Gas Powered Pressure Washers From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination, Preliminary Affirmative Critical Circumstances Determination, in Part, and Alignment of Final Determination With Final Antidumping Duty Determination, 36531-36534 [2023-11875]

Download as PDF Federal Register / Vol. 88, No. 107 / Monday, June 5, 2023 / Notices We did not receive a substantive response from any other interested party in these proceedings, and no party requested a hearing. On March 23, 2023, Commerce notified the U.S. International Trade Commission that it did not receive an adequate substantive response from respondent interested parties.5 As a result, pursuant to section 751(c)(3)(B) of the Act and 19 CFR 351.218(e)(1)(ii)(C)(2), Commerce conducted expedited (120-day) sunset reviews of these Orders. 36531 The U.S. Department of Commerce (Commerce) preliminarily Country determines that countervailable subsidies are being provided to producers and exporters of gas-powered India ............................................ 42.39 pressure washers (pressure washers) Indonesia .................................... 52.42 from the People’s Republic of China Korea .......................................... 6.09 (China) during the period of investigation, January 1, 2021, through Administrative Protective Order December 31, 2021. Interested parties are invited to comment on this This notice serves as the only preliminary determination. reminder to parties subject to an administrative protective order (APO) of DATES: Applicable June 5, 2023. their responsibility concerning the FOR FURTHER INFORMATION CONTACT: disposition of proprietary information Theodore Pearson, AD/CVD Operations, Scope of the Orders disclosed under APO in accordance with 19 CFR 351.305(a). Timely written Office I, Enforcement and Compliance, The products covered by the Orders International Trade Administration, notification of the destruction of APO are certain hot-rolled carbon-quality U.S. Department of Commerce, 1401 materials or conversion to judicial steel. For a complete description of the Constitution Avenue NW, Washington, protective order is hereby requested. scope of these Orders, see the Issues and Failure to comply with the regulations DC 20230; telephone: (202) 482–2631. Decision Memorandum.6 and terms of an APO is a violation that SUPPLEMENTARY INFORMATION: is subject to sanction. Analysis of Comments Received Background Notification to Interested Parties All issues raised in these sunset This preliminary determination is We are issuing and publishing this reviews are addressed in the Issues and made in accordance with section 703(b) notice in accordance with sections 7 Decision Memorandum. A list of topics of the Tariff Act of 1930, as amended 751(c), 752(b), and 777(i)(1) of the Act. discussed in the Issues and Decision (the Act). On January 25, 2023, Dated: May 26, 2023. Memorandum is included as the Commerce published in the Federal Lisa W. Wang, appendix to this notice. The Issues and Register the notice of initiation of this Decision Memorandum is a public Assistant Secretary for Enforcement and investigation.1 On March 14, 2023, Compliance. document and is on file electronically Commerce postponed the preliminary via Enforcement and Compliance’s determination of this investigation until Appendix—List of Topics Discussed in Antidumping and Countervailing Duty May 30, 2023.2 the Issues and Decision Memorandum Centralized Electronic Service System For a complete description of the I. Summary (ACCESS). ACCESS is available to events that followed the initiation of II. Background registered users at https:// III. Scope of the Orders this investigation, see the Preliminary access.trade.gov. In addition, a complete IV. History of the Orders Decision Memorandum.3 A list of topics version of the Issues and Decision V. Legal Framework discussed in the Preliminary Decision VI. Discussion of the Issues Memorandum can be accessed directly Memorandum is included as Appendix 1. Likelihood of Continuation or at https://access.trade.gov/public/ II to this notice. The Preliminary Recurrence of Dumping FRNoticesListLayout.aspx./. Decision Memorandum is a public 2. Magnitude of the Margins of Dumping document and is on file electronically Likely To Prevail Final Results of Sunset Reviews via Enforcement and Compliance’s VII. Final Results of Sunset Reviews Pursuant to sections 751(c)(1) and VIII. Recommendation Antidumping and Countervailing Duty 752(b) of the Act, Commerce determines [FR Doc. 2023–11841 Filed 6–2–23; 8:45 am] Centralized Electronic Service System that revocation of the Orders would be (ACCESS). ACCESS is available to BILLING CODE 3510–DS–P registered users at https:// likely to lead to the continuation or access.trade.gov. In addition, a complete recurrence of dumping, and that the version of the Preliminary Decision DEPARTMENT OF COMMERCE magnitude of the margins of dumping Memorandum can be accessed directly likely to prevail would be weightedInternational Trade Administration at https://access.trade.gov/public/ average margins up to the following FRNoticesListLayout.aspx. percentages: Weightedaverage dumping margin (percent) SUMMARY: ddrumheller on DSK120RN23PROD with NOTICES1 [C–570–149] Cut-to-Length Carbon-Quality Steel Plate from India: Domestic Interested Parties’ Substantive Response,’’ dated March 3, 2023. 5 See Commerce’s Letter, ‘‘Sunset Reviews initiated on February 1, 2023,’’ dated March 23, 2023. 6 See Memorandum, ‘‘Decision Memorandum for the Final Results of Expedited Fourth Sunset Reviews of the Antidumping Duty Orders on Certain Cut-to-Length Carbon-Quality Steel Plate from India, Indonesia, and the Republic of Korea,’’ dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum). 7 Id. VerDate Sep<11>2014 17:59 Jun 02, 2023 Jkt 259001 Gas Powered Pressure Washers From the People’s Republic of China: Preliminary Affirmative Countervailing Duty Determination, Preliminary Affirmative Critical Circumstances Determination, in Part, and Alignment of Final Determination With Final Antidumping Duty Determination Enforcement and Compliance, International Trade Administration, Department of Commerce. AGENCY: PO 00000 Frm 00006 Fmt 4703 Sfmt 4703 1 Gas Powered Pressure Washers from the People’s Republic of China: Initiation of Countervailing Duty Investigation, 88 FR 4812 (January 25, 2023) (Initiation Notice). 2 See Gas Powered Pressure Washers from the People’s Republic of China: Postponement of Preliminary Determination in the Countervailing Duty Investigation, 88 FR 15672 (March 14, 2023). 3 See Memorandum, ‘‘Decision Memorandum for the Preliminary Determination in the Countervailing Duty Investigation of Gas Powered Pressure Washers from the People’s Republic of China,’’ dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). E:\FR\FM\05JNN1.SGM 05JNN1 36532 Federal Register / Vol. 88, No. 107 / Monday, June 5, 2023 / Notices Scope of the Investigation The products covered by this investigation are gas powered pressure washers from China. For a complete description of the scope of this investigation, see Appendix I. Scope Comments In accordance with the preamble to Commerce’s regulations,4 the Initiation Notice set aside a period of time for parties to raise issues regarding product coverage (i.e., scope).5 We received comments from several parties concerning the scope of the antidumping duty (AD) and countervailing duty (CVD) investigations of pressure washers as it appeared in the Initiation Notice.6 We are currently evaluating the scope comments filed by the interested parties and intend to issue our preliminary decision regarding the scope of the AD and CVD investigations shortly. We will incorporate the scope decisions from the AD investigations into the scope of the final CVD determination for this investigation, after considering any relevant comments submitted in scope case and rebuttal briefs. Preliminary Affirmative Determination of Critical Circumstances, in Part In accordance with section 703(e)(1) of the Act, Commerce preliminarily determines that critical circumstances exist with respect to imports of pressure washers from China for Jiangsu Jianghuai Engine Co., Ltd. (JD Power), Chongqing Dajiang Power Equipment Co., Ltd. (CDPE), and companies that were not responsive to Commerce’s quantity and value questionnaire,7 but do not exist with respect to all other producers or exporters not individually examined. For a full description of the methodology and results of Commerce’s analysis, see the Preliminary Decision Memorandum. Methodology Commerce is conducting this investigation in accordance with section 701 of the Act. For each of the subsidy programs found to be countervailable, Commerce preliminarily determines that there is a subsidy, i.e., a financial contribution by an ‘‘authority’’ that gives rise to a benefit to the recipient, and that the subsidy is specific.8 Commerce notes that, in making these findings, it relied on facts available and, because Commerce finds that necessary information was missing from the record and because respondents did not act to the best of their ability to respond to Commerce’s requests for information, Commerce drew an adverse inference in selecting from among the facts otherwise available.9 For further information, see the ‘‘Use of Facts Otherwise Available and Adverse Inferences’’ section in the Preliminary Decision Memorandum. Alignment As noted in the Preliminary Decision Memorandum, in accordance with section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is aligning the final CVD determination in this investigation with the final determination in the companion AD investigation of pressure washers from China based on a request made by the FNA Group, Inc. (the petitioner).10 Consequently, the final CVD determination will be issued on the same date as the final AD determination, which is currently scheduled to be issued no later than October 11, 2023, unless postponed. All-Others Rate Sections 703(d) and 705(c)(5)(A) of the Act provide that in the preliminary determination, Commerce shall determine an estimated all-others rate for companies not individually examined. This rate shall be an amount equal to the weighted average of the estimated subsidy rates established for those companies individually examined, excluding any zero and de minimis rates and any rates based entirely under section 776 of the Act. In this investigation, as discussed in the Preliminary Decision Memorandum, Commerce calculated an individual estimated countervailable subsidy rate for JD Power that is not zero, de minimis, or based entirely under section 776 of the Act. As further discussed in the Preliminary Decision Memorandum, the individual estimated countervailable subsidy rate for CDPE is based entirely upon section 776 of the Act. Therefore, Commerce is using the individual estimated subsidy rate calculated for JD Power as the all-others rate. Preliminary Determination Commerce preliminarily determines that the following estimated countervailable subsidy rates exist: Subsidy rate (percent ad valorem) ddrumheller on DSK120RN23PROD with NOTICES1 Company Jiangsu Jianghuai Engine Co., Ltd 11 .................................................................................................................................. Chongqing Dajiang Power Equipment Co., Ltd .................................................................................................................. China GTL Tools Group, Ltd ............................................................................................................................................... Loncin Motor Co., Ltd .......................................................................................................................................................... Maxworld Home Co., Ltd ..................................................................................................................................................... Ningbo Jugang Machinery Manufacturing Co., Ltd ............................................................................................................. Powerful Machinery & Electronics Technology Developing Co., Ltd .................................................................................. Pinghu Biyi Cleaning Equipment Co., Ltd ........................................................................................................................... Senci Electric Machinery Co., Ltd ....................................................................................................................................... Taizhou Bison Machinery Co., Ltd ...................................................................................................................................... Taizhou Longfa Machinery Co., Ltd .................................................................................................................................... Taizhou Newland Machinery Co., Ltd ................................................................................................................................. Zhejiang Anlu Cleaning Machinery Co., Ltd ........................................................................................................................ Zhejiang Constant Power Machinery Co., Ltd .................................................................................................................... Zhejiang Lingben Machinery & Electronics Co., Ltd ........................................................................................................... Zhejiang Xinchang Bigyao Power Tool Co., Ltd ................................................................................................................. Zhejiang Zhinanche Cleaning Equipment Co., Ltd ............................................................................................................. 4 See Antidumping Duties; Countervailing Duties, 62 FR 27296, 27323 (May 19, 1997). 5 See Initiation Notice, 88 FR 4812. 6 See Preliminary Decision Memorandum at ‘‘IV. Scope Comments.’’ 7 See Commerce’s Letter, ‘‘Quantity and Value Questionnaire,’’ dated January 20, 2023. VerDate Sep<11>2014 17:59 Jun 02, 2023 Jkt 259001 8 See sections 771(5)(B) and (D) of the Act regarding financial contribution; section 771(5)(E) of the Act regarding benefit; and section 771(5A) of the Act regarding specificity. 9 See sections 776(a) and (b) of the Act. 10 See Petitioner’s Letter, ‘‘Request to Align Countervailing Duty Investigation Final Determination with Antidumping Duty PO 00000 Frm 00007 Fmt 4703 Sfmt 4703 11.19 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 206.57 Investigation Final Determination,’’ dated April 24, 2023. 11 As discussed in the Preliminary Decision Memorandum, Commerce preliminarily finds the following company to be cross-owned with JD Power: Jiangsu Nonghua Intelligent Agriculture Technology Co., Ltd. E:\FR\FM\05JNN1.SGM 05JNN1 Federal Register / Vol. 88, No. 107 / Monday, June 5, 2023 / Notices 36533 Subsidy rate (percent ad valorem) Company All Others ............................................................................................................................................................................. Suspension of Liquidation In accordance with section 703(e)(2)(A) of the Act, because we find that critical circumstances exist for JD Power, CDPE, and the non-responsive companies, therefore, for these companies, Commerce will direct U.S. Customs and Border Protection (CBP) to suspend liquidation of entries of subject merchandise as described in the scope of the investigation entered, or withdrawn from warehouse, for consumption on or after the date 90 days prior to the date of publication of this notice in the Federal Register. As noted above, we find that critical circumstances do not exist for all other producers or exporters not individually examined. Therefore, for all other producers or exporters not individually examined, Commerce will direct CBP to suspend liquidation of entries of subject merchandise as described in the scope of the investigation entered, or withdrawn from warehouse, for consumption on or after the date of the publication of this notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), Commerce will instruct CBP to require a cash deposit equal to the rates indicated above. Disclosure Commerce intends to disclose its calculations and analysis performed in connection with this preliminary determination to interested parties within five days of its public announcement, or if there is no public announcement, within five days of the date of publication of this notice in the Federal Register, in accordance with 19 CFR 351.224(b). Verification As provided in section 782(i)(1) of the Act, Commerce intends to verify the information relied upon in making its final determination. ddrumheller on DSK120RN23PROD with NOTICES1 Public Comment All interested parties will have the opportunity to submit scope case and rebuttal briefs on the preliminary decision regarding the scope of the AD and CVD investigations. The deadlines to submit scope case and rebuttal briefs will be provided in the preliminary scope decision memorandum. For all scope case and rebuttal briefs, parties must file identical documents simultaneously on the records of the VerDate Sep<11>2014 17:59 Jun 02, 2023 Jkt 259001 ongoing AD and CVD pressure washers investigations. No new factual information or business proprietary information may be included in either scope case or rebuttal briefs. Case briefs or other written comments on non-scope issues may be submitted to the Assistant Secretary for Enforcement and Compliance. Commerce will notify interested parties of the deadline for the submission of case briefs. Rebuttal briefs, limited to issues raised in case briefs, may be submitted no later than seven days after the deadline date for case briefs.12 Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal briefs in this investigation are encouraged to submit with each argument: (1) a statement of the issue; (2) a brief summary of the argument; and (3) a table of authorities. Commerce has modified certain of its requirements for serving documents containing business proprietary information until further notice.13 Pursuant to 19 CFR 351.310(c), interested parties who wish to request a hearing, limited to issues raised in the case and rebuttal briefs, must submit a written request to the Assistant Secretary for Enforcement and Compliance, U.S. Department of Commerce within 30 days after the date of publication of this notice. Requests should contain the party’s name, address, and telephone number, the number of participants, and a list of the issues to be discussed. Oral presentations at the hearing will be limited to issues raised in the briefs. If a request for a hearing is made, parties will be notified of the time and date for the hearing.14 U.S. International Trade Commission Notification In accordance with section 703(f) of the Act, Commerce will notify the U.S. International Trade Commission (ITC) of its determination. If the final determination is affirmative, the ITC will determine before the later of 120 days after the date of this preliminary determination or 45 days after the final determination whether imports of pressure washers from China are 12 See 19 CFR 351.309; see also 19 CFR 351.303 (for general filing requirements). 13 See Temporary Rule Modifying AD/CVD Service Requirements Due to COVID–19; Extension of Effective Period, 85 FR 41363 (July 10, 2020). 14 See 19 CFR 351.310(d). PO 00000 Frm 00008 Fmt 4703 Sfmt 4703 11.19 materially injuring, or threaten material injury to, the U.S. industry. Notification to Interested Parties This determination is issued and published pursuant to sections 703(f) and 777(i) of the Act, and 19 CFR 351.205(c). Dated: May 30, 2023. Lisa W. Wang, Assistant Secretary for Enforcement and Compliance. Appendix I—Scope of the Investigation The merchandise covered by this investigation is cold water gas powered pressure washers (also commonly known as power washers), which are machines that clean surfaces using water pressure that are powered by an internal combustion engine, air-cooled with a power take-off shaft, in combination with a positive displacement pump. This combination of components (i.e., the internal combustion engine, the power take-off shaft, and the positive displacement pump) is defined as the ‘‘power unit.’’ The scope of the investigation covers cold water gas powered pressure washers, whether finished or unfinished, whether assembled or unassembled, and whether or not containing any additional parts or accessories to assist in the function of the ‘‘power unit,’’ including, but not limited to, spray guns, hoses, lances, and nozzles. The scope of the investigation covers cold water gas powered pressure washers, whether or not assembled or packaged with a frame, cart, or trolley, with or without wheels attached. For purposes of this investigation, an unfinished and/or unassembled cold water gas powered pressure washer consists of, at a minimum, the power unit or components of the power unit, packaged or imported together. Importation of the power unit whether or not accompanied by, or attached to, additional components including, but not limited to a frame, spray guns, hoses, lances, and nozzles constitutes an unfinished cold water gas powered pressure washer for purposes of this scope. The inclusion in a third country of any components other than the power unit does not remove the cold water gas powered pressure washer from the scope. A cold water gas powered pressure washer is within the scope of this investigation regardless of the origin of its engine. Subject merchandise also includes finished and unfinished cold water gas powered pressure washers that are further processed in a third country or in the United States, including, but not limited to, assembly or any other processing that would not otherwise remove the merchandise from the scope of this investigation if performed in the country of manufacture of the in-scope cold water gas powered pressure washers. The scope excludes hot water gas powered pressure washers, which are pressure E:\FR\FM\05JNN1.SGM 05JNN1 36534 Federal Register / Vol. 88, No. 107 / Monday, June 5, 2023 / Notices washers that include a heating element used to heat the water sprayed from the machine. Also specifically excluded from the scope of this investigation is merchandise covered by the scope 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. See Certain Vertical Shaft Engines Between 99 cc and Up to 225cc, and Parts Thereof from the People’s Republic of China: Antidumping and Countervailing Duty Orders, 86 FR 023675 (May 4, 2021). The cold water gas powered pressure washers subject to this investigation are classified in the Harmonized Tariff Schedule of the United States (HTSUS) at subheadings 8424.30.9000 and 8424.90.9040. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope is dispositive. Appendix II—List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Scope of the Investigation IV. Scope Comments V. Injury Test VI. Diversification of China’s Economy VII. Preliminary Affirmative Determination of Critical Circumstances, in Part VIII. Use of Facts Otherwise Available and Adverse Inferences IX. Subsidies Valuation X. Interest Rate, Discount Rate, Hot-Rolled Steel, and Electricity Benchmarks XI. Analysis of Programs XII. Recommendation [FR Doc. 2023–11875 Filed 6–2–23; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–475–834] Certain Carbon and Alloy Steel Cut-toLength Plate From Italy: Preliminary Results of Antidumping Duty Administrative Review and Rescission in Part; 2021–2022 Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily determines that sales of subject merchandise were made at less than normal value (NV) during the period of review (POR), May 1, 2021, through April 30, 2022. We are also rescinding this review with respect to Officine Tecnosider s.r.l. (OTS). We invite interested parties to comment on these preliminary results. DATES: Applicable June 5, 2023. ddrumheller on DSK120RN23PROD with NOTICES1 AGENCY: VerDate Sep<11>2014 17:59 Jun 02, 2023 Jkt 259001 FOR FURTHER INFORMATION CONTACT: Nathan Araya, 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) 482–3401. SUPPLEMENTARY INFORMATION: Background On July 14, 2022, based on timely requests for review, in accordance with 19 CFR 351.221(c)(1)(i), we initiated an administrative review of the antidumping duty order 1 on certain carbon and alloy steel cut-to-length plate (CTL plate) from Italy with respect to two producers/exporters of the subject merchandise, NLMK Verona S.p.A (NVR) and OTS.2 On January 3, 2023, Commerce extended the preliminary results of this review to no later than May 31, 2023.3 For a complete description of the events that followed the initiation of this review, see the Preliminary Decision Memorandum.4 Scope of the Order 5 The merchandise subject to the Order is certain carbon and alloy steel cut-tolength plate from Italy. For a complete description of the scope of the Order, see the Preliminary Decision Memorandum. Methodology Commerce is conducting this review in accordance with sections 751(a)(1)(B) and (2) of the Tariff Act of 1930, as amended (the Act). Constructed export price is calculated in accordance with section 772 of the Act. NV is calculated in accordance with section 773 of the Act. For a full description of the methodology underlying our conclusions, see the Preliminary Decision Memorandum. 1 See Certain Carbon and Alloy Steel Cut-ToLength Plate from Austria, Belgium, France, the Federal Republic of Germany, Italy, Japan, the Republic of Korea, and Taiwan: Amended Final Affirmative Antidumping Determinations for France, the Federal Republic of Germany, the Republic of Korea, and Taiwan, and Antidumping Duty Orders, 82 FR 24096, 24098 (May 25, 2017) (Order). 2 See Initiation of Antidumping and Countervailing Duty Administrative Reviews, 87 FR 42144 (July 14, 2022). 3 See Memorandum, ‘‘Extension of Deadline for Preliminary Results of 2021–2022 Antidumping Duty Administrative Review,’’ dated January 3, 2023. 4 See Memorandum, ‘‘Decision Memorandum for the Preliminary Results of the 2021–2022 Administrative Review of the Antidumping Duty Order on Certain Carbon and Alloy Steel Cut-toLength Plate from Italy,’’ (Preliminary Decision Memorandum) dated concurrently with, and hereby adopted by, this notice. 5 See Order. PO 00000 Frm 00009 Fmt 4703 Sfmt 4703 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 the parties that requested a review withdraw the request within 90 days of the date of publication of the notice of initiation. Commerce received a timely-filed withdrawal request from Cleveland-Cliffs Steel LLC, Nucor Corporation, and SSAB Enterprises, LLC (collectively, the petitioners) on October 12, 2022, withdrawing its request for a review of OTS.6 Because the withdrawal request was timely filed, and no other party requested a review of this company, in accordance with 19 CFR 351.213(d)(1), Commerce is rescinding this review of the Order with respect to OTS. Preliminary Results of the Review We preliminarily determine that the following weighted-average dumping margin exists for the period May 1, 2021, through April 30, 2022: Producer or exporter NLMK Verona S.p.A ................... Weightedaverage dumping margin (percent) 15.88 Disclosure and Public Comment Commerce intends to disclose the calculations performed in connection with these preliminary results to interested parties within five days after the date of publication of this notice.7 Interested parties may submit case briefs to Commerce no later than 30 days after the date of publication of this notice.8 Rebuttal briefs, limited to issues raised in the case briefs, may be filed no later than seven days after the deadline for filing case briefs.9 Parties who submit case or rebuttal briefs are requested to submit with each argument: (1) a statement of the issue; (2) a brief summary of the arguments; and (3) a table of authorities.10 Case and rebuttal briefs should be filed using ACCESS 11 and must be served on interested parties.12 Executive summaries should be limited to five pages total, including footnotes. Note that Commerce has temporarily modified certain aspects of 6 See Petitioners’ Letter, ‘‘Withdrawal of Request for Administrative Review,’’ dated October 12, 2022. 7 See 19 CFR 351.224(b). 8 See 19 CFR 351.309(c). 9 See 19 CFR 351.309(d). 10 See 19 CFR 351.309(c)(2) and (d)(2). 11 See 19 CFR 351.303. 12 See 19 CFR 351.303(f). E:\FR\FM\05JNN1.SGM 05JNN1

Agencies

[Federal Register Volume 88, Number 107 (Monday, June 5, 2023)]
[Notices]
[Pages 36531-36534]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-11875]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-149]


Gas Powered Pressure Washers From the People's Republic of China: 
Preliminary Affirmative Countervailing Duty Determination, Preliminary 
Affirmative Critical Circumstances Determination, in Part, and 
Alignment of Final Determination With Final Antidumping Duty 
Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of gas-powered pressure washers (pressure 
washers) from the People's Republic of China (China) during the period 
of investigation, January 1, 2021, through December 31, 2021. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable June 5, 2023.

FOR FURTHER INFORMATION CONTACT: Theodore Pearson, AD/CVD Operations, 
Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2631.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). On January 25, 
2023, Commerce published in the Federal Register the notice of 
initiation of this investigation.\1\ On March 14, 2023, Commerce 
postponed the preliminary determination of this investigation until May 
30, 2023.\2\
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    \1\ Gas Powered Pressure Washers from the People's Republic of 
China: Initiation of Countervailing Duty Investigation, 88 FR 4812 
(January 25, 2023) (Initiation Notice).
    \2\ See Gas Powered Pressure Washers from the People's Republic 
of China: Postponement of Preliminary Determination in the 
Countervailing Duty Investigation, 88 FR 15672 (March 14, 2023).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics discussed in the Preliminary Decision 
Memorandum is included as Appendix II to this notice. The Preliminary 
Decision Memorandum is a public document and is on file electronically 
via Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at https://access.trade.gov. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Countervailing Duty Investigation of Gas 
Powered Pressure Washers from the People's Republic of China,'' 
dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).

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[[Page 36532]]

Scope of the Investigation

    The products covered by this investigation are gas powered pressure 
washers from China. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ We received 
comments from several parties concerning the scope of the antidumping 
duty (AD) and countervailing duty (CVD) investigations of pressure 
washers as it appeared in the Initiation Notice.\6\ We are currently 
evaluating the scope comments filed by the interested parties and 
intend to issue our preliminary decision regarding the scope of the AD 
and CVD investigations shortly. We will incorporate the scope decisions 
from the AD investigations into the scope of the final CVD 
determination for this investigation, after considering any relevant 
comments submitted in scope case and rebuttal briefs.
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    \4\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \5\ See Initiation Notice, 88 FR 4812.
    \6\ See Preliminary Decision Memorandum at ``IV. Scope 
Comments.''
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Preliminary Affirmative Determination of Critical Circumstances, in 
Part

    In accordance with section 703(e)(1) of the Act, Commerce 
preliminarily determines that critical circumstances exist with respect 
to imports of pressure washers from China for Jiangsu Jianghuai Engine 
Co., Ltd. (JD Power), Chongqing Dajiang Power Equipment Co., Ltd. 
(CDPE), and companies that were not responsive to Commerce's quantity 
and value questionnaire,\7\ but do not exist with respect to all other 
producers or exporters not individually examined. For a full 
description of the methodology and results of Commerce's analysis, see 
the Preliminary Decision Memorandum.
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    \7\ See Commerce's Letter, ``Quantity and Value Questionnaire,'' 
dated January 20, 2023.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found to be 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\8\
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    \8\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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    Commerce notes that, in making these findings, it relied on facts 
available and, because Commerce finds that necessary information was 
missing from the record and because respondents did not act to the best 
of their ability to respond to Commerce's requests for information, 
Commerce drew an adverse inference in selecting from among the facts 
otherwise available.\9\ For further information, see the ``Use of Facts 
Otherwise Available and Adverse Inferences'' section in the Preliminary 
Decision Memorandum.
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    \9\ See sections 776(a) and (b) of the Act.
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Alignment

    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is 
aligning the final CVD determination in this investigation with the 
final determination in the companion AD investigation of pressure 
washers from China based on a request made by the FNA Group, Inc. (the 
petitioner).\10\ Consequently, the final CVD determination will be 
issued on the same date as the final AD determination, which is 
currently scheduled to be issued no later than October 11, 2023, unless 
postponed.
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    \10\ See Petitioner's Letter, ``Request to Align Countervailing 
Duty Investigation Final Determination with Antidumping Duty 
Investigation Final Determination,'' dated April 24, 2023.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act.
    In this investigation, as discussed in the Preliminary Decision 
Memorandum, Commerce calculated an individual estimated countervailable 
subsidy rate for JD Power that is not zero, de minimis, or based 
entirely under section 776 of the Act. As further discussed in the 
Preliminary Decision Memorandum, the individual estimated 
countervailable subsidy rate for CDPE is based entirely upon section 
776 of the Act. Therefore, Commerce is using the individual estimated 
subsidy rate calculated for JD Power as the all-others rate.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:
---------------------------------------------------------------------------

    \11\ As discussed in the Preliminary Decision Memorandum, 
Commerce preliminarily finds the following company to be cross-owned 
with JD Power: Jiangsu Nonghua Intelligent Agriculture Technology 
Co., Ltd.

------------------------------------------------------------------------
                                                  Subsidy rate (percent
                    Company                            ad valorem)
------------------------------------------------------------------------
Jiangsu Jianghuai Engine Co., Ltd 11...........                    11.19
Chongqing Dajiang Power Equipment Co., Ltd.....                   206.57
China GTL Tools Group, Ltd.....................                   206.57
Loncin Motor Co., Ltd..........................                   206.57
Maxworld Home Co., Ltd.........................                   206.57
Ningbo Jugang Machinery Manufacturing Co., Ltd.                   206.57
Powerful Machinery & Electronics Technology                       206.57
 Developing Co., Ltd...........................
Pinghu Biyi Cleaning Equipment Co., Ltd........                   206.57
Senci Electric Machinery Co., Ltd..............                   206.57
Taizhou Bison Machinery Co., Ltd...............                   206.57
Taizhou Longfa Machinery Co., Ltd..............                   206.57
Taizhou Newland Machinery Co., Ltd.............                   206.57
Zhejiang Anlu Cleaning Machinery Co., Ltd......                   206.57
Zhejiang Constant Power Machinery Co., Ltd.....                   206.57
Zhejiang Lingben Machinery & Electronics Co.,                     206.57
 Ltd...........................................
Zhejiang Xinchang Bigyao Power Tool Co., Ltd...                   206.57
Zhejiang Zhinanche Cleaning Equipment Co., Ltd.                   206.57

[[Page 36533]]

 
All Others.....................................                    11.19
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 703(e)(2)(A) of the Act, because we find 
that critical circumstances exist for JD Power, CDPE, and the non-
responsive companies, therefore, for these companies, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise as described in the scope of the 
investigation entered, or withdrawn from warehouse, for consumption on 
or after the date 90 days prior to the date of publication of this 
notice in the Federal Register. As noted above, we find that critical 
circumstances do not exist for all other producers or exporters not 
individually examined. Therefore, for all other producers or exporters 
not individually examined, Commerce will direct CBP to suspend 
liquidation of entries of subject merchandise as described in the scope 
of the investigation entered, or withdrawn from warehouse, for 
consumption on or after the date of the publication of this notice in 
the Federal Register. Further, pursuant to 19 CFR 351.205(d), Commerce 
will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed in connection with this preliminary determination to 
interested parties within five days of its public announcement, or if 
there is no public announcement, within five days of the date of 
publication of this notice in the Federal Register, in accordance with 
19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    All interested parties will have the opportunity to submit scope 
case and rebuttal briefs on the preliminary decision regarding the 
scope of the AD and CVD investigations. The deadlines to submit scope 
case and rebuttal briefs will be provided in the preliminary scope 
decision memorandum. For all scope case and rebuttal briefs, parties 
must file identical documents simultaneously on the records of the 
ongoing AD and CVD pressure washers investigations. No new factual 
information or business proprietary information may be included in 
either scope case or rebuttal briefs.
    Case briefs or other written comments on non-scope issues may be 
submitted to the Assistant Secretary for Enforcement and Compliance. 
Commerce will notify interested parties of the deadline for the 
submission of case briefs. Rebuttal briefs, limited to issues raised in 
case briefs, may be submitted no later than seven days after the 
deadline date for case briefs.\12\ Pursuant to 19 CFR 351.309(c)(2) and 
(d)(2), parties who submit case briefs or rebuttal briefs in this 
investigation are encouraged to submit with each argument: (1) a 
statement of the issue; (2) a brief summary of the argument; and (3) a 
table of authorities. Commerce has modified certain of its requirements 
for serving documents containing business proprietary information until 
further notice.\13\
---------------------------------------------------------------------------

    \12\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \13\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, and a list of the issues to be discussed. Oral 
presentations at the hearing will be limited to issues raised in the 
briefs. If a request for a hearing is made, parties will be notified of 
the time and date for the hearing.\14\
---------------------------------------------------------------------------

    \14\ See 19 CFR 351.310(d).
---------------------------------------------------------------------------

U.S. International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its determination. If 
the final determination is affirmative, the ITC will determine before 
the later of 120 days after the date of this preliminary determination 
or 45 days after the final determination whether imports of pressure 
washers from China are materially injuring, or threaten material injury 
to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act, and 19 CFR 351.205(c).

    Dated: May 30, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The merchandise covered by this investigation is cold water gas 
powered pressure washers (also commonly known as power washers), 
which are machines that clean surfaces using water pressure that are 
powered by an internal combustion engine, air-cooled with a power 
take-off shaft, in combination with a positive displacement pump. 
This combination of components (i.e., the internal combustion 
engine, the power take-off shaft, and the positive displacement 
pump) is defined as the ``power unit.'' The scope of the 
investigation covers cold water gas powered pressure washers, 
whether finished or unfinished, whether assembled or unassembled, 
and whether or not containing any additional parts or accessories to 
assist in the function of the ``power unit,'' including, but not 
limited to, spray guns, hoses, lances, and nozzles. The scope of the 
investigation covers cold water gas powered pressure washers, 
whether or not assembled or packaged with a frame, cart, or trolley, 
with or without wheels attached.
    For purposes of this investigation, an unfinished and/or 
unassembled cold water gas powered pressure washer consists of, at a 
minimum, the power unit or components of the power unit, packaged or 
imported together. Importation of the power unit whether or not 
accompanied by, or attached to, additional components including, but 
not limited to a frame, spray guns, hoses, lances, and nozzles 
constitutes an unfinished cold water gas powered pressure washer for 
purposes of this scope. The inclusion in a third country of any 
components other than the power unit does not remove the cold water 
gas powered pressure washer from the scope. A cold water gas powered 
pressure washer is within the scope of this investigation regardless 
of the origin of its engine. Subject merchandise also includes 
finished and unfinished cold water gas powered pressure washers that 
are further processed in a third country or in the United States, 
including, but not limited to, assembly or any other processing that 
would not otherwise remove the merchandise from the scope of this 
investigation if performed in the country of manufacture of the in-
scope cold water gas powered pressure washers.
    The scope excludes hot water gas powered pressure washers, which 
are pressure

[[Page 36534]]

washers that include a heating element used to heat the water 
sprayed from the machine.
    Also specifically excluded from the scope of this investigation 
is merchandise covered by the scope 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. See Certain Vertical Shaft Engines Between 99 cc and Up to 
225cc, and Parts Thereof from the People's Republic of China: 
Antidumping and Countervailing Duty Orders, 86 FR 023675 (May 4, 
2021).
    The cold water gas powered pressure washers subject to this 
investigation are classified in the Harmonized Tariff Schedule of 
the United States (HTSUS) at subheadings 8424.30.9000 and 
8424.90.9040. Although the HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
scope is dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Scope Comments
V. Injury Test
VI. Diversification of China's Economy
VII. Preliminary Affirmative Determination of Critical 
Circumstances, in Part
VIII. Use of Facts Otherwise Available and Adverse Inferences
IX. Subsidies Valuation
X. Interest Rate, Discount Rate, Hot-Rolled Steel, and Electricity 
Benchmarks
XI. Analysis of Programs
XII. Recommendation

[FR Doc. 2023-11875 Filed 6-2-23; 8:45 am]
BILLING CODE 3510-DS-P
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