Ultra-High Molecular Weight Polyethylene From the Republic of Korea: Final Determination of Sales at Less Than Fair Value, 11497-11499 [2021-03903]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 86, Number 36 (Thursday, February 25, 2021)]
[Notices]
[Pages 11497-11499]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-03903]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-907]


Ultra-High Molecular Weight Polyethylene From the Republic of 
Korea: Final Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) determines that ultra-
high molecular weight polyethylene (ultra-high polyethylene) from 
Republic of Korea (Korea) is being, or is likely to be, sold in the 
United States at less than fair value (LTFV). The period of 
investigation (POI) is January 1, 2019, through December 31, 2019. The 
final dumping margins of sales at LTFV are listed in the ``Final 
Determination'' section of this notice.

DATES: Applicable February 25, 2021.

FOR FURTHER INFORMATION CONTACT: Ian Hamilton 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) 482-4798 or (202) 
482-0324, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On October 6, 2020, Commerce published the Preliminary 
Determination, in which we also postponed the final determination to 
February 18, 2021.\1\ A summary of the events that occurred since 
Commerce published the Preliminary Determination, as well as a full 
discussion of the issues raised by parties for this final 
determination, may be found in the Issues and Decision Memorandum, 
which is hereby adopted by this notice.\2\
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    \1\ See Ultra-High Molecular Weight Polyethylene from the 
Republic of Korea: Preliminary Affirmative Determination of Sales at 
Less Than Fair Value, 85 FR 63095 (October 6, 2020) (Preliminary 
Determination).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Ultra-High Molecular Weight Polyethylene from the 
Republic of Korea,'' dated concurrently with this notice (Issues and 
Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is ultra-high 
polyethylene from Korea. For a complete description of the scope of the 
investigation, see Appendix I.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Issues and Decision Memorandum. 
A list of the issues raised is attached to this notice as Appendix II. 
The Issues and Decision Memorandum is a public document and is on file 
electronically via Enforcement and Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at https://access.trade.gov. In 
addition, a complete version of the Issues and Decision Memorandum can 
be accessed directly at https://enforcement.trade.gov/frn/. 
The signed and electronic versions of the Issues and Decision 
Memorandum are identical in content.

Verification

    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 Tariff Act of 
1930, as amended (the Act).\3\
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    \3\ See Commerce's Letter, Antidumping Duty Investigation of 
Ultra-High Molecular Weight Polyethylene from the Republic of Korea, 
dated October 21, 2020; see also KPIC's Letter, ``Ultra-High 
Molecular Weight Polyethylene from the Republic of Korea: Response 
to Questionnaire Issued In Lieu of Verification,'' dated November 2, 
2020.
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Changes Since the Preliminary Determination

    Based on our analysis of both the comments received and the 
information received in lieu of on-site verification, we made certain 
changes to the margin calculations for KPIC. For a discussion of these 
changes, see the ``Margin Calculation'' section of the Issues and 
Decision Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated all-
others rate shall be an amount equal to the weighted average of the 
estimated weighted-average dumping margins established for exporters 
and producers individually investigated, excluding any zero or de 
minimis margins, and margins determined entirely under section 776 of 
the Act. Section 735(c)(5)(B) of the Act provides that if the estimated 
weighted-average dumping margins for all individually investigated 
exporters and producers are zero or de minimis or determined

[[Page 11498]]

entirely under section 776 of the Act, then Commerce may use any 
reasonable method to establish the estimated all-others rate, including 
averaging the estimated weighted-average dumping margins determined for 
the individually investigated exporters and producers.
    Commerce calculated an individual estimated weighted-average 
dumping margin for KPIC, the only individually examined exporter/
producer in this investigation. Because the only individually 
calculated dumping margin is not zero, de minimis, or based entirely on 
facts otherwise available, the estimated weighted-average dumping 
margin calculated for KPIC is the margin assigned to all other 
producers and exporters, pursuant to section 735(c)(5)(A) of the Act.

Final Determination

    The final estimated weighted-average dumping margins are as 
follows:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Exporter/manufacturer                       margin
                                                               (percent)
------------------------------------------------------------------------
Korea Petrochemical Ind. Co., Ltd./KPIC Corporation.........        7.84
All Others..................................................        7.84
------------------------------------------------------------------------

Disclosure

    We intend to disclose the calculations performed within five days 
of the date of publication of this notice to parties in this 
proceeding, in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    For this final determination, for entries made by KPIC and the 
companies covered by the all-others rate, in accordance with section 
735(c)(4)(A) of the Act, we will direct U.S. Customs and Border 
Protection (CBP) to continue to suspend liquidation of all entries of 
subject merchandise, as described in Appendix I of this notice, which 
were entered, or withdrawn from warehouse, for consumption on or after 
October 6, 2020, the date of publication of the Preliminary 
Determination of this investigation in the Federal Register.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), we will instruct CBP to require a cash deposit for such 
entries of merchandise equal to the estimated weighted-average dumping 
margin as follows: (1) The cash deposit rate for the respondent listed 
above will be equal to the company-specific estimated weighted-average 
dumping margin determined in this final determination; (2) if the 
exporter is not the respondent identified above, but the producer is, 
then the cash deposit rate will be equal to the company-specific 
estimated weighted-average dumping margin established for that producer 
of the subject merchandise; and (3) the cash deposit rate for all other 
producers and exporters will be equal to the all-others estimated 
weighted-average dumping margin. These suspension of liquidation 
instructions will remain in effect until further notice.

International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we will notify the 
ITC of the final affirmative determination of sales at LTFV. We will 
allow the ITC access to all privileged and business proprietary 
information in our files, provided the ITC confirms that it will not 
disclose such information, either publicly or under an administrative 
protective order (APO), without the written consent of the Assistant 
Secretary for Enforcement and Compliance. Because the final 
determination in this proceeding is affirmative, in accordance with 
section 735(b)(2) 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 
ultra-high polyethylene from Korea no later than 45 days after our 
final determination. If the ITC determines that such 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 an antidumping duty order directing CBP to assess, 
upon further instruction by Commerce, antidumping duties on all imports 
of the subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Notification Regarding Administrative Protective Orders

    This notice serves as a reminder to parties subject to APO of their 
responsibility concerning the disposition of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
notification of the return or destruction of APO materials, or 
conversion to judicial protective order, is hereby requested. Failure 
to comply with the regulations and the terms of an APO is a 
sanctionable violation.
    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act.

    Dated: February 18, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The merchandise covered by the scope is ultra-high molecular 
weight polyethylene. Ultra-high molecular weight polyethylene is a 
linear polyethylene, in granular or powder form is defined by its 
molecular weight, as defined by Margolie's Equation, of greater than 
1.0 x 106 g/mol. Ultra-high molecular weight polyethylene may also 
be defined by its melt mass-flow rate of <0.1 g/10 min, measured at 
190 [deg]C and 21.6 kg load, based on the methods and calculations 
set forth in the International Organization for Standardization 
(ISO) standards 21304-1 and 21304-2. Ultra-high molecular weight 
polyethylene has a Chemical Abstract Service (CAS) registry number 
of 9002-88-4.
    The scope includes all ultra-high molecular weight polyethylene 
in granular or powder forms meeting the above specifications 
regardless of additives introduced in the manufacturing process. 
Ultra-high molecular weight polyethylene blended with other products 
is included in the scope of this investigation where ultra-high 
molecular weight polyethylene accounts for more than 50 percent, by 
actual weight, of the blend and the resulting blend maintains a 
molecular weight, as defined by Margolie's Equation, of greater than 
1.0 x 106 g/mol and/or a melt mass-flow rate of <0.1 g/10 min.
    Excluded from the scope of the investigation is medical-grade 
ultra-high molecular weight polyethylene. Medical grade ultra-high 
molecular weight polyethylene has a minimum viscosity of 2,000 ml/g 
at a concentration of 0.02% at 135 [deg]C (275 [deg]F) in 
decahydronaphthalene and an elongational stress of 0.2 MPa or 
greater. Medical-grade ultra-high molecular weight polyethylene is 
further defined by its ash and trace element content, which shall 
not exceed the following maximum quantities as set forth in ISO-
5834-1: Ash (125 mg/kg), titanium (40 mg/kg), calcium (5 mg/kg), 
chlorine (30 mg/kg), and aluminum (20 mg/kg). ISO 5834-1 further 
defines medical grade ultra-high molecular weight polyethylene by 
its particulate matter content, which requires that there shall be 
no more than three particles of contaminant per 300  20 
g tested. Each of the above criteria is calculated based on the 
standards and methods used in ISO 5834-1.
    Ultra-high molecular weight polyethylene is classifiable under 
the HTSUS subheadings 3901.10.1000 and 3901.20.1000. Although the 
HTSUS subheadings and CAS registry number are provided for 
convenience and customs purposes, the written description of the 
scope is dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary

[[Page 11499]]

II. Background
III. Changes Since the Preliminary Determination
IV. Discussion of the Issues
    Comment 1: Whether Commerce's Final Determination Should be 
Provisional and Whether Commerce Provided Adequate Time for KPIC's 
Response to the in-Lieu of On-Site Verification Questionnaire
    Comment 2: KPIC's Home Market Freight Expense Adjustment
    Comment 3: KPIC's Reported Product Codes and Product 
Characteristics
    Comment 4: Ministerial Errors in the Preliminary Determination
    Comment 5: Whether the Record Demonstrates That KPIC Accurately 
Reported its Actual Cost of Production (COP)
    Comment 6: Whether Commerce Reasonably Adjusted KPIC's Ethylene 
COP
V. Recommendation

[FR Doc. 2021-03903 Filed 2-24-21; 8:45 am]
BILLING CODE 3510-DS-P