Pentafluoroethane (R-125) From the People's Republic of China: Initiation of Countervailing Duty Investigation, 8589-8593 [2021-02530]

Download as PDF Federal Register / Vol. 86, No. 24 / Monday, February 8, 2021 / Notices issue its final determination no later than June 16, 2021. Notice to Interested Parties This notice is issued and published pursuant to section 735(a)(2) of the Act and 19 CFR 351.210(g). Dated: February 1, 2021. Christian Marsh, Acting Assistant Secretary for Enforcement and Compliance. [FR Doc. 2021–02458 Filed 2–5–21; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–552–831] Seamless Refined Copper Pipe and Tube From the Socialist Republic of Vietnam: Postponement of Final Determination of Less-Than-Fair-Value Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) is postponing the deadline for issuing the final determination in the less-than-fair-value (LTFV) investigation of imports of seamless refined copper pipe and tube (copper pipe and tube) from the Socialist Republic of Vietnam (Vietnam) until June 16, 2021, and is extending the provisional measures from a four-month period to a period of not more than six months. DATES: Applicable February 8, 2021. FOR FURTHER INFORMATION CONTACT: Ariela Garvett, AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–3609. SUPPLEMENTARY INFORMATION: AGENCY: jbell on DSKJLSW7X2PROD with NOTICES Background On July 20, 2020, Commerce initiated the LTFV investigation of imports of copper pipe and tube from Vietnam.1 The period of investigation is October 1, 2019, through March 31, 2020. On February 1, 2021, Commerce published its Preliminary Determination in this LTFV investigation.2 1 See Seamless Refined Copper Pipe and Tube from the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigation, 85 FR 47181 (August 4, 2020). 2 See Seamless Refined Copper Pipe and Tube from the Socialist Republic of Vietnam: Preliminary Affirmative Determination of Sales at Less Than Fair Value and Preliminary Negative Determination of Critical Circumstances, 86 FR 7698 (February 1, 2021) (Preliminary Determination). VerDate Sep<11>2014 20:48 Feb 05, 2021 Jkt 253001 Postponement of the Final Determination Section 735(a)(2) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.210(b)(2) provide that a final determination may be postponed until not later than 135 days after the date of the publication of the preliminary determination if, in the event of an affirmative preliminary determination, a request for such postponement is made by the exporters or producers who account for a significant portion of exports of the subject merchandise, or in the event of a negative preliminary determination, a request for such postponement is made by the petitioner. Further, 19 CFR 351.210(e)(2) requires that such postponement requests by exporters be accompanied by a request for extension of provisional measures from a four-month period to a period of not more than six months, in accordance with section 733(d) of the Act. On January 28, 2021, Hailiang (Vietnam) Copper Manufacturing Company Limited/Hongkong Hailiang Metal Trading Limited (also known as Hong Kong Hailiang Metal Trading Limited) (Hailiang Vietnam/Hongkong Hailiang), the sole mandatory respondent in this investigation, requested that Commerce postpone the deadline for the final determination until no later than 135 days from the publication of the Preliminary Determination and extend the application of the provisional measures from a four-month period to a period of not more than six months.3 Additionally, on January 28, 2021, the American Copper Tube Coalition and its constituent members 4 (the petitioners) requested that Commerce postpone the deadline for the final determination.5 In accordance with section 735(a)(2)(A) of the Act and 19 CFR 351.210(b)(2)(ii), because: (1) The preliminary determination was affirmative; (2) the request was made by the exporter and producer who accounts for a significant proportion of exports of the subject merchandise; and (3) no compelling 3 See Hailiang Vietnam/Hongkong Hailiang’s Letter, ‘‘Hailiang Request to Postpone Final Determination in the Less-Than-Fair-Value Investigation of Seamless Refined Copper Pipe and Tube from the Socialist Republic of Vietnam: (A– 552–831),’’ dated January 28, 2021. 4 The members of the American Copper Tube Coalition are Mueller Copper Tube Products, Inc., Mueller Copper Tube West Co., Mueller Copper Tube Company, Inc., Howell Metal Company, and Linesets, Inc. (collectively, Mueller Group) and Cerro Flow Products, LLC. 5 See Petitioners’ Letter, ‘‘Seamless Refined Copper Pipe and Tube from Vietnam: Confirmation of No Objection to Extension of Final Results,’’ dated January 28, 2021. PO 00000 Frm 00012 Fmt 4703 Sfmt 4703 8589 reasons for denial exist, Commerce is postponing the final determination until no later than 135 days after the date of the publication of the Preliminary Determination and extending the provisional measures from a four-month period to a period of not more than six months. Accordingly, Commerce will issue its final determination no later than June 16, 2021. Notice to Interested Parties This notice is issued and published pursuant to section 735(a)(2) of the Act and 19 CFR 351.210(g). Dated: February 1, 2021. Christian Marsh, Acting Assistant Secretary for Enforcement and Compliance. [FR Doc. 2021–02531 Filed 2–5–21; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [C–570–138] Pentafluoroethane (R–125) From the People’s Republic of China: Initiation of Countervailing Duty Investigation Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable February 1, 2021. FOR FURTHER INFORMATION CONTACT: Joshua Tucker or Peter Skarlatos, 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) 482–2044 or (202) 482–0324, respectively. SUPPLEMENTARY INFORMATION: AGENCY: The Petition On January 12, 2021, the U.S. Department of Commerce (Commerce) received a countervailing duty (CVD) petition concerning imports of pentafluoroethane (R–125) from the People’s Republic of China (China) filed in proper form on behalf of Honewell International, Inc. (the petitioner).1 The Petition was accompanied by an antidumping duty (AD) petition concerning imports of R–125 from China. Between January 14 and 27, 2021, Commerce requested supplemental information pertaining to certain aspects 1 See Petitioner’s Letter, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties: R–125 (Pentafluoroethane) from the People’s Republic of China,’’ dated January 12, 2021 (the Petition). E:\FR\FM\08FEN1.SGM 08FEN1 8590 Federal Register / Vol. 86, No. 24 / Monday, February 8, 2021 / Notices of the Petition,2 to which the petitioner filed responses between January 19 and 28, 2021.3 In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that the Government of China (GOC) is providing countervailable subsidies, within the meaning of sections 701 and 771(5) of the Act, to producers of R–125 in China and that such imports are materially injuring, or threatening material injury to, the domestic industry producing R–125 in the United States. Consistent with section 702(b)(1) of the Act and 19 CFR 351.202(b), for those alleged programs on which we are initiating a CVD investigation, the Petition is supported by information reasonably available to the petitioner. Commerce finds that the petitioner filed the Petition on behalf of the domestic industry because the petitioner is an interested party as defined in section 771(9)(C) of the Act. Commerce also finds that the petitioner demonstrated sufficient industry support with respect to the initiation of the requested CVD investigation.4 Period of Investigation jbell on DSKJLSW7X2PROD with NOTICES Because the Petition was filed on January 12, 2021, the period of investigation is January 1, 2020, through December 31, 2020.5 2 See Commerce’s Letter, ‘‘Petition for the Imposition of Countervailing Duties on Imports of Pentafluoroethane (R–125) from the People’s Republic of China: Supplemental Questions,’’ dated January 14, 2021; see also Commerce’s Letter, ‘‘Petitions for the Imposition of Antidumping and Countervailing Duties on Imports of Pentafluoroethane (R–125) from the People’s Republic of China: Supplemental Questions,’’ dated January 14, 2021 (General Issues Supplemental); Memorandum, ‘‘Phone Call with Counsel to the Petitioner,’’ dated January 22, 2021 (Phone Call with Petitioner’s Counsel); and Memorandum, ‘‘Phone Call with Counsel to the Petitioner,’’ dated January 27, 2021 (Second Phone Call with Petitioner’s Counsel). 3 See Petitioner’s Letter, ‘‘R–125 (Pentafluoroethane) from the People’s Republic of China: Honeywell International Inc.’s CVD Supplemental Questionnaire Response,’’ dated January 19, 2021; see also Petitioner’s Letter, ‘‘R– 125 (Pentafluoroethane) from the People’s Republic of China: Honeywell International Inc.’s Supplemental Questionnaire Response,’’ dated January 21, 2021 (Petitioner’s First Supplemental Questionnaire Response); Petitioner’s Letter, ‘‘R– 125 (Pentafluoroethane) from the People’s Republic of China: Honeywell International Inc.’s Second Supplemental Questionnaire Response,’’ dated January 25, 2021; and Petitioner’s Letter, ‘‘R–125 (Pentafluoroethane) from the People’s Republic of China: Honeywell International Inc.’s Third Supplemental Questionnaire Response,’’ dated January 28, 2021 (Petitioner’s Third Supplemental Questionnaire Response). 4 See ‘‘Determination of Industry Support for the Petition’’ section, infra. 5 See 19 CFR 351.204(b)(2). VerDate Sep<11>2014 20:48 Feb 05, 2021 Jkt 253001 Scope of the Investigation The merchandise covered by this investigation is R–125 from China. For a full description of the scope of this investigation, see the appendix to this notice. Comments on Scope of the Investigation On January 14, 22, and 27, 2021, Commerce requested further information from the petitioner regarding the proposed scope to ensure that the scope language in the Petition is an accurate reflection of the products for which the domestic industry is seeking relief.6 On January 19 and 28, 2021, the petitioner revised the scope.7 The description of the merchandise covered by this investigation, as described in the appendix to this notice, reflects these clarifications. As discussed in the Preamble to Commerce’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (i.e., scope).8 Commerce will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determination. If scope comments include factual information,9 all such factual information should be limited to public information. To facilitate preparation of its questionnaires, Commerce requests that all interested parties submit scope comments by 5:00 p.m. Eastern Time (ET) on February 22, 2021, which is the next business day after 20 calendar days from the signature date of this notice.10 Any rebuttal comments, which may include factual information, must be filed by 5:00 p.m. ET on March 4, 2021, which is 10 calendar days from the initial comment deadline. Commerce requests that any factual information the parties consider relevant to the scope of the investigation be submitted during this time period. However, if a party subsequently finds that additional factual information 6 See General Issues Supplemental at 3; see also Phone Call with Petitioner’s Counsel at 1; and Second Phone Call with Petitioner’s Counsel at 1. 7 See Petitioner’s First Supplemental Questionnaire Response at 1–2; see also Petitioner’s Third Supplemental Questionnaire Response at 1– 2. 8 See Antidumping Duties; Countervailing Duties, 62 FR 27296, 27323 (May 19, 1997) (Preamble). 9 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 10 See 19 CFR 351.303(b). Commerce’s practice dictates that where a deadline falls on a weekend or Federal holiday, the appropriate deadline is the next business day (in this instance, February 22, 2021). See Notice of Clarification: Application of ‘‘Next Business Day’’ Rule for Administrative Determination Deadlines Pursuant to the Tariff Act of 1930, As Amended, 70 FR 24533 (May 10, 2005). PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 pertaining to the scope of the investigation may be relevant, the party may contact Commerce and request permission to submit the additional information. All scope comments must also be filed on the record of the concurrent AD investigation. Filing Requirements All submissions to Commerce must be filed electronically using Enforcement and Compliance (E&C)’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), unless an exception applies.11 An electronically filed document must be received successfully in its entirety by the time and date it is due. Consultations Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce notified the GOC of the receipt of the Petition and provided it the opportunity for consultations with respect to the CVD Petition.12 The GOC did not request consultations. Determination of Industry Support for the Petition Section 702(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 702(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) At least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, Commerce shall: (i) Poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support 11 See Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance; Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014), for details of Commerce’s electronic filing requirements, effective August 5, 2011. Information on using ACCESS can be found at https://access.trade.gov/ help.aspx and a handbook can be found at https:// access.trade.gov/help/Handbook_on_Electronic_ Filing_Procedures.pdf. 12 See Commerce’s Letter, ‘‘Pentafluoroethane (R– 125) from the People’s Republic of China: Invitation for Consultation to Discuss the Countervailing Duty Petition,’’ dated January 14, 2021. E:\FR\FM\08FEN1.SGM 08FEN1 Federal Register / Vol. 86, No. 24 / Monday, February 8, 2021 / Notices using a statistically valid sampling method to poll the ‘‘industry.’’ Section 771(4)(A) of the Act defines the ‘‘industry’’ as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs Commerce to look to producers and workers who produce the domestic like product. The International Trade Commission (ITC), which is responsible for determining whether ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both Commerce and the ITC must apply the same statutory definition regarding the domestic like product,13 they do so for different purposes and pursuant to a separate and distinct authority. In addition, Commerce’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law.14 Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the petition). With regard to the domestic like product, the petitioner does not offer a definition of the domestic like product distinct from the scope of the investigation.15 Based on our analysis of the information submitted on the record, we have determined that R–125, as defined in the scope, constitutes a single domestic like product, and we have analyzed industry support in terms of that domestic like product.16 In determining whether the petitioner has standing under section 702(c)(4)(A) section 771(10) of the Act. USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d 865 F.2d 240 (Fed. Cir. 1989)). 15 See Volume I of the Petition at 11–14 and Exhibit I–3. 16 For a discussion of the domestic like product analysis as applied to this case and information regarding industry support, see Countervailing Duty Investigation Initiation Checklist: Pentafluoroethane (R–125) from the People’s Republic of China (China CVD Initiation Checklist) at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petitions Covering Pentafluoroethane (R–125) from the People’s Republic of China (Attachment II). This checklist is dated concurrently with this notice and on file electronically via ACCESS. of the Act, we considered the industry support data contained in the Petition with reference to the domestic like product as defined in the ‘‘Scope of the Investigation,’’ in the appendix to this notice. To establish industry support, the petitioner provided its own production of the domestic like product in 2020.17 The petitioner states that there are no other known U.S. producers of R–125; therefore, the Petition is supported by 100 percent of the U.S. industry.18 We relied on data provided by the petitioner for purposes of measuring industry support.19 Our review of the data provided in the Petition, the Petitioner’s First Supplemental Questionnaire Response, and other information readily available to Commerce indicates that the petitioner has established industry support for the Petition. First, the Petition established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (e.g., polling).20 Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petition account for at least 25 percent of the total production of the domestic like product.21 Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petition account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petition.22 Accordingly, Commerce determines that the Petition was filed on behalf of the domestic industry within the meaning of section 702(b)(1) of the Act.23 13 See jbell on DSKJLSW7X2PROD with NOTICES 14 See VerDate Sep<11>2014 20:48 Feb 05, 2021 Jkt 253001 17 See Petitioner’s First Supplemental Questionnaire Response at 2–3 and Exhibit Supp– I–10b. 18 See Volume I of the Petition at 2–4 and Exhibit I–1; see also Petitioner’s First Supplemental Questionnaire Response at Exhibit Supp–I–1. 19 See Volume I of the Petition at 2–4 and Exhibit I–1; see also Petitioner’s First Supplemental Questionnaire Response at 2–3 and Exhibits Supp– I–1 and Supp–I–10b. For further discussion, see Attachment II of the China CVD Initiation Checklist. 20 See Attachment II of the China CVD Initiation Checklist; see also section 702(c)(4)(D) of the Act. 21 See Attachment II of the China CVD Initiation Checklist. 22 Id. 23 Id. PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 8591 Injury Test Because China is a ‘‘Subsidies Agreement Country’’ within the meaning of section 701(b) of the Act, section 701(a)(2) of the Act applies to this investigation. Accordingly, the ITC must determine whether imports of the subject merchandise from China materially injure, or threaten material injury to, a U.S. industry. Allegations and Evidence of Material Injury and Causation The petitioner alleges that imports of the subject merchandise are benefitting from countervailable subsidies and that such imports are causing, or threaten to cause, material injury to the U.S. industry producing the domestic like product. In addition, the petitioner alleges that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.24 The petitioner contends that the industry’s injured condition is illustrated by a significant and increasing volume of subject imports; reduced market share; underselling and price depression and suppression; lost sales and revenues; decline in employment variables; declining profitability; and adverse impact on capital expenditures and capacity utilization.25 We assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.26 Initiation of CVD Investigation Based upon our examination of the Petition and supplemental responses, we find that the Petition meets the requirements of section 702 of the Act. Therefore, we are initiating a CVD investigation to determine whether imports of R–125 from China benefit from countervailable subsidies conferred by the GOC. Based on our review of the Petition, we find that there is sufficient information to initiate a CVD investigation on all five alleged programs. For a full discussion of the basis for our decision to initiate on each program, see China CVD Initiation 24 See Volume I of the Petition at 14–15 and Exhibit I–8. 25 See Volume I of the Petition at 9–10, 14–26 and Exhibits I–2 and I–7 through I–10. 26 See China CVD Initiation Checklist at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and Countervailing Duty Petitions Covering Pentafluoroethane (R–125) from the People’s Republic of China (Attachment III). E:\FR\FM\08FEN1.SGM 08FEN1 8592 Federal Register / Vol. 86, No. 24 / Monday, February 8, 2021 / Notices Checklist. The initiation checklist for this investigation is available on ACCESS. In accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determination no later than 65 days after the date of this initiation. jbell on DSKJLSW7X2PROD with NOTICES Respondent Selection The petitioner named 11 companies in China as producers/exporters of R– 125.27 Commerce intends to follow its standard practice in CVD investigations and calculate company-specific subsidy rates in this investigation. In the event Commerce determines that the number of companies is large and it cannot individually examine each company based upon Commerce’s resources, where appropriate, Commerce intends to select mandatory respondents based on quantity and value (Q&V) questionnaires issued to the potential respondents. Commerce normally selects mandatory respondents in CVD investigations using U.S. Customs and Border Protection (CBP) entry data for U.S. imports under the appropriate Harmonized Tariff Schedule of the United States (HTSUS) numbers listed in the scope of the investigation. However, for this investigation, the HTSUS number under which the subject merchandise would enter (i.e., 2903.39.2035) is a basket category under which non-subject merchandise may enter. Therefore, we cannot rely on CBP entry data in selecting respondents. We intend instead to issue Q&V questionnaires to each potential respondent for which the petitioner has provided a complete address. Producers/exporters of R–125 from China that do not receive Q&V questionnaires by mail may still submit a response to the Q&V questionnaire and can obtain the Q&V questionnaire from E&C’s website at https:// enforcement.trade.gov/questionnaires/ questionnaires-ad.html. Responses to the Q&V questionnaire must be submitted by the relevant Chinese producers/exporters no later than 5:00 p.m. ET on February 16, 2021. All Q&V responses must be filed electronically via ACCESS. An electronically filed document must be received successfully, in its entirety, by ACCESS no later than 5:00 p.m. ET on the deadline noted above. Commerce intends to finalize its decisions regarding respondent selection within 20 days of publication of this notice. Distribution of Copies of the Petition In accordance with section 702(b)(4)(A) of the Act and 19 CFR 351.202(f), a copy of the public version of the Petition has been provided to the GOC via ACCESS. Furthermore, to the extent practicable, Commerce will attempt to provide a copy of the public version of the Petition to each exporter named in the Petition, as provided under 19 CFR 351.203(c)(2). ITC Notification Commerce will notify the ITC of its initiation, as required by section 702(d) of the Act. Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petition was filed, whether there is a reasonable indication that imports of R–125 from China are materially injuring, or threatening material injury to, a U.S. industry.28 A negative ITC determination will result in the investigation being terminated.29 Otherwise, this investigation will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) Evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) evidence other than factual information described in (i)–(iv). Section 351.301(b) of Commerce’s regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 30 and, if the information is submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct.31 Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to 28 See 30 See 27 See Volume I of the Petition at Exhibit I–11. VerDate Sep<11>2014 20:48 Feb 05, 2021 Jkt 253001 section 703(a)(1) of the Act. 29 Id. 31 See PO 00000 19 CFR 351.301(b). 19 CFR 351.301(b)(2). Frm 00015 Fmt 4703 Sfmt 4703 submitting factual information in this investigation. Extensions of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by Commerce. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301.32 For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, Commerce may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, Commerce will inform parties in a letter or memorandum of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, stand-alone submission; under limited circumstances we will grant untimelyfiled requests for the extension of time limits. Parties should review Commerce’s regulations concerning the extension of time limits prior to submitting extension requests or factual information in this investigation.33 Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.34 Parties must use the certification formats provided in 19 CFR 351.303(g).35 Commerce intends to reject factual submissions if the submitting party does not comply with the applicable certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under administrative protective order in accordance with 19 CFR 351.305. Parties wishing to participate in this investigation should ensure that they 32 See 19 CFR 351.302. 19 CFR 351; see also Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013), available at https://www.gpo.gov/fdsys/pkg/ FR-2013-09-20/html/2013-22853.htm. 34 See section 782(b) of the Act. 35 See Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also frequently asked questions regarding the Final Rule, available at https://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 33 See E:\FR\FM\08FEN1.SGM 08FEN1 Federal Register / Vol. 86, No. 24 / Monday, February 8, 2021 / Notices meet the requirements of document submission procedures (e.g., the filing of letters of appearance as discussed at 19 CFR 351.103(d)).36 Note that Commerce has temporarily modified certain of its requirements for serving documents containing business proprietary information, until further notice.37 This notice is issued and published pursuant to sections 702 and 777(i) of the Act, and 19 CFR 351.203(c). Dated: February 1, 2021. Christian Marsh, Acting Assistant Secretary for Enforcement and Compliance. Appendix Scope of the Investigation The merchandise covered by this investigation is pentafluoroethane (R–125), or its chemical equivalent, regardless of form, type or purity level. R–125 has the Chemical Abstracts Service (CAS) registry number of 354–33–6 and the chemical formula C2HF5. R–125 is also referred to as Pentafluoroethane, Genetron HFC 125, Khladon 125, Suva 125, Freon 125, and Fc125. Subject merchandise includes R–125, whether or not incorporated into a blend. When R–125 is blended with other products, only the R–125 component of the mixture is covered by the scope of this investigation. Subject merchandise also includes R–125 and unpurified R–125 that is processed in a third country or otherwise outside the customs territory of the United States, including, but not limited to, purifying, blending, or any other processing that would not otherwise remove the merchandise from the scope of this investigation if performed in the country of manufacture of the in-scope R–125. The scope also includes R–125 that is commingled with R–125 from sources not subject to this investigation. Only the subject component of such commingled products is covered by the scope of this investigation. Excluded from the current scope is merchandise covered by the scope of the antidumping order on Hydrofluorocarbon Blends from the People’s Republic of China. See Hydrofluorocarbon Blends from the People’s Republic of China: Antidumping Duty Order, 81 FR 55436 (August 19, 2016) (the Blends Order). R–125 is classified under Harmonized Tariff Schedule of the United States (HTSUS) subheading 2903.39.2035. Merchandise subject to the scope may also be entered under HTSUS subheadings 2903.39.2045 and 3824.78.0020. The HTSUS subheadings and CAS registry number are provided for convenience and customs purposes. The written description of the scope of the investigation is dispositive. jbell on DSKJLSW7X2PROD with NOTICES [FR Doc. 2021–02530 Filed 2–5–21; 8:45 am] BILLING CODE 3510–DS–P 36 See Antidumping and Countervailing Duty Proceedings: Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). 37 See Temporary Rule Modifying AD/CVD Service Requirements Due to COVID–19; Extension of Effective Period, 85 FR 41363 (July 10, 2020). VerDate Sep<11>2014 20:48 Feb 05, 2021 Jkt 253001 DEPARTMENT OF COMMERCE International Trade Administration [C–570–968] Aluminum Extrusions From the People’s Republic of China: Notice of Correction to Final Results of Countervailing Duty Administrative Review; 2018 Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) is issuing a correction to the previously published Federal Register notice of the final results of the countervailing duty administrative review on aluminum extrusions from the People’s Republic of China (China) covering the period January 1, 2018, through December 31, 2018, which inadvertently omitted certain companies. AGENCY: Applicable February 8, 2021. FOR FURTHER INFORMATION CONTACT: Davina Friedmann, AD/CVD Operations, Office VI, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0698. SUPPLEMENTARY INFORMATION: 242.15 percent, based on adverse facts available, to these three companies, which are included in the rates table listed below.5 With this notice, we are hereby correcting the Final Results by providing the complete rates table for all nine companies, which restates the subsidy rates for six of the nine companies and includes the additional three companies that were inadvertently omitted from the rates table in the Final Results (i.e., Shenyang Yuanda, Summit, and Wenzhou Yongtai). Corrected Final Results of Administrative Review As stated in the Final Results, and in accordance with 19 CFR 351.221(b)(5), we determine the following final net subsidy rates for the 2018 administrative review: 6 DATES: Correction On January 22, 2021, Commerce published the Final Results in the Federal Register.1 The Final Results covered nine companies under administrative review and intended to convey the final subsidy rates assigned to all nine companies in a rates table.2 However, Commerce inadvertently omitted from the rates table three of the nine companies to which it assigned final subsidy rates.3 Those companies are: Shanyang Yuanda Aluminum Industry Engineering Co. Ltd. (Shenyang Yuanda); Summit Heat Sinks Metal Co, Ltd. (Summit); and Wenzhou Yongtai Electric Co. Ltd. (Wenzhou Yongtai).4 In the Final Results Commerce made no changes to its preliminary results, and thus continued to assign the rate of Aluminum Extrusions from the People’s Republic of China: Final Results of the Countervailing Duty Administrative Review and Rescission of Review, in Part, 2018, 86 FR 6630 (January 22, 2021) (Final Results). 2 Id., 86 FR at 6631. 3 Id; see also Aluminum Extrusions from the People’s Republic of China: Final Results of the Countervailing Duty Administrative Review, Rescission of Review, in Part, and Intent to Rescind, in Part; 2018, 85 FR 47349 (August 5, 2020) (Preliminary Results). 4 See Preliminary Results, 85 FR at 47350. 8593 Company Activa International Inc ............. Changzou Tenglong Auto Parts Co. Ltd .................................. CRRC Changzhou Auto Parts Co. Ltd .................................. Dongguan Aoda Aluminum Co. Ltd ......................................... Guangdong Xingfa Aluminum Co., Ltd ................................. Precision Metal Works Ltd ....... Shenyang Yuanda Aluminum Industry Engineering Co. Ltd 7 ....................................... Summit Heat Sinks Metal Co, Ltd 8 ....................................... Wenzhou Yongtai Electric Co. Ltd 9 ....................................... Final ad valorem rate (percent) 242.15 16.08 242.15 16.08 242.15 242.15 242.15 242.15 242.15 This notice serves as a correction to the Final Results and is published in accordance with 751(a) and 777(i) of the Tariff Act of 1930, as amended. Dated: February 1, 2021. Christian Marsh, Acting Assistant Secretary for Enforcement and Compliance. [FR Doc. 2021–02528 Filed 2–5–21; 8:45 am] BILLING CODE 3510–DS–P 1 See PO 00000 Frm 00016 Fmt 4703 Sfmt 9990 5 See Final Results, 86 FR at 6630; see also Preliminary Results, 85 FR at 47351. 6 See Preliminary Results; see also Memorandum, ‘‘Administrative Review of Countervailing Duty Order on Aluminum Extrusions from the People’s Republic of China: AFA Calculation Memorandum for the Preliminary Results of Review; 2018,’’ dated August 28, 2020. 7 This company was inadvertently omitted from the rates table in the Final Results. 8 Id. 9 Id. E:\FR\FM\08FEN1.SGM 08FEN1

Agencies

[Federal Register Volume 86, Number 24 (Monday, February 8, 2021)]
[Notices]
[Pages 8589-8593]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-02530]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-138]


Pentafluoroethane (R-125) From the People's Republic of China: 
Initiation of Countervailing Duty Investigation

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

DATES: Applicable February 1, 2021.

FOR FURTHER INFORMATION CONTACT: Joshua Tucker or Peter Skarlatos, 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) 482-2044 or (202) 
482-0324, respectively.

SUPPLEMENTARY INFORMATION:

The Petition

    On January 12, 2021, the U.S. Department of Commerce (Commerce) 
received a countervailing duty (CVD) petition concerning imports of 
pentafluoroethane (R-125) from the People's Republic of China (China) 
filed in proper form on behalf of Honewell International, Inc. (the 
petitioner).\1\ The Petition was accompanied by an antidumping duty 
(AD) petition concerning imports of R-125 from China.
---------------------------------------------------------------------------

    \1\ See Petitioner's Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties: R-125 (Pentafluoroethane) 
from the People's Republic of China,'' dated January 12, 2021 (the 
Petition).
---------------------------------------------------------------------------

    Between January 14 and 27, 2021, Commerce requested supplemental 
information pertaining to certain aspects

[[Page 8590]]

of the Petition,\2\ to which the petitioner filed responses between 
January 19 and 28, 2021.\3\
---------------------------------------------------------------------------

    \2\ See Commerce's Letter, ``Petition for the Imposition of 
Countervailing Duties on Imports of Pentafluoroethane (R-125) from 
the People's Republic of China: Supplemental Questions,'' dated 
January 14, 2021; see also Commerce's Letter, ``Petitions for the 
Imposition of Antidumping and Countervailing Duties on Imports of 
Pentafluoroethane (R-125) from the People's Republic of China: 
Supplemental Questions,'' dated January 14, 2021 (General Issues 
Supplemental); Memorandum, ``Phone Call with Counsel to the 
Petitioner,'' dated January 22, 2021 (Phone Call with Petitioner's 
Counsel); and Memorandum, ``Phone Call with Counsel to the 
Petitioner,'' dated January 27, 2021 (Second Phone Call with 
Petitioner's Counsel).
    \3\ See Petitioner's Letter, ``R-125 (Pentafluoroethane) from 
the People's Republic of China: Honeywell International Inc.'s CVD 
Supplemental Questionnaire Response,'' dated January 19, 2021; see 
also Petitioner's Letter, ``R-125 (Pentafluoroethane) from the 
People's Republic of China: Honeywell International Inc.'s 
Supplemental Questionnaire Response,'' dated January 21, 2021 
(Petitioner's First Supplemental Questionnaire Response); 
Petitioner's Letter, ``R-125 (Pentafluoroethane) from the People's 
Republic of China: Honeywell International Inc.'s Second 
Supplemental Questionnaire Response,'' dated January 25, 2021; and 
Petitioner's Letter, ``R-125 (Pentafluoroethane) from the People's 
Republic of China: Honeywell International Inc.'s Third Supplemental 
Questionnaire Response,'' dated January 28, 2021 (Petitioner's Third 
Supplemental Questionnaire Response).
---------------------------------------------------------------------------

    In accordance with section 702(b)(1) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that the Government of China 
(GOC) is providing countervailable subsidies, within the meaning of 
sections 701 and 771(5) of the Act, to producers of R-125 in China and 
that such imports are materially injuring, or threatening material 
injury to, the domestic industry producing R-125 in the United States. 
Consistent with section 702(b)(1) of the Act and 19 CFR 351.202(b), for 
those alleged programs on which we are initiating a CVD investigation, 
the Petition is supported by information reasonably available to the 
petitioner.
    Commerce finds that the petitioner filed the Petition on behalf of 
the domestic industry because the petitioner is an interested party as 
defined in section 771(9)(C) of the Act. Commerce also finds that the 
petitioner demonstrated sufficient industry support with respect to the 
initiation of the requested CVD investigation.\4\
---------------------------------------------------------------------------

    \4\ See ``Determination of Industry Support for the Petition'' 
section, infra.
---------------------------------------------------------------------------

Period of Investigation

    Because the Petition was filed on January 12, 2021, the period of 
investigation is January 1, 2020, through December 31, 2020.\5\
---------------------------------------------------------------------------

    \5\ See 19 CFR 351.204(b)(2).
---------------------------------------------------------------------------

Scope of the Investigation

    The merchandise covered by this investigation is R-125 from China. 
For a full description of the scope of this investigation, see the 
appendix to this notice.

Comments on Scope of the Investigation

    On January 14, 22, and 27, 2021, Commerce requested further 
information from the petitioner regarding the proposed scope to ensure 
that the scope language in the Petition is an accurate reflection of 
the products for which the domestic industry is seeking relief.\6\ On 
January 19 and 28, 2021, the petitioner revised the scope.\7\ The 
description of the merchandise covered by this investigation, as 
described in the appendix to this notice, reflects these 
clarifications.
---------------------------------------------------------------------------

    \6\ See General Issues Supplemental at 3; see also Phone Call 
with Petitioner's Counsel at 1; and Second Phone Call with 
Petitioner's Counsel at 1.
    \7\ See Petitioner's First Supplemental Questionnaire Response 
at 1-2; see also Petitioner's Third Supplemental Questionnaire 
Response at 1-2.
---------------------------------------------------------------------------

    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (i.e., scope).\8\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determination. If scope comments include factual information,\9\ all 
such factual information should be limited to public information. To 
facilitate preparation of its questionnaires, Commerce requests that 
all interested parties submit scope comments by 5:00 p.m. Eastern Time 
(ET) on February 22, 2021, which is the next business day after 20 
calendar days from the signature date of this notice.\10\ Any rebuttal 
comments, which may include factual information, must be filed by 5:00 
p.m. ET on March 4, 2021, which is 10 calendar days from the initial 
comment deadline.
---------------------------------------------------------------------------

    \8\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997) (Preamble).
    \9\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
    \10\ See 19 CFR 351.303(b). Commerce's practice dictates that 
where a deadline falls on a weekend or Federal holiday, the 
appropriate deadline is the next business day (in this instance, 
February 22, 2021). See Notice of Clarification: Application of 
``Next Business Day'' Rule for Administrative Determination 
Deadlines Pursuant to the Tariff Act of 1930, As Amended, 70 FR 
24533 (May 10, 2005).
---------------------------------------------------------------------------

    Commerce requests that any factual information the parties consider 
relevant to the scope of the investigation be submitted during this 
time period. However, if a party subsequently finds that additional 
factual information pertaining to the scope of the investigation may be 
relevant, the party may contact Commerce and request permission to 
submit the additional information. All scope comments must also be 
filed on the record of the concurrent AD investigation.

Filing Requirements

    All submissions to Commerce must be filed electronically using 
Enforcement and Compliance (E&C)'s Antidumping Duty and Countervailing 
Duty Centralized Electronic Service System (ACCESS), unless an 
exception applies.\11\ An electronically filed document must be 
received successfully in its entirety by the time and date it is due.
---------------------------------------------------------------------------

    \11\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014), for details of Commerce's electronic filing 
requirements, effective August 5, 2011. Information on using ACCESS 
can be found at https://access.trade.gov/help.aspx and a handbook 
can be found at https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf.
---------------------------------------------------------------------------

Consultations

    Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce 
notified the GOC of the receipt of the Petition and provided it the 
opportunity for consultations with respect to the CVD Petition.\12\ The 
GOC did not request consultations.
---------------------------------------------------------------------------

    \12\ See Commerce's Letter, ``Pentafluoroethane (R-125) from the 
People's Republic of China: Invitation for Consultation to Discuss 
the Countervailing Duty Petition,'' dated January 14, 2021.
---------------------------------------------------------------------------

Determination of Industry Support for the Petition

    Section 702(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 702(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce shall: (i) 
Poll the industry or rely on other information in order to determine if 
there is support for the petition, as required by subparagraph (A); or 
(ii) determine industry support

[[Page 8591]]

using a statistically valid sampling method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs Commerce to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\13\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce's determination 
is subject to limitations of time and information. Although this may 
result in different definitions of the like product, such differences 
do not render the decision of either agency contrary to law.\14\
---------------------------------------------------------------------------

    \13\ See section 771(10) of the Act.
    \14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------

    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
petition).
    With regard to the domestic like product, the petitioner does not 
offer a definition of the domestic like product distinct from the scope 
of the investigation.\15\ Based on our analysis of the information 
submitted on the record, we have determined that R-125, as defined in 
the scope, constitutes a single domestic like product, and we have 
analyzed industry support in terms of that domestic like product.\16\
---------------------------------------------------------------------------

    \15\ See Volume I of the Petition at 11-14 and Exhibit I-3.
    \16\ For a discussion of the domestic like product analysis as 
applied to this case and information regarding industry support, see 
Countervailing Duty Investigation Initiation Checklist: 
Pentafluoroethane (R-125) from the People's Republic of China (China 
CVD Initiation Checklist) at Attachment II, Analysis of Industry 
Support for the Antidumping and Countervailing Duty Petitions 
Covering Pentafluoroethane (R-125) from the People's Republic of 
China (Attachment II). This checklist is dated concurrently with 
this notice and on file electronically via ACCESS.
---------------------------------------------------------------------------

    In determining whether the petitioner has standing under section 
702(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petition with reference to the domestic like product 
as defined in the ``Scope of the Investigation,'' in the appendix to 
this notice. To establish industry support, the petitioner provided its 
own production of the domestic like product in 2020.\17\ The petitioner 
states that there are no other known U.S. producers of R-125; 
therefore, the Petition is supported by 100 percent of the U.S. 
industry.\18\ We relied on data provided by the petitioner for purposes 
of measuring industry support.\19\
---------------------------------------------------------------------------

    \17\ See Petitioner's First Supplemental Questionnaire Response 
at 2-3 and Exhibit Supp-I-10b.
    \18\ See Volume I of the Petition at 2-4 and Exhibit I-1; see 
also Petitioner's First Supplemental Questionnaire Response at 
Exhibit Supp-I-1.
    \19\ See Volume I of the Petition at 2-4 and Exhibit I-1; see 
also Petitioner's First Supplemental Questionnaire Response at 2-3 
and Exhibits Supp-I-1 and Supp-I-10b. For further discussion, see 
Attachment II of the China CVD Initiation Checklist.
---------------------------------------------------------------------------

    Our review of the data provided in the Petition, the Petitioner's 
First Supplemental Questionnaire Response, and other information 
readily available to Commerce indicates that the petitioner has 
established industry support for the Petition. First, the Petition 
established support from domestic producers (or workers) accounting for 
more than 50 percent of the total production of the domestic like 
product and, as such, Commerce is not required to take further action 
in order to evaluate industry support (e.g., polling).\20\ Second, the 
domestic producers (or workers) have met the statutory criteria for 
industry support under section 702(c)(4)(A)(i) of the Act because the 
domestic producers (or workers) who support the Petition account for at 
least 25 percent of the total production of the domestic like 
product.\21\ Finally, the domestic producers (or workers) have met the 
statutory criteria for industry support under section 702(c)(4)(A)(ii) 
of the Act because the domestic producers (or workers) who support the 
Petition account for more than 50 percent of the production of the 
domestic like product produced by that portion of the industry 
expressing support for, or opposition to, the Petition.\22\ 
Accordingly, Commerce determines that the Petition was filed on behalf 
of the domestic industry within the meaning of section 702(b)(1) of the 
Act.\23\
---------------------------------------------------------------------------

    \20\ See Attachment II of the China CVD Initiation Checklist; 
see also section 702(c)(4)(D) of the Act.
    \21\ See Attachment II of the China CVD Initiation Checklist.
    \22\ Id.
    \23\ Id.
---------------------------------------------------------------------------

Injury Test

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

Allegations and Evidence of Material Injury and Causation

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

    \24\ See Volume I of the Petition at 14-15 and Exhibit I-8.
---------------------------------------------------------------------------

    The petitioner contends that the industry's injured condition is 
illustrated by a significant and increasing volume of subject imports; 
reduced market share; underselling and price depression and 
suppression; lost sales and revenues; decline in employment variables; 
declining profitability; and adverse impact on capital expenditures and 
capacity utilization.\25\ We assessed the allegations and supporting 
evidence regarding material injury, threat of material injury, 
causation, as well as negligibility, and we have determined that these 
allegations are properly supported by adequate evidence, and meet the 
statutory requirements for initiation.\26\
---------------------------------------------------------------------------

    \25\ See Volume I of the Petition at 9-10, 14-26 and Exhibits I-
2 and I-7 through I-10.
    \26\ See China CVD Initiation Checklist at Attachment III, 
Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Pentafluoroethane (R-125) from the People's Republic of 
China (Attachment III).
---------------------------------------------------------------------------

Initiation of CVD Investigation

    Based upon our examination of the Petition and supplemental 
responses, we find that the Petition meets the requirements of section 
702 of the Act. Therefore, we are initiating a CVD investigation to 
determine whether imports of R-125 from China benefit from 
countervailable subsidies conferred by the GOC. Based on our review of 
the Petition, we find that there is sufficient information to initiate 
a CVD investigation on all five alleged programs. For a full discussion 
of the basis for our decision to initiate on each program, see China 
CVD Initiation

[[Page 8592]]

Checklist. The initiation checklist for this investigation is available 
on ACCESS. In accordance with section 703(b)(1) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determination no later than 65 days after the date of this initiation.

Respondent Selection

    The petitioner named 11 companies in China as producers/exporters 
of R-125.\27\ Commerce intends to follow its standard practice in CVD 
investigations and calculate company-specific subsidy rates in this 
investigation. In the event Commerce determines that the number of 
companies is large and it cannot individually examine each company 
based upon Commerce's resources, where appropriate, Commerce intends to 
select mandatory respondents based on quantity and value (Q&V) 
questionnaires issued to the potential respondents. Commerce normally 
selects mandatory respondents in CVD investigations using U.S. Customs 
and Border Protection (CBP) entry data for U.S. imports under the 
appropriate Harmonized Tariff Schedule of the United States (HTSUS) 
numbers listed in the scope of the investigation. However, for this 
investigation, the HTSUS number under which the subject merchandise 
would enter (i.e., 2903.39.2035) is a basket category under which non-
subject merchandise may enter. Therefore, we cannot rely on CBP entry 
data in selecting respondents. We intend instead to issue Q&V 
questionnaires to each potential respondent for which the petitioner 
has provided a complete address.
---------------------------------------------------------------------------

    \27\ See Volume I of the Petition at Exhibit I-11.
---------------------------------------------------------------------------

    Producers/exporters of R-125 from China that do not receive Q&V 
questionnaires by mail may still submit a response to the Q&V 
questionnaire and can obtain the Q&V questionnaire from E&C's website 
at https://enforcement.trade.gov/questionnaires/questionnaires-ad.html. 
Responses to the Q&V questionnaire must be submitted by the relevant 
Chinese producers/exporters no later than 5:00 p.m. ET on February 16, 
2021. All Q&V responses must be filed electronically via ACCESS. An 
electronically filed document must be received successfully, in its 
entirety, by ACCESS no later than 5:00 p.m. ET on the deadline noted 
above. Commerce intends to finalize its decisions regarding respondent 
selection within 20 days of publication of this notice.

Distribution of Copies of the Petition

    In accordance with section 702(b)(4)(A) of the Act and 19 CFR 
351.202(f), a copy of the public version of the Petition has been 
provided to the GOC via ACCESS. Furthermore, to the extent practicable, 
Commerce will attempt to provide a copy of the public version of the 
Petition to each exporter named in the Petition, as provided under 19 
CFR 351.203(c)(2).

ITC Notification

    Commerce will notify the ITC of its initiation, as required by 
section 702(d) of the Act.

Preliminary Determination by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petition was filed, whether there is a reasonable 
indication that imports of R-125 from China are materially injuring, or 
threatening material injury to, a U.S. industry.\28\ A negative ITC 
determination will result in the investigation being terminated.\29\ 
Otherwise, this investigation will proceed according to statutory and 
regulatory time limits.
---------------------------------------------------------------------------

    \28\ See section 703(a)(1) of the Act.
    \29\ Id.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Section 351.301(b) of Commerce's 
regulations requires any party, when submitting factual information, to 
specify under which subsection of 19 CFR 351.102(b)(21) the information 
is being submitted \30\ and, if the information is submitted to rebut, 
clarify, or correct factual information already on the record, to 
provide an explanation identifying the information already on the 
record that the factual information seeks to rebut, clarify, or 
correct.\31\ Time limits for the submission of factual information are 
addressed in 19 CFR 351.301, which provides specific time limits based 
on the type of factual information being submitted. Interested parties 
should review the regulations prior to submitting factual information 
in this investigation.
---------------------------------------------------------------------------

    \30\ See 19 CFR 351.301(b).
    \31\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by Commerce. In general, an extension request will 
be considered untimely if it is filed after the expiration of the time 
limit established under 19 CFR 351.301.\32\ For submissions that are 
due from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, Commerce may elect to specify a different 
time limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, Commerce will inform parties in a letter or memorandum of the 
deadline (including a specified time) by which extension requests must 
be filed to be considered timely. An extension request must be made in 
a separate, stand-alone submission; under limited circumstances we will 
grant untimely-filed requests for the extension of time limits. Parties 
should review Commerce's regulations concerning the extension of time 
limits prior to submitting extension requests or factual information in 
this investigation.\33\
---------------------------------------------------------------------------

    \32\ See 19 CFR 351.302.
    \33\ See 19 CFR 351; see also Extension of Time Limits; Final 
Rule, 78 FR 57790 (September 20, 2013), available at https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm.
---------------------------------------------------------------------------

Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\34\ 
Parties must use the certification formats provided in 19 CFR 
351.303(g).\35\ Commerce intends to reject factual submissions if the 
submitting party does not comply with the applicable certification 
requirements.
---------------------------------------------------------------------------

    \34\ See section 782(b) of the Act.
    \35\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also 
frequently asked questions regarding the Final Rule, available at 
https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
---------------------------------------------------------------------------

Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
administrative protective order in accordance with 19 CFR 351.305. 
Parties wishing to participate in this investigation should ensure that 
they

[[Page 8593]]

meet the requirements of document submission procedures (e.g., the 
filing of letters of appearance as discussed at 19 CFR 351.103(d)).\36\ 
Note that Commerce has temporarily modified certain of its requirements 
for serving documents containing business proprietary information, 
until further notice.\37\
---------------------------------------------------------------------------

    \36\ See Antidumping and Countervailing Duty Proceedings: 
Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 
22, 2008).
    \37\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
---------------------------------------------------------------------------

    This notice is issued and published pursuant to sections 702 and 
777(i) of the Act, and 19 CFR 351.203(c).

    Dated: February 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigation

    The merchandise covered by this investigation is 
pentafluoroethane (R-125), or its chemical equivalent, regardless of 
form, type or purity level. R-125 has the Chemical Abstracts Service 
(CAS) registry number of 354-33-6 and the chemical formula 
C2HF5. R-125 is also referred to as 
Pentafluoroethane, Genetron HFC 125, Khladon 125, Suva 125, Freon 
125, and Fc-125. Subject merchandise includes R-125, whether or not 
incorporated into a blend. When R-125 is blended with other 
products, only the R-125 component of the mixture is covered by the 
scope of this investigation. Subject merchandise also includes R-125 
and unpurified R-125 that is processed in a third country or 
otherwise outside the customs territory of the United States, 
including, but not limited to, purifying, blending, or any other 
processing that would not otherwise remove the merchandise from the 
scope of this investigation if performed in the country of 
manufacture of the in-scope R-125. The scope also includes R-125 
that is commingled with R-125 from sources not subject to this 
investigation. Only the subject component of such commingled 
products is covered by the scope of this investigation.
    Excluded from the current scope is merchandise covered by the 
scope of the antidumping order on Hydrofluorocarbon Blends from the 
People's Republic of China. See Hydrofluorocarbon Blends from the 
People's Republic of China: Antidumping Duty Order, 81 FR 55436 
(August 19, 2016) (the Blends Order).
    R-125 is classified under Harmonized Tariff Schedule of the 
United States (HTSUS) subheading 2903.39.2035. Merchandise subject 
to the scope may also be entered under HTSUS subheadings 
2903.39.2045 and 3824.78.0020. The HTSUS subheadings and CAS 
registry number are provided for convenience and customs purposes. 
The written description of the scope of the investigation is 
dispositive.

[FR Doc. 2021-02530 Filed 2-5-21; 8:45 am]
BILLING CODE 3510-DS-P
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