Certain Corrosion Inhibitors From the People's Republic of China: Final Affirmative Countervailing Duty Determination, 7537-7539 [2021-01976]
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Federal Register / Vol. 86, No. 18 / Friday, January 29, 2021 / Notices
which the provisional measures
expired, until and through the day
preceding the date of publication of the
ITC’s final injury determinations in the
Federal Register. Suspension of
liquidation will resume on the date of
publication of the ITC’s final
determinations in the Federal Register.
Notification to Interested Parties
This notice constitutes the
countervailable duty (CVD) orders with
respect to FEBs from China, Germany,
India, and Italy, pursuant to section
706(a) of the Act. Interested parties can
find a list of CVD orders currently in
effect at https://enforcement.trade.gov/
stats/iastats1.html.
These orders are issued and published
in accordance with section 706(a) of the
Act and 19 CFR 351.211(b).
Dated: January 25, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement
and Compliance.
khammond on DSKJM1Z7X2PROD with NOTICES
Appendix
Scope of the Orders
The products covered by these orders are
forged steel fluid end blocks (fluid end
blocks), whether in finished or unfinished
form, and which are typically used in the
manufacture or service of hydraulic pumps.
The term ‘‘forged’’ is an industry term used
to describe the grain texture of steel resulting
from the application of localized compressive
force. Illustrative forging standards include,
but are not limited to, American Society for
Testing and Materials (ASTM) specifications
A668 and A788.
For purposes of these orders, the term
‘‘steel’’ denotes metal containing the
following chemical elements, by weight: (i)
Iron greater than or equal to 60 percent; (ii)
nickel less than or equal to 8.5 percent; (iii)
copper less than or equal to 6 percent; (iv)
chromium greater than or equal to 0.4
percent, but less than or equal to 20 percent;
and (v) molybdenum greater than or equal to
0.15 percent, but less than or equal to 3
percent. Illustrative steel standards include,
but are not limited to, American Iron and
Steel Institute (AISI) or Society of
Automotive Engineers (SAE) grades 4130,
4135, 4140, 4320, 4330, 4340, 8630, 15–5,
17–4, F6NM, F22, F60, and XM25, as well as
modified varieties of these grades.
The products covered by these orders are:
(1) Cut-to-length fluid end blocks with an
actual height (measured from its highest
point) of 8 inches (203.2 mm) to 40 inches
(1,016.0 mm), an actual width (measured
from its widest point) of 8 inches (203.2 mm)
to 40 inches (1,016.0 mm), and an actual
length (measured from its longest point) of 11
inches (279.4 mm) to 75 inches (1,905.0 mm);
and (2) strings of fluid end blocks with an
actual height (measured from its highest
point) of 8 inches (203.2 mm) to 40 inches
(1,016.0 mm), an actual width (measured
from its widest point) of 8 inches (203.2 mm)
to 40 inches (1,016.0 mm), and an actual
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length (measured from its longest point) up
to 360 inches (9,144.0 mm).
The products included in the scope of
these orders have a tensile strength of at least
70 KSI (measured in accordance with ASTM
A370) and a hardness of at least 140 HBW
(measured in accordance with ASTM E10).
A fluid end block may be imported in
finished condition (i.e., ready for
incorporation into a pump fluid end
assembly without further finishing
operations) or unfinished condition (i.e.,
forged but still requiring one or more
finishing operations before it is ready for
incorporation into a pump fluid end
assembly). Such finishing operations may
include: (1) Heat treating; (2) milling one or
more flat surfaces; (3) contour machining to
custom shapes or dimensions; (4) drilling or
boring holes; (5) threading holes; and/or (6)
painting, varnishing, or coating.
Excluded from the scope of these orders
are fluid end block assemblies which (1)
include (a) plungers and related housings,
adapters, gaskets, seals, and packing nuts, (b)
valves and related seats, springs, seals, and
cover nuts, and (c) a discharge flange and
related seals, and (2) are otherwise ready to
be mated with the ‘‘power end’’ of a
hydraulic pump without the need for
installation of any plunger, valve, or
discharge flange components, or any other
further manufacturing operations.
The products included in the scope of
these orders may enter under Harmonized
Tariff Schedule of the United States (HTSUS)
subheadings 7218.91.0030, 7218.99.0030,
7224.90.0015, 7224.90.0045, 7326.19.0010,
7326.90.8688, or 8413.91.9055. While these
HTSUS subheadings are provided for
convenience and customs purposes, the
written description of the scope of these
orders is dispositive.
[FR Doc. 2021–01978 Filed 1–28–21; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–123]
Certain Corrosion Inhibitors 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
certain corrosion inhibitors from the
People’s Republic of China (China).
DATES: Applicable January 29, 2021.
FOR FURTHER INFORMATION CONTACT:
Theodore Pearson or Nicholas
Czajkowski, AD/CVD Operations, Office
VIII, Enforcement and Compliance,
International Trade Administration,
AGENCY:
PO 00000
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7537
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–2631 or
(202) 482–1395, respectively.
SUPPLEMENTARY INFORMATION:
Background
The petitioner in this investigation is
Wincom, Inc. In addition to the
Government of China, the selected
mandatory respondents in this
investigation are Jiangyin Delian
Chemical Co., Ltd. (Delian) and Nantong
Botao Chemical Co., Ltd. (Botao).
On July 13, 2020, Commerce
published in the Federal Register the
Preliminary Determination of this
investigation.1 In the Preliminary
Determination, 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 CVD determination in this
investigation with the final antidumping
duty (AD) determination in the
companion AD investigation of certain
corrosion inhibitors from China. The
revised deadline for the final
determination of this investigation is
now January 25, 2021. On October 29,
2020, Commerce issued a 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 which is hereby adopted
by this notice.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. 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
1 See Certain Corrosion Inhibitors from the
People’s Republic of China: Preliminary Affirmative
Countervailing Duty Determination, and Alignment
of Final Determination With Final Antidumping
Duty Determination, 85 FR 41960 (July 13, 2020)
(Preliminary Determination), and accompanying
Preliminary Decision Memorandum (PDM).
2 See Memorandum, ‘‘Post-Preliminary Analysis
in the Countervailing Duty Investigation of
Corrosion Inhibitors from the People’s Republic of
China,’’ dated October 29, 2020.
3 See Memorandum, ‘‘Issues and Decision
Memorandum for the Final Affirmative
Determination of the Countervailing Duty
Investigation of Corrosion Inhibitors from the
People’s Republic of China,’’ dated concurrently
with, and hereby adopted by, this notice (Issues and
Decision Memorandum).
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7538
Federal Register / Vol. 86, No. 18 / Friday, January 29, 2021 / Notices
of the Issues and Decision
Memorandum are identical in content.
Period of Investigation
The period of investigation is January
1, 2019, through December 31, 2019.
Scope of the Investigation
The products covered by this
investigation are certain corrosion
inhibitors from China. For a full
description of the scope of this
investigation, see Appendix I.
khammond on DSKJM1Z7X2PROD with NOTICES
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 raised by parties, and
to which we responded in the Issues
and Decision Memorandum, is attached
to this notice at Appendix II.
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.4 For a full
description of the methodology
underlying our final determination, see
the Issues and Decision Memorandum.
In making this final determination,
Commerce relied, in part, on facts
available pursuant to section 776(a) of
the Act. Additionally, as discussed in
the Issues and Decision Memorandum,
because one or more respondents did
not act to the best of their ability in
responding to our requests for
information, we drew adverse
inferences, where appropriate, in
selecting from among the facts
otherwise available, pursuant to section
776(b) of the Act. This includes three
companies that did not respond to
Commerce’s quantity and value
questionnaire; as described in the
Preliminary Determination,5 we have
applied an adverse inference in
selection of facts available for
determining the subsidy rates for these
companies, pursuant to section 776(d)
of the Act. For further information, see
the section ‘‘Use of Facts Otherwise
4 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.
5 See Preliminary Determination PDM at 12–20,
section ‘‘Application of AFA: Non-Responsive Q&V
Questionnaire Recipients.’’
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Available and Adverse Inferences’’ in
the accompanying Issues and Decision
Memorandum.
Verification
Commerce was unable to conduct onsite verification of the information
relied upon in making its final
determination in this investigation.
However, we took additional steps in
lieu of an on-site verification to verify
the information relied upon in making
this final determination, in accordance
with section 782(i) of the Act.6
Changes Since the Preliminary
Determination
Based on our review and analysis of
the comments received from parties, we
made certain changes to Botao and
Delian’s subsidy rate calculations. For a
discussion of these changes, see the
Issues and Decision Memorandum.
All-Others Rate
In accordance with section
705(c)(1)(B)(i)(I) of the Act, Commerce
calculated a countervailable subsidy
rate for the individually investigated
exporters/producers of the subject
merchandise. Section 705(c)(5)(A) of the
Act provides that, in the final
determination, Commerce shall
determine an estimated all-others rate
for companies not individually
examined. The rate shall be an amount
equal to the weighted average of the
estimated subsidy rates established for
those companies individually
examined, excluding any rates that are
zero, de minimis, or rates based entirely
under section 776 of the Act.
In this investigation, as discussed in
the Issues and Decision Memorandum,
Commerce calculated individual
estimated countervailable subsidy rates
for Delian and Botao that were not zero,
de minimis, or based entirely under
section 776 of the Act. Therefore,
Commerce calculated an all-others rate
using a simple average of the individual
estimated subsidy rates calculated for
Botao and Delian using each company’s
values for the merchandise under
6 See Commerce’s Letter, ‘‘Certain Corrosion
Inhibitors from the People’s Republic of China:
Nantong Botao Chemical Co., Ltd. Verification
Questionnaire,’’ dated November 30, 2020; see also
Commerce’s Letter, ‘‘Certain Corrosion Inhibitors
from the People’s Republic of China: Jiangyin
Delian Chemical Co., Ltd. Verification
Questionnaire,’’ dated November 30, 2020; Botao’s
Letter, ‘‘Certain Corrosion Inhibitors from the
People’s Republic of China: Botao Verification
Questionnaire Response,’’ dated December 7, 2020;
and Delian’s Letter, ‘‘Corrosion Inhibitors from
China; C–570–123; CVD Questionnaire in Lieu of
Verification,’’ dated December 7, 2020.
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consideration because publicly ranged
sales data was unavailable.7
Final Determination
Commerce determines that the
following estimated countervailable
subsidy rates exist:
Company
Jiangyin Delian Chemical Co.,
Ltd ...........................................
Nantong Botao Chemical Co.,
Ltd ...........................................
CAC Shanghai Chemical Co.,
Ltd ...........................................
Jiangyin Gold Fuda Chemical
Co., Ltd ...................................
Xinji Xi Chen Re Neng Co., Ltd
All Others ....................................
Subsidy
rate
(percent)
93.05
61.62
239.21
239.21
239.21
77.34
Disclosure
Commerce intends to disclose to
interested parties the calculations and
analysis performed in this final
determination within five days of any
public announcement or, if there is no
public announcement, within five days
of the date of the 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 section
703(d)(1)(B) and (d)(2) of the Act, we
instructed U.S. Customs and Border
Protection (CBP) to suspend liquidation
of entries of subject merchandise as
described in the ‘‘Scope of the
Investigation’’ section entered, or
withdrawn from warehouse, for
consumption, effective July 13, 2020,
which is the date of publication of the
Preliminary Determination in the
Federal Register. In accordance with
section 703(d) of the Act, effective
November 10, 2020, we instructed CBP
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 are not available, Commerce based the
all-others rate on a simple average of the mandatory
respondents’ subsidy rates.
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Federal Register / Vol. 86, No. 18 / Friday, January 29, 2021 / Notices
to discontinue the suspension of
liquidation of all entries at that time, but
to continue the suspension of
liquidation of all entries between July
13, 2020 and November 9, 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 and require a
cash deposit of estimated countervailing
duties for such entries of subject
merchandise in the amounts indicated
above, in accordance with section 706(a)
of the Act. 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.
International Trade Commission
Notification
In accordance with section 705(d) of
the Act, we will notify the ITC of our
affirmative determination that
countervailable subsidies are being
provided to producers and exporters of
corrosion inhibitors from China.
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 corrosion inhibitors
from China no later than 45 days after
our final determination. 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. If the
ITC determines that such injury does
exist, Commerce will issue a
countervailing duty order directing CBP
to assess, upon further instruction by
Commerce, countervailing duties on all
imports of the subject merchandise that
are 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.
khammond on DSKJM1Z7X2PROD with NOTICES
Notification Regarding Administrative
Protective Orders
In the event that 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
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Jkt 253001
with 19 CFR 351.305(a)(3). Timely
written 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.
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: January 25, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement
and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this
investigation is tolyltriazole and
benzotriazole. This includes tolyltriazole and
benzotriazole of all grades and forms,
including their sodium salt forms.
Tolyltriazole is technically known as
Tolyltriazole IUPAC 4,5 methyl
benzotriazole. It can also be identified as 4,5
methyl benzotriazole, tolutriazole, TTA, and
TTZ.
Benzotriazole is technically known as
IUPAC 1,2,3-Benzotriazole. It can also be
identified as 1,2,3-Benzotriazole, 1,2Aminozophenylene, lH-Benzotriazole, and
BTA.
All forms of tolyltriazole and
benzotriazole, including but not limited to
flakes, granules, pellets, prills, needles,
powder, or liquids, are included within the
scope of this investigation.
The scope includes tolyltriazole/sodium
tolyltriazole and benzotriazole/sodium
benzotriazole that are combined or mixed
with other products. For such combined
products, only the tolyltriazole/sodium
tolyltriazole and benzotriazole/sodium
benzotriazole component is covered by the
scope of this investigation. Tolyltriazole and
sodium tolyltriazole that have been
combined with other products is included
within the scope, regardless of whether the
combining occurs in third countries.
Tolyltriazole, sodium tolyltriazole,
benzotriazole and sodium benzotriazole that
is otherwise subject to this investigation is
not excluded when commingled with
tolyltriazole, sodium tolyltriazole,
benzotriazole, or sodium benzotriazole from
sources not subject to this investigation. Only
the subject merchandise component of such
commingled products is covered by the scope
of this investigation.
A combination or mixture is excluded from
this investigation if the total tolyltriazole or
benzotriazole component of the combination
or mixture (regardless of the source or
sources) comprises less than 5 percent of the
combination or mixture, on a dry weight
basis.
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7539
Notwithstanding the foregoing language, a
tolyltriazole or benzotriazole combination or
mixture that is transformed through a
chemical reaction into another product, such
that, for example, the tolyltriazole or
benzotriazole can no longer be separated
from the other products through a distillation
or other process is excluded from this
investigation.
Tolyltriazole has the Chemical Abstracts
Service (CAS) registry number 299385–43–1.
Tolyltriazole is classified under Harmonized
Tariff Schedule of the United States (HTSUS)
subheading 2933.99.8220.
Sodium Tolyltriazole has the CAS registry
number 64665–57–2 and is classified under
HTSUS subheading 2933.99.8290.
Benzotriazole has the CAS registry number
95–14–7 and is classified under HTSUS
subheading 2933.99.8210.
Sodium Benzotriazole has the CAS registry
number 15217–42–2. Sodium Benzotriazole
is classified under HTSUS subheading
2933.99.8290.
Although the HTSUS subheadings and
CAS registry numbers are provided for
convenience and customs purposes, the
written description of the scope of this
investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and
Decision Memorandum
I. Summary
II. Background
III. Subsidies Valuation
IV. Use of Facts Otherwise Available and
Adverse Inferences
V. Analysis of Programs
VI. Analysis of Comments
Comment 1: Whether Commerce Should
Reconsider the Petitioner’s Standing to
Bring the Investigation
Comment 2: Whether Commerce Should
Renew Suspension of Liquidation and
Collection of Cash Deposits Prior to the
Publication of an Affirmative
Determination by the ITC
Comment 3: Countervailability of the
Export Buyer’s Credit Program
Comment 4: Whether Commerce Should
Select a Different Benchmark for the
Provision of Land-Use Rights for Less
Than Adequate Remuneration (LTAR)
for Encouraged Industries
Comment 5: Countervailability of the
Provision of Electricity for LTAR
Comment 6: Whether the Provision of
Ortho Phenylene Diamine for LTAR is
Specific
Comment 7: Benchmarks for the
Calculation of Inputs for LTAR
Comment 8: Countervailability of Other
Subsidies
VII. Recommendation
[FR Doc. 2021–01976 Filed 1–28–21; 8:45 am]
BILLING CODE 3510–DS–P
E:\FR\FM\29JAN1.SGM
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Agencies
[Federal Register Volume 86, Number 18 (Friday, January 29, 2021)]
[Notices]
[Pages 7537-7539]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-01976]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-123]
Certain Corrosion Inhibitors 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 certain corrosion inhibitors from the People's Republic of China
(China).
DATES: Applicable January 29, 2021.
FOR FURTHER INFORMATION CONTACT: Theodore Pearson or Nicholas
Czajkowski, AD/CVD Operations, Office VIII, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-2631
or (202) 482-1395, respectively.
SUPPLEMENTARY INFORMATION:
Background
The petitioner in this investigation is Wincom, Inc. In addition to
the Government of China, the selected mandatory respondents in this
investigation are Jiangyin Delian Chemical Co., Ltd. (Delian) and
Nantong Botao Chemical Co., Ltd. (Botao).
On July 13, 2020, Commerce published in the Federal Register the
Preliminary Determination of this investigation.\1\ In the Preliminary
Determination, 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 CVD determination in this investigation with the
final antidumping duty (AD) determination in the companion AD
investigation of certain corrosion inhibitors from China. The revised
deadline for the final determination of this investigation is now
January 25, 2021. On October 29, 2020, Commerce issued a Post-
Preliminary Analysis.\2\
---------------------------------------------------------------------------
\1\ See Certain Corrosion Inhibitors from the People's Republic
of China: Preliminary Affirmative Countervailing Duty Determination,
and Alignment of Final Determination With Final Antidumping Duty
Determination, 85 FR 41960 (July 13, 2020) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum
(PDM).
\2\ See Memorandum, ``Post-Preliminary Analysis in the
Countervailing Duty Investigation of Corrosion Inhibitors from the
People's Republic of China,'' dated October 29, 2020.
---------------------------------------------------------------------------
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 which is hereby adopted by this
notice.\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. 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
[[Page 7538]]
of the Issues and Decision Memorandum are identical in content.
---------------------------------------------------------------------------
\3\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination of the Countervailing Duty
Investigation of Corrosion Inhibitors 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, 2019, through December
31, 2019.
Scope of the Investigation
The products covered by this investigation are certain corrosion
inhibitors from China. For a full description of the scope of this
investigation, see Appendix I.
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
raised by parties, and to which we responded in the Issues and Decision
Memorandum, is attached to this notice at Appendix II.
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.\4\ For a full description
of the methodology underlying our final determination, see the Issues
and Decision Memorandum.
---------------------------------------------------------------------------
\4\ 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.
---------------------------------------------------------------------------
In making this final determination, Commerce relied, in part, on
facts available pursuant to section 776(a) of the Act. Additionally, as
discussed in the Issues and Decision Memorandum, because one or more
respondents did not act to the best of their ability in responding to
our requests for information, we drew adverse inferences, where
appropriate, in selecting from among the facts otherwise available,
pursuant to section 776(b) of the Act. This includes three companies
that did not respond to Commerce's quantity and value questionnaire; as
described in the Preliminary Determination,\5\ we have applied an
adverse inference in selection of facts available for determining the
subsidy rates for these companies, pursuant to section 776(d) of the
Act. For further information, see the section ``Use of Facts Otherwise
Available and Adverse Inferences'' in the accompanying Issues and
Decision Memorandum.
---------------------------------------------------------------------------
\5\ See Preliminary Determination PDM at 12-20, section
``Application of AFA: Non-Responsive Q&V Questionnaire Recipients.''
---------------------------------------------------------------------------
Verification
Commerce was unable to conduct on-site verification of the
information relied upon in making its final determination in this
investigation. However, we took additional steps in lieu of an on-site
verification to verify the information relied upon in making this final
determination, in accordance with section 782(i) of the Act.\6\
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\6\ See Commerce's Letter, ``Certain Corrosion Inhibitors from
the People's Republic of China: Nantong Botao Chemical Co., Ltd.
Verification Questionnaire,'' dated November 30, 2020; see also
Commerce's Letter, ``Certain Corrosion Inhibitors from the People's
Republic of China: Jiangyin Delian Chemical Co., Ltd. Verification
Questionnaire,'' dated November 30, 2020; Botao's Letter, ``Certain
Corrosion Inhibitors from the People's Republic of China: Botao
Verification Questionnaire Response,'' dated December 7, 2020; and
Delian's Letter, ``Corrosion Inhibitors from China; C-570-123; CVD
Questionnaire in Lieu of Verification,'' dated December 7, 2020.
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Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
parties, we made certain changes to Botao and Delian's subsidy rate
calculations. For a discussion of these changes, see the Issues and
Decision Memorandum.
All-Others Rate
In accordance with section 705(c)(1)(B)(i)(I) of the Act, Commerce
calculated a countervailable subsidy rate for the individually
investigated exporters/producers of the subject merchandise. Section
705(c)(5)(A) of the Act provides that, in the final determination,
Commerce shall determine an estimated all-others rate for companies not
individually examined. The rate shall be an amount equal to the
weighted average of the estimated subsidy rates established for those
companies individually examined, excluding any rates that are zero, de
minimis, or rates based entirely under section 776 of the Act.
In this investigation, as discussed in the Issues and Decision
Memorandum, Commerce calculated individual estimated countervailable
subsidy rates for Delian and Botao that were not zero, de minimis, or
based entirely under section 776 of the Act. Therefore, Commerce
calculated an all-others rate using a simple average of the individual
estimated subsidy rates calculated for Botao and Delian using each
company's values for the merchandise under consideration because
publicly ranged sales data was unavailable.\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 are not
available, Commerce based the all-others rate on a simple average of
the mandatory respondents' subsidy rates.
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Final Determination
Commerce determines that the following estimated countervailable
subsidy rates exist:
------------------------------------------------------------------------
Subsidy
Company rate
(percent)
------------------------------------------------------------------------
Jiangyin Delian Chemical Co., Ltd.......................... 93.05
Nantong Botao Chemical Co., Ltd............................ 61.62
CAC Shanghai Chemical Co., Ltd............................. 239.21
Jiangyin Gold Fuda Chemical Co., Ltd....................... 239.21
Xinji Xi Chen Re Neng Co., Ltd............................. 239.21
All Others................................................. 77.34
------------------------------------------------------------------------
Disclosure
Commerce intends to disclose to interested parties the calculations
and analysis performed in this final determination within five days of
any public announcement or, if there is no public announcement, within
five days of the date of the 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
section 703(d)(1)(B) and (d)(2) of the Act, we instructed U.S. Customs
and Border Protection (CBP) to suspend liquidation of entries of
subject merchandise as described in the ``Scope of the Investigation''
section entered, or withdrawn from warehouse, for consumption,
effective July 13, 2020, which is the date of publication of the
Preliminary Determination in the Federal Register. In accordance with
section 703(d) of the Act, effective November 10, 2020, we instructed
CBP
[[Page 7539]]
to discontinue the suspension of liquidation of all entries at that
time, but to continue the suspension of liquidation of all entries
between July 13, 2020 and November 9, 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 and require a cash deposit of estimated
countervailing duties for such entries of subject merchandise in the
amounts indicated above, in accordance with section 706(a) of the Act.
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.
International Trade Commission Notification
In accordance with section 705(d) of the Act, we will notify the
ITC of our affirmative determination that countervailable subsidies are
being provided to producers and exporters of corrosion inhibitors from
China. 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 corrosion inhibitors from China no
later than 45 days after our final determination. 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.
If the ITC determines that such injury does exist, Commerce will issue
a countervailing duty order directing CBP to assess, upon further
instruction by Commerce, countervailing duties on all imports of the
subject merchandise that are 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 that 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/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.
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: January 25, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation is tolyltriazole
and benzotriazole. This includes tolyltriazole and benzotriazole of
all grades and forms, including their sodium salt forms.
Tolyltriazole is technically known as Tolyltriazole IUPAC 4,5 methyl
benzotriazole. It can also be identified as 4,5 methyl
benzotriazole, tolutriazole, TTA, and TTZ.
Benzotriazole is technically known as IUPAC 1,2,3-Benzotriazole.
It can also be identified as 1,2,3-Benzotriazole, 1,2-
Aminozophenylene, lH-Benzotriazole, and BTA.
All forms of tolyltriazole and benzotriazole, including but not
limited to flakes, granules, pellets, prills, needles, powder, or
liquids, are included within the scope of this investigation.
The scope includes tolyltriazole/sodium tolyltriazole and
benzotriazole/sodium benzotriazole that are combined or mixed with
other products. For such combined products, only the tolyltriazole/
sodium tolyltriazole and benzotriazole/sodium benzotriazole
component is covered by the scope of this investigation.
Tolyltriazole and sodium tolyltriazole that have been combined with
other products is included within the scope, regardless of whether
the combining occurs in third countries.
Tolyltriazole, sodium tolyltriazole, benzotriazole and sodium
benzotriazole that is otherwise subject to this investigation is not
excluded when commingled with tolyltriazole, sodium tolyltriazole,
benzotriazole, or sodium benzotriazole from sources not subject to
this investigation. Only the subject merchandise component of such
commingled products is covered by the scope of this investigation.
A combination or mixture is excluded from this investigation if
the total tolyltriazole or benzotriazole component of the
combination or mixture (regardless of the source or sources)
comprises less than 5 percent of the combination or mixture, on a
dry weight basis.
Notwithstanding the foregoing language, a tolyltriazole or
benzotriazole combination or mixture that is transformed through a
chemical reaction into another product, such that, for example, the
tolyltriazole or benzotriazole can no longer be separated from the
other products through a distillation or other process is excluded
from this investigation.
Tolyltriazole has the Chemical Abstracts Service (CAS) registry
number 299385-43-1. Tolyltriazole is classified under Harmonized
Tariff Schedule of the United States (HTSUS) subheading
2933.99.8220.
Sodium Tolyltriazole has the CAS registry number 64665-57-2 and
is classified under HTSUS subheading 2933.99.8290.
Benzotriazole has the CAS registry number 95-14-7 and is
classified under HTSUS subheading 2933.99.8210.
Sodium Benzotriazole has the CAS registry number 15217-42-2.
Sodium Benzotriazole is classified under HTSUS subheading
2933.99.8290.
Although the HTSUS subheadings and CAS registry numbers are
provided for convenience and customs purposes, the written
description of the scope of this investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Subsidies Valuation
IV. Use of Facts Otherwise Available and Adverse Inferences
V. Analysis of Programs
VI. Analysis of Comments
Comment 1: Whether Commerce Should Reconsider the Petitioner's
Standing to Bring the Investigation
Comment 2: Whether Commerce Should Renew Suspension of
Liquidation and Collection of Cash Deposits Prior to the Publication
of an Affirmative Determination by the ITC
Comment 3: Countervailability of the Export Buyer's Credit
Program
Comment 4: Whether Commerce Should Select a Different Benchmark
for the Provision of Land-Use Rights for Less Than Adequate
Remuneration (LTAR) for Encouraged Industries
Comment 5: Countervailability of the Provision of Electricity
for LTAR
Comment 6: Whether the Provision of Ortho Phenylene Diamine for
LTAR is Specific
Comment 7: Benchmarks for the Calculation of Inputs for LTAR
Comment 8: Countervailability of Other Subsidies
VII. Recommendation
[FR Doc. 2021-01976 Filed 1-28-21; 8:45 am]
BILLING CODE 3510-DS-P