Polyethylene Terephthalate Sheet From the Republic of Korea, Mexico, and the Sultanate of Oman: Initiation of Less-Than-Fair-Value Investigations, 44854-44858 [2019-18370]

Download as PDF 44854 Federal Register / Vol. 84, No. 166 / Tuesday, August 27, 2019 / Notices Linyi Huasheng Yongbin Wood Co., Ltd.; Linyi Jiahe Wood Industry Co., Ltd; Linyi Linhai Wood Co., Ltd.; Linyi Mingzhu Wood Co., Ltd; Linyi Sanfortune Wood Co., Ltd; Qingdao Good Faith Import and Export Co., Ltd; Shandong Dongfang Bayley Wood Co., Ltd; Shandong Jinluda International Trade Co., Ltd.; Shandong Qishan International Trading Co., Ltd.; Shandong Senmanqi Import & Export Co., Ltd.; Shandong Shengdi International Trading Co., Ltd.; Shanghai Brightwood Trading Co., Ltd.; Shanghai Futuwood Trading Co., Ltd.; Suining Pengxiang Wood Co., Ltd; Suqian Hopeway International Trade Co., Ltd; Suzhou Fengshuwan Import and Export Trade Co., Ltd. a/k/a Suzhou Fengshuwan I&E Trade Co., Ltd.; Sumec International Technology Co., Ltd; Suzhou Oriental Dragon Import and Export Co., Ltd; Vietnam Finewood Company Limited; Win Faith Trading Limited; Xuzhou Andefu Wood Co., Ltd.; Xuzhou DNT Commercial Co., Ltd.; Xuzhou Jiangheng Wood Products Co., Ltd.; Xuzhou Jiangyang Wood Industries Co., Ltd; Xuzhou Longyuan Wood Industry Co., Ltd.; XuZhou PinLin International Trade Co., Ltd.; Xuzhou Shengping Imp and Exp Co., Ltd.; Xuzhou Timber International Trade Co., Ltd.; and Yishui Zelin Wood Made Co., Ltd. jspears on DSK3GMQ082PROD with NOTICES Assessment We will instruct U.S. Customs and Border Protection (CBP) to assess countervailing duties on all appropriate entries. Commerce intends to issue appropriate assessment instructions to CBP 15 days after the publication of this notice. Notifications This notice serves as a final reminder to importers of their responsibility under 19 CFR 351.402(f)(2) to file a certificate regarding the reimbursement of countervailing duties prior to liquidation of the relevant entries during this review period. Failure to comply with this requirement could result in Commerce’s presumption that reimbursement of the countervailing duties occurred and the subsequent assessment of doubled antidumping duties. This notice also serves as a final reminder to parties subject to administrative protective order (APO) of their responsibility concerning the return or destruction of proprietary information disclosed under APO in accordance with 19 CFR 351.305, which continues to govern business proprietary information in this segment of the proceeding. Timely written VerDate Sep<11>2014 19:12 Aug 26, 2019 Jkt 247001 notification of the return/destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and terms of an APO is a violation which is subject to sanction. This notice is issued and published in accordance with sections 751(a)(1) and 777(i)(1) of the Tariff Act of 1930, as amended, and 19 CFR 351.213(d)(4). Dated: August 22, 2019. James Maeder, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations. [FR Doc. 2019–18440 Filed 8–26–19; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–580–903, A–201–852, A–523–813] Polyethylene Terephthalate Sheet From the Republic of Korea, Mexico, and the Sultanate of Oman: Initiation of Less-Than-Fair-Value Investigations Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable August 19, 2019. FOR FURTHER INFORMATION CONTACT: Susan Pulongbarit or Charles Doss, AD/ CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–4031 or (202) 482–4474, respectively. supplemental questionnaires.2 The petitioners filed responses to the supplemental questionnaires between July 17 and July 23, 2019.3 In accordance with section 732(b) of the Tariff Act of 1930, as amended (the Act), the petitioners allege that imports of PET sheet from Korea, Mexico, and Oman are being, or are likely to be, sold in the United States at less than fair value (LTFV) within the meaning of section 731 of the Act, and that such imports are materially injuring, or threatening material injury to, the domestic industry producing PET sheet in the United States. Consistent with section 732(b)(1) of the Act, the Petitions are accompanied by information reasonably available to the petitioners supporting their allegations. Commerce finds that the petitioners are interested parties, as defined in section 771(9)(C) of the Act. Commerce also determines that the petitioners have sufficient industry support with respect to the initiation of the requested AD investigations.4 AGENCY: SUPPLEMENTARY INFORMATION: The Petitions On July 9, 2019, the U.S. Department of Commerce (Commerce) received antidumping duty (AD) petitions concerning imports of polyethylene terephthalate sheet (PET sheet) from the Republic of Korea (Korea), Mexico, and the Sultanate of Oman (Oman).1 The Petitions were filed in proper form by Advanced Extrusion Inc. (Advanced Extrusion), Ex-Tech Plastics, Inc. (ExTech), and Multi-Plastics Extrusions, Inc. (Multi-Plastics) (collectively, the petitioners). Between July 12 through July 22, Commerce requested supplemental information pertaining to certain aspects of the Petitions in separate 1 See Petitioner’s Letter, ‘‘Polyethylene Terephthalate (‘‘PET’’) Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman— Petitions for the Imposition of Antidumping Duties,’’ dated July 9, 2019 (the Petitions). PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 2 See Commerce’s Letters, ‘‘Petition for the Imposition of Antidumping Duties on Imports of Polyethylene Terephthalate Sheet from Mexico: Supplemental Questions;’’ ‘‘Petition for the Imposition of Antidumping Duties on Imports of Polyethylene Terephthalate Sheet from the Republic of Korea: Supplemental Questions;’’ and ‘‘Petition for the Imposition of Antidumping Duties on Imports of Polyethylene Terephthalate Sheet from the Sultanate of Oman: Supplemental Questions.’’ All of these documents are dated July 12, 2019; see also Commerce’s Letter, ‘‘Petitions for the Imposition of Antidumping Duties on Imports of Polyethylene Terephthalate Sheet from the People’s Republic of Korea, Mexico, and the Sultanate of Oman: Supplemental Questions,’’ dated July 15, 2019; Commerce Letters, ‘‘Phone Call with Counsel to the Petitioners,’’ dated July 22, 2019, and ‘‘Phone Call with Counsel to the Petitioners,’’ dated July 22, 2019. 3 See Petitioner’s Letter, ‘‘Polyethylene Terephthalate Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman—Petitioners’ Supplement to Volume I Relating to General Issues,’’ dated July 17, 2019 (General Issues Supplement); see also the Petitioner’s Letters, ‘‘Polyethylene Terephthalate Sheet from the Republic of Korea—Petitioners’ Supplement to Volume II Relating to the Republic of Korea Antidumping Duties;’’ ‘‘Polyethylene Terephthalate Sheet from Mexico—Petitioners’ Supplement to Volume III Relating to Mexico Antidumping Duties;’’ and ‘‘Polyethylene Terephthalate Sheet from Oman—Petitioners’ Supplement to Volume IV Relating to Oman Antidumping Duties.’’ All of these documents are dated July 17, 2019; see also the petitioners’ Letters, ‘‘Polyethylene Terephthalate Sheet from Korea, Mexico, and Oman—Petitioners’ Response to the Commerce Department’s July 22, 2019 File Memorandum,’’ dated July 23, 2019 (Second General Issues Supplement), and ‘‘Polyethylene Terephthalate Sheet from Mexico—Petitioners’ Response to the Commerce Department’s July 22, 2019 File Memorandum,’’ dated July 23, 2019 (Second AD Mexico Supplement). 4 See the Petitions at 3–4. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 84, No. 166 / Tuesday, August 27, 2019 / Notices Period of Investigation Because the Petitions were filed on July 9, 2019, pursuant to 19 CFR 351.204(b)(1), the period of investigation (POI) for the Korea, Mexico, and Oman investigations is July 1, 2018 through June 30, 2019. Scope of the Investigations The merchandise covered by these investigations is PET sheet from Korea, Mexico, and Oman. For a full description of the scope of these investigations, see the Appendix to this notice. Scope Comments During our review of the Petitions, Commerce issued questions to, and received responses from, the petitioners pertaining to the proposed scope to ensure that the scope language in the Petitions would be an accurate reflection of the products for which the domestic industry is seeking relief.5 As a result, the scope of the Petitions was modified to clarify the description of the merchandise covered by the Petitions. The description of the merchandise covered by these investigations, 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).6 Commerce will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determinations. If scope comments include factual information,7 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 September 9, 2019, which is the next business day after September 8, 2019, 20 calendar days from the signature date of this notice.8 Any rebuttal comments, which may include factual information, must be filed by 5:00 p.m. ET on September 19, 2019, which is 10 calendar days from the initial comment deadline.9 Commerce requests that any factual information parties consider relevant to jspears on DSK3GMQ082PROD with NOTICES 5 See General Issues Supplement at 3–6; see also Second General Issues Supplement at 3. 6 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997). 7 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 8 Because September 8, 2019 falls on a weekend, consistent with 19 CFR 303(b)(1), Commerce will accept documents filed on the next business day. 9 See 19 CFR 351.303(b). VerDate Sep<11>2014 19:12 Aug 26, 2019 Jkt 247001 the scope of the investigations be submitted during this period. However, if a party subsequently finds that additional factual information pertaining to the scope of the investigations may be relevant, the party may contact Commerce and request permission to submit the additional information. All such submissions must be filed on the records of the concurrent AD investigations. Filing Requirements All submissions to Commerce must be filed electronically via 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. Comments on Product Characteristics Commerce is providing interested parties an opportunity to comment on the appropriate physical characteristics of PET sheet to be reported in response to Commerce’s AD questionnaires. This information will be used to identify the key physical characteristics of the subject merchandise in order to report the relevant costs of production accurately as well as to develop appropriate product-comparison criteria. Interested parties may provide any information or comments that they feel are relevant to the development of an accurate list of physical characteristics. Specifically, they may provide comments as to which characteristics are appropriate to use as: (1) General product characteristics, and (2) product comparison criteria. We note that it is not always appropriate to use all product characteristics as product comparison criteria. We base product comparison criteria on meaningful 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. PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 44855 commercial differences among products. In other words, although there may be some physical product characteristics utilized by manufacturers to describe PET sheet, it may be that only a select few product characteristics take into account commercially meaningful physical characteristics. In addition, interested parties may comment on the order in which the physical characteristics should be used in matching products. Generally, Commerce attempts to list the most important physical characteristics first and the least important characteristics last. In order to consider the suggestions of interested parties in developing and issuing the AD questionnaires, all product characteristics comments must be filed by 5:00 p.m. ET on September 9, 2019, which is the next business day after September 8, 2019, 20 calendar days from the signature date of this notice.11 Any rebuttal comments must be filed by 5:00 p.m. ET on September 19, 2019. All comments and submissions to Commerce must be filed electronically using ACCESS, as explained above, on the record of each of the AD investigations. Determination of Industry Support for the Petitions Section 732(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 732(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) At least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, 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 11 Because September 8, 2019 falls on a weekend, consistent with 19 CFR 303(b), Commerce will accept documents filed on the next business day. E:\FR\FM\27AUN1.SGM 27AUN1 44856 Federal Register / Vol. 84, No. 166 / Tuesday, August 27, 2019 / Notices 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 petitioners do not offer a definition of the domestic like product distinct from the scope of the Petitions.14 Based on our analysis of the information submitted on the record, we have determined that PET sheet, as defined in the scope, constitutes a single domestic like product, and we have analyzed industry support in terms of that domestic like product.15 On July 29, 2019, Commerce extended the initiation deadline by 20 days to poll the domestic industry in accordance with section 732(c)(4)(D) of 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 Petitions at 11–13; see also General Issues Supplement at 9–12 and Exhibit GEN-Supp-3. 15 For a discussion of the domestic like product analysis as applied to these cases and information regarding industry support, see Antidumping Duty Investigation Initiation Checklist: Polyethylene Terephthalate Sheet from the Republic of Korea (Korea AD Initiation Checklist) at Attachment II, Analysis of Industry Support for the Antidumping Duty Petitions Covering Polyethylene Terephthalate Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman (Attachment II); see also Antidumping Duty Investigation Initiation Checklist: Polyethylene Terephthalate Sheet from Mexico (Mexico AD Initiation Checklist) at Attachment II; and Antidumping Duty Investigation Initiation Checklist: Polyethylene Terephthalate Sheet from the Sultanate of Oman (Oman AD Initiation Checklist) at Attachment II. jspears on DSK3GMQ082PROD with NOTICES 13 See VerDate Sep<11>2014 19:12 Aug 26, 2019 Jkt 247001 the Act, because it was not ‘‘clear from the Petitions whether the industry support criteria have been met . . .’’ 16 On July 30, 2019, we issued polling questionnaires to all known producers of PET sheet (whether sold or internally consumed) identified in the Petitions, submissions from other interested parties, and by Commerce’s own research.17 We requested that each company complete the polling questionnaire and certify its response by the due date specified in the cover letter to the questionnaire.18 Our analysis of the data indicates that the domestic producers of PET sheet who support the Petitions account for at least 25 percent of the total production of the domestic like product and more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petitions.19 Accordingly, Commerce determines that the industry support requirements of section 732(c)(4)(A) have been met. Therefore, Commerce determines that the petitioners filed these Petitions on behalf of the domestic industry in accordance with section 732(b)(1) of the Act because they are interested parties as defined in section 771(9)(C) of the 16 See Notice of Extension of the Deadline for Determining the Adequacy of the Antidumping Duty Petitions: Polyethylene Terephthalate Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman, 84 FR 39801 (August 12, 2019); see also Korea AD Initiation Checklist at Attachment II; Mexico AD Initiation Checklist at Attachment II; and Oman AD Initiation Checklist at Attachment II. 17 See Memorandum, ‘‘Polyethylene Terephthalate Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman: Polling Questionnaire,’’ dated July 30, 2019; see also Volume I of the Petitions at 1–2 and Exhibits GEN– 1 and GEN–2; General Issues Supplement at 6–8 and Exhibit GEN-Supp-1; the petitioners’ Letter, ‘‘Polyethylene Terephthalate Sheet from Oman— Petitioners’ Response to OCTAL’s Request for the Department to Refuse to Initiate AD Investigation for Lack of Standing,’’ dated July 23, 2019 at 5 and Exhibit 1; Letter from OCTAL, ‘‘OCTAL’s Request for the Department To Refuse To Initiate AD Investigation for Lack of Standing—Polyethylene Terephthalate (PET) Sheet from the Sultanate of Oman,’’ dated July 18, 2019 at 5 and Exhibit 1; and Letter from OCTAL, ‘‘OCTAL’s Reply to Petitioners’ Comments on Lack of Standing—Polyethylene Terephthalate (PET) Sheet from the Sultanate of Oman,’’ dated July 25, 2019 at Exhibit 2. 18 For a detailed discussion of the responses received, see Korea AD Initiation Checklist at Attachment II; see also Mexico AD Initiation Checklist at Attachment II; and Oman AD Initiation Checklist at Attachment II. The polling questionnaire and questionnaire responses are on file electronically via ACCESS. 19 See Korea AD Initiation Checklist, at Attachment II; see also Mexico AD Initiation Checklist at Attachment II; and Oman AD Initiation Checklist, at Attachment II. PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 Act and have sufficient industry support.20 Allegations and Evidence of Material Injury and Causation The petitioners allege that the U.S. industry producing the domestic like product is being materially injured, or is threatened with material injury, by reason of the imports of the subject merchandise sold at LTFV. In addition, the petitioners allege that subject imports from Korea, Mexico, and Oman exceed the negligibility threshold provided for under section 771(24)(A) of the Act.21 The petitioners contend that the industry’s injured condition is illustrated by a significant and increasing volume of subject imports; reduced market share; lost sales and lost revenue; underselling and price depression or suppression; and a decline in the domestic industry’s capacity utilization, shipments, production, and financial performance.22 We have assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, cumulation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.23 Allegations of Sales at LTFV The following is a description of the allegation of sales at LTFV upon which Commerce based its decision to initiate investigations of PET sheet from Korea, Mexico, and Oman. The sources of data for the deductions and adjustments relating to U.S. price and normal value (NV) are discussed in greater detail in the AD Initiation Checklist for each country. Export Price For Korea, Mexico, and Oman, the petitioners based U.S. price on pricing information for PET sheet produced in, 20 See Korea AD Initiation Checklist at Attachment II; see also Mexico AD Initiation Checklist at Attachment II; and Oman AD Initiation Checklist at Attachment II. 21 See Volume I of the Petitions at 13–14 and Exhibit GEN–7. 22 See Volume I of the Petitions at 10, 13–26 and Exhibits GEN–5 and GEN–7 through GEN–12; see also General Issues Supplement at 13 and Exhibits GEN-Supp-1 and GEN-Supp-4. 23 See Korea AD Initiation Checklist, at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping Duty Petitions Covering Polyethylene Terephthalate Sheet from the Republic of Korea, Mexico, and the Sultanate of Oman (Attachment III); see also Mexico AD Initiation Checklist at Attachment III; and Oman AD Initiation Checklist at Attachment III. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 84, No. 166 / Tuesday, August 27, 2019 / Notices and exported from Korea, Mexico, and Oman and offered for sale in the United States.24 Where applicable, the petitioners made deductions from U.S. price for movement and other expenses, consistent with the terms of sale.25 Normal Value For Mexico, Korea, and Oman, the petitioners based NV on home market prices obtained through market research for PET sheet produced in and sold, or offered for sale, in Mexico, Korea, and Oman within the POI. Normal Value Based on Constructed Value jspears on DSK3GMQ082PROD with NOTICES As noted above, the petitioners obtained home market prices for Mexico and Oman, but demonstrated that these prices were below the cost of production (COP); therefore, the petitioners also calculated NV based on constructed value (CV), pursuant to section 773(a)(4) of the Act.26 Pursuant to section 773(e) of the Act, CV consists of the cost of manufacturing (COM), selling, general, and administrative (SG&A) expenses, financial expenses, profit, and packing expenses. For Mexico and Oman, the petitioners calculated the COM based on domestic producer’s input factors of production (FOP) and usage rates for raw materials, labor, and energy.27 The petitioners valued the input FOPs using publicly available data on costs specific to Mexico and Oman during the proposed POI.28 Specifically, the petitioners based the prices for raw material inputs on publicly available import data for Mexico and Oman.29 The petitioners valued labor and energy costs using publicly available sources for Mexico and Oman.30 The petitioners calculated the factory variable overhead for Mexico and Oman based on the experience of domestic producers. The petitioners calculated the factory fixed overhead, SG&A expenses, financial expenses, and profit for Mexico and Oman based on the experience of a producer of 24 See Mexico AD Initiation Checklist; Korea AD Initiation Checklist; and Oman AD Initiation Checklist. 25 Id. 26 See Mexico AD Initiation Checklist and Oman AD Initiation Checklist. In accordance with section 773(b)(2) of the Act, for these investigations, Commerce will request information necessary to calculate the CV and cost of production (COP) to determine whether there are reasonable grounds to believe or suspect that sales of the foreign like product have been made at prices that represent less than the COP of the product. 27 Id. 28 Id. 29 Id. 30 Id. VerDate Sep<11>2014 19:12 Aug 26, 2019 Jkt 247001 comparable merchandise from each of these countries.31 Fair Value Comparisons Based on the data provided by the Petitions, there is reason to believe that imports of PET sheet from Korea, Mexico, and Oman are being, or are likely to be, sold in the United States at LTFV. Based on comparisons of export price (EP) to NV in accordance with sections 772 and 773 of the Act, the estimated dumping margins for PET sheet for each of the countries covered by this initiation are as follows: (1) Korea—44.13 and 52.01 percent; 32 (2) Mexico—27.60 to 115.46 percent; 33 and (3) Oman—75.02 and 114.43 percent.34 Initiation of LTFV Investigations Based upon the examination of the Petitions, and supplemental responses, we find that the Petitions meet the requirements of section 732 of the Act. Therefore, we are initiating AD investigations to determine whether imports of PET sheet from Korea, Mexico, and Oman are being, or are likely to be, sold in the United States at LTFV. In accordance with section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determinations no later than 140 days after the date of this initiation. Respondent Selection The petitioners named 17 companies in Korea,35 nine companies in Mexico,36 and one company in Oman,37 as producers/exporters of PET sheet. Following standard practice in AD investigations involving market economy countries, in the event Commerce determines that the number of companies is large and it cannot individually examine each company based upon Commerce’s resources, where appropriate, Commerce intends to select respondents in Korea, Mexico, and Oman based on U.S. Customs and Border Protection (CBP) data for U.S. imports under the appropriate Harmonized Tariff Schedule of the United States (HTSUS) numbers listed with the scope in the Appendix, below.38 31 Id. 32 See Korea AD Initiation Checklist. 33 See Mexico AD Initiation Checklist. 34 See Oman AD Initiation Checklist. 35 See Volume I of the Petitions at Exhibit GEN– 4. 36 Id. 37 Id. 38 See, e.g., Polyester Textured Yarn from India and the People’s Republic of China: Initiation of Less-Than-Fair-Value Investigations, 83 FR 58223, 58227 (November 19, 2018). PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 44857 On August 19, 2019, Commerce released CBP data on imports of PET sheet from Korea, Mexico, and Oman 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 these investigations.39 We further stated that we will not accept rebuttal comments. Distribution of Copies of the Petitions In accordance with section 732(b)(3)(A) of the Act and 19 CFR 351.202(f), copies of the public version of the Petitions have been provided to the governments of Korea, Mexico, and Oman via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petitions to each exporter named in the Petitions, as provided under 19 CFR 351.203(c)(2). ITC Notification We will notify the ITC of our initiation, as required by section 732(d) of the Act. Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petitions were filed, whether there is a reasonable indication that imports of PET sheet from Mexico, Korea, and Oman are materially injuring, or threatening material injury to, a U.S. industry.40 A negative ITC determination for any country will result in the investigation being terminated with respect to that country.41 Otherwise, the investigations will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) Evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) 39 See Memoranda, ‘‘Polyethylene Terephthalate Sheet from the Republic of Korea: U.S. Customs and Border Protection Data for Respondent Selection Purposes;’’ ‘‘Polyethylene Terephthalate Sheet from Mexico: U.S. Customs and Border Protection Data for Respondent Selection Purposes;’’ and ‘‘Polyethylene Terephthalate Sheet from the Sultanate of Oman: U.S. Customs and Border Protection Data for Respondent Selection Purposes;’’ dated August 18, 2019. 40 See section 733(a) of the Act. 41 Id. E:\FR\FM\27AUN1.SGM 27AUN1 44858 Federal Register / Vol. 84, No. 166 / Tuesday, August 27, 2019 / Notices 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 42 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.43 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 these investigations. jspears on DSK3GMQ082PROD with NOTICES Particular Market Situation Allegation Section 504 of the Trade Preferences Extension Act of 2015 amended the Act by adding the concept of particular market situation (PMS) for purposes of CV under section 773(e) of the Act.44 Section 773(e) of the Act states that ‘‘if a particular market situation exists such that the cost of materials and fabrication or other processing of any kind does not accurately reflect the cost of production in the ordinary course of trade, the administering authority may use another calculation methodology under this subtitle or any other calculation methodology.’’ When an interested party submits a PMS allegation pursuant to section 773(e) of the Act, Commerce will respond to such a submission consistent with 19 CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists under section 773(e) of the Act, then it will modify its dumping calculations appropriately. Neither section 773(e) of the Act nor 19 CFR 351.301(c)(2)(v) set a deadline for the submission of PMS allegations and supporting factual information. However, in order to administer section 773(e) of the Act, Commerce must receive PMS allegations and supporting factual information with enough time to consider the submission. Thus, should an interested party wish to submit a PMS allegation and supporting new factual information pursuant to section 773(e) of the Act, it must do so no later than 20 days after submission of a respondent’s initial section D questionnaire response. 42 See 19 CFR 351.301(b). 19 CFR 351.301(b)(2). 44 See Trade Preferences Extension Act of 2015, Public Law 114–27, 129 Stat. 362 (2015). 43 See VerDate Sep<11>2014 19:12 Aug 26, 2019 Jkt 247001 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 a 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 http://www.gpo.gov/fdsys/pkg/FR-201309-20/html/2013-22853.htm, prior to submitting factual information in these investigations. Certification Requirements Any party submitting factual information in an AD or countervailing duty proceeding must certify to the accuracy and completeness of that information.45 Parties must use the certification formats provided in 19 CFR 351.303(g).46 Commerce intends to reject factual submissions if the submitting party does not comply with the applicable certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce published Antidumping and Countervailing Duty Proceedings: Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). Parties wishing to participate in these investigations should ensure that they meet the requirements of these procedures (e.g., 45 See section 782(b) of the Act. also Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to frequently asked questions regarding the Final Rule are available at http://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 46 See PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 the filing of letters of appearance as discussed at 19 CFR 351.103(d)). This notice is issued and published pursuant to sections 732(c)(2) and 777(i) of the Act, and 19 CFR 351.203(c). Dated: August 19, 2019. Jeffrey I. Kessler, Assistant Secretary for Enforcement and Compliance. Appendix Scope of the Investigations The merchandise covered by these investigations is raw, pretreated, or primed polyethylene terephthalate sheet, whether extruded or coextruded, in nominal thicknesses of equal to or greater than 7 mil (0.007 inches or 177.8 mm) and not exceeding 45 mil (0.045 inches or 1143 mm) (PET sheet). The scope includes all PET sheet whether made from prime (virgin) inputs or recycled inputs, as well as any blends thereof. The scope includes all PET sheet meeting the above specifications regardless of width, color, surface treatment, coating, lamination, or other surface finish. The merchandise subject to these investigations is properly classified under statistical reporting number 3920.62.0090 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS statistical reporting number is provided for convenience and customs purposes, the written description of the merchandise is dispositive. [FR Doc. 2019–18370 Filed 8–26–19; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–433–812] Certain Carbon and Alloy Steel Cut-ToLength Plate From Austria: Rescission of Antidumping Duty Administrative Review; 2018–2019 Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) is rescinding the administrative review of the antidumping duty order on certain carbon and alloy steel cut-to-length plate from Austria for the period May 1, 2018, through April 30, 2019, based on the timely withdrawal of the request for review. DATES: Applicable August 27, 2019. FOR FURTHER INFORMATION CONTACT: Preston N. Cox, AD/CVD Operations, Office VI, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–5041. SUPPLEMENTARY INFORMATION: AGENCY: E:\FR\FM\27AUN1.SGM 27AUN1

Agencies

[Federal Register Volume 84, Number 166 (Tuesday, August 27, 2019)]
[Notices]
[Pages 44854-44858]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-18370]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-903, A-201-852, A-523-813]


Polyethylene Terephthalate Sheet From the Republic of Korea, 
Mexico, and the Sultanate of Oman: Initiation of Less-Than-Fair-Value 
Investigations

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

DATES: Applicable August 19, 2019.

FOR FURTHER INFORMATION CONTACT: Susan Pulongbarit or Charles Doss, AD/
CVD Operations, Office V, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-4031 or (202) 
482-4474, respectively.

SUPPLEMENTARY INFORMATION: 

The Petitions

    On July 9, 2019, the U.S. Department of Commerce (Commerce) 
received antidumping duty (AD) petitions concerning imports of 
polyethylene terephthalate sheet (PET sheet) from the Republic of Korea 
(Korea), Mexico, and the Sultanate of Oman (Oman).\1\ The Petitions 
were filed in proper form by Advanced Extrusion Inc. (Advanced 
Extrusion), Ex-Tech Plastics, Inc. (Ex-Tech), and Multi-Plastics 
Extrusions, Inc. (Multi-Plastics) (collectively, the petitioners).
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    \1\ See Petitioner's Letter, ``Polyethylene Terephthalate 
(``PET'') Sheet from the Republic of Korea, Mexico, and the 
Sultanate of Oman--Petitions for the Imposition of Antidumping 
Duties,'' dated July 9, 2019 (the Petitions).
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    Between July 12 through July 22, Commerce requested supplemental 
information pertaining to certain aspects of the Petitions in separate 
supplemental questionnaires.\2\ The petitioners filed responses to the 
supplemental questionnaires between July 17 and July 23, 2019.\3\
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    \2\ See Commerce's Letters, ``Petition for the Imposition of 
Antidumping Duties on Imports of Polyethylene Terephthalate Sheet 
from Mexico: Supplemental Questions;'' ``Petition for the Imposition 
of Antidumping Duties on Imports of Polyethylene Terephthalate Sheet 
from the Republic of Korea: Supplemental Questions;'' and ``Petition 
for the Imposition of Antidumping Duties on Imports of Polyethylene 
Terephthalate Sheet from the Sultanate of Oman: Supplemental 
Questions.'' All of these documents are dated July 12, 2019; see 
also Commerce's Letter, ``Petitions for the Imposition of 
Antidumping Duties on Imports of Polyethylene Terephthalate Sheet 
from the People's Republic of Korea, Mexico, and the Sultanate of 
Oman: Supplemental Questions,'' dated July 15, 2019; Commerce 
Letters, ``Phone Call with Counsel to the Petitioners,'' dated July 
22, 2019, and ``Phone Call with Counsel to the Petitioners,'' dated 
July 22, 2019.
    \3\ See Petitioner's Letter, ``Polyethylene Terephthalate Sheet 
from the Republic of Korea, Mexico, and the Sultanate of Oman--
Petitioners' Supplement to Volume I Relating to General Issues,'' 
dated July 17, 2019 (General Issues Supplement); see also the 
Petitioner's Letters, ``Polyethylene Terephthalate Sheet from the 
Republic of Korea--Petitioners' Supplement to Volume II Relating to 
the Republic of Korea Antidumping Duties;'' ``Polyethylene 
Terephthalate Sheet from Mexico--Petitioners' Supplement to Volume 
III Relating to Mexico Antidumping Duties;'' and ``Polyethylene 
Terephthalate Sheet from Oman--Petitioners' Supplement to Volume IV 
Relating to Oman Antidumping Duties.'' All of these documents are 
dated July 17, 2019; see also the petitioners' Letters, 
``Polyethylene Terephthalate Sheet from Korea, Mexico, and Oman--
Petitioners' Response to the Commerce Department's July 22, 2019 
File Memorandum,'' dated July 23, 2019 (Second General Issues 
Supplement), and ``Polyethylene Terephthalate Sheet from Mexico--
Petitioners' Response to the Commerce Department's July 22, 2019 
File Memorandum,'' dated July 23, 2019 (Second AD Mexico 
Supplement).
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    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioners allege that imports of PET sheet 
from Korea, Mexico, and Oman are being, or are likely to be, sold in 
the United States at less than fair value (LTFV) within the meaning of 
section 731 of the Act, and that such imports are materially injuring, 
or threatening material injury to, the domestic industry producing PET 
sheet in the United States. Consistent with section 732(b)(1) of the 
Act, the Petitions are accompanied by information reasonably available 
to the petitioners supporting their allegations.
    Commerce finds that the petitioners are interested parties, as 
defined in section 771(9)(C) of the Act. Commerce also determines that 
the petitioners have sufficient industry support with respect to the 
initiation of the requested AD investigations.\4\
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    \4\ See the Petitions at 3-4.

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[[Page 44855]]

Period of Investigation

    Because the Petitions were filed on July 9, 2019, pursuant to 19 
CFR 351.204(b)(1), the period of investigation (POI) for the Korea, 
Mexico, and Oman investigations is July 1, 2018 through June 30, 2019.

Scope of the Investigations

    The merchandise covered by these investigations is PET sheet from 
Korea, Mexico, and Oman. For a full description of the scope of these 
investigations, see the Appendix to this notice.

Scope Comments

    During our review of the Petitions, Commerce issued questions to, 
and received responses from, the petitioners pertaining to the proposed 
scope to ensure that the scope language in the Petitions would be an 
accurate reflection of the products for which the domestic industry is 
seeking relief.\5\ As a result, the scope of the Petitions was modified 
to clarify the description of the merchandise covered by the Petitions. 
The description of the merchandise covered by these investigations, as 
described in the appendix to this notice, reflects these 
clarifications.
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    \5\ See General Issues Supplement at 3-6; see also Second 
General Issues Supplement at 3.
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    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).\6\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determinations. If scope comments include factual information,\7\ 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 September 9, 2019, which is the next business day after 
September 8, 2019, 20 calendar days from the signature date of this 
notice.\8\ Any rebuttal comments, which may include factual 
information, must be filed by 5:00 p.m. ET on September 19, 2019, which 
is 10 calendar days from the initial comment deadline.\9\
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    \6\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \7\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
    \8\ Because September 8, 2019 falls on a weekend, consistent 
with 19 CFR 303(b)(1), Commerce will accept documents filed on the 
next business day.
    \9\ See 19 CFR 351.303(b).
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    Commerce requests that any factual information parties consider 
relevant to the scope of the investigations be submitted during this 
period. However, if a party subsequently finds that additional factual 
information pertaining to the scope of the investigations may be 
relevant, the party may contact Commerce and request permission to 
submit the additional information. All such submissions must be filed 
on the records of the concurrent AD investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically via 
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.
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    \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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Comments on Product Characteristics

    Commerce is providing interested parties an opportunity to comment 
on the appropriate physical characteristics of PET sheet to be reported 
in response to Commerce's AD questionnaires. This information will be 
used to identify the key physical characteristics of the subject 
merchandise in order to report the relevant costs of production 
accurately as well as to develop appropriate product-comparison 
criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate list of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as: (1) General product 
characteristics, and (2) product comparison criteria. We note that it 
is not always appropriate to use all product characteristics as product 
comparison criteria. We base product comparison criteria on meaningful 
commercial differences among products. In other words, although there 
may be some physical product characteristics utilized by manufacturers 
to describe PET sheet, it may be that only a select few product 
characteristics take into account commercially meaningful physical 
characteristics. In addition, interested parties may comment on the 
order in which the physical characteristics should be used in matching 
products. Generally, Commerce attempts to list the most important 
physical characteristics first and the least important characteristics 
last.
    In order to consider the suggestions of interested parties in 
developing and issuing the AD questionnaires, all product 
characteristics comments must be filed by 5:00 p.m. ET on September 9, 
2019, which is the next business day after September 8, 2019, 20 
calendar days from the signature date of this notice.\11\ Any rebuttal 
comments must be filed by 5:00 p.m. ET on September 19, 2019. All 
comments and submissions to Commerce must be filed electronically using 
ACCESS, as explained above, on the record of each of the AD 
investigations.
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    \11\ Because September 8, 2019 falls on a weekend, consistent 
with 19 CFR 303(b), Commerce will accept documents filed on the next 
business day.
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Determination of Industry Support for the Petitions

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, 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

[[Page 44856]]

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 petitioners do not 
offer a definition of the domestic like product distinct from the scope 
of the Petitions.\14\ Based on our analysis of the information 
submitted on the record, we have determined that PET sheet, as defined 
in the scope, constitutes a single domestic like product, and we have 
analyzed industry support in terms of that domestic like product.\15\
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    \14\ See Volume I of the Petitions at 11-13; see also General 
Issues Supplement at 9-12 and Exhibit GEN-Supp-3.
    \15\ For a discussion of the domestic like product analysis as 
applied to these cases and information regarding industry support, 
see Antidumping Duty Investigation Initiation Checklist: 
Polyethylene Terephthalate Sheet from the Republic of Korea (Korea 
AD Initiation Checklist) at Attachment II, Analysis of Industry 
Support for the Antidumping Duty Petitions Covering Polyethylene 
Terephthalate Sheet from the Republic of Korea, Mexico, and the 
Sultanate of Oman (Attachment II); see also Antidumping Duty 
Investigation Initiation Checklist: Polyethylene Terephthalate Sheet 
from Mexico (Mexico AD Initiation Checklist) at Attachment II; and 
Antidumping Duty Investigation Initiation Checklist: Polyethylene 
Terephthalate Sheet from the Sultanate of Oman (Oman AD Initiation 
Checklist) at Attachment II.
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    On July 29, 2019, Commerce extended the initiation deadline by 20 
days to poll the domestic industry in accordance with section 
732(c)(4)(D) of the Act, because it was not ``clear from the Petitions 
whether the industry support criteria have been met . . .'' \16\
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    \16\ See Notice of Extension of the Deadline for Determining the 
Adequacy of the Antidumping Duty Petitions: Polyethylene 
Terephthalate Sheet from the Republic of Korea, Mexico, and the 
Sultanate of Oman, 84 FR 39801 (August 12, 2019); see also Korea AD 
Initiation Checklist at Attachment II; Mexico AD Initiation 
Checklist at Attachment II; and Oman AD Initiation Checklist at 
Attachment II.
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    On July 30, 2019, we issued polling questionnaires to all known 
producers of PET sheet (whether sold or internally consumed) identified 
in the Petitions, submissions from other interested parties, and by 
Commerce's own research.\17\ We requested that each company complete 
the polling questionnaire and certify its response by the due date 
specified in the cover letter to the questionnaire.\18\
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    \17\ See Memorandum, ``Polyethylene Terephthalate Sheet from the 
Republic of Korea, Mexico, and the Sultanate of Oman: Polling 
Questionnaire,'' dated July 30, 2019; see also Volume I of the 
Petitions at 1-2 and Exhibits GEN-1 and GEN-2; General Issues 
Supplement at 6-8 and Exhibit GEN-Supp-1; the petitioners' Letter, 
``Polyethylene Terephthalate Sheet from Oman--Petitioners' Response 
to OCTAL's Request for the Department to Refuse to Initiate AD 
Investigation for Lack of Standing,'' dated July 23, 2019 at 5 and 
Exhibit 1; Letter from OCTAL, ``OCTAL's Request for the Department 
To Refuse To Initiate AD Investigation for Lack of Standing--
Polyethylene Terephthalate (PET) Sheet from the Sultanate of Oman,'' 
dated July 18, 2019 at 5 and Exhibit 1; and Letter from OCTAL, 
``OCTAL's Reply to Petitioners' Comments on Lack of Standing--
Polyethylene Terephthalate (PET) Sheet from the Sultanate of Oman,'' 
dated July 25, 2019 at Exhibit 2.
    \18\ For a detailed discussion of the responses received, see 
Korea AD Initiation Checklist at Attachment II; see also Mexico AD 
Initiation Checklist at Attachment II; and Oman AD Initiation 
Checklist at Attachment II. The polling questionnaire and 
questionnaire responses are on file electronically via ACCESS.
---------------------------------------------------------------------------

    Our analysis of the data indicates that the domestic producers of 
PET sheet who support the Petitions account for at least 25 percent of 
the total production of the domestic like product and more than 50 
percent of the production of the domestic like product produced by that 
portion of the industry expressing support for, or opposition to, the 
Petitions.\19\ Accordingly, Commerce determines that the industry 
support requirements of section 732(c)(4)(A) have been met.
---------------------------------------------------------------------------

    \19\ See Korea AD Initiation Checklist, at Attachment II; see 
also Mexico AD Initiation Checklist at Attachment II; and Oman AD 
Initiation Checklist, at Attachment II.
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    Therefore, Commerce determines that the petitioners filed these 
Petitions on behalf of the domestic industry in accordance with section 
732(b)(1) of the Act because they are interested parties as defined in 
section 771(9)(C) of the Act and have sufficient industry support.\20\
---------------------------------------------------------------------------

    \20\ See Korea AD Initiation Checklist at Attachment II; see 
also Mexico AD Initiation Checklist at Attachment II; and Oman AD 
Initiation Checklist at Attachment II.
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Allegations and Evidence of Material Injury and Causation

    The petitioners allege that the U.S. industry producing the 
domestic like product is being materially injured, or is threatened 
with material injury, by reason of the imports of the subject 
merchandise sold at LTFV. In addition, the petitioners allege that 
subject imports from Korea, Mexico, and Oman exceed the negligibility 
threshold provided for under section 771(24)(A) of the Act.\21\
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    \21\ See Volume I of the Petitions at 13-14 and Exhibit GEN-7.
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    The petitioners contend that the industry's injured condition is 
illustrated by a significant and increasing volume of subject imports; 
reduced market share; lost sales and lost revenue; underselling and 
price depression or suppression; and a decline in the domestic 
industry's capacity utilization, shipments, production, and financial 
performance.\22\ We have assessed the allegations and supporting 
evidence regarding material injury, threat of material injury, 
causation, cumulation, as well as negligibility, and we have determined 
that these allegations are properly supported by adequate evidence, and 
meet the statutory requirements for initiation.\23\
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    \22\ See Volume I of the Petitions at 10, 13-26 and Exhibits 
GEN-5 and GEN-7 through GEN-12; see also General Issues Supplement 
at 13 and Exhibits GEN-Supp-1 and GEN-Supp-4.
    \23\ See Korea AD Initiation Checklist, at Attachment III, 
Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping Duty Petitions Covering Polyethylene 
Terephthalate Sheet from the Republic of Korea, Mexico, and the 
Sultanate of Oman (Attachment III); see also Mexico AD Initiation 
Checklist at Attachment III; and Oman AD Initiation Checklist at 
Attachment III.
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Allegations of Sales at LTFV

    The following is a description of the allegation of sales at LTFV 
upon which Commerce based its decision to initiate investigations of 
PET sheet from Korea, Mexico, and Oman. The sources of data for the 
deductions and adjustments relating to U.S. price and normal value (NV) 
are discussed in greater detail in the AD Initiation Checklist for each 
country.

Export Price

    For Korea, Mexico, and Oman, the petitioners based U.S. price on 
pricing information for PET sheet produced in,

[[Page 44857]]

and exported from Korea, Mexico, and Oman and offered for sale in the 
United States.\24\ Where applicable, the petitioners made deductions 
from U.S. price for movement and other expenses, consistent with the 
terms of sale.\25\
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    \24\ See Mexico AD Initiation Checklist; Korea AD Initiation 
Checklist; and Oman AD Initiation Checklist.
    \25\ Id.
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Normal Value

    For Mexico, Korea, and Oman, the petitioners based NV on home 
market prices obtained through market research for PET sheet produced 
in and sold, or offered for sale, in Mexico, Korea, and Oman within the 
POI.

Normal Value Based on Constructed Value

    As noted above, the petitioners obtained home market prices for 
Mexico and Oman, but demonstrated that these prices were below the cost 
of production (COP); therefore, the petitioners also calculated NV 
based on constructed value (CV), pursuant to section 773(a)(4) of the 
Act.\26\ Pursuant to section 773(e) of the Act, CV consists of the cost 
of manufacturing (COM), selling, general, and administrative (SG&A) 
expenses, financial expenses, profit, and packing expenses.
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    \26\ See Mexico AD Initiation Checklist and Oman AD Initiation 
Checklist. In accordance with section 773(b)(2) of the Act, for 
these investigations, Commerce will request information necessary to 
calculate the CV and cost of production (COP) to determine whether 
there are reasonable grounds to believe or suspect that sales of the 
foreign like product have been made at prices that represent less 
than the COP of the product.
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    For Mexico and Oman, the petitioners calculated the COM based on 
domestic producer's input factors of production (FOP) and usage rates 
for raw materials, labor, and energy.\27\ The petitioners valued the 
input FOPs using publicly available data on costs specific to Mexico 
and Oman during the proposed POI.\28\ Specifically, the petitioners 
based the prices for raw material inputs on publicly available import 
data for Mexico and Oman.\29\ The petitioners valued labor and energy 
costs using publicly available sources for Mexico and Oman.\30\ The 
petitioners calculated the factory variable overhead for Mexico and 
Oman based on the experience of domestic producers. The petitioners 
calculated the factory fixed overhead, SG&A expenses, financial 
expenses, and profit for Mexico and Oman based on the experience of a 
producer of comparable merchandise from each of these countries.\31\
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    \27\ Id.
    \28\ Id.
    \29\ Id.
    \30\ Id.
    \31\ Id.
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Fair Value Comparisons

    Based on the data provided by the Petitions, there is reason to 
believe that imports of PET sheet from Korea, Mexico, and Oman are 
being, or are likely to be, sold in the United States at LTFV. Based on 
comparisons of export price (EP) to NV in accordance with sections 772 
and 773 of the Act, the estimated dumping margins for PET sheet for 
each of the countries covered by this initiation are as follows: (1) 
Korea--44.13 and 52.01 percent; \32\ (2) Mexico--27.60 to 115.46 
percent; \33\ and (3) Oman--75.02 and 114.43 percent.\34\
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    \32\ See Korea AD Initiation Checklist.
    \33\ See Mexico AD Initiation Checklist.
    \34\ See Oman AD Initiation Checklist.
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Initiation of LTFV Investigations

    Based upon the examination of the Petitions, and supplemental 
responses, we find that the Petitions meet the requirements of section 
732 of the Act. Therefore, we are initiating AD investigations to 
determine whether imports of PET sheet from Korea, Mexico, and Oman are 
being, or are likely to be, sold in the United States at LTFV. In 
accordance with section 733(b)(1)(A) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determinations no later than 140 days after the date of this 
initiation.

Respondent Selection

    The petitioners named 17 companies in Korea,\35\ nine companies in 
Mexico,\36\ and one company in Oman,\37\ as producers/exporters of PET 
sheet. Following standard practice in AD investigations involving 
market economy countries, in the event Commerce determines that the 
number of companies is large and it cannot individually examine each 
company based upon Commerce's resources, where appropriate, Commerce 
intends to select respondents in Korea, Mexico, and Oman based on U.S. 
Customs and Border Protection (CBP) data for U.S. imports under the 
appropriate Harmonized Tariff Schedule of the United States (HTSUS) 
numbers listed with the scope in the Appendix, below.\38\
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    \35\ See Volume I of the Petitions at Exhibit GEN-4.
    \36\ Id.
    \37\ Id.
    \38\ See, e.g., Polyester Textured Yarn from India and the 
People's Republic of China: Initiation of Less-Than-Fair-Value 
Investigations, 83 FR 58223, 58227 (November 19, 2018).
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    On August 19, 2019, Commerce released CBP data on imports of PET 
sheet from Korea, Mexico, and Oman 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 these 
investigations.\39\ We further stated that we will not accept rebuttal 
comments.
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    \39\ See Memoranda, ``Polyethylene Terephthalate Sheet from the 
Republic of Korea: U.S. Customs and Border Protection Data for 
Respondent Selection Purposes;'' ``Polyethylene Terephthalate Sheet 
from Mexico: U.S. Customs and Border Protection Data for Respondent 
Selection Purposes;'' and ``Polyethylene Terephthalate Sheet from 
the Sultanate of Oman: U.S. Customs and Border Protection Data for 
Respondent Selection Purposes;'' dated August 18, 2019.
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Distribution of Copies of the Petitions

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

ITC Notification

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

Preliminary Determination by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petitions were filed, whether there is a reasonable 
indication that imports of PET sheet from Mexico, Korea, and Oman are 
materially injuring, or threatening material injury to, a U.S. 
industry.\40\ A negative ITC determination for any country will result 
in the investigation being terminated with respect to that country.\41\ 
Otherwise, the investigations will proceed according to statutory and 
regulatory time limits.
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    \40\ See section 733(a) of the Act.
    \41\ Id.
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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)

[[Page 44858]]

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 \42\ 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.\43\ 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 these 
investigations.
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    \42\ See 19 CFR 351.301(b).
    \43\ See 19 CFR 351.301(b)(2).
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Particular Market Situation Allegation

    Section 504 of the Trade Preferences Extension Act of 2015 amended 
the Act by adding the concept of particular market situation (PMS) for 
purposes of CV under section 773(e) of the Act.\44\ Section 773(e) of 
the Act states that ``if a particular market situation exists such that 
the cost of materials and fabrication or other processing of any kind 
does not accurately reflect the cost of production in the ordinary 
course of trade, the administering authority may use another 
calculation methodology under this subtitle or any other calculation 
methodology.'' When an interested party submits a PMS allegation 
pursuant to section 773(e) of the Act, Commerce will respond to such a 
submission consistent with 19 CFR 351.301(c)(2)(v). If Commerce finds 
that a PMS exists under section 773(e) of the Act, then it will modify 
its dumping calculations appropriately.
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    \44\ See Trade Preferences Extension Act of 2015, Public Law 
114-27, 129 Stat. 362 (2015).
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    Neither section 773(e) of the Act nor 19 CFR 351.301(c)(2)(v) set a 
deadline for the submission of PMS allegations and supporting factual 
information. However, in order to administer section 773(e) of the Act, 
Commerce must receive PMS allegations and supporting factual 
information with enough time to consider the submission. Thus, should 
an interested party wish to submit a PMS allegation and supporting new 
factual information pursuant to section 773(e) of the Act, it must do 
so no later than 20 days after submission of a respondent's initial 
section D questionnaire response.

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 a 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 http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm, prior to submitting factual information 
in these investigations.

Certification Requirements

    Any party submitting factual information in an AD or countervailing 
duty proceeding must certify to the accuracy and completeness of that 
information.\45\ Parties must use the certification formats provided in 
19 CFR 351.303(g).\46\ Commerce intends to reject factual submissions 
if the submitting party does not comply with the applicable 
certification requirements.
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    \45\ See section 782(b) of the Act.
    \46\ See also Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to 
frequently asked questions regarding the Final Rule are available at 
http://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 these investigations should ensure 
that they meet the requirements of these procedures (e.g., the filing 
of letters of appearance as discussed at 19 CFR 351.103(d)).
    This notice is issued and published pursuant to sections 732(c)(2) 
and 777(i) of the Act, and 19 CFR 351.203(c).

    Dated: August 19, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigations

    The merchandise covered by these investigations is raw, 
pretreated, or primed polyethylene terephthalate sheet, whether 
extruded or coextruded, in nominal thicknesses of equal to or 
greater than 7 mil (0.007 inches or 177.8 [micro]m) and not 
exceeding 45 mil (0.045 inches or 1143 [micro]m) (PET sheet). The 
scope includes all PET sheet whether made from prime (virgin) inputs 
or recycled inputs, as well as any blends thereof. The scope 
includes all PET sheet meeting the above specifications regardless 
of width, color, surface treatment, coating, lamination, or other 
surface finish.
    The merchandise subject to these investigations is properly 
classified under statistical reporting number 3920.62.0090 of the 
Harmonized Tariff Schedule of the United States (HTSUS). Although 
the HTSUS statistical reporting number is provided for convenience 
and customs purposes, the written description of the merchandise is 
dispositive.

[FR Doc. 2019-18370 Filed 8-26-19; 8:45 am]
 BILLING CODE 3510-DS-P