Certain Quartz Surface Products From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 47881-47883 [2018-20604]

Download as PDF Federal Register / Vol. 83, No. 184 / Friday, September 21, 2018 / Notices DEPARTMENT OF COMMERCE International Trade Administration [C–570–085] Certain Quartz Surface Products From the People’s Republic of China: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of certain quartz surface products (quartz surface products) from the People’s Republic of China (China). DATES: Applicable September 21, 2018. FOR FURTHER INFORMATION CONTACT: Darla Brown or Joshua Tucker, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–1791 or (202) 482–2044, respectively. SUPPLEMENTARY INFORMATION: AGENCY: daltland on DSKBBV9HB2PROD with NOTICES Background This preliminary determination is made in accordance with section 703(b) of the Tariff Act of 1930, as amended (the Act). Commerce published the notice of initiation of this investigation on May 16, 2018.1 On June 29, 2018, Commerce postponed the preliminary determination of this investigation, and the revised deadline is now September 14, 2018.2 For a complete description of the events that followed the initiation of this investigation, see the Preliminary Decision Memorandum.3 A list of topics discussed in the Preliminary Decision Memorandum is included as Appendix II to this notice. The Preliminary Decision Memorandum is a public document and is on file electronically via Enforcement and Compliance’s Antidumping and Countervailing Duty 1 See Certain Quartz Surface Products from the People’s Republic of China: Initiation of Countervailing Duty Investigation, 83 FR 22618 (May 16, 2018) (Initiation Notice). 2 See Certain Quartz Surface Products from the People’s Republic of China: Postponement of Preliminary Determination in the Countervailing Duty Investigation, 83 FR 30699 (June 29, 2018). 3 See Memorandum, ‘‘Decision Memorandum for the Preliminary Determination of the Countervailing Duty Investigation of Certain Quartz Surface Products from the People’s Republic of China,’’ dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). VerDate Sep<11>2014 17:30 Sep 20, 2018 Jkt 244001 47881 Centralized Electronic Service System (ACCESS). ACCESS is available to registered users at http:// access.trade.gov, and is available to all parties in the Central Records Unit, room B8024 of the main Department of Commerce building. In addition, a complete version of the Preliminary Decision Memorandum can be accessed directly at http://enforcement.trade.gov/ frn/. The signed and electronic versions of the Preliminary Decision Memorandum are identical in content. because it finds that one or more respondents did not act to the best of their ability to respond to Commerce’s requests for information, it drew an adverse inference where appropriate in selecting from among the facts otherwise available.8 For further information, see ‘‘Use of Facts Otherwise Available and Adverse Inferences’’ in the Preliminary Decision Memorandum. Scope of the Investigation The products covered by this investigation are quartz surface products from China. For a complete description of the scope of this investigation, see Appendix I. As noted in the Preliminary Decision Memorandum, in accordance with section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is aligning the final countervailing duty (CVD) determination in this investigation with the final determination in the companion antidumping duty (AD) investigation of quartz surface products from China based on a request made by the petitioner.9 Consequently, the final CVD determination will be issued on the same date as the final AD determination, which is currently scheduled to be issued no later than December 10, 2018, unless postponed. Period of Investigation The period of investigation is January 1, 2017, through December 31, 2017. Scope Comments In accordance with the preamble to Commerce’s regulations,4 the Initiation Notice set aside a period of time for parties to raise issues regarding product coverage, (i.e., scope).5 Certain interested parties commented on the scope of the investigation as it appeared in the Initiation Notice. For a summary of the product coverage comments and rebuttal responses submitted to the record for this preliminary determination, and accompanying discussion and analysis of all comments timely received, see the Preliminary Scope Decision Memorandum.6 Commerce is not preliminarily modifying the scope language as it appeared in the Initiation Notice. Methodology Commerce is conducting this investigation in accordance with section 701 of the Act. For each of the subsidy programs found countervailable, Commerce preliminarily determines that there is a subsidy, i.e., a financial contribution by an ‘‘authority’’ that gives rise to a benefit to the recipient, and that the subsidy is specific.7 In making these findings, Commerce relied, in part, on facts available and, 4 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997). 5 See Initiation Notice. 6 See Memorandum, ‘‘Certain Quartz Surface Products from the People’s Republic of China: Scope Comments Decision Memorandum for the Preliminary Determination,’’ dated concurrently with this notice (Preliminary Scope Decision Memorandum). 7 See sections 771(5)(B) and (D) of the Act regarding financial contribution; section 771(5)(E) of the Act regarding benefit; and section 771(5A) of the Act regarding specificity. PO 00000 Frm 00008 Fmt 4703 Sfmt 4703 Alignment All-Others Rate Sections 703(d) and 705(c)(5)(A) of the Act provide that in the preliminary determination, Commerce shall determine an estimated all-others rate for companies not individually examined. This rate shall be an amount equal to the weighted average of the estimated subsidy rates established for those companies individually examined, excluding any zero and de minimis rates and any rates based entirely under section 776 of the Act. In this investigation, Commerce preliminarily assigned a rate based entirely on facts available to Fasa Industrial Corporation Limited and Foshan Hero Stone Co., Ltd. Therefore, the only rate that is not zero, de minimis or based entirely on facts otherwise available is the rate calculated for Foshan Yixin Stone Co., Ltd. (Foshan Yixin). Consequently, the rate calculated for Foshan Yixin is also assigned as the rate for all-other producers and exporters. Preliminary Determination Commerce preliminarily determines that the following estimated countervailable subsidy rates exist: 8 See sections 776(a) and (b) of the Act. Letter from the petitioner, ‘‘Certain Quartz Surface Products from the People’s Republic of China: Request to Align Determinations,’’ dated August 6, 2018. The petitioner in this investigation is Cambria Company LLC. 9 See E:\FR\FM\21SEN1.SGM 21SEN1 47882 Federal Register / Vol. 83, No. 184 / Friday, September 21, 2018 / Notices (2) a brief summary of the argument; and (3) a table of authorities. Pursuant to 19 CFR 351.310(c), Fasa Industrial Corporation interested parties who wish to request a Limited ............................... 178.45 hearing, limited to issues raised in the Foshan Hero Stone Co., case and rebuttal briefs, must submit a Ltd.10 ................................. 178.45 written request to the Assistant Foshan Yixin Stone Co., Ltd 34.38 All-Others .............................. 34.38 Secretary for Enforcement and Compliance, U.S. Department of Commerce, within 30 days after the date Suspension of Liquidation of publication of this notice. Requests should contain the party’s name, In accordance with section address, and telephone number, the 703(d)(1)(B) and (d)(2) of the Act, Commerce will direct U.S. Customs and number of participants, whether any participant is a foreign national, and a Border Protection (CBP) to suspend list of the issues to be discussed. If a liquidation of entries of subject request for a hearing is made, Commerce merchandise as described in the scope intends to hold the hearing at the U.S. of the investigation section entered, or Department of Commerce, 1401 withdrawn from warehouse, for Constitution Avenue NW, Washington, consumption on or after the date of publication of this notice in the Federal DC 20230, at a time and date to be determined. Parties should confirm by Register. Further, pursuant to 19 CFR 351.205(d), Commerce will instruct CBP telephone the date, time, and location of the hearing two days before the to require a cash deposit equal to the scheduled date. rates indicated above. International Trade Commission Disclosure Notification Commerce intends to disclose its In accordance with section 703(f) of calculations and analysis performed to the Act, Commerce will notify the interested parties in this preliminary International Trade Commission (ITC) of determination within five days of its its determination. If the final public announcement, or if there is no determination is affirmative, the ITC public announcement, within five days will determine before the later of 120 of the date of this notice in accordance days after the date of this preliminary with 19 CFR 351.224(b). determination or 45 days after the final determination. Verification Company Subsidy rate (percent) As provided in section 782(i)(1) of the Act, Commerce intends to verify the information relied upon in making its final determination. Public Comment daltland on DSKBBV9HB2PROD with NOTICES Case briefs or other written comments may be submitted to the Assistant Secretary for Enforcement and Compliance no later than seven days after the date on which the last verification report is issued in this investigation. Rebuttal briefs, limited to issues raised in case briefs, may be submitted no later than five days after the deadline date for case briefs.11 Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal briefs in this investigation are encouraged to submit with each argument: (1) A statement of the issue; 10 As discussed in the Preliminary Decision Memorandum, Commerce has found the following companies to be cross-owned with Foshan Hero Stone Co., Ltd.: Mingwei Quartz New Environmental Protection Materials Co., Ltd.; and Foshan Quartz Stone Imp & Exp Co., Ltd. 11 See 19 CFR 351.309; see also 19 CFR 351.303 (for general filing requirements). VerDate Sep<11>2014 18:43 Sep 20, 2018 Jkt 244001 Notification to Interested Parties This determination is issued and published pursuant to sections 703(f) and 777(i) of the Act and 19 CFR 351.205(c). Dated: September 14, 2018. Gary Taverman, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operation, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix I Scope of the Investigation The merchandise covered by the investigation is certain quartz surface products.12 Quartz surface products consist of slabs and other surfaces created from a mixture of materials that includes predominately silica (e.g., quartz, quartz powder, cristobalite) as well as a resin binder (e.g., an unsaturated polyester). The incorporation of other materials, including, but not limited to, pigments, cement, or other 12 Quartz surface products may also generally be referred to as engineered stone or quartz, artificial stone or quartz, agglomerated stone or quartz, synthetic stone or quartz, processed stone or quartz, manufactured stone or quartz, and Bretonstone®. PO 00000 Frm 00009 Fmt 4703 Sfmt 4703 additives does not remove the merchandise from the scope of the investigation. However, the scope of the investigation only includes products where the silica content is greater than any other single material, by actual weight. Quartz surface products are typically sold as rectangular slabs with a total surface area of approximately 45 to 60 square feet and a nominal thickness of one, two, or three centimeters. However, the scope of this investigation includes surface products of all other sizes, thicknesses, and shapes. In addition to slabs, the scope of this investigation includes, but is not limited to, other surfaces such as countertops, backsplashes, vanity tops, bar tops, work tops, tabletops, flooring, wall facing, shower surrounds, fire place surrounds, mantels, and tiles. Certain quartz surface products are covered by the investigation whether polished or unpolished, cut or uncut, fabricated or not fabricated, cured or uncured, edged or not edged, finished or unfinished, thermoformed or not thermoformed, packaged or unpackaged, and regardless of the type of surface finish. In addition, quartz surface products are covered by the investigation whether or not they are imported attached to, or in conjunction with, non-subject merchandise such as sinks, sink bowls, vanities, cabinets, and furniture. If quartz surface products are imported attached to, or in conjunction with, such non-subject merchandise, only the quartz surface product is covered by the scope. Subject merchandise includes material matching the above description that has been finished, packaged, or otherwise fabricated in a third country, including by cutting, polishing, curing, edging, thermoforming, attaching to, or packaging with another product, or any other finishing, packaging, or fabrication that would not otherwise remove the merchandise from the scope of the investigation if performed in the country of manufacture of the quartz surface products. The scope of the investigation does not cover quarried stone surface products, such as granite, marble, soapstone, or quartzite. Specifically excluded from the scope of the investigation are crushed glass surface products. Crushed glass surface products are surface products in which the crushed glass content is greater than any other single material, by actual weight. The products subject to the scope are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under the following subheading: 6810.99.0010. Subject merchandise may also enter under subheadings 6810.11.0010, 6810.11.0070, 6810.19.1200, 6810.19.1400, 6810.19.5000, 6810.91.0000, 6810.99.0080, 6815.99.4070, 2506.10.0010, 2506.10.0050, 2506.20.0010, 2506.20.0080. The HTSUS subheadings set forth above are provided for convenience and U.S. Customs purposes only. The written description of the scope is dispositive. E:\FR\FM\21SEN1.SGM 21SEN1 Federal Register / Vol. 83, No. 184 / Friday, September 21, 2018 / Notices Appendix II List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Injury Test IV. Application of the CVD Law to Imports From the China V. Diversification of China’s Economy VI. Use of Facts Otherwise Available and Adverse Inferences VII. Subsidies Valuation VIII. Benchmarks and Interest Rates IX. Analysis of Programs X. Conclusion [FR Doc. 2018–20604 Filed 9–20–18; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–570–051/C–570–052] Certain Hardwood Plywood Products From the People’s Republic of China: Initiation of Anti-Circumvention Inquiry on the Antidumping Duty and Countervailing Duty Orders Enforcement & Compliance, International Trade Administration, Department of Commerce. SUMMARY: In response to a request from the Coalition for Fair Trade in Hardwood Plywood (the petitioner), the Department of Commerce (Commerce) is initiating an anti-circumvention inquiry pursuant to section 781(d) of the Tariff Act of 1930, as amended (the Act), to determine whether certain plywood with face and back veneers of radiata and/or agathis pine that is circumventing the antidumping duty (AD) and countervailing duty (CVD) orders on certain hardwood plywood products from the People’s Republic of China (China). DATES: Applicable September 21, 2018. FOR FURTHER INFORMATION CONTACT: Amanda Brings or Ryan Mullen, AD/ CVD Operations, Office V, Enforcement & Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC, 20230; telephone: (202) 482–3927 or (202) 482–5260, respectively. AGENCY: daltland on DSKBBV9HB2PROD with NOTICES SUPPLEMENTARY INFORMATION: Background On January 4, 2018, Commerce published in the Federal Register AD and CVD Orders on certain hardwood plywood products from China.1 On June 1 See Certain Hardwood Plywood Products from the People’s Republic of China: Amended Final VerDate Sep<11>2014 18:43 Sep 20, 2018 Jkt 244001 26, 2018, the petitioner filed a request that Commerce conduct an anticircumvention inquiry pursuant to section 781(d) of the Act with respect to certain plywood with a face and back veneer of radiata and/or agathis pine that: (1) Has a Toxic Substances Control Act (TSCA) or California Air Resources Board (CARB) label certifying that it is compliant with TSCA/CARB requirements; and (2) is made with a resin, the majority of which is comprised of one or more of the following three product types—urea formaldehyde, polyvinyl acetate, and/or soy.2 Specifically, the petitioner alleges that the inquiry merchandise was not commercially available prior to the initiation of the investigations, and that the inquiry merchandise is being marketed by Chinese exporters to U.S. importers as a direct substitute for merchandise subject to the Orders.3 In the alternative to an anti-circumvention inquiry pursuant to section 781(d) of the Act, the petitioner requests that Commerce initiate an anticircumvention inquiry pursuant to section 781(c) of the Act and find that inquiry merchandise constitutes subject merchandise that has undergone minor alterations in order to circumvent the Orders.4 On July 16, 2018, we received comments objecting to the allegations made by the petitioner from U.S. Determination of Sales at Less Than Fair Value, and Antidumping Duty Order, 83 FR 504 (January 4, 2018) and Certain Hardwood Plywood Products from the People’s Republic of China: Countervailing Duty Order, 82 FR 513 (January 4, 2018) (collectively, Orders). 2 See the petitioner’s letter, ‘‘Certain Hardwood Plywood Products from the People’s Republic of China: Request for Anti-Circumvention Inquiry,’’ dated June 26, 2018 (Petitioner’s Request), at 6–8. 3 Id. 4 Id. at 33. PO 00000 Frm 00010 Fmt 4703 Sfmt 4703 47883 Importers,5 Chinese Exporters,6 IKEA,7 and Shelter Forest.8 On July 30, 2018, we received rebuttal comments from the petitioner 9 and CNFPIA.10 11 Scope of the Orders The merchandise covered by the Orders is hardwood and decorative 5 See East Coast Lumber Co., Elberta Crate and Box Co., Holland Southwest International, Inc., Laminate Technologies, Inc., Liberty Woods International, Inc., Masterbrand Cabinets, Inc., McCorry & Company Limited, MJB Wood Group, Inc., Northwest Hardwoods, Inc., Patriot Timber Products Inc., Sierra Forest Products, Inc., Taraca Pacific, Inc. and USPLY LLC (collectively, U.S. Importers) letter, ‘‘Certain Hardwood Plywood Products from the People’s Republic of China: Objection to Second Request for AntiCircumvention Inquiry,’’ dated July 16, 2018. 6 See Far East American, Inc., Fei County Hongsheng Wood Industry Co., Ltd, Feixian Dongqin Woodwork Co., Ltd, Feixian Longteng Wood Co., Ltd., Feixian Tanyi Youcheng Jiafu Plywood Factory, Grand Focus Intl. Ltd., Jiangsu Hanbao Building Material Co., Ltd, Lin Yi Huasheng Yongbin Wood Co., Lin Yi Tian He Wooden Industry Co., Ltd, Linyi Celtic Wood Co., Ltd, Linyi City Lanshan District Fubo Wood Factory, Linyi City Lanshan District Fuerda Wood Factory, Linyi City Lanshan District Wanmei Board Factory, Linyi City Shenrui International Trade Co., Ltd., Linyi Dongfang Bayley Wood Co. Ltd., Linyi Dongfangjuxin Wood Co. Ltd., Linyi Evergreen Wood Co., Ltd., Linyi Glary Plywood Co. Ltd., Linyi Hengsheng Wood Industry Co. Ltd., Linyi Jiahe Wood Industry Co., Ltd., Linyi Linhai Wooden Industry Co., Ltd., Linyi Qianfeng Wood Factory, Linyi Sanfortune Wood Co. Ltd Linyi Tuopu Zhixin Wooden Industry Co., Ltd., Shanghai Futuwood Trading Company Ltd., Sumec International Technology Co., Ltd., Suzhou Oriental Dragon Import And Export Corp. Ltd., Xu Zhou Changcheng Wood Co., Ltd., Xuzhou Camry Wood Co., Ltd., Xuzhou Golden River Wood Co., Ltd., and Xuzhou Jiangyang Wood Industries Co., Ltd., Xuzhou Longyuan Wood Industry Co., Ltd. (collectively, Chinese Exporters) letter, ‘‘Hardwood Plywood from the People’s Republic of China Comments In Opposition to Request for AntiCircumvention Inquiry: Certain Softwood Species,’’ dated July 16, 2018. 7 See IKEA Supply AG (IKEA) letter, ‘‘Certain Hardwood Plywood Products from the People’s Republic of China: Comments Related to Petitioner’s Second Anti-Circumvention Inquiry Request,’’ dated July 16, 2018. 8 See Shelter Forest International Acquisition, Inc., Xuzhou Shelter Import & Export Co., Ltd., and Shandong Shelter Forest Products Co., Ltd. (collectively, Shelter Forest) letter ‘‘Comment on Certain U.S. Producers’ Request for AntiCircumvention Inquiry Certain Hardwood Plywood Products from China,’’ dated July 16, 2018. 9 See China National Forest Products Industry Association and its members Dangshan County Gui Yang Wood Industry Co., Ltd., Shandong Dongfang Bayley Wood Co., Ltd., and Pingyi Jinniu Wood Co., Ltd., (CNFPIA) letter, ‘‘Hardwood Plywood Products from the People’s Republic of China: Rebuttal Comments in Opposition to Petitioner’s Second Anti-Circumvention Inquiry Request,’’ dated July 30, 2018. 10 See the petitioner letter, ‘‘Certain Hardwood Plywood Products from the People’s Republic of China: Rebuttal Comments,’’ dated July 30, 2018. 11 After consideration of the comments filed by interested parties in opposition to the initiation of the petitioner’s circumvention allegation, Commerce will address the arguments and factual information presented in the comments during the course of this anti-circumvention inquiry. E:\FR\FM\21SEN1.SGM 21SEN1

Agencies

[Federal Register Volume 83, Number 184 (Friday, September 21, 2018)]
[Notices]
[Pages 47881-47883]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-20604]



[[Page 47881]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-085]


Certain Quartz Surface Products From the People's Republic of 
China: Preliminary Affirmative Countervailing Duty Determination, and 
Alignment of Final Determination With Final Antidumping Duty 
Determination

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that countervailable subsidies are being provided to producers and 
exporters of certain quartz surface products (quartz surface products) 
from the People's Republic of China (China).

DATES: Applicable September 21, 2018.

FOR FURTHER INFORMATION CONTACT: Darla Brown or Joshua Tucker, AD/CVD 
Operations, Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-1791 or (202) 482-2044, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on May 16, 
2018.\1\ On June 29, 2018, Commerce postponed the preliminary 
determination of this investigation, and the revised deadline is now 
September 14, 2018.\2\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\3\ A list of topics discussed in the Preliminary 
Decision Memorandum is included as Appendix II to this notice. The 
Preliminary Decision Memorandum is a public document and is on file 
electronically via Enforcement and Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at http://access.trade.gov, and 
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 Preliminary Decision Memorandum can be accessed directly 
at http://enforcement.trade.gov/frn/. The signed and electronic 
versions of the Preliminary Decision Memorandum are identical in 
content.
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    \1\ See Certain Quartz Surface Products from the People's 
Republic of China: Initiation of Countervailing Duty Investigation, 
83 FR 22618 (May 16, 2018) (Initiation Notice).
    \2\ See Certain Quartz Surface Products from the People's 
Republic of China: Postponement of Preliminary Determination in the 
Countervailing Duty Investigation, 83 FR 30699 (June 29, 2018).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination of the Countervailing Duty Investigation of Certain 
Quartz Surface Products from the People's Republic of China,'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are quartz surface 
products from China. For a complete description of the scope of this 
investigation, see Appendix I.

Period of Investigation

    The period of investigation is January 1, 2017, through December 
31, 2017.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage, (i.e., scope).\5\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttal responses submitted to the record for this preliminary 
determination, and accompanying discussion and analysis of all comments 
timely received, see the Preliminary Scope Decision Memorandum.\6\ 
Commerce is not preliminarily modifying the scope language as it 
appeared in the Initiation Notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
    \6\ See Memorandum, ``Certain Quartz Surface Products from the 
People's Republic of China: Scope Comments Decision Memorandum for 
the Preliminary Determination,'' dated concurrently with this notice 
(Preliminary Scope Decision Memorandum).
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\7\
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    \7\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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    In making these findings, Commerce relied, in part, on facts 
available and, because it finds that one or more respondents did not 
act to the best of their ability to respond to Commerce's requests for 
information, it drew an adverse inference where appropriate in 
selecting from among the facts otherwise available.\8\ For further 
information, see ``Use of Facts Otherwise Available and Adverse 
Inferences'' in the Preliminary Decision Memorandum.
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    \8\ See sections 776(a) and (b) of the Act.
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Alignment

    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is 
aligning the final countervailing duty (CVD) determination in this 
investigation with the final determination in the companion antidumping 
duty (AD) investigation of quartz surface products from China based on 
a request made by the petitioner.\9\ Consequently, the final CVD 
determination will be issued on the same date as the final AD 
determination, which is currently scheduled to be issued no later than 
December 10, 2018, unless postponed.
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    \9\ See Letter from the petitioner, ``Certain Quartz Surface 
Products from the People's Republic of China: Request to Align 
Determinations,'' dated August 6, 2018. The petitioner in this 
investigation is Cambria Company LLC.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act. In this investigation, Commerce preliminarily assigned 
a rate based entirely on facts available to Fasa Industrial Corporation 
Limited and Foshan Hero Stone Co., Ltd. Therefore, the only rate that 
is not zero, de minimis or based entirely on facts otherwise available 
is the rate calculated for Foshan Yixin Stone Co., Ltd. (Foshan Yixin). 
Consequently, the rate calculated for Foshan Yixin is also assigned as 
the rate for all-other producers and exporters.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:

[[Page 47882]]



------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
------------------------------------------------------------------------
Fasa Industrial Corporation Limited.....................          178.45
Foshan Hero Stone Co., Ltd.\10\.........................          178.45
Foshan Yixin Stone Co., Ltd.............................           34.38
All-Others..............................................           34.38
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Suspension of Liquidation
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    \10\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following companies to be cross-owned with 
Foshan Hero Stone Co., Ltd.: Mingwei Quartz New Environmental 
Protection Materials Co., Ltd.; and Foshan Quartz Stone Imp & Exp 
Co., Ltd.
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    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, 
Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice in accordance 
with 19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in case 
briefs, may be submitted no later than five days after the deadline 
date for case briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), 
parties who submit case briefs or rebuttal briefs in this investigation 
are encouraged to submit with each argument: (1) A statement of the 
issue; (2) a brief summary of the argument; and (3) a table of 
authorities.
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    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time 
and date to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing two days before the scheduled 
date.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its determination. If the 
final determination is affirmative, the ITC will determine before the 
later of 120 days after the date of this preliminary determination or 
45 days after the final determination.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: September 14, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operation, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by the investigation is certain quartz 
surface products.\12\ Quartz surface products consist of slabs and 
other surfaces created from a mixture of materials that includes 
predominately silica (e.g., quartz, quartz powder, cristobalite) as 
well as a resin binder (e.g., an unsaturated polyester). The 
incorporation of other materials, including, but not limited to, 
pigments, cement, or other additives does not remove the merchandise 
from the scope of the investigation. However, the scope of the 
investigation only includes products where the silica content is 
greater than any other single material, by actual weight. Quartz 
surface products are typically sold as rectangular slabs with a 
total surface area of approximately 45 to 60 square feet and a 
nominal thickness of one, two, or three centimeters. However, the 
scope of this investigation includes surface products of all other 
sizes, thicknesses, and shapes. In addition to slabs, the scope of 
this investigation includes, but is not limited to, other surfaces 
such as countertops, backsplashes, vanity tops, bar tops, work tops, 
tabletops, flooring, wall facing, shower surrounds, fire place 
surrounds, mantels, and tiles. Certain quartz surface products are 
covered by the investigation whether polished or unpolished, cut or 
uncut, fabricated or not fabricated, cured or uncured, edged or not 
edged, finished or unfinished, thermoformed or not thermoformed, 
packaged or unpackaged, and regardless of the type of surface 
finish.
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    \12\ Quartz surface products may also generally be referred to 
as engineered stone or quartz, artificial stone or quartz, 
agglomerated stone or quartz, synthetic stone or quartz, processed 
stone or quartz, manufactured stone or quartz, and 
Bretonstone[supreg].
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    In addition, quartz surface products are covered by the 
investigation whether or not they are imported attached to, or in 
conjunction with, non-subject merchandise such as sinks, sink bowls, 
vanities, cabinets, and furniture. If quartz surface products are 
imported attached to, or in conjunction with, such non-subject 
merchandise, only the quartz surface product is covered by the 
scope.
    Subject merchandise includes material matching the above 
description that has been finished, packaged, or otherwise 
fabricated in a third country, including by cutting, polishing, 
curing, edging, thermoforming, attaching to, or packaging with 
another product, or any other finishing, packaging, or fabrication 
that would not otherwise remove the merchandise from the scope of 
the investigation if performed in the country of manufacture of the 
quartz surface products.
    The scope of the investigation does not cover quarried stone 
surface products, such as granite, marble, soapstone, or quartzite. 
Specifically excluded from the scope of the investigation are 
crushed glass surface products. Crushed glass surface products are 
surface products in which the crushed glass content is greater than 
any other single material, by actual weight.
    The products subject to the scope are currently classified in 
the Harmonized Tariff Schedule of the United States (HTSUS) under 
the following subheading: 6810.99.0010. Subject merchandise may also 
enter under subheadings 6810.11.0010, 6810.11.0070, 6810.19.1200, 
6810.19.1400, 6810.19.5000, 6810.91.0000, 6810.99.0080, 
6815.99.4070, 2506.10.0010, 2506.10.0050, 2506.20.0010, 
2506.20.0080. The HTSUS subheadings set forth above are provided for 
convenience and U.S. Customs purposes only. The written description 
of the scope is dispositive.

[[Page 47883]]

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Injury Test
IV. Application of the CVD Law to Imports From the China
V. Diversification of China's Economy
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Subsidies Valuation
VIII. Benchmarks and Interest Rates
IX. Analysis of Programs
X. Conclusion

[FR Doc. 2018-20604 Filed 9-20-18; 8:45 am]
BILLING CODE 3510-DS-P