Certain Vertical Shaft Engines Between 99cc and Up To 225cc, and Parts Thereof, From the People's Republic of China: Affirmative Final Determination of Circumvention of the Antidumping and Countervailing Duty Orders-60cc Up To 99cc Engines, 77074-77076 [2022-27276]
Download as PDF
77074
Federal Register / Vol. 87, No. 241 / Friday, December 16, 2022 / Notices
narrow woven ribbons with woven
selvedge (ribbons) from the People’s
Republic of China (China). Commerce is
notifying the public that the CIT’s final
judgment is not in harmony with
Commerce’s final results of the
administrative review, and that
Commerce is amending the final results
with respect to the countervailable
subsidy rate assigned to Yama Ribbons
and Bows Co. (Yama).
DATES: Applicable December 18, 2022.
FOR FURTHER INFORMATION CONTACT:
Terre Keaton Stefanova, 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) 482–1280.
SUPPLEMENTARY INFORMATION:
lotter on DSK11XQN23PROD with NOTICES1
Background
On March 25, 2019, Commerce
published its final results of the 2016
CVD administrative review of ribbons
from China. 1 In the Final Results,
Commerce assigned Yama an overall
subsidy rate of 23.70 percent based, in
part, on adverse facts available (AFA).
Yama appealed Commerce’s Final
Results. On April 30, 2021, the CIT
remanded to Commerce its Final Results
findings that Yama used and benefited
from the Export Buyer’s Credit program
(EBCP) and the Provision of Synthetic
Yarn and Caustic Soda for Less-ThanAdequate Remuneration (LTAR) and its
inclusion of these subsidies in the
overall subsidy rate determined for
Yama.2
In its remand redetermination issued
in August 2021, Commerce reconsidered
its decision to apply AFA in evaluating
use of the EBCP and determined, under
respectful protest, that the EBCP was
not used by Yama during the period of
review (POR). Commerce also further
considered the information on the
record and supplemented the record
regarding the synthetic yarn and caustic
soda inputs for LTAR programs and
addressed the ‘‘specificity’’ requirement
in the statute for them. Upon further
examination, Commerce found that: (1)
the Provision of Synthetic Yarn and
Caustic Soda for LTAR programs met
the specificity requirement of the statute
and, therefore, were countervailable
subsidies; and (2) Yama benefited from
these programs during the POR.
1 See Narrow Woven Ribbons with Woven
Selvedge from the People’s Republic of China: Final
Results of Countervailing Duty Administrative
Review; 2016, 84 FR 11052 (March 25, 2019) (Final
Results).
2 See Yama Ribbons and Bows Co., LTD. vs.
United States, 517 F.Supp.3d 1325 (CIT 2021).
VerDate Sep<11>2014
20:05 Dec 15, 2022
Jkt 259001
Accordingly, Commerce calculated a
revised subsidy rate for Yama of 13.16
percent.3 On December 8, 2022, the CIT
sustained Commerce’s final
redetermination.4
Timken Notice
In its decision in Timken,5 as clarified
by Diamond Sawblades,6 the Court of
Appeals for the Federal Circuit held
that, pursuant to section 516A(c) and (e)
of the Tariff Act of 1930, as amended
(the Act), Commerce must publish a
notice of court decision that is not ‘‘in
harmony’’ with a Commerce
determination and must suspend
liquidation of entries pending a
‘‘conclusive’’ court decision. The CIT’s
December 8, 2022, judgment constitutes
a final decision of the CIT that is not in
harmony with Commerce’s Final
Results. Thus, 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 Yama as
follows:
Subsidy
rate
(%)
Company
Yama Ribbons and Bows Co.,
Ltd ...........................................
Because Yama has 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 U.S.
Customs and Border Protection (CBP).
This notice will not affect the current
cash deposit rate for Yama.
Liquidation of Suspended Entries
At this time, Commerce remains
enjoined by CIT order from liquidating
entries that were produced and exported
by Yama and were entered, or
withdrawn from warehouse, for
consumption during the period January
1, 2016, through December 31, 2016.
These entries will remain enjoined
pursuant to the terms of the injunction
3 See Final Results of Redetermination Pursuant
to Court Remand, Consol. Ct. No. 19–00047, Slip
Op. 21–50 (August 13, 2021) (Remand Results).
4 See Yama Ribbons and Bows Co., Ltd. vs. United
States, Consol. Court No 19–00047, Slip Op. 22–138
(CIT December 8, 2022).
5 See Timken Co. v. United States, 893 F.2d 337
(Fed. Cir. 1990) (Timken).
6 See Diamond Sawblades Manufacturers
Coalition v. United States, 626 F.3d 1374 (Fed. Cir.
2010) (Diamond Sawblades).
Frm 00018
Fmt 4703
Sfmt 4703
Notification to Interested Parties
This notice is issued and published in
accordance with sections 516A(c) and
(e) and 777(i)(1) of the Act.
Dated: December 12, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and
Compliance.
[FR Doc. 2022–27331 Filed 12–15–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
13.16
Cash Deposit Requirements
PO 00000
during the pendency of any appeals
process.
In the event the CIT’s ruling is not
appealed, or, if appealed, is upheld by
a final and conclusive court decision,
Commerce intends to instruct CBP to
assess countervailing duties on
unliquidated entries of subject
merchandise produced and exported by
Yama in accordance with 19 CFR
351.212(b). We will instruct CBP to
assess countervailing duties on all
appropriate entries covered by this
review when the ad valorem rate is not
zero or de minimis. Where an ad
valorem subsidy rate is zero or de
minimis,7 we will instruct CBP to
liquidate the appropriate entries
without regard to countervailing duties.
[A–570–124; C–570–125]
Certain Vertical Shaft Engines Between
99cc and Up To 225cc, and Parts
Thereof, From the People’s Republic of
China: Affirmative Final Determination
of Circumvention of the Antidumping
and Countervailing Duty Orders—60cc
Up To 99cc Engines
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of
Commerce (Commerce) determines that
vertical shaft engines with
displacements between 60 cubic
centimeters (cc) and up to 99cc
produced in the People’s Republic of
China (China) and exported to the
United States are circumventing the
antidumping duty (AD) and
countervailing duty (CVD) orders on
certain vertical shaft engines between
99cc and up to 225cc, and parts thereof,
(small vertical engines) from China by
means of being merchandise ‘‘altered in
form or appearance in minor respects.’’
DATES: Applicable December 16, 2022.
FOR FURTHER INFORMATION CONTACT:
Benjamin A. Luberda, AD/CVD
AGENCY:
7 See
E:\FR\FM\16DEN1.SGM
19 CFR 351.106(c)(2).
16DEN1
Federal Register / Vol. 87, No. 241 / Friday, December 16, 2022 / Notices
Operations, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–2185.
SUPPLEMENTARY INFORMATION:
Background
On September 7, 2022, Commerce
published the preliminary
determination 1 for the circumvention
inquiry of the AD and CVD Orders on
small vertical engines from China with
respect to vertical shaft engines with
displacements between 60cc and up to
99cc produced in China and exported to
the United States.2 A summary of the
events that occurred since Commerce
published the Preliminary
Determination may be found in the
Issues and Decision Memorandum.3
Commerce conducted this inquiry in
accordance with section 781(c) of the
Tariff Act of 1930, as amended, (the Act)
and 19 CFR 351.225(i). This inquiry was
initiated on September 13, 2021,4 and it
is being conducted under the prior
version of 19 CFR 351.225, not the
version promulgated in AB10.5
Scope of the Orders
The merchandise subject to the
Orders is small vertical engines from
China. For a complete description of the
scope of the Orders, see the Issues and
Decision Memorandum.
lotter on DSK11XQN23PROD with NOTICES1
Merchandise Subject to the
Circumvention Inquiry
This circumvention inquiry covers
vertical shaft engines with
1 See Certain Vertical Shaft Engines Between 99cc
and Up To 225cc, and Parts Thereof, from the
People’s Republic of China: Affirmative Preliminary
Determination of Circumvention of the
Antidumping and Countervailing Duty Orders, 87
FR 54672 (September 7, 2022) (Preliminary
Determination), and accompanying Preliminary
Decision Memorandum (PDM).
2 See Certain Vertical Shaft Engines Between 99cc
and Up to 225cc, and Parts Thereof from the
People’s Republic of China: Antidumping and
Countervailing Duty Orders, 86 FR 23675 (May 4,
2021) (Orders).
3 See Memorandum, ‘‘Final Issues and Decision
Memorandum for Circumvention Inquiry of the
Antidumping and Countervailing Duty Orders on
Certain Vertical Shaft Engines Between 99cc and
Up To 225cc, and Parts Thereof, from the People’s
Republic of China: 60cc Up To 99cc Engines,’’
dated concurrently with, and hereby adopted by,
this notice (Issues and Decision Memorandum).
4 See Vertical Shaft Engines Between 99cc and Up
to 225cc, and Parts Thereof, from the People’s
Republic of China: Initiation of Anti-Circumvention
Inquiry of Antidumping and Countervailing Duty
Orders—60cc Up to 99cc Engines, 86 FR 51866
(September 17, 2021), and accompanying Issues and
Decision Memorandum.
5 See Regulations to Improve Administration and
Enforcement of Antidumping and Countervailing
Duty Laws, 86 FR 52300 (September 20, 2021)
(AB10).
VerDate Sep<11>2014
20:05 Dec 15, 2022
Jkt 259001
displacements between 60cc and up to
99cc produced in China and exported to
the United States.
Analysis of Comments Received
All the issues raised in case and
rebuttal briefs that were submitted by
parties in this inquiry are addressed in
the Issues and Decision Memorandum.
A list of the issues raised is attached in
the Appendix to this notice. The Issues
and Decision Memorandum is a public
document and is on file electronically
via Enforcement and Compliance’s
Antidumping and Countervailing Duty
Centralized Electronic Service System
(ACCESS). ACCESS is available to
registered users at https://
access.trade.gov. In addition, a complete
version of the Issues and Decision
Memorandum can be accessed directly
at https://access.trade.gov/public/
FRNoticesListLayout.aspx.
Final Determination
In the Preliminary Determination, we
determined that vertical shaft engines
with displacements between 60cc and
up to 99cc and engines with
displacements of 99cc up to 225cc are
not dissimilar in terms of overall
physical characteristics of the
merchandise, the expectations of the
ultimate users, the use of the
merchandise, channels of marketing,
and the timing and circumstances under
which the Zongshen Companies 6
exported the engines with
displacements between 60cc and up to
99cc. Thus, we preliminarily
determined that the merchandise
subject to this inquiry is not dissimilar
to subject merchandise and that the
engines at issue constitute merchandise
‘‘altered in form or appearance in minor
respects’’ from in-scope merchandise,
within the meaning of section 781(c) of
the Act. We also preliminarily
determined that the affirmative
6 In the less-than-fair-value investigation,
Commerce found that Chongqing Zongshen General
Power Machine Co., Ltd.; Chongqing Dajiang Power
Equipment Co., Ltd.; and Chongqing Zongshen
Power Machinery Co., Ltd. (collectively, the
Zongshen Companies) should be treated as a single
entity. See Certain Vertical Shaft Engines Between
99cc and Up to 225cc, and Parts Thereof, from the
People’s Republic of China: Preliminary Affirmative
Determination of Sales at Less Than Fair Value,
and Preliminary Affirmative Determination of
Critical Circumstances, in Part, 85 FR 66932
(October 21, 2020), unchanged in Certain Vertical
Shaft Engines Between 99cc and Up To 225cc, and
Parts Thereof, from the People’s Republic of China:
Final Affirmative Determination of Sales at Less
Than Fair Value and Final Affirmative
Determination of Critical Circumstances in Part, 86
FR 14077 (March 12, 2021). Absent information to
the contrary, we continue to treat the Zongshen
Companies as a single entity for the purposes of this
inquiry.
PO 00000
Frm 00019
Fmt 4703
Sfmt 4703
77075
circumvention finding should be
applied on a countrywide basis.7
Our final determination remains
unchanged from the Preliminary
Determination. Accordingly, we
determine, pursuant to section 781(c) of
the Act and 19 CFR 351.225(i), that
imports of vertical shaft engines with
displacements between 60cc and up to
99cc, produced in China and exported
to the United States, are circumventing
the Orders. We also continue to find
that the affirmative circumvention
finding should be applied on a
countrywide basis.
Liquidation of Entries
In the Preliminary Determination,
Commerce stated that it would instruct
United States Customs and Border
Protection (CBP) to suspend liquidation
of, and collect cash deposits on, vertical
shaft engines between 60cc and up to
99cc produced in China and exported to
the United States that were entered, or
withdrawn from warehouse, for
consumption on or after September 17,
2021 (i.e., the date of the initiation of
this inquiry).8 On October 26, 2022,
Commerce rescinded the administrative
review of the AD order for the period
July 23, 2020, through April 30, 2022,
and the administrative review of the
CVD order for the period May 26, 2020,
through December 31, 2021.9
Accordingly, the administrative reviews
covering certain entries of inquiry
merchandise for which liquidation is
suspended have been rescinded.
For any unliquidated entries and
entries for which liquidation has not
become final of vertical shaft engines
with displacements between 60cc and
up to 99cc produced in China and
exported to the United States that
entered as non-AD/CVD type entries
(e.g., type 01) that were shipped and/or
entered, or withdrawn from warehouse,
for consumption in the United States
after September 17, 2021, importers
should file a Post Summary Correction
with CBP, in accordance with CBP’s
regulations, regarding conversion of
such entries from non-AD/CVD case
numbers to AD/CVD type entries (e.g.,
type 01 to type 03). For such shipments,
the Post Summary Corrections should
be completed as soon as practicable, but
not later than 45 days after publication
of this notice in the Federal Register.
Importers should report those AD/CVD
type entries of merchandise under the
AD/CVD case numbers of the Orders on
7 See
Preliminary Determination PDM.
Preliminary Determination, 87 FR at 54673.
9 See Rescission of Antidumping and
Countervailing Duty Administrative Reviews, 87 FR
64764 (October 26, 2022).
8 See
E:\FR\FM\16DEN1.SGM
16DEN1
77076
Federal Register / Vol. 87, No. 241 / Friday, December 16, 2022 / Notices
small vertical engines from China (i.e.,
A–570–124; C–570–125) or appropriate
third-country case numbers (i.e., A–
201–996; C–201–997). The importer
must pay cash deposits on those entries
consistent with the regulations
governing post summary corrections
that require payment of additional
duties.
Commerce intends to instruct CBP to
assess AD and/or CVD duties on all
appropriate entries of vertical shaft
engines with displacements between
60cc and up to 90cc during the periods
of review noted above at rates equal to
the applicable cash deposit of estimated
AD or CVD duties in effect at time of
entry, or withdrawal of merchandise
from warehouse, for consumption, in
accordance with 19 CFR
351.212(c)(1)(i). Commerce intends to
issue assessment instructions no earlier
than 35 days after the publication of this
notice 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).
Continuation of Suspension of
Liquidation
lotter on DSK11XQN23PROD with NOTICES1
Notification Regarding Administrative
Protective Order
This notice serves as the only
reminder to all parties subject to the
administrative protective order (APO) of
their responsibility concerning the
destruction of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). Timely
written notification of return/
destruction of APO materials or
conversion to judicial protective order is
hereby requested. Failure to comply
with the regulations and terms of the
APO is a sanctionable violation.
20:05 Dec 15, 2022
Jkt 259001
This affirmative final determination of
circumvention is issued and published
in accordance with section 781(c) of the
Act.
Dated: December 9, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and
Compliance.
Appendix—List of Topics Discussed in
the Issues and Decision Memorandum
I. Summary
II. Background
III. Merchandise Subject to the
Circumvention Inquiry
IV. Scope of the Orders
V. Use of Facts Available With an Adverse
Inference
VI. Discussion of the Issues
Comment 1. Whether Commerce’s
Preliminary Determination Improperly
Applied the Minor Alterations Provision
of the Statute
Comment 2. Physical Characteristics of the
Inquiry Merchandise
Comment 3. Modification Cost of the
Inquiry Merchandise
VII. Recommendation
[FR Doc. 2022–27276 Filed 12–15–22; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
As a result of this determination, and
consistent with 19 CFR 351.225(l)(3), we
will instruct CBP to continue to suspend
the liquidation of all entries of
merchandise subject to the inquiry
entered, or withdrawn from warehouse,
for consumption, under the AD order
after April 30, 2022, and all entries
entered, or withdrawn from warehouse,
for consumption, under the CVD order
after December 31, 2021, and to require
cash deposits of estimated AD and/or
CVD duties at the applicable subject
merchandise rates. The suspension of
liquidation and cash deposit
instructions will remain in effect until
further notice.
VerDate Sep<11>2014
Notification to Interested Parties
National Oceanic and Atmospheric
Administration
Agency Information Collection
Activities; Submission to the Office of
Management and Budget (OMB) for
Review and Approval; Comment
Request; Economic Valuation of
Natural and Nature-Based
Infrastructure
The Department of Commerce will
submit the following information
collection request to the Office of
Management and Budget (OMB) for
review and clearance in accordance
with the Paperwork Reduction Act of
1995, on or after the date of publication
of this notice. We invite the general
public and other Federal agencies to
comment on proposed, and continuing
information collections, which helps us
assess the impact of our information
collection requirements and minimize
the public’s reporting burden. Public
comments were previously requested
via the Federal Register on September
22, 2022 (87 FR 57868) during a 60-day
comment period. This notice allows for
an additional 30 days for public
comments.
Agency: National Oceanic &
Atmospheric Administration (NOAA),
Commerce.
PO 00000
Frm 00020
Fmt 4703
Sfmt 4703
Title: Economic Valuation of Natural
and Nature-Based Infrastructure.
OMB Control Number: 0648–0788.
Form Number(s): None.
Type of Request: Revision and
extension.
Number of Respondents: Focus
groups: 48; Questionnaire: 6,500.
Average Hours per Response: Focus
groups: 1 hour; Questionnaire: 20
minutes.
Total Annual Burden Hours: 2,215.
Needs and Uses: Pursuant to H.R.
3684 (Infrastructure Investment and Jobs
Act) and the Coastal Zone Management
Act (CZMA), this request is for a
revision and extension of an
information collection. This information
collection will focus on a different
geographical location (Gulf of Mexico
(GoM)). Therefore, this is a request for
focus groups to help guide any revisions
necessary to the survey instrument.
Upon completion of these focus groups,
a revision will be submitted for the
revised survey instrument. Also, NOAA
is revising the title of this collection
from Economic Analysis of Shoreline
Treatment Options for Coastal New
Hampshire to Economic Valuation of
Natural and Nature-Based Infrastructure
to better describe this collection.’’
The National Ocean Service (NOS)
proposes to collect data on the opinions,
values, and attitudes of GoM residents
relative to natural and nature-based
infrastructure for the purpose of
shoreline stabilization or habitat
restoration. Respondents (age 18 years
and older) will be randomly sampled
from households in GoM coastal
counties. This information will be used
by NOAA, state and local decisionmakers, and others to assess the value,
benefits, and perceived efficacy of
federal investments in habitat
restoration and/or climate adaptation
projects that use natural or nature-based
infrastructure. NOAA has a vested
interest in the potential use of natural
and nature-based infrastructure, from
many perspectives, including as it
relates to the resilience, well-being, and
sustainability of coastal communities.
Affected Public: Individuals or
households.
Frequency: This is a one-time
information collection for this region,
although the collection may be
deployed to other regions in the future.
Respondent’s Obligation: Voluntary.
Legal Authority: H.R. 3684
(Infrastructure Investment and Jobs Act)
and the Coastal Zone Management Act
(CZMA).
This information collection request
may be viewed at www.reginfo.gov.
Follow the instructions to view the
E:\FR\FM\16DEN1.SGM
16DEN1
Agencies
[Federal Register Volume 87, Number 241 (Friday, December 16, 2022)]
[Notices]
[Pages 77074-77076]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-27276]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-124; C-570-125]
Certain Vertical Shaft Engines Between 99cc and Up To 225cc, and
Parts Thereof, From the People's Republic of China: Affirmative Final
Determination of Circumvention of the Antidumping and Countervailing
Duty Orders--60cc Up To 99cc Engines
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) determines that
vertical shaft engines with displacements between 60 cubic centimeters
(cc) and up to 99cc produced in the People's Republic of China (China)
and exported to the United States are circumventing the antidumping
duty (AD) and countervailing duty (CVD) orders on certain vertical
shaft engines between 99cc and up to 225cc, and parts thereof, (small
vertical engines) from China by means of being merchandise ``altered in
form or appearance in minor respects.''
DATES: Applicable December 16, 2022.
FOR FURTHER INFORMATION CONTACT: Benjamin A. Luberda, AD/CVD
[[Page 77075]]
Operations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-2185.
SUPPLEMENTARY INFORMATION:
Background
On September 7, 2022, Commerce published the preliminary
determination \1\ for the circumvention inquiry of the AD and CVD
Orders on small vertical engines from China with respect to vertical
shaft engines with displacements between 60cc and up to 99cc produced
in China and exported to the United States.\2\ A summary of the events
that occurred since Commerce published the Preliminary Determination
may be found in the Issues and Decision Memorandum.\3\ Commerce
conducted this inquiry in accordance with section 781(c) of the Tariff
Act of 1930, as amended, (the Act) and 19 CFR 351.225(i). This inquiry
was initiated on September 13, 2021,\4\ and it is being conducted under
the prior version of 19 CFR 351.225, not the version promulgated in
AB10.\5\
---------------------------------------------------------------------------
\1\ See Certain Vertical Shaft Engines Between 99cc and Up To
225cc, and Parts Thereof, from the People's Republic of China:
Affirmative Preliminary Determination of Circumvention of the
Antidumping and Countervailing Duty Orders, 87 FR 54672 (September
7, 2022) (Preliminary Determination), and accompanying Preliminary
Decision Memorandum (PDM).
\2\ See Certain Vertical Shaft Engines Between 99cc and Up to
225cc, and Parts Thereof from the People's Republic of China:
Antidumping and Countervailing Duty Orders, 86 FR 23675 (May 4,
2021) (Orders).
\3\ See Memorandum, ``Final Issues and Decision Memorandum for
Circumvention Inquiry of the Antidumping and Countervailing Duty
Orders on Certain Vertical Shaft Engines Between 99cc and Up To
225cc, and Parts Thereof, from the People's Republic of China: 60cc
Up To 99cc Engines,'' dated concurrently with, and hereby adopted
by, this notice (Issues and Decision Memorandum).
\4\ See Vertical Shaft Engines Between 99cc and Up to 225cc, and
Parts Thereof, from the People's Republic of China: Initiation of
Anti-Circumvention Inquiry of Antidumping and Countervailing Duty
Orders--60cc Up to 99cc Engines, 86 FR 51866 (September 17, 2021),
and accompanying Issues and Decision Memorandum.
\5\ See Regulations to Improve Administration and Enforcement of
Antidumping and Countervailing Duty Laws, 86 FR 52300 (September 20,
2021) (AB10).
---------------------------------------------------------------------------
Scope of the Orders
The merchandise subject to the Orders is small vertical engines
from China. For a complete description of the scope of the Orders, see
the Issues and Decision Memorandum.
Merchandise Subject to the Circumvention Inquiry
This circumvention inquiry covers vertical shaft engines with
displacements between 60cc and up to 99cc produced in China and
exported to the United States.
Analysis of Comments Received
All the issues raised in case and rebuttal briefs that were
submitted by parties in this inquiry are addressed in the Issues and
Decision Memorandum. A list of the issues raised is attached in the
Appendix to this notice. The Issues and Decision Memorandum is a public
document and is on file electronically via Enforcement and Compliance's
Antidumping and Countervailing Duty Centralized Electronic Service
System (ACCESS). ACCESS is available to registered users at https://access.trade.gov. In addition, a complete version of the Issues and
Decision Memorandum can be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.
Final Determination
In the Preliminary Determination, we determined that vertical shaft
engines with displacements between 60cc and up to 99cc and engines with
displacements of 99cc up to 225cc are not dissimilar in terms of
overall physical characteristics of the merchandise, the expectations
of the ultimate users, the use of the merchandise, channels of
marketing, and the timing and circumstances under which the Zongshen
Companies \6\ exported the engines with displacements between 60cc and
up to 99cc. Thus, we preliminarily determined that the merchandise
subject to this inquiry is not dissimilar to subject merchandise and
that the engines at issue constitute merchandise ``altered in form or
appearance in minor respects'' from in-scope merchandise, within the
meaning of section 781(c) of the Act. We also preliminarily determined
that the affirmative circumvention finding should be applied on a
countrywide basis.\7\
---------------------------------------------------------------------------
\6\ In the less-than-fair-value investigation, Commerce found
that Chongqing Zongshen General Power Machine Co., Ltd.; Chongqing
Dajiang Power Equipment Co., Ltd.; and Chongqing Zongshen Power
Machinery Co., Ltd. (collectively, the Zongshen Companies) should be
treated as a single entity. See Certain Vertical Shaft Engines
Between 99cc and Up to 225cc, and Parts Thereof, from the People's
Republic of China: Preliminary Affirmative Determination of Sales at
Less Than Fair Value, and Preliminary Affirmative Determination of
Critical Circumstances, in Part, 85 FR 66932 (October 21, 2020),
unchanged in Certain Vertical Shaft Engines Between 99cc and Up To
225cc, and Parts Thereof, from the People's Republic of China: Final
Affirmative Determination of Sales at Less Than Fair Value and Final
Affirmative Determination of Critical Circumstances in Part, 86 FR
14077 (March 12, 2021). Absent information to the contrary, we
continue to treat the Zongshen Companies as a single entity for the
purposes of this inquiry.
\7\ See Preliminary Determination PDM.
---------------------------------------------------------------------------
Our final determination remains unchanged from the Preliminary
Determination. Accordingly, we determine, pursuant to section 781(c) of
the Act and 19 CFR 351.225(i), that imports of vertical shaft engines
with displacements between 60cc and up to 99cc, produced in China and
exported to the United States, are circumventing the Orders. We also
continue to find that the affirmative circumvention finding should be
applied on a countrywide basis.
Liquidation of Entries
In the Preliminary Determination, Commerce stated that it would
instruct United States Customs and Border Protection (CBP) to suspend
liquidation of, and collect cash deposits on, vertical shaft engines
between 60cc and up to 99cc produced in China and exported to the
United States that were entered, or withdrawn from warehouse, for
consumption on or after September 17, 2021 (i.e., the date of the
initiation of this inquiry).\8\ On October 26, 2022, Commerce rescinded
the administrative review of the AD order for the period July 23, 2020,
through April 30, 2022, and the administrative review of the CVD order
for the period May 26, 2020, through December 31, 2021.\9\ Accordingly,
the administrative reviews covering certain entries of inquiry
merchandise for which liquidation is suspended have been rescinded.
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\8\ See Preliminary Determination, 87 FR at 54673.
\9\ See Rescission of Antidumping and Countervailing Duty
Administrative Reviews, 87 FR 64764 (October 26, 2022).
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For any unliquidated entries and entries for which liquidation has
not become final of vertical shaft engines with displacements between
60cc and up to 99cc produced in China and exported to the United States
that entered as non-AD/CVD type entries (e.g., type 01) that were
shipped and/or entered, or withdrawn from warehouse, for consumption in
the United States after September 17, 2021, importers should file a
Post Summary Correction with CBP, in accordance with CBP's regulations,
regarding conversion of such entries from non-AD/CVD case numbers to
AD/CVD type entries (e.g., type 01 to type 03). For such shipments, the
Post Summary Corrections should be completed as soon as practicable,
but not later than 45 days after publication of this notice in the
Federal Register. Importers should report those AD/CVD type entries of
merchandise under the AD/CVD case numbers of the Orders on
[[Page 77076]]
small vertical engines from China (i.e., A-570-124; C-570-125) or
appropriate third-country case numbers (i.e., A-201-996; C-201-997).
The importer must pay cash deposits on those entries consistent with
the regulations governing post summary corrections that require payment
of additional duties.
Commerce intends to instruct CBP to assess AD and/or CVD duties on
all appropriate entries of vertical shaft engines with displacements
between 60cc and up to 90cc during the periods of review noted above at
rates equal to the applicable cash deposit of estimated AD or CVD
duties in effect at time of entry, or withdrawal of merchandise from
warehouse, for consumption, in accordance with 19 CFR 351.212(c)(1)(i).
Commerce intends to issue assessment instructions no earlier than 35
days after the publication of this notice 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).
Continuation of Suspension of Liquidation
As a result of this determination, and consistent with 19 CFR
351.225(l)(3), we will instruct CBP to continue to suspend the
liquidation of all entries of merchandise subject to the inquiry
entered, or withdrawn from warehouse, for consumption, under the AD
order after April 30, 2022, and all entries entered, or withdrawn from
warehouse, for consumption, under the CVD order after December 31,
2021, and to require cash deposits of estimated AD and/or CVD duties at
the applicable subject merchandise rates. The suspension of liquidation
and cash deposit instructions will remain in effect until further
notice.
Notification Regarding Administrative Protective Order
This notice serves as the only reminder to all parties subject to
the administrative protective order (APO) of their responsibility
concerning the destruction of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of return/destruction of APO materials or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and terms of the APO is a sanctionable violation.
Notification to Interested Parties
This affirmative final determination of circumvention is issued and
published in accordance with section 781(c) of the Act.
Dated: December 9, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix--List of Topics Discussed in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Merchandise Subject to the Circumvention Inquiry
IV. Scope of the Orders
V. Use of Facts Available With an Adverse Inference
VI. Discussion of the Issues
Comment 1. Whether Commerce's Preliminary Determination
Improperly Applied the Minor Alterations Provision of the Statute
Comment 2. Physical Characteristics of the Inquiry Merchandise
Comment 3. Modification Cost of the Inquiry Merchandise
VII. Recommendation
[FR Doc. 2022-27276 Filed 12-15-22; 8:45 am]
BILLING CODE 3510-DS-P