Certain Large Vertical Shaft Engines Between 225cc and 999cc, and Parts Thereof From the People's Republic of China: Preliminary Results and Rescission, in Part, of the Antidumping Duty Administrative Review; 2020-2022, 76178-76181 [2022-26946]
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76178
Federal Register / Vol. 87, No. 238 / Tuesday, December 13, 2022 / Notices
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Jkt 259001
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[FR Doc. 2022–26988 Filed 12–12–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
BILLING CODE 3411–15–P
[A–570–119]
DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[S–215–2022]
Foreign-Trade Zone 18—San Jose,
California, Application for Subzone,
Tesla, Inc., Oakland, California
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the City of San Jose, grantee of FTZ 18,
requesting an expansion of Subzone 18G
on behalf of Tesla, Inc., located in
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Certain Large Vertical Shaft Engines
Between 225cc and 999cc, and Parts
Thereof From the People’s Republic of
China: Preliminary Results and
Rescission, in Part, of the Antidumping
Duty Administrative Review; 2020–
2022
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The U.S Department of
Commerce (Commerce) is conducting
the administrative review of the
antidumping duty order on certain large
vertical shaft engines between 225cc
and 999cc, and parts thereof (large
vertical shaft engines) from the People’s
Republic of China (China). The period
of review (POR) is August 19, 2020,
through February 28, 2022. Commerce
preliminarily determines that Honda
Power Products (China) Co., Ltd.
(Honda) failed to establish its eligibility
for a separate rate and, therefore, is part
of the China-wide entity. We are also
rescinding this review with respect to
Chongqing Rato Technology Co., Ltd.
(Chongqing Rato) and Loncin Motor Co.,
Ltd (Loncin). We invite interested
parties to comment on these preliminary
results.
DATES: Applicable December 13, 2022.
FOR FURTHER INFORMATION CONTACT: Leo
Ayala or Jacob Saude, 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 or (202) 482–0981,
respectively.
AGENCY:
SUPPLEMENTARY INFORMATION:
Background
On March 3, 2022, Commerce
published in the Federal Register a
notice of opportunity to request an
administrative review of the
antidumping duty order on large
vertical shaft engines from China 1 for
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
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lotter on DSK11XQN23PROD with NOTICES1
the POR.2 On March 30, 2022, Honda
and American Honda Motor Co., Inc.
self-requested a review of Honda’s
imports of subject merchandise during
the POR.3 On March 31, 2022,
Chongqing Rato self-requested a review
of its sales of subject merchandise
during the POR.4 Also on March 31,
2022, the Toro Company (Toro), a U.S.
importer of large vertical shaft engines
from China, requested a review of
Loncin, a producer and exporter of
subject merchandise.5 Subsequently, we
initiated an administrative review of the
Order with respect to Chongqing Rato,6
Loncin,7 and Honda.8 On June 7, 2022,
Toro timely withdrew its review request
of Loncin.9
On June 17, 2022, we placed on the
record U.S. Customs and Border
Protection (CBP) entry data under
administrative protective order (APO)
for all interested parties having APO
access and provided interested parties
the opportunity to comment on the CBP
data and respondent selection.10 No
party commented on the CBP data or
respondent selection.
On July 18, 2022, Chonqqing Rato
timely withdrew its request for an
administrative review.11
Antidumping Duty Order, 86 FR 12623 (March 4,
2021) (Order).
2 See Antidumping or Countervailing Duty Order,
Finding, or Suspended Investigation; Opportunity
To Request Administrative Review and Join Annual
Inquiry Service List, 87 FR 12086 (March 3, 2022).
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 Administrative Review,’’ dated March
30, 2022.
4 See Chongqing Rato’s Letter, ‘‘Certain Vertical
Shaft Engines Between 225CC and 999CC, and Parts
Thereof, from the People’s Republic of China:
Request for Administrative Review,’’ dated March
31, 2022.
5 See Toro’s Letter, ‘‘Vertical Shaft Engines
between 225cc and 999cc, and Parts Thereof, from
the People’s Republic of China: Request for
Review—2020–2022 Review Period,’’ dated March
31, 2022.
6 See Initiation of Antidumping and
Countervailing Duty Administrative Reviews, 87 FR
29280 (May 13, 2022).
7 Id.
8 See Initiation of Antidumping and
Countervailing Duty Administrative Reviews, 87 FR
35165 (June 9, 2022) (Honda Initiation Notice).
9 See Toro’s Letter, ‘‘Vertical Shaft Engines
between 225cc and 999cc, and Parts Thereof, from
the People’s Republic of China: Withdrawal of
Request for Review—2020–2022 Review Period,’’
dated June 7, 2022.
10 See Memorandum, ‘‘Customs Entries from
August 19, 2020 through February 28, 2022,’’ dated
June 17, 2022.
11 See Chongqing Rato’s Letter, ‘‘Certain Vertical
Shaft Engines Between 225CC and 999CC, and Parts
Thereof, from the People’s Republic of China:
Withdrawal of Request for Administrative Review,’’
dated July 18, 2022.
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16:56 Dec 12, 2022
Jkt 259001
Scope of the Order
The scope of the 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 the Order. 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 the Order.
For purposes of the 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 the Order are
typically classified in the Harmonized
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76179
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
the Order enter under HTSUS
subheading 8409.91.9990. Engines
subject to the Order may also enter
under HTSUS subheadings
8407.90.9060 and 8407.90.9080. The
HTSUS subheadings are provided for
convenience and customs purposes
only, and the written description of the
merchandise subject to the Order is
dispositive.
Partial Rescission of Administrative
Review
Pursuant to 19 CFR 351.213(d)(1),
Commerce will rescind an
administrative review, in whole or in
part, if all parties that requested a
review withdraw their requests within
90 days of the publication date of the
notice of initiation of the requested
review in the Federal Register. On June
7, 2022, Toro withdrew its review
request of Loncin.12 On July 18, 2022,
Chonqqing Rato withdrew its request for
an administrative review of its own
entries.13 Because no other party
requested a review of Loncin and
Chongqing Rato, consistent with 19 CFR
351.213(d)(1), Commerce is rescinding
this review with respect to Chongqing
Rato and Loncin.
Methodology
Commerce is conducting this
administrative review in accordance
with section 751(a)(1)(B) of the Tariff
Act of 1930, as amended (the Act), and
19 CFR 351.213.
Preliminary Results of Review
The deadline for Honda to submit a
no-shipment certification, separate rate
application (SRA), or separate rate
certification (SRC) was July 11, 2022.14
12 See Toro’s Letter, ‘‘Certain Vertical Shaft
Engines between 225cc and 999cc, and Parts
Thereof, from the People’s Republic of China:
Withdrawal of Request for Review—2020–2022
Review Period,’’ dated June 7, 2022.
13 See Chongqing Rato’s Letter, ‘‘Certain Vertical
Shaft Engines Between 225CC and 999CC, and Parts
Thereof, from the People’s Republic of China:
Withdrawal of Request for Administrative Review,’’
dated July 18, 2022.
14 See Honda Initiation Notice, 87 FR at 35167
(‘‘If a producer or exporter named in this notice of
initiation had no exports, sales, or entries during
{POR}, it must notify Commerce within 30 days of
publication of this notice in the Federal Register
. . . . Separate Rate Applications are due to
Commerce no later than 30 calendar days after
publication of this Federal Register notice.’’).
Thirty calendar days after the Honda Initiation
Notice published was Saturday, July 9, 2022.
Commerce’s practice dictates that, where a deadline
falls on a weekend or federal holiday, the
appropriate deadline is the next business day. See
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Federal Register / Vol. 87, No. 238 / Tuesday, December 13, 2022 / Notices
Honda did not submit an SRA or SRC.
Thus, Commerce preliminarily
determines that Honda has not
demonstrated its eligibility for separate
rate status and, therefore, Honda is part
of the China-wide entity.
China-Wide Entity
Commerce no longer considers the
non-market economy (NME) entity as an
exporter conditionally subject to an
antidumping duty administrative
review.15 Accordingly, the NME entity
will not be under review unless
Commerce specifically receives a
request for, or self-initiates, a review of
the NME entity. In this administrative
review, no party requested a review of
the China-wide entity and we have not
self-initiated a review of the China-wide
entity. Because no review of the Chinawide entity is being conducted, the
China-wide entity’s entries are not
subject to the review, and the rate
applicable to the NME entity is not
subject to change as a result of this
review. The weighted-average dumping
margin previously determined for the
China-wide entity is 456.10 percent.16
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Public Comment
Interested parties are invited to
comment on the preliminary results and
may submit case briefs or written
comments, filed electronically via
Enforcement and Compliance’s
Antidumping Duty and Countervailing
Duty Centralized Electronic Service
System (ACCESS), within 30 days after
the date of publication of these
preliminary results of review.17
ACCESS is available to registered users
at https://access.trade.gov. Rebuttal
briefs, limited to issues raised in the
case briefs, must be filed within seven
days after the time limit for filing case
briefs.18 Parties who submit case or
rebuttal briefs in this proceeding are
requested to submit with each argument
a statement of the issue, a brief
summary of the argument, and a table of
authorities.19 Note that Commerce has
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).
15 See Antidumping Proceedings: Announcement
of Change in Department Practice for Respondent
Selection in Antidumping Duty Proceedings and
Conditional Review of the Non-Market Economy
Entity in NME Antidumping Duty Proceedings, 78
FR 65963, 65970 (November 4, 2013).
16 See Order, 86 FR at 12624.
17 See 19 CFR 351.309(c)(1)(ii).
18 See 19 CFR 351.309(d)(1) and (2); see also
Temporary Rule Modifying AD/CVD Service
Requirements Due to COVID–19; Extension of
Effective Period, 85 FR 41363 (July 10, 2020)
(Temporary Rule).
19 See 19 CFR 351.309(c) and (d); see also 19 CFR
351.303 (for general filing requirements).
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16:56 Dec 12, 2022
Jkt 259001
temporarily modified certain portions of
its requirements for serving documents
containing business proprietary
information, until further notice.20
Interested parties who wish to request
a hearing, or to participate if one is
requested, must submit a written
request to the Assistant Secretary for
Enforcement and Compliance within 30
days of the date of publication of this
notice.21 Requests should contain: (1)
the party’s name, address, and
telephone number; (2) the number of
participants; and (3) a list of issues to be
discussed. Issues raised in the hearing
will be limited to those raised in the
respective case and rebuttal briefs. If a
request for a hearing is made, parties
will be notified of the time and date for
a hearing to be held.22 Commerce
intends to issue the final results of this
administrative review, which will
include the results of our analysis of all
issues raised in the case briefs, within
120 days of publication of these
preliminary results in the Federal
Register, unless extended, pursuant to
section 751(a)(3)(A) of the Act.
Assessment Rates
Upon issuance of the final results of
this review, Commerce will determine,
and CBP will assess, antidumping
duties on all appropriate entries covered
by this review.23 We intend to instruct
CBP to liquidate entries containing
subject merchandise exported by
Honda, if we continue to determine in
the final results Honda to be part of the
China-wide entity, at the China-wide
entity rate of 456.1 percent.24
For Chongqing Rato and Loncin, for
which this review is rescinded,
antidumping duties shall be assessed at
rates equal to the cash deposit of
estimated antidumping duties required
at the time of entry, or withdrawal from
warehouse, for consumption, during the
period August 19, 2020, through
February 28, 2022, in accordance with
19 CFR 351.212(c)(1)(i).
Commerce intends to issue
assessment instructions to CBP no
earlier than 35 days after the date of
publication of the final rescission of this
review in the Federal Register for
Chongching Rato and Loncin, and no
earlier than 35 days after the date of
publication of the final results of this
review in the Federal Register for
Honda. If a timely summons is filed at
20 See
Temporary Rule, 85 FR at 41363.
19 CFR 351.310(c).
22 See 19 CFR 310(d).
23 See 19 CFR 351.212(b)(1).
24 For a full discussion of this practice, see NonMarket Economy Antidumping Proceedings:
Assessment of Antidumping Duties, 76 FR 65694
(October 24, 2011).
21 See
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Fmt 4703
Sfmt 4703
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
withdrawn from warehouse, for
consumption on or after the publication
date of the final results of review, as
provided for by section 751(a)(2)(C) of
the Act: (1) for Honda, if it is found to
not be eligible for a separate rate in the
final results of review, then its cash
deposit rate will be the rate applicable
for the China-wide entity; (2) for
previously investigated or reviewed
Chinese and non-Chinese exporters who
are not under review in this segment of
the proceeding but who have separate
rates, the cash deposit rate will continue
to be the exporter specific rate
published for the most recent period; (3)
for all Chinese exporters of subject
merchandise that have not been found
to be entitled to a separate rate, the cash
deposit rate will be the China-wide rate
of 456.10 percent; and (4) for all nonChinese exporters of subject
merchandise which have not received
their own rate, the cash deposit rate will
be the rate applicable to Chinese
exporter(s) that supplied that nonChinese exporter. These deposit
requirements, when imposed, shall
remain in effect until further notice.
Notification to Importers
This notice also serves as a
preliminary reminder to importers of
their responsibility under 19 CFR
351.402(f)(2) to file a certificate
regarding the reimbursement of
antidumping and/or countervailing
duties prior to liquidation of the
relevant entries during this review
period. Failure to comply with this
requirement could result in Commerce’s
presumption that reimbursement of
antidumping and/or countervailing
duties occurred and the subsequent
assessment of double antidumping
duties, and/or an increase in the amount
of antidumping duties by the amount of
the countervailing duties.
Notification to Interested Parties
This determination is issued and
published in accordance with sections
751(a)(1) and 777(i)(1) of the Act and 19
CFR 351.213(d) and 19 CFR
351.221(b)(4).
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Federal Register / Vol. 87, No. 238 / Tuesday, December 13, 2022 / Notices
Dated: December 1, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and
Compliance.
[FR Doc. 2022–26946 Filed 12–12–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–533–840]
Certain Frozen Warmwater Shrimp
From India: Notice of Court Decision
Not in Harmony With the Final Results
in the Antidumping Duty
Administrative Review; Notice of
Amended Final Results
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: On December 6, 2022, the
U.S. Court of International Trade (CIT)
issued its final judgment in Z.A. Sea
Foods Private Limited v. United States,
Consol. Court No. 21–00031, sustaining
the Department of Commerce’s
(Commerce’s) first remand results
pertaining to the administrative review
of the antidumping duty (AD) order on
certain frozen warmwater shrimp
(shrimp) from India covering the period
February 1, 2018, through January 31,
2019. Commerce is notifying the public
that the CIT’s final judgment in this case
is not in harmony with Commerce’s
final results in the administrative
review and that Commerce is amending
the final results with respect to the
dumping margin assigned to Z A Sea
Foods Pvt. Ltd. (ZA Sea Foods), B-One
Business House Pvt. Ltd., Hari Marine
Private Limited, Magnum Export, Megaa
Moda Pvt. Ltd., Milsha Agro Exports
Private Limited, Sea Foods Private
Limited, Shimpo Exports Private
Limited, Five Star Marine Exports
Private Limited, HN Indigos Private
Limited, RSA Marines, and Zeal Aqua
Limited.
AGENCY:
Applicable December 16, 2022.
FOR FURTHER INFORMATION CONTACT:
Alice Maldonado, 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) 482–4682.
SUPPLEMENTARY INFORMATION:
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DATES:
Background
On December 29, 2020, Commerce
published its final results in the 2018–
2019 AD administrative review of
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16:56 Dec 12, 2022
Jkt 259001
shrimp from India.1 Commerce
calculated a weighted-average dumping
margin of 3.06 percent for ZA Sea Foods
and assigned a dumping margin of 3.06
percent to B-One Business House Pvt.
Ltd., Hari Marine Private Limited,
Magnum Export, Megaa Moda Pvt. Ltd.,
Milsha Agro Exports Private Limited,
Sea Foods Private Limited, Shimpo
Exports Private Limited, Five Star
Marine Exports Private Limited, HN
Indigos Private Limited, RSA Marines,
and Zeal Aqua Limited (the other Indian
shrimp respondents).2
ZA Sea Foods and the other Indian
shrimp respondents appealed
Commerce’s Final Results. On April 19,
2022, the CIT remanded the Final
Results, finding that Commerce’s
decision to reject ZA Sea Foods’ third
country sales and rely on constructed
value (CV) for the calculation of normal
value (NV) was not supported by
substantial evidence.3
In its final remand redetermination,
issued in July 2022, Commerce
determined that there was insufficient
record evidence to find that ZA Sea
Foods’ third country Vietnamese sales
were unrepresentative and unsuitable
for use in the calculation of NV and
recalculated the weighted-average
dumping margin for ZA Sea Foods by
relying on ZA Sea Foods’ third country
Vietnamese sales during the period of
review.4 As a result, Commerce
calculated a revised weighted-average
dumping margin for ZA Sea Foods of
1.73 percent. Moreover, as a result of
Commerce’s recalculation of the
weighted-average dumping margin for
ZA Sea Foods, Commerce revised the
review-specific average rate assigned to
the other Indian shrimp respondents to
1.73 percent. The CIT sustained
Commerce’s Final Remand Results.5
Timken Notice
In its decision in Timken,6 as clarified
by Diamond Sawblades,7 the Court of
Appeals for the Federal Circuit held
1 See Certain Frozen Warmwater Shrimp from
India: Final Results of Antidumping Duty
Administrative Review and Final Determination of
No Shipments; 2018–2019, 85 FR 85580 (December
29, 2020) (Final Results).
2 Id. at 85581.
3 See Z.A. Sea Foods Private Ltd. v. United States,
Slip Op. 22–36, Consol. Court No. 21–00031 (CIT
2022).
4 See Final Results of Redetermination Pursuant
to Court Remand, Consol. Court No. No. 21–00031,
dated July 18, 2022 (Final Remand Results) at 1.
5 See Z.A. Sea Foods Private Limited et al v.
United States, Slip Op. 22–136, Consol. Court No.
21–00031 (CIT 2022).
6 See Timken Co. v. United States, 893 F.2d 337,
341 (Fed. Cir. 1990) (Timken).
7 See Diamond Sawblades Mfrs. Coal. v. United
States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond
Sawblades).
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that, pursuant to section 516A(c) and (e)
of the Tariff Act of 1930, as amended
(the Act), Commerce must publish a
notice of a court decision that is not ‘‘in
harmony’’ with a Commerce
determination and must suspend
liquidation of entries pending a
‘‘conclusive’’ court decision.8 The CIT’s
December 6, 2022, judgment in this case
constitutes a final decision of that court
that is not in harmony with Commerce’s
Final Results. This notice is published
in fulfillment of the publication
requirements of Timken.
Amended Final Results
Because there is now a final court
judgment, Commerce is amending its
Final Results with respect to ZA Sea
Foods and the other Indian shrimp
respondents as follows:
Exporter/producer
Weightedaverage
dumping
margin
(percent)
Z.A. Sea Foods Pvt. Ltd .............
B-One Business House Pvt. Ltd
Hari Marine Private Limited ........
Magnum Export ..........................
Megaa Moda Pvt. Ltd .................
Milsha Agro Exports Private Limited ..........................................
Sea Foods Private Limited .........
Shimpo Exports Private Limited
Five Star Marine Exports Private
Limited .....................................
HN Indigos Private Limited .........
RSA Marines ..............................
Zeal Aqua Limited ......................
1.73
1.73
1.73
1.73
1.73
1.73
1.73
1.73
1.73
1.73
1.73
1.73
Cash Deposit Requirements
Commerce will issue revised cash
deposit instruction to U.S. Customs and
Border Protection (CBP).
Because Hari Marine Private Limited,
HN Indigos Private Limited, Megaa
Moda Pvt. Ltd., Milsha Agro Exports
Private Limited, RSA Marines, Shimpo
Exports Private Limited, and Zeal Aqua
Limited have a superseding cash deposit
rate, i.e., there have been final results
published in a subsequent
administrative review, we will not issue
revised cash deposit instructions to CBP
for these those producers/exporters.
This notice will not affect the current
cash deposit rate for them. For all
exporters/producers that do not have a
superseding cash deposit rate,
Commerce will issue revised cash
deposit instructions to CBP.
Liquidation of Suspended Entries
At this time, Commerce remains
enjoined by CIT order from liquidating
entries that were produced and exported
8 See
E:\FR\FM\13DEN1.SGM
sections 516A(c) and (e) of the Act.
13DEN1
Agencies
[Federal Register Volume 87, Number 238 (Tuesday, December 13, 2022)]
[Notices]
[Pages 76178-76181]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-26946]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-119]
Certain Large Vertical Shaft Engines Between 225cc and 999cc, and
Parts Thereof From the People's Republic of China: Preliminary Results
and Rescission, in Part, of the Antidumping Duty Administrative Review;
2020-2022
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S Department of Commerce (Commerce) is conducting the
administrative review of the antidumping duty order on certain large
vertical shaft engines between 225cc and 999cc, and parts thereof
(large vertical shaft engines) from the People's Republic of China
(China). The period of review (POR) is August 19, 2020, through
February 28, 2022. Commerce preliminarily determines that Honda Power
Products (China) Co., Ltd. (Honda) failed to establish its eligibility
for a separate rate and, therefore, is part of the China-wide entity.
We are also rescinding this review with respect to Chongqing Rato
Technology Co., Ltd. (Chongqing Rato) and Loncin Motor Co., Ltd
(Loncin). We invite interested parties to comment on these preliminary
results.
DATES: Applicable December 13, 2022.
FOR FURTHER INFORMATION CONTACT: Leo Ayala or Jacob Saude, 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 or (202) 482-0981,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On March 3, 2022, Commerce published in the Federal Register a
notice of opportunity to request an administrative review of the
antidumping duty order on large vertical shaft engines from China \1\
for
[[Page 76179]]
the POR.\2\ On March 30, 2022, Honda and American Honda Motor Co., Inc.
self-requested a review of Honda's imports of subject merchandise
during the POR.\3\ On March 31, 2022, Chongqing Rato self-requested a
review of its sales of subject merchandise during the POR.\4\ Also on
March 31, 2022, the Toro Company (Toro), a U.S. importer of large
vertical shaft engines from China, requested a review of Loncin, a
producer and exporter of subject merchandise.\5\ Subsequently, we
initiated an administrative review of the Order with respect to
Chongqing Rato,\6\ Loncin,\7\ and Honda.\8\ On June 7, 2022, Toro
timely withdrew its review request of Loncin.\9\
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\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) (Order).
\2\ See Antidumping or Countervailing Duty Order, Finding, or
Suspended Investigation; Opportunity To Request Administrative
Review and Join Annual Inquiry Service List, 87 FR 12086 (March 3,
2022).
\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 Administrative Review,'' dated March 30, 2022.
\4\ See Chongqing Rato's Letter, ``Certain Vertical Shaft
Engines Between 225CC and 999CC, and Parts Thereof, from the
People's Republic of China: Request for Administrative Review,''
dated March 31, 2022.
\5\ See Toro's Letter, ``Vertical Shaft Engines between 225cc
and 999cc, and Parts Thereof, from the People's Republic of China:
Request for Review--2020-2022 Review Period,'' dated March 31, 2022.
\6\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 87 FR 29280 (May 13, 2022).
\7\ Id.
\8\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 87 FR 35165 (June 9, 2022) (Honda Initiation
Notice).
\9\ See Toro's Letter, ``Vertical Shaft Engines between 225cc
and 999cc, and Parts Thereof, from the People's Republic of China:
Withdrawal of Request for Review--2020-2022 Review Period,'' dated
June 7, 2022.
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On June 17, 2022, we placed on the record U.S. Customs and Border
Protection (CBP) entry data under administrative protective order (APO)
for all interested parties having APO access and provided interested
parties the opportunity to comment on the CBP data and respondent
selection.\10\ No party commented on the CBP data or respondent
selection.
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\10\ See Memorandum, ``Customs Entries from August 19, 2020
through February 28, 2022,'' dated June 17, 2022.
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On July 18, 2022, Chonqqing Rato timely withdrew its request for an
administrative review.\11\
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\11\ See Chongqing Rato's Letter, ``Certain Vertical Shaft
Engines Between 225CC and 999CC, and Parts Thereof, from the
People's Republic of China: Withdrawal of Request for Administrative
Review,'' dated July 18, 2022.
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Scope of the Order
The scope of the 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 the Order. 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 the Order.
For purposes of the 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 the 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 the Order enter under HTSUS subheading
8409.91.9990. Engines subject to the Order may also enter under HTSUS
subheadings 8407.90.9060 and 8407.90.9080. The HTSUS subheadings are
provided for convenience and customs purposes only, and the written
description of the merchandise subject to the Order is dispositive.
Partial Rescission of Administrative Review
Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an
administrative review, in whole or in part, if all parties that
requested a review withdraw their requests within 90 days of the
publication date of the notice of initiation of the requested review in
the Federal Register. On June 7, 2022, Toro withdrew its review request
of Loncin.\12\ On July 18, 2022, Chonqqing Rato withdrew its request
for an administrative review of its own entries.\13\ Because no other
party requested a review of Loncin and Chongqing Rato, consistent with
19 CFR 351.213(d)(1), Commerce is rescinding this review with respect
to Chongqing Rato and Loncin.
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\12\ See Toro's Letter, ``Certain Vertical Shaft Engines between
225cc and 999cc, and Parts Thereof, from the People's Republic of
China: Withdrawal of Request for Review--2020-2022 Review Period,''
dated June 7, 2022.
\13\ See Chongqing Rato's Letter, ``Certain Vertical Shaft
Engines Between 225CC and 999CC, and Parts Thereof, from the
People's Republic of China: Withdrawal of Request for Administrative
Review,'' dated July 18, 2022.
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Methodology
Commerce is conducting this administrative review in accordance
with section 751(a)(1)(B) of the Tariff Act of 1930, as amended (the
Act), and 19 CFR 351.213.
Preliminary Results of Review
The deadline for Honda to submit a no-shipment certification,
separate rate application (SRA), or separate rate certification (SRC)
was July 11, 2022.\14\
[[Page 76180]]
Honda did not submit an SRA or SRC. Thus, Commerce preliminarily
determines that Honda has not demonstrated its eligibility for separate
rate status and, therefore, Honda is part of the China-wide entity.
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\14\ See Honda Initiation Notice, 87 FR at 35167 (``If a
producer or exporter named in this notice of initiation had no
exports, sales, or entries during {POR{time} , it must notify
Commerce within 30 days of publication of this notice in the Federal
Register . . . . Separate Rate Applications are due to Commerce no
later than 30 calendar days after publication of this Federal
Register notice.''). Thirty calendar days after the Honda Initiation
Notice published was Saturday, July 9, 2022. Commerce's practice
dictates that, where a deadline falls on a weekend or federal
holiday, the appropriate deadline is the next business day. 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).
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China-Wide Entity
Commerce no longer considers the non-market economy (NME) entity as
an exporter conditionally subject to an antidumping duty administrative
review.\15\ Accordingly, the NME entity will not be under review unless
Commerce specifically receives a request for, or self-initiates, a
review of the NME entity. In this administrative review, no party
requested a review of the China-wide entity and we have not self-
initiated a review of the China-wide entity. Because no review of the
China-wide entity is being conducted, the China-wide entity's entries
are not subject to the review, and the rate applicable to the NME
entity is not subject to change as a result of this review. The
weighted-average dumping margin previously determined for the China-
wide entity is 456.10 percent.\16\
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\15\ See Antidumping Proceedings: Announcement of Change in
Department Practice for Respondent Selection in Antidumping Duty
Proceedings and Conditional Review of the Non-Market Economy Entity
in NME Antidumping Duty Proceedings, 78 FR 65963, 65970 (November 4,
2013).
\16\ See Order, 86 FR at 12624.
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Public Comment
Interested parties are invited to comment on the preliminary
results and may submit case briefs or written comments, filed
electronically via Enforcement and Compliance's Antidumping Duty and
Countervailing Duty Centralized Electronic Service System (ACCESS),
within 30 days after the date of publication of these preliminary
results of review.\17\ ACCESS is available to registered users at
https://access.trade.gov. Rebuttal briefs, limited to issues raised in
the case briefs, must be filed within seven days after the time limit
for filing case briefs.\18\ Parties who submit case or rebuttal briefs
in this proceeding are requested to submit with each argument a
statement of the issue, a brief summary of the argument, and a table of
authorities.\19\ Note that Commerce has temporarily modified certain
portions of its requirements for serving documents containing business
proprietary information, until further notice.\20\
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\17\ See 19 CFR 351.309(c)(1)(ii).
\18\ See 19 CFR 351.309(d)(1) and (2); see also Temporary Rule
Modifying AD/CVD Service Requirements Due to COVID-19; Extension of
Effective Period, 85 FR 41363 (July 10, 2020) (Temporary Rule).
\19\ See 19 CFR 351.309(c) and (d); see also 19 CFR 351.303 (for
general filing requirements).
\20\ See Temporary Rule, 85 FR at 41363.
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Interested parties who wish to request a hearing, or to participate
if one is requested, must submit a written request to the Assistant
Secretary for Enforcement and Compliance within 30 days of the date of
publication of this notice.\21\ Requests should contain: (1) the
party's name, address, and telephone number; (2) the number of
participants; and (3) a list of issues to be discussed. Issues raised
in the hearing will be limited to those raised in the respective case
and rebuttal briefs. If a request for a hearing is made, parties will
be notified of the time and date for a hearing to be held.\22\ Commerce
intends to issue the final results of this administrative review, which
will include the results of our analysis of all issues raised in the
case briefs, within 120 days of publication of these preliminary
results in the Federal Register, unless extended, pursuant to section
751(a)(3)(A) of the Act.
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\21\ See 19 CFR 351.310(c).
\22\ See 19 CFR 310(d).
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Assessment Rates
Upon issuance of the final results of this review, Commerce will
determine, and CBP will assess, antidumping duties on all appropriate
entries covered by this review.\23\ We intend to instruct CBP to
liquidate entries containing subject merchandise exported by Honda, if
we continue to determine in the final results Honda to be part of the
China-wide entity, at the China-wide entity rate of 456.1 percent.\24\
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\23\ See 19 CFR 351.212(b)(1).
\24\ For a full discussion of this practice, see Non-Market
Economy Antidumping Proceedings: Assessment of Antidumping Duties,
76 FR 65694 (October 24, 2011).
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For Chongqing Rato and Loncin, for which this review is rescinded,
antidumping duties shall be assessed at rates equal to the cash deposit
of estimated antidumping duties required at the time of entry, or
withdrawal from warehouse, for consumption, during the period August
19, 2020, through February 28, 2022, in accordance with 19 CFR
351.212(c)(1)(i).
Commerce intends to issue assessment instructions to CBP no earlier
than 35 days after the date of publication of the final rescission of
this review in the Federal Register for Chongching Rato and Loncin, and
no earlier than 35 days after the date of publication of the final
results of this review in the Federal Register for Honda. 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 withdrawn from
warehouse, for consumption on or after the publication date of the
final results of review, as provided for by section 751(a)(2)(C) of the
Act: (1) for Honda, if it is found to not be eligible for a separate
rate in the final results of review, then its cash deposit rate will be
the rate applicable for the China-wide entity; (2) for previously
investigated or reviewed Chinese and non-Chinese exporters who are not
under review in this segment of the proceeding but who have separate
rates, the cash deposit rate will continue to be the exporter specific
rate published for the most recent period; (3) for all Chinese
exporters of subject merchandise that have not been found to be
entitled to a separate rate, the cash deposit rate will be the China-
wide rate of 456.10 percent; and (4) for all non-Chinese exporters of
subject merchandise which have not received their own rate, the cash
deposit rate will be the rate applicable to Chinese exporter(s) that
supplied that non-Chinese exporter. These deposit requirements, when
imposed, shall remain in effect until further notice.
Notification to Importers
This notice also serves as a preliminary reminder to importers of
their responsibility under 19 CFR 351.402(f)(2) to file a certificate
regarding the reimbursement of antidumping and/or countervailing duties
prior to liquidation of the relevant entries during this review period.
Failure to comply with this requirement could result in Commerce's
presumption that reimbursement of antidumping and/or countervailing
duties occurred and the subsequent assessment of double antidumping
duties, and/or an increase in the amount of antidumping duties by the
amount of the countervailing duties.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.213(d) and
19 CFR 351.221(b)(4).
[[Page 76181]]
Dated: December 1, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2022-26946 Filed 12-12-22; 8:45 am]
BILLING CODE 3510-DS-P