White Grape Juice Concentrate From Argentina: Suspension of Countervailing Duty Investigation, 17801-17807 [2023-06124]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 88, Number 57 (Friday, March 24, 2023)]
[Notices]
[Pages 17801-17807]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-06124]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-357-826]


White Grape Juice Concentrate From Argentina: Suspension of 
Countervailing Duty Investigation

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

SUMMARY: The U.S. Department of Commerce (Commerce) has suspended the 
countervailing duty investigation on white grape juice concentrate 
(WGJC) from Argentina. The basis for this action is an agreement 
between Commerce and the Government of Argentina (GOA), wherein the GOA 
has agreed not to provide any new or additional export or import 
substitution subsidies on the subject merchandise and has agreed to 
restrict the volume of direct or indirect exports to the United States 
of WGJC from all Argentine producers/exporters in order to eliminate 
completely the injurious effects of exports of this merchandise to the 
United States.

DATES: Applicable March 17, 2023.

FOR FURTHER INFORMATION CONTACT: Sally C. Gannon or David Cordell, 
Bilateral Agreements Unit, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-0162 or (202) 
482-0408, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On April 20, 2022, Commerce initiated a countervailing duty 
investigation under section 702 of the Tariff Act of 1930, as amended 
(the Act), to determine whether imports of WGJC from Argentina benefit 
from countervailable subsidies conferred by the GOA.\1\ On May 16, 
2022, the U.S. International Trade Commission (ITC) notified Commerce 
of its affirmative preliminary injury determination. On September 6, 
2022, Commerce preliminarily determined that that countervailable 
subsidies are being provided to producers and exporters of WGJC from 
Argentina.\2\ On September 23, 2022, Commerce aligned the final 
countervailing duty determination with the final antidumping duty 
determination.\3\
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    \1\ See White Grape Juice Concentrate from the Republic of 
Argentina: Initiation of Countervailing Duty Investigation, 87 FR 
24945 (April 27, 2022).
    \2\ See White Grape Juice Concentrate from Argentina: 
Preliminary Affirmative Countervailing Duty Determination, 87 FR 
54455 (September 6, 2022) (Preliminary Determination).
    \3\ See White Grape Juice Concentrate from Argentina: 
Preliminary Affirmative Countervailing Duty Determination and 
Alignment of Final Determination with the Final Antidumping Duty 
Determination; Correction, 87 FR 58061 (September 23, 2022).
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    On December 21, 2022, Commerce issued a letter that formally opened 
consultations with the GOA with respect to a possible countervailing 
duty suspension agreement under section 704(c) of the Act.\4\ Since 
that time, Commerce has continued to negotiate with the GOA and, in 
parallel, has continually consulted with the petitioner, Delano Growers 
Grape Products.
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    \4\ See Commerce's Letter, ``Consultations on Potential 
Agreement Suspending the Countervailing Duty (CVD) Investigation on 
White Grape Juice Concentrate from Argentina,'' dated December 21, 
2022.
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    On February 13, 2023, Commerce and the GOA initialed a proposed 
agreement to suspend the countervailing duty investigation on WGJC from 
Argentina. Consistent with section 704(e) of the Act, Commerce notified 
the petitioner and the other parties, released the initialed draft 
agreement to the interested parties, and invited interested parties to 
provide written comments on the draft suspension agreement by no later 
than the close of business on March 13, 2023.\5\ Consistent with 
704(e)(1) of the Act, Commerce consulted with the petitioner concerning 
its intention to suspend the countervailing duty investigation on WGJC 
from Argentina. Commerce also notified the ITC of the proposed 
agreement,\6\ consistent with 704(e)(1) of the Act, and released a 
draft memorandum explaining how the agreement will be implemented and 
enforced, and how the agreement will meet the applicable statutory 
requirements, consistent with section 704(e)(2) of the Act.\7\ Commerce 
received comments from the petitioner and the mandatory respondents, 
Cepas Argentinas S.A. (Cepas) and Federaci[oacute]n de Cooperativas 
Vitivinicolas Argentinas Coop. Ltda (Fecovita), by the March 13, 2023, 
deadline.\8\ The GOA did not submit comments on the initialed draft 
agreement.
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    \5\ See Commerce's Letter, ``Draft Agreement Suspending the 
Countervailing Duty Investigation on White Grape Juice Concentrate 
from Argentina,'' dated February 13, 2023.
    \6\ See Commerce's Letter, ``Initialed Draft Suspension 
Agreements,'' dated February 14, 2023.
    \7\ See Commerce's Letter, ``Draft Agreement Suspending the 
Countervailing Duty Investigation on White Grape Juice Concentrate 
from Argentina: Assessment of Statutory Requirements Memorandum,'' 
dated February 14, 2023.
    \8\ See Petitioner's Letter, ``Comments in support of the 
Suspension Agreements in the Anti-dumping and Countervailing duty of 
White Grape Juice Concentrate (WGJC) from Argentina,'' dated March 
13, 2023; see also Cepas and Fecovita's Letter, ``Comments on Draft 
Suspension Agreements on Behalf of Exporters of White Grape Juice 
Concentrate from Argentina,'' dated March 13, 2023.
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    On March 17, 2023, Commerce and the GOA signed the Agreement 
Suspending the Countervailing Duty Investigation on White Grape Juice 
Concentrate from Argentina (CVD Agreement), attached hereto.

[[Page 17802]]

Scope of Agreement

    See Section I, Product Coverage, of the CVD Agreement.

Suspension of Investigation

    Commerce consulted with the GOA and the petitioner and has 
considered the comments submitted by interested parties with respect to 
the draft suspension agreement. In accordance with section 704(c) of 
the Act, we have determined that extraordinary circumstances are 
present in this case, as defined by section 704(c)(4) of the Act. The 
CVD Agreement provides that: (1) the GOA will not provide any new or 
additional export or import substitution subsidies on the subject 
merchandise; and (2) the GOA will restrict the volume of direct or 
indirect exports to the United States of subject merchandise from all 
Argentine producers/exporters. We have also determined that the CVD 
Agreement is in the public interest and can be monitored effectively, 
as required under section 704(d) of the Act.
    For the reasons outlined above, we find that the CVD Agreement 
meets the criteria of section 704(c) and (d) of the Act.
    The CVD Agreement, signed March 17, 2023, is attached to this 
notice.

International Trade Commission

    In accordance with section 704(f) of the Act, Commerce has notified 
the ITC of the CVD Agreement.

Suspension of Liquidation

    The suspension of liquidation ordered in the Preliminary 
Determination shall continue to be in effect, subject to section 
704(h)(3) of the Act.\9\ Section 704(f)(2)(B) of the Act provides that 
Commerce may adjust the security required to reflect the effect of the 
CVD Agreement. Commerce has found that the CVD Agreement eliminates 
completely the injurious effects of imports and, thus, Commerce is 
adjusting the security required to zero. If there is no request for 
review of suspension under section 704(h) of the Act, or if the ITC 
conducts a review and finds that the injurious effect of imports of the 
subject merchandise is eliminated completely by the CVD Agreement, 
Commerce will terminate the suspension of liquidation of all entries of 
WGJC from Argentina and refund any cash deposits collected on entries 
of WGJC from Argentina consistent with section 704(h)(3) of the Act.
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    \9\ See Preliminary Determination, 87 FR at 54456.
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    Notwithstanding the CVD Agreement, Commerce will continue the 
investigation if it receives such a request within 20 days after the 
date of publication of this notice in the Federal Register, in 
accordance with section 704(g) of the Act. Pursuant to Section III of 
the CVD Agreement, if the GOA requests continuation of the 
countervailing duty investigation, Commerce retains the right to modify 
or terminate this CVD Agreement. Commerce may also modify or terminate 
the CVD Agreement if Argentine producers/exporters accounting for a 
significant proportion of exports of WGJC from Argentina request 
continuation of the antidumping duty investigation on WGJC from 
Argentina.

Administrative Protective Order Access

    The Administrative Protective Order (APO) Commerce granted in the 
investigation segment of this proceeding remains in place. While the 
investigation is suspended, parties subject to the APO may retain, but 
may not use, information received under that APO. All parties wishing 
access to business proprietary information submitted during the 
administration of the CVD Agreement must submit new APO applications in 
accordance with Commerce's regulations currently in effect.\10\ An APO 
for the administration of the CVD Agreement will be placed on the 
record within five days of the date of publication of this notice in 
the Federal Register.
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    \10\ See section 777(c)(1) of the Act; see also 19 CFR 351.103, 
351.304, 351.305, and 351.306.
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    We are issuing and publishing this notice in accordance with 
section 704(f)(1)(A) of the Act and 19 CFR 351.208(g)(2).

    Dated: March 17, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Agreement Suspending the Countervailing Duty Investigation on White 
Grape Juice Concentrate From Argentina

    Pursuant to the requirements of section 704(c) of the Tariff Act of 
1930, as amended (the Act) and 19 CFR 351.208, and in satisfaction of 
the requirements of those provisions, the U.S. Department of Commerce 
(Commerce) and the Government of Argentina (GOA) enter into this 
agreement suspending the countervailing duty investigation on White 
Grape Juice Concentrate (WGJC) from Argentina (CVD Agreement).

I. Product Coverage

    The merchandise covered by this CVD Agreement is WGJC with a Brix 
level of 65 to 68, whether in frozen or non-frozen forms. WGJC is 
concentrated grape juice produced from grapes of the Vitis vinifera L. 
species with a white flesh, including fresh market table grapes and 
raisin grapes (e.g., Thompson Seedless), as well as several varietals 
of wine grapes (e.g., Chardonnay, Chenin Blanc, Sauvignon Blanc, 
Colombard, etc.). The scope of this CVD Agreement covers WGJC 
regardless of whether it has been certified as kosher, organic, or 
organic kosher. The WGJC subject to this CVD Agreement consists of 100 
percent grape juice with no other types of juice intermixed and no 
additional sugars or additives included. The scope does not cover WGJC 
produced from grapes of the Vitis labrusca species (e.g., Niagara). The 
products covered by this CVD Agreement are currently classified under 
the following Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings: 2009.69.0040 and 2009.69.0060. The HTSUS subheadings and 
specifications are provided for convenience and customs purposes; the 
written description of the scope is dispositive.

II. Definitions

    For purposes of the CVD Agreement, the following definitions apply:
    A. ``Anniversary Month'' means the month in which the CVD Agreement 
becomes effective.
    B. ``Argentina'' means the customs territory of Argentina and 
foreign trade zones located within the territory of Argentina.
    C. ``Consignment Sales'' means arrangements in which a seller 
(``consignor'') exports goods to an entity (``consignee'') in the 
United States, which takes custody and holds the goods without taking 
title to the goods. The consignee then either purchases the goods or 
sells the goods to a third party. The sale is considered to occur at 
the time at which the purchase (either by the consignee or the third 
party) occurs. The goods are not sold to the consignee or to the third-
party buyer until after importation into the United States.
    D. ``Date of Export'' means the date on which the product is 
exported from Argentina to the United States.
    E. ``Effective Date'' means the date on which Commerce and the GOA 
sign the CVD Agreement.
    F. ``Export License'' means the document issued by the GOA's export 
license issuing authority, pursuant to Section VI of the CVD Agreement.
    G. ``Export Limit'' means the quantity of WGJC from Argentina 
permitted to be exported, based on the Date of Export, during a given 
Export Limit Period.

[[Page 17803]]

    H. ``Export Limit Period'' means one of the following periods:
    1. ``Initial Export Limit Period'' covers entries of WGJC entered, 
or withdrawn from warehouse for consumption, between the Effective Date 
and March 31, 2024.
    2. ``Annual Export Limit Period'' covers entries of WGJC entered, 
or withdrawn from warehouse for consumption, in each subsequent April 
1-March 31 period.
    I. ``Interested Party'' means any person or entity that meets the 
definitions in section 771(9) of the Act.
    J. ``Indirect Exports'' means exports of WGJC to the United States 
through one or more Third Countries, whether or not such exports are 
further processed, provided that the further processing does not result 
in a substantial transformation or a change in the country of origin, 
as determined by Commerce.
    K. ``Third Country'' or ``Third Countries'' mean any country other 
than the United States or Argentina, including any customs territory or 
free trade zone administered, governed, or controlled by such country.
    L. ``United States'' means the customs territory of the United 
States of America (the 50 States, the District of Columbia, and Puerto 
Rico) and foreign trade zones located within the territory of the 
United States.
    M. ``Violation'' means noncompliance with the terms of the CVD 
Agreement, whether through an act or omission, except for noncompliance 
that is inconsequential or inadvertent and does not materially 
frustrate the purposes of the CVD Agreement.
    N. ``White Grape Juice Concentrate,'' or ``WGJC,'' means the 
product described under Section I, ``Product Coverage,'' of the CVD 
Agreement.
    Any term or phrase not defined by this section shall be defined 
using either a definition provided in the Act for that term or phrase, 
or the plain meaning of that term, as appropriate.

III. Suspension of Investigation

    As of the Effective Date, in accordance with sections 704(c)(1) and 
(3) of the Act and 19 CFR 351.208, Commerce will suspend its 
countervailing duty investigation on WGJC from Argentina initiated on 
April 20, 2022, subject to the terms and provisions set out below.\11\
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    \11\ See White Grape Juice Concentrate from the Republic of 
Argentina: Initiation of Countervailing Duty Investigation, 87 FR 
24945 (April 27, 2022).
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    The GOA and the Argentine producers/exporters of WGJC from 
Argentina have indicated they will not exercise the right to request 
continuation of the countervailing duty or antidumping duty 
investigations, respectively, on WGJC from Argentina. If the GOA 
requests continuation of the countervailing duty investigation, 
Commerce retains the right to modify or terminate this CVD Agreement. 
Commerce may also modify or terminate the CVD Agreement if Argentine 
producers/exporters accounting for a significant proportion of exports 
of WGJC from Argentina request continuation of the antidumping duty 
investigation on WGJC from Argentina.

IV. Statutory Conditions for the CVD Agreement

    In accordance with sections 704(c)(1) and (4) of the Act, Commerce 
has determined that extraordinary circumstances are present in this 
investigation because the suspension of the investigation will be more 
beneficial to the domestic industry than the continuation of the 
investigation and the investigation is complex.
    In accordance with section 704(d)(1) of the Act, Commerce has 
determined that the suspension of the investigation is in the public 
interest and that effective monitoring of the CVD Agreement by the 
United States is practicable. Section 704(a)(2)(B) of the Act provides 
that the public interest includes the relative impact on consumer 
prices and the availability of supplies of the merchandise, the 
relative impact on the international economic interests of the United 
States, and the relative impact on the competitiveness of the domestic 
industry producing the like merchandise, including any such impact on 
employment and investment in that industry. Accordingly, if a domestic 
producer requests an administrative review of the status of, and 
compliance with, the CVD Agreement, Commerce will take these factors 
into account in conducting that review. If Commerce finds that the CVD 
Agreement is not working as intended in this regard, Commerce will 
explore all appropriate measures, including renegotiation of the terms 
of the CVD Agreement to resolve the problem or measures under section 
751(d)(1) of the Act.

V. Export Limit

    No WGJC from Argentina covered by the CVD Agreement, whether 
exported directly or indirectly from Argentina, shall be exported for 
entry into the United States unless, when cumulated with all prior 
entries of WGJC exported directly or indirectly from Argentina during 
the Export Limit Period in which the WGJC was exported, it does not 
exceed the applicable Export Limit set forth below. All exports of WGJC 
from Argentina that enter the United States will be counted against the 
Export Limit established for the applicable Export Limit Period. The 
GOA will ensure that no WGJC is exported directly from Argentina to the 
United States without an Export License and, to the best of its 
ability, will ensure that Argentine producers/exporters do not make 
indirect exports of WGJC to the United States through intermediary 
parties or Third Countries without an Export License.
    A. The GOA shall ensure that no WGJC is exported from Argentina to 
the United States in a quantity that exceeds the Export Limits set 
forth below:
    1. The Export Limit for the Initial Export Limit Period shall be 
8,328,767 gallons.
    2. The Export Limit for each subsequent Annual Export Limit Period 
shall be the Export Limit identified in Appendix I.
    3. If, at any time, Commerce determines that the available supply 
of WGJC from Argentina is or will be insufficient to meet U.S. demand, 
Commerce may increase the Export Limit in this CVD Agreement from 8.0 
million gallons up to any amount not exceeding 8.4 million gallons. In 
such a case, the consultations referred to in Section V.B below will 
not be mandatory.
    B. Commerce and the GOA shall consult, as necessary, regarding 
whether the Export Limit should be modified to respond to changes in 
U.S. demand or changes in U.S. supply or global supply, except for the 
case provided for in Section V.A.3 above.
    C. If any WGJC from Argentina is entered into the United States in 
excess of the Export Limit for the relevant Export Limit Period, 
Section IX ``Violations of the CVD Agreement'' applies.

VI. Implementation

    A. Within 60 days of the Effective Date, the GOA shall establish an 
Export Limit licensing and enforcement program for all direct and 
indirect exports of WGJC from Argentina to the United States. After 
that date, the GOA will ensure that no WGJC is exported from Argentina 
to the United States without an Export License.
    B. On or after 60 days from the Effective Date, presentation of a 
shipment-specific Export License is required as a condition for entry 
of WGJC from Argentina into the United States. Pursuant to 19 CFR 
351.208(i), Commerce will instruct U.S. Customs and Border Protection 
(CBP) to prohibit

[[Page 17804]]

the entry of any WGJC from Argentina not accompanied by an Export 
License.
    C. Export Licenses must contain the information identified in 
Appendix II. Within 30 days of the Effective Date, the GOA will provide 
Commerce with a template or model of the Export License to be 
implemented. Additional information may be included on the Export 
License or, if necessary, a separate page attached to the Export 
License. If the bills of lading for all of the shipments under an 
Export License establish that the actual imports into the United States 
under that license were less than the total volume listed on the 
license, the GOA shall notify Commerce in writing that the GOA intends 
to issue a new Export License in the same Export Limit Period 
authorizing additional exports equal in volume to the volume of the 
under-shipment(s).
    D. Export Licenses will be issued sequentially, charged against the 
Export Limit for the relevant Export Limit Period, and reference any 
notice of the Export Limit allocation for the relevant Export Limit 
Period. Export Licenses shall remain valid for entry into the United 
States for 90 days. Commerce and the GOA may agree to an extension of 
the validity of the Export License in extraordinary circumstances.
    E. The GOA will ensure compliance with all of the provisions of the 
CVD Agreement. To ensure such compliance, the GOA will take the 
following measures:
    1. Ensure that no WGJC from Argentina is exported for entry into 
the United States during any Export Limit Period that exceeds the 
Export Limit for that Export Limit Period, including during the 60-day 
period referenced in Section VI.A in which the GOA is establishing its 
Export Limit licensing and enforcement program.
    2. Require that applications for Export Licenses contain all of the 
information listed in Appendix II of the CVD Agreement.
    3. As a condition of granting an Export License, the GOA shall 
require applicants for an Export License to:
    a. Permit full verification of all information related to the 
administration of the CVD Agreement on an annual basis, or more 
frequently, as deemed necessary.
    b. Certify that the applicant agrees not to export WGJC directly or 
indirectly to the United States that is not accompanied by an Export 
License issued pursuant to the CVD Agreement, consistent with Section 
VII.A.1 below.
    c. Certify that the applicant has required its customers to agree 
not to ship WGJC to the United States without an Export License from 
the GOA, consistent with Section VII.A.2 below.
    d. Certify that the applicant has required its importers to submit 
to CBP, with the entry summary package, a valid Export License issued 
by the GOA.
    e. Certify that the applicant agrees not to sell WGJC from 
Argentina in the United States by means of Consignment Sales, as 
defined in Section II.C.
    f. Agree to provide the information required in Section VIII below.
    4. Refuse to issue an Export License to any applicant that does not 
permit full verification and reporting under the CVD Agreement of all 
of the information in the application.
    5. Ensure compliance, as necessary, with all procedures established 
to effectuate the CVD Agreement by any official Argentine institution, 
chamber, or other authorized Argentine company, and any Argentine 
producer, exporter, broker, and trader of WGJC.
    6. Impose strict measures, such as prohibition from participation 
in the Export Limit allocation allowed by the CVD Agreement, in the 
event that any Argentine company does not comply in full with the 
requirements established by the GOA pursuant to the CVD Agreement.
    F. If any WGJC from Argentina is entered into the United States 
without a valid Export License, Section IX ``Violations of the CVD 
Agreement'' applies.
    G. The GOA and Commerce shall hold consultations regarding the 
GOA's compliance with the provisions of this section, consistent with 
Section VIII.D.1 of the CVD Agreement.

VII. Anti-Circumvention

    A. The GOA shall take all necessary measures to prevent 
circumvention of the CVD Agreement, including the following:
    1. Require that as a condition of receiving an Export License under 
the CVD Agreement, any applicant for an Export License agrees not to 
export directly or indirectly to the United States WGJC that is not 
accompanied by an Export License issued pursuant to the CVD Agreement.
    2. Require that as a condition of receiving an Export License under 
the CVD Agreement, any applicant for an Export License provide the GOA 
with a certification that it has required all of its customers to 
agree, as part of the terms of sale, not to export WGJC of Argentine 
origin to the United States, directly or indirectly, without an Export 
License.
    3. Require that as a condition of receiving an Export License under 
the CVD Agreement, any applicant certify that it will not engage in any 
circumvention activities specified by the CVD Agreement. A 
circumvention activity may include, but is not limited to, exporting 
WGJC from Argentina, directly or indirectly, to the United States: (1) 
in excess of the Export Limit in any given Export Limit Period; (2) 
without an Export License; (3) in any bundling arrangement, swap or 
other exchange where such arrangement is designed to circumvent the 
basis of the CVD Agreement; or (4) with a Brix level from over 68 up to 
and including 70.
    B. If the GOA receives an allegation that circumvention has 
occurred, including an allegation from Commerce, the GOA shall promptly 
initiate an inquiry, normally complete the inquiry within 45 days, and 
notify Commerce of the results of the inquiry within 15 days after the 
conclusion of the inquiry.
    C. If the GOA determines that an Argentine company has participated 
in a transaction circumventing the CVD Agreement, the GOA shall impose 
penalties upon such company including, but not limited to, denial of 
access to an Export License for WGJC under the CVD Agreement.
    D. If the GOA determines that an Argentine company has participated 
in the circumvention of the CVD Agreement, the GOA shall count against 
the Export Limit for the Export Limit Period in which the circumvention 
took place an amount of WGJC equivalent to the volume involved in such 
circumvention and shall immediately notify Commerce of the volume 
deducted. If a sufficient amount is not available in the current Export 
Limit Period, then the remaining amount shall be deducted from the 
subsequent Export Limit Period or Periods.
    E. Commerce will investigate any allegations of circumvention which 
are brought to its attention both by asking the GOA to investigate such 
allegations and by itself gathering relevant information. The GOA will 
respond to requests from Commerce for information relating to such 
allegations. In distinguishing normal arrangements from those which 
would result in the circumvention of a given Export Limit established 
by the CVD Agreement, Commerce will take the following factors into 
account, as deemed appropriate:
    1. Existence of any verbal or written agreement leading to 
circumvention of the CVD Agreement;
    2. Existence and function of any subsidiaries or affiliates of the 
parties involved;
    3. Existence and function of any historical and traditional 
patterns of production and trade among the parties

[[Page 17805]]

involved, and any deviation from such patterns;
    4. Existence of any payments unaccounted for by previous or 
subsequent deliveries, or any payments to one party for WGJC delivered 
or swapped by another party;
    5. Sequence and timing of the arrangements; and
    6. Any other information relevant to the transaction or 
circumstances.
    F. The GOA and Commerce shall hold consultations regarding anti-
circumvention as provided in Section VIII.D.3 of the CVD Agreement.

VIII. Monitoring of the CVD Agreement

A. Import Monitoring

    1. Commerce will monitor entries of WGJC from Argentina to ensure 
compliance with Section V of the CVD Agreement.
    2. Commerce will review publicly available data and other official 
import data, including, as appropriate, records maintained by CBP, to 
determine whether there have been imports that are inconsistent with 
the provisions of the CVD Agreement.
    3. Commerce will review, as appropriate, data it receives through 
any data exchange program between U.S. and Argentine government 
agencies, to determine whether there have been imports that are 
inconsistent with the provisions of the CVD Agreement.

B. Compliance Monitoring

    1. Within 60 days of the Effective Date, the GOA shall notify 
Commerce of its allocation for the Initial Export Limit Period and the 
first Annual Export Limit Period, including the allocation recipient(s) 
and the volume granted to the recipient(s). For any subsequent Annual 
Export Limit Period, the GOA shall inform Commerce of any changes in 
the volume allocated to an individual recipient within 30 days of the 
date on which such changes become effective.
    2. The GOA shall collect from its Export Limit licensing and 
enforcement program and report to Commerce all direct and, to the best 
of its ability, indirect exports of WGJC from Argentina to the United 
States. During the 60-day period referenced in Section VI.A in which 
the GOA is establishing its Export Limit Licensing and enforcement 
program, the GOA shall collect from alternate sources, such as its 
official export statistics, all direct and, to the best of its ability, 
indirect exports of WGJC from Argentina to the United States. Reports 
shall be provided on a monthly basis in the format specified in 
Appendix III, except for the provisional reports provided during the 
60-day period referenced in Section VI.A,\12\ and will be provided no 
later than 60 days following the end of each month, beginning on June 
29, 2023 (for the period from the Effective Date through April 30, 
2023). If requested, the GOA shall collect and provide to Commerce 
information on the aggregate quantity and value of exports of WGJC to 
the United States and/or Third Countries for a designated period. The 
information shall be entitled to proprietary treatment under Commerce's 
rules for handling business proprietary information.
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    \12\ In general, the provisional reports provided by the GOA 
during this period will contain a listing of exports of WGJC from 
Argentina, with the associated quantities, during the relevant 
reporting period.
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    3. Commerce has the authority to verify at any time all information 
related to the administration of the CVD Agreement, including all 
information relating to potential circumvention of the CVD Agreement. 
Commerce will conduct verifications at locations and times it deems 
appropriate to ensure compliance with the terms of the CVD Agreement. 
If Commerce proposes to conduct on-site review or inspection, it will 
normally provide 30 days' notice.
    4. The GOA and Commerce recognize that the effective monitoring of 
the CVD Agreement may require the GOA to provide information in 
addition to that identified in the CVD Agreement. Accordingly, after 
consulting with the GOA, Commerce may request additional reporting 
requirements consistent with U.S. law and regulations during the course 
of the CVD Agreement. The GOA shall also collect and provide to 
Commerce, generally within 60 days of the request, any such additional 
information requested by Commerce.
    5. Commerce may initiate administrative reviews under section 
751(a) of the Act in the month immediately following the Anniversary 
Month, upon request, or upon its own initiative, to ensure that exports 
of WGJC from Argentina satisfy the requirements of sections 704(c)(1) 
and (3) of the Act. Commerce may conduct administrative reviews under 
sections 751(b) and (c), and 781 of the Act, as appropriate. Commerce 
may perform verifications pursuant to administrative reviews conducted 
under section 751 of the Act.

C. Rejection of Submissions

    Commerce may reject: (1) any information submitted after the 
deadlines set forth in the CVD Agreement; (2) any submission that does 
not comply with the filing, format, translation, service, and 
certification of documents requirements under 19 CFR 351.303; (3) 
submissions that do not comply with the procedures for establishing 
business proprietary treatment under 19 CFR 351.304; and (4) 
submissions that do not comply with any other applicable regulations, 
as appropriate. If information is not submitted in a complete and 
timely fashion or is not fully verifiable, Commerce may use facts 
otherwise available for the basis of its decision, as it determines 
appropriate, consistent with section 776 of the Act.

D. Consultations

1. Implementation Consultations
    a. If the GOA notifies Commerce in writing, or Commerce otherwise 
determines, that the GOA for any reason has not satisfied the 
implementation obligations in Section VI of the CVD Agreement, Commerce 
will consult with the GOA for a period of up to 60 days to ensure that 
the GOA complies with those obligations within those 60 days.
    b. If Commerce is not satisfied at the conclusion of the 
consultation period that exports of WGJC from Argentina are entering 
the United States in amounts consistent with the CVD Agreement, or 
entered with a valid Export License, Commerce may evaluate under 
section 351.209 of its regulations, or section 751 of the Act, whether 
the CVD Agreement is being violated, as defined in Section IX of the 
CVD Agreement.
2. Compliance Consultations
    a. When Commerce identifies, through import or compliance 
monitoring or otherwise, that exports of WGJC from Argentina may have 
entered the United States in volumes inconsistent with Section V of the 
CVD Agreement, or without an Export License, Commerce will notify the 
GOA. Commerce will consult with the GOA for a period of up to 60 days 
to establish a factual basis regarding exports that may be inconsistent 
with Section V of the CVD Agreement.
    b. During the consultation period, Commerce will examine any 
information that it develops, or which is submitted, including 
information requested by Commerce, under any provision of the CVD 
Agreement.
    c. If Commerce is not satisfied at the conclusion of the 
consultation period that exports of WGJC from Argentina are entering 
the United States in amounts consistent with the CVD Agreement, or 
entered with a valid Export License, Commerce may evaluate under 
section 351.209 of its regulations, or section 751 of the Act whether 
the CVD Agreement

[[Page 17806]]

is being violated, as defined in Section IX of the CVD Agreement.
3. Anti-Circumvention Consultations
    a. If the GOA or Commerce determines that a company from a Third 
Country has circumvented the CVD Agreement and Commerce and the GOA 
agree that no Argentine company participated in or had knowledge of 
such activities, then Commerce and the GOA shall hold consultations for 
the purpose of sharing information regarding such circumvention and 
reaching mutual agreement on the appropriate measures to be taken to 
eliminate such circumvention. If Commerce and the GOA are unable to 
reach mutual agreement on the appropriate measures to be taken to 
eliminate such circumvention within 45 days, then Commerce may take 
appropriate measures, such as deducting the volume of WGJC involved in 
such circumvention from the Export Limit for the current Export Limit 
Period (or, if necessary, a subsequent Annual Export Limit Period). 
Before taking such measures, Commerce will notify the GOA of the facts 
and reasons constituting the basis for Commerce's intended action and 
will afford the GOA 15 days in which to comment. Commerce will enter 
its determinations regarding circumvention into the record of the CVD 
Agreement. Alternatively, Commerce may evaluate under section 351.209 
of its regulations, or section 751 of the Act, whether the CVD 
Agreement is being violated, as defined in Section IX of the CVD 
Agreement.
    b. In the event that Commerce determines that an Argentine company 
has participated in a transaction circumventing the CVD Agreement, 
Commerce and the GOA shall hold consultations for the purpose of 
sharing information regarding such circumvention and reaching mutual 
agreement on an appropriate resolution of the problem. If Commerce and 
the GOA are unable to reach mutual agreement within 60 days, Commerce 
may take appropriate measures, such as deducting the volume of WGJC 
involved in such circumvention from the Export Limit for the current 
Export Limit Period (or, if necessary, a subsequent Annual Export Limit 
Period) or instructing CBP to deny entry to any WGJC from Argentina 
sold by the company found to be circumventing the CVD Agreement. Before 
taking such measures, Commerce will notify the GOA of the basis for 
Commerce's intended action and the GOA will comment within 30 days. 
Commerce will enter its determinations regarding circumvention into the 
record of the CVD Agreement. Alternatively, Commerce may evaluate under 
section 351.209 of its regulations, or section 751 of the Act, whether 
the CVD Agreement is being violated, as defined in Section IX of the 
CVD Agreement.
4. Operations Consultations
    Commerce will consult with the GOA regarding the operation of the 
CVD Agreement. Commerce or the GOA may request such consultations at 
any time, including consultations to revise the Export Limit.

IX. Violations of the CVD Agreement

    A. If Commerce determines that there has been a Violation of the 
CVD Agreement or that the CVD Agreement no longer meets the 
requirements of sections 704(c) or (d) of the Act, Commerce shall take 
action it determines appropriate under section 704(i) of the Act and 
section 351.209 of Commerce's regulations.
    B. Examples of activities which Commerce may deem to be Violations 
of the CVD Agreement include:
    1. Direct or indirect exports of WGJC from Argentina to the United 
States in amounts greater than the Export Limit established in the 
relevant Export Limit Period.
    2. A significant amount (i.e., five percent or more of the Export 
Limit for the relevant Export Limit Period) of WGJC from Argentina 
exported to the United States without an Export License, or entered 
into the United States without a valid Export License, that is not 
reported by the GOA to Commerce.
    3. Any other material violation or breach, as determined by 
Commerce.

X. Disclosure and Comment

    This section provides the terms for disclosure and comment 
following consultations or during segments of the proceeding not 
involving a review under section 751 of the Act.
    A. Commerce may make available to representatives of each 
Interested Party, pursuant to and consistent with 19 CFR 351.304-
351.306, any business proprietary information submitted to and/or 
collected by Commerce pursuant to the CVD Agreement, as well as the 
results of Commerce's analysis of that information.
    B. The GOA and any other Interested Party shall file all 
communications and other submissions via Commerce's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS), 
which is available to registered users at https://access.trade.gov and 
to all parties at the following address: U.S. Department of Commerce, 
Central Records Unit, Room B8024, 1401 Constitution Ave, NW, 
Washington, DC 20230.
    Such communications and submissions shall be filed consistent with 
the requirements provided in 19 CFR 351.303.

XI. Duration of the CVD Agreement

    A. This CVD Agreement has no scheduled termination date. 
Termination of the suspended investigation shall be considered in 
accordance with the five-year review provisions of section 751(c) of 
the Act and section 351.218 of Commerce's regulations.
    B. Commerce or the GOA may withdraw from this CVD Agreement at any 
time. Termination of the CVD Agreement shall be effective no later than 
60 days after the date the written notice of withdrawal is provided to 
the GOA or Commerce, respectively.
    C. Upon termination of the CVD Agreement, Commerce shall follow the 
procedures outlined in section 704(i)(1) of the Act.

XII. Other Provisions

    A. By entering into the CVD Agreement, the GOA does not admit that 
exports of WGJC from Argentina are having or have had an injurious 
effect on WGJC producers in the United States or that the GOA has 
provided countervailable subsidies to WGJC producers and exporters in 
Argentina. The GOA agrees that it will not provide any new or 
additional export or import substitution subsidies on WGJC from 
Argentina.
    B. As of the Effective Date, Commerce shall instruct CBP to refund 
any cash deposits collected as a result of the countervailing duty 
investigation on WGJC from Argentina. Commerce shall instruct CBP to 
terminate the suspension of liquidation consistent with section 
704(f)(2)(B) of the Act.

For the U.S. Department of Commerce:
-----------------------------------------------------------------------
Ryan Majerus
Deputy Assistant Secretary
for Policy & Negotiations
Enforcement and Compliance

March 17, 2023
Date

For the Government of Argentina:
-----------------------------------------------------------------------
Cecilia Todesca Bocco
Secretary for International Economic Relations
Ministry of Foreign Affairs, International Trade and Worship

March 17, 2023
Date

[[Page 17807]]

Appendix I--Agreement Suspending the Countervailing Duty Investigation 
on White Grape Juice Concentrate From Argentina--Export Limit

------------------------------------------------------------------------
                                             Export limit in gallons per
                  Product                    annual export limit period
------------------------------------------------------------------------
WGJC from Argentina.......................  8.0 million gallons.
------------------------------------------------------------------------

    The parties agree to the following formulae for the conversions 
between metric tons and gallons:

[rarr] 1 metric ton (MT) of 65-68 Brix WGJC = 198 gallons
[rarr] 1 gallon of 65-68 Brix WGJC = 0.00505 MT

Appendix II--Agreement Suspending the Countervailing Duty Investigation 
on White Grape Juice Concentrate From Argentina--Information To Be 
Contained in Export Licenses

    The GOA will issue shipment-specific Export Licenses to 
exporters of WGJC from Argentina that shall contain the following 
fields:
    1. Export License Number: Indicate the Export License number 
applicable to the shipment.
    2. Name of the Licensee: Indicate the name of the Licensee, and 
the name of the producer, if different from the Licensee.
    3. Name of the Exporter: Indicate the name of the broker/trader 
or producer, as applicable.
    4. Complete Description of Merchandise: Include the applicable 
United States Harmonized Tariff Schedule category and Brix level, if 
known.
    5. Quantity: Indicate in gallons.
    6. Quantity: Indicate in Metric Tons (MT)
    7. Date of Export License: Date that the Export License is 
issued.
    8. Date of Expiration of the Export License: Indicate the date 
that the Export License expires.
    9. Contract Identification Information: Indicate the contract 
identification information with which the license is associated, if 
known.
    10. Importer's Number.
    11. Port of Export: Indicate the port of export.
    12. Export Limit Period for which the Export License is valid.
    13. Allocation to Producer/Exporter: Indicate the total amount 
of the Export Limit allocated to the individual producer/exporter 
during the relevant Export Limit Period.
    14. Allocation Remaining: Indicate the remaining amount 
available under the allocation to the individual producer/exporter 
during the relevant Export Limit Period.

Appendix III--Agreement Suspending the Countervailing Duty 
Investigation on White Grape Juice Concentrate From Argentina--
Information on Exports of WGJC From Argentina

    In accordance with the established format, the GOA's license 
issuing authority shall collect and provide to Commerce all 
information necessary to ensure compliance with the CVD Agreement. 
This information will be provided to Commerce on monthly basis. The 
GOA's license issuing authority will collect and maintain data on 
exports to the United States on a continuous basis. Data for exports 
to countries other than the United States will be reported upon 
request. The GOA's license issuing authority may provide a narrative 
explanation to substantiate all data collected in accordance with 
the following formats.
    The GOA's license issuing authority will provide a report or 
summary regarding all Export Licenses issued to entities, which 
shall contain the following information unless the information is 
unknown to the licensing authority and the licensee. Upon request, 
the GOA will provide copies of any Export License to Commerce.
    1. Export License Number: Indicate the Export License number for 
the shipment.
    2. Name of the Licensee: Indicate the name of the Licensee, and 
the name of the producer, if different from the Licensee.
    3. Name of the Exporter: Indicate the name of the broker/trader 
or exporter, as applicable.
    4. Complete Description of Merchandise: Include the applicable 
United States Harmonized Tariff Schedule category and Brix level, if 
known.
    5. Quantity: Indicate in gallons.
    6. Quantity: Indicate in Metric Tons (MT)
    7. Date of Export License: Date that the Export License is 
issued.
    8. Date of Expiration of the Export License: Indicate the date 
that the Export License expires.
    9. Port of Export: Indicate the port of export.
    10. Date of Export: Indicate the date of export of the WGJC from 
Argentina to the United States.
    11. Allocation to producer/exporter: Indicate the total amount 
of the Export Limit allocated to the individual producer/exporter 
during the relevant Export Limit Period.
    12. Allocation Remaining: Indicate the remaining amount 
available under the allocation to the individual producer/exporter 
during the relevant Export Limit Period.
    13. Contract Identification Information: Indicate the contract 
identification information with which the license is associated, if 
known.
    14. Importer's Number.

[FR Doc. 2023-06124 Filed 3-23-23; 8:45 am]
BILLING CODE 3510-DS-P