Utility Scale Wind Towers From Indonesia: Final Affirmative Countervailing Duty Determination and Final Affirmative Determination of Critical Circumstances, 40241-40243 [2020-14529]
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Federal Register / Vol. 85, No. 129 / Monday, July 6, 2020 / Notices
under subheading 7308.20.0020 or
8502.31.0000. Wind towers of iron or steel
are classified under HTSUS 7308.20.0020
when imported separately as a tower or tower
section(s). Wind towers may be classified
under HTSUS 8502.31.0000 when imported
as combination goods with a wind turbine
(i.e., accompanying nacelles and/or rotor
blades). While the HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
scope of the investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and
Decision Memorandum
I. Summary
II. Background
III. Scope of the Investigation
IV. Margin Calculations
V. Final Negative Determination of Critical
Circumstances
VI. Adjustment for Countervailed Export
Subsidies
VII. Discussion of the Issues
Comment 1: Steel Plate Costs Smoothing
Comment 2: Use of Amended Financial
Statements
Comment 3: Rejection of New Information
Comment 4: Average-to-Transaction
Comparison Method
Comment 5: Non-Verification of Marmen
Group’s Data
Comment 6: Date of Sale
Comment 7: The Marmen Group’s Sales of
Completed Wind Towers or Wind Tower
Sections
Comment 8: Adverse Facts Available
(AFA)
VIII. Recommendation
[FR Doc. 2020–14530 Filed 7–2–20; 8:45 am]
BILLING CODE 3510–DS–P
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–1959 or (202) 482–1413,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On December 13, 2019, Commerce
published the Preliminary
Determination of the countervailing
duty (CVD) investigation, which aligned
the final determination in this CVD
investigation with the final
determination in the companion
antidumping duty (AD) investigation of
utility scale wind tower from
Indonesia.1
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, are
discussed in the Issues and Decision
Memorandum.2 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. 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.
Scope of the Investigation
The product covered by this
investigation is wind towers from
Indonesia. For a complete description of
the scope of the investigation, see
Appendix I.
DEPARTMENT OF COMMERCE
International Trade Administration
[C–560–834]
Utility Scale Wind Towers From
Indonesia: Final Affirmative
Countervailing Duty Determination and
Final Affirmative Determination of
Critical Circumstances
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
utility scale wind towers (wind towers)
from Indonesia. The period of
investigation is January 1, 2018 through
December 31, 2018.
DATES: Applicable July 6, 2020.
FOR FURTHER INFORMATION CONTACT: Alex
Wood or Melissa Kinter, AD/CVD
Operations, Office II, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
khammond on DSKJM1Z7X2PROD with NOTICES
AGENCY:
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Scope Comments
In accordance with the preamble to
Commerce’s regulations,3 the Initiation
Notice set aside a period of time for
parties to raise issues regarding product
coverage (i.e., scope).4 No interested
party commented on the scope of the
1 See Utility Scale Wind Towers from Indonesia:
Preliminary Affirmative Countervailing Duty
Determination and Alignment of Final
Determination with Final Antidumping Duty
Determination, 84 FR 68109 (December 13, 2019)
(Preliminary Determination) and accompanying
Preliminary Decision Memorandum (PDM).
2 See Memorandum, ‘‘Issues and Decision
Memorandum for the Final Determination in the
Countervailing Duty Investigation of Utility Scale
Wind Towers from Indonesia,’’ dated concurrently
with, and hereby adopted by this notice (Issues and
Decision Memorandum).
3 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997).
4 See Utility Scale Wind Towers from Canada,
Indonesia, and the Socialist Republic of Vietnam:
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Fmt 4703
Sfmt 4703
40241
investigation as it appeared in the
Initiation Notice. Therefore, Commerce
has made no changes to the scope of this
investigation since the Preliminary
Determination.
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. A
list of the issues that parties raised is
attached to this notice as Appendix II.
Methodology
Commerce conducted this
investigation in accordance with section
701 of the Tariff Act of 1930, as
amended (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.5 For a
full description of the methodology
underlying our final determination, see
the Issues and Decision Memorandum.
Verification and Use of Facts Otherwise
Available
Commerce normally verifies
information relied upon in making its
final determination, as provided in
section 782(i) of the Act. In March 2020,
we conducted verification of the
information submitted by the
Government of Indonesia and the
mandatory respondent, PT Kenertec
Power System (Kenertec), for use in
Commerce’s final determination. We
used standard verification procedures,
including an examination of relevant
accounting records and original source
documents provided by the
respondents.6 For the reasons discussed
in the Issues and Decision
Memorandum, we concluded
verification early.
Pursuant to section 776(a)(2)(D) of the
Act, in situations where information has
been provided but the information has
cannot be verified in accordance with
Initiation of Countervailing Duty Investigations, 84
FR 38216 (August 6, 2019) (Initiation Notice).
5 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.
6 For discussion of our verification findings, see
the following memoranda: Memorandum,
‘‘Verification of the Questionnaire Responses of the
Government of Indonesia,’’ dated April 1, 2020 and
Memorandum, ‘‘Verification of PT Kenertec Power
System’s Questionnaire Responses,’’ dated March
30, 2020; see also Memorandum, ‘‘Antidumping
and Countervailing Duty Investigations of Utility
Scale Wind Towers from Indonesia: Early
Conclusion of Verifications,’’ dated March 27, 2020.
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Federal Register / Vol. 85, No. 129 / Monday, July 6, 2020 / Notices
section 782(i) of the Act, Commerce may
use ‘‘facts otherwise available’’ on the
record in reaching the applicable
determination. Accordingly, where
Commerce was unable to verify certain
information due to the early conclusion
of verification, we have relied on the
information submitted on the record
that we used in making the Preliminary
Determination, as facts otherwise
available in making our final
determination.
Further, pursuant to section 776(a)(1)
of the Act, where necessary information
is not available on the record,
Commerce may rely on facts otherwise
available on the record in reaching the
applicable determination. Accordingly,
in certain circumstances in this final
determination where necessary
information is missing from the record,
we have relied on the information
submitted to the record as facts
otherwise available, pursuant to section
776(a)(1) of the Act.
Changes Since the Preliminary
Determination
Based on our review and analysis of
the comments received from parties and
our verification findings, we made
certain changes to the subsidy rate
calculations for Kenertec. For a
discussion of these changes, see the
Issues and Decision Memorandum.
Final Affirmative Determination of
Critical Circumstances
In accordance with section
703(e)(1)(B) of the Act, Commerce
preliminarily determined that critical
circumstances existed for all imports of
utility scale wind towers from
Indonesia.7 For this final determination,
we continue to find that critical
circumstances exist with respect to all
imports of wind towers from Indonesia.
For a full description of the
methodology and results of our analysis,
see the Issues and Decision
Memorandum.
khammond on DSKJM1Z7X2PROD with NOTICES
All-Others Rate
In accordance with section
705(c)(5)(A) of the Act, we continue to
assign the countervailable subsidy rate
calculated for Kenertec as the all-others
rate applicable to all exporters and/or
producers not individually examined.8
Final Determination
In accordance with section
705(c)(1)(B)(i)(I) of the Act, we
7 See Utility Scale Wind Towers from Canada,
Indonesia, and the Socialist Republic of Vietnam;
Countervailing Duty Investigations: Preliminary
Determinations of Critical Circumstances, 85 FR
7724 (February 11, 2020).
8 See Preliminary Determination.
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04:41 Jul 03, 2020
Jkt 250001
material injury, by reason of imports of
wind towers from Indonesia no later
than 45 days after our final
determination. If the ITC determines
that material injury or threat of material
Percent
injury does not exist, the proceeding
Producer/exporter
Ad Valorem will be terminated, and all cash deposits
PT Kenertec Power System .....
5.90 will be refunded. If the ITC determines
All Others ..................................
5.90 that material injury or threat of material
injury does exist, Commerce will issue
a CVD order directing CBP to assess,
Disclosure
upon further instruction by Commerce,
We intend to disclose to interested
countervailing duties on all imports of
parties the calculations and analysis
the subject merchandise entered, or
performed in this final determination
withdrawn from warehouse, for
within five days of the date of
consumption on or after the effective
publication of this notice in accordance date of the suspension of liquidation, as
with 19 CFR 351.224(b).
discussed above in the ‘‘Continuation of
Suspension of Liquidation’’ section.
Continuation of Suspension of
Liquidation
Notification Regarding Administrative
As a result of our Preliminary
Protective Orders
Determination, and pursuant to sections
In the event the ITC issues a final
703(d)(1)(B), (d)(2), and (e)(2)(A) of the
negative injury determination, this
Act, Commerce instructed U.S. Customs notice will serve as the only reminder
and Border Protection (CBP) to suspend to parties subject to an administrative
liquidation of all entries of subject
protective order (APO) of their
merchandise entered, or withdrawn
responsibility concerning the
from warehouse, for consumption on or destruction of proprietary information
after September 14, 2019, which is 90
disclosed under APO in accordance
days prior to the publication of the
with 19 CFR 351.305(a)(3). Timely
Preliminary Determination in the
written notification of the return or
Federal Register. In accordance with
destruction of APO materials or
section 703(d) of the Act, we instructed
conversion to judicial protective order is
CBP to discontinue the suspension of
hereby requested. Failure to comply
liquidation for CVD purposes for subject with the regulations and terms of an
merchandise entered, or withdrawn
APO is a violation subject to sanction.
from warehouse, on or after April 11,
Notification to Interested Parties
2020, but continue the suspension of
liquidation of all entries from
This determination is issued and
September 14, 2019 through April 10,
published pursuant to sections 705(d)
2020.
and 777(i) of the Act and 19 CFR
If the U.S. International Trade
351.210(c).
Commission (ITC) issues a final
Dated: June 29, 2020.
affirmative injury determination, we
Jeffrey I. Kessler,
will issue a CVD order, reinstate the
suspension of liquidation under section Assistant Secretary for Enforcement and
Compliance.
706(a) of the Act, and require a cash
deposit of estimated countervailing
Appendix I
duties for such entries of subject
Scope of the Investigation
merchandise in the amounts indicated
The merchandise covered by this
above. If the ITC determines that
investigation
consists of certain wind towers,
material injury, or threat of material
whether or not tapered, and sections thereof.
injury, does not exist, this proceeding
Certain wind towers support the nacelle and
will be terminated, and all estimated
rotor blades in a wind turbine with a
duties deposited or securities posted as
minimum rated electrical power generation
a result of the suspension of liquidation capacity in excess of 100 kilowatts and with
will be refunded or canceled.
a minimum height of 50 meters measured
calculated an individual estimated
subsidy rate for Kenertec. We determine
that the following total estimated net
countervailable subsidy rates exist:
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
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Fmt 4703
Sfmt 4703
from the base of the tower to the bottom of
the nacelle (i.e., where the top of the tower
and nacelle are joined) when fully
assembled.
A wind tower section consists of, at a
minimum, multiple steel plates rolled into
cylindrical or conical shapes and welded
together (or otherwise attached) to form a
steel shell, regardless of coating, end-finish,
painting, treatment, or method of
manufacture, and with or without flanges,
doors, or internal or external components
E:\FR\FM\06JYN1.SGM
06JYN1
Federal Register / Vol. 85, No. 129 / Monday, July 6, 2020 / Notices
(e.g., flooring/decking, ladders, lifts,
electrical buss boxes, electrical cabling,
conduit, cable harness for nacelle generator,
interior lighting, tool and storage lockers)
attached to the wind tower section. Several
wind tower sections are normally required to
form a completed wind tower.
Wind towers and sections thereof are
included within the scope whether or not
they are joined with non-subject
merchandise, such as nacelles or rotor
blades, and whether or not they have internal
or external components attached to the
subject merchandise.
Specifically excluded from the scope are
nacelles and rotor blades, regardless of
whether they are attached to the wind tower.
Also excluded are any internal or external
components which are not attached to the
wind towers or sections thereof, unless those
components are shipped with the tower
sections.
Merchandise covered by this investigation
is currently classified in the Harmonized
Tariff Schedule of the United States (HTSUS)
under subheading 7308.20.0020 or
8502.31.0000. Wind towers of iron or steel
are classified under HTSUS 7308.20.0020
when imported separately as a tower or tower
section(s). Wind towers may be classified
under HTSUS 8502.31.0000 when imported
as combination goods with a wind turbine
(i.e., accompanying nacelles and/or rotor
blades). While the HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
scope of the investigation is dispositive.
khammond on DSKJM1Z7X2PROD with NOTICES
[FR Doc. 2020–14529 Filed 7–2–20; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–580–902]
Utility Scale Wind Towers from the
Republic of Korea: Final Determination
of Sales at Less Than Fair Value and
Final Affirmative Determination of
Critical Circumstances
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) determines that imports of
utility scale wind towers (wind towers)
from the Republic of Korea (Korea) are
being, or are likely to be, sold in the
United States at less than fair value
(LTFV) for the period of investigation
July 1, 2018 through June 30, 2019.
AGENCY:
DATES:
Applicable July 6, 2020.
FOR FURTHER INFORMATION CONTACT:
Appendix II
List of Topics Discussed in the Issues and
Decision Memorandum
I. Summary
II. Background
III. Scope
IV. Scope Comments
V. Final Determination of Critical
Circumstances
VI. Use of Facts Otherwise Available
VII. Subsidies Valuation Information
VIII. Analysis of Programs
IX. Analysis of Comments
Comment 1: Whether the Government of
Indonesia (GOI) Entrusted or Directed PT
Krakatau POSCO (Krakatau POSCO) to
Provide a Financial Contribution to PT
Kenertec Power System (Kenertec)
Comment 2: Whether the Benchmark
Information for the Provision of cut-tolength (CTL) Plate for Less Than
Adequate Renumeration (LTAR) is
Accurate
Comment 3: Whether the GOI Provided
Electricity for LTAR
Comment 4: Whether Commerce’s
Preliminary Critical Circumstances
Determination Was Correct
Comment 5: Whether the Exemption from
Import Income Tax Withholding Program
is Specific
Comment 6: Whether Commerce Should
Extend the Final Determination to
Investigate the Upstream Subsidy
Allegation
Comment 7: Whether Commerce
Sufficiently Verified the GOI’s
Questionnaire Responses with Respect to
VerDate Sep<11>2014
PT Krakatau Steel (Persero) TBK
(Krakatau Steel) and Krakatau POSCO
X. Recommendation
04:41 Jul 03, 2020
Jkt 250001
Adam Simons or David Goldberger, AD/
CVD Operations, Office II, Enforcement
and Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–6172 or (202) 482–4136,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On February 14, 2020, Commerce
published in the Federal Register the
Preliminary Determination of sales at
LTFV of wind towers from Korea, in
which we also postponed the final
determination until June 29, 2020.1 We
invited interested parties to comment on
the Preliminary Determination. 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
1 See Utility Scale Wind Towers from the Republic
of Korea: Preliminary Affirmative Determination of
Sales at Less Than Fair Value and Preliminary
Affirmative Determination of Critical
Circumstances, 85 FR 8560 (February 14, 2020)
(Preliminary Determination), and accompanying
Preliminary Decision Memorandum.
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40243
Memorandum, which is adopted by this
notice.2
Scope of the Investigation
The product covered by this
investigation is wind towers from Korea.
For a full description of the scope of this
investigation, see the ‘‘Scope of the
Investigation’’ in Appendix I of this
notice.
Analysis of Comments Received
All issues raised in the case and
rebuttal briefs submitted by parties in
this investigation are addressed in the
Issues and Decision Memorandum
accompanying this notice. A list of the
issues addressed in the Issues and
Decision Memorandum is attached to
this notice as Appendix II. 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. 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.
Verification
As provided in section 782(i) of the
Tariff Act of 1930, as amended, (the Act)
in February 2020, we conducted
verification of the cost information
submitted by Dongkuk S&C Co., Ltd.
(Dongkuk) for use in our final
determination. We used standard
verification procedures, including an
examination of relevant accounting and
production records, and original source
documents provided by Dongkuk.3
Commerce did not conduct a sales
verification.4
Changes Since the Preliminary
Determination
Based on our analysis of the
comments received and our findings at
2 See Memorandum, ‘‘Issues and Decision
Memorandum for the Final Affirmative
Determination in the Less-Than-Fair-Value
Investigation of Utility Scale Wind Towers from the
Republic of Korea,’’ dated concurrently with, and
hereby adopted by, this notice (Issues and Decision
Memorandum).
3 For discussion of our verification findings, see
Memorandum, ‘‘Verification of Cost Response of
Dongkuk S&C Co., Ltd. in the Antidumping Duty
Investigation of Utility Wind Towers from Republic
of Korea,’’ dated April 17, 2020.
4 See Memorandum, ‘‘Antidumping Duty
Investigations of Utility Scale Wind Towers from
the Republic of Korea: Postponing Sales
Verification of Dongkuk S&C Co., Ltd.,’’ dated
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Continued
06JYN1
]]>Agencies
[Federal Register Volume 85, Number 129 (Monday, July 6, 2020)]
[Notices]
[Pages 40241-40243]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-14529]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-560-834]
Utility Scale Wind Towers From Indonesia: Final Affirmative
Countervailing Duty Determination and Final Affirmative Determination
of Critical Circumstances
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 utility scale wind towers (wind towers) from Indonesia. The period
of investigation is January 1, 2018 through December 31, 2018.
DATES: Applicable July 6, 2020.
FOR FURTHER INFORMATION CONTACT: Alex Wood or Melissa Kinter, AD/CVD
Operations, Office II, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-1959 or (202) 482-1413,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On December 13, 2019, Commerce published the Preliminary
Determination of the countervailing duty (CVD) investigation, which
aligned the final determination in this CVD investigation with the
final determination in the companion antidumping duty (AD)
investigation of utility scale wind tower from Indonesia.\1\
---------------------------------------------------------------------------
\1\ See Utility Scale Wind Towers from Indonesia: Preliminary
Affirmative Countervailing Duty Determination and Alignment of Final
Determination with Final Antidumping Duty Determination, 84 FR 68109
(December 13, 2019) (Preliminary Determination) and accompanying
Preliminary Decision Memorandum (PDM).
---------------------------------------------------------------------------
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, are discussed in the
Issues and Decision Memorandum.\2\ 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. 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.
---------------------------------------------------------------------------
\2\ See Memorandum, ``Issues and Decision Memorandum for the
Final Determination in the Countervailing Duty Investigation of
Utility Scale Wind Towers from Indonesia,'' dated concurrently with,
and hereby adopted by this notice (Issues and Decision Memorandum).
---------------------------------------------------------------------------
Scope of the Investigation
The product covered by this investigation is wind towers from
Indonesia. For a complete description of the scope of the
investigation, see Appendix I.
Scope Comments
In accordance with the preamble to Commerce's regulations,\3\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\4\ No interested party
commented on the scope of the investigation as it appeared in the
Initiation Notice. Therefore, Commerce has made no changes to the scope
of this investigation since the Preliminary Determination.
---------------------------------------------------------------------------
\3\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\4\ See Utility Scale Wind Towers from Canada, Indonesia, and
the Socialist Republic of Vietnam: Initiation of Countervailing Duty
Investigations, 84 FR 38216 (August 6, 2019) (Initiation Notice).
---------------------------------------------------------------------------
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. A list of the issues
that parties raised is attached to this notice as Appendix II.
Methodology
Commerce conducted this investigation in accordance with section
701 of the Tariff Act of 1930, as amended (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.\5\ For a full description of the methodology underlying our
final determination, see the Issues and Decision Memorandum.
---------------------------------------------------------------------------
\5\ 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.
---------------------------------------------------------------------------
Verification and Use of Facts Otherwise Available
Commerce normally verifies information relied upon in making its
final determination, as provided in section 782(i) of the Act. In March
2020, we conducted verification of the information submitted by the
Government of Indonesia and the mandatory respondent, PT Kenertec Power
System (Kenertec), for use in Commerce's final determination. We used
standard verification procedures, including an examination of relevant
accounting records and original source documents provided by the
respondents.\6\ For the reasons discussed in the Issues and Decision
Memorandum, we concluded verification early.
---------------------------------------------------------------------------
\6\ For discussion of our verification findings, see the
following memoranda: Memorandum, ``Verification of the Questionnaire
Responses of the Government of Indonesia,'' dated April 1, 2020 and
Memorandum, ``Verification of PT Kenertec Power System's
Questionnaire Responses,'' dated March 30, 2020; see also
Memorandum, ``Antidumping and Countervailing Duty Investigations of
Utility Scale Wind Towers from Indonesia: Early Conclusion of
Verifications,'' dated March 27, 2020.
---------------------------------------------------------------------------
Pursuant to section 776(a)(2)(D) of the Act, in situations where
information has been provided but the information has cannot be
verified in accordance with
[[Page 40242]]
section 782(i) of the Act, Commerce may use ``facts otherwise
available'' on the record in reaching the applicable determination.
Accordingly, where Commerce was unable to verify certain information
due to the early conclusion of verification, we have relied on the
information submitted on the record that we used in making the
Preliminary Determination, as facts otherwise available in making our
final determination.
Further, pursuant to section 776(a)(1) of the Act, where necessary
information is not available on the record, Commerce may rely on facts
otherwise available on the record in reaching the applicable
determination. Accordingly, in certain circumstances in this final
determination where necessary information is missing from the record,
we have relied on the information submitted to the record as facts
otherwise available, pursuant to section 776(a)(1) of the Act.
Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
parties and our verification findings, we made certain changes to the
subsidy rate calculations for Kenertec. For a discussion of these
changes, see the Issues and Decision Memorandum.
Final Affirmative Determination of Critical Circumstances
In accordance with section 703(e)(1)(B) of the Act, Commerce
preliminarily determined that critical circumstances existed for all
imports of utility scale wind towers from Indonesia.\7\ For this final
determination, we continue to find that critical circumstances exist
with respect to all imports of wind towers from Indonesia. For a full
description of the methodology and results of our analysis, see the
Issues and Decision Memorandum.
---------------------------------------------------------------------------
\7\ See Utility Scale Wind Towers from Canada, Indonesia, and
the Socialist Republic of Vietnam; Countervailing Duty
Investigations: Preliminary Determinations of Critical
Circumstances, 85 FR 7724 (February 11, 2020).
---------------------------------------------------------------------------
All-Others Rate
In accordance with section 705(c)(5)(A) of the Act, we continue to
assign the countervailable subsidy rate calculated for Kenertec as the
all-others rate applicable to all exporters and/or producers not
individually examined.\8\
---------------------------------------------------------------------------
\8\ See Preliminary Determination.
---------------------------------------------------------------------------
Final Determination
In accordance with section 705(c)(1)(B)(i)(I) of the Act, we
calculated an individual estimated subsidy rate for Kenertec. We
determine that the following total estimated net countervailable
subsidy rates exist:
------------------------------------------------------------------------
Percent Ad
Producer/exporter Valorem
------------------------------------------------------------------------
PT Kenertec Power System................................... 5.90
All Others................................................. 5.90
------------------------------------------------------------------------
Disclosure
We intend to disclose to interested parties the calculations and
analysis performed in this final determination within five days of the
date of publication of this notice in accordance with 19 CFR
351.224(b).
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination, and pursuant to
sections 703(d)(1)(B), (d)(2), and (e)(2)(A) of the Act, Commerce
instructed U.S. Customs and Border Protection (CBP) to suspend
liquidation of all entries of subject merchandise entered, or withdrawn
from warehouse, for consumption on or after September 14, 2019, which
is 90 days prior to 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 April 11, 2020, but continue the suspension of liquidation
of all entries from September 14, 2019 through April 10, 2020.
If the U.S. International Trade Commission (ITC) issues a final
affirmative injury determination, we will issue a CVD order, reinstate
the suspension of liquidation under section 706(a) of the Act, and
require a cash deposit of estimated countervailing 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 estimated duties
deposited or securities posted as a result of the suspension of
liquidation 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 wind towers
from Indonesia no later than 45 days after our final determination. If
the ITC determines that material injury or threat of material injury
does not exist, the proceeding will be terminated, and all cash
deposits will be refunded. If the ITC determines that material injury
or threat of material injury does exist, Commerce will issue a CVD
order directing CBP to assess, upon further instruction by Commerce,
countervailing duties on all imports of the subject merchandise
entered, or withdrawn from warehouse, for consumption on or after the
effective date of the suspension of liquidation, as discussed above in
the ``Continuation of Suspension of Liquidation'' section.
Notification Regarding Administrative Protective Orders
In the event the ITC issues a final negative injury determination,
this notice will serve as the only reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the destruction of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of the 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 violation subject
to sanction.
Notification to Interested Parties
This determination is issued and published pursuant to sections
705(d) and 777(i) of the Act and 19 CFR 351.210(c).
Dated: June 29, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation consists of
certain wind towers, whether or not tapered, and sections thereof.
Certain wind towers support the nacelle and rotor blades in a wind
turbine with a minimum rated electrical power generation capacity in
excess of 100 kilowatts and with a minimum height of 50 meters
measured from the base of the tower to the bottom of the nacelle
(i.e., where the top of the tower and nacelle are joined) when fully
assembled.
A wind tower section consists of, at a minimum, multiple steel
plates rolled into cylindrical or conical shapes and welded together
(or otherwise attached) to form a steel shell, regardless of
coating, end-finish, painting, treatment, or method of manufacture,
and with or without flanges, doors, or internal or external
components
[[Page 40243]]
(e.g., flooring/decking, ladders, lifts, electrical buss boxes,
electrical cabling, conduit, cable harness for nacelle generator,
interior lighting, tool and storage lockers) attached to the wind
tower section. Several wind tower sections are normally required to
form a completed wind tower.
Wind towers and sections thereof are included within the scope
whether or not they are joined with non-subject merchandise, such as
nacelles or rotor blades, and whether or not they have internal or
external components attached to the subject merchandise.
Specifically excluded from the scope are nacelles and rotor
blades, regardless of whether they are attached to the wind tower.
Also excluded are any internal or external components which are not
attached to the wind towers or sections thereof, unless those
components are shipped with the tower sections.
Merchandise covered by this investigation is currently
classified in the Harmonized Tariff Schedule of the United States
(HTSUS) under subheading 7308.20.0020 or 8502.31.0000. Wind towers
of iron or steel are classified under HTSUS 7308.20.0020 when
imported separately as a tower or tower section(s). Wind towers may
be classified under HTSUS 8502.31.0000 when imported as combination
goods with a wind turbine (i.e., accompanying nacelles and/or rotor
blades). While the HTSUS subheadings are provided for convenience
and customs purposes, the written description of the scope of the
investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Scope
IV. Scope Comments
V. Final Determination of Critical Circumstances
VI. Use of Facts Otherwise Available
VII. Subsidies Valuation Information
VIII. Analysis of Programs
IX. Analysis of Comments
Comment 1: Whether the Government of Indonesia (GOI) Entrusted
or Directed PT Krakatau POSCO (Krakatau POSCO) to Provide a
Financial Contribution to PT Kenertec Power System (Kenertec)
Comment 2: Whether the Benchmark Information for the Provision
of cut-to-length (CTL) Plate for Less Than Adequate Renumeration
(LTAR) is Accurate
Comment 3: Whether the GOI Provided Electricity for LTAR
Comment 4: Whether Commerce's Preliminary Critical Circumstances
Determination Was Correct
Comment 5: Whether the Exemption from Import Income Tax
Withholding Program is Specific
Comment 6: Whether Commerce Should Extend the Final
Determination to Investigate the Upstream Subsidy Allegation
Comment 7: Whether Commerce Sufficiently Verified the GOI's
Questionnaire Responses with Respect to PT Krakatau Steel (Persero)
TBK (Krakatau Steel) and Krakatau POSCO
X. Recommendation
[FR Doc. 2020-14529 Filed 7-2-20; 8:45 am]
BILLING CODE 3510-DS-P
