Carton-Closing Staples From the People's Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value, 13236-13239 [2018-06206]

Download as PDF 13236 Federal Register / Vol. 83, No. 60 / Wednesday, March 28, 2018 / Notices (202) 482–3931 or (202) 482–7924, respectively. SUPPLEMENTARY INFORMATION: Background On October 15, 2015, Commerce published the Final Results,1 in which it determined Baoding Mantong to have a weight-averaged dumping margin of 143.87 percent for the period under review. On August 1, 2017, the Court sustained three of Commerce’s determinations in the Final Results but, with respect to findings for Baoding Mantong, remanded the results to Commerce for reconsideration of the surrogate value selection for liquid ammonia and the selection of companies used for the respondent’s surrogate financial ratios.2 In the Final Results of Redetermination, Commerce selected a new surrogate value for liquid ammonia and changed its selection of surrogate financial ratios; these two changes resulted in a dumping margin of zero percent.3 On March 12, 2018, the Court sustained the Final Results of Redetermination.4 daltland on DSKBBV9HB2PROD with NOTICES Timken Notice In its decision in Timken,5 as clarified by Diamond Sawblades,6 the Court of Appeals for the Federal Circuit held that, pursuant to section 516A(e) of the Tariff Act of 1930, as amended (the Act), Commerce must publish a notice of a court decision that is not ‘‘in harmony’’ with a Commerce determination and must suspend liquidation of entries pending a ‘‘conclusive’’ court decision. The CIT’s March 12, 2018, final judgment sustaining the Final Results of Redetermination constitutes a final decision of the Court that is not in harmony with Commerce’s Final 1 See Glycine from the People’s Republic of China: Final Results of Antidumping Duty Administrative Review and Partial Rescission of Antidumping Duty Administrative Review; 2013– 2014, 80 FR 62027 (October 15, 2015) (Final Results) and accompanying Issues and Decision Memorandum (Issues and Decision Memorandum). 2 See Evonik Rexim (Nanning) Pharmaceutical Co. Ltd. v. United States, 253 F. Supp. 3d 1364 (2017). The Court consolidated actions filed by Evonik Rexim (Nanning) Pharmaceutical Co. Ltd. (Evonik) and Baoding Mantong on January 21, 2016, but later granted a motion to sever and stay one of Evonik’s claims pending the final disposition of a similar claim in another segment of this antidumping duty proceeding. 3 See ‘‘Final Results of Redetermination Pursuant to Court Remand,’’ dated October 20, 2017 (Final Results of Redetermination). 4 See Evonik Rexim (Nanning) Pharmaceutical Co. Ltd. v. United States, Court No. 15–00296, Slip Op. 18–21 (CIT March 12, 2018). 5 See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 1990) (Timken). 6 See Diamond Sawblades Mfrs. Coalition v. United States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades). VerDate Sep<11>2014 20:30 Mar 27, 2018 Jkt 244001 Results. This notice is published in fulfillment of the Timken publication requirements. Accordingly, Commerce will continue the suspension of liquidation of the subject merchandise pending a final and conclusive court decision. Amended Final Results of Review Because there is now a final court decision, Commerce is amending the Final Results with respect to the dumping margin calculated for Baoding Mantong. Based on the Final Results of Redetermination, as sustained by the CIT, the revised dumping margin for Baoding Mantong, for the period March 1, 2013, through February 28, 2014, is as follows: DEPARTMENT OF COMMERCE International Trade Administration [A–570–055] Carton-Closing Staples From the People’s Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) determines that cartonclosing staples from the People’s Republic of China (China) are being, or are likely to be, sold in the United States at less than fair value (LTFV). The final dumping margin of sales at LTFV is Weightedshown in the ‘‘Final Determination’’ average section of this notice. Producer or exporter dumping DATES: Applicable March 28, 2018. margin (percent) FOR FURTHER INFORMATION CONTACT: Irene Gorelik, AD/CVD Operations, Baoding Mantong Fine Chemistry Co. Ltd ............. 0.00 Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of In the event the Court’s ruling is not Commerce, 1401 Constitution Avenue appealed or, if appealed, upheld by a NW, Washington, DC 20230; telephone: final and conclusive court decision, (202) 482–6905. Commerce will instruct the U.S. SUPPLEMENTARY INFORMATION: Customs and Border Protection (CBP) to assess antidumping duties on Background unliquidated entries of subject On November 3, 2017, Commerce merchandise with respect to Baoding published in the Federal Register its Mantong. preliminary affirmative determination Cash Deposit Requirements As Baoding Mantong’s cash deposit rate has not been subject to subsequent administrative reviews, Commerce will issue revised cash deposit instructions to CBP adjusting the rate for Baoding Mantong to zero percent, effective March 22, 2018. Notification to Interested Parties This notice is issued and published in accordance with sections 516A(e)(1), 751(a)(1), and 777(i)(1) of the Act. Dated: March 22, 2018. 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. [FR Doc. 2018–06149 Filed 3–27–18; 8:45 am] BILLING CODE 3510–DS–P PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 AGENCY: in the LTFV investigation of cartonclosing staples from China.1 For a complete description of the events that followed the Preliminary Determination, see the Issues and Decision Memorandum that is dated concurrently with this determination and hereby adopted by this notice.2 Commerce exercised its discretion to toll deadlines affected by the closure of the Federal Government from January 20 through 22, 2018. If the new deadline falls on a non-business day, in accordance with Commerce’s practice, the deadline will become the next business day. The revised deadline for the final 1 See Carton-Closing Staples from the People’s Republic of China: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination and Extension of Provisional Measures, 82 FR 51213 (November 3, 2017) (Preliminary Determination) and accompanying Preliminary Decision Memorandum. 2 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Affirmative Determination in the Less-Than-Fair-Value Investigation of Carton-Closing Staples from the People’s Republic of China,’’ dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum). E:\FR\FM\28MRN1.SGM 28MRN1 Federal Register / Vol. 83, No. 60 / Wednesday, March 28, 2018 / Notices determination of this investigation is now March 21, 2018.3 A summary of the events that occurred since Commerce published the Preliminary Determination, as well as a full discussion of the issues raised by parties for this final determination, may be found in the Issues and Decision Memorandum. The Issues and Decision Memorandum is a public document and is on file electronically via Enforcement and Compliance’s Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS). ACCESS is available to registered users at https://access.trade.gov, and is available to all parties in the Central Records Unit, Room B8024 of the main Department of Commerce building. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at https:// enforcement.trade.gov/frn/. The signed Issues and Decision Memorandum and the electronic version are identical in content. Period of Investigation The period of investigation (POI) is July 1, 2016, through December 31, 2016. Scope of the Investigation 4 The products covered by this investigation are carton-closing staples from China. For a full description of the scope of this investigation, see the ‘‘Scope of the Investigation,’’ in Appendix I of this notice. The scope in Appendix I reflects the final scope language. daltland on DSKBBV9HB2PROD with NOTICES Analysis of Comments Received All issues raised in the case and rebuttal briefs that were submitted by parties in this investigation are addressed in the Issues and Decision Memorandum accompanying this China-Wide Entity 3 See Memorandum for The Record from Christian Marsh, Deputy Assistant Secretary for Enforcement and Compliance, performing the nonexclusive functions and duties of the Assistant Secretary for Enforcement and Compliance, ‘‘Deadlines Affected by the Shutdown of the Federal Government’’ (Tolling Memorandum), dated January 23, 2018. All deadlines in this segment of the proceeding have been extended by 3 days. 4 Commerce has made no changes to the scope of the investigation as published in the Preliminary Determination. Further, no interested party commented on our preliminary scope determination that the mattress boxspring staples imported by Vertex Fasteners, a division of Leggett & Platt, Incorporated, are not covered by the scope of the investigation. See Preliminary Determination and accompanying Preliminary Decision Memorandum at pages 3–4. Accordingly, our determination remains unchanged and we continue to find that Vertex Fasteners’ mattress boxspring staples, as described in the Preliminary Determination, are not covered by the scope of this investigation. VerDate Sep<11>2014 20:30 Mar 27, 2018 Jkt 244001 notice, which is hereby adopted by this notice. A list of the issues addressed in the Issues and Decision Memorandum is attached to this notice at Appendix II. For the final determination, Commerce continues to rely upon facts otherwise available, with adverse inferences based on adverse facts available (AFA), for the China-wide entity, including Zhejiang Best Nail Industrial Co., Ltd. (Best Nail), pursuant to sections 776(a)–(b) of the Tariff Act of 1930, as amended (the Act). Furthermore, as discussed in the Issues and Decision Memorandum, Commerce continues to find, pursuant to sections 771(33)(A) and (F) of the Act, that the mandatory respondent, Shanghai Yueda Nails Co., Ltd., is affiliated with Qiushan Printing Machinery Co., Ltd., Fastnail Products Limited, and Wuhan FOPO Trading Co., Ltd., and that these companies should be treated as a single entity pursuant 19 CFR 351.401(f), hereinafter referred to as Yueda Group. However, for the final determination, we find that another company, China Dinghao Co., Limited (Dinghao), is affiliated within the meaning of section 771(33)(G) of the Act, and should, in accordance with 19 CFR 351.401(f)(2)(iii), also be treated as part of this single entity, pursuant to our verification of the Yueda Group. Based on Commerce’s verification of the Yueda Group, we continue to find it entitled to a separate rate, but determine it appropriate to base Yueda Group’s estimated dumping margin on AFA, pursuant to sections 776(a)–(b) of the Act.5 For the final determination, we continue to find, in accordance with section 776(a) of the Act, that the Chinawide entity, which includes certain Chinese exporters and/or producers 6 that did not respond to Commerce’s requests for information, failed to provide necessary information, failed to provide information in a timely manner, and significantly impeded this proceeding by not submitting the requested information. We also continue to find, in accordance with section 776(b) of the Act, that the China-wide entity failed to cooperate. As a result, we continue to assign to the China-wide 5 See Issues and Decision Memorandum for further discussion. 6 The China-wide entity includes Best Nail and 20 Chinese exporters and/or producers that failed to respond to our Quantity and Value Questionnaire. See Preliminary Determination, 82 FR at 51214 and accompanying Preliminary Decision Memorandum at 14, footnote 86. PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 13237 entity a dumping margin on the basis of AFA. In selecting the AFA rate for Yueda Group and the China-wide entity, Commerce’s practice is to select a rate that is sufficiently adverse to ensure that the uncooperative party does not obtain a more favorable result by failing to cooperate than if it had fully cooperated.7 Specifically, it is Commerce’s practice to select, as an AFA rate, the higher of: (a) The highest dumping margin alleged in the petition; or (b) the highest calculated dumping margin of any respondent in the investigation.8 As there are no respondents for which we are calculating a separate dumping margin for the final determination, we relied upon the rates found in the Petition, which is the only information regarding the carton-closing staples industry reasonably at Commerce’s disposal to determine a rate that is sufficiently adverse to induce cooperation.9 Thus, as AFA, Commerce assigned to Yueda Group and the China-wide entity the rate of 263.40 percent, which is the highest dumping margin alleged in the Petition.10 For the final determination, because there were no margins calculated for the mandatory respondents, to corroborate the 263.40 percent margin used as AFA for Yueda Group and the China-wide entity, to the extent appropriate information was available, we are affirming our preinitiation analysis of the adequacy and accuracy of the information in the 7 See Statement of Administrative Action accompanying the Uruguay Round Agreements Act, H.R. Rep. No. 103–316 at 870 (1994) (H.R. Rep 103– 316), reprinted in 1994 U.S.C.A.A.N. 8 See Silicon Metal from Australia: Affirmative Final Determination of Sales at Less Than Fair Value and Final Affirmative Determination of Critical Circumstances in Part, 83 FR 9839 (March 8, 2018) and accompanying Issues and Decision Memorandum at Comment 1. 9 See, e.g., Certain Hardwood Plywood Products from the People’s Republic of China: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Preliminary Affirmative Determination of Critical Circumstances, in Part, 82 FR 28629 (June 23, 2017) and accompanying Preliminary Decision Memorandum at pages 31–32 (revised in Certain Hardwood Plywood Products from the People’s Republic of China: Final Determination of Sales at Less Than Fair Value, and Final Affirmative Determination of Critical Circumstances, in Part, 82 FR 53460 (November 16, 2017) because Commerce calculated a higher rate than the highest Petition rate to apply as the AFA rate)). 10 See Petition for the Imposition of Antidumping Duties on Imports of Carton-Closing Staples from the People’s Republic of China, dated March 31, 2017 (Petition), and Petitioner’s Supplemental Questionnaire Response, dated April 6, 2017 (Petition Supplemental Response), at 19–20 and Exhibit II–SQ–9. E:\FR\FM\28MRN1.SGM 28MRN1 13238 Federal Register / Vol. 83, No. 60 / Wednesday, March 28, 2018 / Notices Petition.11 Accordingly, we find that the rate of 263.40 percent is corroborated within the meaning of section 776(c) of the Act. Separate Rates For the final determination, we continue to find that Hangzhou Huayu Machinery Co., Ltd. and The Stanley Works (Langfang) Fastening Systems Co., Ltd. are entitled to a separate rate, as noted below. In the Preliminary Determination, we assigned, as the separate rate, the margin calculated for the single remaining mandatory respondent (Yueda Group), consistent with our practice.12 However, because we have determined to base Yueda Group’s final dumping margin on AFA, we can no longer rely on Yueda Group’s preliminary calculated rate as the separate rate. Therefore, because we are determining Yueda Group’s rate and the China-wide rate based on AFA, we are looking to section 735(c)(5)(A)–(B) of the Act for guidance and are, consistent with that provision, using ‘‘any reasonable method’’ to determine the rate for exporters that are not being individually examined and found to be entitled to a separate rate, as we did in the Preliminary Determination. As ‘‘any reasonable method,’’ we find it appropriate to assign the simple average of the Petition rates 13 (i.e., 115.65 percent) to the separate rate applicants not individually examined.14 Combination Rates In the Initiation Notice,15 Commerce stated that it would calculate producer/ exporter combination rates for the respondents that are eligible for a separate rate in this investigation. Policy Bulletin 05.1 describes this practice.16 Final Determination Commerce determines that cartonclosing staples from China are being, or is likely to be, sold in the United States at LTFV, and that the following dumping margins exist: Estimated dumping margin (percent) Producer Exporter Yueda Group: 17 Shanghai Yueda Nails Co., Ltd., or Qiushan Printing Machinery Co., Ltd. Yueda Group: Shanghai Yueda Nails Co., Ltd., or Fastnail Products Limited, or Wuhan FOPO Trading Co., Ltd., or China Dinghao Co., Limited. Hangzhou Huayu Machinery Co., Ltd. The Stanley Works (Langfang) Fastening Systems Co., Ltd. Hangzhou Huayu Machinery Co., Ltd. The Stanley Works (Langfang) Fastening Systems Co., Ltd. China-Wide Entity 18 Disclosure daltland on DSKBBV9HB2PROD with NOTICES Normally, Commerce discloses to interested parties the calculations performed in connection with a final determination within five days of any public announcement or, if there is no public announcement, within five days of the date of publication of the notice of final determination in the Federal Register, in accordance with 19 CFR 351.224(b). Because Commerce applied total AFA to the sole individually examined company, Yueda Group, in accordance with section 776 of the Act, and the applied AFA rate is based solely on at rate from the Petition, there are no calculations to disclose for Yueda Group. However, we will disclose the calculation of the simple average of the Petition margins, which we applied to the non-individually examined companies receiving a separate rate (i.e., 11 See Issues and Decision Memorandum at pages 23–25, for the discussion regarding corroboration of the AFA rate. See also Petition and Petition Supplemental Response, at 19–20 and Exhibit II– SQ–9. 12 See Preliminary Determination, 82 FR at 51214, and accompanying Preliminary Decision Memorandum at 12–13. 13 See Petition and Petition Supplemental Response, at 19–20 and Exhibit II–SQ–9. 14 See Issues and Decision Memorandum at Comment 3. See also Galvanized Steel Wire from the People’s Republic of China: Final Determination of Sales at Less Than Fair Value, 77 FR 17430, 16432 (March 26, 2012). VerDate Sep<11>2014 20:30 Mar 27, 2018 Jkt 244001 Continuation of Suspension of Liquidation In accordance with section 735(c)(1)(B) of the Act, we will direct U.S. Customs and Border Protection (CBP) to continue to suspend liquidation of all entries of cartonclosing staples from China, as described in Appendix I of this notice, which are entered, or withdrawn from warehouse, for consumption on or after November 3, 2017, the date of publication in the Federal Register of the affirmative Preliminary Determination. Pursuant to section 735(c)(1) of the Act, we will instruct CBP to require a cash deposit equal to the margins indicated in the chart above.19 These suspension of 15 See Initiation Notice, 82 FR at 19355. Enforcement and Compliance’s Policy Bulletin No. 05.1, regarding, ‘‘Separate-Rates Practice and Application of Combination Rates in Antidumping Investigations involving Non-Market Economy Countries,’’ (April 5, 2005) (Policy Bulletin 05.1), available on Commerce’s website at https://enforcement.trade.gov/policy/bull05-1.pdf. 17 Commerce determines that Shanghai Yueda Nails Co., Ltd., Qiushan Printing Machinery Co., Ltd., China Dinghao Co., Limited, Fastnail Products Limited, and Wuhan FOPO Trading Co., Ltd., are affiliated pursuant to sections 771(33)(A) and (F) of the Act and should be treated as a single entity pursuant to 19 CFR 351.401(f). See Issues and Decision Memorandum at 2–5. 16 See Frm 00017 Fmt 4703 115.65 115.65 263.40 115.65 percent), within five days of the date of publication of this notice to parties in this proceeding, in accordance with 19 CFR 351.224(b). PO 00000 263.40 Sfmt 4703 liquidation instructions will remain in effect until further notice. International Trade Commission Notification In accordance with section 735(d) of the Act, we intend to notify the International Trade Commission (ITC) of the final affirmative determination of sales at LTFV. As Commerce’s final determination is affirmative, in accordance with section 735(b)(2) of the Act, the ITC will determine, within 45 days, whether the domestic industry in the United States is materially injured, or threatened with material injury, by reason of imports of carton-closing staples from China, or sales (or the likelihood of sales) for importation, of carton-closing staples from China. If the ITC determines that such injury does not exist, this proceeding will be terminated, and all securities posted 18 As discussed in the Preliminary Determination, Best Nail, a mandatory respondent in this investigation, and certain non-responsive Chinese companies did not demonstrate that they were entitled to a separate rate. Accordingly, we continue to consider Best Nail and these companies to be part of the China-wide entity. See Preliminary Decision Memorandum at 14, footnote 86. 19 See Modification of Regulations Regarding the Practice of Accepting Bonds During the Provisional Measures Period in Antidumping and Countervailing Duty Investigations, 76 FR 61042 (October 3, 2011). E:\FR\FM\28MRN1.SGM 28MRN1 Federal Register / Vol. 83, No. 60 / Wednesday, March 28, 2018 / Notices will be refunded or canceled. If the ITC determines that such injury does exist, Commerce intends to issue an antidumping duty order directing CBP to assess, upon further instruction by Commerce, antidumping duties on all imports of the subject merchandise entered, or withdrawn from warehouse, for consumption on or after the effective date of the suspension of liquidation. Notification Regarding Administrative Protective Orders This notice will serve as a reminder to the parties subject to administrative protective order (APO) of their responsibility concerning the disposition of propriety information disclosed under APO in accordance with 19 CFR 351.305. Timely written notification of return or destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and terms of an APO is a sanctionable violation. We intend to issue and publish this determination in accordance with sections 735(d) and 777(i)(1) of the Act. Dated: March 21, 2018. 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. daltland on DSKBBV9HB2PROD with NOTICES Appendix I Scope of the Investigation The scope of this investigation is cartonclosing staples. Carton-closing staples may be manufactured from carbon, alloy, or stainless steel wire, and are included in the scope of the investigation regardless of whether they are uncoated or coated, regardless of the type of coating. Carton-closing staples are generally made to American Society for Testing and Materials (ASTM) specification ASTM D1974/D1974M–16, but can also be made to other specifications. Regardless of specification, however, all carton-closing staples meeting the scope description are included in the scope. Carton-closing staples include stick staple products, often referred to as staple strips, and roll staple products, often referred to as coils. Stick staples are lightly cemented or lacquered together to facilitate handling and loading into stapling machines. Roll staples are taped together along their crowns. Carton-closing staples are covered regardless of whether they are imported in stick form or roll form. Carton-closing staples vary by the size of the wire, the width of the crown, and the length of the leg. The nominal leg length ranges from 0.4095 inch to 1.375 inches and the nominal crown width ranges from 1.125 inches to 1.375 inches. The size of the wire used in the production of carton-closing staples varies from 0.029 to 0.064 inch VerDate Sep<11>2014 20:30 Mar 27, 2018 Jkt 244001 (nominal thickness) by 0.064 to 0.100 inch (nominal width). Carton-closing staples subject to this investigation are currently classifiable under subheadings 8305.20.00.00 and 7317.00.65.60 of the Harmonized Tariff Schedule of the United States (HTSUS). While the HTSUS subheadings and ASTM specification are provided for convenience and for customs purposes, the written description of the subject merchandise is dispositive. Appendix II List of Topics Discussed in the Issues and Decision Memorandum I. Summary II. Background III. Changes from the Preliminary Determination IV. Discussion of the Issues Comment 1: Whether To Assign Total Adverse Facts Available to Yueda Group A. Chronology B. Verification and Timing C. Reliance on Unverified Information D. Commerce’s Conduct Regarding the Toller E. Application of Facts Available and Adverse Facts Available F. Selection and Corroboration of the AFA Rate Comment 2: Reliance on Toller’s Reported FOP Data Comment 3: Separate Rate Assigned to Non-Individually Examined Respondents Comment 4: Whether To Find Affirmative Critical Circumstances Additional Arguments Regarding Calculations V. Recommendation [FR Doc. 2018–06206 Filed 3–27–18; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [C–489–832] Carbon and Alloy Steel Wire Rod From the Republic of Turkey: Final Affirmative Countervailing Duty Determination and Final Affirmative Critical Circumstances Determination, in Part Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) determines that countervailable subsidies are being provided to exporters and producers of carbon and alloy steel wire rod (wire rod) from the Republic of Turkey (Turkey) for the period of investigation (POI), January 1, 2016, through December 31, 2016. DATES: Applicable March 28, 2018. AGENCY: PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 13239 FOR FURTHER INFORMATION CONTACT: Justin Neuman or Omar Qureshi, AD/ CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0486 or (202) 482–5307, respectively. SUPPLEMENTARY INFORMATION: Background On September 5, 2017, Commerce published its affirmative Preliminary Determination of this countervailing duty (CVD) investigation.1 Commerce exercised its discretion to toll all deadlines affected by the closure of the Federal Government from January 20 through 22, 2018. If the new deadline falls on a non-business day, in accordance with Commerce’s practice, the deadline will become the next business day. The revised deadline for the final determination of this investigation is now March 19, 2018.2 A summary of the events that occurred since Commerce published the Preliminary Determination, as well as a full discussion of the issues raised by parties for this final determination, may be found in the Issues and Decision Memorandum, which is hereby adopted by this notice.3 Scope of the Investigation The scope of the investigation covers wire rod from Turkey. For a complete description of the scope of the investigation, see Appendix I. Scope Comments During the course of this investigation, Commerce received numerous scope comments from interested parties. Prior to the Preliminary Determination, Commerce issued a Preliminary Scope Decision Memorandum to address these comments and made no changes to the 1 See Carbon and Alloy Steel Wire Rod from the Republic of Turkey: Preliminary Affirmative Countervailing Duty Determination and Preliminary Affirmative Critical Circumstances Determination, in Part, 82 FR 41929 (September 5, 2017) (Preliminary Determination). 2 See Memorandum for The Record from Christian Marsh, Deputy Assistant Secretary for Enforcement and Compliance, performing the nonexclusive functions and duties of the Assistant Secretary for Enforcement and Compliance, ‘‘Deadlines Affected by the Shutdown of the Federal Government’’, dated January 23, 2018. All deadlines in this segment of the proceeding have been extended by 3 days. 3 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Determination in the Countervailing Duty Investigation of Carbon and Alloy Steel Wire Rod from the Republic of Turkey,’’ dated concurrently with this determination and hereby adopted by this notice (Issues and Decision Memorandum). E:\FR\FM\28MRN1.SGM 28MRN1

Agencies

[Federal Register Volume 83, Number 60 (Wednesday, March 28, 2018)]
[Notices]
[Pages 13236-13239]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-06206]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-055]


Carton-Closing Staples From the People's Republic of China: Final 
Affirmative Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) determines that carton-
closing staples from the People's Republic of China (China) are being, 
or are likely to be, sold in the United States at less than fair value 
(LTFV). The final dumping margin of sales at LTFV is shown in the 
``Final Determination'' section of this notice.

DATES: Applicable March 28, 2018.

FOR FURTHER INFORMATION CONTACT: Irene Gorelik, AD/CVD Operations, 
Office VIII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-6905.

SUPPLEMENTARY INFORMATION: 

Background

    On November 3, 2017, Commerce published in the Federal Register its 
preliminary affirmative determination in the LTFV investigation of 
carton-closing staples from China.\1\ For a complete description of the 
events that followed the Preliminary Determination, see the Issues and 
Decision Memorandum that is dated concurrently with this determination 
and hereby adopted by this notice.\2\ Commerce exercised its discretion 
to toll deadlines affected by the closure of the Federal Government 
from January 20 through 22, 2018. If the new deadline falls on a non-
business day, in accordance with Commerce's practice, the deadline will 
become the next business day. The revised deadline for the final

[[Page 13237]]

determination of this investigation is now March 21, 2018.\3\
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    \1\ See Carton-Closing Staples from the People's Republic of 
China: Preliminary Affirmative Determination of Sales at Less Than 
Fair Value, Postponement of Final Determination and Extension of 
Provisional Measures, 82 FR 51213 (November 3, 2017) (Preliminary 
Determination) and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Carton-Closing Staples from the People's Republic 
of China,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
    \3\ See Memorandum for The Record from Christian Marsh, Deputy 
Assistant Secretary for Enforcement and Compliance, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance, ``Deadlines Affected by the Shutdown of 
the Federal Government'' (Tolling Memorandum), dated January 23, 
2018. All deadlines in this segment of the proceeding have been 
extended by 3 days.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination, may be found in the 
Issues and Decision Memorandum. The Issues and Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
https://access.trade.gov, and is available to all parties in the Central 
Records Unit, Room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Issues and Decision Memorandum 
can be accessed directly at https://enforcement.trade.gov/frn/. The 
signed Issues and Decision Memorandum and the electronic version are 
identical in content.

Period of Investigation

    The period of investigation (POI) is July 1, 2016, through December 
31, 2016.

Scope of the Investigation \4\
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    \4\ Commerce has made no changes to the scope of the 
investigation as published in the Preliminary Determination. 
Further, no interested party commented on our preliminary scope 
determination that the mattress boxspring staples imported by Vertex 
Fasteners, a division of Leggett & Platt, Incorporated, are not 
covered by the scope of the investigation. See Preliminary 
Determination and accompanying Preliminary Decision Memorandum at 
pages 3-4. Accordingly, our determination remains unchanged and we 
continue to find that Vertex Fasteners' mattress boxspring staples, 
as described in the Preliminary Determination, are not covered by 
the scope of this investigation.
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    The products covered by this investigation are carton-closing 
staples from China. For a full description of the scope of this 
investigation, see the ``Scope of the Investigation,'' in Appendix I of 
this notice. The scope in Appendix I reflects the final scope language.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs that were 
submitted by parties in this investigation are addressed in the Issues 
and Decision Memorandum accompanying this notice, which is hereby 
adopted by this notice. A list of the issues addressed in the Issues 
and Decision Memorandum is attached to this notice at Appendix II.
    For the final determination, Commerce continues to rely upon facts 
otherwise available, with adverse inferences based on adverse facts 
available (AFA), for the China-wide entity, including Zhejiang Best 
Nail Industrial Co., Ltd. (Best Nail), pursuant to sections 776(a)-(b) 
of the Tariff Act of 1930, as amended (the Act). Furthermore, as 
discussed in the Issues and Decision Memorandum, Commerce continues to 
find, pursuant to sections 771(33)(A) and (F) of the Act, that the 
mandatory respondent, Shanghai Yueda Nails Co., Ltd., is affiliated 
with Qiushan Printing Machinery Co., Ltd., Fastnail Products Limited, 
and Wuhan FOPO Trading Co., Ltd., and that these companies should be 
treated as a single entity pursuant 19 CFR 351.401(f), hereinafter 
referred to as Yueda Group. However, for the final determination, we 
find that another company, China Dinghao Co., Limited (Dinghao), is 
affiliated within the meaning of section 771(33)(G) of the Act, and 
should, in accordance with 19 CFR 351.401(f)(2)(iii), also be treated 
as part of this single entity, pursuant to our verification of the 
Yueda Group. Based on Commerce's verification of the Yueda Group, we 
continue to find it entitled to a separate rate, but determine it 
appropriate to base Yueda Group's estimated dumping margin on AFA, 
pursuant to sections 776(a)-(b) of the Act.\5\
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    \5\ See Issues and Decision Memorandum for further discussion.
---------------------------------------------------------------------------

China-Wide Entity

    For the final determination, we continue to find, in accordance 
with section 776(a) of the Act, that the China-wide entity, which 
includes certain Chinese exporters and/or producers \6\ that did not 
respond to Commerce's requests for information, failed to provide 
necessary information, failed to provide information in a timely 
manner, and significantly impeded this proceeding by not submitting the 
requested information. We also continue to find, in accordance with 
section 776(b) of the Act, that the China-wide entity failed to 
cooperate. As a result, we continue to assign to the China-wide entity 
a dumping margin on the basis of AFA.
---------------------------------------------------------------------------

    \6\ The China-wide entity includes Best Nail and 20 Chinese 
exporters and/or producers that failed to respond to our Quantity 
and Value Questionnaire. See Preliminary Determination, 82 FR at 
51214 and accompanying Preliminary Decision Memorandum at 14, 
footnote 86.
---------------------------------------------------------------------------

    In selecting the AFA rate for Yueda Group and the China-wide 
entity, Commerce's practice is to select a rate that is sufficiently 
adverse to ensure that the uncooperative party does not obtain a more 
favorable result by failing to cooperate than if it had fully 
cooperated.\7\ Specifically, it is Commerce's practice to select, as an 
AFA rate, the higher of: (a) The highest dumping margin alleged in the 
petition; or (b) the highest calculated dumping margin of any 
respondent in the investigation.\8\ As there are no respondents for 
which we are calculating a separate dumping margin for the final 
determination, we relied upon the rates found in the Petition, which is 
the only information regarding the carton-closing staples industry 
reasonably at Commerce's disposal to determine a rate that is 
sufficiently adverse to induce cooperation.\9\ Thus, as AFA, Commerce 
assigned to Yueda Group and the China-wide entity the rate of 263.40 
percent, which is the highest dumping margin alleged in the 
Petition.\10\ For the final determination, because there were no 
margins calculated for the mandatory respondents, to corroborate the 
263.40 percent margin used as AFA for Yueda Group and the China-wide 
entity, to the extent appropriate information was available, we are 
affirming our pre-initiation analysis of the adequacy and accuracy of 
the information in the

[[Page 13238]]

Petition.\11\ Accordingly, we find that the rate of 263.40 percent is 
corroborated within the meaning of section 776(c) of the Act.
---------------------------------------------------------------------------

    \7\ See Statement of Administrative Action accompanying the 
Uruguay Round Agreements Act, H.R. Rep. No. 103-316 at 870 (1994) 
(H.R. Rep 103-316), reprinted in 1994 U.S.C.A.A.N.
    \8\ See Silicon Metal from Australia: Affirmative Final 
Determination of Sales at Less Than Fair Value and Final Affirmative 
Determination of Critical Circumstances in Part, 83 FR 9839 (March 
8, 2018) and accompanying Issues and Decision Memorandum at Comment 
1.
    \9\ See, e.g., Certain Hardwood Plywood Products from the 
People's Republic of China: Preliminary Affirmative Determination of 
Sales at Less Than Fair Value, Preliminary Affirmative Determination 
of Critical Circumstances, in Part, 82 FR 28629 (June 23, 2017) and 
accompanying Preliminary Decision Memorandum at pages 31-32 (revised 
in Certain Hardwood Plywood Products from the People's Republic of 
China: Final Determination of Sales at Less Than Fair Value, and 
Final Affirmative Determination of Critical Circumstances, in Part, 
82 FR 53460 (November 16, 2017) because Commerce calculated a higher 
rate than the highest Petition rate to apply as the AFA rate)).
    \10\ See Petition for the Imposition of Antidumping Duties on 
Imports of Carton-Closing Staples from the People's Republic of 
China, dated March 31, 2017 (Petition), and Petitioner's 
Supplemental Questionnaire Response, dated April 6, 2017 (Petition 
Supplemental Response), at 19-20 and Exhibit II-SQ-9.
    \11\ See Issues and Decision Memorandum at pages 23-25, for the 
discussion regarding corroboration of the AFA rate. See also 
Petition and Petition Supplemental Response, at 19-20 and Exhibit 
II-SQ-9.
---------------------------------------------------------------------------

Separate Rates

    For the final determination, we continue to find that Hangzhou 
Huayu Machinery Co., Ltd. and The Stanley Works (Langfang) Fastening 
Systems Co., Ltd. are entitled to a separate rate, as noted below. In 
the Preliminary Determination, we assigned, as the separate rate, the 
margin calculated for the single remaining mandatory respondent (Yueda 
Group), consistent with our practice.\12\ However, because we have 
determined to base Yueda Group's final dumping margin on AFA, we can no 
longer rely on Yueda Group's preliminary calculated rate as the 
separate rate. Therefore, because we are determining Yueda Group's rate 
and the China-wide rate based on AFA, we are looking to section 
735(c)(5)(A)-(B) of the Act for guidance and are, consistent with that 
provision, using ``any reasonable method'' to determine the rate for 
exporters that are not being individually examined and found to be 
entitled to a separate rate, as we did in the Preliminary 
Determination. As ``any reasonable method,'' we find it appropriate to 
assign the simple average of the Petition rates \13\ (i.e., 115.65 
percent) to the separate rate applicants not individually examined.\14\
---------------------------------------------------------------------------

    \12\ See Preliminary Determination, 82 FR at 51214, and 
accompanying Preliminary Decision Memorandum at 12-13.
    \13\ See Petition and Petition Supplemental Response, at 19-20 
and Exhibit II-SQ-9.
    \14\ See Issues and Decision Memorandum at Comment 3. See also 
Galvanized Steel Wire from the People's Republic of China: Final 
Determination of Sales at Less Than Fair Value, 77 FR 17430, 16432 
(March 26, 2012).
---------------------------------------------------------------------------

Combination Rates

    In the Initiation Notice,\15\ Commerce stated that it would 
calculate producer/exporter combination rates for the respondents that 
are eligible for a separate rate in this investigation. Policy Bulletin 
05.1 describes this practice.\16\
---------------------------------------------------------------------------

    \15\ See Initiation Notice, 82 FR at 19355.
    \16\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on 
Commerce's website at https://enforcement.trade.gov/policy/bull05-1.pdf.
---------------------------------------------------------------------------

Final Determination

    Commerce determines that carton-closing staples from China are 
being, or is likely to be, sold in the United States at LTFV, and that 
the following dumping margins exist:

------------------------------------------------------------------------
                                                             Estimated
            Producer                     Exporter         dumping margin
                                                             (percent)
------------------------------------------------------------------------
Yueda Group: \17\                Yueda Group:
    Shanghai Yueda Nails Co.,    Shanghai Yueda Nails             263.40
     Ltd., or Qiushan Printing    Co., Ltd., or Fastnail
     Machinery Co., Ltd.          Products Limited, or
                                  Wuhan FOPO Trading
                                  Co., Ltd., or China
                                  Dinghao Co., Limited.
Hangzhou Huayu Machinery Co.,    Hangzhou Huayu                   115.65
 Ltd.                             Machinery Co., Ltd.
The Stanley Works (Langfang)     The Stanley Works                115.65
 Fastening Systems Co., Ltd.      (Langfang) Fastening
                                  Systems Co., Ltd.
------------------------------------------------------------------------
                 China-Wide Entity \18\                           263.40
------------------------------------------------------------------------

Disclosure

    Normally, Commerce discloses to interested parties the calculations 
performed in connection with a final determination within five days of 
any public announcement or, if there is no public announcement, within 
five days of the date of publication of the notice of final 
determination in the Federal Register, in accordance with 19 CFR 
351.224(b). Because Commerce applied total AFA to the sole individually 
examined company, Yueda Group, in accordance with section 776 of the 
Act, and the applied AFA rate is based solely on at rate from the 
Petition, there are no calculations to disclose for Yueda Group. 
However, we will disclose the calculation of the simple average of the 
Petition margins, which we applied to the non-individually examined 
companies receiving a separate rate (i.e., 115.65 percent), within five 
days of the date of publication of this notice to parties in this 
proceeding, in accordance with 19 CFR 351.224(b).
---------------------------------------------------------------------------

    \17\ Commerce determines that Shanghai Yueda Nails Co., Ltd., 
Qiushan Printing Machinery Co., Ltd., China Dinghao Co., Limited, 
Fastnail Products Limited, and Wuhan FOPO Trading Co., Ltd., are 
affiliated pursuant to sections 771(33)(A) and (F) of the Act and 
should be treated as a single entity pursuant to 19 CFR 351.401(f). 
See Issues and Decision Memorandum at 2-5.
    \18\ As discussed in the Preliminary Determination, Best Nail, a 
mandatory respondent in this investigation, and certain non-
responsive Chinese companies did not demonstrate that they were 
entitled to a separate rate. Accordingly, we continue to consider 
Best Nail and these companies to be part of the China-wide entity. 
See Preliminary Decision Memorandum at 14, footnote 86.
---------------------------------------------------------------------------

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we will direct 
U.S. Customs and Border Protection (CBP) to continue to suspend 
liquidation of all entries of carton-closing staples from China, as 
described in Appendix I of this notice, which are entered, or withdrawn 
from warehouse, for consumption on or after November 3, 2017, the date 
of publication in the Federal Register of the affirmative Preliminary 
Determination. Pursuant to section 735(c)(1) of the Act, we will 
instruct CBP to require a cash deposit equal to the margins indicated 
in the chart above.\19\ These suspension of liquidation instructions 
will remain in effect until further notice.
---------------------------------------------------------------------------

    \19\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
---------------------------------------------------------------------------

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we intend to notify 
the International Trade Commission (ITC) of the final affirmative 
determination of sales at LTFV. As Commerce's final determination is 
affirmative, in accordance with section 735(b)(2) of the Act, the ITC 
will determine, within 45 days, whether the domestic industry in the 
United States is materially injured, or threatened with material 
injury, by reason of imports of carton-closing staples from China, or 
sales (or the likelihood of sales) for importation, of carton-closing 
staples from China. If the ITC determines that such injury does not 
exist, this proceeding will be terminated, and all securities posted

[[Page 13239]]

will be refunded or canceled. If the ITC determines that such injury 
does exist, Commerce intends to issue an antidumping duty order 
directing CBP to assess, upon further instruction by Commerce, 
antidumping duties on all imports of the subject merchandise entered, 
or withdrawn from warehouse, for consumption on or after the effective 
date of the suspension of liquidation.

Notification Regarding Administrative Protective Orders

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

    Dated: March 21, 2018.
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 I

Scope of the Investigation

    The scope of this investigation is carton-closing staples. 
Carton-closing staples may be manufactured from carbon, alloy, or 
stainless steel wire, and are included in the scope of the 
investigation regardless of whether they are uncoated or coated, 
regardless of the type of coating.
    Carton-closing staples are generally made to American Society 
for Testing and Materials (ASTM) specification ASTM D1974/D1974M-16, 
but can also be made to other specifications. Regardless of 
specification, however, all carton-closing staples meeting the scope 
description are included in the scope. Carton-closing staples 
include stick staple products, often referred to as staple strips, 
and roll staple products, often referred to as coils. Stick staples 
are lightly cemented or lacquered together to facilitate handling 
and loading into stapling machines. Roll staples are taped together 
along their crowns. Carton-closing staples are covered regardless of 
whether they are imported in stick form or roll form.
    Carton-closing staples vary by the size of the wire, the width 
of the crown, and the length of the leg. The nominal leg length 
ranges from 0.4095 inch to 1.375 inches and the nominal crown width 
ranges from 1.125 inches to 1.375 inches. The size of the wire used 
in the production of carton-closing staples varies from 0.029 to 
0.064 inch (nominal thickness) by 0.064 to 0.100 inch (nominal 
width).
    Carton-closing staples subject to this investigation are 
currently classifiable under subheadings 8305.20.00.00 and 
7317.00.65.60 of the Harmonized Tariff Schedule of the United States 
(HTSUS). While the HTSUS subheadings and ASTM specification are 
provided for convenience and for customs purposes, the written 
description of the subject merchandise is dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Changes from the Preliminary Determination
IV. Discussion of the Issues
    Comment 1: Whether To Assign Total Adverse Facts Available to 
Yueda Group
    A. Chronology
    B. Verification and Timing
    C. Reliance on Unverified Information
    D. Commerce's Conduct Regarding the Toller
    E. Application of Facts Available and Adverse Facts Available
    F. Selection and Corroboration of the AFA Rate
    Comment 2: Reliance on Toller's Reported FOP Data
    Comment 3: Separate Rate Assigned to Non-Individually Examined 
Respondents
    Comment 4: Whether To Find Affirmative Critical Circumstances
    Additional Arguments Regarding Calculations
V. Recommendation

[FR Doc. 2018-06206 Filed 3-27-18; 8:45 am]
 BILLING CODE 3510-DS-P
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