Certain Uncoated Groundwood Paper From Canada: Initiation of Less-Than-Fair-Value Investigation, 41599-41603 [2017-18726]

Download as PDF Federal Register / Vol. 82, No. 169 / Friday, September 1, 2017 / Notices is hereby requested. Failure to comply with the regulations and terms of an APO is a violation which is subject to sanction. We are issuing and publishing these results and notice in accordance with sections 751(c), 752(c), and 777(i)(1) of the Act, 19 CFR 351.218, and 19 CFR 351.221(c)(5)(ii). Dated: August 28, 2017. Gary Taverman, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix List of Topics Discussed in the Issues and Decision Memorandum I. Summary II. Background III. Scope of the Order IV. History of the Order V. Legal Framework VI. Discussion of the Issues 1. Likelihood of Continuation or Recurrence of Dumping 2. Magnitude of the Margins Likely to Prevail VII. Final Results of Sunset Review VIII. Recommendation [FR Doc. 2017–18587 Filed 8–31–17; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–122–861] Certain Uncoated Groundwood Paper From Canada: Initiation of Less-ThanFair-Value Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable September 1, 2017. FOR FURTHER INFORMATION CONTACT: Maria Tatarska at (202) 482–1562, AD/ CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230. SUPPLEMENTARY INFORMATION: AGENCY: sradovich on DSK3GMQ082PROD with NOTICES The Petition On August 9, 2017, the U.S. Department of Commerce (the Department) received an antidumping duty (AD) Petition concerning imports of certain uncoated groundwood paper (UGW paper) from Canada, filed in proper form on behalf of North Pacific Paper Company (NORPAC, the VerDate Sep<11>2014 17:53 Aug 31, 2017 Jkt 241001 petitioner).1 The AD Petition was accompanied by a countervailing duty (CVD) Petition concerning imports of UGW paper from Canada. The petitioner is a domestic producer of UGW paper.2 On August 11, 2017, the Department requested supplemental information pertaining to certain areas of the Petition.3 The petitioner filed responses to these requests on August 15, 2017.4 On August 17, 2017, the Department contacted the petitioner regarding the proposed scope of the investigations.5 The petitioner filed revised scope language on August 21, 2017.6 As discussed below, on August 10, 2017, the Department issued polling questionnaires to all known U.S. producers of UGW paper. The Department received responses from all recipients of the polling questionnaires. In accordance with section 732(b) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that imports of UGW paper from Canada are being, or are likely to be, sold in the United States at less than fair value (LTFV) within the meaning of section 731 of the Act, and that such imports are materially injuring, or threatening material injury to, the domestic industry producing UGW paper in the United States. Also, consistent with section 732(b)(1) of the Act, the Petition is accompanied by information reasonably available to the petitioner supporting its allegations. The Department finds that the petitioner filed this Petition on behalf of the domestic industry because the petitioner is an interested party as 1 See Letter from the petitioner ‘‘Certain Uncoated Groundwood Paper from Canada—Petitions for the Imposition of Antidumping and Countervailing Duties,’’ dated August 9, 2017 (the Petition). 2 See Volume I of the Petition, at 1. 3 See Letter to the petitioner from the Department, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Certain Uncoated Groundwood Paper from Canada: Supplemental Questions,’’ dated August 11, 2017 (General Issues Supplemental Questionnaire); see also Letter from the Department, ‘‘Petition for the Imposition of Antidumping Duties on Imports of Certain Uncoated Groundwood Paper from Canada: Supplemental Questions,’’ dated August 11, 2017 (AD Supplemental Questionnaire). 4 See ‘‘Certain Uncoated Groundwood Paper from Canada/Responses to Supplemental Questions on the Injury Volume of the Petition,’’ dated August 15, 2017 (General Issues Supplemental Response); see also ‘‘Certain Uncoated Groundwood Paper from Canada/Petitioner’s Responses to Supplemental Questions on the Antidumping Duty Volume of the Petition,’’ dated August 15, 2017 (AD Supplemental Response). 5 See Memorandum, ‘‘Phone Call with Counsel to the Petitioner,’’ dated August 17, 2017 (Scope Phone Call). 6 See Letter to the Secretary of Commerce from the petitioner, ‘‘Certain Uncoated Groundwood Paper from Canada/Further revisions to the Scope Language,’’ dated August 21, 2017 (Scope Revision Letter). PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 41599 defined in section 771(9)(C) of the Act. The Department also finds that the petitioner demonstrated sufficient industry support with respect to the initiation of the AD investigation that the petitioner is requesting.7 Period of Investigation Because the Petition was filed on August 9, 2017, the period of investigation (POI) for this investigation is July 1, 2016, through June 30, 2017. Scope of the Investigation The product covered by this investigation is UGW paper from Canada. For a full description of the scope of this investigation, see the ‘‘Scope of the Investigation,’’ in the Appendix to this notice. Comments on Scope of the Investigation During our review of the Petition, the Department issued questions to, and received responses from, the petitioner pertaining to the proposed scope to ensure that the scope language in the Petition would be an accurate reflection of the products for which the domestic industry is seeking relief.8 As discussed in the preamble to the Department’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (scope).9 The Department will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determinations. If scope comments include factual information,10 all such factual information should be limited to public information. 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 Monday, September 18, 2017, which is 20 calendar days from the signature date of this notice. Any rebuttal comments, which may include factual information, must be filed by 5:00 p.m. ET on Thursday, September 28, 2017, which is 10 calendar days from the initial comments deadline.11 The Department requests that any factual information the parties consider relevant to the scope of the investigation be submitted during this time period. 7 See the ‘‘Determination of Industry Support for the Petition’’ section, below. 8 See General Issues Supplemental Questionnaire; see also General Issues Supplemental Response, Scope Phone Call, and Scope Revision Letter. 9 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997). 10 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 11 See 19 CFR 351.303(b). E:\FR\FM\01SEN1.SGM 01SEN1 41600 Federal Register / Vol. 82, No. 169 / Friday, September 1, 2017 / Notices However, if a party subsequently finds that additional factual information pertaining to the scope of the investigation may be relevant, the party may contact the Department and request permission to submit the additional information. All such comments must be filed on the records of the concurrent AD and CVD investigations. Filing Requirements All submissions to the Department must be filed electronically using Enforcement and Compliance’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS).12 An electronically filed document must be received successfully in its entirety by the time and date it is due. Documents exempted 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. sradovich on DSK3GMQ082PROD with NOTICES Comments on Product Characteristics for AD Questionnaires The Department will provide interested parties an opportunity to comment on the appropriate physical characteristics of UGW paper to be reported in response to the Department’s AD questionnaire. This information will be used to identify the key physical characteristics of the merchandise under consideration in order to report the relevant costs of production accurately as well as to develop appropriate productcomparison criteria. Interested parties may provide any information or comments that they feel are relevant to the development of an accurate list of physical characteristics. Specifically, they may provide comments as to which characteristics are appropriate to use as: (1) General product characteristics and (2) productcomparison criteria. We note that it is not always appropriate to use all product characteristics as productcomparison criteria. We base product12 See Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance; Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014) for details of the Department’s electronic filing requirements, which went into effect on August 5, 2011. Information on help using ACCESS can be found at https://access.trade.gov/help.aspx and a handbook can be found at https://access.trade.gov/help/ Handbook%20on%20Electronic%20Filling%20 Procedures.pdf. VerDate Sep<11>2014 17:53 Aug 31, 2017 Jkt 241001 comparison criteria on meaningful commercial differences among products. In other words, although there may be some physical product characteristics utilized by manufacturers to describe UGW paper, it may be that only a select few product characteristics take into account commercially meaningful physical characteristics. In addition, interested parties may comment on the order in which the physical characteristics should be used in matching products. Generally, the Department attempts to list the most important physical characteristics first and the least important characteristics last. In order to consider the suggestions of interested parties in developing and issuing the AD questionnaires, all product characteristics comments must be filed by 5:00 p.m. ET on September 18, 2017. Any rebuttal comments must be filed by 5:00 p.m. ET on September 28, 2017. All comments and submissions to the Department must be filed electronically using ACCESS, as explained above, on the record of this LTFV investigation. Determination of Industry Support for the Petition Section 732(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 732(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 732(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 PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both the Department and the ITC must apply the same statutory definition regarding the domestic like product,13 they do so for different purposes and pursuant to a separate and distinct authority. In addition, the Department’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law.14 Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the Petition). With regard to the domestic like product, the petitioner does not offer a definition of the domestic like product distinct from the scope of the investigation. Based on our analysis of the information submitted on the record, we have determined that UGW paper, as defined in the scope, constitutes a single domestic like product and we have analyzed industry support in terms of that domestic like product.15 Based on information provided in the Petition, the share of total estimated U.S. production of the domestic like product in calendar year 2016 represented by the petitioner did not account for more than 50 percent of the total production of the domestic like product. Therefore, in accordance with section 732(c)(4)(D) of the Act, we polled the industry.16 On August 10, 2017, we issued polling questionnaires to all known 13 See section 771(10) of the Act. USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d 865 F.2d 240 (Fed. Cir. 1989)). 15 For a discussion of the domestic like product analysis as applied to this case, see Antidumping Duty Investigation Initiation Checklist: Certain Uncoated Groundwood Paper from Canada (AD Initiation Checklist), at Attachment II, Analysis of Industry Support for the Petitions Covering Certain Uncoated Groundwood Paper from Canada (Attachment II). This checklist is dated concurrently with this notice and on file electronically via ACCESS. Access to documents filed via ACCESS is also available in the Central Records Unit (CRU), Room B8024 of the main Department of Commerce building. 16 Id. 14 See E:\FR\FM\01SEN1.SGM 01SEN1 Federal Register / Vol. 82, No. 169 / Friday, September 1, 2017 / Notices sradovich on DSK3GMQ082PROD with NOTICES producers of UGW paper identified in the Petition.17 We requested that each company complete the polling questionnaire and certify its response by the due date specified in the cover letter to the questionnaire.18 On August 23, 2017, in consultations with the Department held with respect to the companion CVD petition on imports of UGW paper from Canada, the Government of Canada (GOC) provided comments on industry support.19 Section 732(c)(4)(B) of the Act states that (i) the Department ‘‘shall disregard the position of domestic producers who oppose the petition if such producers are related to foreign producers, as defined in section 771(4)(B)(ii), unless such domestic producers demonstrate that their interests as domestic producers would be adversely affected by the imposition of an antidumping duty order;’’ and (ii) the Department ‘‘may disregard the position of domestic producers of a domestic like product who are importers of the subject merchandise.’’ In addition, 19 CFR 351.203(e)(4) states that the position of a domestic producer that opposes the petition (i) will be disregarded if such producer is related to a foreign producer or to a foreign exporter under section 771(4)(B)(ii) of the Act, unless such domestic producer demonstrates to the Secretary’s satisfaction that its interests as a domestic producer would be adversely affected by the imposition of an antidumping order; and (ii) may be disregarded if the producer is an importer of the subject merchandise or is related to such an importer under section 771(4)(B)(ii) of the Act. We received objection to the Petition from those that produce domestic like product and are related to a foreign producer of subject merchandise and/or who imported subject merchandise from Canada. We have analyzed the information provided in the polling questionnaire responses and information provided in other submissions to the Department. Based on our analysis, we disregarded the position in opposition to the petition 17 See Volume I of the Petition, at Exhibit I–5; see also Memorandum, ‘‘Certain Uncoated Groundwood Paper from Canada: Polling Questionnaire,’’ dated August 14, 2017. 18 For a detailed discussion of the responses received, see AD Initiation Checklist, at Attachment II. The polling questionnaire and questionnaire responses are on file electronically via ACCESS and can also be accessed through the CRU. 19 See Memorandum, ‘‘Countervailing Duty Petition on Certain Uncoated Groundwood Paper from Canada: GOC Consultations,’’ dated August 24, 2017; and letter from the GOC re: ‘‘Uncoated Groundwood Paper from Canada: Submission of Consultations Paper,’’ dated August 25, 2017. For a discussion of the GOC’s comments, see the AD Initiation Checklist, at Attachment II. VerDate Sep<11>2014 17:53 Aug 31, 2017 Jkt 241001 pursuant to section 732(c)(4)(B) of the Act. When the position in opposition to the petition is disregarded, the industry support requirements of section 732(c)(4)(A) of the Act are satisified.20 The data collected demonstrate that the domestic producers of UGW paper which support the Petition account for at least 25 percent of the total production of the domestic like product and, once the opposition is disregarded, account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petition.21 Therefore, the Department determines that the petitioner filed this Petition on behalf of the domestic industry in accordance with section 732(b)(1) of the Act because it is an interested party as defined in section 771(9)(C) of the Act and it has demonstrated sufficient industry support with respect to the AD investigation that it is requesting the Department initiate.22 Allegations and Evidence of Material Injury and Causation The petitioner alleges that the U.S. industry producing the domestic like product is being materially injured, or is threatened with material injury, by reason of the imports of the subject merchandise sold at less than normal value (NV). In addition, the petitioner alleges that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.23 The petitioner contends that the industry’s injured condition is illustrated by a significant volume of subject imports and significant increase in the volume of subject imports relative to U.S. consumption; reduced market share; underselling and price suppression or depression; lost sales and revenues; adverse effects on production, capacity utilization, U.S. shipments, and employment; declines in financial performance; and capacity closures and conversions.24 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.25 20 See AD Initiation Checklist, at Attachment II. 41601 Allegation of Sales at Less Than Fair Value The following is a description of the allegation of sales at LTFV upon which the Department based its decision to initiate the AD investigation of imports of UGW paper from Canada. The sources of data for the deductions and adjustments relating to U.S. price and NV are discussed in greater detail in the AD Initiation Checklist. Export Price The petitioner based the U.S. price on export price (EP) using pricing information related to UGW paper produced in, and exported from, Canada, and sold or offered for sale in the United States. This information was obtained from a confidential source.26 Where applicable, the petitioner made deductions from U.S. price for movement expenses, consistent with the terms of sale.27 Normal Value Petitioner based NV on pricing information relating to UGW paper produced in, and sold or offered for sale in Canada, that was obtained through confidential market research.28 Where applicable, the petitioner made deductions for movement expenses, consistent with the terms of sale.29 Fair Value Comparisons Based on the data provided by the petitioner, there is reason to believe that imports of UGW paper from Canada are being, or are likely to be, sold in the United States at LTFV. Based on comparisons of EP to NV in accordance with sections 772 and 773 of the Act, the estimated dumping margins for UGW paper from Canada covered by this initiation range from 23.45 percent to 54.97 percent.30 Initiation of Less-Than-Fair-Value Investigation Based upon the examination of the Petition, we find that the Petition meets the requirements of section 732 of the Act. Therefore, we are initiating an AD investigation to determine whether imports of UGW paper from Canada are being, or are likely to be, sold in the United States at LTFV. In accordance with section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary 21 Id. 22 Id. 23 See Volume I of the Petition, at 19 and Exhibit I–12. 24 Id., at 17–28, Exhibit I–3, Exhibit I–6, and Exhibits I–11 through I–17. 25 See AD Initiation Checklist, at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 Countervailing Duty Petitions Covering Certain Uncoated Groundwood Paper from Canada. 26 See Volume III of the Petition at Exhibits III– 7 and III–8; and AD Initiation Checklist. 27 See AD Initiation Checklist. 28 Id. 29 Id. 30 Id. E:\FR\FM\01SEN1.SGM 01SEN1 41602 Federal Register / Vol. 82, No. 169 / Friday, September 1, 2017 / Notices electronically using ACCESS. An electronically-filed document must be received successfully, in its entirety, by ACCESS no later than 5:00 p.m. ET by the dates noted above. We intend to make our decision regarding respondent selection in this investigation within 20 days of publication of this notice. Respondent Selection The petitioner named eight companies in Canada as producers/ exporters of UGW paper.34 Following standard practice in AD investigations involving market economy countries, in the event the Department determines that the number of companies in Canada is large, the Department intends to review U.S. Customs and Border Protection (CBP) data for U.S. imports of UGW paper during the POI under the appropriate Harmonized Tariff Schedule of the United States subheadings, 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 those data. We intend to release the CBP data under Administrative Protective Order (APO) to all parties with access to information protected by APO within five business days of the announcement of the initiation of this investigation. Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305(b). Instructions for filing such applications may be found on the Department’s Web site at https://enforcement.trade.gov/apo. Interested parties may submit comments regarding the CBP data and respondent selection by 5:00 p.m. ET three calendar days after publication. The Department will not accept rebuttal comments regarding the CBP data or respondent selection. Comments must be filed sradovich on DSK3GMQ082PROD with NOTICES determination no later than 140 days after the date of this initiation. Under the Trade Preferences Extension Act of 2015, numerous amendments to the AD and CVD law were made.31 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.32 The amendments to sections 771(15), 773, 776, and 782 of the Act are applicable to all determinations made on or after August 6, 2015, and, therefore, apply to this AD investigation.33 ITC Notification 31 See Trade Preferences Extension Act of 2015, Pub. L. 114–27, 129 Stat. 362 (2015). 32 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). 33 Id. at 46794–95. The 2015 amendments may be found at https://www.congress.gov/bill/114thcongress/house-bill/1295/text/pl. 34 See Volume I of the Petition at Exhibit I–9. VerDate Sep<11>2014 17:53 Aug 31, 2017 Jkt 241001 Distribution of Copies of the Petition In accordance with section 732(b)(3)(A)(i) of the Act and 19 CFR 351.202(f), copies of the public version of the Petition have been provided to the GOC via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petition to each exporter named in the Petition, as provided under 19 CFR 351.203(c)(2). We will notify the ITC of our initiation, as required by section 732(d) of the Act. Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petition was filed, whether there is a reasonable indication that imports of UGW paper from Canada are materially injuring or threatening material injury to a U.S. industry. A negative ITC determination will result in the investigation being terminated.35 Otherwise, the investigation will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) Evidence 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). 19 CFR 351.301(b) requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 36 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.37 Time limits for the submission of factual 35 See section 733(a) of the Act. 19 CFR 351.301(b). 37 See 19 CFR 351.301(b)(2). 36 See PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to submitting factual information in this investigation. Extensions of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by the Secretary. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301. For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, we may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in the letter or memorandum setting forth the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, stand-alone submission; under limited circumstances we will grant untimely-filed requests for the extension of time limits. Parties should 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 this investigation. Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.38 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.39 The Department intends to reject factual 38 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. 39 See E:\FR\FM\01SEN1.SGM 01SEN1 Federal Register / Vol. 82, No. 169 / Friday, September 1, 2017 / Notices submissions if the submitting party does not comply with 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 732(c)(2) and 777(i) of the Act, and 19 CFR 351.203(c). Dated: August 29, 2017. Gary Taverman, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix—Scope of the Investigation sradovich on DSK3GMQ082PROD with NOTICES The merchandise covered by this investigation includes certain paper that has not been coated on either side and with 50 percent or more of the cellulose fiber content consisting of groundwood pulp, including groundwood pulp made from recycled paper, weighing not more than 90 grams per square meter. Groundwood pulp includes all forms of pulp produced from a mechanical pulping process, such as thermo-mechanical process (TMP), chemi-thermo mechanical process (CTMP), bleached chemi-thermo mechanical process (BCTMP) or any other mechanical pulping process. The scope includes paper shipped in any form, including but not limited to both rolls and sheets. Certain uncoated groundwood paper includes but is not limited to standard newsprint, high bright newsprint, book publishing, directory, and printing and writing papers. The scope includes paper that is white, off-white, cream, or colored. Specifically excluded from the scope are imports of certain uncoated groundwood paper printed with final content of printed text or graphic. Also excluded are papers that otherwise meet this definition, but which have undergone a supercalendering process.40 Certain uncoated groundwood paper is classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) in several subheadings, including 4801.00.0120, 40 Supercalendering imparts a glossy finish produced by the movement of the paper web through a supercalender which is a stack of alternating rollers of metal and cotton (or other softer material). The supercalender runs at high speed and applies pressure, heat, and friction which glazes the surface of the paper, imparting gloss to the surface and increasing the paper’s smoothness and density. VerDate Sep<11>2014 17:53 Aug 31, 2017 Jkt 241001 4801.00.0140, 4802.61.1000, 4802.61.2000, 4802.61.3110, 4802.61.3191, 4802.61.6040, 4802.62.1000, 4802.62.2000, 4802.62.3000, 4802.62.6140, 4802.69.1000, 4802.69.2000, and 4802.69.3000. Subject merchandise may also be imported under several additional subheadings including 4805.91.5000, 4805.91.7000, and 4805.91.9000. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the merchandise is dispositive. [FR Doc. 2017–18726 Filed 8–31–17; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [C–122–862] Certain Uncoated Groundwood Paper From Canada: Initiation of Countervailing Duty Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable September 1, 2017. FOR FURTHER INFORMATION CONTACT: David Crespo at (202) 482–3693, or Whitley Herndon at (202) 482–6274, Office II, AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230. SUPPLEMENTARY INFORMATION: AGENCY: The Petition On August 9, 2017, the U.S. Department of Commerce (the Department) received a countervailing duty (CVD) Petition concerning imports of certain uncoated groundwood paper (UGW paper) from Canada, filed in proper form on behalf of North Pacific Paper Company (NORPAC, or the petitioner).1 The CVD Petition was accompanied by an antidumping duty (AD) Petition concerning imports of UGW paper from Canada. The petitioner is a domestic producer of UGW paper.2 On August 11 and 14, 2017, the Department requested supplemental information pertaining to certain areas of the Petition.3 The petitioner filed 1 See Letter from the petitioner re: ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Uncoated Groundwood Paper from Canada,’’ dated August 9, 2017 (the Petition). 2 Id., Volume I of the Petition, at 1. 3 See Department Letter re: Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Certain Uncoated Groundwood Paper from Canada: Supplemental Questions, dated August 11, 2017 (General Issues Supplemental Questionnaire); see also Department Letter re: Petition for the Imposition of Countervailing Duties on Imports of Certain Uncoated Groundwood Paper from Canada, dated August 14, 2017. PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 41603 responses to these requests on August 15 and 16, 2017.4 On August 17, 2017, the Department contacted the petitioner regarding the proposed scope of the investigations.5 The petitioner filed revised scope language on August 21, 2017.6 As discussed below, on August 10, 2017, the Department issued polling questionnaires to all known U.S. producers of UGW paper. The Department received responses from all recipients of the polling questionnaires. In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that the Government of Canada (GOC) and the provincial governments of Alberta (GOA), British Colombia (GBS), Newfoundland and Labrador (GNL), Ontario (GOO), Quebec (GOQ), and New Brunswick (GNB) are providing countervailable subsidies, within the meaning of sections 701 and 771(5) of the Act, to imports of UGW paper from Canada and that such imports are materially injuring, or threatening material injury to, the domestic industry producing UGW paper in the United States. Also, consistent with section 702(b)(1) of the Act, for those alleged programs on which we are initiating a CVD investigation, the Petition is accompanied by information reasonably available to the petitioner supporting its allegations. The Department finds that the petitioner filed this Petition on behalf of the domestic industry because the petitioner is an interested party as defined in section 771(9)(C) of the Act. The Department also finds that the petitioner demonstrated sufficient industry support with respect to the initiation of the CVD investigation that the petitioner is requesting.7 Period of Investigation Because the Petition was filed on August 9, 2017, the period of investigation (POI) is January 1, 2016, through December 31, 2016. 4 See Letter from the petitioner re: Certain Uncoated Groundwood Paper from Canada/ Responses to Supplemental Questions on the Injury Volume of the Petitions, dated August 15, 2017 (General Issues Supplemental Response); see also Letter from the petitioner re: Certain Uncoated Groundwood Paper from Canada/Petitioner’s Responses to Supplemental Questions on the Countervailing Duty Volume of the Petition, dated August 16, 2017 (CVD Supplement). 5 See Memorandum, ‘‘Phone Call with Counsel to the Petitioner,’’ dated August 17, 2017 (Scope Phone Call). 6 See Letter from the petitioner re: Certain Uncoated Groundwood Paper from Canada/Further Revisions to The Scope Language, dated August 21, 2017 (Scope Revision Letter). 7 See the ‘‘Determination of Industry Support for the Petition’’ section, below. E:\FR\FM\01SEN1.SGM 01SEN1

Agencies

[Federal Register Volume 82, Number 169 (Friday, September 1, 2017)]
[Notices]
[Pages 41599-41603]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-18726]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-861]


Certain Uncoated Groundwood Paper From Canada: Initiation of 
Less-Than-Fair-Value Investigation

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

DATES: Applicable September 1, 2017.

FOR FURTHER INFORMATION CONTACT: Maria Tatarska at (202) 482-1562, AD/
CVD Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION: 

The Petition

    On August 9, 2017, the U.S. Department of Commerce (the Department) 
received an antidumping duty (AD) Petition concerning imports of 
certain uncoated groundwood paper (UGW paper) from Canada, filed in 
proper form on behalf of North Pacific Paper Company (NORPAC, the 
petitioner).\1\ The AD Petition was accompanied by a countervailing 
duty (CVD) Petition concerning imports of UGW paper from Canada. The 
petitioner is a domestic producer of UGW paper.\2\
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    \1\ See Letter from the petitioner ``Certain Uncoated Groundwood 
Paper from Canada--Petitions for the Imposition of Antidumping and 
Countervailing Duties,'' dated August 9, 2017 (the Petition).
    \2\ See Volume I of the Petition, at 1.
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    On August 11, 2017, the Department requested supplemental 
information pertaining to certain areas of the Petition.\3\ The 
petitioner filed responses to these requests on August 15, 2017.\4\ On 
August 17, 2017, the Department contacted the petitioner regarding the 
proposed scope of the investigations.\5\ The petitioner filed revised 
scope language on August 21, 2017.\6\ As discussed below, on August 10, 
2017, the Department issued polling questionnaires to all known U.S. 
producers of UGW paper. The Department received responses from all 
recipients of the polling questionnaires.
---------------------------------------------------------------------------

    \3\ See Letter to the petitioner from the Department, 
``Petitions for the Imposition of Antidumping and Countervailing 
Duties on Imports of Certain Uncoated Groundwood Paper from Canada: 
Supplemental Questions,'' dated August 11, 2017 (General Issues 
Supplemental Questionnaire); see also Letter from the Department, 
``Petition for the Imposition of Antidumping Duties on Imports of 
Certain Uncoated Groundwood Paper from Canada: Supplemental 
Questions,'' dated August 11, 2017 (AD Supplemental Questionnaire).
    \4\ See ``Certain Uncoated Groundwood Paper from Canada/
Responses to Supplemental Questions on the Injury Volume of the 
Petition,'' dated August 15, 2017 (General Issues Supplemental 
Response); see also ``Certain Uncoated Groundwood Paper from Canada/
Petitioner's Responses to Supplemental Questions on the Antidumping 
Duty Volume of the Petition,'' dated August 15, 2017 (AD 
Supplemental Response).
    \5\ See Memorandum, ``Phone Call with Counsel to the 
Petitioner,'' dated August 17, 2017 (Scope Phone Call).
    \6\ See Letter to the Secretary of Commerce from the petitioner, 
``Certain Uncoated Groundwood Paper from Canada/Further revisions to 
the Scope Language,'' dated August 21, 2017 (Scope Revision Letter).
---------------------------------------------------------------------------

    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that imports of UGW paper 
from Canada are being, or are likely to be, sold in the United States 
at less than fair value (LTFV) within the meaning of section 731 of the 
Act, and that such imports are materially injuring, or threatening 
material injury to, the domestic industry producing UGW paper in the 
United States. Also, consistent with section 732(b)(1) of the Act, the 
Petition is accompanied by information reasonably available to the 
petitioner supporting its allegations.
    The Department finds that the petitioner filed this Petition on 
behalf of the domestic industry because the petitioner is an interested 
party as defined in section 771(9)(C) of the Act. The Department also 
finds that the petitioner demonstrated sufficient industry support with 
respect to the initiation of the AD investigation that the petitioner 
is requesting.\7\
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    \7\ See the ``Determination of Industry Support for the 
Petition'' section, below.
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Period of Investigation

    Because the Petition was filed on August 9, 2017, the period of 
investigation (POI) for this investigation is July 1, 2016, through 
June 30, 2017.

Scope of the Investigation

    The product covered by this investigation is UGW paper from Canada. 
For a full description of the scope of this investigation, see the 
``Scope of the Investigation,'' in the Appendix to this notice.

Comments on Scope of the Investigation

    During our review of the Petition, the Department issued questions 
to, and received responses from, the petitioner pertaining to the 
proposed scope to ensure that the scope language in the Petition would 
be an accurate reflection of the products for which the domestic 
industry is seeking relief.\8\
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    \8\ See General Issues Supplemental Questionnaire; see also 
General Issues Supplemental Response, Scope Phone Call, and Scope 
Revision Letter.
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    As discussed in the preamble to the Department's regulations, we 
are setting aside a period for interested parties to raise issues 
regarding product coverage (scope).\9\ The Department will consider all 
comments received from interested parties and, if necessary, will 
consult with interested parties prior to the issuance of the 
preliminary determinations. If scope comments include factual 
information,\10\ all such factual information should be limited to 
public information. 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 Monday, September 18, 2017, which is 
20 calendar days from the signature date of this notice. Any rebuttal 
comments, which may include factual information, must be filed by 5:00 
p.m. ET on Thursday, September 28, 2017, which is 10 calendar days from 
the initial comments deadline.\11\
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    \9\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \10\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
    \11\ See 19 CFR 351.303(b).
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    The Department requests that any factual information the parties 
consider relevant to the scope of the investigation be submitted during 
this time period.

[[Page 41600]]

However, if a party subsequently finds that additional factual 
information pertaining to the scope of the investigation may be 
relevant, the party may contact the Department and request permission 
to submit the additional information. All such comments must be filed 
on the records of the concurrent AD and CVD investigations.

Filing Requirements

    All submissions to the Department must be filed electronically 
using Enforcement and Compliance's Antidumping Duty and Countervailing 
Duty Centralized Electronic Service System (ACCESS).\12\ An 
electronically filed document must be received successfully in its 
entirety by the time and date it is due. Documents exempted 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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    \12\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of the Department's electronic 
filing requirements, which went into effect on August 5, 2011. 
Information on help using ACCESS can be found at https://access.trade.gov/help.aspx and a handbook can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filling%20Procedures.pdf.
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Comments on Product Characteristics for AD Questionnaires

    The Department will provide interested parties an opportunity to 
comment on the appropriate physical characteristics of UGW paper to be 
reported in response to the Department's AD questionnaire. This 
information will be used to identify the key physical characteristics 
of the merchandise under consideration in order to report the relevant 
costs of production accurately as well as to develop appropriate 
product-comparison criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate list of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as: (1) General product 
characteristics and (2) product-comparison criteria. We note that it is 
not always appropriate to use all product characteristics as product-
comparison criteria. We base product-comparison criteria on meaningful 
commercial differences among products. In other words, although there 
may be some physical product characteristics utilized by manufacturers 
to describe UGW paper, it may be that only a select few product 
characteristics take into account commercially meaningful physical 
characteristics. In addition, interested parties may comment on the 
order in which the physical characteristics should be used in matching 
products. Generally, the Department attempts to list the most important 
physical characteristics first and the least important characteristics 
last.
    In order to consider the suggestions of interested parties in 
developing and issuing the AD questionnaires, all product 
characteristics comments must be filed by 5:00 p.m. ET on September 18, 
2017. Any rebuttal comments must be filed by 5:00 p.m. ET on September 
28, 2017. All comments and submissions to the Department must be filed 
electronically using ACCESS, as explained above, on the record of this 
LTFV investigation.

Determination of Industry Support for the Petition

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(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 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, the Department 
shall: (i) Poll the industry or rely on other information in order to 
determine if there is support for the petition, as required by 
subparagraph (A); or (ii) determine industry support using a 
statistically valid sampling method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs the Department to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both the Department and 
the ITC must apply the same statutory definition regarding the domestic 
like product,\13\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, the Department's 
determination is subject to limitations of time and information. 
Although this may result in different definitions of the like product, 
such differences do not render the decision of either agency contrary 
to law.\14\
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    \13\ See section 771(10) of the Act.
    \14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------

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

    \15\ For a discussion of the domestic like product analysis as 
applied to this case, see Antidumping Duty Investigation Initiation 
Checklist: Certain Uncoated Groundwood Paper from Canada (AD 
Initiation Checklist), at Attachment II, Analysis of Industry 
Support for the Petitions Covering Certain Uncoated Groundwood Paper 
from Canada (Attachment II). This checklist is dated concurrently 
with this notice and on file electronically via ACCESS. Access to 
documents filed via ACCESS is also available in the Central Records 
Unit (CRU), Room B8024 of the main Department of Commerce building.
---------------------------------------------------------------------------

    Based on information provided in the Petition, the share of total 
estimated U.S. production of the domestic like product in calendar year 
2016 represented by the petitioner did not account for more than 50 
percent of the total production of the domestic like product. 
Therefore, in accordance with section 732(c)(4)(D) of the Act, we 
polled the industry.\16\
---------------------------------------------------------------------------

    \16\ Id.
---------------------------------------------------------------------------

    On August 10, 2017, we issued polling questionnaires to all known

[[Page 41601]]

producers of UGW paper identified in the Petition.\17\ We requested 
that each company complete the polling questionnaire and certify its 
response by the due date specified in the cover letter to the 
questionnaire.\18\ On August 23, 2017, in consultations with the 
Department held with respect to the companion CVD petition on imports 
of UGW paper from Canada, the Government of Canada (GOC) provided 
comments on industry support.\19\
---------------------------------------------------------------------------

    \17\ See Volume I of the Petition, at Exhibit I-5; see also 
Memorandum, ``Certain Uncoated Groundwood Paper from Canada: Polling 
Questionnaire,'' dated August 14, 2017.
    \18\ For a detailed discussion of the responses received, see AD 
Initiation Checklist, at Attachment II. The polling questionnaire 
and questionnaire responses are on file electronically via ACCESS 
and can also be accessed through the CRU.
    \19\ See Memorandum, ``Countervailing Duty Petition on Certain 
Uncoated Groundwood Paper from Canada: GOC Consultations,'' dated 
August 24, 2017; and letter from the GOC re: ``Uncoated Groundwood 
Paper from Canada: Submission of Consultations Paper,'' dated August 
25, 2017. For a discussion of the GOC's comments, see the AD 
Initiation Checklist, at Attachment II.
---------------------------------------------------------------------------

    Section 732(c)(4)(B) of the Act states that (i) the Department 
``shall disregard the position of domestic producers who oppose the 
petition if such producers are related to foreign producers, as defined 
in section 771(4)(B)(ii), unless such domestic producers demonstrate 
that their interests as domestic producers would be adversely affected 
by the imposition of an antidumping duty order;'' and (ii) the 
Department ``may disregard the position of domestic producers of a 
domestic like product who are importers of the subject merchandise.'' 
In addition, 19 CFR 351.203(e)(4) states that the position of a 
domestic producer that opposes the petition (i) will be disregarded if 
such producer is related to a foreign producer or to a foreign exporter 
under section 771(4)(B)(ii) of the Act, unless such domestic producer 
demonstrates to the Secretary's satisfaction that its interests as a 
domestic producer would be adversely affected by the imposition of an 
antidumping order; and (ii) may be disregarded if the producer is an 
importer of the subject merchandise or is related to such an importer 
under section 771(4)(B)(ii) of the Act.
    We received objection to the Petition from those that produce 
domestic like product and are related to a foreign producer of subject 
merchandise and/or who imported subject merchandise from Canada. We 
have analyzed the information provided in the polling questionnaire 
responses and information provided in other submissions to the 
Department. Based on our analysis, we disregarded the position in 
opposition to the petition pursuant to section 732(c)(4)(B) of the Act. 
When the position in opposition to the petition is disregarded, the 
industry support requirements of section 732(c)(4)(A) of the Act are 
satisified.\20\
---------------------------------------------------------------------------

    \20\ See AD Initiation Checklist, at Attachment II.
---------------------------------------------------------------------------

    The data collected demonstrate that the domestic producers of UGW 
paper which support the Petition account for at least 25 percent of the 
total production of the domestic like product and, once the opposition 
is disregarded, account for more than 50 percent of the production of 
the domestic like product produced by that portion of the industry 
expressing support for, or opposition to, the Petition.\21\ Therefore, 
the Department determines that the petitioner filed this Petition on 
behalf of the domestic industry in accordance with section 732(b)(1) of 
the Act because it is an interested party as defined in section 
771(9)(C) of the Act and it has demonstrated sufficient industry 
support with respect to the AD investigation that it is requesting the 
Department initiate.\22\
---------------------------------------------------------------------------

    \21\ Id.
    \22\ Id.
---------------------------------------------------------------------------

Allegations and Evidence of Material Injury and Causation

    The petitioner alleges that the U.S. industry producing the 
domestic like product is being materially injured, or is threatened 
with material injury, by reason of the imports of the subject 
merchandise sold at less than normal value (NV). In addition, the 
petitioner alleges that subject imports exceed the negligibility 
threshold provided for under section 771(24)(A) of the Act.\23\
---------------------------------------------------------------------------

    \23\ See Volume I of the Petition, at 19 and Exhibit I-12.
---------------------------------------------------------------------------

    The petitioner contends that the industry's injured condition is 
illustrated by a significant volume of subject imports and significant 
increase in the volume of subject imports relative to U.S. consumption; 
reduced market share; underselling and price suppression or depression; 
lost sales and revenues; adverse effects on production, capacity 
utilization, U.S. shipments, and employment; declines in financial 
performance; and capacity closures and conversions.\24\ 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.\25\
---------------------------------------------------------------------------

    \24\ Id., at 17-28, Exhibit I-3, Exhibit I-6, and Exhibits I-11 
through I-17.
    \25\ See AD Initiation Checklist, at Attachment III, Analysis of 
Allegations and Evidence of Material Injury and Causation for the 
Antidumping and Countervailing Duty Petitions Covering Certain 
Uncoated Groundwood Paper from Canada.
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Allegation of Sales at Less Than Fair Value

    The following is a description of the allegation of sales at LTFV 
upon which the Department based its decision to initiate the AD 
investigation of imports of UGW paper from Canada. The sources of data 
for the deductions and adjustments relating to U.S. price and NV are 
discussed in greater detail in the AD Initiation Checklist.

Export Price

    The petitioner based the U.S. price on export price (EP) using 
pricing information related to UGW paper produced in, and exported 
from, Canada, and sold or offered for sale in the United States. This 
information was obtained from a confidential source.\26\ Where 
applicable, the petitioner made deductions from U.S. price for movement 
expenses, consistent with the terms of sale.\27\
---------------------------------------------------------------------------

    \26\ See Volume III of the Petition at Exhibits III-7 and III-8; 
and AD Initiation Checklist.
    \27\ See AD Initiation Checklist.
---------------------------------------------------------------------------

Normal Value

    Petitioner based NV on pricing information relating to UGW paper 
produced in, and sold or offered for sale in Canada, that was obtained 
through confidential market research.\28\ Where applicable, the 
petitioner made deductions for movement expenses, consistent with the 
terms of sale.\29\
---------------------------------------------------------------------------

    \28\ Id.
    \29\ Id.
---------------------------------------------------------------------------

Fair Value Comparisons

    Based on the data provided by the petitioner, there is reason to 
believe that imports of UGW paper from Canada are being, or are likely 
to be, sold in the United States at LTFV. Based on comparisons of EP to 
NV in accordance with sections 772 and 773 of the Act, the estimated 
dumping margins for UGW paper from Canada covered by this initiation 
range from 23.45 percent to 54.97 percent.\30\
---------------------------------------------------------------------------

    \30\ Id.
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Initiation of Less-Than-Fair-Value Investigation

    Based upon the examination of the Petition, we find that the 
Petition meets the requirements of section 732 of the Act. Therefore, 
we are initiating an AD investigation to determine whether imports of 
UGW paper from Canada are being, or are likely to be, sold in the 
United States at LTFV. In accordance with section 733(b)(1)(A) of the 
Act and 19 CFR 351.205(b)(1), unless postponed, we will make our 
preliminary

[[Page 41602]]

determination no later than 140 days after the date of this initiation.
    Under the Trade Preferences Extension Act of 2015, numerous 
amendments to the AD and CVD law were made.\31\ 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.\32\ The amendments to 
sections 771(15), 773, 776, and 782 of the Act are applicable to all 
determinations made on or after August 6, 2015, and, therefore, apply 
to this AD investigation.\33\
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    \31\ See Trade Preferences Extension Act of 2015, Pub. L. 114-
27, 129 Stat. 362 (2015).
    \32\ 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).
    \33\ Id. at 46794-95. The 2015 amendments may be found at 
https://www.congress.gov/bill/114th-congress/house-bill/1295/text/pl.
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Respondent Selection

    The petitioner named eight companies in Canada as producers/
exporters of UGW paper.\34\ Following standard practice in AD 
investigations involving market economy countries, in the event the 
Department determines that the number of companies in Canada is large, 
the Department intends to review U.S. Customs and Border Protection 
(CBP) data for U.S. imports of UGW paper during the POI under the 
appropriate Harmonized Tariff Schedule of the United States 
subheadings, 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 those data. We intend to release the 
CBP data under Administrative Protective Order (APO) to all parties 
with access to information protected by APO within five business days 
of the announcement of the initiation of this investigation. Interested 
parties must submit applications for disclosure under APO in accordance 
with 19 CFR 351.305(b). Instructions for filing such applications may 
be found on the Department's Web site at https://enforcement.trade.gov/apo. Interested parties may submit comments regarding the CBP data and 
respondent selection by 5:00 p.m. ET three calendar days after 
publication. The Department will not accept rebuttal comments regarding 
the CBP data or respondent selection. Comments 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 by the dates noted above. We intend to make our decision 
regarding respondent selection in this investigation within 20 days of 
publication of this notice.
---------------------------------------------------------------------------

    \34\ See Volume I of the Petition at Exhibit I-9.
---------------------------------------------------------------------------

Distribution of Copies of the Petition

    In accordance with section 732(b)(3)(A)(i) of the Act and 19 CFR 
351.202(f), copies of the public version of the Petition have been 
provided to the GOC via ACCESS. To the extent practicable, we will 
attempt to provide a copy of the public version of the Petition to each 
exporter named in the Petition, as provided under 19 CFR 351.203(c)(2).

ITC Notification

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

Preliminary Determination by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petition was filed, whether there is a reasonable 
indication that imports of UGW paper from Canada are materially 
injuring or threatening material injury to a U.S. industry. A negative 
ITC determination will result in the investigation being 
terminated.\35\ Otherwise, the investigation will proceed according to 
statutory and regulatory time limits.
---------------------------------------------------------------------------

    \35\ See section 733(a) of the Act.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by the Department; and (v) evidence other than 
factual information described in (i)-(iv). 19 CFR 351.301(b) requires 
any party, when submitting factual information, to specify under which 
subsection of 19 CFR 351.102(b)(21) the information is being submitted 
\36\ 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.\37\ 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. Interested parties should review the 
regulations prior to submitting factual information in this 
investigation.
---------------------------------------------------------------------------

    \36\ See 19 CFR 351.301(b).
    \37\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by the Secretary. In general, an extension request 
will be considered untimely if it is filed after the expiration of the 
time limit established under 19 CFR 351.301. For submissions that are 
due from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in the letter or memorandum setting 
forth the deadline (including a specified time) by which extension 
requests must be filed to be considered timely. An extension request 
must be made in a separate, stand-alone submission; under limited 
circumstances we will grant untimely-filed requests for the extension 
of time limits. Parties should 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 this investigation.

Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\38\ 
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.\39\ The Department intends to reject factual

[[Page 41603]]

submissions if the submitting party does not comply with applicable 
revised certification requirements.
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    \38\ See section 782(b) of the Act.
    \39\ 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 732(c)(2) 
and 777(i) of the Act, and 19 CFR 351.203(c).

    Dated: August 29, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix--Scope of the Investigation

    The merchandise covered by this investigation includes certain 
paper that has not been coated on either side and with 50 percent or 
more of the cellulose fiber content consisting of groundwood pulp, 
including groundwood pulp made from recycled paper, weighing not 
more than 90 grams per square meter. Groundwood pulp includes all 
forms of pulp produced from a mechanical pulping process, such as 
thermo-mechanical process (TMP), chemi-thermo mechanical process 
(CTMP), bleached chemi-thermo mechanical process (BCTMP) or any 
other mechanical pulping process. The scope includes paper shipped 
in any form, including but not limited to both rolls and sheets.
    Certain uncoated groundwood paper includes but is not limited to 
standard newsprint, high bright newsprint, book publishing, 
directory, and printing and writing papers. The scope includes paper 
that is white, off-white, cream, or colored.
    Specifically excluded from the scope are imports of certain 
uncoated groundwood paper printed with final content of printed text 
or graphic. Also excluded are papers that otherwise meet this 
definition, but which have undergone a supercalendering process.\40\
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    \40\ Supercalendering imparts a glossy finish produced by the 
movement of the paper web through a supercalender which is a stack 
of alternating rollers of metal and cotton (or other softer 
material). The supercalender runs at high speed and applies 
pressure, heat, and friction which glazes the surface of the paper, 
imparting gloss to the surface and increasing the paper's smoothness 
and density.
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    Certain uncoated groundwood paper is classifiable in the 
Harmonized Tariff Schedule of the United States (HTSUS) in several 
subheadings, including 4801.00.0120, 4801.00.0140, 4802.61.1000, 
4802.61.2000, 4802.61.3110, 4802.61.3191, 4802.61.6040, 
4802.62.1000, 4802.62.2000, 4802.62.3000, 4802.62.6140, 
4802.69.1000, 4802.69.2000, and 4802.69.3000. Subject merchandise 
may also be imported under several additional subheadings including 
4805.91.5000, 4805.91.7000, and 4805.91.9000. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the merchandise is dispositive.

[FR Doc. 2017-18726 Filed 8-31-17; 8:45 am]
 BILLING CODE 3510-DS-P

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