Wooden Cabinets and Vanities and Components Thereof From the People's Republic of China: Initiation of Countervailing Duty Investigation, 12581-12585 [2019-06387]

Download as PDF Federal Register / Vol. 84, No. 63 / Tuesday, April 2, 2019 / Notices DEPARTMENT OF COMMERCE International Trade Administration [C–570–107] Wooden Cabinets and Vanities and Components Thereof From the People’s Republic of China: Initiation of Countervailing Duty Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable March 26, 2019. FOR FURTHER INFORMATION CONTACT: Benito Ballesteros at (202) 482–7425 or Christian Llinas at (202) 482–4877, 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 March 6, 2019, the U.S. Department of Commerce (Commerce) received a countervailing duty (CVD) Petition concerning imports of wooden cabinets and vanities and components thereof (wooden cabinets and vanities) from the People’s Republic of China (China).1 The Petition, was filed in proper form by the American Kitchen Cabinet Alliance (the petitioner).2 The CVD Petition was accompanied by an antidumping duty (AD) Petition concerning imports of wooden cabinets and vanities from China. Between March 11 and 20, 2019, Commerce requested supplemental information pertaining to certain aspects of the Petition.3 The petitioner filed amozie on DSK9F9SC42PROD with NOTICES 1 See petitioner’s letter, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Wooden Cabinets and Vanities from the People’s Republic of China,’’ dated March 6, 2019 (Petition); see also Memorandum, ‘‘Phone Call with Counsel to the Petitioner,’’ dated March 26, 2019. 2 The Alliance is comprised of ACProducts, Inc., American Woodmark Corporation, Bellmont Cabinet Co., Bertch Cabinet Manufacturing, The Corsi Group, Crystal Cabinet Works, Inc., Dura Supreme Cabinetry, Jim Bishop Cabinets, Inc., Kitchen Kompact, Inc., Koch & Co., Inc., Kountry Wood Products, LLC, Lanz Cabinets Incorporated, Leedo Cabinetry, Marsh Furniture Company, Master WoodCraft Cabinetry LLC, MasterBrand Cabinets, Inc., Nation’s Cabinetry, Showplace Wood Products, Inc., Smart Cabinetry, Tru Cabinetry, Wellborn Cabinet, Inc., Wellborn Forest Products, Inc., Woodland Cabinetry, Inc., Woodmont Cabinetry, W. W. Wood Products, Inc. The Alliance also has two additional members, the identities of which are proprietary. 3 See Commerce Letters, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Supplemental Questions,’’ dated March 11, 2019; ‘‘Petition for the Imposition of Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Supplemental Questions,’’ dated VerDate Sep<11>2014 19:19 Apr 01, 2019 Jkt 247001 responses to these requests between March 12 and March 22, 2019.4 In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that the Government of China is providing countervailable subsidies, within the meaning of sections 701 and 771(5) of the Act, to producers of wooden cabinets and vanities in China, and that such imports are materially injuring, or threatening material injury to, the domestic industry producing wooden cabinets and vanities in the United States. Consistent with section 702(b)(1) of the Act and 19 CFR 351.202(b), for those alleged programs on which we are initiating a CVD investigation, the Petition is accompanied by information reasonably available to the petitioner supporting its allegations. Commerce 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)(E) of the Act. Commerce also finds that the petitioner demonstrated sufficient industry support with respect to the initiation of the requested CVD investigation.5 Period of Investigation Because the Petition was filed on March 6, 2019, the period of investigation (POI) is January 1, 2018, through December 31, 2018. Scope of the Investigation The merchandise covered by this investigation consists of wooden cabinets and vanities from China. For a full description of the scope of this March 12, 2019; Commerce Memorandum, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Phone Call with Counsel to the Petitioner,’’ dated March 18, 2019; and Commerce Memorandum, ‘‘Phone Call with U.S. Customs and Border Protection Officials and Counsel to the Petitioner,’’ dated March 20, 2019 (March 20, 2019 Memorandum). 4 See the petitioner’s Letters, ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Petitioner’s Responses to Supplemental Questions Regarding Petition Volume I Injury,’’ dated March 12, 2019 (General Issues Supplement); ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Petitioner’s Responses to Supplemental Questions Regarding Petition Volume III China CVD,’’ dated March 14, 2019; and ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Second Supplemental Responses—Volume I Injury,’’ dated March 20, 2019. 5 See ‘‘Countervailing Duty Investigation Initiation Checklist: Wooden Cabinets and Vanities from the People’s Republic of China (China CVD Initiation Checklist). This checklist is dated concurrently with, and hereby adopted by, this notice and on file electronically via ACCESS. Access to documents filed via ACCESS is also available in the Central Records Unit, Room B8024 of the main Department of Commerce building. PO 00000 Frm 00007 Fmt 4703 Sfmt 4703 12581 investigation, see the Appendix to this notice. Scope Comments During our review of the Petition, we contacted the petitioner regarding the proposed scope language to ensure that the scope language in the Petition is an accurate reflection of the products for which the domestic industry is seeking relief.6 As a result, the scope of the Petition was modified to clarify the description of merchandise covered by the Petition. The description of the merchandise covered by this investigation, as described in the Appendix to this notice, reflects these clarifications. As discussed in the Preamble to Commerce’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (scope).7 Commerce will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determination. If scope comments include factual information,8 all such factual information should be limited to public information. To facilitate preparation of its questionnaires, Commerce requests that all interested parties submit scope comments by 5:00 p.m. Eastern Time (ET) on April 15, 2019, which is the next business day after 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 April 25, 2019, which is 10 calendar days from the initial comments deadline.9 Commerce requests that any factual information parties consider relevant to the scope of the investigation be submitted during this period. However, if a party subsequently finds that 6 See Memoranda, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Phone Call with Counsel to the Petitioner,’’ dated March 11, 2019; ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Phone Call with U.S. Customs and Border Protection Officials and Counsel to the Petitioner,’’ dated March 20, 2019; ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Wooden Cabinets and Vanities from the People’s Republic of China: Phone Call with Counsel to the Petitioner,’’ dated March 22, 2019; see also ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Petitioner’s Response to Department of Commerce March 20, 2019 Memorandum,’’ dated March 22, 2019. 7 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997). 8 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 9 See 19 CFR 351.303(b). E:\FR\FM\02APN1.SGM 02APN1 12582 Federal Register / Vol. 84, No. 63 / Tuesday, April 2, 2019 / Notices additional factual information pertaining to the scope of the investigation may be relevant, the party may contact Commerce and request permission to submit the additional information. All such submissions must be filed on the records of the concurrent AD and CVD investigations. Filing Requirements All submissions to Commerce must be filed electronically using Enforcement and Compliance’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS).10 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. Consultations Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce notified China of the receipt of the Petition and provided it the opportunity for consultations with respect to the CVD Petition.11 China did not request consultations. amozie on DSK9F9SC42PROD with NOTICES Determination of Industry Support for the Petition Section 702(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 702(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) At least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 702(c)(4)(D) 10 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 Commerce’s electronic filing requirements, effective 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. 11 See Commerce Letter, ‘‘Countervailing Duty Petition on Wooden Cabinets and Vanities from the People’s Republic of China: Invitation for Consultations to Discuss the Petition’’ dated March 11, 2019. VerDate Sep<11>2014 18:45 Apr 01, 2019 Jkt 247001 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, Commerce 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 Commerce 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 Commerce and the ITC must apply the same statutory definition regarding the domestic like product,12 they do so for different purposes and pursuant to a separate and distinct authority. In addition, Commerce’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.13 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 Petition.14 Based on our analysis of the information submitted on the record, we have determined that wooden cabinets and vanities, as defined in the scope, constitute a single domestic like product, and we have analyzed industry 12 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)). 14 See Volume I of the Petition, at 18–20; see also General Issues Supplement, at 6–7. 13 See PO 00000 Frm 00008 Fmt 4703 Sfmt 4703 support in terms of that domestic like product.15 In determining whether the petitioner has standing under section 702(c)(4)(A) of the Act, we considered the industry support data contained in the Petition with reference to the domestic like product as defined in the ‘‘Scope of the Investigation,’’ in the Appendix to this notice. To establish industry support, the petitioner provided 2018 shipments of the domestic like product for the U.S. producers that support the Petition.16 The petitioner estimated the production of the domestic like product for the entire domestic industry based on shipment value data, because production quantity data for the entire domestic industry are not available, and shipments are a close approximation of production in the wooden cabinets and vanities industry.17 The petitioner compared the shipments of the companies supporting the Petition to the estimated total 2018 shipments of the domestic like product for the entire domestic industry.18 We relied on data provided by the petitioner for purposes of measuring industry support.19 On March 20, 2019, we received comments on industry support from American Home Furnishings Alliance (AHFA), an alliance representing the U.S. residential furniture industry, and Fabuwood Cabinetry Corp. (Fabuwood), a U.S. importer.20 On March 22, 2019, we received industry support comments 15 For a discussion of the domestic like product analysis as applied to this case and information regarding industry support, see Countervailing Duty Investigation Initiation Checklist: Wooden Cabinets and Vanities from the People’s Republic of China (China CVD Initiation Checklist), at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petition Covering Wooden Cabinets and Vanities and Components Thereof from the People’s Republic of China (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, Room B8024 of the main Department of Commerce building. 16 See Volume I of the Petition, at 2–4 and Exhibits I–3, I–5, and I–7; see also General Issues Supplement, at 10–14 and Exhibits I–Supp–5, I– Supp–8 and I–Supp–12. 17 Id. at 3 and Exhibits I–3, I–4 and I–15; see also General Issues Supplement, at 9. 18 See General Issues Supplement, at 10, 13, and 14. 19 See Volume I of the Petition, at 2–4 and Exhibits I–3, I–4, I–5, and I–7; see also General Issues Supplement, at 9–14 and Exhibits I–Supp– 5, I–Supp–8, I–Supp–10, I–Supp–11, and I–Supp– 12. For further discussion, see China CVD Initiation Checklist, at Attachment II. 20 See AHFA’s Letter, ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Comments on Industry Support,’’ dated March 20, 2019 (AHFA’s Letter). See Fabuwood’s Letter, ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Request to Dismiss Petitions or Otherwise Postpone Initiation,’’ dated March 20, 2019 (Fabuwood’s Letter). E:\FR\FM\02APN1.SGM 02APN1 Federal Register / Vol. 84, No. 63 / Tuesday, April 2, 2019 / Notices from Huisen Furniture Longnan Co. Ltd. (Huisen), a Chinese producer and exporter of living room floor-standing furniture, and Kimball Hospitality Inc. (Kimball), a U.S. producer and importer of hospitality furniture.21 The petitioner responded to the industry support comments from AHFA, Fabuwood, Huisen, and Kimball on March 25, 2019.22 Our review of the data provided in the Petition, the General Issues Supplement, the Petitioner’s Letter, and other information readily available to Commerce indicates that the petitioner has established industry support for the Petition.23 First, the Petition established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (e.g., polling).24 Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petition account for at least 25 percent of the total production of the domestic like product.25 Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petition 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.26 Accordingly, Commerce determines that the Petition was filed on behalf of the domestic industry within the meaning of section 702(b)(1) of the Act. amozie on DSK9F9SC42PROD with NOTICES Injury Test Because China is a ‘‘Subsidies Agreement Country’’ within the meaning of section 701(b) of the Act, section 701(a)(2) of the Act applies to this investigation. Accordingly, the ITC must determine whether imports of the subject merchandise from China 21 See Huisen’s Letter, ‘‘Wooden Cabinets and Vanities from the People’s Republic of China: Comments on Industry Support,’’ dated March 22, 2019 (Huisen’s Letter). 22 See Petitioner’s Letter, ‘‘Wooden, Cabinets and Vanities from the People’s Republic of China: Petitioners Response to Request to Various Parties’ Requests to Dismiss or Postpone,’’ dated March 25, 2019 (Petitioner’s Letter). 23 See China CVD Initiation Checklist, at Attachment II. 24 Id.; see also section 702(c)(4)(D) of the Act. 25 See China CVD Initiation Checklist, at Attachment II. 26 Id. VerDate Sep<11>2014 18:45 Apr 01, 2019 Jkt 247001 materially injure, or threaten material injury to, a U.S. industry. Allegations and Evidence of Material Injury and Causation The petitioner alleges that imports of the subject merchandise are benefitting from countervailable subsidies and that such imports are causing, or threaten to cause, material injury to the U.S. industry producing the domestic like product. In addition, the petitioner alleges that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.27 The petitioner contends that the industry’s injured condition is illustrated by a significant and increasing volume of subject imports; reduced market share; underselling and price depression or suppression; lost sales and revenues; closure of manufacturing facilities and hindered planned expansion efforts due to market conditions caused by subject imports; and a decline in the domestic industry’s U.S. production, capacity utilization, commercial shipments, employment, and financial performance.28 We have assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.29 Initiation of CVD Investigation Based on the examination of the Petition, we find that the Petition meets the requirements of section 702 of the Act. Therefore, we are initiating a CVD investigation to determine whether imports of wooden cabinets and vanities from China benefit from countervailable subsidies conferred by the Government of China. Based on our review of the Petition, we find that there is sufficient information to initiate a CVD investigation, in whole or part, on 36 of the 37 alleged programs. For a full discussion of the basis for our decision to initiate on each program, see China CVD Initiation Checklist. A public version of the initiation checklist for this investigation is available on 27 See General Issues Supplement, at 15–16 and Exhibits I–Supp–10 and I–Supp–13. 28 See Volume I of the Petitions, at 15–18, 21–35 and Exhibits I–4, I–11 through I–29; see also General Issues Supplement, at 14–16 and Exhibits I–Supp–10 and I–Supp–13. 29 See China CVD Initiation Checklist, at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and Countervailing Duty Petitions Covering Wooden Cabinets and Vanities and Components Thereof from the People’s Republic of China (Attachment III). PO 00000 Frm 00009 Fmt 4703 Sfmt 4703 12583 ACCESS. In accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determination no later than 65 days after the date of this initiation. Respondent Selection Commerce normally selects respondents in a CVD investigation using CBP entry data. However, for this investigation, the HTSUS numbers the subject merchandise would enter under include basket categories containing products unrelated to wooden cabinets and vanities, and the reported entry data contain differing units of quantity. Therefore, we cannot rely on CBP entry data in selecting respondents. Instead, for this investigation, Commerce will request quantity and value (Q&V) information from known exporters and producers identified, with complete contact information, in the Petition. In addition, Commerce will post the Q&V questionnaire along with filing instructions on the Enforcement and Compliance website at https:// www.trade.gov/enforcement/news.asp. The petitioner named 727 companies in China as producers/exporters of wooden cabinets and vanities.30 After considering our resources, Commerce has determined that we do not have sufficient administrative resources to issue Q&V questionnaires to all 727 identified producers and exporters. Therefore, Commerce has determined to limit the number of Q&V questionnaires we will send out to exporters and producers identified in U.S. Customs and Border Protection (CBP) data for U.S. imports of wooden cabinets and vanities during the POI under the appropriate Harmonized Tariff Schedule of the United States number listed in the ‘‘Scope of the Investigation,’’ in the Appendix. Accordingly, Commerce will send Q&V questionnaires to the largest producers and exporters that are identified in the CBP data for which there is address information on the record. On March 26, 2019, Commerce released CBP data on imports of wooden cabinets and vanities from China under APO to all parties with access to information protected by APO and indicated that interested parties wishing to comment on the CBP data must do so within three business days of the publication date of the notice of initiation of this investigation.31 We 30 See Petition Volume I at Exhibit I–9; see also General Issues Supplement at Exhibit I–Supp–1. 31 See Memorandum, ‘‘Countervailing Duty Investigation of Wooden Cabinets and Vanities from E:\FR\FM\02APN1.SGM Continued 02APN1 12584 Federal Register / Vol. 84, No. 63 / Tuesday, April 2, 2019 / Notices further stated that we will not accept rebuttal comments. 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 Commerce website at https://enforcement.trade.gov/apo. 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 on the date noted above. We intend to finalize our decisions regarding respondent selection within 20 days of publication of this notice. Producers/exporters of wooden cabinets and vanities from China that do not receive Q&V questionnaires by mail may still submit a response to the Q&V questionnaire and can obtain a copy from the Enforcement & Compliance website. The Q&V response must be submitted by the relevant China exporters/producers no later than April 15, 2019. All Q&V responses must be filed electronically via ACCESS. Distribution of Copies of the Petition In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR 351.202(f), a copy of the public version of the Petition has been provided to China 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 702(d) of the Act. amozie on DSK9F9SC42PROD with NOTICES Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petition were filed, whether there is a reasonable indication that imports of wooden cabinets and vanities from China are materially injuring, or threatening material injury to, a U.S. industry.32 A negative ITC determination in any country will result in the investigation being terminated with respect to that country.33 Otherwise, this 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 China: Release of U.S. Customs and Border Protection Data;’’ dated March 26, 2019. 32 See section 703(a)(2) of the Act. 33 See section 703(a)(1) of the Act. VerDate Sep<11>2014 18:45 Apr 01, 2019 Jkt 247001 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 Commerce; and (v) evidence other than factual information described in (i)–(iv). Section 351.301(b) of Commerce’s regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 34 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.35 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. Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.36 Parties must use the certification formats provided in 19 CFR 351.303(g).37 Commerce intends to reject factual submissions if the submitting party does not comply with the applicable certification requirements. 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 of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, stand-alone submission; under limited circumstances we will grant untimelyfiled requests for the extension of time limits. Parties should review Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013), available at https://www.gpo.gov/fdsys/pkg/FR-201309-20/html/2013-22853.htm, prior to submitting factual information in this investigation. Dated: March 26, 2019. 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. 34 See 35 See PO 00000 19 CFR 351.301(b). 19 CFR 351.301(b)(2). Frm 00010 Fmt 4703 Sfmt 4703 Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce published Antidumping and Countervailing Duty Proceedings: Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). Parties wishing to participate in this investigation should ensure that they meet the requirements of these procedures (e.g., the filing of letters of appearance as discussed at 19 CFR 351.103(d)). This notice is issued and published pursuant to sections 702 and 777(i) of the Act and 19 CFR 351.203(c). Appendix Scope of the Investigation The merchandise subject to this investigation consists of wooden cabinets and vanities that are for permanent installation (including floor mounted, wall mounted, ceiling hung or by attachment of plumbing), and wooden components thereof. Wooden cabinets and vanities and wooden components are made substantially of wood products, including solid wood and engineered wood products (including those made from wood particles, fibers, or other wooden materials such as plywood, strand board, block board, particle board, or fiberboard), or bamboo. Wooden cabinets and vanities consist of a cabinet box (which typically includes a top, bottom, sides, back, base blockers, ends/end panels, stretcher rails, toe kicks, and/or shelves) and may or may not include a frame, door, drawers and/ or shelves. Subject merchandise includes wooden cabinets and vanities with or without wood veneers, wood, paper or other overlays, or laminates, with or without non36 See section 782(b) of the Act. Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also frequently asked questions regarding the Final Rule, available at https://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 37 See E:\FR\FM\02APN1.SGM 02APN1 amozie on DSK9F9SC42PROD with NOTICES Federal Register / Vol. 84, No. 63 / Tuesday, April 2, 2019 / Notices wood components or trim such as metal, marble, glass, plastic, or other resins, whether or not surface finished or unfinished, and whether or not completed. Wooden cabinets and vanities are covered by the investigation whether or not they are imported attached to, or in conjunction with, faucets, metal plumbing, sinks and/or sink bowls, or countertops. If wooden cabinets or vanities are imported attached to, or in conjunction with, such merchandise, only the wooden cabinet or vanity is covered by the scope. Subject merchandise includes the following wooden component parts of cabinets and vanities: (1) Wooden cabinet and vanity frames (2) wooden cabinet and vanity boxes (which typically include a top, bottom, sides, back, base blockers, ends/end panels, stretcher rails, toe kicks, and/or shelves), (3) wooden cabinet or vanity doors, (4) wooden cabinet or vanity drawers and drawer components (which typically include sides, backs, bottoms, and faces), (5) back panels and end panels, (6) and desks, shelves, and tables that are attached to or incorporated in the subject merchandise. Subject merchandise includes all unassembled, assembled and/or ‘‘ready to assemble’’ (RTA) wooden cabinets and vanities, also commonly known as ‘‘flat packs,’’ except to the extent such merchandise is already covered by the scope of antidumping and countervailing duty orders on Hardwood Plywood from the People’s Republic of China. See Certain Hardwood Plywood Products from the People’s Republic of China: Amended Final Determination of Sales at Less Than Fair Value, and Antidumping Duty Order, 83 FR 504 (January 4, 2018); Certain Hardwood Plywood Products from the People’s Republic of China: Countervailing Duty Order, 83 FR 513 (January 4, 2018). RTA wooden cabinets and vanities are defined as cabinets or vanities packaged so that at the time of importation they may include: (1) Wooden components required to assemble a cabinet or vanity (including drawer faces and doors); and (2) parts (e.g., screws, washers, dowels, nails, handles, knobs, adhesive glues) required to assemble a cabinet or vanity. RTAs may enter the United States in one or in multiple packages. Subject merchandise also includes wooden cabinets and vanities and in-scope components that have been further processed in a third country, including but not limited to one or more of the following: Trimming, cutting, notching, punching, drilling, painting, staining, finishing, assembly, or any other processing that would not otherwise remove the merchandise from the scope of the investigation if performed in the country of manufacture of the in-scope product. Excluded from the scope of this investigation, if entered separate from a wooden cabinet or vanity are: (1) Aftermarket accessory items which may be added to or installed into an interior of a cabinet and which are not considered a structural or core component of a wooden cabinet or vanity. Aftermarket accessory items may be made of wood, metal, plastic, composite material, or a combination thereof that can be inserted into a cabinet and which VerDate Sep<11>2014 18:45 Apr 01, 2019 Jkt 247001 are utilized in the function of organization/ accessibility on the interior of a cabinet; and include: • Inserts or dividers which are placed into drawer boxes with the purpose of organizing or dividing the internal portion of the drawer into multiple areas for the purpose of containing smaller items such as cutlery, utensils, bathroom essentials, etc. • Round or oblong inserts that rotate internally in a cabinet for the purpose of accessibility to foodstuffs, dishware, general supplies, etc. (2) Solid wooden accessories including corbels and rosettes, which serve the primary purpose of decoration and personalization. (3) Non-wooden cabinet hardware components including metal hinges, brackets, catches, locks, drawer slides, fasteners (nails, screws, tacks, staples), handles, and knobs. Also excluded from the scope of this investigation are: (1) All products covered by the scope of the antidumping duty order on Wooden Bedroom Furniture from the People’s Republic of China. See Notice of Amended Final Determination of Sales at Less Than Fair Value and Antidumping Duty Order: Wooden Bedroom Furniture from the People’s Republic of China, 70 FR 329 (January 4, 2005). (2) All products covered by the scope of the antidumping and countervailing duty orders on Hardwood Plywood from the People’s Republic of China. See Certain Hardwood Plywood Products from the People’s Republic of China: Amended Final Determination of Sales at Less Than Fair Value, and Antidumping Duty Order, 83 FR 504 (January 4, 2018); Certain Hardwood Plywood Products from the People’s Republic of China: Countervailing Duty Order, 83 FR 513 (January 4, 2018). Imports of subject merchandise are classified under Harmonized Tariff Schedule of the United States (HTSUS) statistical numbers 9403.40.9060 and 9403.60.8081. The subject component parts of wooden cabinets and vanities may be entered into the United States under HTSUS statistical number 9403.90.7080. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of this investigation is dispositive. [FR Doc. 2019–06387 Filed 4–1–19; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–570–848] Freshwater Crawfish Tail Meat From the People’s Republic of China: Preliminary Results of Antidumping Duty New Shipper Review; 2017–2018 Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) preliminarily determines AGENCY: PO 00000 Frm 00011 Fmt 4703 Sfmt 4703 12585 that Nanjing Yinxiangchen International Trade Co., Ltd. (Nanjing Yinxiangchen) did not make sales of subject merchandise at prices below normal value during the period of review (POR), September 1, 2017, through February 28, 2018. We invite interested parties to comment on the preliminary results. DATES: Applicable April 2, 2019. FOR FURTHER INFORMATION CONTACT: Hermes Pinilla (202) 482–3477, AD/ CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230. SUPPLEMENTARY INFORMATION: Background Commerce is conducting a new shipper review of the antidumping duty order on freshwater crawfish tail meat from the People’s Republic of China (China). The new shipper review covers Nanjing Yinxiangchen. Commerce exercised its discretion to toll all deadlines affected by the partial federal government closure from December 22, 2018, through the resumption of operations on January 29, 2019.1 If the new deadline falls on a non-business day, in accordance with Commerce’s practice, the deadline will become the next business day. Accordingly, the revised deadline for the final results of this review is now March 26, 2019. Scope of the Order The merchandise subject to the antidumping duty order is freshwater crawfish tail meat, which is currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings 1605.40.10.10, 1605.40.10.90, 0306.19.00.10, and 0306.29.00.00. On February 10, 2012, Commerce added HTSUS classification number 0306.29.01.00 to the scope description pursuant to a request by U.S. Customs and Border Protection (CBP). On September 21, 2018, Commerce added HTSUS classification numbers 0306.39.0000 and 0306.99.0000 to the scope description pursuant to a request by CBP. While the HTSUS numbers are provided for convenience and customs purposes, the written description is dispositive. A full description of the scope of the order is contained in the Preliminary Decision Memorandum.2 1 See Memorandum, ‘‘Deadlines Affected by the Partial Shutdown of the Federal Government,’’ dated January 28, 2019. All deadlines in this segment of the proceeding have been extended by 40 days. 2 See Memorandum, ‘‘Freshwater Crawfish Tail Meat from the People’s Republic of China: Decision E:\FR\FM\02APN1.SGM Continued 02APN1

Agencies

[Federal Register Volume 84, Number 63 (Tuesday, April 2, 2019)]
[Notices]
[Pages 12581-12585]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-06387]



[[Page 12581]]

=======================================================================
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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-107]


Wooden Cabinets and Vanities and Components Thereof From the 
People's Republic of China: Initiation of Countervailing Duty 
Investigation

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

DATES: Applicable March 26, 2019.

FOR FURTHER INFORMATION CONTACT: Benito Ballesteros at (202) 482-7425 
or Christian Llinas at (202) 482-4877, 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 March 6, 2019, the U.S. Department of Commerce (Commerce) 
received a countervailing duty (CVD) Petition concerning imports of 
wooden cabinets and vanities and components thereof (wooden cabinets 
and vanities) from the People's Republic of China (China).\1\ The 
Petition, was filed in proper form by the American Kitchen Cabinet 
Alliance (the petitioner).\2\ The CVD Petition was accompanied by an 
antidumping duty (AD) Petition concerning imports of wooden cabinets 
and vanities from China.
---------------------------------------------------------------------------

    \1\ See petitioner's letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Wooden Cabinets and 
Vanities from the People's Republic of China,'' dated March 6, 2019 
(Petition); see also Memorandum, ``Phone Call with Counsel to the 
Petitioner,'' dated March 26, 2019.
    \2\ The Alliance is comprised of ACProducts, Inc., American 
Woodmark Corporation, Bellmont Cabinet Co., Bertch Cabinet 
Manufacturing, The Corsi Group, Crystal Cabinet Works, Inc., Dura 
Supreme Cabinetry, Jim Bishop Cabinets, Inc., Kitchen Kompact, Inc., 
Koch & Co., Inc., Kountry Wood Products, LLC, Lanz Cabinets 
Incorporated, Leedo Cabinetry, Marsh Furniture Company, Master 
WoodCraft Cabinetry LLC, MasterBrand Cabinets, Inc., Nation's 
Cabinetry, Showplace Wood Products, Inc., Smart Cabinetry, Tru 
Cabinetry, Wellborn Cabinet, Inc., Wellborn Forest Products, Inc., 
Woodland Cabinetry, Inc., Woodmont Cabinetry, W. W. Wood Products, 
Inc. The Alliance also has two additional members, the identities of 
which are proprietary.
---------------------------------------------------------------------------

    Between March 11 and 20, 2019, Commerce requested supplemental 
information pertaining to certain aspects of the Petition.\3\ The 
petitioner filed responses to these requests between March 12 and March 
22, 2019.\4\
---------------------------------------------------------------------------

    \3\ See Commerce Letters, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Imports of Wooden Cabinets 
and Vanities from the People's Republic of China: Supplemental 
Questions,'' dated March 11, 2019; ``Petition for the Imposition of 
Countervailing Duties on Imports of Wooden Cabinets and Vanities 
from the People's Republic of China: Supplemental Questions,'' dated 
March 12, 2019; Commerce Memorandum, ``Petitions for the Imposition 
of Antidumping and Countervailing Duties on Imports of Wooden 
Cabinets and Vanities from the People's Republic of China: Phone 
Call with Counsel to the Petitioner,'' dated March 18, 2019; and 
Commerce Memorandum, ``Phone Call with U.S. Customs and Border 
Protection Officials and Counsel to the Petitioner,'' dated March 
20, 2019 (March 20, 2019 Memorandum).
    \4\ See the petitioner's Letters, ``Wooden Cabinets and Vanities 
from the People's Republic of China: Petitioner's Responses to 
Supplemental Questions Regarding Petition Volume I Injury,'' dated 
March 12, 2019 (General Issues Supplement); ``Wooden Cabinets and 
Vanities from the People's Republic of China: Petitioner's Responses 
to Supplemental Questions Regarding Petition Volume III China CVD,'' 
dated March 14, 2019; and ``Wooden Cabinets and Vanities from the 
People's Republic of China: Second Supplemental Responses--Volume I 
Injury,'' dated March 20, 2019.
---------------------------------------------------------------------------

    In accordance with section 702(b)(1) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that the Government of China 
is providing countervailable subsidies, within the meaning of sections 
701 and 771(5) of the Act, to producers of wooden cabinets and vanities 
in China, and that such imports are materially injuring, or threatening 
material injury to, the domestic industry producing wooden cabinets and 
vanities in the United States. Consistent with section 702(b)(1) of the 
Act and 19 CFR 351.202(b), for those alleged programs on which we are 
initiating a CVD investigation, the Petition is accompanied by 
information reasonably available to the petitioner supporting its 
allegations.
    Commerce 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)(E) of the Act. Commerce also finds that the 
petitioner demonstrated sufficient industry support with respect to the 
initiation of the requested CVD investigation.\5\
---------------------------------------------------------------------------

    \5\ See ``Countervailing Duty Investigation Initiation 
Checklist: Wooden Cabinets and Vanities from the People's Republic 
of China (China CVD Initiation Checklist). This checklist is dated 
concurrently with, and hereby adopted by, this notice and on file 
electronically via ACCESS. Access to documents filed via ACCESS is 
also available in the Central Records Unit, Room B8024 of the main 
Department of Commerce building.
---------------------------------------------------------------------------

Period of Investigation

    Because the Petition was filed on March 6, 2019, the period of 
investigation (POI) is January 1, 2018, through December 31, 2018.

Scope of the Investigation

    The merchandise covered by this investigation consists of wooden 
cabinets and vanities from China. For a full description of the scope 
of this investigation, see the Appendix to this notice.

Scope Comments

    During our review of the Petition, we contacted the petitioner 
regarding the proposed scope language to ensure that the scope language 
in the Petition is an accurate reflection of the products for which the 
domestic industry is seeking relief.\6\ As a result, the scope of the 
Petition was modified to clarify the description of merchandise covered 
by the Petition. The description of the merchandise covered by this 
investigation, as described in the Appendix to this notice, reflects 
these clarifications.
---------------------------------------------------------------------------

    \6\ See Memoranda, ``Petitions for the Imposition of Antidumping 
and Countervailing Duties on Imports of Wooden Cabinets and Vanities 
from the People's Republic of China: Phone Call with Counsel to the 
Petitioner,'' dated March 11, 2019; ``Petitions for the Imposition 
of Antidumping and Countervailing Duties on Imports of Wooden 
Cabinets and Vanities from the People's Republic of China: Phone 
Call with U.S. Customs and Border Protection Officials and Counsel 
to the Petitioner,'' dated March 20, 2019; ``Petitions for the 
Imposition of Antidumping and Countervailing Duties on Imports of 
Wooden Cabinets and Vanities from the People's Republic of China: 
Phone Call with Counsel to the Petitioner,'' dated March 22, 2019; 
see also ``Wooden Cabinets and Vanities from the People's Republic 
of China: Petitioner's Response to Department of Commerce March 20, 
2019 Memorandum,'' dated March 22, 2019.
---------------------------------------------------------------------------

    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (scope).\7\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determination. If scope comments include factual information,\8\ all 
such factual information should be limited to public information. To 
facilitate preparation of its questionnaires, Commerce requests that 
all interested parties submit scope comments by 5:00 p.m. Eastern Time 
(ET) on April 15, 2019, which is the next business day after 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 April 25, 2019, which is 10 calendar days from the initial 
comments deadline.\9\
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    \7\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \8\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
    \9\ See 19 CFR 351.303(b).
---------------------------------------------------------------------------

    Commerce requests that any factual information parties consider 
relevant to the scope of the investigation be submitted during this 
period. However, if a party subsequently finds that

[[Page 12582]]

additional factual information pertaining to the scope of the 
investigation may be relevant, the party may contact Commerce and 
request permission to submit the additional information. All such 
submissions must be filed on the records of the concurrent AD and CVD 
investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically using 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS).\10\ 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.
---------------------------------------------------------------------------

    \10\ 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 Commerce's electronic filing 
requirements, effective 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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Consultations

    Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce 
notified China of the receipt of the Petition and provided it the 
opportunity for consultations with respect to the CVD Petition.\11\ 
China did not request consultations.
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    \11\ See Commerce Letter, ``Countervailing Duty Petition on 
Wooden Cabinets and Vanities from the People's Republic of China: 
Invitation for Consultations to Discuss the Petition'' dated March 
11, 2019.
---------------------------------------------------------------------------

Determination of Industry Support for the Petition

    Section 702(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 702(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce 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 Commerce 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 Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\12\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce'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.\13\
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    \12\ See section 771(10) of the Act.
    \13\ 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 Petition.\14\ Based on our analysis of the information submitted 
on the record, we have determined that wooden cabinets and vanities, as 
defined in the scope, constitute a single domestic like product, and we 
have analyzed industry support in terms of that domestic like 
product.\15\
---------------------------------------------------------------------------

    \14\ See Volume I of the Petition, at 18-20; see also General 
Issues Supplement, at 6-7.
    \15\ For a discussion of the domestic like product analysis as 
applied to this case and information regarding industry support, see 
Countervailing Duty Investigation Initiation Checklist: Wooden 
Cabinets and Vanities from the People's Republic of China (China CVD 
Initiation Checklist), at Attachment II, Analysis of Industry 
Support for the Antidumping and Countervailing Duty Petition 
Covering Wooden Cabinets and Vanities and Components Thereof from 
the People's Republic of China (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, Room B8024 of the main Department of 
Commerce building.
---------------------------------------------------------------------------

    In determining whether the petitioner has standing under section 
702(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petition with reference to the domestic like product 
as defined in the ``Scope of the Investigation,'' in the Appendix to 
this notice. To establish industry support, the petitioner provided 
2018 shipments of the domestic like product for the U.S. producers that 
support the Petition.\16\ The petitioner estimated the production of 
the domestic like product for the entire domestic industry based on 
shipment value data, because production quantity data for the entire 
domestic industry are not available, and shipments are a close 
approximation of production in the wooden cabinets and vanities 
industry.\17\ The petitioner compared the shipments of the companies 
supporting the Petition to the estimated total 2018 shipments of the 
domestic like product for the entire domestic industry.\18\ We relied 
on data provided by the petitioner for purposes of measuring industry 
support.\19\
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    \16\ See Volume I of the Petition, at 2-4 and Exhibits I-3, I-5, 
and I-7; see also General Issues Supplement, at 10-14 and Exhibits 
I-Supp-5, I-Supp-8 and I-Supp-12.
    \17\ Id. at 3 and Exhibits I-3, I-4 and I-15; see also General 
Issues Supplement, at 9.
    \18\ See General Issues Supplement, at 10, 13, and 14.
    \19\ See Volume I of the Petition, at 2-4 and Exhibits I-3, I-4, 
I-5, and I-7; see also General Issues Supplement, at 9-14 and 
Exhibits I-Supp-5, I-Supp-8, I-Supp-10, I-Supp-11, and I-Supp-12. 
For further discussion, see China CVD Initiation Checklist, at 
Attachment II.
---------------------------------------------------------------------------

    On March 20, 2019, we received comments on industry support from 
American Home Furnishings Alliance (AHFA), an alliance representing the 
U.S. residential furniture industry, and Fabuwood Cabinetry Corp. 
(Fabuwood), a U.S. importer.\20\ On March 22, 2019, we received 
industry support comments

[[Page 12583]]

from Huisen Furniture Longnan Co. Ltd. (Huisen), a Chinese producer and 
exporter of living room floor-standing furniture, and Kimball 
Hospitality Inc. (Kimball), a U.S. producer and importer of hospitality 
furniture.\21\ The petitioner responded to the industry support 
comments from AHFA, Fabuwood, Huisen, and Kimball on March 25, 
2019.\22\
---------------------------------------------------------------------------

    \20\ See AHFA's Letter, ``Wooden Cabinets and Vanities from the 
People's Republic of China: Comments on Industry Support,'' dated 
March 20, 2019 (AHFA's Letter). See Fabuwood's Letter, ``Wooden 
Cabinets and Vanities from the People's Republic of China: Request 
to Dismiss Petitions or Otherwise Postpone Initiation,'' dated March 
20, 2019 (Fabuwood's Letter).
    \21\ See Huisen's Letter, ``Wooden Cabinets and Vanities from 
the People's Republic of China: Comments on Industry Support,'' 
dated March 22, 2019 (Huisen's Letter).
    \22\ See Petitioner's Letter, ``Wooden, Cabinets and Vanities 
from the People's Republic of China: Petitioners Response to Request 
to Various Parties' Requests to Dismiss or Postpone,'' dated March 
25, 2019 (Petitioner's Letter).
---------------------------------------------------------------------------

    Our review of the data provided in the Petition, the General Issues 
Supplement, the Petitioner's Letter, and other information readily 
available to Commerce indicates that the petitioner has established 
industry support for the Petition.\23\ First, the Petition established 
support from domestic producers (or workers) accounting for more than 
50 percent of the total production of the domestic like product and, as 
such, Commerce is not required to take further action in order to 
evaluate industry support (e.g., polling).\24\ Second, the domestic 
producers (or workers) have met the statutory criteria for industry 
support under section 702(c)(4)(A)(i) of the Act because the domestic 
producers (or workers) who support the Petition account for at least 25 
percent of the total production of the domestic like product.\25\ 
Finally, the domestic producers (or workers) have met the statutory 
criteria for industry support under section 702(c)(4)(A)(ii) of the Act 
because the domestic producers (or workers) who support the Petition 
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.\26\ Accordingly, Commerce 
determines that the Petition was filed on behalf of the domestic 
industry within the meaning of section 702(b)(1) of the Act.
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    \23\ See China CVD Initiation Checklist, at Attachment II.
    \24\ Id.; see also section 702(c)(4)(D) of the Act.
    \25\ See China CVD Initiation Checklist, at Attachment II.
    \26\ Id.
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Injury Test

    Because China is a ``Subsidies Agreement Country'' within the 
meaning of section 701(b) of the Act, section 701(a)(2) of the Act 
applies to this investigation. Accordingly, the ITC must determine 
whether imports of the subject merchandise from China materially 
injure, or threaten material injury to, a U.S. industry.

Allegations and Evidence of Material Injury and Causation

    The petitioner alleges that imports of the subject merchandise are 
benefitting from countervailable subsidies and that such imports are 
causing, or threaten to cause, material injury to the U.S. industry 
producing the domestic like product. In addition, the petitioner 
alleges that subject imports exceed the negligibility threshold 
provided for under section 771(24)(A) of the Act.\27\
---------------------------------------------------------------------------

    \27\ See General Issues Supplement, at 15-16 and Exhibits I-
Supp-10 and I-Supp-13.
---------------------------------------------------------------------------

    The petitioner contends that the industry's injured condition is 
illustrated by a significant and increasing volume of subject imports; 
reduced market share; underselling and price depression or suppression; 
lost sales and revenues; closure of manufacturing facilities and 
hindered planned expansion efforts due to market conditions caused by 
subject imports; and a decline in the domestic industry's U.S. 
production, capacity utilization, commercial shipments, employment, and 
financial performance.\28\ We have assessed the allegations and 
supporting evidence regarding material injury, threat of material 
injury, causation, as well as negligibility, and we have determined 
that these allegations are properly supported by adequate evidence, and 
meet the statutory requirements for initiation.\29\
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    \28\ See Volume I of the Petitions, at 15-18, 21-35 and Exhibits 
I-4, I-11 through I-29; see also General Issues Supplement, at 14-16 
and Exhibits I-Supp-10 and I-Supp-13.
    \29\ See China CVD Initiation Checklist, at Attachment III, 
Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Wooden Cabinets and Vanities and Components Thereof from 
the People's Republic of China (Attachment III).
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Initiation of CVD Investigation

    Based on the examination of the Petition, we find that the Petition 
meets the requirements of section 702 of the Act. Therefore, we are 
initiating a CVD investigation to determine whether imports of wooden 
cabinets and vanities from China benefit from countervailable subsidies 
conferred by the Government of China. Based on our review of the 
Petition, we find that there is sufficient information to initiate a 
CVD investigation, in whole or part, on 36 of the 37 alleged programs. 
For a full discussion of the basis for our decision to initiate on each 
program, see China CVD Initiation Checklist. A public version of the 
initiation checklist for this investigation is available on ACCESS. In 
accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), 
unless postponed, we will make our preliminary determination no later 
than 65 days after the date of this initiation.

Respondent Selection

    Commerce normally selects respondents in a CVD investigation using 
CBP entry data. However, for this investigation, the HTSUS numbers the 
subject merchandise would enter under include basket categories 
containing products unrelated to wooden cabinets and vanities, and the 
reported entry data contain differing units of quantity. Therefore, we 
cannot rely on CBP entry data in selecting respondents. Instead, for 
this investigation, Commerce will request quantity and value (Q&V) 
information from known exporters and producers identified, with 
complete contact information, in the Petition. In addition, Commerce 
will post the Q&V questionnaire along with filing instructions on the 
Enforcement and Compliance website at https://www.trade.gov/enforcement/news.asp.
    The petitioner named 727 companies in China as producers/exporters 
of wooden cabinets and vanities.\30\ After considering our resources, 
Commerce has determined that we do not have sufficient administrative 
resources to issue Q&V questionnaires to all 727 identified producers 
and exporters. Therefore, Commerce has determined to limit the number 
of Q&V questionnaires we will send out to exporters and producers 
identified in U.S. Customs and Border Protection (CBP) data for U.S. 
imports of wooden cabinets and vanities during the POI under the 
appropriate Harmonized Tariff Schedule of the United States number 
listed in the ``Scope of the Investigation,'' in the Appendix. 
Accordingly, Commerce will send Q&V questionnaires to the largest 
producers and exporters that are identified in the CBP data for which 
there is address information on the record.
---------------------------------------------------------------------------

    \30\ See Petition Volume I at Exhibit I-9; see also General 
Issues Supplement at Exhibit I-Supp-1.
---------------------------------------------------------------------------

    On March 26, 2019, Commerce released CBP data on imports of wooden 
cabinets and vanities from China under APO to all parties with access 
to information protected by APO and indicated that interested parties 
wishing to comment on the CBP data must do so within three business 
days of the publication date of the notice of initiation of this 
investigation.\31\ We

[[Page 12584]]

further stated that we will not accept rebuttal comments.
---------------------------------------------------------------------------

    \31\ See Memorandum, ``Countervailing Duty Investigation of 
Wooden Cabinets and Vanities from China: Release of U.S. Customs and 
Border Protection Data;'' dated March 26, 2019.
---------------------------------------------------------------------------

    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 Commerce website at https://enforcement.trade.gov/apo.
    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 on the date noted above. 
We intend to finalize our decisions regarding respondent selection 
within 20 days of publication of this notice.
    Producers/exporters of wooden cabinets and vanities from China that 
do not receive Q&V questionnaires by mail may still submit a response 
to the Q&V questionnaire and can obtain a copy from the Enforcement & 
Compliance website. The Q&V response must be submitted by the relevant 
China exporters/producers no later than April 15, 2019. All Q&V 
responses must be filed electronically via ACCESS.

Distribution of Copies of the Petition

    In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR 
351.202(f), a copy of the public version of the Petition has been 
provided to China 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 
702(d) of the Act.

Preliminary Determination by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petition were filed, whether there is a reasonable 
indication that imports of wooden cabinets and vanities from China are 
materially injuring, or threatening material injury to, a U.S. 
industry.\32\ A negative ITC determination in any country will result 
in the investigation being terminated with respect to that country.\33\ 
Otherwise, this investigation will proceed according to statutory and 
regulatory time limits.
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    \32\ See section 703(a)(2) of the Act.
    \33\ See section 703(a)(1) of the Act.
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Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Section 351.301(b) of Commerce's 
regulations requires any party, when submitting factual information, to 
specify under which subsection of 19 CFR 351.102(b)(21) the information 
is being submitted \34\ 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.\35\ 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.
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    \34\ See 19 CFR 351.301(b).
    \35\ See 19 CFR 351.301(b)(2).
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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 of 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.\36\ 
Parties must use the certification formats provided in 19 CFR 
351.303(g).\37\ Commerce intends to reject factual submissions if the 
submitting party does not comply with the applicable certification 
requirements.
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    \36\ See section 782(b) of the Act.
    \37\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also 
frequently asked questions regarding the Final Rule, available at 
https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
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Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce 
published Antidumping and Countervailing Duty Proceedings: Documents 
Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). 
Parties wishing to participate in this investigation should ensure that 
they meet the requirements of these procedures (e.g., the filing of 
letters of appearance as discussed at 19 CFR 351.103(d)).
    This notice is issued and published pursuant to sections 702 and 
777(i) of the Act and 19 CFR 351.203(c).

    Dated: March 26, 2019.
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 subject to this investigation consists of wooden 
cabinets and vanities that are for permanent installation (including 
floor mounted, wall mounted, ceiling hung or by attachment of 
plumbing), and wooden components thereof. Wooden cabinets and 
vanities and wooden components are made substantially of wood 
products, including solid wood and engineered wood products 
(including those made from wood particles, fibers, or other wooden 
materials such as plywood, strand board, block board, particle 
board, or fiberboard), or bamboo. Wooden cabinets and vanities 
consist of a cabinet box (which typically includes a top, bottom, 
sides, back, base blockers, ends/end panels, stretcher rails, toe 
kicks, and/or shelves) and may or may not include a frame, door, 
drawers and/or shelves. Subject merchandise includes wooden cabinets 
and vanities with or without wood veneers, wood, paper or other 
overlays, or laminates, with or without non-

[[Page 12585]]

wood components or trim such as metal, marble, glass, plastic, or 
other resins, whether or not surface finished or unfinished, and 
whether or not completed.
    Wooden cabinets and vanities are covered by the investigation 
whether or not they are imported attached to, or in conjunction 
with, faucets, metal plumbing, sinks and/or sink bowls, or 
countertops. If wooden cabinets or vanities are imported attached 
to, or in conjunction with, such merchandise, only the wooden 
cabinet or vanity is covered by the scope.
    Subject merchandise includes the following wooden component 
parts of cabinets and vanities: (1) Wooden cabinet and vanity frames 
(2) wooden cabinet and vanity boxes (which typically include a top, 
bottom, sides, back, base blockers, ends/end panels, stretcher 
rails, toe kicks, and/or shelves), (3) wooden cabinet or vanity 
doors, (4) wooden cabinet or vanity drawers and drawer components 
(which typically include sides, backs, bottoms, and faces), (5) back 
panels and end panels, (6) and desks, shelves, and tables that are 
attached to or incorporated in the subject merchandise.
    Subject merchandise includes all unassembled, assembled and/or 
``ready to assemble'' (RTA) wooden cabinets and vanities, also 
commonly known as ``flat packs,'' except to the extent such 
merchandise is already covered by the scope of antidumping and 
countervailing duty orders on Hardwood Plywood from the People's 
Republic of China. See Certain Hardwood Plywood Products from the 
People's Republic of China: Amended Final Determination of Sales at 
Less Than Fair Value, and Antidumping Duty Order, 83 FR 504 (January 
4, 2018); Certain Hardwood Plywood Products from the People's 
Republic of China: Countervailing Duty Order, 83 FR 513 (January 4, 
2018). RTA wooden cabinets and vanities are defined as cabinets or 
vanities packaged so that at the time of importation they may 
include: (1) Wooden components required to assemble a cabinet or 
vanity (including drawer faces and doors); and (2) parts (e.g., 
screws, washers, dowels, nails, handles, knobs, adhesive glues) 
required to assemble a cabinet or vanity. RTAs may enter the United 
States in one or in multiple packages.
    Subject merchandise also includes wooden cabinets and vanities 
and in-scope components that have been further processed in a third 
country, including but not limited to one or more of the following: 
Trimming, cutting, notching, punching, drilling, painting, staining, 
finishing, assembly, or any other processing that would not 
otherwise remove the merchandise from the scope of the investigation 
if performed in the country of manufacture of the in-scope product.
    Excluded from the scope of this investigation, if entered 
separate from a wooden cabinet or vanity are:
    (1) Aftermarket accessory items which may be added to or 
installed into an interior of a cabinet and which are not considered 
a structural or core component of a wooden cabinet or vanity. 
Aftermarket accessory items may be made of wood, metal, plastic, 
composite material, or a combination thereof that can be inserted 
into a cabinet and which are utilized in the function of 
organization/accessibility on the interior of a cabinet; and 
include:
     Inserts or dividers which are placed into drawer boxes 
with the purpose of organizing or dividing the internal portion of 
the drawer into multiple areas for the purpose of containing smaller 
items such as cutlery, utensils, bathroom essentials, etc.
     Round or oblong inserts that rotate internally in a 
cabinet for the purpose of accessibility to foodstuffs, dishware, 
general supplies, etc.
    (2) Solid wooden accessories including corbels and rosettes, 
which serve the primary purpose of decoration and personalization.
    (3) Non-wooden cabinet hardware components including metal 
hinges, brackets, catches, locks, drawer slides, fasteners (nails, 
screws, tacks, staples), handles, and knobs.
    Also excluded from the scope of this investigation are:
    (1) All products covered by the scope of the antidumping duty 
order on Wooden Bedroom Furniture from the People's Republic of 
China. See Notice of Amended Final Determination of Sales at Less 
Than Fair Value and Antidumping Duty Order: Wooden Bedroom Furniture 
from the People's Republic of China, 70 FR 329 (January 4, 2005).
    (2) All products covered by the scope of the antidumping and 
countervailing duty orders on Hardwood Plywood from the People's 
Republic of China. See Certain Hardwood Plywood Products from the 
People's Republic of China: Amended Final Determination of Sales at 
Less Than Fair Value, and Antidumping Duty Order, 83 FR 504 (January 
4, 2018); Certain Hardwood Plywood Products from the People's 
Republic of China: Countervailing Duty Order, 83 FR 513 (January 4, 
2018).
    Imports of subject merchandise are classified under Harmonized 
Tariff Schedule of the United States (HTSUS) statistical numbers 
9403.40.9060 and 9403.60.8081. The subject component parts of wooden 
cabinets and vanities may be entered into the United States under 
HTSUS statistical number 9403.90.7080. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of this investigation is 
dispositive.

[FR Doc. 2019-06387 Filed 4-1-19; 8:45 am]
 BILLING CODE 3510-DS-P
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