Biodiesel From Argentina and Indonesia: Initiation of Countervailing Duty Investigations, 18423-18427 [2017-07901]
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Federal Register / Vol. 82, No. 74 / Wednesday, April 19, 2017 / Notices
publication of the ITC’s final injury
determination in the Federal Register.10
18423
Estimated Weighted-Average Dumping
Margins
The Department determines that the
estimated final weighted-average
dumping margins are as follow:
Weightedaverage
margin
(percent)
Exporter
Producer
Zhejiang Sanmei Chemical Industry Co., Ltd .............................
Zhejiang Sanmei Chemical Industry Co., Ltd and Jiangsu
Sanmei Chemicals Co., Ltd.
Jiangsu Bluestar Green Technology Co., Ltd ...........................
Electrochemical Factory of Zhejiang Juhua Co., Ltd ................
Sinochem Environmental Protection Chemicals (Taicang) Co.,
Ltd.
Zhejiang Quzhou Lianzhou Refrigerants Co., Ltd .....................
Zhejiang Sanmei Chemical Ind. Co., Ltd ...................................
Zhejiang Zhonglan Refrigeration Technology Co., Ltd ..............
Sinochem Environmental Protection Chemicals (Taicang) Co.,
Ltd.
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
Zhejiang Organic Fluor-Chemistry Plant, Zhejiang Juhua Co.,
Ltd.
Zhejiang Quhua Fluor-Chemistry Co., Ltd .................................
Jiangsu Bluestar Green Technology Co., Ltd ............................
T.T. International Co., Ltd ...........................................................
T.T. International Co., Ltd ...........................................................
T.T. International Co., Ltd ...........................................................
T.T. International Co., Ltd ...........................................................
T.T. International Co., Ltd ...........................................................
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.11
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
Weitron International Refrigeration Equipment (Kunshan) Co.,
Ltd.
PRC-Wide Entity 12 .....................................................................
148.79
148.79
148.79
148.79
148.79
148.79
148.79
148.79
148.79
148.79
148.79
Zhejiang Quhua Juxin Fluorochemical Industry Co., Ltd ..........
148.79
Zhejiang Sanmei Chemical Industry Co., Ltd ............................
148.79
....................................................................................................
167.02
11 Though
the Final Determination refers to Weitron International Refrigeration Equipment Co., Ltd., the correct name of the company is
Weitron International Refrigeration Equipment (Kunshan) Co., Ltd.
12 The PRC-Wide Entity includes Zhejiang Quzhou Lianzhou Refrigerants Co., Ltd., a mandatory respondent, as well as separate rate applicants Zhejiang Quhua Fluor-Chemistry Co., Ltd., and Sinochem Environmental Protection Chemicals (Taicang) Co. Ltd.
jstallworth on DSK7TPTVN1PROD with NOTICES
Critical Circumstances
In its final determination, the ITC did
not make an affirmative critical
circumstances finding with respect to
imports of subject merchandise from the
PRC that were subject to the
Department’s final affirmative critical
circumstances determination.
Accordingly, the Department will
instruct CBP to lift suspension and to
refund any cash deposits made to secure
the payment of estimated antidumping
duties with respect to entries of the
merchandise entered, or withdrawn
from warehouse, for consumption on or
after July 9, 2016 (i.e., 90 days prior to
the date of publication of the
preliminary determination), but before
October 7, 2016, the publication date of
the Preliminary Determination.
Notification to Interested Parties
This notice constitutes the
antidumping duty order with respect to
R134a from the PRC, pursuant to section
736(a) of the Act. Interested parties can
find a list of antidumping duty orders
10 See 1,1,1,2-Tetrafluoroethane (R–134a) from
China, 82 FR 17280 (April 10, 2017).
1 See Biodiesel from Argentina and Indonesia;
Antidumping and Countervailing Duty Petitions
(the Petitions).
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currently in effect at https://
www.trade.gov/enforcement/.
This order is issued and published in
accordance with sections 736(a) of the
Act and 19 CFR 351.211(b).
FOR FURTHER INFORMATION CONTACT:
Dated: April 13, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
Joseph Traw (Indonesia) at (202) 482–
6079; or Spencer Toubia (Argentina) at
(202) 482–0123, AD/CVD Operations,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230.
[FR Doc. 2017–07913 Filed 4–18–17; 8:45 am]
SUPPLEMENTARY INFORMATION:
BILLING CODE 3510–DS–P
The Petitions
DEPARTMENT OF COMMERCE
International Trade Administration
[C–357–821, and C–560–831]
Biodiesel From Argentina and
Indonesia: Initiation of Countervailing
Duty Investigations
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Effective April 12, 2017.
AGENCY:
2 See Volume I of the Petitions, at 3 and Exhibit
GEN–03; see also Biodiesel from Argentina and
Indonesia: Amendment of Petitions, April 10, 2017
(April 17, 2017, Amendment), at 1 and Exhibit
GEN–SUPP–08.
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On March 23, 2017, the Department of
Commerce (the Department) received
countervailing duty (CVD) petitions 1
concerning imports of biodiesel from
Argentina and Indonesia, filed in proper
form on behalf of the National Biodiesel
Board Fair Trade Coalition (the
petitioner), which is an ad hoc
association comprised of domestic
producers of biodiesel, as well as one
trade association.2 The Petitions were
accompanied by antidumping duty (AD)
petitions on biodiesel from Argentina
and Indonesia.3
3 See
E:\FR\FM\19APN1.SGM
the Petitions.
19APN1
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On March 28 and 29, 2017, and April
3, 2017, the Department requested
additional information and clarification
of certain areas of the Petitions.4 The
petitioner filed responses to these
requests on March 31, 2017, and April
4, 2017.5 On April 7, 2017, in
consultations the Department held with
respect to the CVD petition, the
Government of Indonesia (GOI)
provided comments on industry support
and requested the Department poll the
industry to determine industry
´
support.6 On April 10, 2017, Camara
Argentina de Biocombustibles (CARBIO)
and certain individual Argentine
exporters 7 submitted comments
regarding industry support and
requested the Department extend its
initiation decision by 20 days to poll the
industry.8 On April 10, 2017, the
petitioner filed an amendment to the
Petitions.9
In accordance with section 702(b)(1)
of the Tariff Act of 1930, as amended
(the Act), the petitioner alleges that the
Governments of Argentina (GOA) and
Indonesia (GOI) are providing
countervailable subsidies, within the
meaning of sections 701 and 771(5) of
the Act, to imports of biodiesel from
Argentina and Indonesia, respectively,
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 and 19 CFR 351.202(b), for
4 See Letter from the Department, ‘‘Petition for the
Imposition of Antidumping and Countervailing
Duties on Imports of Biodiesel from Argentina and
Indonesia: Supplemental Questions,’’ March 28,
2016 (General Issues Supplemental Questionnaire);
see also Letter from the Department, ‘‘Petition for
the Imposition of Countervailing Duties on Imports
of Biodiesel from Indonesia: Supplemental
Questions,’’ March 28, 2017; Letter from the
Department, ‘‘Petition for the Imposition of
Countervailing Duties on Imports of Biodiesel from
Argentina: Supplemental Questions,’’ March 28,
2017.
5 See Letter from the petitioner, ‘‘Biodiesel from
Argentina and Indonesia: Amendment of Petitions
and Response to the Department’s Supplemental
Questionnaires,’’ March 31, 2017 (Petition
Supplement). On April 11, 2017, the petitioner filed
company certifications relating to the Petition
Supplement. See Letter from the petitioner,
‘‘Biodiesel from Argentina and Indonesia: Company
Certifications of March 31, 2017 Petition
Amendment,’’ April 11, 2017.
6 See Memorandum from the Department,
‘‘Countervailing Duty Petition on Biodiesel from
Indonesia: Consultations with the Government of
Indonesia,’’ April 10, 2017 (Consultation
Memorandum), which references the GOI
comments.
7 The individual Argentine exporters are Aceitera
General Deheza S.A., Bunge Argentina S.A., Cargill
S.A.C.I, COFCO Argentina S.A., LDC Argentina
S.A., Oleaginosa Moreno Hermanos S.A., Molinos
Agro S.A., Renova S.A., and Vicentin S.A.I.C.
8 See CARBIO’s Request to Postpone Initiation,
April 10, 2017 (CARBIO Letter).
9 See April 10, 2017, Amendment.
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15:06 Apr 18, 2017
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those alleged programs on which we are
initiating a CVD investigation, the
petitioner states that the Petitions are
accompanied by information reasonably
available to the petitioner supporting its
allegations.
The Department finds that the
petitioner filed the Petitions on behalf of
the domestic industry because the
petitioner is an interested party as
defined in section 771(9)(F) of the Act.
The Department also finds that the
petitioner demonstrated sufficient
industry support with respect to the
initiation of the CVD investigations that
the petitioner is requesting.10
Period of Investigation
Because the Petitions were filed on
March 23, 2017, the period of
investigation (POI) for each
investigation is, pursuant to 19 CFR
351.204(b)(2), January 1, 2016, through
December 31, 2016.
Scope of the Investigation
The product covered by these
investigations is biodiesel from
Argentina and Indonesia. For a full
description of the scope of these
investigations, see the ‘‘Scope of the
Investigations,’’ at Appendix I of this
notice.
Comments on Scope of the
Investigations
During our review of the Petitions, the
Department issued questions to, and
received responses from, the petitioner
pertaining to the proposed scope to
ensure that the scope language in the
Petitions would be an accurate
reflection of the products for which the
domestic industry is seeking relief.11
As discussed in the preamble to the
Department’s regulations,12 we are
setting aside a period for interested
parties to raise issues regarding product
coverage (i.e., scope). The Department
will consider all comments received
from interested parties and, if necessary,
will consult with the interested parties
prior to the issuance of the preliminary
determinations. If scope comments
include factual information,13 all such
factual information should be limited to
public information. In order to facilitate
preparation of its questionnaires, the
Department requests all interested
parties to submit such comments by
5:00 p.m. Eastern Time (ET) on May 2,
10 See ‘‘Determination of Industry Support for the
Petition’’ section, below.
11 See General Issues Supplemental
Questionnaire; see also Petition Supplement.
12 See Antidumping Duties; Countervailing
Duties; Final Rule, 62 FR 27296, 27323 (May 19,
1997).
13 See 19 CFR 351.102(b)(21).
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2017, which is 20 calendar days from
the signature date of this notice. Any
rebuttal comments, which may include
public factual information, must be filed
by 5:00 p.m. ET on May 12, 2017, which
is 10 calendar days after the initial
comments. All such comments must be
filed on the records of each of the
concurrent AD and CVD investigations.
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. As stated above, all such
comments must be filed on the records
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).14 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,
1401 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 GOA and GOI of
the receipt of the Petitions. Also, in
accordance with section 702(b)(4)(A)(ii)
of the Act, the Department provided
representatives of the GOA and GOI the
opportunity for consultations with
respect to the CVD Petitions.
Consultations with the GOA were held
at the Department’s main building on
14 See 19 CFR 351.303 (describing general filing
requirements); see also Antidumping and
Countervailing Duty Proceedings: Electronic Filing
Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011) (providing
details of the Department’s electronic filing
requirements, which went into effect on August 5,
2011); Enforcement and Compliance; Change of
Electronic Filing System Name, 79 FR 69046
(November 20, 2014). 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.
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April 5, 2017. Consultations with the
GOI were held at the Department’s main
building on April 7, 2017. All invitation
letters and memoranda regarding these
consultations are on file electronically
via ACCESS.
Determination of Industry Support for
the Petitions
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,15 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.16
Section 771(10) of the Act defines the
domestic like product as ‘‘a product
15 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)).
16 See
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15:06 Apr 18, 2017
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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 Petitions).
With regard to the domestic like
product, the petitioner does not offer a
definition of the domestic like product
distinct from the scope of the
investigations. Based on our analysis of
the information submitted on the
record, we have determined that
biodiesel, as defined in the scope,
constitutes a single domestic like
product and we have analyzed industry
support in terms of that domestic like
product.17
In determining whether the petitioner
has standing under section 702(c)(4)(A)
of the Act, we considered the industry
support data contained in the Petitions
with reference to the domestic like
product as defined in the ‘‘Scope of the
Investigations,’’ in Appendix I of this
notice. The petitioner provided 2016
domestic like product production data
for U.S. producers that are known to
support the Petitions. To establish total
production of the domestic like product
in 2016, the petitioner provided data
from the February 2017 Monthly
Biodiesel Production report (which
included total 2016 production of
biodiesel in the United States)
published by the U.S. Energy
Information Administration (the
statistical and analytical agency within
the U.S. Department of Energy). To
establish industry support, the
petitioner compared the production of
companies supporting the Petitions to
the total 2016 production of the
domestic like product for the entire
domestic industry.18 We relied on data
17 For a discussion of the domestic like product
analysis in this case, see Countervailing Duty
Investigation Initiation Checklist: Biodiesel from
Argentina (Argentina CVD Initiation Checklist), at
Attachment II, Analysis of Industry Support for the
Antidumping and Countervailing Duty Petitions
Covering Biodiesel from Argentina and Indonesia,
(Attachment II); and Countervailing Duty
Investigation Initiation Checklist: Biodiesel from
Indonesia (Indonesia CVD Initiation Checklist), at
Attachment II. These checklists are 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 B8024 of the main Department
of Commerce building.
18 See Volume I of the Petitions, at 5–7, and
Volume II of the Petitions, at Exhibits GEN–05—
GEN–07.
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18425
the petitioner provided for purposes of
measuring industry support.19
On April 7, 2017, we received
comments on industry support from the
GOI.20 On April 10, 2017, we received
comments from CARBIO and certain
individual Argentine exporters.21 For
further discussion of these comments,
see the Indonesia CVD Initiation
Checklist, at Attachment II and the
Argentina CVD Initiation Checklist, at
Attachment II.
Our review of the data provided in the
Petitions, Petition Supplement, letter
from the GOI, letter from CARBIO and
certain individual Argentine exporters,
and other information readily available
to the Department indicates that the
petitioner has established industry
support for the Petitions.22 First, the
Petitions 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).23 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 Petitions
account for at least 25 percent of the
total production of the domestic like
product.24 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 Petitions
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 Petitions.25 Accordingly, the
Department determines that the
Petitions were filed on behalf of the
domestic industry within the meaning
of section 702(b)(1) of the Act.
The Department finds that the
petitioner filed the Petitions on behalf of
the domestic industry because it is an
interested party as defined in section
771(9)(F) of the Act and it has
19 Id. For further discussion, see Argentina CVD
Initiation Checklist and Indonesia CVD Initiation
Checklist, at Attachment II.
20 See Consultation Memorandum.
21 See CARBIO Letter.
22 See Argentina CVD Initiation Checklist and
Indonesia CVD Initiation Checklist, at Attachment
II.
23 See section 702(c)(4)(D) of the Act; see also
Argentina CVD Initiation Checklist and Indonesia
CVD Initiation Checklist, at Attachment II.
24 See Argentina CVD Initiation Checklist and
Indonesia CVD Initiation Checklist, at Attachment
II.
25 Id.
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demonstrated sufficient industry
support with respect to the CVD
investigations that it is requesting that
the Department initiate.26
Injury Test
Because Argentina and Indonesia are
‘‘Subsidies Agreement Countries’’
within the meaning of section 701(b) of
the Act, section 701(a)(2) of the Act
applies to these investigations.
Accordingly, the ITC must determine
whether imports of the subject
merchandise from Argentina and
Indonesia materially injure, or threaten
material injury to, a U.S. industry.
Allegations and Evidence of Material
Injury and Causation
The petitioner alleges that imports of
the subject merchandise are benefitting
from countervailable subsidies and that
such imports are causing, or threaten to
cause, material injury to the U.S.
industry producing the domestic like
product. In CVD petitions, section
771(24)(A) of the Act provides that
imports of subject merchandise must
exceed the negligibility threshold of
three percent, except that imports of
subject merchandise from developing
countries in CVD investigations must
exceed the negligibility threshold of
four percent, pursuant to section
771(24)(B) of the Act. The petitioner
demonstrates that imports from
Argentina and Indonesia, which have
been designated as developing and
least-developed countries under
sections 771(36)(A) and 771(36)(B) of
the Act, respectively, exceed the four
percent negligibility threshold provided
for under section 771(24)(B) of the
Act.27
The petitioner contends that the
industry’s injured condition is
illustrated by reduced market share;
underselling and price suppression or
depression; lost sales and revenues;
negative impact on the domestic
industry’s operations and performance;
and decline in financial performance.28
We have assessed the allegations and
supporting evidence regarding material
injury, threat of material injury, and
causation, and we have determined that
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26 Id.
27 See Volume I of the Petitions, at 97–98; see also
Volume I of the Petition Supplements, at 5–8 and
Volume II of the Petition Supplements, at Exhibits
GEN–SUPP–04 and GEN–SUPP–7.
28 See Volume I of the Petitions, at 1–3, 92–117
and Volume II of the Petitions, at Exhibits GEN–05,
GEN–08 through GEN–10, GEN–12, and GEN–20
through GEN–32; see also Biodiesel from Argentina
and Indonesia; Antidumping and Countervailing
Duty Petition Amendment, dated March 24, 2017
(Lost Sales and Revenues Exhibit), at Exhibit A; and
Volume I of the Petition Supplements, at 5–8 and
Volume II of the Petition Supplements, at Exhibits
GEN–SUPP–04 through GEN–SUPP–07.
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these allegations are properly supported
by adequate evidence, and meet the
statutory requirements for initiation.29
Subsidy Allegations
Argentina
Based on our review of the Petition,
we find that there is sufficient
information to initiate a CVD
investigation on ten of ten of the alleged
programs. For a full discussion of the
basis for our decision to initiate on each
program, see the Argentina CVD
Initiation Checklist.
Indonesia
Based on our review of the petition,
we find that there is sufficient
information to initiate a CVD
investigation on eight of eight of the
alleged programs. For a full discussion
of the basis for our decision to initiate
on each program, see the Indonesian
CVD Initiation Checklist.
Initiation of CVD Investigations
Section 702(b)(1) of the Act requires
the Department to initiate a CVD
investigation whenever an interested
party files a CVD petition on behalf of
an industry that: (1) Alleges the
elements necessary for an imposition of
a duty under section 701(a) of the Act;
and (2) is accompanied by information
reasonably available to the petitioner
supporting the allegations.
The petitioner alleges that producers/
exporters of biodiesel in Argentina and
Indonesia benefit from countervailable
subsidies bestowed by the governments
of these countries, respectively. The
Department examined the Petitions and
finds that they comply with the
requirements of section 702(b)(1) of the
Act. Therefore, we are initiating CVD
investigations to determine whether
manufacturers, producers, and/or
exporters of biodiesel from Argentina
and Indonesia receive countervailable
subsidies from the governments of these
countries, respectively. In accordance
with section 701(b)(1)(A) of the Act and
19 CFR 351.205(b)(1), unless postponed,
we intend to make our preliminary
determinations no later than 65 days
after the date of this initiation.
Under the Trade Preferences
Extension Act of 2015, numerous
amendments to the AD and CVD laws
were made.30 The 2015 law does not
29 See Argentina CVD Initiation Checklist, at
Attachment III, Analysis of Allegations and
Evidence of Material Injury and Causation for the
Antidumping and Countervailing Duty Petitions
Covering Biodiesel from Argentina and Indonesia
(Attachment III); see also Indonesia CVD Initiation
Checklist, at Attachment III.
30 See Trade Preferences Extension Act of 2015,
Public Law 114–27, 129 Stat. 362 (2015).
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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.31 The
amendments to sections 776 and 782 of
the Act are applicable to all
determinations made on or after August
6, 2015, and, therefore, apply to these
CVD investigations.32
Respondent Selection
The petitioner identified 16
companies in Argentina and five
companies in Indonesia, as producers/
exporters of biodiesel.33 Following
standard practice in CVD investigations,
in the event the Department determines
the number of companies subject to
each investigation is large, the
Department intends to review U.S.
Customs and Border Protection (CBP)
data for U.S. imports under the
appropriate HTSUS numbers listed with
the ‘‘Scope of the Investigations,’’ in
Appendix I, below, and if it determines
that it cannot individually examine each
company based upon the Department’s
resources, then the Department will
select respondents based on that data.
We also intend to release the CBP data
under Administrative Protective Order
(APO) to all parties with access to
information protected by APO on the
record within five business days of
publication of this Federal Register
notice. Comments regarding the CBP
data and respondent selection should be
submitted seven calendar days after the
placement of the CBP data on the record
of each respective investigation. Parties
wishing to submit rebuttal comments
should submit those comments five
calendar days after the deadline for the
initial comments.
Comments for the above-referenced
investigations must be filed
electronically using ACCESS. An
electronically-filed document must be
received successfully in its entirety by
ACCESS no later than 5:00 p.m. ET on
the date noted above. We intend to
make our decision regarding respondent
selection within 20 days of publication
of this notice. Interested parties must
31 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).
The 2015 amendments may be found at https://
www.congress.gov/bill/114th-congress/house-bill/
1295/text/pl.
32 See Applicability Notice, 80 FR at 46794–95.
33 See Volume I of the Petition, at 14–15; see also
Volume II of the Petition, at Exhibits GEN–17,
GEN–18.
E:\FR\FM\19APN1.SGM
19APN1
Federal Register / Vol. 82, No. 74 / Wednesday, April 19, 2017 / Notices
submit applications for disclosure under
APO in accordance with 19 CFR
351.305(b). Instructions for filing such
applications may be found on the
Department’s Web site at https://
enforcement.trade.gov/apo.
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 Petitions have been provided to
the GOA and GOI via ACCESS. To the
extent practicable, we will attempt to
provide a copy of the public version of
the Petitions to each known exporter
named in the Petitions, as provided
under 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.
jstallworth on DSK7TPTVN1PROD with NOTICES
Preliminary Determinations by the ITC
The ITC will preliminarily determine,
within 45 days after the date on which
the Petitions were filed, whether there
is a reasonable indication that imports
of biodiesel from Argentina and/or
Indonesia are materially injuring, or
threatening material injury to, a U.S.
industry.34 A negative ITC
determination for any country will
result in the investigation being
terminated with respect to that
country; 35 otherwise, these
investigations 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
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, to
specify under which subsection of 19
CFR 351.102(b)(21) the information is
being submitted and, if the information
is 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. Time
limits for the submission of factual
information are addressed in 19 CFR
351.301, which provides specific time
34 See
35 See
section 703(a)(2) of the Act.
section 703(a)(1) of the Act.
VerDate Sep<11>2014
15:06 Apr 18, 2017
Jkt 241001
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 Part 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 Part 351 expires. 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. 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 https://www.gpo.gov/
fdsys/pkg/FR-2013-09-20/html/201322853.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
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
https://enforcement.trade.gov/tlei/notices/factual_
info_final_rule_FAQ_07172013.pdf.
37 See
PO 00000
Frm 00012
Fmt 4703
Sfmt 9990
18427
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 this investigation 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 and 19 CFR 351.203(c).
Dated: April 12, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
Appendix I
Scope of the Investigations
The product covered by these
investigations is biodiesel, which is a fuel
comprised of mono-alkyl esters of long chain
fatty acids derived from vegetable oils or
animal fats, including biologically-based
waste oils or greases, and other biologicallybased oil or fat sources. The investigations
cover biodiesel in pure form (B100) as well
as fuel mixtures containing at least 99
percent biodiesel by volume (B99). For fuel
mixtures containing less than 99 percent
biodiesel by volume, only the biodiesel
component of the mixture is covered by the
scope of the investigations.
Biodiesel is generally produced to
American Society for Testing and Materials
International (ASTM) D6751 specifications,
but it can also be made to other
specifications. Biodiesel commonly has one
of the following Chemical Abstracts Service
(CAS) numbers, generally depending upon
the feedstock used: 67784–80–9 (soybean oil
methyl esters); 91051–34–2 (palm oil methyl
esters); 91051–32–0 (palm kernel oil methyl
esters); 73891–99–3 (rapeseed oil methyl
esters); 61788–61–2 (tallow methyl esters);
68990–52–3 (vegetable oil methyl esters);
129828–16–6 (canola oil methyl esters);
67762–26–9 (unsaturated alkylcarboxylic
acid methyl ester); or 68937–84–8 (fatty
acids, C12–C18, methyl ester).
The B100 product subject to the
investigations is currently classifiable under
subheading 3826.00.1000 of the Harmonized
Tariff Schedule of the United States
(HTSUS), while the B99 product is currently
classifiable under HTSUS subheading
3826.00.3000. Although the HTSUS
subheadings, ASTM specifications, and CAS
numbers are provided for convenience and
customs purposes, the written description of
the scope is dispositive.
[FR Doc. 2017–07901 Filed 4–18–17; 8:45 am]
BILLING CODE 3510–DS–P
E:\FR\FM\19APN1.SGM
19APN1
Agencies
[Federal Register Volume 82, Number 74 (Wednesday, April 19, 2017)]
[Notices]
[Pages 18423-18427]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-07901]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-357-821, and C-560-831]
Biodiesel From Argentina and Indonesia: Initiation of
Countervailing Duty Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Effective April 12, 2017.
FOR FURTHER INFORMATION CONTACT: Joseph Traw (Indonesia) at (202) 482-
6079; or Spencer Toubia (Argentina) at (202) 482-0123, AD/CVD
Operations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW., Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
The Petitions
On March 23, 2017, the Department of Commerce (the Department)
received countervailing duty (CVD) petitions \1\ concerning imports of
biodiesel from Argentina and Indonesia, filed in proper form on behalf
of the National Biodiesel Board Fair Trade Coalition (the petitioner),
which is an ad hoc association comprised of domestic producers of
biodiesel, as well as one trade association.\2\ The Petitions were
accompanied by antidumping duty (AD) petitions on biodiesel from
Argentina and Indonesia.\3\
---------------------------------------------------------------------------
\1\ See Biodiesel from Argentina and Indonesia; Antidumping and
Countervailing Duty Petitions (the Petitions).
\2\ See Volume I of the Petitions, at 3 and Exhibit GEN-03; see
also Biodiesel from Argentina and Indonesia: Amendment of Petitions,
April 10, 2017 (April 17, 2017, Amendment), at 1 and Exhibit GEN-
SUPP-08.
\3\ See the Petitions.
---------------------------------------------------------------------------
[[Page 18424]]
On March 28 and 29, 2017, and April 3, 2017, the Department
requested additional information and clarification of certain areas of
the Petitions.\4\ The petitioner filed responses to these requests on
March 31, 2017, and April 4, 2017.\5\ On April 7, 2017, in
consultations the Department held with respect to the CVD petition, the
Government of Indonesia (GOI) provided comments on industry support and
requested the Department poll the industry to determine industry
support.\6\ On April 10, 2017, C[aacute]mara Argentina de
Biocombustibles (CARBIO) and certain individual Argentine exporters \7\
submitted comments regarding industry support and requested the
Department extend its initiation decision by 20 days to poll the
industry.\8\ On April 10, 2017, the petitioner filed an amendment to
the Petitions.\9\
---------------------------------------------------------------------------
\4\ See Letter from the Department, ``Petition for the
Imposition of Antidumping and Countervailing Duties on Imports of
Biodiesel from Argentina and Indonesia: Supplemental Questions,''
March 28, 2016 (General Issues Supplemental Questionnaire); see also
Letter from the Department, ``Petition for the Imposition of
Countervailing Duties on Imports of Biodiesel from Indonesia:
Supplemental Questions,'' March 28, 2017; Letter from the
Department, ``Petition for the Imposition of Countervailing Duties
on Imports of Biodiesel from Argentina: Supplemental Questions,''
March 28, 2017.
\5\ See Letter from the petitioner, ``Biodiesel from Argentina
and Indonesia: Amendment of Petitions and Response to the
Department's Supplemental Questionnaires,'' March 31, 2017 (Petition
Supplement). On April 11, 2017, the petitioner filed company
certifications relating to the Petition Supplement. See Letter from
the petitioner, ``Biodiesel from Argentina and Indonesia: Company
Certifications of March 31, 2017 Petition Amendment,'' April 11,
2017.
\6\ See Memorandum from the Department, ``Countervailing Duty
Petition on Biodiesel from Indonesia: Consultations with the
Government of Indonesia,'' April 10, 2017 (Consultation Memorandum),
which references the GOI comments.
\7\ The individual Argentine exporters are Aceitera General
Deheza S.A., Bunge Argentina S.A., Cargill S.A.C.I, COFCO Argentina
S.A., LDC Argentina S.A., Oleaginosa Moreno Hermanos S.A., Molinos
Agro S.A., Renova S.A., and Vicentin S.A.I.C.
\8\ See CARBIO's Request to Postpone Initiation, April 10, 2017
(CARBIO Letter).
\9\ See April 10, 2017, Amendment.
---------------------------------------------------------------------------
In accordance with section 702(b)(1) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that the Governments of
Argentina (GOA) and Indonesia (GOI) are providing countervailable
subsidies, within the meaning of sections 701 and 771(5) of the Act, to
imports of biodiesel from Argentina and Indonesia, respectively, 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 and 19 CFR 351.202(b), for those alleged
programs on which we are initiating a CVD investigation, the petitioner
states that the Petitions are accompanied by information reasonably
available to the petitioner supporting its allegations.
The Department finds that the petitioner filed the Petitions on
behalf of the domestic industry because the petitioner is an interested
party as defined in section 771(9)(F) of the Act. The Department also
finds that the petitioner demonstrated sufficient industry support with
respect to the initiation of the CVD investigations that the petitioner
is requesting.\10\
---------------------------------------------------------------------------
\10\ See ``Determination of Industry Support for the Petition''
section, below.
---------------------------------------------------------------------------
Period of Investigation
Because the Petitions were filed on March 23, 2017, the period of
investigation (POI) for each investigation is, pursuant to 19 CFR
351.204(b)(2), January 1, 2016, through December 31, 2016.
Scope of the Investigation
The product covered by these investigations is biodiesel from
Argentina and Indonesia. For a full description of the scope of these
investigations, see the ``Scope of the Investigations,'' at Appendix I
of this notice.
Comments on Scope of the Investigations
During our review of the Petitions, the Department issued questions
to, and received responses from, the petitioner pertaining to the
proposed scope to ensure that the scope language in the Petitions would
be an accurate reflection of the products for which the domestic
industry is seeking relief.\11\
---------------------------------------------------------------------------
\11\ See General Issues Supplemental Questionnaire; see also
Petition Supplement.
---------------------------------------------------------------------------
As discussed in the preamble to the Department's regulations,\12\
we are setting aside a period for interested parties to raise issues
regarding product coverage (i.e., scope). The Department will consider
all comments received from interested parties and, if necessary, will
consult with the interested parties prior to the issuance of the
preliminary determinations. If scope comments include factual
information,\13\ all such factual information should be limited to
public information. In order to facilitate preparation of its
questionnaires, the Department requests all interested parties to
submit such comments by 5:00 p.m. Eastern Time (ET) on May 2, 2017,
which is 20 calendar days from the signature date of this notice. Any
rebuttal comments, which may include public factual information, must
be filed by 5:00 p.m. ET on May 12, 2017, which is 10 calendar days
after the initial comments. All such comments must be filed on the
records of each of the concurrent AD and CVD investigations.
---------------------------------------------------------------------------
\12\ See Antidumping Duties; Countervailing Duties; Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\13\ See 19 CFR 351.102(b)(21).
---------------------------------------------------------------------------
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. As stated
above, all such comments must be filed on the records 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).\14\ 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, 1401 Constitution Avenue NW., Washington, DC
20230, and stamped with the date and time of receipt by the applicable
deadlines.
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\14\ See 19 CFR 351.303 (describing general filing
requirements); see also Antidumping and Countervailing Duty
Proceedings: Electronic Filing Procedures; Administrative Protective
Order Procedures, 76 FR 39263 (July 6, 2011) (providing details of
the Department's electronic filing requirements, which went into
effect on August 5, 2011); Enforcement and Compliance; Change of
Electronic Filing System Name, 79 FR 69046 (November 20, 2014).
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 GOA and GOI of the receipt of the
Petitions. Also, in accordance with section 702(b)(4)(A)(ii) of the
Act, the Department provided representatives of the GOA and GOI the
opportunity for consultations with respect to the CVD Petitions.
Consultations with the GOA were held at the Department's main building
on
[[Page 18425]]
April 5, 2017. Consultations with the GOI were held at the Department's
main building on April 7, 2017. All invitation letters and memoranda
regarding these consultations are on file electronically via ACCESS.
Determination of Industry Support for the Petitions
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,\15\ 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.\16\
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\15\ See section 771(10) of the Act.
\16\ 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
Petitions).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigations. Based on our analysis of the information
submitted on the record, we have determined that biodiesel, as defined
in the scope, constitutes a single domestic like product and we have
analyzed industry support in terms of that domestic like product.\17\
---------------------------------------------------------------------------
\17\ For a discussion of the domestic like product analysis in
this case, see Countervailing Duty Investigation Initiation
Checklist: Biodiesel from Argentina (Argentina CVD Initiation
Checklist), at Attachment II, Analysis of Industry Support for the
Antidumping and Countervailing Duty Petitions Covering Biodiesel
from Argentina and Indonesia, (Attachment II); and Countervailing
Duty Investigation Initiation Checklist: Biodiesel from Indonesia
(Indonesia CVD Initiation Checklist), at Attachment II. These
checklists are 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 B8024 of the main
Department of Commerce building.
---------------------------------------------------------------------------
In determining whether the petitioner has standing under section
702(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in Appendix I of
this notice. The petitioner provided 2016 domestic like product
production data for U.S. producers that are known to support the
Petitions. To establish total production of the domestic like product
in 2016, the petitioner provided data from the February 2017 Monthly
Biodiesel Production report (which included total 2016 production of
biodiesel in the United States) published by the U.S. Energy
Information Administration (the statistical and analytical agency
within the U.S. Department of Energy). To establish industry support,
the petitioner compared the production of companies supporting the
Petitions to the total 2016 production of the domestic like product for
the entire domestic industry.\18\ We relied on data the petitioner
provided for purposes of measuring industry support.\19\
---------------------------------------------------------------------------
\18\ See Volume I of the Petitions, at 5-7, and Volume II of the
Petitions, at Exhibits GEN-05--GEN-07.
\19\ Id. For further discussion, see Argentina CVD Initiation
Checklist and Indonesia CVD Initiation Checklist, at Attachment II.
---------------------------------------------------------------------------
On April 7, 2017, we received comments on industry support from the
GOI.\20\ On April 10, 2017, we received comments from CARBIO and
certain individual Argentine exporters.\21\ For further discussion of
these comments, see the Indonesia CVD Initiation Checklist, at
Attachment II and the Argentina CVD Initiation Checklist, at Attachment
II.
---------------------------------------------------------------------------
\20\ See Consultation Memorandum.
\21\ See CARBIO Letter.
---------------------------------------------------------------------------
Our review of the data provided in the Petitions, Petition
Supplement, letter from the GOI, letter from CARBIO and certain
individual Argentine exporters, and other information readily available
to the Department indicates that the petitioner has established
industry support for the Petitions.\22\ First, the Petitions
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).\23\
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 Petitions
account for at least 25 percent of the total production of the domestic
like product.\24\ 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 Petitions 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 Petitions.\25\
Accordingly, the Department determines that the Petitions were filed on
behalf of the domestic industry within the meaning of section 702(b)(1)
of the Act.
---------------------------------------------------------------------------
\22\ See Argentina CVD Initiation Checklist and Indonesia CVD
Initiation Checklist, at Attachment II.
\23\ See section 702(c)(4)(D) of the Act; see also Argentina CVD
Initiation Checklist and Indonesia CVD Initiation Checklist, at
Attachment II.
\24\ See Argentina CVD Initiation Checklist and Indonesia CVD
Initiation Checklist, at Attachment II.
\25\ Id.
---------------------------------------------------------------------------
The Department finds that the petitioner filed the Petitions on
behalf of the domestic industry because it is an interested party as
defined in section 771(9)(F) of the Act and it has
[[Page 18426]]
demonstrated sufficient industry support with respect to the CVD
investigations that it is requesting that the Department initiate.\26\
---------------------------------------------------------------------------
\26\ Id.
---------------------------------------------------------------------------
Injury Test
Because Argentina and Indonesia are ``Subsidies Agreement
Countries'' within the meaning of section 701(b) of the Act, section
701(a)(2) of the Act applies to these investigations. Accordingly, the
ITC must determine whether imports of the subject merchandise from
Argentina and Indonesia materially injure, or threaten material injury
to, a U.S. industry.
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that imports of the subject merchandise are
benefitting from countervailable subsidies and that such imports are
causing, or threaten to cause, material injury to the U.S. industry
producing the domestic like product. In CVD petitions, section
771(24)(A) of the Act provides that imports of subject merchandise must
exceed the negligibility threshold of three percent, except that
imports of subject merchandise from developing countries in CVD
investigations must exceed the negligibility threshold of four percent,
pursuant to section 771(24)(B) of the Act. The petitioner demonstrates
that imports from Argentina and Indonesia, which have been designated
as developing and least-developed countries under sections 771(36)(A)
and 771(36)(B) of the Act, respectively, exceed the four percent
negligibility threshold provided for under section 771(24)(B) of the
Act.\27\
---------------------------------------------------------------------------
\27\ See Volume I of the Petitions, at 97-98; see also Volume I
of the Petition Supplements, at 5-8 and Volume II of the Petition
Supplements, at Exhibits GEN-SUPP-04 and GEN-SUPP-7.
---------------------------------------------------------------------------
The petitioner contends that the industry's injured condition is
illustrated by reduced market share; underselling and price suppression
or depression; lost sales and revenues; negative impact on the domestic
industry's operations and performance; and decline in financial
performance.\28\ 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.\29\
---------------------------------------------------------------------------
\28\ See Volume I of the Petitions, at 1-3, 92-117 and Volume II
of the Petitions, at Exhibits GEN-05, GEN-08 through GEN-10, GEN-12,
and GEN-20 through GEN-32; see also Biodiesel from Argentina and
Indonesia; Antidumping and Countervailing Duty Petition Amendment,
dated March 24, 2017 (Lost Sales and Revenues Exhibit), at Exhibit
A; and Volume I of the Petition Supplements, at 5-8 and Volume II of
the Petition Supplements, at Exhibits GEN-SUPP-04 through GEN-SUPP-
07.
\29\ See Argentina CVD Initiation Checklist, at Attachment III,
Analysis of Allegations and Evidence of Material Injury and
Causation for the Antidumping and Countervailing Duty Petitions
Covering Biodiesel from Argentina and Indonesia (Attachment III);
see also Indonesia CVD Initiation Checklist, at Attachment III.
---------------------------------------------------------------------------
Subsidy Allegations
Argentina
Based on our review of the Petition, we find that there is
sufficient information to initiate a CVD investigation on ten of ten of
the alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see the Argentina CVD Initiation
Checklist.
Indonesia
Based on our review of the petition, we find that there is
sufficient information to initiate a CVD investigation on eight of
eight of the alleged programs. For a full discussion of the basis for
our decision to initiate on each program, see the Indonesian CVD
Initiation Checklist.
Initiation of CVD Investigations
Section 702(b)(1) of the Act requires the Department to initiate a
CVD investigation whenever an interested party files a CVD petition on
behalf of an industry that: (1) Alleges the elements necessary for an
imposition of a duty under section 701(a) of the Act; and (2) is
accompanied by information reasonably available to the petitioner
supporting the allegations.
The petitioner alleges that producers/exporters of biodiesel in
Argentina and Indonesia benefit from countervailable subsidies bestowed
by the governments of these countries, respectively. The Department
examined the Petitions and finds that they comply with the requirements
of section 702(b)(1) of the Act. Therefore, we are initiating CVD
investigations to determine whether manufacturers, producers, and/or
exporters of biodiesel from Argentina and Indonesia receive
countervailable subsidies from the governments of these countries,
respectively. In accordance with section 701(b)(1)(A) of the Act and 19
CFR 351.205(b)(1), unless postponed, we intend to make our preliminary
determinations no later than 65 days after the date of this initiation.
Under the Trade Preferences Extension Act of 2015, numerous
amendments to the AD and CVD laws were made.\30\ 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.\31\ The amendments to
sections 776 and 782 of the Act are applicable to all determinations
made on or after August 6, 2015, and, therefore, apply to these CVD
investigations.\32\
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\30\ See Trade Preferences Extension Act of 2015, Public Law
114-27, 129 Stat. 362 (2015).
\31\ 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).
The 2015 amendments may be found at https://www.congress.gov/bill/114th-congress/house-bill/1295/text/pl.
\32\ See Applicability Notice, 80 FR at 46794-95.
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Respondent Selection
The petitioner identified 16 companies in Argentina and five
companies in Indonesia, as producers/exporters of biodiesel.\33\
Following standard practice in CVD investigations, in the event the
Department determines the number of companies subject to each
investigation is large, the Department intends to review U.S. Customs
and Border Protection (CBP) data for U.S. imports under the appropriate
HTSUS numbers listed with the ``Scope of the Investigations,'' in
Appendix I, below, and if it determines that it cannot individually
examine each company based upon the Department's resources, then the
Department will select respondents based on that data. We also intend
to release the CBP data under Administrative Protective Order (APO) to
all parties with access to information protected by APO on the record
within five business days of publication of this Federal Register
notice. Comments regarding the CBP data and respondent selection should
be submitted seven calendar days after the placement of the CBP data on
the record of each respective investigation. Parties wishing to submit
rebuttal comments should submit those comments five calendar days after
the deadline for the initial comments.
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\33\ See Volume I of the Petition, at 14-15; see also Volume II
of the Petition, at Exhibits GEN-17, GEN-18.
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Comments for the above-referenced investigations must be filed
electronically using ACCESS. An electronically-filed document must be
received successfully in its entirety by ACCESS no later than 5:00 p.m.
ET on the date noted above. We intend to make our decision regarding
respondent selection within 20 days of publication of this notice.
Interested parties must
[[Page 18427]]
submit applications for disclosure under APO in accordance with 19 CFR
351.305(b). Instructions for filing such applications may be found on
the Department's Web site at https://enforcement.trade.gov/apo.
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 Petitions have been
provided to the GOA and GOI via ACCESS. To the extent practicable, we
will attempt to provide a copy of the public version of the Petitions
to each known exporter named in the Petitions, as provided under 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 Determinations by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petitions were filed, whether there is a reasonable
indication that imports of biodiesel from Argentina and/or Indonesia
are materially injuring, or threatening material injury to, a U.S.
industry.\34\ A negative ITC determination for any country will result
in the investigation being terminated with respect to that country;
\35\ otherwise, these investigations will proceed according to
statutory and regulatory time limits.
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\34\ See section 703(a)(2) of the Act.
\35\ See section 703(a)(1) of the Act.
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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, to specify under which subsection of 19 CFR
351.102(b)(21) the information is being submitted and, if the
information is 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. 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 Part 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 Part 351 expires. 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. 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 https://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
https://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 this investigation 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 and 19 CFR 351.203(c).
Dated: April 12, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigations
The product covered by these investigations is biodiesel, which
is a fuel comprised of mono-alkyl esters of long chain fatty acids
derived from vegetable oils or animal fats, including biologically-
based waste oils or greases, and other biologically-based oil or fat
sources. The investigations cover biodiesel in pure form (B100) as
well as fuel mixtures containing at least 99 percent biodiesel by
volume (B99). For fuel mixtures containing less than 99 percent
biodiesel by volume, only the biodiesel component of the mixture is
covered by the scope of the investigations.
Biodiesel is generally produced to American Society for Testing
and Materials International (ASTM) D6751 specifications, but it can
also be made to other specifications. Biodiesel commonly has one of
the following Chemical Abstracts Service (CAS) numbers, generally
depending upon the feedstock used: 67784-80-9 (soybean oil methyl
esters); 91051-34-2 (palm oil methyl esters); 91051-32-0 (palm
kernel oil methyl esters); 73891-99-3 (rapeseed oil methyl esters);
61788-61-2 (tallow methyl esters); 68990-52-3 (vegetable oil methyl
esters); 129828-16-6 (canola oil methyl esters); 67762-26-9
(unsaturated alkylcarboxylic acid methyl ester); or 68937-84-8
(fatty acids, C12-C18, methyl ester).
The B100 product subject to the investigations is currently
classifiable under subheading 3826.00.1000 of the Harmonized Tariff
Schedule of the United States (HTSUS), while the B99 product is
currently classifiable under HTSUS subheading 3826.00.3000. Although
the HTSUS subheadings, ASTM specifications, and CAS numbers are
provided for convenience and customs purposes, the written
description of the scope is dispositive.
[FR Doc. 2017-07901 Filed 4-18-17; 8:45 am]
BILLING CODE 3510-DS-P