Common Alloy Aluminum Sheet From Brazil: Final Negative Countervailing Duty Determination, 13289-13291 [2021-04724]
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Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Notices
Notification to Interested Parties
This determination and this notice are
issued and published pursuant to
sections 735(d) and 777(i)(1) of the Act,
and 19 CFR 351.210(c).
Dated: March 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement
and Compliance.
jbell on DSKJLSW7X2PROD with NOTICES
Appendix I—Scope of the Investigation
The products covered by this investigation
are common alloy aluminum sheet, which is
a flat rolled aluminum product having a
thickness of 6.3 mm or less, but greater than
0.2 mm, in coils or cut-to-length, regardless
of width. Common alloy sheet within the
scope of this investigation includes both not
clad aluminum sheet, as well as multi-alloy,
clad aluminum sheet. With respect to not
clad aluminum sheet, common alloy sheet is
manufactured from a 1XXX-, 3XXX-, or
5XXX-series alloy as designated by the
Aluminum Association. With respect to
multi-alloy, clad aluminum sheet, common
alloy sheet is produced from a 3XXX-series
core, to which cladding layers are applied to
either one or both sides of the core. The use
of a proprietary alloy or non-proprietary alloy
that is not specifically registered by the
Aluminum Association as a discrete
1XXX-, 3XXX-, or 5XXX-series alloy, but that
otherwise has a chemistry that is consistent
with these designations, does not remove an
otherwise in-scope product from the scope.
Common alloy sheet may be made to
ASTM specification B209–14 but can also be
made to other specifications. Regardless of
specification, however, all common alloy
sheet meeting the scope description is
included in the scope. Subject merchandise
includes common alloy sheet that has been
further processed in a third country,
including but not limited to annealing,
tempering, painting, varnishing, trimming,
cutting, punching, and/or slitting, 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 common alloy sheet.
Excluded from the scope of this
investigation is aluminum can stock, which
is suitable for use in the manufacture of
aluminum beverage cans, lids of such cans,
or tabs used to open such cans. Aluminum
can stock is produced to gauges that range
from 0.200 mm to 0.292 mm, and has an H–
19, H–41, H–48, H–39, or H–391 temper. In
addition, aluminum can stock has a lubricant
applied to the flat surfaces of the can stock
to facilitate its movement through machines
used in the manufacture of beverage cans.
Aluminum can stock is properly classified
under Harmonized Tariff Schedule of the
United States (HTSUS) subheadings
7606.12.3045 and 7606.12.3055.
Where the nominal and actual
measurements vary, a product is within the
scope if application of either the nominal or
actual measurement would place it within
the scope based on the definitions set for the
above.
Common alloy sheet is currently
classifiable under HTSUS subheadings
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19:05 Mar 05, 2021
Jkt 253001
7606.11.3060, 7606.11.6000, 7606.12.3096,
7606.12.6000, 7606.91.3095, 7606.91.6095,
7606.92.3035, and 7606.92.6095. Further,
merchandise that falls within the scope of
this investigation may also be entered into
the United States under HTSUS subheadings
7606.11.3030, 7606.12.3015, 7606.12.3025,
7606.12.3035, 7606.12.3091, 7606.91.3055,
7606.91.6055, 7606.92.3025, 7606.92.6055,
7607.11.9090. Although the HTSUS
subheadings 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. Changes Since the Preliminary
Determination
IV. Discussion of the Issues
Comment 1: U.S. and Home Market
Packing Expenses
Comment 2: Whether to Rely on Hulamin
Operations’ Actual Base Metal Costs
V. Recommendation
[FR Doc. 2021–04734 Filed 3–5–21; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–351–855]
Common Alloy Aluminum Sheet From
Brazil: Final Negative Countervailing
Duty Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) determines that
countervailable subsidies are not being
provided to producers and exporters of
common alloy aluminum sheet
(aluminum sheet) from the Brazil.
DATES: Applicable March 8, 2021.
FOR FURTHER INFORMATION CONTACT:
Jonathan Hall-Eastman or Samuel
Brummitt, AD/CVD Operations, Office
III, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–1468 or
(202) 482–7851, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On August 14, 2020, Commerce
published its Preliminary
Determination.1 On December 22, 2020,
1 See Common Alloy Aluminum Sheet from
Brazil: Preliminary Affirmative Countervailing Duty
Determination and Alignment of Final
Determination with Final Antidumping Duty
PO 00000
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Sfmt 4703
13289
Commerce released its Post-Preliminary
Decision.2 In addition to the
Government of Brazil, the mandatory
respondents in this investigation are
Companhia Brasileiro de Aluminio
(CBA) and Novelis do Brasil Ltda.
(Novelis Brasil). In the Preliminary
Determination, and in accordance with
section 705(a)(1) of the Tariff Act of
1930, as amended (the Act), and 19 CFR
351.210(b)(4), Commerce aligned the
final countervailable duty (CVD)
determination with the final
antidumping duty determination.3
For a complete description of the
events that followed the Preliminary
Determination, see the Issues and
Decision Memorandum.4 The Issues and
Decision Memorandum is a public
document and is made available to the
public 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.
Period of Investigation
The period of investigation (POI) is
January 1, 2019, through December 31,
2019.
Scope of the Investigation
The products covered by this
investigation are aluminum sheet from
Brazil. For a complete description of the
scope of this investigation, see
Appendix I.
Scope Comments
During the course of this investigation
Commerce received scope comments
from interested parties. Commerce
issued a Preliminary Scope Decision
Memorandum to address these
comments.5 We received comments
Determination, 85 FR 49634 (August 14, 2020)
(Preliminary Determination), and accompanying
Preliminary Decision Memorandum.
2 See Memorandum, ‘‘Countervailing Duty
Investigation of Common Alloy Aluminum Sheet
from Brazil: Post-Preliminary Decision Memo,’’
dated December 22, 2020 (Post-Preliminary
Decision).
3 See Preliminary Determination, 85 FR at 49634.
4 See Memorandum, ‘‘Issues and Decision
Memorandum for the Final Negative Determination
of the Countervailing Duty Investigation of
Common Alloy Aluminum Sheet from Brazil,’’
dated concurrently with, and hereby adopted by,
this notice (Issues and Decision Memorandum).
5 See Memorandum, ‘‘Scope Comments Decision
Memorandum for the Preliminary Determinations,’’
E:\FR\FM\08MRN1.SGM
Continued
08MRN1
13290
Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Notices
from interested parties on the
Preliminary Scope Decision
Memorandum, which we address in the
Final Scope Decision Memorandum.6
Commerce is not modifying the scope
language as it appeared in the
Preliminary Determination. See
Appendix I for the final scope of the
investigation.
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.7
Analysis of Subsidy Programs and
Comments Received
The subsidy programs under
investigation and the issues raised in
the case and rebuttal briefs that were
submitted by parties in this
investigation are addressed in the Issues
and Decision Memorandum. For a list of
the issues raised by interested parties
and addressed in the Issues and
Decision Memorandum, see Appendix II
to this notice.
Methodology
jbell on DSKJLSW7X2PROD with NOTICES
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.8 For a full
description of the methodology
underlying our final determination, see
the Issues and Decision Memorandum.
dated October 6, 2020 (Preliminary Scope Decision
Memorandum).
6 See Memorandum, ‘‘Common Alloy Aluminum
Sheet from Bahrain, Brazil, Croatia, Egypt,
Germany, Greece, India, Indonesia, Italy, Korea,
Oman, Romania, Serbia, Slovenia, South Africa,
Spain, Taiwan, and Turkey: Scope Comments Final
Decision Memorandum,’’ dated concurrently with,
and hereby adopted by, this notice (Final Scope
Decision Memorandum).
7 See Commerce’s Letters, ‘‘Questionnaire in Lieu
of Verification for Companhia Brasileira de
Alumino;’’ and ‘‘Questionnaire in Lieu of
Verification for Novelis do Brasil Ltda.’’ dated
December 2, 2020; see also CBA’s Letter, ‘‘Common
Alloy Aluminum Sheet from Brazil: Questionnaire
in Lieu of Verification,’’ dated December 10, 2020;
and Novelis Brasil’s Letter, ‘‘Common Alloy
Aluminum Sheet from Brazil: Novelis do Brasil
Response to Questionnaire In Lieu of Verification,’’
dated December 9, 2020.
8 See sections 771(5)(B) and (D) of the Act
regarding financial contribution; section 771(5)(E)
of the Act regarding benefit; and section 771(5A) of
the Act regarding specificity.
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19:05 Mar 05, 2021
Jkt 253001
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. For further
information, see the section ‘‘Use of
Facts Otherwise Available and Adverse
Inferences’’ in the accompanying Issues
and Decision Memorandum.
Changes Since the Preliminary
Determination
Based on our review and analysis of
the comments received from parties, we
made certain changes to the subsidy rate
calculations for CBA. For a discussion
of these changes, see the Issues and
Decision Memorandum.
Final Determination
Commerce determines that the
following estimated countervailable
subsidy rates exist:
Company
Companhia Brasileiro de
Aluminio.9
Novelis do Brasil Ltda 10
Subsidy rate
(ad valorem)
0.22 percent (de minimis)
0.75 percent (de minimis).
Commerce has not calculated an allothers rate because it has not reached an
affirmative final determination.
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 proceeding in accordance with
19 CFR 351.224(b).
Suspension of Liquidation
As a result of our Preliminary
Determination, and pursuant to sections
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
9 Commerce has found the following companies
to be cross-owned with CBA: Votorantim S.A. and
its holding company; Votorantim Comercializadora
de Energia Ltda.; CBA Machadinho Gerac¸a˜o de
Energia Ltda.; and CBA Energia Participac¸o˜es S.A.
10 Commerce has found the following company to
be cross-owned with Novelis: Novelis Inc.
PO 00000
Frm 00012
Fmt 4703
Sfmt 4703
withdrawn from warehouse, for
consumption on August 14, 2020, the
date of publication of the Preliminary
Determination in the Federal Register.
In accordance with section 703(d) of the
Act, we issued instructions to CBP to
discontinue the suspension of
liquidation of subject merchandise
entered, or withdrawn from warehouse,
on or after December 12, 2020, but to
continue the suspension of liquidation
of all entries from August 14, 2020,
through December 11, 2020 for CBA and
all producers/exporters not individually
examined. Because Commerce has made
a final negative determination of
countervailing subsidies with regard to
the subject merchandise, Commerce will
direct CBP to refund or cancel all
estimated duties deposited or securities
posted as a result of the suspension of
liquidation.
International Trade Commission
Notification
In accordance with section 735(d) of
the Act, we will notify the International
Trade Commission of our final
determination. As our final
determination is negative, this
proceeding is terminated in accordance
with section 735(c)(2) of the Act.
Notification Regarding Administrative
Protective Orders
This notice serves as the only
reminder to parties subject to
Administrative Protective Order (APO)
of their responsibility concerning the
return or 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: March 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement
and Compliance.
Appendix I—Scope of the Investigation
The products covered by this investigation
are common alloy aluminum sheet, which is
a flat-rolled aluminum product having a
thickness of 6.3 mm or less, but greater than
0.2 mm, in coils or cut-to-length, regardless
of width. Common alloy sheet within the
scope of this investigation includes both not
clad aluminum sheet, as well as multi-alloy,
E:\FR\FM\08MRN1.SGM
08MRN1
Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Notices
jbell on DSKJLSW7X2PROD with NOTICES
clad aluminum sheet. With respect to not
clad aluminum sheet, common alloy sheet is
manufactured from a 1XXX-, 3XXX-, or
5XXX-series alloy as designated by the
Aluminum Association. With respect to
multi-alloy, clad aluminum sheet, common
alloy sheet is produced from a 3XXX-series
core, to which cladding layers are applied to
either one or both sides of the core. The use
of a proprietary alloy or non-proprietary alloy
that is not specifically registered by the
Aluminum Association as a discrete
1XXX-, 3XXX-, or 5XXX-series alloy, but that
otherwise has a chemistry that is consistent
with these designations, does not remove an
otherwise in-scope product from the scope.
Common alloy sheet may be made to
ASTM specification B209–14 but can also be
made to other specifications. Regardless of
specification, however, all common alloy
sheet meeting the scope description is
included in the scope. Subject merchandise
includes common alloy sheet that has been
further processed in a third country,
including but not limited to annealing,
tempering, painting, varnishing, trimming,
cutting, punching, and/or slitting, 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 common alloy sheet.
Excluded from the scope of this
investigation is aluminum can stock, which
is suitable for use in the manufacture of
aluminum beverage cans, lids of such cans,
or tabs used to open such cans. Aluminum
can stock is produced to gauges that range
from 0.200 mm to 0.292 mm, and has an
H–19, H–41, H–48, H–39, or H–391 temper.
In addition, aluminum can stock has a
lubricant applied to the flat surfaces of the
can stock to facilitate its movement through
machines used in the manufacture of
beverage cans. Aluminum can stock is
properly classified under Harmonized Tariff
Schedule of the United States (HTSUS)
subheadings 7606.12.3045 and 7606.12.3055.
Where the nominal and actual
measurements vary, a product is within the
scope if application of either the nominal or
actual measurement would place it within
the scope based on the definitions set for the
above.
Common alloy sheet is currently
classifiable under HTSUS subheadings
7606.11.3060, 7606.11.6000, 7606.12.3096,
7606.12.6000, 7606.91.3095, 7606.91.6095,
7606.92.3035, and 7606.92.6095. Further,
merchandise that falls within the scope of
this investigation may also be entered into
the United States under HTSUS subheadings
7606.11.3030, 7606.12.3015, 7606.12.3025,
7606.12.3035, 7606.12.3091, 7606.91.3055,
7606.91.6055, 7606.92.3025, 7606.92.6055,
7607.11.9090. Although the HTSUS
subheadings 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. Scope of the Investigation
VerDate Sep<11>2014
19:05 Mar 05, 2021
Jkt 253001
IV. Application of Adverse Facts Available
(AFA) Concerning the Specificity of the
Ex-Tarifario and Lei do Bem Programs
V. Subsidies Valuation
VI. Analysis of Programs
VII. Analysis of Comments
Comment 1: Whether Commerce Applied
Appropriate Negligibility and De
Minimis Thresholds
Comment 2: Whether Commerce Correctly
Analyzed Benefit for the Integrated
Drawback Program
Comment 3: Whether the Integrated
Drawback Program Provides Excessive
Remission
Comment 4: Whether Furnas’ Sales of
Electricity to Companhia Brasileiro de
Aluminio (CBA) are a Countervailable
Subsidy
Comment 5: Whether the Ex-Tarifario
Program Provides a Financial
Contribution and Is Specific
Comment 6: Whether Commerce Was
Correct To Apply Adverse Facts
Available (AFA) To Find the Lei do Bem
Program De Facto Specific
Comment 7: Whether the BNDES Finame
Program Is Specific
Comment 8: Whether the Espirito Santo
ICMS Reduction Program Is Specific or
Tied to Non-Subject Merchandise
VIII. Recommendation
[FR Doc. 2021–04724 Filed 3–5–21; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–898]
Chlorinated Isocyanurates From the
People’s Republic of China:
Preliminary Determination of No
Shipments; 2019–2020
Enforcement and Compliance,
International Trade Administration,
Department of commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily finds that
Heze Huayi Chemical Co., Ltd. (Heze
Huayi) and Juancheng Kangtai Chemical
Co., Ltd. (Kangtai), the only two
companies subject to review, did not
have any shipments of subject
merchandise during the period of
review (POR), June 1, 2019, through
May 31, 2020.
DATES: Applicable March 8, 2021.
FOR FURTHER INFORMATION CONTACT:
Sean Carey, AD/CVD Operations, Office
VII, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–3964.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On August 6, 2020, Commerce
initiated the administrative review of
PO 00000
Frm 00013
Fmt 4703
Sfmt 4703
13291
the AD order on chlorinated
isocyanurates (chlorinated isos) from
China covering the period June 1, 2019,
through May 31, 2020.1 The petitioners
in this review are Bio-lab, Inc., Clearon
Corp., and Occidental Chemical Corp.
(collectively, the petitioners). This
review covers two producers/exporters:
Heze Huayi and Kangtai. On September
8, 2020, Heze Huayi and Kangtai both
certified that their respective companies
had no entries of subject merchandise
during the POR.2 Based on our review
of U.S. Customs and Border Protection
data, we preliminarily found that Heze
Huayi and Kangtai had no entries of
subject merchandise originating from
China, that were subject to antidumping
duties during the POR.3
For a complete description of the
events that followed the initiation of
this administrative review, see the
Preliminary Decision Memorandum.4 A
list of topics included in the
Preliminary Decision Memorandum is
included as Appendix I to this notice.
The Preliminary 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 Preliminary
Decision Memorandum can be accessed
directly at https://enforcement.trade.gov/
frn/. The signed and the electronic
versions of the Preliminary Decision
Memorandum are identical in content.
Scope of the Order
The products covered by the order are
chlorinated isos, which are derivatives
of cyanuric acid, described as
chlorinated s-triazine triones. For a full
description of the scope of the order, see
Preliminary Decision Memorandum.5
1 See Initiation of Antidumping and
Countervailing Duty Administrative Reviews, 85 FR
47731 (August 6, 2020).
2 See Heze Huayi’s Letter, ‘‘Chlorinated
Isocyanurates from the People’s Republic of China:
No Sales Certification,’’ dated September 8, 2020;
see also Kangtai’s Letter, ‘‘Chlorinated
Isocyanurates from the People’s Republic of China:
No Sales Certification,’’ dated September 8, 2020.
3 See Memorandum, ‘‘U.S. Customs and Border
Protection (CBP) Data for Heze Huayi Chemical Co.,
Ltd. and Juancheng Kangtai Chemical Co., Ltd.,’’
dated November 17, 2020.
4 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Results of the 2019–2020
Antidumping Duty Administrative Review:
Chlorinated Isocyanurates from the People’s
Republic of China,’’ dated concurrently with, and
hereby adopted by, this notice (Preliminary
Decision Memorandum).
5 Id.
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]]>Agencies
[Federal Register Volume 86, Number 43 (Monday, March 8, 2021)]
[Notices]
[Pages 13289-13291]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-04724]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-351-855]
Common Alloy Aluminum Sheet From Brazil: Final Negative
Countervailing Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that
countervailable subsidies are not being provided to producers and
exporters of common alloy aluminum sheet (aluminum sheet) from the
Brazil.
DATES: Applicable March 8, 2021.
FOR FURTHER INFORMATION CONTACT: Jonathan Hall-Eastman or Samuel
Brummitt, AD/CVD Operations, Office III, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-1468
or (202) 482-7851, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 14, 2020, Commerce published its Preliminary
Determination.\1\ On December 22, 2020, Commerce released its Post-
Preliminary Decision.\2\ In addition to the Government of Brazil, the
mandatory respondents in this investigation are Companhia Brasileiro de
Aluminio (CBA) and Novelis do Brasil Ltda. (Novelis Brasil). In the
Preliminary Determination, and in accordance with section 705(a)(1) of
the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.210(b)(4),
Commerce aligned the final countervailable duty (CVD) determination
with the final antidumping duty determination.\3\
---------------------------------------------------------------------------
\1\ See Common Alloy Aluminum Sheet from Brazil: Preliminary
Affirmative Countervailing Duty Determination and Alignment of Final
Determination with Final Antidumping Duty Determination, 85 FR 49634
(August 14, 2020) (Preliminary Determination), and accompanying
Preliminary Decision Memorandum.
\2\ See Memorandum, ``Countervailing Duty Investigation of
Common Alloy Aluminum Sheet from Brazil: Post-Preliminary Decision
Memo,'' dated December 22, 2020 (Post-Preliminary Decision).
\3\ See Preliminary Determination, 85 FR at 49634.
---------------------------------------------------------------------------
For a complete description of the events that followed the
Preliminary Determination, see the Issues and Decision Memorandum.\4\
The Issues and Decision Memorandum is a public document and is made
available to the public 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.
---------------------------------------------------------------------------
\4\ See Memorandum, ``Issues and Decision Memorandum for the
Final Negative Determination of the Countervailing Duty
Investigation of Common Alloy Aluminum Sheet from Brazil,'' dated
concurrently with, and hereby adopted by, this notice (Issues and
Decision Memorandum).
---------------------------------------------------------------------------
Period of Investigation
The period of investigation (POI) is January 1, 2019, through
December 31, 2019.
Scope of the Investigation
The products covered by this investigation are aluminum sheet from
Brazil. For a complete description of the scope of this investigation,
see Appendix I.
Scope Comments
During the course of this investigation Commerce received scope
comments from interested parties. Commerce issued a Preliminary Scope
Decision Memorandum to address these comments.\5\ We received comments
[[Page 13290]]
from interested parties on the Preliminary Scope Decision Memorandum,
which we address in the Final Scope Decision Memorandum.\6\ Commerce is
not modifying the scope language as it appeared in the Preliminary
Determination. See Appendix I for the final scope of the investigation.
---------------------------------------------------------------------------
\5\ See Memorandum, ``Scope Comments Decision Memorandum for the
Preliminary Determinations,'' dated October 6, 2020 (Preliminary
Scope Decision Memorandum).
\6\ See Memorandum, ``Common Alloy Aluminum Sheet from Bahrain,
Brazil, Croatia, Egypt, Germany, Greece, India, Indonesia, Italy,
Korea, Oman, Romania, Serbia, Slovenia, South Africa, Spain, Taiwan,
and Turkey: Scope Comments Final Decision Memorandum,'' dated
concurrently with, and hereby adopted by, this notice (Final Scope
Decision Memorandum).
---------------------------------------------------------------------------
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.\7\
---------------------------------------------------------------------------
\7\ See Commerce's Letters, ``Questionnaire in Lieu of
Verification for Companhia Brasileira de Alumino;'' and
``Questionnaire in Lieu of Verification for Novelis do Brasil
Ltda.'' dated December 2, 2020; see also CBA's Letter, ``Common
Alloy Aluminum Sheet from Brazil: Questionnaire in Lieu of
Verification,'' dated December 10, 2020; and Novelis Brasil's
Letter, ``Common Alloy Aluminum Sheet from Brazil: Novelis do Brasil
Response to Questionnaire In Lieu of Verification,'' dated December
9, 2020.
---------------------------------------------------------------------------
Analysis of Subsidy Programs and Comments Received
The subsidy programs under investigation and the issues raised in
the case and rebuttal briefs that were submitted by parties in this
investigation are addressed in the Issues and Decision Memorandum. For
a list of the issues raised by interested parties and addressed in the
Issues and Decision Memorandum, see Appendix II to this notice.
Methodology
Commerce conducted this investigation in accordance with section
701 of the Act. For each of the subsidy programs found countervailable,
Commerce determines that there is a subsidy, i.e. , a financial
contribution by an ``authority'' that gives rise to a benefit to the
recipient, and that the subsidy is specific.\8\ For a full description
of the methodology underlying our final determination, see the Issues
and Decision Memorandum.
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\8\ See sections 771(5)(B) and (D) of the Act regarding
financial contribution; section 771(5)(E) of the Act regarding
benefit; and section 771(5A) of the Act regarding specificity.
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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. For further information, see the
section ``Use of Facts Otherwise Available and Adverse Inferences'' in
the accompanying Issues and Decision Memorandum.
Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
parties, we made certain changes to the subsidy rate calculations for
CBA. For a discussion of these changes, see the Issues and Decision
Memorandum.
Final Determination
Commerce determines that the following estimated countervailable
subsidy rates exist:
------------------------------------------------------------------------
Company Subsidy rate (ad valorem)
------------------------------------------------------------------------
Companhia Brasileiro de Aluminio.\9\ 0.22 percent (de minimis)
Novelis do Brasil Ltda \10\............... 0.75 percent (de minimis).
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Commerce has not calculated an all-others rate because it has not
reached an affirmative final determination.
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\9\ Commerce has found the following companies to be cross-owned
with CBA: Votorantim S.A. and its holding company; Votorantim
Comercializadora de Energia Ltda.; CBA Machadinho
Gera[ccedil][atilde]o de Energia Ltda.; and CBA Energia
Participa[ccedil][otilde]es S.A.
\10\ Commerce has found the following company to be cross-owned
with Novelis: Novelis Inc.
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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 proceeding
in accordance with 19 CFR 351.224(b).
Suspension of Liquidation
As a result of our Preliminary Determination, and pursuant to
sections 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 on August
14, 2020, the date of publication of the Preliminary Determination in
the Federal Register. In accordance with section 703(d) of the Act, we
issued instructions to CBP to discontinue the suspension of liquidation
of subject merchandise entered, or withdrawn from warehouse, on or
after December 12, 2020, but to continue the suspension of liquidation
of all entries from August 14, 2020, through December 11, 2020 for CBA
and all producers/exporters not individually examined. Because Commerce
has made a final negative determination of countervailing subsidies
with regard to the subject merchandise, Commerce will direct CBP to
refund or cancel all estimated duties deposited or securities posted as
a result of the suspension of liquidation.
International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
International Trade Commission of our final determination. As our final
determination is negative, this proceeding is terminated in accordance
with section 735(c)(2) of the Act.
Notification Regarding Administrative Protective Orders
This notice serves as the only reminder to parties subject to
Administrative Protective Order (APO) of their responsibility
concerning the return or 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: March 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I--Scope of the Investigation
The products covered by this investigation are common alloy
aluminum sheet, which is a flat-rolled aluminum product having a
thickness of 6.3 mm or less, but greater than 0.2 mm, in coils or
cut-to-length, regardless of width. Common alloy sheet within the
scope of this investigation includes both not clad aluminum sheet,
as well as multi-alloy,
[[Page 13291]]
clad aluminum sheet. With respect to not clad aluminum sheet, common
alloy sheet is manufactured from a 1XXX-, 3XXX-, or 5XXX-series
alloy as designated by the Aluminum Association. With respect to
multi-alloy, clad aluminum sheet, common alloy sheet is produced
from a 3XXX-series core, to which cladding layers are applied to
either one or both sides of the core. The use of a proprietary alloy
or non-proprietary alloy that is not specifically registered by the
Aluminum Association as a discrete 1XXX-, 3XXX-, or 5XXX-series
alloy, but that otherwise has a chemistry that is consistent with
these designations, does not remove an otherwise in-scope product
from the scope.
Common alloy sheet may be made to ASTM specification B209-14 but
can also be made to other specifications. Regardless of
specification, however, all common alloy sheet meeting the scope
description is included in the scope. Subject merchandise includes
common alloy sheet that has been further processed in a third
country, including but not limited to annealing, tempering,
painting, varnishing, trimming, cutting, punching, and/or slitting,
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 common alloy sheet.
Excluded from the scope of this investigation is aluminum can
stock, which is suitable for use in the manufacture of aluminum
beverage cans, lids of such cans, or tabs used to open such cans.
Aluminum can stock is produced to gauges that range from 0.200 mm to
0.292 mm, and has an H-19, H-41, H-48, H-39, or H-391 temper. In
addition, aluminum can stock has a lubricant applied to the flat
surfaces of the can stock to facilitate its movement through
machines used in the manufacture of beverage cans. Aluminum can
stock is properly classified under Harmonized Tariff Schedule of the
United States (HTSUS) subheadings 7606.12.3045 and 7606.12.3055.
Where the nominal and actual measurements vary, a product is
within the scope if application of either the nominal or actual
measurement would place it within the scope based on the definitions
set for the above.
Common alloy sheet is currently classifiable under HTSUS
subheadings 7606.11.3060, 7606.11.6000, 7606.12.3096, 7606.12.6000,
7606.91.3095, 7606.91.6095, 7606.92.3035, and 7606.92.6095. Further,
merchandise that falls within the scope of this investigation may
also be entered into the United States under HTSUS subheadings
7606.11.3030, 7606.12.3015, 7606.12.3025, 7606.12.3035,
7606.12.3091, 7606.91.3055, 7606.91.6055, 7606.92.3025,
7606.92.6055, 7607.11.9090. Although the HTSUS subheadings 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. Scope of the Investigation
IV. Application of Adverse Facts Available (AFA) Concerning the
Specificity of the Ex-Tarifario and Lei do Bem Programs
V. Subsidies Valuation
VI. Analysis of Programs
VII. Analysis of Comments
Comment 1: Whether Commerce Applied Appropriate Negligibility
and De Minimis Thresholds
Comment 2: Whether Commerce Correctly Analyzed Benefit for the
Integrated Drawback Program
Comment 3: Whether the Integrated Drawback Program Provides
Excessive Remission
Comment 4: Whether Furnas' Sales of Electricity to Companhia
Brasileiro de Aluminio (CBA) are a Countervailable Subsidy
Comment 5: Whether the Ex-Tarifario Program Provides a Financial
Contribution and Is Specific
Comment 6: Whether Commerce Was Correct To Apply Adverse Facts
Available (AFA) To Find the Lei do Bem Program De Facto Specific
Comment 7: Whether the BNDES Finame Program Is Specific
Comment 8: Whether the Espirito Santo ICMS Reduction Program Is
Specific or Tied to Non-Subject Merchandise
VIII. Recommendation
[FR Doc. 2021-04724 Filed 3-5-21; 8:45 am]
BILLING CODE 3510-DS-P
