respect to Baldor, Yueqing Bethel, and Dongxing (no parties commented on the Department’s separate rate determination with respect to NVCC) 4 We have continued to treat Powermach Import & Export Co., Ltd., Sichuan Dawn Precision Technology Co., Ltd., Sichuan Dawn Foundry Co., Ltd., and Powermach Co., Ltd. as a single entity based upon consideration of the factors in 19 CFR 351.401(f). See Memorandum from Krisha Hill, International Trade Analyst, AD/CVD Operations, Office IV through Howard Smith, Program Manager, AD/CVD Operations, Office IV to Abdelali Elouaradia, Office Director, AD/CVD Operations, Office IV, regarding ‘‘Certain Iron Mechanical Transfer Drive Components from The People’s Republic of China: Preliminary Affiliation and Collapsing Memorandum’’ (May 31, 2016). 5 See Memorandum from Krisha Hill, International Trade Compliance Analyst, Office IV, Enforcement and Compliance and Jonathan Hill, International Trade Compliance Analyst, Office IV, Enforcement and Compliance through Howard Smith, Program Manager, Office IV Enforcement and Compliance to The File ‘‘Verification Report of the Sales and Factors Responses of Powermach Import & Export Co., Ltd. (Sichuan), Sichuan Dawn Precision Technology Co., Ltd., Sichuan Dawn Foundry Co., Ltd., and Powermach Co., Ltd. in the Antidumping Duty Investigation of Certain Iron Mechanical Transfer Drive Components from the People’s Republic of China,’’ dated August 3, 2016. E:\FR\FM\28OCN1.SGM 28OCN1 75034 Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices see the Issues and Decision Memorandum. Changes to the Dumping Margin Calculations Since the Preliminary Determination Based on the Department’s analysis of the comments received and findings at verification, we made certain changes to our dumping margin calculations. For a discussion of these changes, see the Issues and Decision Memorandum. Dumping Margins for Non-Individually Examined Respondents Under section 735(c)(5)(A) of the Act, the estimated rate for all companies that have not been individually examined is normally equal to the weighted average of the estimated weighted-average dumping margins established for exporters and producers individually examined, excluding any zero and de minimis dumping margins, and any dumping margins determined entirely on the basis of facts available. In this final determination, we calculated a weighted-average dumping margin for Powermach (the only cooperating mandatory respondent) which is not zero, de minimis, or based entirely on facts available. Accordingly, we assigned Powermach’s weighted-average dumping margin to non-individually examined PRC exporters qualifying for a separate rate. PRC-Wide Rate In our Preliminary Determination, we found that the PRC-wide entity, which includes certain PRC exporters and/or producers that did not respond to the Department’s requests for information, failed to provide necessary information, failed to provide information in a timely manner, and significantly impeded this proceeding by not submitting the requested information. We also find that they failed to cooperate. As a result, we preliminarily determined to calculate the PRC-wide dumping margin on the basis of adverse facts available (‘‘AFA’’) pursuant to section 776(b) of the Act. We compared the petition dumping margins to the dumping margins that we calculated for Powermach, the participating individually examined respondent, in order to determine the probative value of the dumping margins in the petition for use as AFA. We continue to find that the highest petition dumping margin, 401.68 percent, is reliable and relevant because it is within the range of the transaction-specific dumping margins on the record for Powermach. Therefore, we assigned this dumping margin (i.e., 401.68 percent) to the PRC-wide entity. Combination Rates In the Initiation Notice, the Department stated that it would calculate combination rates for the respondents that are eligible for a separate rate in this investigation.6 Policy Bulletin 05.1 describes this practice.7 Final Determination Dumping Margins For this final determination, the Department determines that IMTDC are being or likely to be sold in the United States at LTFV, as provided in section 735 of the Act. The Department determines that the following weightedaverage dumping margins exist during the period April 1, 2015, through September 30, 2015: Weightedaverage dumping margin (percent) Exporter Producer Powermach Import & Export Co., Ltd. (Sichuan)/Sichuan Dawn Precision Technology Co., Ltd./Sichuan Dawn Foundry Co., Ltd./Powermach Co., Ltd. Fuqing Jiacheng Trading Corporation Limited ........................... Haiyang Jingweida Gearing Co., Ltd .......................................... Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Powermach Import & Export Co., Ltd. (Sichuan)/Sichuan Dawn Precision Technology Co., Ltd./Sichuan Dawn Foundry Co., Ltd./Powermach Co., Ltd. Fuzhou Min Yue Mechanical & Electrical Co., Ltd .................... Haiyang Jingweida Gearing Co., Ltd ......................................... Shijiazhuang CAPT Power Transmission Co., Ltd .................... Shanghai CPT Machinery Co., Ltd ............................................ Yueqing Bethel Shaft Collar Manufacturing Co., Ltd ................ Kezheng (Fuzhou) Mechanical & Electrical Manufacture Co., Ltd. Handan Hengfa Transmission Co., Ltd ..................................... Shijiazhuang Lihua Mechanical Manufacturing Co., Ltd ........... Xingtai Shengjia Machinery and Equipment Factory ................ Shanghai Keli Machinery Co., Ltd ............................................. Jiangsu Zhengya Technology Co., Ltd ...................................... Taizhou Feiyang Metal Spinning Co., Ltd ................................. Taizhou Pengxun Machinery Manufacturing Co., Ltd ............... Guangde Ronghua Machinery Manufacturing Co., Ltd ............. Qiuxian Hengxin Machinery Co., Ltd ......................................... Reach Machinery Enterprise ..................................................... Chengdu Novo Machinery Co., Ltd ........................................... Chengdu Leno Machinery Co., Ltd ............................................ Shijiazhuang CAPT Power Transmission Co., Ltd .................... Sichuan Dawn Precision Technology Co., Ltd .......................... .................................................................................................... mstockstill on DSK3G9T082PROD with NOTICES Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Hangzhou Powertrans Co., Ltd .................................................. Shijiazhuang CAPT Power Transmission Co., Ltd ..................... Xinguang Technology Co. Ltd of Sichuan Province ................... PRC-Wide Entity ......................................................................... Pursuant to section 735(c)(1)(B) of the Act, the Department will instruct U.S. Initiation Notice, 81 FR at 9438–39. Enforcement and Compliance’s Policy Bulletin No. 05.1, regarding, ‘‘Separate-Rates 7 See VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 13.64 401.68 Customs and Border Protection (‘‘CBP’’) to continue to suspend liquidation of all entries of IMTDC from the PRC, which were entered, or withdrawn from warehouse, for consumption on or after June 8, 2016, the date of publication in the Federal Register of the affirmative Preliminary Determination. Further, Practice and Application of Combination Rates in Antidumping Investigations involving Non-Market Economy Countries,’’ dated April 5, 2005 (Policy Continuation of Suspension of Liquidation 6 See 13.64 Bulletin 05.1), available on the Department’s Web site at http://enforcement.trade.gov/policy/bull05– 1.pdf. PO 00000 Frm 00009 Fmt 4703 Sfmt 4703 E:\FR\FM\28OCN1.SGM 28OCN1 mstockstill on DSK3G9T082PROD with NOTICES Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices pursuant to section 735(c)(1)(B)(ii) of the Act, the Department will instruct CBP to require a cash deposit equal to the amount by which the normal value exceeds U.S. price, adjusted where appropriate for export subsidies and estimated domestic subsidy passthrough,8 as follows: (1) For the exporter/producer combinations listed in the table above, the cash deposit rate is the weighted-average dumping margin listed for that combination in the table; (2) for all combinations of PRC exporters/producers of merchandise under consideration not listed in the table above, the cash deposit rate is the weighted average dumping margin listed for the PRC-wide entity in the table above; and (3) for all non-PRC exporters of merchandise under consideration not listed in the table above, the cash deposit rate is the cash deposit rate applicable to the PRC exporter/producer combination that supplied that non-PRC exporter. The suspension of liquidation instructions will remain in effect until further notice. In a LTFV investigation with a companion countervailing duty (‘‘CVD’’) investigation, we normally adjust antidumping duty cash deposit rates by the amount of export subsidies, where appropriate. In the companion CVD investigation, we found that Powermach did not receive export subsidies. The countervailing duty rate for all-others companies in the CVD case is based on Powermach’s countervailing duty rate, and thus all-others companies were not assigned an export subsidy rate. Therefore, no offset to Powermach’s or the separate rate entities’ antidumping duty cash deposit rates for export subsidies is necessary. Additionally, we likewise are not adjusting the antidumping duty cash deposit rate applicable to the PRC-wide entity for export subsidies. Pursuant to 777A(f) of the Act, we are not adjusting the antidumping duty cash deposit rates for estimated domestic subsidy pass-through. Based on the data on the record of this investigation, the Department continues to find that there was not a general decrease in the U.S. average import price during the relevant period. Thus, the Department continues to find that the requirement under section 777A(f)(1)(B) of the Act has not been met, and has not made an adjustment to the antidumping duty cash deposit rates under section 777A(f) of the Act. 8 See sections 772(c)(1)(C) and 777A(f) of the Act, respectively. VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 Disclosure We intend to disclose to parties in this proceeding the calculations performed for this final determination within five days of the date of public announcement of our final determination, in accordance with 19 CFR 351.224(b). International Trade Commission (‘‘ITC’’) Notification In accordance with section 735(d) of the Act, we will notify the ITC of our final affirmative determination of sales at LTFV. Because the final determination in this proceeding is affirmative, in accordance with section 735(b)(2) of the Act, the ITC will make its final determination as to whether the domestic industry in the United States is materially injured, or threatened with material injury, by reason of imports of IMTDC from the PRC no later than 45 days after our final determination. If the ITC determines that such injury does not exist, this proceeding will be terminated and all securities posted will be refunded or canceled. If the ITC determines that such injury does exist, the Department will issue an antidumping duty order directing CBP to assess, upon further instruction by the Department, antidumping duties on all imports of the subject merchandise entered, or withdrawn from warehouse, for consumption on or after the effective date of the suspension of liquidation. Notification Regarding Administrative Protective Orders This notice will serve as a reminder to the parties subject to administrative protective order (‘‘APO’’) of their responsibility concerning the disposition of proprietary information disclosed under APO in accordance with 19 CFR 351.305. Timely written notification of return or destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and the terms of an APO is a sanctionable violation. We are issuing and publishing this determination in accordance with sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c). Dated: October 21, 2016. Ronald K. Lorentzen, Acting Assistant Secretary for Enforcement and Compliance. Appendix I Scope of the Investigation The products covered by this investigation are iron mechanical transfer drive components, whether finished or unfinished (i.e., blanks or castings). Subject iron PO 00000 Frm 00010 Fmt 4703 Sfmt 4703 75035 mechanical transfer drive components are in the form of wheels or cylinders with a center bore hole that may have one or more grooves or teeth in their outer circumference that guide or mesh with a flat or ribbed belt or like device and are often referred to as sheaves, pulleys, flywheels, flat pulleys, idlers, conveyer pulleys, synchronous sheaves, and timing pulleys. The products covered by this investigation also include bushings, which are iron mechanical transfer drive components in the form of a cylinder and which fit into the bore holes of other mechanical transfer drive components to lock them into drive shafts by means of elements such as teeth, bolts, or screws. Iron mechanical transfer drive components subject to this investigation are those not less than 4.00 inches (101 mm) in the maximum nominal outer diameter. Unfinished iron mechanical transfer drive components (i.e., blanks or castings) possess the approximate shape of the finished iron mechanical transfer drive component and have not yet been machined to final specification after the initial casting, forging or like operations. These machining processes may include cutting, punching, notching, boring, threading, mitering, or chamfering. Subject merchandise includes iron mechanical transfer drive components as defined above that have been finished or machined in a third country, including but not limited to finishing/machining processes such as cutting, punching, notching, boring, threading, mitering, or chamfering, 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 iron mechanical transfer drive components. Subject iron mechanical transfer drive components are covered by the scope of the investigation regardless of width, design, or iron type (e.g., gray, white, or ductile iron). Subject iron mechanical transfer drive components are covered by the scope of the investigation regardless of whether they have non-iron attachments or parts and regardless of whether they are entered with other mechanical transfer drive components or as part of a mechanical transfer drive assembly (which typically includes one or more of the iron mechanical transfer drive components identified above, and which may also include other parts such as a belt, coupling and/or shaft). When entered as a mechanical transfer drive assembly, only the iron components that meet the physical description of covered merchandise are covered merchandise, not the other components in the mechanical transfer drive assembly (e.g., belt, coupling, shaft). However, the scope excludes flywheels with a ring gear permanently attached onto the outer diameter. A ring gear is a steel ring with convex external teeth cut or machined into the outer diameter, and where the diameter of the ring exceeds 200 mm and doesn’t exceed 2,244.3 mm. For purposes of this investigation, a covered product is of ‘‘iron’’ where the article has a carbon content of 1.7 percent by weight or above, regardless of the presence and amount of additional alloying elements. Excluded from the scope are finished torsional vibration dampers (TVDs). A E:\FR\FM\28OCN1.SGM 28OCN1 75036 Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices finished TVD is an engine component composed of three separate components: an inner ring, a rubber ring and an outer ring. The inner ring is an iron wheel or cylinder with a bore hole to fit a crank shaft which forms a seal to prevent leakage of oil from the engine. The rubber ring is a dampening medium between the inner and outer rings that effectively reduces the torsional vibration. The outer ring, which may be made of materials other than iron, may or may not have grooves in its outer circumference. To constitute a finished excluded TVD, the product must be composed of each of the three parts identified above and the three parts must be permanently affixed to one another such that both the inner ring and the outer ring are permanently affixed to the rubber ring. A finished TVD is excluded only if it meets the physical description provided above; merchandise that otherwise meets the description of the scope and does not satisfy the physical description of excluded finished TVDs above is still covered by the scope of the investigation regardless of end use or identification as a TVD. Also excluded from the scope are certain TVD inner rings. To constitute an excluded TVD inner ring, the product must have each of the following characteristics: (1) A single continuous curve forming a protrusion or indentation on outer surface, also known as a sine lock, with a height or depth not less than 1.5 millimeters and not exceeding 4.0 millimeters and with a width of at least 10 millimeters as measured across the sine lock from one edge of the curve to the other; 9 (2) a face width of the outer diameter of greater than or equal to 20 millimeters but less than or equal to 80 millimeters; (3) an outside diameter greater than or equal to 101 millimeters but less than or equal to 300 millimeters; and (4) a weight not exceeding 7 kilograms. A TVD inner ring is excluded only if it meets the physical description provided above; merchandise that otherwise meets the description of the scope and does not satisfy the physical description of excluded TVD inner rings is still covered by the scope of this investigation regardless of end use or identification as a TVD inner ring. The scope also excludes light-duty, fixedpitch, non-synchronous sheaves (‘‘excludable LDFPN sheaves’’) with each of the following Size (belt profile) Outside diameter Top width range of each groove (inches) Maximum height (inches) Angle (°) 3L, 4L) ............................................ 3L, 4L) ............................................ B, 4L, 5L) ........................................ B, 4L, 5L) ........................................ ≤5.45 in ............................................................. >5.45 in. but ≤18.75 in ..................................... ≤7.40 in ............................................................. >7.40 in. but ≤18.75 in ..................................... In addition to the above characteristics, excludable LDFPN sheaves must also have a maximum weight (pounds-per-piece) as follows: for excludable LDFPN sheaves with one groove and an outside diameter of greater than 4.0 inches but less than or equal to 8.0 inches, the maximum weight is 4.7 pounds; for excludable LDFPN sheaves with two grooves and an outside diameter of greater than 4.0 inches but less than or equal to 8.0 inches, the maximum weight is 8.5 pounds; for excludable LDFPN sheaves with one groove and an outside diameter of greater than 8.0 inches but less than or equal to 12.0 inches, the maximum weight is 8.5 pounds; for excludable LDFPN sheaves with two grooves and an outside diameter of greater than 8.0 inches but less than or equal to 12.0 inches, the maximum weight is 15.0 pounds; for excludable LDFPN sheaves with one groove and an outside diameter of greater than 12.0 inches but less than or equal to 15.0 inches, the maximum weight is 13.3 pounds; for excludable LDFPN sheaves with two grooves and an outside diameter of greater than 12.0 inches but less than or equal to 15.0 inches, the maximum weight is 17.5 pounds; for excludable LDFPN sheaves with one groove and an outside diameter of greater than 15.0 inches but less than or equal to 18.75 inches, the maximum weight is 16.5 pounds; and for excludable LDFPN sheaves with two grooves and an outside diameter of greater than 15.0 inches but less than or equal to 18.75 inches, the maximum weight is 26.5 pounds. The scope also excludes light-duty, variable-pitch, non-synchronous sheaves with each of the following characteristics: made from grey iron designated as ASTM (North American specification) Grade 30 or lower, GB/T (Chinese specification) Grade HT200 or lower, DIN (German specification) GG 20 or lower, or EN (European specification) EN–GJL 200 or lower; having no more than 2 grooves; having a maximum overall width of less than 2.25 inches with a single groove, or of 3.25 inches or less with two grooves; having a maximum outside diameter of not more than 7.5 inches; having a maximum bore size of 1.625 inches; having either one or two identical, internallythreaded (i.e., with threads on the inside diameter), adjustable (rotating) flange(s) on an externally-threaded hub (i.e., with threads on the outside diameter) that enable(s) the width (opening) of the groove to be changed; and having no teeth on the outside or datum diameter. The scope also excludes certain IMTDC bushings. An IMTDC bushing is excluded only if it has a tapered angle of greater than or equal to 10 degrees, where the angle is measured between one outside tapered surface and the directly opposing outside tapered surface. The merchandise covered by this investigation is currently classifiable under Harmonized Tariff Schedule of the United States (‘‘HTSUS’’) subheadings 8483.30.8090, 8483.50.6000, 8483.50.9040, 8483.50.9080, 8483.90.3000, 8483.90.8080. Covered merchandise may also enter under the following HTSUS subheadings: 7325.10.0080, 7325.99.1000, 7326.19.0010, 7326.19.0080, 8431.31.0040, 8431.31.0060, 8431.39.0010, 8431.39.0050, 8431.39.0070, 8431.39.0080, and 8483.50.4000. These HTSUS subheadings are provided for convenience and customs purposes. The written description of the scope of the investigation is dispositive. 9 The edges of the sine lock curve are defined as the points where the surface of the inner ring is no longer parallel to the plane formed by the inner surface of the bore hole that attaches the ring to the crankshaft. 10 An arm or spoke construction is where arms or spokes (typically 3 to 6) connect the outside diameter of the sheave with the hub of the sheave. This is in contrast to a block construction (in which the material between the hub and the outside diameter is solid with a uniform thickness that is the same thickness as the hub of the sheave) or a web construction (in which the material between the hub and the outside diameter is solid but is thinner than at the hub of the sheave). MA/AK MA/AK MB/BK MB/BK mstockstill on DSK3G9T082PROD with NOTICES characteristics: made from grey iron designated as ASTM (North American specification) Grade 30 or lower, GB/T (Chinese specification) Grade HT200 or lower, DIN (German specification) GG 20 or lower, or EN (European specification) EN– GJL 200 or lower; having no more than two grooves; having a maximum face width of no more than 1.75 inches, where the face width is the width of the part at its outside diameter; having a maximum outside diameter of not more than 18.75 inches; and having no teeth on the outside or datum diameter. Excludable LDFPN sheaves must also either have a maximum straight bore size of 1.6875 inches with a maximum hub diameter of 2.875 inches; or else have a tapered bore measuring 1.625 inches at the large end, a maximum hub diameter of 3.50 inches, a length through tapered bore of 1.0 inches, exactly two tapped holes that are 180 degrees apart, and a 2.0- inch bolt circle on the face of the hub. Excludable LDFPN sheaves more than 6.75 inches in outside diameter must also have an arm or spoke construction.10 Further, excludable LDFPN sheaves must have a groove profile as indicated in the table below: (A, (A, (A, (A, VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 PO 00000 Frm 00011 Fmt 4703 Sfmt 4703 0.484–0.499 0.499–0.509 0.607–0.618 0.620–0.631 0.531 0.531 0.632 0.635 Appendix II List of Topics in the Issues and Decision Memorandum I. Summary II. Background E:\FR\FM\28OCN1.SGM 28OCN1 34 38 34 38 Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices III. Scope Comments IV. Scope of the Investigation V. Discussion of the Issues: Comment 1: Treatment of Input Comment 2: Per-Unit Consumption Comment 3: Generated Iron Scrap Comment 4: By-Product Offset Comment 5: Underreported Consumption Comment 6: Mold Workshop Labor Comment 7: Separate Rate Status for Baldor Electric Company Canada Comment 8: Separate Rate Status for Zhejiang Damon Industrial Equipment Co., Ltd. Comment 9: Separate Rate Status for Zhejiang Dongxing Auto Parts Co., Ltd. Comment 10: Separate Rate Status for Yueqing Bethel Shaft Collar Manufacturing Co., Ltd. Comment 11: Surrogate Value for Labor Comment 12: Surrogate Value for Baking Coal Comment 13: Surrogate Value for Antitarnish Paper Comment 14: Surrogate Value for Spheroidizing Agent Comment 15: Surrogate Value for Rail Freight Comment 16: Selection of Financial Statements Comment 17: SG&A Expense Calculation in Thai Ductile Inductory Co. Ltd.’s Financial Statements VI. Recommendation [FR Doc. 2016–26104 Filed 10–27–16; 8:45 am] DEPARTMENT OF COMMERCE International Trade Administration [C–570–031] Countervailing Duty Investigation of Certain Iron Mechanical Transfer Drive Components From the People’s Republic of China: Final Affirmative Determination Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (the ‘‘Department’’) determines that countervailable subsidies are being provided to producers and exporters of certain iron mechanical transfer drive components (‘‘IMTDCs’’) from the People’s Republic of China (the ‘‘PRC’’). For information on the estimated subsidy rates, see the ‘‘Final Determination and Suspension of Liquidation’’ section of this notice. DATES: Effective October 28, 2016. FOR FURTHER INFORMATION CONTACT: Robert Galantucci, AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone (202) 482–2923. mstockstill on DSK3G9T082PROD with NOTICES VerDate Sep<11>2014 18:12 Oct 27, 2016 Jkt 241001 Background The Department published the Preliminary Determination on April 11, 2016.1 A summary of the events that occurred since the Department published the Preliminary Determination, as well as a full discussion of the issues raised by parties for this final determination, may be found in the Issues and Decision Memorandum 2 issued concurrently with this notice. The Issues and 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 is available to all parties in the Central Records Unit, Room B8024 of the main Department of Commerce building. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at http://enforcement.trade.gov/ frn/. The signed Issues and Decision Memorandum and the electronic version are identical in content. Period of Investigation The period of investigation for which we are measuring subsidies is January 1, 2014 through December 31, 2014. BILLING CODE 3510–DS–P AGENCY: SUPPLEMENTARY INFORMATION: Scope Comments The Department set aside a period of time for parties to address scope issues.3 For a summary of the product coverage comments submitted to the record of this final determination, and the Department’s discussion and analysis of all comments timely received, see the Final Scope Decision Memorandum.4 1 See Countervailing Duty Investigation of Certain Iron Mechanical Transfer Drive Components From the People’s Republic of China: Preliminary Affirmative Determination and Alignment of Final Determination With Final Antidumping Duty Determination, 81 FR 21316 (April 11, 2016) (‘‘Preliminary Determination’’) and accompanying Issues and Decision Memorandum (‘‘Preliminary Decision Memorandum’’). 2 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Determination in the Countervailing Duty Investigation of Certain Iron Mechanical Transfer Drive Components from the People’s Republic of China,’’ dated concurrently with this determination and hereby adopted by this notice (‘‘Issues and Decision Memorandum’’). 3 See Memorandum, ‘‘Certain Iron Mechanical Transfer Drive Components from Canada and the People’s Republic of China: Deadline for Scope Comments,’’ July 19, 2016. 4 See Memorandum, ‘‘Antidumping Duty Investigations of Certain Iron Mechanical Transfer Drive Components from Canada and the People’s Republic of China and Countervailing Duty Investigation of Certain Iron Mechanical Transfer Drive Components from the People’s Republic of China: Scope Decision Memorandum for the Final PO 00000 Frm 00012 Fmt 4703 Sfmt 4703 75037 The Final Scope Decision Memorandum is incorporated by, and hereby adopted by, this notice. Scope of the Investigation The products covered by this investigation are IMTDCs from the PRC. For a complete description of the scope of this investigation, see the ‘‘Scope of the Investigation,’’ in Appendix II of this notice. Analysis of Subsidy Programs and Comments Received The subsidy programs under investigation, and the issues raised in the case and rebuttal briefs submitted by the parties, are discussed in the Issues and Decision Memorandum. A list of the issues that parties raised, and to which we responded in the Issues and Decision Memorandum, is attached to this notice at Appendix I. Use of Adverse Facts Available (‘‘AFA’’) In making its findings, the Department relied, in part, on facts available. For mandatory respondent NOK (Wuxi) Vibration Control China Co. Ltd. (‘‘NOK Wuxi’’), we are basing the countervailing duty (‘‘CVD’’) rate on facts otherwise available, pursuant to sections 776(a)(2)(C) and (D) of the Tariff Act of 1930, as amended (the ‘‘Act’’). Further, because NOK Wuxi did not cooperate to the best of its ability in this investigation, we determine that an adverse inference is warranted, pursuant to section 776(b) of the Act. The Department has applied a total AFA rate to NOK Wuxi. Similarly, the Department has applied a total AFA rate to 30 companies that failed to respond to the Department’s quantity and value questionnaire.5 Additionally, in several instances the Department has applied partial AFA to calculate subsidy rates for the other mandatory respondent Powermach Import & Export Co., Ltd. (Sichuan) (‘‘Powermach I&E’’). For further information, see the section titled ‘‘Use of Facts Otherwise Available and Adverse Inferences,’’ in the Issues and Decision Memorandum. Changes Since the Preliminary Determination Based on our review and analysis of the comments received from parties, Determinations,’’ (‘‘Final Scope Decision Memorandum’’) dated concurrently with this final determination; see also Memorandum, ‘‘Certain Iron Mechanical Transfer Drive Components from Canada and the People’s Republic of China: Scope Comments Decision Memorandum for the Preliminary Determinations,’’ dated May 31, 2016. 5 See Preliminary Determination at 81 FR 21317– 21318. E:\FR\FM\28OCN1.SGM 28OCN1

Agencies

[Federal Register Volume 81, Number 209 (Friday, October 28, 2016)]
[Notices]
[Pages 75032-75037]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-26104]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-032]


Certain Iron Mechanical Transfer Drive Components From the 
People's Republic of China: Final Affirmative Determination of Sales at 
Less Than Fair Value

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

SUMMARY: The Department of Commerce (the ``Department'') determines 
that certain iron mechanical transfer drive components (``IMTDC'') from 
the People's Republic of China (``PRC'') are being, or are likely to 
be, sold in the United States at less than fair value (``LTFV''). The 
period of investigation (``POI'') is April 1, 2015 through September 
30, 2015. The final weighted-average dumping margins of sales at LTFV 
are listed in the ``Final Determination Dumping Margins'' section of 
this notice.

DATES: Effective October 28, 2016.

FOR FURTHER INFORMATION CONTACT: Krisha Hill or Jonathan Hill, AD/CVD

[[Page 75033]]

Operations, Office IV, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone (202) 482-4037 or (202) 482-3518, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On June 8, 2016, the Department published in the Federal Register 
its preliminary affirmative determination in the LTFV investigation of 
IMTDC from the PRC.\1\
---------------------------------------------------------------------------

    \1\ See Certain Iron Mechanical Transfer Drive Components From 
the People's Republic of China: Preliminary Determination of Sales 
at Less Than Fair Value and Postponement of Final Determination, 81 
FR 36876 (June 8, 2016) (Preliminary Determination) and accompanying 
Preliminary Decision Memorandum.
---------------------------------------------------------------------------

    A summary of the events that occurred since the Department 
published the Preliminary Determination, as well as a full discussion 
of the issues raised by parties for this final determination, may be 
found in the Issues and Decision Memorandum.\2\ The Issues and 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 is available to all 
parties in the Central Records Unit, Room B8024 of the main Department 
of Commerce building. In addition, a complete version of the Issues and 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed Issues and Decision Memorandum 
and the electronic version are identical in content.
---------------------------------------------------------------------------

    \2\ See Memorandum from Gary Taverman, Associate Deputy 
Assistant Secretary for Antidumping and Countervailing Duty 
Operations, to Ronald Lorentzen, Acting Assistant Secretary for 
Enforcement and Compliance, ``Antidumping Duty Investigation of 
Certain Iron Mechanical Transfer Drive Components from the People's 
Republic of China: Issues and Decision Memorandum for the Final 
Determination of Sales at Less-Than-Fair-Value,'' (``Issues and 
Decision Memorandum''), dated concurrently with this determination 
and hereby adopted by this notice.
---------------------------------------------------------------------------

Period of Investigation

    The period of investigation (``POI'') is April 1, 2015, through 
September 30, 2015.

Scope of the Investigation

    The products covered by this investigation are iron mechanical 
transfer drive components. These products are properly classified under 
Harmonized Tariff Schedule of the United States (``HTSUS'') subheadings 
8483.30.8090, 8483.50.6000, 8483.50.9040, 8483.50.9080, 8483.90.3000, 
8483.90.8080. Covered merchandise may also enter under the following 
HTSUS subheadings: 7325.10.0080, 7325.99.1000, 7326.19.0010, 
7326.19.0080, 8431.31.0040, 8431.31.0060, 8431.39.0010, 8431.39.0050, 
8431.39.0070, 8431.39.0080, and 8483.50.4000. Although the HTSUS 
subheading is provided for convenience and customs purposes, the 
written description of the merchandise under investigation is 
dispositive. For a complete description of the scope of the 
investigation, see Appendix I to this notice.

Scope Comments

    Since the Preliminary Determination, Petitioner, as well as 
interested parties Caterpillar Inc., Carrier Corporation, Dahua Machine 
Manufacturing Co. Ltd., General Motors Corporation, Kohler Co., Mercury 
Marine, Otis Elevator Company, Speed Solutions International Inc., ZF 
Services, LLC, and Vibracoustic North America LP, commented on the 
scope of this investigation as well as the companion IMTDCs LTFV 
investigation from the Canada and IMTDCs countervailing duty 
investigation from the PRC. The Department reviewed these comments and 
has incorporated into the scope of these investigations Petitioner's 
exclusion for certain flywheels with a permanently attached outer ring 
gear and for certain parts of torsional vibration dampers. For further 
discussion, see the ``Final Scope Decision Memorandum.'' \3\ The scope 
in Appendix I reflects the final modified scope language.
---------------------------------------------------------------------------

    \3\ See Memorandum from Abdelali Elouaradia, Director, Office 
IV, Antidumping and Countervailing Duty Operations, to Gary 
Taverman, Associate Deputy Assistant Secretary for Antidumping and 
Countervailing Duty Operations, regarding ``Antidumping Duty 
Investigations of Certain Iron Mechanical Transfer Drive Components 
from Canada and the People's Republic of China and Countervailing 
Duty Investigation of Certain Iron Mechanical Transfer Drive 
Components from the People's Republic of China: Scope Decision 
Memorandum for the Final Determinations,'' (``Final Scope Decision 
Memorandum'') dated concurrently with this final determination.
---------------------------------------------------------------------------

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs that were 
submitted by parties in this investigation are addressed in either the 
Final Determination Scope Decision Memorandum or the Issues and 
Decision Memorandum accompanying this notice, which is hereby adopted 
by this notice. A list of the issues addressed in the Issues and 
Decision Memorandum is attached to this notice at Appendix II.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(``the Act''), in June 2016, we verified the sales and factors of 
production information submitted by Powermach Import & Export Co., Ltd. 
(``Powermach''),\4\ the sole participating individually examined 
respondent. We used standard verification procedures, including an 
examination of relevant accounting and production records, and original 
source documents provided by Powermach.\5\
---------------------------------------------------------------------------

    \4\ We have continued to treat Powermach Import & Export Co., 
Ltd., Sichuan Dawn Precision Technology Co., Ltd., Sichuan Dawn 
Foundry Co., Ltd., and Powermach Co., Ltd. as a single entity based 
upon consideration of the factors in 19 CFR 351.401(f). See 
Memorandum from Krisha Hill, International Trade Analyst, AD/CVD 
Operations, Office IV through Howard Smith, Program Manager, AD/CVD 
Operations, Office IV to Abdelali Elouaradia, Office Director, AD/
CVD Operations, Office IV, regarding ``Certain Iron Mechanical 
Transfer Drive Components from The People's Republic of China: 
Preliminary Affiliation and Collapsing Memorandum'' (May 31, 2016).
    \5\ See Memorandum from Krisha Hill, International Trade 
Compliance Analyst, Office IV, Enforcement and Compliance and 
Jonathan Hill, International Trade Compliance Analyst, Office IV, 
Enforcement and Compliance through Howard Smith, Program Manager, 
Office IV Enforcement and Compliance to The File ``Verification 
Report of the Sales and Factors Responses of Powermach Import & 
Export Co., Ltd. (Sichuan), Sichuan Dawn Precision Technology Co., 
Ltd., Sichuan Dawn Foundry Co., Ltd., and Powermach Co., Ltd. in the 
Antidumping Duty Investigation of Certain Iron Mechanical Transfer 
Drive Components from the People's Republic of China,'' dated August 
3, 2016.
---------------------------------------------------------------------------

Separate Rates

    In the Preliminary Determination, the Department granted separate-
rate status to all of the companies which provided separate rates 
information, except NOK (Wuxi) Vibration Control China Co. Ltd. 
(``NVCC''), which withdrew from participation as a mandatory respondent 
in this investigation, and Baldor Electric Canada (``Baldor'') and 
Yueqing Bethel Shaft Collar Manufacturing Co., Ltd. (``Yueqing 
Bethel''), which failed to respond to the Department's request for 
supplemental information. In this final determination, the Department 
has continued to treat these three companies as part of the PRC-wide 
entity and is also treating Zhejiang Dongxing Auto Parts Co., Ltd. 
(``Dongxing'') as part of the PRC-wide entity. For a full discussion of 
the Department's separate rates determinations with respect to Baldor, 
Yueqing Bethel, and Dongxing (no parties commented on the Department's 
separate rate determination with respect to NVCC)

[[Page 75034]]

see the Issues and Decision Memorandum.

Changes to the Dumping Margin Calculations Since the Preliminary 
Determination

    Based on the Department's analysis of the comments received and 
findings at verification, we made certain changes to our dumping margin 
calculations. For a discussion of these changes, see the Issues and 
Decision Memorandum.

Dumping Margins for Non-Individually Examined Respondents

    Under section 735(c)(5)(A) of the Act, the estimated rate for all 
companies that have not been individually examined is normally equal to 
the weighted average of the estimated weighted-average dumping margins 
established for exporters and producers individually examined, 
excluding any zero and de minimis dumping margins, and any dumping 
margins determined entirely on the basis of facts available. In this 
final determination, we calculated a weighted-average dumping margin 
for Powermach (the only cooperating mandatory respondent) which is not 
zero, de minimis, or based entirely on facts available. Accordingly, we 
assigned Powermach's weighted-average dumping margin to non-
individually examined PRC exporters qualifying for a separate rate.

PRC-Wide Rate

    In our Preliminary Determination, we found that the PRC-wide 
entity, which includes certain PRC exporters and/or producers that did 
not respond to the Department's requests for information, failed to 
provide necessary information, failed to provide information in a 
timely manner, and significantly impeded this proceeding by not 
submitting the requested information. We also find that they failed to 
cooperate. As a result, we preliminarily determined to calculate the 
PRC-wide dumping margin on the basis of adverse facts available 
(``AFA'') pursuant to section 776(b) of the Act. We compared the 
petition dumping margins to the dumping margins that we calculated for 
Powermach, the participating individually examined respondent, in order 
to determine the probative value of the dumping margins in the petition 
for use as AFA. We continue to find that the highest petition dumping 
margin, 401.68 percent, is reliable and relevant because it is within 
the range of the transaction-specific dumping margins on the record for 
Powermach. Therefore, we assigned this dumping margin (i.e., 401.68 
percent) to the PRC-wide entity.

Combination Rates

    In the Initiation Notice, the Department stated that it would 
calculate combination rates for the respondents that are eligible for a 
separate rate in this investigation.\6\ Policy Bulletin 05.1 describes 
this practice.\7\
---------------------------------------------------------------------------

    \6\ See Initiation Notice, 81 FR at 9438-39.
    \7\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' dated April 5, 2005 (Policy Bulletin 05.1), available 
on the Department's Web site at http://enforcement.trade.gov/policy/bull05-1.pdf.
---------------------------------------------------------------------------

Final Determination Dumping Margins

    For this final determination, the Department determines that IMTDC 
are being or likely to be sold in the United States at LTFV, as 
provided in section 735 of the Act. The Department determines that the 
following weighted-average dumping margins exist during the period 
April 1, 2015, through September 30, 2015:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
            Exporter                     Producer             dumping
                                                              margin
                                                             (percent)
------------------------------------------------------------------------
Powermach Import & Export Co.,   Powermach Import &                13.64
 Ltd. (Sichuan)/Sichuan Dawn      Export Co., Ltd.
 Precision Technology Co., Ltd./  (Sichuan)/Sichuan Dawn
 Sichuan Dawn Foundry Co., Ltd./  Precision Technology
 Powermach Co., Ltd.              Co., Ltd./Sichuan Dawn
                                  Foundry Co., Ltd./
                                  Powermach Co., Ltd.
Fuqing Jiacheng Trading          Fuzhou Min Yue                    13.64
 Corporation Limited.             Mechanical &
                                  Electrical Co., Ltd.
Haiyang Jingweida Gearing Co.,   Haiyang Jingweida                 13.64
 Ltd.                             Gearing Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Shijiazhuang CAPT Power           13.64
                                  Transmission Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Shanghai CPT Machinery            13.64
                                  Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Yueqing Bethel Shaft              13.64
                                  Collar Manufacturing
                                  Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Kezheng (Fuzhou)                  13.64
                                  Mechanical &
                                  Electrical Manufacture
                                  Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Handan Hengfa                     13.64
                                  Transmission Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Shijiazhuang Lihua                13.64
                                  Mechanical
                                  Manufacturing Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Xingtai Shengjia                  13.64
                                  Machinery and
                                  Equipment Factory.
Hangzhou Powertrans Co., Ltd...  Shanghai Keli Machinery           13.64
                                  Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Jiangsu Zhengya                   13.64
                                  Technology Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Taizhou Feiyang Metal             13.64
                                  Spinning Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Taizhou Pengxun                   13.64
                                  Machinery
                                  Manufacturing Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Guangde Ronghua                   13.64
                                  Machinery
                                  Manufacturing Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Qiuxian Hengxin                   13.64
                                  Machinery Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Reach Machinery                   13.64
                                  Enterprise.
Hangzhou Powertrans Co., Ltd...  Chengdu Novo Machinery            13.64
                                  Co., Ltd.
Hangzhou Powertrans Co., Ltd...  Chengdu Leno Machinery            13.64
                                  Co., Ltd.
Shijiazhuang CAPT Power          Shijiazhuang CAPT Power           13.64
 Transmission Co., Ltd.           Transmission Co., Ltd.
Xinguang Technology Co. Ltd of   Sichuan Dawn Precision            13.64
 Sichuan Province.                Technology Co., Ltd.
PRC-Wide Entity................  .......................          401.68
------------------------------------------------------------------------

Continuation of Suspension of Liquidation

    Pursuant to section 735(c)(1)(B) of the Act, the Department will 
instruct U.S. Customs and Border Protection (``CBP'') to continue to 
suspend liquidation of all entries of IMTDC from the PRC, which were 
entered, or withdrawn from warehouse, for consumption on or after June 
8, 2016, the date of publication in the Federal Register of the 
affirmative Preliminary Determination. Further,

[[Page 75035]]

pursuant to section 735(c)(1)(B)(ii) of the Act, the Department will 
instruct CBP to require a cash deposit equal to the amount by which the 
normal value exceeds U.S. price, adjusted where appropriate for export 
subsidies and estimated domestic subsidy pass-through,\8\ as follows: 
(1) For the exporter/producer combinations listed in the table above, 
the cash deposit rate is the weighted-average dumping margin listed for 
that combination in the table; (2) for all combinations of PRC 
exporters/producers of merchandise under consideration not listed in 
the table above, the cash deposit rate is the weighted average dumping 
margin listed for the PRC-wide entity in the table above; and (3) for 
all non-PRC exporters of merchandise under consideration not listed in 
the table above, the cash deposit rate is the cash deposit rate 
applicable to the PRC exporter/producer combination that supplied that 
non-PRC exporter. The suspension of liquidation instructions will 
remain in effect until further notice.
---------------------------------------------------------------------------

    \8\ See sections 772(c)(1)(C) and 777A(f) of the Act, 
respectively.
---------------------------------------------------------------------------

    In a LTFV investigation with a companion countervailing duty 
(``CVD'') investigation, we normally adjust antidumping duty cash 
deposit rates by the amount of export subsidies, where appropriate. In 
the companion CVD investigation, we found that Powermach did not 
receive export subsidies. The countervailing duty rate for all-others 
companies in the CVD case is based on Powermach's countervailing duty 
rate, and thus all-others companies were not assigned an export subsidy 
rate. Therefore, no offset to Powermach's or the separate rate 
entities' antidumping duty cash deposit rates for export subsidies is 
necessary. Additionally, we likewise are not adjusting the antidumping 
duty cash deposit rate applicable to the PRC-wide entity for export 
subsidies.
    Pursuant to 777A(f) of the Act, we are not adjusting the 
antidumping duty cash deposit rates for estimated domestic subsidy 
pass-through. Based on the data on the record of this investigation, 
the Department continues to find that there was not a general decrease 
in the U.S. average import price during the relevant period. Thus, the 
Department continues to find that the requirement under section 
777A(f)(1)(B) of the Act has not been met, and has not made an 
adjustment to the antidumping duty cash deposit rates under section 
777A(f) of the Act.

Disclosure

    We intend to disclose to parties in this proceeding the 
calculations performed for this final determination within five days of 
the date of public announcement of our final determination, in 
accordance with 19 CFR 351.224(b).

International Trade Commission (``ITC'') Notification

    In accordance with section 735(d) of the Act, we will notify the 
ITC of our final affirmative determination of sales at LTFV. Because 
the final determination in this proceeding is affirmative, in 
accordance with section 735(b)(2) of the Act, the ITC will make its 
final determination as to whether the domestic industry in the United 
States is materially injured, or threatened with material injury, by 
reason of imports of IMTDC from the PRC no later than 45 days after our 
final determination. If the ITC determines that such injury does not 
exist, this proceeding will be terminated and all securities posted 
will be refunded or canceled. If the ITC determines that such injury 
does exist, the Department will issue an antidumping duty order 
directing CBP to assess, upon further instruction by the Department, 
antidumping duties on all imports of the subject merchandise entered, 
or withdrawn from warehouse, for consumption on or after the effective 
date of the suspension of liquidation.

Notification Regarding Administrative Protective Orders

    This notice will serve as a reminder to the parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305. Timely written notification of 
return or destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and the terms of an APO is a sanctionable violation.
    We are issuing and publishing this determination in accordance with 
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).

    Dated: October 21, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products covered by this investigation are iron mechanical 
transfer drive components, whether finished or unfinished (i.e., 
blanks or castings). Subject iron mechanical transfer drive 
components are in the form of wheels or cylinders with a center bore 
hole that may have one or more grooves or teeth in their outer 
circumference that guide or mesh with a flat or ribbed belt or like 
device and are often referred to as sheaves, pulleys, flywheels, 
flat pulleys, idlers, conveyer pulleys, synchronous sheaves, and 
timing pulleys. The products covered by this investigation also 
include bushings, which are iron mechanical transfer drive 
components in the form of a cylinder and which fit into the bore 
holes of other mechanical transfer drive components to lock them 
into drive shafts by means of elements such as teeth, bolts, or 
screws.
    Iron mechanical transfer drive components subject to this 
investigation are those not less than 4.00 inches (101 mm) in the 
maximum nominal outer diameter.
    Unfinished iron mechanical transfer drive components (i.e., 
blanks or castings) possess the approximate shape of the finished 
iron mechanical transfer drive component and have not yet been 
machined to final specification after the initial casting, forging 
or like operations. These machining processes may include cutting, 
punching, notching, boring, threading, mitering, or chamfering.
    Subject merchandise includes iron mechanical transfer drive 
components as defined above that have been finished or machined in a 
third country, including but not limited to finishing/machining 
processes such as cutting, punching, notching, boring, threading, 
mitering, or chamfering, 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 iron mechanical 
transfer drive components.
    Subject iron mechanical transfer drive components are covered by 
the scope of the investigation regardless of width, design, or iron 
type (e.g., gray, white, or ductile iron). Subject iron mechanical 
transfer drive components are covered by the scope of the 
investigation regardless of whether they have non-iron attachments 
or parts and regardless of whether they are entered with other 
mechanical transfer drive components or as part of a mechanical 
transfer drive assembly (which typically includes one or more of the 
iron mechanical transfer drive components identified above, and 
which may also include other parts such as a belt, coupling and/or 
shaft). When entered as a mechanical transfer drive assembly, only 
the iron components that meet the physical description of covered 
merchandise are covered merchandise, not the other components in the 
mechanical transfer drive assembly (e.g., belt, coupling, shaft). 
However, the scope excludes flywheels with a ring gear permanently 
attached onto the outer diameter. A ring gear is a steel ring with 
convex external teeth cut or machined into the outer diameter, and 
where the diameter of the ring exceeds 200 mm and doesn't exceed 
2,244.3 mm.
    For purposes of this investigation, a covered product is of 
``iron'' where the article has a carbon content of 1.7 percent by 
weight or above, regardless of the presence and amount of additional 
alloying elements.
    Excluded from the scope are finished torsional vibration dampers 
(TVDs). A

[[Page 75036]]

finished TVD is an engine component composed of three separate 
components: an inner ring, a rubber ring and an outer ring. The 
inner ring is an iron wheel or cylinder with a bore hole to fit a 
crank shaft which forms a seal to prevent leakage of oil from the 
engine. The rubber ring is a dampening medium between the inner and 
outer rings that effectively reduces the torsional vibration. The 
outer ring, which may be made of materials other than iron, may or 
may not have grooves in its outer circumference. To constitute a 
finished excluded TVD, the product must be composed of each of the 
three parts identified above and the three parts must be permanently 
affixed to one another such that both the inner ring and the outer 
ring are permanently affixed to the rubber ring. A finished TVD is 
excluded only if it meets the physical description provided above; 
merchandise that otherwise meets the description of the scope and 
does not satisfy the physical description of excluded finished TVDs 
above is still covered by the scope of the investigation regardless 
of end use or identification as a TVD.
    Also excluded from the scope are certain TVD inner rings. To 
constitute an excluded TVD inner ring, the product must have each of 
the following characteristics: (1) A single continuous curve forming 
a protrusion or indentation on outer surface, also known as a sine 
lock, with a height or depth not less than 1.5 millimeters and not 
exceeding 4.0 millimeters and with a width of at least 10 
millimeters as measured across the sine lock from one edge of the 
curve to the other; \9\ (2) a face width of the outer diameter of 
greater than or equal to 20 millimeters but less than or equal to 80 
millimeters; (3) an outside diameter greater than or equal to 101 
millimeters but less than or equal to 300 millimeters; and (4) a 
weight not exceeding 7 kilograms. A TVD inner ring is excluded only 
if it meets the physical description provided above; merchandise 
that otherwise meets the description of the scope and does not 
satisfy the physical description of excluded TVD inner rings is 
still covered by the scope of this investigation regardless of end 
use or identification as a TVD inner ring.
---------------------------------------------------------------------------

    \9\ The edges of the sine lock curve are defined as the points 
where the surface of the inner ring is no longer parallel to the 
plane formed by the inner surface of the bore hole that attaches the 
ring to the crankshaft.
---------------------------------------------------------------------------

    The scope also excludes light-duty, fixed-pitch, non-synchronous 
sheaves (``excludable LDFPN sheaves'') with each of the following 
characteristics: made from grey iron designated as ASTM (North 
American specification) Grade 30 or lower, GB/T (Chinese 
specification) Grade HT200 or lower, DIN (German specification) GG 
20 or lower, or EN (European specification) EN-GJL 200 or lower; 
having no more than two grooves; having a maximum face width of no 
more than 1.75 inches, where the face width is the width of the part 
at its outside diameter; having a maximum outside diameter of not 
more than 18.75 inches; and having no teeth on the outside or datum 
diameter. Excludable LDFPN sheaves must also either have a maximum 
straight bore size of 1.6875 inches with a maximum hub diameter of 
2.875 inches; or else have a tapered bore measuring 1.625 inches at 
the large end, a maximum hub diameter of 3.50 inches, a length 
through tapered bore of 1.0 inches, exactly two tapped holes that 
are 180 degrees apart, and a 2.0- inch bolt circle on the face of 
the hub. Excludable LDFPN sheaves more than 6.75 inches in outside 
diameter must also have an arm or spoke construction.\10\ Further, 
excludable LDFPN sheaves must have a groove profile as indicated in 
the table below:
---------------------------------------------------------------------------

    \10\ An arm or spoke construction is where arms or spokes 
(typically 3 to 6) connect the outside diameter of the sheave with 
the hub of the sheave. This is in contrast to a block construction 
(in which the material between the hub and the outside diameter is 
solid with a uniform thickness that is the same thickness as the hub 
of the sheave) or a web construction (in which the material between 
the hub and the outside diameter is solid but is thinner than at the 
hub of the sheave).

----------------------------------------------------------------------------------------------------------------
                                                                        Top width
                                                                      range of each  Maximum height     Angle
          Size (belt profile)                 Outside diameter           groove         (inches)       ([deg])
                                                                        (inches)
----------------------------------------------------------------------------------------------------------------
MA/AK (A, 3L, 4L)......................  <=5.45 in.................     0.484-0.499           0.531           34
MA/AK (A, 3L, 4L)......................  >5.45 in. but <=18.75 in..     0.499-0.509           0.531           38
MB/BK (A, B, 4L, 5L)...................  <=7.40 in.................     0.607-0.618           0.632           34
MB/BK (A, B, 4L, 5L)...................  >7.40 in. but <=18.75 in..     0.620-0.631           0.635           38
----------------------------------------------------------------------------------------------------------------

    In addition to the above characteristics, excludable LDFPN 
sheaves must also have a maximum weight (pounds-per-piece) as 
follows: for excludable LDFPN sheaves with one groove and an outside 
diameter of greater than 4.0 inches but less than or equal to 8.0 
inches, the maximum weight is 4.7 pounds; for excludable LDFPN 
sheaves with two grooves and an outside diameter of greater than 4.0 
inches but less than or equal to 8.0 inches, the maximum weight is 
8.5 pounds; for excludable LDFPN sheaves with one groove and an 
outside diameter of greater than 8.0 inches but less than or equal 
to 12.0 inches, the maximum weight is 8.5 pounds; for excludable 
LDFPN sheaves with two grooves and an outside diameter of greater 
than 8.0 inches but less than or equal to 12.0 inches, the maximum 
weight is 15.0 pounds; for excludable LDFPN sheaves with one groove 
and an outside diameter of greater than 12.0 inches but less than or 
equal to 15.0 inches, the maximum weight is 13.3 pounds; for 
excludable LDFPN sheaves with two grooves and an outside diameter of 
greater than 12.0 inches but less than or equal to 15.0 inches, the 
maximum weight is 17.5 pounds; for excludable LDFPN sheaves with one 
groove and an outside diameter of greater than 15.0 inches but less 
than or equal to 18.75 inches, the maximum weight is 16.5 pounds; 
and for excludable LDFPN sheaves with two grooves and an outside 
diameter of greater than 15.0 inches but less than or equal to 18.75 
inches, the maximum weight is 26.5 pounds.
    The scope also excludes light-duty, variable-pitch, non-
synchronous sheaves with each of the following characteristics: made 
from grey iron designated as ASTM (North American specification) 
Grade 30 or lower, GB/T (Chinese specification) Grade HT200 or 
lower, DIN (German specification) GG 20 or lower, or EN (European 
specification) EN-GJL 200 or lower; having no more than 2 grooves; 
having a maximum overall width of less than 2.25 inches with a 
single groove, or of 3.25 inches or less with two grooves; having a 
maximum outside diameter of not more than 7.5 inches; having a 
maximum bore size of 1.625 inches; having either one or two 
identical, internally-threaded (i.e., with threads on the inside 
diameter), adjustable (rotating) flange(s) on an externally-threaded 
hub (i.e., with threads on the outside diameter) that enable(s) the 
width (opening) of the groove to be changed; and having no teeth on 
the outside or datum diameter.
    The scope also excludes certain IMTDC bushings. An IMTDC bushing 
is excluded only if it has a tapered angle of greater than or equal 
to 10 degrees, where the angle is measured between one outside 
tapered surface and the directly opposing outside tapered surface.
    The merchandise covered by this investigation is currently 
classifiable under Harmonized Tariff Schedule of the United States 
(``HTSUS'') subheadings 8483.30.8090, 8483.50.6000, 8483.50.9040, 
8483.50.9080, 8483.90.3000, 8483.90.8080. Covered merchandise may 
also enter under the following HTSUS subheadings: 7325.10.0080, 
7325.99.1000, 7326.19.0010, 7326.19.0080, 8431.31.0040, 
8431.31.0060, 8431.39.0010, 8431.39.0050, 8431.39.0070, 
8431.39.0080, and 8483.50.4000. These HTSUS subheadings are provided 
for convenience and customs purposes. The written description of the 
scope of the investigation is dispositive.

Appendix II

List of Topics in the Issues and Decision Memorandum

I. Summary
II. Background

[[Page 75037]]

III. Scope Comments
IV. Scope of the Investigation
V. Discussion of the Issues:
    Comment 1: Treatment of Input
    Comment 2: Per-Unit Consumption
    Comment 3: Generated Iron Scrap
    Comment 4: By-Product Offset
    Comment 5: Underreported Consumption
    Comment 6: Mold Workshop Labor
    Comment 7: Separate Rate Status for Baldor Electric Company 
Canada
    Comment 8: Separate Rate Status for Zhejiang Damon Industrial 
Equipment Co., Ltd.
    Comment 9: Separate Rate Status for Zhejiang Dongxing Auto Parts 
Co., Ltd.
    Comment 10: Separate Rate Status for Yueqing Bethel Shaft Collar 
Manufacturing Co., Ltd.
    Comment 11: Surrogate Value for Labor
    Comment 12: Surrogate Value for Baking Coal
    Comment 13: Surrogate Value for Anti-tarnish Paper
    Comment 14: Surrogate Value for Spheroidizing Agent
    Comment 15: Surrogate Value for Rail Freight
    Comment 16: Selection of Financial Statements
    Comment 17: SG&A Expense Calculation in Thai Ductile Inductory 
Co. Ltd.'s Financial Statements
VI. Recommendation

[FR Doc. 2016-26104 Filed 10-27-16; 8:45 am]
 BILLING CODE 3510-DS-P