Initiation of Antidumping Duty Changed Circumstances Review: Certain Vertical Shaft Engines Between 225cc and 999cc, and Parts Thereof From the People's Republic of China, 9573-9575 [2022-03659]
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Federal Register / Vol. 87, No. 35 / Tuesday, February 22, 2022 / Notices
this circumvention inquiry on a
country-wide basis. Commerce has
taken this approach in prior
circumvention inquiries, where the facts
warranted initiation on a country-wide
basis.15
Consistent with the approach in the
prior circumvention inquiries that were
initiated on a country-wide basis,
Commerce intends to issue
questionnaires to solicit information
from producers and exporters in Oman
and the UAE concerning their
shipments of pipe and tube made from
India-origin HRS to the United States. A
company’s failure to respond
completely to Commerce’s requests for
information may result in the
application of partial or total facts
available, pursuant to section 776(a) of
the Act, which may include adverse
inferences, pursuant to section 776(b) of
the Act.
we have included a description of the
products that are the subject of this
inquiry, and an explanation of the
reasons for Commerce’s decision to
initiate this inquiry as provided above
and in the accompanying
Circumvention Initiation Memo.16 In
accordance with 19 CFR 351.226(e)(2),
Commerce intends to issue its final
circumvention determination within
300 days from the date of publication of
the notice of initiation of a
circumvention inquiry in the Federal
Register.
This notice is published in
accordance with section 781(b) of the
Act and 19 CFR 351.226(d)(1)(ii).
Suspension of Liquidation
Pursuant to 19 CFR 351.226(l)(1),
Commerce will notify U.S. Customs and
Border Protection (CBP) of the initiation
and direct CBP to continue the
suspension of liquidation of entries of
products subject to the circumvention
inquiry that were already subject to the
suspension of liquidation under the
Order. Should Commerce issue
preliminary or final circumvention
determinations, Commerce will follow
the suspension of liquidation rules
under 19 CFR 351.226(l)(2)–(4).
List of Topics Discussed in the
Circumvention Initiation Memo
I. Summary
II. Background
III. Scope of the Order
IV. Merchandise Subject to the
Circumvention Inquiry
V. Statutory and Regulatory Framework for
Circumvention Inquiries
VI. Statutory Analysis for the Circumvention
Inquiry
VII. Comments Opposing the Initiation of a
Circumvention Inquiry
VIII. Country-Wide Circumvention Inquiries
IX. Recommendation
Notification to Interested Parties
In accordance with 19 CFR 351.226(d)
and section 781(b) of the Act, Commerce
determines that the domestic interested
parties’ request for this circumvention
inquiry satisfies the requirements of 19
CFR 351.226(c). Accordingly, Commerce
is notifying all interested parties of the
initiation of this circumvention inquiry
to determine whether certain imports of
pipe and tube, completed in and
exported from Oman and the UAE using
HRS inputs manufactured in India, are
circumventing the Order. In addition,
lotter on DSK11XQN23PROD with NOTICES1
15 See,
e.g., Certain Corrosion-Resistant Steel
Products from the Republic of Korea and Taiwan:
Initiation of Anti-Circumvention Inquiries on the
Antidumping Duty and Countervailing Duty Orders,
83 FR 37785 (August 2, 2018); Carbon Steel ButtWeld Pipe Fittings from the People’s Republic of
China: Initiation of Anti-Circumvention Inquiry on
the Antidumping Duty Order, 82 FR 40556, 40560
(August 25, 2017) (stating at initiation that
Commerce would evaluate the extent to which a
country-wide finding applicable to all exports
might be warranted); and Certain CorrosionResistant Steel Products from the People’s Republic
of China: Initiation of Anti-Circumvention Inquiries
on the Antidumping Duty and Countervailing Duty
Orders, 81 FR 79454, 79458 (November 14, 2016)
(stating at initiation that Commerce would evaluate
the extent to which a country-wide finding
applicable to all exports might be warranted).
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Dated: February 14, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and
Compliance.
Appendix
[FR Doc. 2022–03661 Filed 2–18–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–119]
Initiation of Antidumping Duty
Changed Circumstances Review:
Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof
From the People’s Republic of China
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: Based on a request from
Honda Power Products (China) Co., Ltd.
(Honda), the Department of Commerce
(Commerce) is initiating a changed
circumstances review (CCR) of the
antidumping duty (AD) order on certain
vertical shaft engines between 225cc
and 999cc, and parts thereof (vertical
shaft engines) from the People’s
Republic of China (China).
DATES: Applicable February 22, 2022.
AGENCY:
16 See
PO 00000
Circumvention Initiation Memo.
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9573
Leo
Ayala, 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) 482–3945.
SUPPLEMENTARY INFORMATION:
FOR FURTHER INFORMATION CONTACT:
Background
On March 4, 2021, Commerce
published in the Federal Register an
amended final AD determination and
order on vertical shaft engines from
China.1 In the Amended Final
Determination, Commerce determined
an AD cash deposit rate for JialingHonda Motors Co., Ltd. (Jialing) of
261.93 percent.2
On September 20, 2021, Honda
informed Commerce that, as of July 1,
2020, Jialing changed its name to Honda
Power Products (China) Co., Ltd.3
Honda stated the change was in name
only and that its business operations
remain substantially unchanged.4
Honda requested that Commerce
conduct a CCR and find that Honda is
the successor-in-interest to Jialing and
assign Jialing’s AD cash deposit rate for
vertical shaft engines from China to
Honda, pursuant to section 751(b) of the
Tariff Act of 1930, as amended (the Act),
and 19 CFR 351.216(b).5 Honda made
arguments as to why good cause exists
for initiating a CCR pursuant to 19 CFR
351.216(c) 6 and also requested that
Commerce combine the notice of
initiation with a preliminary results of
the CCR pursuant to 19 CFR
351.221(c)(3)(ii).
On November 21, 2021, Commerce
deemed Honda’s request deficient and
issued a supplemental questionnaire to
Honda requesting additional
information.7 On December 31, 2021,
1 See Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the
People’s Republic of China: Amended Final
Antidumping Duty Determination and
Antidumping Duty Order, 86 FR 12623 (March 4,
2021) (Amended Final Determination and Order);
see also Certain Large Vertical Shaft Engines
Between 225cc and 999cc, and Parts Thereof, from
the People’s Republic of China: Notice of Correction
to the Amended Final Antidumping Duty
Determination and Antidumping Duty Order, 86 FR
13694 (March 10, 2021).
2 Id., 86 FR at 12624.
3 See Honda’s Letter, ‘‘Certain Vertical Shaft
Engines Between 225cc and 999cc, and Parts
Thereof from the People’s Republic of China:
Request for Changed Circumstances Review,’’ dated
September 20, 2021 (Honda’s CCR Request).
4 Id. at 2.
5 Id.
6 Id. at 6.
7 See Commerce’s Letter, ‘‘Certain Vertical Shaft
Engines Between 225cc and 999cc, and Parts
Thereof from the People’s Republic of China:
Changed Circumstances Review; Supplemental
Questionnaire,’’ dated November 1, 2021.
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Federal Register / Vol. 87, No. 35 / Tuesday, February 22, 2022 / Notices
Honda submitted its response to the
supplemental questionnaire.8 We
received no comments from interested
parties regarding Honda’s CCR Request.
Scope of the Order
The merchandise covered by the
Order is vertical shaft engines. For a
complete description of the scope, see
the appendix.
lotter on DSK11XQN23PROD with NOTICES1
Initiation of Changed Circumstances
Review
Pursuant to section 751(b)(1)(A) of the
Act and 19 CFR 351.216(d), Commerce
will conduct a CCR upon receipt of a
request from an interested party for a
review of an AD order which shows
changed circumstances sufficient to
warrant a review of the order. In the
past, Commerce has used CCRs to
address the applicability of cash deposit
rates after there have been changes in
the name or structure of a respondent,
such as a merger or spinoff (i.e., a
successor-in-interest determination).9
The information submitted by Honda
supporting its claim that it is the
successor-in-interest to Jialing
demonstrates changed circumstances
sufficient to warrant the initiation of
such a review.10
Section 751(b)(4)(B) of the Act and 19
CFR 351.216(c) state that, ‘‘in the
absence of good cause shown,’’ the
Secretary of Commerce may not review
a final determination less than 24
months after the date of publication of
the notice of final determination or
notice of suspension of an investigation.
The final determination in the less-thanfair-value investigation of vertical shaft
engines from China published on
January 11, 2021.11 Therefore,
Commerce must also determine whether
good cause exists to conduct this
review.
Honda asserts that good cause exists
because, aside from the name change, it
made no changes with respect to
‘‘production, management, customer
8 See Honda’s Letter, ‘‘Certain Vertical Shaft
Engines Between 225cc and 999cc, and Parts
Thereof from the People’s Republic of China:
Changed Circumstances Review; Supplemental
Questionnaire,’’ dated December 31, 2021.
9 See, e.g., Diamond Sawblades and Parts Thereof
from the People’s Republic of China: Initiation and
Preliminary Results of Antidumping Duty Changed
Circumstances Review, 82 FR 51605, 51606
(November 7, 2017), unchanged in Diamond
Sawblades and Parts Thereof from the People’s
Republic of China: Final Results of Antidumping
Duty Changed Circumstances Review, 82 FR 60177
(December 19, 2017).
10 See 19 CFR 351.216(d).
11 See Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the
People’s Republic of China: Final Affirmative
Determination of Sales at Less Than Fair Value and
Final Affirmative Critical Circumstances
Determination, 86 FR 1936 (January 11, 2021).
VerDate Sep<11>2014
19:42 Feb 18, 2022
Jkt 256001
and supplier relationships or any other
aspect of operations.’’ 12 Honda argues
that a CCR is needed to ensure the
appropriate cash deposit rate applies to
Honda’s entries and that Commerce has
previously found in similar situations
that a name change, with no further
changes in the company’s operations,
constitutes good cause pursuant to 19
CFR 351.216(c) to initiate a CCR.13
Based on this explanation, we find that
good cause has been shown pursuant to
19 CFR 351.216(c) to initiate a CCR, and
conducting this review ensures that the
appropriate cash deposit rate applies to
Honda.
Therefore, in accordance with section
751(b)(1)(A) of the Act and 19 CFR
351.216(d), we are initiating a CCR
based on the information contained in
Honda’s submission.
Preliminary Results
Section 351.221(c)(3)(ii) of
Commerce’s regulations permits
Commerce to combine the notice of
initiation and preliminary results of a
CCR if Commerce concludes that
expedited action is warranted. However,
we are not combining this notice of
initiation with the preliminary results
because Commerce has determined that
it is necessary to issue an additional
supplemental questionnaire to Honda
regarding Honda’s customer base and
supplier relationships and to provide
interested parties with an opportunity to
comment. Commerce intends to publish
in the Federal Register a notice of the
preliminary results of this CCR in
accordance with 19 CFR 351.221(b)(4).
Consistent with 19 CFR 351.221(c)(3)(i),
Commerce will set forth its preliminary
factual and legal conclusions in that
notice.
Final Results
Unless extended, Commerce intends
to issue the final results of this CCR
within 270 days of the day of initiation
of this CCR, in accordance with 19 CFR
351.216(e).
Notification to Interested Parties
This notice is published in
accordance with section 751(b)(1) of the
Act, and 19 CFR 351.216(b) and 19 CFR
351.221(b)(1).
12 See
Honda’s CCR Request at 4.
at 5–6 (citing Notice of Initiation and
Preliminary Results of Antidumping Duty Changed
Circumstances Review: Certain Passenger Vehicle
and Light Truck Tires from the People’s Republic
of China, 81 FR 44588 (July 8, 2016); and Cast Iron
Soil Pipe Fittings from the People’s Republic of
China: Initiation and Preliminary Results of
Changed Circumstances Reviews, 84 FR 64263
(November 21, 2019)).
13 Id.
PO 00000
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Dated: February 14, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and
Compliance.
Appendix—Scope of the Order
The merchandise covered by this order
consists of spark-ignited, non-road, vertical
shaft engines, whether finished or
unfinished, whether assembled or
unassembled, primarily for riding lawn
mowers and zero-turn radius lawn mowers.
Engines meeting this physical description
may also be for other non-hand-held outdoor
power equipment such as, including but not
limited to, tow-behind brush mowers,
grinders, and vertical shaft generators. The
subject engines are spark ignition, single or
multiple cylinder, air cooled, internal
combustion engines with vertical power take
off shafts with a minimum displacement of
225 cubic centimeters (cc) and a maximum
displacement of 999cc. Typically, engines
with displacements of this size generate gross
power of between 6.7 kilowatts (kw) to 42
kw.
Engines covered by this scope normally
must comply with and be certified under
Environmental Protection Agency (EPA) air
pollution controls title 40, chapter I,
subchapter U, part 1054 of the Code of
Federal Regulations standards for small nonroad spark-ignition engines and equipment.
Engines that otherwise meet the physical
description of the scope but are not certified
under 40 CFR part 1054 and are not certified
under other parts of subchapter U of the EPA
air pollution controls are not excluded from
the scope of this proceeding. Engines that
may be certified under both 40 CFR part 1054
as well as other parts of subchapter U remain
subject to the scope of this proceeding.
For purposes of this order, an unfinished
engine covers at a minimum a sub-assembly
comprised of, but not limited to, the
following components: Crankcase,
crankshaft, camshaft, piston(s), and
connecting rod(s). Importation of these
components together, whether assembled or
unassembled, and whether or not
accompanied by additional components such
as an oil pan, manifold, cylinder head(s),
valve train, or valve cover(s), constitutes an
unfinished engine for purposes of this order.
The inclusion of other products such as spark
plugs fitted into the cylinder head or
electrical devices (e.g., ignition modules,
ignition coils) for synchronizing with the
motor to supply tension current does not
remove the product from the scope. The
inclusion of any other components not
identified as comprising the unfinished
engine subassembly in a third country does
not remove the engine from the scope.
The engines subject to this order are
typically classified in the Harmonized Tariff
Schedule of the United States (HTSUS) at
subheadings: 8407.90.1020, 8407.90.1060,
and 8407.90.1080. The engine subassemblies
that are subject to this order enter under
HTSUS subheading 8409.91.9990. Engines
subject to this order may also enter under
HTSUS subheading 8407.90.9060 and
8407.90.9080. The HTSUS subheadings are
provided for convenience and customs
purposes only, and the written description of
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Federal Register / Vol. 87, No. 35 / Tuesday, February 22, 2022 / Notices
the merchandise subject to this order is
dispositive.
[FR Doc. 2022–03659 Filed 2–18–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–832]
Pure Magnesium From the People’s
Republic of China: Final Results of
Antidumping Duty Administrative
Review; 2020–2021
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) continues to find that
Tianjin Magnesium International Co.,
Ltd. (TMI) and Tianjin Magnesium
Metal Co., Ltd. (TMM) (collectively,
TMI/TMM) had no shipments of subject
merchandise covered by the
antidumping duty order on pure
magnesium from the People’s Republic
of China (China) for the period of review
(POR) May 1, 2020, through April 30,
2021.
AGENCY:
DATES:
Applicable February 22, 2022.
FOR FURTHER INFORMATION CONTACT:
Deborah Cohen, 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) 482–4521.
SUPPLEMENTAL INFORMATION:
Background
On November 15, 2021, Commerce
published the Preliminary Results of
this administrative review in the
Federal Register.1 No interested party
submitted comments concerning the
Preliminary Results or requested a
hearing in this administrative review.
Commerce conducted this
administrative review in accordance
with section 751 of the Tariff Act of
1930, as amended (the Act).
Scope of the Order 2
lotter on DSK11XQN23PROD with NOTICES1
The product covered by the Order is
pure magnesium from China, regardless
of chemistry, form or size, unless
1 See Pure Magnesium from the People’s Republic
of China: Preliminary Results of Antidumping
Administrative Review; 2020–2021, 86 FR 62990
(November 15, 2021) (Preliminary Results).
2 See Notice of Antidumping Duty Orders: Pure
Magnesium from the People’s Republic of China,
the Russian Federation and Ukraine; Notice of
Amended Final Determination of Sales at Less
Than Fair Value: Antidumping Duty Investigation
of Pure Magnesium from the Russian Federation, 60
FR 25691 (May 12, 1995) (Order).
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19:42 Feb 18, 2022
Jkt 256001
expressly excluded from the scope of
the Order. Pure magnesium is a metal or
alloy containing by weight primarily the
element magnesium and produced by
decomposing raw materials into
magnesium metal. Pure primary
magnesium is used primarily as a
chemical in the aluminum alloying,
desulfurization, and chemical reduction
industries. In addition, pure magnesium
is used as an input in producing
magnesium alloy. Pure magnesium
encompasses products (including, but
not limited to, butt ends, stubs, crowns
and crystals) with the following primary
magnesium contents:
(1) Products that contain at least
99.95% primary magnesium, by weight
(generally referred to as ‘‘ultra pure’’
magnesium) Magnesium Alloy’’ 3 and
are thus outside the scope of the
existing antidumping orders on
magnesium from China (generally
referred to as ‘‘alloy’’ magnesium).
(2) Products that contain less than
99.95%, but not less than 99.8%,
primary magnesium, by weight
(generally referred to as ‘‘pure’’
magnesium); and
(3) Products that contain 50% or
greater, but less than 99.8% primary
magnesium, by weight, and that do not
conform to ASTM specifications for
alloy magnesium (generally referred to
as ‘‘off-specification pure’’ magnesium).
‘‘Off-specification pure’’ magnesium
is pure primary magnesium containing
magnesium scrap, secondary
magnesium, oxidized magnesium or
impurities (whether or not intentionally
added) that cause the primary
magnesium content to fall below 99.8%
by weight. It generally does not contain,
individually or in combination, 1.5% or
more, by weight, of the following
alloying elements: Aluminum,
manganese, zinc, silicon, thorium,
zirconium and rare earths.
Excluded from the scope of the Order
are alloy primary magnesium (that
meets specifications for alloy
magnesium), primary magnesium
anodes, granular primary magnesium
(including turnings, chips and powder)
having a maximum physical dimension
(i.e., length or diameter) of one inch or
less, secondary magnesium (which has
pure primary magnesium content of less
than 50% by weight), and remelted
magnesium whose pure primary
magnesium content is less than 50% by
weight.
Pure magnesium products covered by
the Order are currently classifiable
3 The meaning of this term is the same as that
used by the American Society for Testing and
Materials (ATSM) in its Annual Book for ASTM
Standards: Volume 01.02 Aluminum and
Magnesium Alloys.
PO 00000
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9575
under Harmonized Tariff Schedule of
the United States (HTSUS) subheadings
8104.11.00, 8104.19.00, 8104.20.00,
8104.30.00, 8104.90.00, 3824.90.11,
3824.90.19 and 9817.00.90. Although
the HTSUS subheadings are provided
for convenience and customs purposes,
the written description of the scope is
dispositive.
Final Determination of No Shipments
In the Preliminary Results, Commerce
determined TMI/TMM had no
shipments of subject merchandise to the
United States during the POR.4 As noted
in the Preliminary Results, we received
no-shipment statements from TMI/
TMM,5 and the statements were
consistent with the information we
received from U.S. Customs and Border
Protection (CBP).6 Because Commerce
did not receive any comments on its
preliminary finding, Commerce
continues to find that TMI/TMM did not
have any shipments of subject
merchandise during the POR.
Assessment Rates
Based on record evidence, we have
determined that TMI/TMM had no
shipments of subject merchandise
during the POR, and, therefore,
pursuant to Commerce’s assessment
practice, any suspended entries entered
under their case number will be
liquidated at the China-wide entity
rate.7
Commerce intends to issue
assessment instructions to CBP no
earlier than 35 days after the date of
publication of the final results of this
review in the Federal Register. If a
timely summons is filed at the U.S.
Court of International Trade, the
assessment instructions will direct CBP
not to liquidate relevant entries until the
time for parties to file a request for a
statutory injunction has expired (i.e.,
within 90 days of publication).
Cash Deposit Requirements
The following cash deposit
requirements will be effective upon
publication of the final results of this
administrative review for all shipments
of the subject merchandise entered, or
4 See
Preliminary Results, 86 FR 62990.
Preliminary Results, 86 FR 62990.
6 See Memorandum, ‘‘Antidumping Duty
Administrative Review of Pure Magnesium from the
People’s Republic of China; 05/01/2020–04/30/
2021: Entry Data and No Shipment Inquiry,’’ dated
August 31, 2021. On August 3, 2021, Commerce
issued a no shipment inquiry to U.S. Customs and
Border Protection (CBP) with respect to TMI/TMM.
On August 4, 2021, CBP responded that it had no
evidence of shipments of magnesium metal from
China exported by TMI/TMM during the POR.
7 See Non-Market Economy Antidumping
Proceedings: Assessment of Antidumping Duties, 76
FR 65694 (October 24, 2011).
5 See
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]]>Agencies
[Federal Register Volume 87, Number 35 (Tuesday, February 22, 2022)]
[Notices]
[Pages 9573-9575]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-03659]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-119]
Initiation of Antidumping Duty Changed Circumstances Review:
Certain Vertical Shaft Engines Between 225cc and 999cc, and Parts
Thereof From the People's Republic of China
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: Based on a request from Honda Power Products (China) Co., Ltd.
(Honda), the Department of Commerce (Commerce) is initiating a changed
circumstances review (CCR) of the antidumping duty (AD) order on
certain vertical shaft engines between 225cc and 999cc, and parts
thereof (vertical shaft engines) from the People's Republic of China
(China).
DATES: Applicable February 22, 2022.
FOR FURTHER INFORMATION CONTACT: Leo Ayala, 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) 482-3945.
SUPPLEMENTARY INFORMATION:
Background
On March 4, 2021, Commerce published in the Federal Register an
amended final AD determination and order on vertical shaft engines from
China.\1\ In the Amended Final Determination, Commerce determined an AD
cash deposit rate for Jialing-Honda Motors Co., Ltd. (Jialing) of
261.93 percent.\2\
---------------------------------------------------------------------------
\1\ See Certain Vertical Shaft Engines Between 225cc and 999cc,
and Parts Thereof from the People's Republic of China: Amended Final
Antidumping Duty Determination and Antidumping Duty Order, 86 FR
12623 (March 4, 2021) (Amended Final Determination and Order); see
also Certain Large Vertical Shaft Engines Between 225cc and 999cc,
and Parts Thereof, from the People's Republic of China: Notice of
Correction to the Amended Final Antidumping Duty Determination and
Antidumping Duty Order, 86 FR 13694 (March 10, 2021).
\2\ Id., 86 FR at 12624.
---------------------------------------------------------------------------
On September 20, 2021, Honda informed Commerce that, as of July 1,
2020, Jialing changed its name to Honda Power Products (China) Co.,
Ltd.\3\ Honda stated the change was in name only and that its business
operations remain substantially unchanged.\4\ Honda requested that
Commerce conduct a CCR and find that Honda is the successor-in-interest
to Jialing and assign Jialing's AD cash deposit rate for vertical shaft
engines from China to Honda, pursuant to section 751(b) of the Tariff
Act of 1930, as amended (the Act), and 19 CFR 351.216(b).\5\ Honda made
arguments as to why good cause exists for initiating a CCR pursuant to
19 CFR 351.216(c) \6\ and also requested that Commerce combine the
notice of initiation with a preliminary results of the CCR pursuant to
19 CFR 351.221(c)(3)(ii).
---------------------------------------------------------------------------
\3\ See Honda's Letter, ``Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the People's Republic of
China: Request for Changed Circumstances Review,'' dated September
20, 2021 (Honda's CCR Request).
\4\ Id. at 2.
\5\ Id.
\6\ Id. at 6.
---------------------------------------------------------------------------
On November 21, 2021, Commerce deemed Honda's request deficient and
issued a supplemental questionnaire to Honda requesting additional
information.\7\ On December 31, 2021,
[[Page 9574]]
Honda submitted its response to the supplemental questionnaire.\8\ We
received no comments from interested parties regarding Honda's CCR
Request.
---------------------------------------------------------------------------
\7\ See Commerce's Letter, ``Certain Vertical Shaft Engines
Between 225cc and 999cc, and Parts Thereof from the People's
Republic of China: Changed Circumstances Review; Supplemental
Questionnaire,'' dated November 1, 2021.
\8\ See Honda's Letter, ``Certain Vertical Shaft Engines Between
225cc and 999cc, and Parts Thereof from the People's Republic of
China: Changed Circumstances Review; Supplemental Questionnaire,''
dated December 31, 2021.
---------------------------------------------------------------------------
Scope of the Order
The merchandise covered by the Order is vertical shaft engines. For
a complete description of the scope, see the appendix.
Initiation of Changed Circumstances Review
Pursuant to section 751(b)(1)(A) of the Act and 19 CFR 351.216(d),
Commerce will conduct a CCR upon receipt of a request from an
interested party for a review of an AD order which shows changed
circumstances sufficient to warrant a review of the order. In the past,
Commerce has used CCRs to address the applicability of cash deposit
rates after there have been changes in the name or structure of a
respondent, such as a merger or spinoff (i.e., a successor-in-interest
determination).\9\ The information submitted by Honda supporting its
claim that it is the successor-in-interest to Jialing demonstrates
changed circumstances sufficient to warrant the initiation of such a
review.\10\
---------------------------------------------------------------------------
\9\ See, e.g., Diamond Sawblades and Parts Thereof from the
People's Republic of China: Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review, 82 FR 51605, 51606
(November 7, 2017), unchanged in Diamond Sawblades and Parts Thereof
from the People's Republic of China: Final Results of Antidumping
Duty Changed Circumstances Review, 82 FR 60177 (December 19, 2017).
\10\ See 19 CFR 351.216(d).
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Section 751(b)(4)(B) of the Act and 19 CFR 351.216(c) state that,
``in the absence of good cause shown,'' the Secretary of Commerce may
not review a final determination less than 24 months after the date of
publication of the notice of final determination or notice of
suspension of an investigation. The final determination in the less-
than-fair-value investigation of vertical shaft engines from China
published on January 11, 2021.\11\ Therefore, Commerce must also
determine whether good cause exists to conduct this review.
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\11\ See Certain Vertical Shaft Engines Between 225cc and 999cc,
and Parts Thereof from the People's Republic of China: Final
Affirmative Determination of Sales at Less Than Fair Value and Final
Affirmative Critical Circumstances Determination, 86 FR 1936
(January 11, 2021).
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Honda asserts that good cause exists because, aside from the name
change, it made no changes with respect to ``production, management,
customer and supplier relationships or any other aspect of
operations.'' \12\ Honda argues that a CCR is needed to ensure the
appropriate cash deposit rate applies to Honda's entries and that
Commerce has previously found in similar situations that a name change,
with no further changes in the company's operations, constitutes good
cause pursuant to 19 CFR 351.216(c) to initiate a CCR.\13\ Based on
this explanation, we find that good cause has been shown pursuant to 19
CFR 351.216(c) to initiate a CCR, and conducting this review ensures
that the appropriate cash deposit rate applies to Honda.
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\12\ See Honda's CCR Request at 4.
\13\ Id. at 5-6 (citing Notice of Initiation and Preliminary
Results of Antidumping Duty Changed Circumstances Review: Certain
Passenger Vehicle and Light Truck Tires from the People's Republic
of China, 81 FR 44588 (July 8, 2016); and Cast Iron Soil Pipe
Fittings from the People's Republic of China: Initiation and
Preliminary Results of Changed Circumstances Reviews, 84 FR 64263
(November 21, 2019)).
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Therefore, in accordance with section 751(b)(1)(A) of the Act and
19 CFR 351.216(d), we are initiating a CCR based on the information
contained in Honda's submission.
Preliminary Results
Section 351.221(c)(3)(ii) of Commerce's regulations permits
Commerce to combine the notice of initiation and preliminary results of
a CCR if Commerce concludes that expedited action is warranted.
However, we are not combining this notice of initiation with the
preliminary results because Commerce has determined that it is
necessary to issue an additional supplemental questionnaire to Honda
regarding Honda's customer base and supplier relationships and to
provide interested parties with an opportunity to comment. Commerce
intends to publish in the Federal Register a notice of the preliminary
results of this CCR in accordance with 19 CFR 351.221(b)(4). Consistent
with 19 CFR 351.221(c)(3)(i), Commerce will set forth its preliminary
factual and legal conclusions in that notice.
Final Results
Unless extended, Commerce intends to issue the final results of
this CCR within 270 days of the day of initiation of this CCR, in
accordance with 19 CFR 351.216(e).
Notification to Interested Parties
This notice is published in accordance with section 751(b)(1) of
the Act, and 19 CFR 351.216(b) and 19 CFR 351.221(b)(1).
Dated: February 14, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix--Scope of the Order
The merchandise covered by this order consists of spark-ignited,
non-road, vertical shaft engines, whether finished or unfinished,
whether assembled or unassembled, primarily for riding lawn mowers
and zero-turn radius lawn mowers. Engines meeting this physical
description may also be for other non-hand-held outdoor power
equipment such as, including but not limited to, tow-behind brush
mowers, grinders, and vertical shaft generators. The subject engines
are spark ignition, single or multiple cylinder, air cooled,
internal combustion engines with vertical power take off shafts with
a minimum displacement of 225 cubic centimeters (cc) and a maximum
displacement of 999cc. Typically, engines with displacements of this
size generate gross power of between 6.7 kilowatts (kw) to 42 kw.
Engines covered by this scope normally must comply with and be
certified under Environmental Protection Agency (EPA) air pollution
controls title 40, chapter I, subchapter U, part 1054 of the Code of
Federal Regulations standards for small non-road spark-ignition
engines and equipment. Engines that otherwise meet the physical
description of the scope but are not certified under 40 CFR part
1054 and are not certified under other parts of subchapter U of the
EPA air pollution controls are not excluded from the scope of this
proceeding. Engines that may be certified under both 40 CFR part
1054 as well as other parts of subchapter U remain subject to the
scope of this proceeding.
For purposes of this order, an unfinished engine covers at a
minimum a sub-assembly comprised of, but not limited to, the
following components: Crankcase, crankshaft, camshaft, piston(s),
and connecting rod(s). Importation of these components together,
whether assembled or unassembled, and whether or not accompanied by
additional components such as an oil pan, manifold, cylinder
head(s), valve train, or valve cover(s), constitutes an unfinished
engine for purposes of this order. The inclusion of other products
such as spark plugs fitted into the cylinder head or electrical
devices (e.g., ignition modules, ignition coils) for synchronizing
with the motor to supply tension current does not remove the product
from the scope. The inclusion of any other components not identified
as comprising the unfinished engine subassembly in a third country
does not remove the engine from the scope.
The engines subject to this order are typically classified in
the Harmonized Tariff Schedule of the United States (HTSUS) at
subheadings: 8407.90.1020, 8407.90.1060, and 8407.90.1080. The
engine subassemblies that are subject to this order enter under
HTSUS subheading 8409.91.9990. Engines subject to this order may
also enter under HTSUS subheading 8407.90.9060 and 8407.90.9080. The
HTSUS subheadings are provided for convenience and customs purposes
only, and the written description of
[[Page 9575]]
the merchandise subject to this order is dispositive.
[FR Doc. 2022-03659 Filed 2-18-22; 8:45 am]
BILLING CODE 3510-DS-P
