Carbon and Alloy Steel Threaded Rod From the People's Republic of China: Final Affirmative Countervailing Duty Determination, 8833-8835 [2020-03047]
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Federal Register / Vol. 85, No. 32 / Tuesday, February 18, 2020 / Notices
• I understand that {NAME OF
IMPORTING COMPANY} is required to
maintain a copy of this certification and
sufficient documentation supporting this
certification (i.e., documents maintained in
the normal course of business, or documents
obtained by the certifying party, for example,
mill certificates, production records,
invoices, etc.) for the later of (1) a period of
five years from the date of entry or (2) a
period of three years after the conclusion of
any litigation in the United States courts
regarding such entries;
• I understand that {NAME OF
IMPORTING COMPANY} is required to
provide this certification and supporting
records, upon request, to U.S. Customs and
Border Protection (CBP) and/or the
Department of Commerce (Commerce);
• I understand that {NAME OF
IMPORTING COMPANY} is required to
maintain a copy of the exporter’s certification
(attesting to the production and/or export of
the imported merchandise identified above),
and any supporting records provided by the
exporter to the importer, for the later of (1)
a period of five years from the date of entry
or (2) a period of three years after the
conclusion of any litigation in United States
courts regarding such entries;
• I understand that {NAME OF
IMPORTING COMPANY} is required to
maintain and, upon request, provide a copy
of the exporter’s certification and any
supporting records provided by the exporter
to the importer, to CBP and/or Commerce;
• I understand that the claims made
herein, and the substantiating
documentation, are subject to verification by
CBP and/or Commerce;
• I understand that failure to maintain the
required certifications, and/or failure to
substantiate the claims made herein, and/or
failure to allow CBP and/or Commerce to
verify the claims made herein, may result in
a de facto determination that all entries to
which this certification applies are within
the scope of the antidumping/countervailing
duty order on corrosion resistant steel
products from China. I understand that such
finding will result in:
Æ Suspension of liquidation of all
unliquidated entries (and entries for which
liquidation has not become final) for which
these requirements were not met; and;
Æ the requirement that the importer post
applicable antidumping duty and/or
countervailing duty cash deposits (as
appropriate) equal to the rates determined by
Commerce;
the revocation of {NAME OF IMPORTING
COMPANY}’s privilege to certify future
imports of corrosion resistant steel products
from Costa Rica as not manufactured using
hot-rolled steel and/or cold-rolled steel
substrate from China.
• I understand that agents of the importer,
such as brokers, are not permitted to make
this certification;
• This certification was completed at or
prior to the time of Entry; and
• I am aware that U.S. law (including, but
not limited to, 18 U.S.C. 1001) imposes
criminal sanctions on individuals who
knowingly and willfully make material false
statements to the U.S. government.
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Signature
NAME OF COMPANY OFFICIAL
TITLE
DATE
[FR Doc. 2020–03139 Filed 2–14–20; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–105]
Carbon and Alloy Steel Threaded Rod
From the People’s Republic of China:
Final Affirmative Countervailing Duty
Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) determines that
countervailable subsidies are being
provided to producers and exporters of
carbon and alloy steel threaded rod
(steel threaded rod) from the People’s
Republic of China (China).
DATES: Applicable February 18, 2020.
FOR FURTHER INFORMATION CONTACT:
Thomas Schauer or Allison Hollander,
AD/CVD Operations, Office I,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–0410 or
(202) 482–2805, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On July 29, 2019, Commerce
published the Preliminary
Determination in the Federal Register.1
In addition to the Government of China
(GOC), the selected mandatory
respondents in this investigation are
Ningbo Zhongjiang High Strength Bolts
Co., Ltd. (Zhongjiang Bolts) and
Zhejiang Junyue Standard Part Co., Ltd.
(Junyue). In the Preliminary
Determination, and in accordance with
section 705(a)(1) of the Tariff Act of
1930, as amended (the Act), and 19 CFR
351.210(b)(4), Commerce aligned the
final countervailable duty (CVD)
determination with the final
antidumping duty (AD) determination.
The revised deadline for the final
determination of this investigation is
now February 7, 2020. On October 2,
1 See Carbon and Alloy Steel Threaded Rod from
the People’s Republic of China: Preliminary
Affirmative Countervailing Duty Determination and
Alignment of Final Determination with Final
Antidumping Duty Determination, 84 FR 36578
(July 29, 2019) (Preliminary Determination), and
accompanying Preliminary Decision Memorandum.
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8833
2019, Commerce issued its PostPreliminary Analysis.2
A summary of the events that
occurred since Commerce published the
Preliminary Determination, as well as a
full discussion of the issues raised by
parties for this final determination, may
be found in the Issues and Decision
Memorandum.3 The Issues and Decision
Memorandum is a public document and
is on file electronically via Enforcement
and Compliance’s Antidumping and
Countervailing Duty Centralized
Electronic Service System (ACCESS).
ACCESS is available to registered users
at https://access.trade.gov, and to all
parties in the Central Records Unit,
Room B8024 of the main Commerce
building. In addition, a complete
version of the Issues and Decision
Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/.
The signed and electronic versions of
the Issues and Decision Memorandum
are identical in content.
Period of Investigation
The period of investigation is January
1, 2018 through December 31, 2018.
Scope of the Investigation
The products covered by this
investigation are steel threaded rod from
China. For a full description of the
scope of the investigation, see Appendix
I.
Scope Comments
On July 22, 2019, we issued a
Preliminary Scope Memorandum.4 The
scope case briefs were due on August
28, 2019.5 We received no scope case
briefs from interested parties. Therefore,
Commerce has made no changes to the
scope of this investigation since the
Preliminary Determination.
Verification
As provided in section 782(i) of the
Act, in November 2019, Commerce
2 See Memorandum, ‘‘Decision Memorandum for
the Post-Preliminary Analysis in the Countervailing
Duty Investigation of Carbon and Alloy Steel
Threaded Rod from the People’s Republic of
China,’’ dated October 2, 2019 (Post-Preliminary
Analysis).
3 See Memorandum, ‘‘Issues and Decision
Memorandum for the Final Determination in the
Countervailing Duty Investigation of Carbon and
Alloy Steel Threaded Rod from the People’s
Republic of China,’’ dated concurrently with, and
hereby adopted by, this notice (Issues and Decision
Memorandum).
4 See Memorandum, ‘‘Carbon and Alloy Steel
Threaded Rod from India, Taiwan, Thailand, and
the People’s Republic of China: Scope Comments
Decision Memorandum for the Preliminary
Determinations,’’ dated July 22, 2019 (Preliminary
Scope Memorandum).
5 The scope case briefs were due 30 days after the
publication of the Preliminary Determination. See
Preliminary Scope Memorandum at 3.
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8834
Federal Register / Vol. 85, No. 32 / Tuesday, February 18, 2020 / Notices
verified the subsidy information
reported by Zhongjiang Bolts and
Junyue. We used standard verification
procedures, including an examination of
relevant accounting and production
records, and original source documents
provided by Junyue and Zhongjiang
Bolts.
Analysis of Subsidy Programs and
Comments Received
The subsidy programs under
investigation and the issues raised in
the case and rebuttal briefs by parties in
this investigation are discussed in the
Issues and Decision Memorandum. For
a list of the issues raised by parties, and
to which we responded in the Issues
and Decision Memorandum, see
Appendix II of this notice.
Methodology
Commerce conducted this
investigation in accordance with section
701 of the Act. For each of the subsidy
programs found countervailable,
Commerce determines that there is a
subsidy, i.e., a financial contribution by
an ‘‘authority’’ that gives rise to a
benefit to the recipient, and that the
subsidy is specific.6
Use of Adverse Facts Available
In making this final determination,
Commerce relied, in part, on facts
available and, because the GOC and
Junyue did not act to the best of their
ability in responding to Commerce’s
requests for information, we drew an
adverse inference where appropriate in
selecting from among the facts
otherwise available, pursuant to
sections 776(a) and (b) of the Act. For
further information, see the section
‘‘Use of Facts Otherwise Available and
Adverse Inferences’’ and Comments 1
through 3, 6, and 7 in the Issues and
Decision Memorandum.
lotter on DSKBCFDHB2PROD with NOTICES
Changes Since the Preliminary
Determination
Based on our analysis of our findings
at verification and the comments
received, we have made certain changes
to the countervailable subsidy rate
calculations. For discussion of these
changes, see the Issues and Decision
Memorandum.
All-Others Rate
In accordance with section
705(c)(5)(A)(i) of the Act, for companies
not individually examined, we apply an
all-others rate, which is normally
calculated by weighting the subsidy
6 See sections 771(5)(B) and (D) of the Act
regarding financial contribution; section 771(5)(E)
of the Act regarding benefit; and section 771(5A) of
the Act regarding specificity.
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rates of the mandatory respondents by
those companies’ exports of the subject
merchandise to the United States. Under
section 705(c)(5)(A)(i) of the Act, the allothers rate should exclude zero and de
minimis rates or any rates based entirely
on facts otherwise available pursuant to
section 776 of the Act.
Commerce calculated individual
estimated countervailable subsidy rates
for Junyue and Zhongjiang Bolts that are
not zero, de minimis, or based entirely
on facts otherwise available. Commerce
calculated the all-others rate using a
weighted-average of the estimated
subsidy rates calculated for the
examined respondents using each
company’s publicly ranged U.S. sales
quantities for the merchandise under
consideration.7
Continuation of Suspension of
Liquidation
We intend to disclose the calculations
performed to parties in this proceeding
within five days after public
announcement of the final
determination in the Federal Register,
in accordance with 19 CFR 351.224(b).
ITC Notification
As a result of our Preliminary
Determination and pursuant to section
703(d)(1)(B) and (d)(2) of the Act, we
instructed U.S. Customs and Border
Protection (CBP) to suspend liquidation
of all steel threaded rod from China, that
were entered, or withdrawn from
warehouse, for consumption on or after
July 29, 2019, the date of the publication
of the Preliminary Determination in the
Federal Register. In accordance with
section 703(d) of the Act, we instructed
CBP to discontinue the suspension of
liquidation for CVD purposes for subject
merchandise entered, or withdrawn
from warehouse, on or after November
26, 2019, but continue the suspension of
liquidation of all entries from July 29
through November 25, 2019.
Final Determination
If the U.S. International Trade
Commission (ITC) issues a final
Net
subsidy
affirmative injury determination, we
Company
rate
will issue a CVD order and will reinstate
(percent)
the suspension of liquidation under
section 706(a) of the Act and will
Ningbo Zhongjiang High
Strength Bolts Co., Ltd ...........
31.02 require a cash deposit of estimated
Zhejiang Junyue Standard Part
countervailable duties for such entries
Co., Ltd ...................................
66.81 of subject merchandise in the amounts
All Others ....................................
41.17 indicated above. If the ITC determines
that material injury, or threat of material
We determine the countervailable
injury, does not exist, this proceeding
subsidy rates to be:
will be terminated, and all cash deposits
will be refunded or canceled.
Disclosure
7 With two respondents under examination,
Commerce normally calculates (A) a weightedaverage of the estimated subsidy rates calculated for
the examined respondents; (B) a simple average of
the estimated subsidy rates calculated for the
examined respondents; and (C) a weighted-average
of the estimated subsidy rates calculated for the
examined respondents using each company’s
publicly-ranged U.S. sale quantities for the
merchandise under consideration. Commerce then
compares (B) and (C) to (A) and selects the rate
closest to (A) as the most appropriate rate for all
other producers and exporters. See, e.g., Ball
Bearings and Parts Thereof from France, Germany,
Italy, Japan, and the United Kingdom: Final Results
of Antidumping Duty Administrative Reviews, Final
Results of Changed-Circumstances Review, and
Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010). As complete publicly ranged
sales data was available, Commerce based the allothers rate on the publicly ranged sales data of the
mandatory respondents. In addition, using the same
methodology, Commerce calculated an all-others
export subsidy rate of 16.52 percent, an all-others
subsidy rate for the provision of steel bar at less
than adequate remuneration (LTAR) of 12.75
percent, and an all-others subsidy rate for the
provision of wire rod at LTAR of 9.75 percent. For
a complete analysis of the data, see the All-Others’
Rate Calculation Memorandum, dated concurrently
with this notice.
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In accordance with section 705(d) of
the Act, we will notify the ITC of our
determination. Because the final
determination in this proceeding is
affirmative, in accordance with section
705(b) of the Act, the ITC will make its
final determination as to whether the
domestic industry in the United States
is materially injured, or threatened with
material injury, by reason of imports of
steel threaded rod from China no later
than 45 days after our final
determination. In addition, we are
making available to the ITC all nonprivileged and non-proprietary
information related to this investigation.
We will allow the ITC access to all
privileged and business proprietary
information in our files, provided the
ITC confirms that it will not disclose
such information, either publicly or
under an administrative protective order
(APO), without the written consent of
the Assistant Secretary for Enforcement
and Compliance.
Notification Regarding APO
In the event that the ITC issues a final
negative injury determination, this
notice will serve as the only reminder
to the parties subject to APO of their
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Federal Register / Vol. 85, No. 32 / Tuesday, February 18, 2020 / Notices
responsibility concerning the
disposition of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). Timely
written notification of return or
destruction of APO materials or
conversion to judicial protective order is
hereby requested. Failure to comply
with the regulations and terms of an
APO is a sanctionable violation.
Notification to Interested Parties
This determination is issued and
published in accordance with sections
705(d) and 77(i)(1) of the Act, and 19
CFR 351.210(c).
Dated: February 7, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and
Compliance.
lotter on DSKBCFDHB2PROD with NOTICES
Appendix I
Scope of the Investigation
The merchandise covered by the scope of
this investigation is carbon and alloy steel
threaded rod. Steel threaded rod is certain
threaded rod, bar, or studs, of carbon or alloy
steel, having a solid, circular cross section of
any diameter, in any straight length. Steel
threaded rod is normally drawn, cold-rolled,
threaded, and straightened, or it may be hotrolled. In addition, the steel threaded rod,
bar, or studs subject to this investigation are
non-headed and threaded along greater than
25 percent of their total actual length. A
variety of finishes or coatings, such as plain
oil finish as a temporary rust protectant, zinc
coating (i.e., galvanized, whether by
electroplating or hot-dipping), paint, and
other similar finishes and coatings, may be
applied to the merchandise.
Steel threaded rod is normally produced to
American Society for Testing and Materials
(ASTM) specifications ASTM A36, ASTM
A193 B7/B7m, ASTM A193 B16, ASTM
A307, ASTM A320 L7/L7M, ASTM A320
L43, ASTM A354 BC and BD, ASTM A449,
ASTM F1554–36, ASTM F1554–55, ASTM
F1554 Grade 105, American Society of
Mechanical Engineers (ASME) specification
ASME B18.31.3, and American Petroleum
Institute (API) specification API 20E. All
steel threaded rod meeting the physical
description set forth above is covered by the
scope of this investigation, whether or not
produced according to a particular standard.
Subject merchandise includes material
matching the above description that has been
finished, assembled, or packaged in a third
country, including by cutting, chamfering,
coating, or painting the threaded rod, by
attaching the threaded rod to, or packaging it
with, another product, or any other finishing,
assembly, or packaging operation that would
not otherwise remove the merchandise from
the scope of the investigation if performed in
the country of manufacture of the threaded
rod.
Carbon and alloy steel threaded rod are
also included in the scope of this
investigation whether or not imported
attached to, or in conjunction with, other
parts and accessories such as nuts and
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washers. If carbon and alloy steel threaded
rod are imported attached to, or in
conjunction with, such non-subject
merchandise, only the threaded rod is
included in the scope.
Excluded from the scope of this
investigation are: (1) Threaded rod, bar, or
studs which are threaded only on one or both
ends and the threading covers 25 percent or
less of the total actual length; and (2)
stainless steel threaded rod, defined as steel
threaded rod containing, by weight, 1.2
percent or less of carbon and 10.5 percent or
more of chromium, with our without other
elements.
Excluded from the scope of the
antidumping investigation on steel threaded
rod from the People’s Republic of China is
any merchandise covered by the existing
antidumping order on Certain Steel Threaded
Rod from the People’s Republic of China. See
Certain Steel Threaded Rod from the People’s
Republic of China: Notice of Antidumping
Duty Order, 74 FR 17154 (April 14, 2009).
Specifically excluded from the scope of
this investigation is threaded rod that is
imported as part of a package of hardware in
conjunction with a ready-to-assemble piece
of furniture. Steel threaded rod is currently
classifiable under subheadings 7318.15.5051,
7318.15.5056, and 7318.15.5090 of the
Harmonized Tariff Schedule of the United
States (HTSUS). Subject merchandise may
also enter under subheading 7318.15.2095
and 7318.19.0000 of the HTSUS. The HTSUS
subheadings are provided for convenience
and U.S. Customs purposes only. The written
description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Final
Decision Memorandum
I. Summary
II. Background
III. Scope of the Investigation
IV. Use of Facts Otherwise Available and
Adverse Inferences
V. Subsidies Valuation Information
VI. Analysis of Programs
VII. Analysis of Comments
Comment 1: Whether the Provision of Steel
Bar and Wire Rod at Less Than Adequate
Remuneration (LTAR) Is Specific
Comment 2: Whether the Chinese Market
for Steel Bar and Wire Rod Is Distorted
Comment 3: Whether Certain Chinese
Producers of Steel Bar and Wire Rod Are
Authorities
Comment 4: Whether To Revise the Steel
Bar and Wire Rod Benchmarks
Comment 5: Whether To Revise the Ocean
Freight Benchmark
Comment 6: Whether To Countervail
Export Buyer’s Credit
Comment 7: Whether To Apply Adverse
Facts Available (AFA) to Junyue
Comment 8: Whether To Countervail
Electricity Junyue Purchased from a
Private Supplier
Comment 9: Whether To Treat One of
Zhongjiang Bolt’s Self-Reported
Subsidies as an Export Subsidy.
VIII. Recommendation
[FR Doc. 2020–03047 Filed 2–14–20; 8:45 am]
BILLING CODE 3510–DS–P
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8835
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–120]
Certain Vertical Shaft Engines Between
223cc and 999cc, and Parts Thereof
From the People’s Republic of China:
Initiation of Countervailing Duty
Investigation
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Applicable February 4, 2020.
FOR FURTHER INFORMATION CONTACT:
Andrew Huston, AD/CVD Operations,
Office VII, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–4261.
SUPPLEMENTARY INFORMATION:
AGENCY:
The Petition
On January 15, 2020, the U.S.
Department of Commerce (Commerce)
received a countervailing duty (CVD)
petition concerning imports of certain
vertical shaft engines between 223cc
and 999cc, and parts thereof (vertical
shaft engines) from the People’s
Republic of China (China) filed in
proper form on behalf of the Coalition
of American Vertical Engine Producers
and its individual members (the
petitioner or the Coalition).1 The
Petition was accompanied by an
antidumping duty (AD) petition
concerning imports of vertical shaft
engines from China.
On January 17, 2020, Commerce
requested supplemental information
pertaining to certain aspects of the
Petition,2 to which the petitioner filed
its response on January 22, 2020.3 On
January 27, 2020, Commerce had a
phone conversation with the petitioner
requesting that it address certain
1 See Petitioner’s Letter, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the
People’s Republic of China,’’ dated January 15, 2020
(the Petition).
2 See Commerce’s Letter, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Imports of Certain Vertical Shaft Engines
Between 223cc and 999cc, and Parts Thereof from
the People’s Republic of China: Supplemental
Questions,’’ dated January 17, 2020.
3 See Petitioner’s Letter, ‘‘Response to
Supplemental Questions Concerning Volume I of
the Petitions for the Imposition of Antidumping and
Countervailing Duties Pursuant to Sections 701 and
731 of the Tariff Act of 1930, As Amended on
Certain Vertical Shaft Engines Between 223cc and
999cc, and Parts Thereof from the People’s Republic
of China,’’ dated January 22, 2020 (General Issues
Supplement).
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]]>Agencies
[Federal Register Volume 85, Number 32 (Tuesday, February 18, 2020)]
[Notices]
[Pages 8833-8835]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-03047]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-105]
Carbon and Alloy Steel Threaded Rod From the People's Republic of
China: Final Affirmative Countervailing Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that
countervailable subsidies are being provided to producers and exporters
of carbon and alloy steel threaded rod (steel threaded rod) from the
People's Republic of China (China).
DATES: Applicable February 18, 2020.
FOR FURTHER INFORMATION CONTACT: Thomas Schauer or Allison Hollander,
AD/CVD Operations, Office I, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-0410 or (202)
482-2805, respectively.
SUPPLEMENTARY INFORMATION:
Background
On July 29, 2019, Commerce published the Preliminary Determination
in the Federal Register.\1\ In addition to the Government of China
(GOC), the selected mandatory respondents in this investigation are
Ningbo Zhongjiang High Strength Bolts Co., Ltd. (Zhongjiang Bolts) and
Zhejiang Junyue Standard Part Co., Ltd. (Junyue). In the Preliminary
Determination, and in accordance with section 705(a)(1) of the Tariff
Act of 1930, as amended (the Act), and 19 CFR 351.210(b)(4), Commerce
aligned the final countervailable duty (CVD) determination with the
final antidumping duty (AD) determination. The revised deadline for the
final determination of this investigation is now February 7, 2020. On
October 2, 2019, Commerce issued its Post-Preliminary Analysis.\2\
---------------------------------------------------------------------------
\1\ See Carbon and Alloy Steel Threaded Rod from the People's
Republic of China: Preliminary Affirmative Countervailing Duty
Determination and Alignment of Final Determination with Final
Antidumping Duty Determination, 84 FR 36578 (July 29, 2019)
(Preliminary Determination), and accompanying Preliminary Decision
Memorandum.
\2\ See Memorandum, ``Decision Memorandum for the Post-
Preliminary Analysis in the Countervailing Duty Investigation of
Carbon and Alloy Steel Threaded Rod from the People's Republic of
China,'' dated October 2, 2019 (Post-Preliminary Analysis).
---------------------------------------------------------------------------
A summary of the events that occurred since Commerce published the
Preliminary Determination, as well as a full discussion of the issues
raised by parties for this final determination, may be found in the
Issues and Decision Memorandum.\3\ The Issues and Decision Memorandum
is a public document and is on file electronically via Enforcement and
Compliance's Antidumping and Countervailing Duty Centralized Electronic
Service System (ACCESS). ACCESS is available to registered users at
https://access.trade.gov, and to all parties in the Central Records
Unit, Room B8024 of the main Commerce building. In addition, a complete
version of the Issues and Decision Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/. The signed and electronic
versions of the Issues and Decision Memorandum are identical in
content.
---------------------------------------------------------------------------
\3\ See Memorandum, ``Issues and Decision Memorandum for the
Final Determination in the Countervailing Duty Investigation of
Carbon and Alloy Steel Threaded Rod from the People's Republic of
China,'' dated concurrently with, and hereby adopted by, this notice
(Issues and Decision Memorandum).
---------------------------------------------------------------------------
Period of Investigation
The period of investigation is January 1, 2018 through December 31,
2018.
Scope of the Investigation
The products covered by this investigation are steel threaded rod
from China. For a full description of the scope of the investigation,
see Appendix I.
Scope Comments
On July 22, 2019, we issued a Preliminary Scope Memorandum.\4\ The
scope case briefs were due on August 28, 2019.\5\ We received no scope
case briefs from interested parties. Therefore, Commerce has made no
changes to the scope of this investigation since the Preliminary
Determination.
---------------------------------------------------------------------------
\4\ See Memorandum, ``Carbon and Alloy Steel Threaded Rod from
India, Taiwan, Thailand, and the People's Republic of China: Scope
Comments Decision Memorandum for the Preliminary Determinations,''
dated July 22, 2019 (Preliminary Scope Memorandum).
\5\ The scope case briefs were due 30 days after the publication
of the Preliminary Determination. See Preliminary Scope Memorandum
at 3.
---------------------------------------------------------------------------
Verification
As provided in section 782(i) of the Act, in November 2019,
Commerce
[[Page 8834]]
verified the subsidy information reported by Zhongjiang Bolts and
Junyue. We used standard verification procedures, including an
examination of relevant accounting and production records, and original
source documents provided by Junyue and Zhongjiang Bolts.
Analysis of Subsidy Programs and Comments Received
The subsidy programs under investigation and the issues raised in
the case and rebuttal briefs by parties in this investigation are
discussed in the Issues and Decision Memorandum. For a list of the
issues raised by parties, and to which we responded in the Issues and
Decision Memorandum, see Appendix II of this notice.
Methodology
Commerce conducted this investigation in accordance with section
701 of the Act. For each of the subsidy programs found countervailable,
Commerce determines that there is a subsidy, i.e., a financial
contribution by an ``authority'' that gives rise to a benefit to the
recipient, and that the subsidy is specific.\6\
---------------------------------------------------------------------------
\6\ See sections 771(5)(B) and (D) of the Act regarding
financial contribution; section 771(5)(E) of the Act regarding
benefit; and section 771(5A) of the Act regarding specificity.
---------------------------------------------------------------------------
Use of Adverse Facts Available
In making this final determination, Commerce relied, in part, on
facts available and, because the GOC and Junyue did not act to the best
of their ability in responding to Commerce's requests for information,
we drew an adverse inference where appropriate in selecting from among
the facts otherwise available, pursuant to sections 776(a) and (b) of
the Act. For further information, see the section ``Use of Facts
Otherwise Available and Adverse Inferences'' and Comments 1 through 3,
6, and 7 in the Issues and Decision Memorandum.
Changes Since the Preliminary Determination
Based on our analysis of our findings at verification and the
comments received, we have made certain changes to the countervailable
subsidy rate calculations. For discussion of these changes, see the
Issues and Decision Memorandum.
All-Others Rate
In accordance with section 705(c)(5)(A)(i) of the Act, for
companies not individually examined, we apply an all-others rate, which
is normally calculated by weighting the subsidy rates of the mandatory
respondents by those companies' exports of the subject merchandise to
the United States. Under section 705(c)(5)(A)(i) of the Act, the all-
others rate should exclude zero and de minimis rates or any rates based
entirely on facts otherwise available pursuant to section 776 of the
Act.
Commerce calculated individual estimated countervailable subsidy
rates for Junyue and Zhongjiang Bolts that are not zero, de minimis, or
based entirely on facts otherwise available. Commerce calculated the
all-others rate using a weighted-average of the estimated subsidy rates
calculated for the examined respondents using each company's publicly
ranged U.S. sales quantities for the merchandise under
consideration.\7\
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\7\ With two respondents under examination, Commerce normally
calculates (A) a weighted-average of the estimated subsidy rates
calculated for the examined respondents; (B) a simple average of the
estimated subsidy rates calculated for the examined respondents; and
(C) a weighted-average of the estimated subsidy rates calculated for
the examined respondents using each company's publicly-ranged U.S.
sale quantities for the merchandise under consideration. Commerce
then compares (B) and (C) to (A) and selects the rate closest to (A)
as the most appropriate rate for all other producers and exporters.
See, e.g., Ball Bearings and Parts Thereof from France, Germany,
Italy, Japan, and the United Kingdom: Final Results of Antidumping
Duty Administrative Reviews, Final Results of Changed-Circumstances
Review, and Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010). As complete publicly ranged sales data was
available, Commerce based the all-others rate on the publicly ranged
sales data of the mandatory respondents. In addition, using the same
methodology, Commerce calculated an all-others export subsidy rate
of 16.52 percent, an all-others subsidy rate for the provision of
steel bar at less than adequate remuneration (LTAR) of 12.75
percent, and an all-others subsidy rate for the provision of wire
rod at LTAR of 9.75 percent. For a complete analysis of the data,
see the All-Others' Rate Calculation Memorandum, dated concurrently
with this notice.
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Final Determination
------------------------------------------------------------------------
Net
subsidy
Company rate
(percent)
------------------------------------------------------------------------
Ningbo Zhongjiang High Strength Bolts Co., Ltd.............. 31.02
Zhejiang Junyue Standard Part Co., Ltd...................... 66.81
All Others.................................................. 41.17
------------------------------------------------------------------------
We determine the countervailable subsidy rates to be:
Disclosure
We intend to disclose the calculations performed to parties in this
proceeding within five days after public announcement of the final
determination in the Federal Register, in accordance with 19 CFR
351.224(b).
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination and pursuant to
section 703(d)(1)(B) and (d)(2) of the Act, we instructed U.S. Customs
and Border Protection (CBP) to suspend liquidation of all steel
threaded rod from China, that were entered, or withdrawn from
warehouse, for consumption on or after July 29, 2019, the date of the
publication of the Preliminary Determination in the Federal Register.
In accordance with section 703(d) of the Act, we instructed CBP to
discontinue the suspension of liquidation for CVD purposes for subject
merchandise entered, or withdrawn from warehouse, on or after November
26, 2019, but continue the suspension of liquidation of all entries
from July 29 through November 25, 2019.
If the U.S. International Trade Commission (ITC) issues a final
affirmative injury determination, we will issue a CVD order and will
reinstate the suspension of liquidation under section 706(a) of the Act
and will require a cash deposit of estimated countervailable duties for
such entries of subject merchandise in the amounts indicated above. If
the ITC determines that material injury, or threat of material injury,
does not exist, this proceeding will be terminated, and all cash
deposits will be refunded or canceled.
ITC Notification
In accordance with section 705(d) of the Act, we will notify the
ITC of our determination. Because the final determination in this
proceeding is affirmative, in accordance with section 705(b) of the
Act, the ITC will make its final determination as to whether the
domestic industry in the United States is materially injured, or
threatened with material injury, by reason of imports of steel threaded
rod from China no later than 45 days after our final determination. In
addition, we are making available to the ITC all non-privileged and
non-proprietary information related to this investigation. We will
allow the ITC access to all privileged and business proprietary
information in our files, provided the ITC confirms that it will not
disclose such information, either publicly or under an administrative
protective order (APO), without the written consent of the Assistant
Secretary for Enforcement and Compliance.
Notification Regarding APO
In the event that the ITC issues a final negative injury
determination, this notice will serve as the only reminder to the
parties subject to APO of their
[[Page 8835]]
responsibility concerning the disposition of proprietary information
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely
written notification of return or destruction of APO materials or
conversion to judicial protective order is hereby requested. Failure to
comply with the regulations and terms of an APO is a sanctionable
violation.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 705(d) and 77(i)(1) of the Act, and 19 CFR 351.210(c).
Dated: February 7, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by the scope of this investigation is
carbon and alloy steel threaded rod. Steel threaded rod is certain
threaded rod, bar, or studs, of carbon or alloy steel, having a
solid, circular cross section of any diameter, in any straight
length. Steel threaded rod is normally drawn, cold-rolled, threaded,
and straightened, or it may be hot-rolled. In addition, the steel
threaded rod, bar, or studs subject to this investigation are non-
headed and threaded along greater than 25 percent of their total
actual length. A variety of finishes or coatings, such as plain oil
finish as a temporary rust protectant, zinc coating (i.e.,
galvanized, whether by electroplating or hot-dipping), paint, and
other similar finishes and coatings, may be applied to the
merchandise.
Steel threaded rod is normally produced to American Society for
Testing and Materials (ASTM) specifications ASTM A36, ASTM A193 B7/
B7m, ASTM A193 B16, ASTM A307, ASTM A320 L7/L7M, ASTM A320 L43, ASTM
A354 BC and BD, ASTM A449, ASTM F1554-36, ASTM F1554-55, ASTM F1554
Grade 105, American Society of Mechanical Engineers (ASME)
specification ASME B18.31.3, and American Petroleum Institute (API)
specification API 20E. All steel threaded rod meeting the physical
description set forth above is covered by the scope of this
investigation, whether or not produced according to a particular
standard.
Subject merchandise includes material matching the above
description that has been finished, assembled, or packaged in a
third country, including by cutting, chamfering, coating, or
painting the threaded rod, by attaching the threaded rod to, or
packaging it with, another product, or any other finishing,
assembly, or packaging operation that would not otherwise remove the
merchandise from the scope of the investigation if performed in the
country of manufacture of the threaded rod.
Carbon and alloy steel threaded rod are also included in the
scope of this investigation whether or not imported attached to, or
in conjunction with, other parts and accessories such as nuts and
washers. If carbon and alloy steel threaded rod are imported
attached to, or in conjunction with, such non-subject merchandise,
only the threaded rod is included in the scope.
Excluded from the scope of this investigation are: (1) Threaded
rod, bar, or studs which are threaded only on one or both ends and
the threading covers 25 percent or less of the total actual length;
and (2) stainless steel threaded rod, defined as steel threaded rod
containing, by weight, 1.2 percent or less of carbon and 10.5
percent or more of chromium, with our without other elements.
Excluded from the scope of the antidumping investigation on
steel threaded rod from the People's Republic of China is any
merchandise covered by the existing antidumping order on Certain
Steel Threaded Rod from the People's Republic of China. See Certain
Steel Threaded Rod from the People's Republic of China: Notice of
Antidumping Duty Order, 74 FR 17154 (April 14, 2009).
Specifically excluded from the scope of this investigation is
threaded rod that is imported as part of a package of hardware in
conjunction with a ready-to-assemble piece of furniture. Steel
threaded rod is currently classifiable under subheadings
7318.15.5051, 7318.15.5056, and 7318.15.5090 of the Harmonized
Tariff Schedule of the United States (HTSUS). Subject merchandise
may also enter under subheading 7318.15.2095 and 7318.19.0000 of the
HTSUS. The HTSUS subheadings are provided for convenience and U.S.
Customs purposes only. The written description of the scope is
dispositive.
Appendix II
List of Topics Discussed in the Final Decision Memorandum
I. Summary
II. Background
III. Scope of the Investigation
IV. Use of Facts Otherwise Available and Adverse Inferences
V. Subsidies Valuation Information
VI. Analysis of Programs
VII. Analysis of Comments
Comment 1: Whether the Provision of Steel Bar and Wire Rod at
Less Than Adequate Remuneration (LTAR) Is Specific
Comment 2: Whether the Chinese Market for Steel Bar and Wire Rod
Is Distorted
Comment 3: Whether Certain Chinese Producers of Steel Bar and
Wire Rod Are Authorities
Comment 4: Whether To Revise the Steel Bar and Wire Rod
Benchmarks
Comment 5: Whether To Revise the Ocean Freight Benchmark
Comment 6: Whether To Countervail Export Buyer's Credit
Comment 7: Whether To Apply Adverse Facts Available (AFA) to
Junyue
Comment 8: Whether To Countervail Electricity Junyue Purchased
from a Private Supplier
Comment 9: Whether To Treat One of Zhongjiang Bolt's Self-
Reported Subsidies as an Export Subsidy.
VIII. Recommendation
[FR Doc. 2020-03047 Filed 2-14-20; 8:45 am]
BILLING CODE 3510-DS-P
