Certain Paper Shopping Bags From Cambodia, the People's Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the Republic of Turkey, and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations, 41589-41595 [2023-13576]
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Federal Register / Vol. 88, No. 122 / Tuesday, June 27, 2023 / Notices
Regional Programs Coordination Unit at
(202) 701–1376.
Records generated from this meeting
may be inspected and reproduced at the
Regional Programs Unit Office, as they
become available, both before and after
the meeting. Records of the meeting will
be available at: https://
www.facadatabase.gov/FACA/FACA
PublicViewCommitteeDetails?id=a10t00
00001gzlGAAQ.
Please click on the ‘‘Meeting Details’’
and ‘‘Documents’’ links. Persons
interested in the work of this Committee
are also directed to the Commission’s
website, https://www.usccr.gov, or may
contact the Regional Programs Unit
office at the above email or street
address.
Agenda
I. Welcome and Roll Call
II. Approval of Minutes
III. Committee Discussion
IV. Public Comment
V. Adjournment
Dated: June 22, 2023.
David Mussatt,
Supervisory Chief, Regional Programs Unit.
[FR Doc. 2023–13664 Filed 6–26–23; 8:45 am]
BILLING CODE P
DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[B–13–2023]
ddrumheller on DSK120RN23PROD with NOTICES1
Foreign-Trade Zone (FTZ) 38;
Authorization of Production Activity;
BMW Manufacturing Company, LLC;
(Passenger Motor Vehicles);
Spartanburg, South Carolina
On February 22, 2023, BMW
Manufacturing Company, LLC
submitted a notification of proposed
production activity to the FTZ Board for
its facility within FTZ 38, in
Spartanburg, South Carolina.
The notification was processed in
accordance with the regulations of the
FTZ Board (15 CFR part 400), including
notice in the Federal Register inviting
public comment (88 FR 12911, March 1,
2023). On June 22, 2023, the applicant
was notified of the FTZ Board’s decision
that no further review of the activity is
warranted at this time. The production
activity described in the notification
was authorized, subject to the FTZ Act
and the FTZ Board’s regulations,
including section 400.14.
Dated: June 22, 2023.
Elizabeth Whiteman,
Executive Secretary.
[FR Doc. 2023–13602 Filed 6–26–23; 8:45 am]
BILLING CODE 3510–DS–P
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On June 2, 5, and 13, 2023, Commerce
requested supplemental information
International Trade Administration
pertaining to certain aspects of the
[A–555–002, A–570–152, A–301–805, A–533– Petitions in a separate supplemental
3
917, A–557–825, A–471–808, A–583–872, A– questionnaires. The petitioner filed
responses to the supplemental
489–849, A–552–836]
questionnaires on June 8, 9, 12, and 15,
Certain Paper Shopping Bags From
2023.4
In accordance with section 732(b) of
Cambodia, the People’s Republic of
the Tariff Act of 1930, as amended (the
China, Colombia, India, Malaysia,
Act), the petitioner alleges that imports
Portugal, Taiwan, the Republic of
of paper bags from Cambodia, China,
Turkey, and the Socialist Republic of
Colombia, India, Malaysia, Portugal,
Vietnam: Initiation of Less-Than-FairTaiwan, Turkey, and Vietnam are being,
Value Investigations
or are likely to be, sold in the United
AGENCY: Enforcement and Compliance,
States at less than fair value (LTFV)
International Trade Administration,
within the meaning of section 731 of the
Department of Commerce.
Act, and that imports of such products
DATES: Applicable June 20, 2023.
are materially injuring, or threatening
FOR FURTHER INFORMATION CONTACT:
material injury to, the paper bag
Charles Doss (Cambodia) at (202) 482–
industry in the United States. Consistent
4474; Yang Jin Chun (the People’s
with section 732(b)(1) of the Act, the
Republic of China (China)) at (202) 482– Petitions are accompanied by
5760; Laurel LaCivita (Colombia) at
information reasonably available to the
(202) 482–4243; David Crespo (India) at petitioner supporting its allegations.
Commerce finds that the petitioner
(202) 482–3693; Dan Alexander
filed the Petitions on behalf of the
(Malaysia) at (202) 482–4313; Whitley
domestic industry, because the
Herndon (Portugal) at (202) 482–6274;
petitioner is an interested party, as
Brittany Bauer (Taiwan) at (202) 482–
defined in section 771(9)(F) of the Act.5
3860; Magd Zalok (the Republic of
Turkey (Turkey)) at (202) 482–4162; and Commerce also finds that the petitioner
demonstrated sufficient industry
Myrna Lobo (the Socialist Republic of
support for the initiation of the
Vietnam (Vietnam)) at (202) 482–2371,
requested AD investigations.6
AD/CVD Operations, Enforcement and
Compliance, International Trade
Cambodia, China, Colombia, India, Malaysia,
Administration, U.S. Department of
Portugal, Taiwan, Turkey, and Vietnam,’’ dated
Commerce, 1401 Constitution Avenue
May 31, 2023.
NW, Washington, DC 20230.
3 See Commerce’s Letters, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
SUPPLEMENTARY INFORMATION:
DEPARTMENT OF COMMERCE
The Petitions
On May 31, 2023, the U.S.
Department of Commerce (Commerce)
received antidumping duty (AD)
petitions concerning imports of certain
paper shopping bags (paper bags) from
Cambodia, China, Colombia, India,
Malaysia, Portugal, Taiwan, Turkey, and
Vietnam filed in proper form on behalf
of the Coalition for Fair Trade in
Shopping Bags (the petitioner).1 These
AD petitions were accompanied by
countervailing duty (CVD) petitions
concerning imports of paper bags from
China and India.2
1 See Petitioner’s Letter, ‘‘Petitions for The
Imposition of Antidumping and Countervailing
Duties on Certain Paper Shopping Bags from
Cambodia, China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and Vietnam,’’ dated
May 31, 2023 (the Petitions) at 2–3. The members
of the Coalition for Fair Trade in Shopping Bags
include Novolex Holdings, LLC (Novolex) and the
United Steel, Paper and Forestry, Rubber,
Manufacturing, Energy, Allied Industrial and
Service Workers International Union (USW)
(collectively, the petitioner).
2 See Petitioner’s Letter, ‘‘Petitions for The
Imposition of Antidumping and Countervailing
Duties on Certain Paper Shopping Bags from
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Duties on Imports of Certain Paper Shopping Bags
from Cambodia, the People’s Republic of China,
Colombia, India, Malaysia, Portugal, Taiwan, the
Republic of Turkey, and the Socialist Republic of
Vietnam,’’ dated June 2, 2023 (General Issues
Questionnaire); and Country-Specific Supplemental
Questionnaires: Cambodia Supplemental, China
Supplemental, Colombia Supplemental, India
Supplemental, Malaysia Supplemental, Portugal
Supplemental, Taiwan Supplemental, Turkey
Supplemental, and Vietnam Supplemental, dated
June 5, 2023; see also Memorandum, ‘‘Phone Call
with Counsel to the Petitioner,’’ dated June 13,
2023.
4 See Petitioner’s Letters, ‘‘Certain Paper
Shopping Bags from Cambodia, China, Colombia,
India, Malaysia, Portugal, Taiwan, Turkey, and
Vietnam: Response of Petitioner to Volume I
Supplemental Questionnaire,’’ dated June 8, 2023
(First General Issues Supplement); Country-Specific
Supplemental Responses, dated June 9 and 12,
2023; ‘‘Certain Paper Shopping Bags from
Cambodia, China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and Vietnam: Response
of Petitioner to Commerce’s Second Supplemental
Questions Concerning Volumes I, VI, IX, and X,’’
dated June 15, 2023 (Second General Issues
Supplement); and Second Vietnam Supplement,
dated June 15, 2023.
5 See Petitions at Volume I (pages 2–3). The
members of the Coalition for Fair Trade in
Shopping Bags (Novolex and the USW) are
interested parties, as defined in sections 771(9)(C)
and (D) of the Act, respectively.
6 See, infra, section on ‘‘Determination of Industry
Support for the Petitions.’’
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Periods of Investigation
Because the Petitions were filed on
May 31, 2023, pursuant to 19 CFR
351.204(b)(1), the period of
investigation (POI) for the Cambodia,
Colombia, India, Malaysia, Portugal,
Taiwan and Turkey AD investigations is
April 1, 2022, through March 31, 2023.
Because China and Vietnam are nonmarket economy (NME) countries,
pursuant to 19 CFR 351.204(b)(1), the
POI for the China and Vietnam AD
investigations is October 1, 2022,
through March 31, 2023.
Scope of the Investigations
The product covered by these
investigations is paper bags from
Cambodia, China, Colombia, India,
Malaysia, Portugal, Taiwan, Turkey, and
Vietnam. For a full description of the
scope of these investigations, see the
appendix to this notice.
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Comments on the Scope of the
Investigations
On June 2 and 13, 2023, Commerce
requested information from the
petitioner regarding the proposed scope
to ensure that the scope language in the
Petitions is an accurate reflection of the
products for which the domestic
industry is seeking relief.7 On June 8
and 15, 2023, the petitioner provided
clarifications and revised the scope.8
The description of merchandise covered
by these investigations, as described in
the appendix to this notice, reflects
these clarifications.
As discussed in the Preamble to
Commerce’s regulations, we are setting
aside a period for parties to raise issues
regarding product coverage (i.e., scope).9
Commerce will consider all scope
comments received and, if necessary,
will consult with interested parties prior
to the issuance of the preliminary
determinations. If scope comments
include factual information,10 all such
factual information should be limited to
public information. To facilitate
preparation of its questionnaires,
Commerce requests that scope
comments be submitted by 5:00 p.m.
Eastern Time (ET) on July 10, 2023,
which is 20 calendar days from the
signature date of this notice. Any
rebuttal comments, which may include
factual information, must be filed by
7 See
General Issues Questionnaire; see also June
13, 2023, Memorandum.
8 See General Issues Supplement at 2–7 and
Exhibit I–S5; see also Second General Issues
Supplement at 1 and Exhibit I–2S1.
9 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997)
(Preamble); see also 19 CFR 351.312.
10 See 19 CFR 351.102(b)(21) (defining ‘‘factual
information’’).
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5:00 p.m. ET on July 20, 2023, which is
ten calendar days from the initial
comment deadline.
Commerce requests that any factual
information that parties consider
relevant to the scope of these
investigations be submitted during that
period. However, if a party subsequently
finds that additional factual information
pertaining to the scope of the
investigations may be relevant, the party
must contact Commerce and request
permission to submit the additional
information. All such submissions must
be filed on the records of each of the
concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be
filed electronically using Enforcement
and Compliance’s Antidumping Duty
and Countervailing Duty Centralized
Electronic Service System (ACCESS),
unless an exception applies.11 An
electronically filed document must be
received successfully in its entirety by
the time and date it is due.
Comments on Product Characteristics
Commerce is providing interested
parties an opportunity to comment on
the appropriate physical characteristics
of paper bags to be reported in response
to Commerce’s AD questionnaires. This
information will be used to identify the
key physical characteristics of the
subject merchandise in order to report
the relevant factors of production (FOP)
or costs of production (COP) accurately,
as well as to develop appropriate
product comparison criteria.
Interested parties may provide any
information or comments that they feel
are relevant to the development of an
accurate list of physical characteristics.
Specifically, they may provide
comments as to which characteristics
are appropriate to use as: (1) general
product characteristics; and (2) product
comparison criteria. We note that it is
not always appropriate to use all
product characteristics as product
comparison criteria. We base product
comparison criteria on meaningful
commercial differences among products.
In other words, although there may be
some physical product characteristics
utilized by manufacturers to describe
11 See Antidumping and Countervailing Duty
Proceedings: Electronic Filing Procedures;
Administrative Protective Order Procedures, 76 FR
39263 (July 6, 2011); see also Enforcement and
Compliance: Change of Electronic Filing System
Name, 79 FR 69046 (November 20, 2014) for details
of Commerce’s electronic filing requirements,
effective August 5, 2011. Information on help using
ACCESS can be found at https://access.trade.gov/
help.aspx and a handbook can be found at https://
access.trade.gov/help/Handbook_on_Electronic_
Filing_Procedures.pdf.
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paper bags, it may be that only a select
few product characteristics take into
account commercially meaningful
physical characteristics. In addition,
interested parties may comment on the
order in which the physical
characteristics should be used in
matching products. Generally,
Commerce attempts to list the most
important physical characteristics first
and the least important characteristics
last.
In order to consider the suggestions of
interested parties in developing and
issuing the AD questionnaires, all
product characteristics comments must
be filed by 5:00 p.m. ET on July 10,
2023, which is 20 calendar days from
the signature date of this notice.12 Any
rebuttal comments must be filed by 5:00
p.m. ET on July 20, 2023, which is ten
calendar days from the initial comment
deadline. All comments and
submissions to Commerce must be filed
electronically using ACCESS, as
explained above, on the record of each
of the AD investigations.
Determination of Industry Support for
the Petitions
Section 732(b)(1) of the Act requires
that a petition be filed on behalf of the
domestic industry. Section 732(c)(4)(A)
of the Act provides that a petition meets
this requirement if the domestic
producers or workers who support the
petition account for: (i) at least 25
percent of the total production of the
domestic like product; and (ii) more
than 50 percent of the production of the
domestic like product produced by that
portion of the industry expressing
support for, or opposition to, the
petition. Moreover, section 732(c)(4)(D)
of the Act provides that, if the petition
does not establish support of domestic
producers or workers accounting for
more than 50 percent of the total
production of the domestic like product,
Commerce shall: (i) poll the industry or
rely on other information in order to
determine if there is support for the
petition, as required by subparagraph
(A); or (ii) determine industry support
using a statistically valid sampling
method to poll the ‘‘industry.’’
Section 771(4)(A) of the Act defines
the ‘‘industry’’ as the producers as a
whole of a domestic like product. Thus,
to determine whether a petition has the
requisite industry support, the statute
directs Commerce to look to producers
and workers who produce the domestic
like product. The International Trade
Commission (ITC), which is responsible
for determining whether ‘‘the domestic
industry’’ has been injured, must also
12 See
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19 CFR 351.303(b)(1).
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determine what constitutes a domestic
like product in order to define the
industry. While both Commerce and the
ITC must apply the same statutory
definition regarding the domestic like
product,13 they do so for different
purposes and pursuant to a separate and
distinct authority. In addition,
Commerce’s determination is subject to
limitations of time and information.
Although this may result in different
definitions of the like product, such
differences do not render the decision of
either agency contrary to law.14
Section 771(10) of the Act defines the
domestic like product as ‘‘a product
which is like, or in the absence of like,
most similar in characteristics and uses
with, the article subject to an
investigation under this title.’’ Thus, the
reference point from which the
domestic like product analysis begins is
‘‘the article subject to an investigation’’
(i.e., the class or kind of merchandise to
be investigated, which normally will be
the scope as defined in the petition).
With regard to the domestic like
product, the petitioner does not offer a
definition of the domestic like product
distinct from the scope of the
investigations.15 Based on our analysis
of the information submitted on the
record, we have determined that paper
bags, as defined in the scope, constitute
a single domestic like product, and we
have analyzed industry support in terms
of that domestic like product.16
In determining whether the petitioner
has standing under section 732(c)(4)(A)
of the Act, we considered the industry
support data contained in the Petitions
with reference to the domestic like
product as defined in the ‘‘Scope of the
Investigations,’’ in the appendix to this
notice. To establish industry support,
the petitioner provided the 2022
production of paper bags for the U.S.
13 See
section 771(10) of the Act.
USEC, Inc. v. United States, 132 F. Supp.
2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd.
v. United States, 688 F. Supp. 639, 644 (CIT 1988),
aff’d 865 F.2d 240 (Fed. Cir. 1989)).
15 See Petitions at Volume I (pages 10–15 and
Exhibits I–10 through I–12); see also First General
Issues Supplement at 10.
16 For a discussion of the domestic like product
analysis as applied to these cases and information
regarding industry support, see Antidumping Duty
Investigation Initiation Checklists: Certain Paper
Shopping Bags from Cambodia, the People’s
Republic of China, Colombia, India, Malaysia,
Portugal, Taiwan, the Republic of Turkey, and the
Socialist Republic of Vietnam, dated concurrently
with this notice (Country-Specific AD Initiation
Checklists) at Attachment II, Analysis of Industry
Support for the Antidumping and Countervailing
Duty Petitions Covering Certain Paper Shopping
Bags from Cambodia, the People’s Republic of
China, Colombia, India, Malaysia, Portugal, Taiwan,
the Republic of Turkey, and the Socialist Republic
of Vietnam (Attachment II). These Initiation
Checklists are on file electronically via ACCESS.
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14 See
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producers that support the Petitions and
compared this to the estimated total
2022 production of paper bags by the
U.S. industry.17 We relied on data
provided by the petitioner for purposes
of measuring industry support.18
Our review of the data provided in the
Petitions, the First General Issues
Supplement, the Industry Support
Supplement, the Second General Issues
Supplement, and other information
readily available to Commerce indicates
that the petitioner has established
industry support for the Petitions.19
First, the Petitions established support
from domestic producers (or workers)
accounting for more than 50 percent of
the total production of the domestic like
product and, as such, Commerce is not
required to take further action in order
to evaluate industry support (e.g.,
polling).20 Second, the domestic
producers (or workers) have met the
statutory criteria for industry support
under section 732(c)(4)(A)(i) of the Act
because the domestic producers (or
workers) who support the Petitions
account for at least 25 percent of the
total production of the domestic like
product.21 Finally, the domestic
producers (or workers) have met the
statutory criteria for industry support
under section 732(c)(4)(A)(ii) of the Act
because the domestic producers (or
workers) who support the Petitions
account for more than 50 percent of the
production of the domestic like product
produced by that portion of the industry
expressing support for, or opposition to,
the Petitions.22 Accordingly, Commerce
17 See Petitions at Volume I (pages 4–5 and
Exhibits I–2 through I–4); see also First General
Issues Supplement at 7–9 and Exhibits I–S6 through
I–S8; Petitioner’s Letter, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Imports of Certain Paper Shopping Bags
from Cambodia, China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and Vietnam—Industry
Support Calculation Revision,’’ dated June 9, 2023
(Industry Support Supplement) at Attachments A
and B; and Second General Issues Supplement at
2–3 and Exhibits I–2S2 through I–2S4.
18 See Petitions at Volume I (pages 2–5 and
Exhibits I–2 through I–4); see also First General
Issues Supplement at 7–9 and Exhibits I–S6 through
I–S8; Industry Support Supplement at 1–2 and
Attachments A and B; and Second General Issues
Supplement at 2–3 and Exhibits I–2S2 through I–
2S4. For further discussion, see Attachment II of the
Country-Specific AD Initiation Checklists.
19 See Petitions at Volume I (pages 2–5 and
Exhibits I–2 through I–4); see also First General
Issues Supplement at 7–9 and Exhibits I–S6 through
I–S8; Industry Support Supplement at 1–2 and
Attachments A and B; and Second General Issues
Supplement at 2–3 and Exhibits I–2S2 through I–
2S4. For further discussion, see Attachment II of the
Country-Specific AD Initiation Checklists.
20 See Attachment II of the Country-Specific AD
Initiation Checklists; see also section 732(c)(4)(D) of
the Act.
21 See Attachment II of the Country-Specific AD
Initiation Checklists.
22 Id.
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determines that the Petitions were filed
on behalf of the domestic industry
within the meaning of section 732(b)(1)
of the Act.23
Allegations and Evidence of Material
Injury and Causation
The petitioner alleges that the U.S.
industry producing the domestic like
product is being materially injured, or is
threatened with material injury, by
reason of the imports of the subject
merchandise sold at LTFV. In addition,
with regard to China, India, Taiwan, and
Vietnam, the petitioner alleges that
subject imports exceed the negligibility
threshold provided for under section
771(24)(A) of the Act.24 With regard to
Cambodia, Colombia, Malaysia,
Portugal, and Turkey, while the
allegedly dumped imports from each of
these countries do not individually
exceed the statutory requirements for
negligibility, the petitioner provided
data demonstrating that the aggregate
import share from these five countries is
10.19 percent, which exceeds the seven
percent threshold established by the
exception in section 771(24)(A)(ii) of the
Act.25
The petitioner contends that the
industry’s injured condition is
illustrated by a significant volume of
subject imports; reduced market share;
underselling and price depression and/
or suppression; lost sales and revenues;
decline in the domestic industry’s
production, capacity utilization, and
U.S. commercial shipments; and
adverse impact on the domestic
industry’s profitability and financial
performance.26 We assessed the
allegations and supporting evidence
regarding material injury, threat of
material injury, causation, as well as
negligibility, and we have determined
that these allegations are properly
supported by adequate evidence, and
meet the statutory requirements for
initiation.27
Allegations of Sales at LTFV
The following is a description of the
allegations of sales at LTFV upon which
Commerce based its decision to initiate
23 Id.
24 See Petitions at Volume I (pages 18–19 and
Exhibit I–15).
25 Id. at Volume I (page 19 and Exhibit I–15).
26 See Petitions at Volume I (pages 16–31 and
Exhibits I–13 through I–18); see also First General
Issues Supplement at 10–12 and Exhibit I–S9.
27 See Country-Specific AD Initiation Checklists
at Attachment III, ‘‘Analysis of Allegations and
Evidence of Material Injury and Causation for the
Antidumping and Countervailing Duty Petitions
Covering Certain Paper Shopping Bags from
Cambodia, the People’s Republic of China,
Colombia, India, Malaysia, Portugal, Taiwan, the
Republic of Turkey, and the Socialist Republic of
Vietnam.’’
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AD investigations of imports of paper
bags from Cambodia, China, Colombia,
India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam. The sources of
data for the deductions and adjustments
relating to U.S. price and normal value
(NV) are discussed in greater detail in
the Country-Specific AD Initiation
Checklists.
U.S. Price
For China, Colombia, India, Malaysia,
Portugal, Taiwan, and Turkey, the
petitioner based export price (EP) on
pricing information for sales of, or offers
for sale of, paper bags produced in and
exported from each country. The
petitioner made certain adjustments to
U.S. price to calculate a net ex-factory
U.S. price, where applicable.28
Normal Value 29
For Cambodia, Colombia, India,
Malaysia, Portugal, Taiwan, and Turkey,
the petitioner stated that it was unable
to obtain home-market or third-country
prices for paper bags to use as a basis
for NV.30 Therefore, for these countries,
the petitioner calculated NV based on
CV.31 For further discussion of CV, see
the section ‘‘Normal Value Based on
Constructed Value.’’
Commerce considers China and
Vietnam to be NME countries.32 In
accordance with section 771(18)(C)(i) of
the Act, any determination that a foreign
country is an NME country shall remain
in effect until revoked by Commerce.
Therefore, we continue to treat China
and Vietnam as NME countries for
purposes of the initiation of these
investigations. Accordingly, we base NV
on factors of production (FOPs) valued
in a surrogate market economy country
28 See
Country-Specific AD Initiation Checklists.
accordance with section 773(b)(2) of the Act,
for the Cambodia, Colombia, India, Malaysia,
Portugal, Taiwan, and Turkey investigations,
Commerce will request information necessary to
calculate the constructed value (CV) and COP to
determine whether there are reasonable grounds to
believe or suspect that sales of the foreign like
product have been made at prices that represent
less than the COP of the product.
30 See Country-Specific AD Initiation Checklists.
31 Id.
32 See, e.g., Certain Freight Rail Couplers and
Parts Thereof from the People’s Republic of China:
Preliminary Affirmative Determination of Sales at
Less Than Fair Value and Preliminary Affirmative
Determination of Critical Circumstances, 88 FR
15372 (March 13, 2023), and accompanying
Preliminary Decision Memorandum at 5,
unchanged in Certain Freight Rail Couplers and
Parts Thereof from the People’s Republic of China:
Final Affirmative Determination of Sales at LessThan-Fair Value and Final Affirmative
Determination of Critical Circumstances, 88 FR
34485 (May 30, 2023); see also Certain Frozen Fish
Fillets from the Socialist Republic of Vietnam: Final
Results, and Final Results of No Shipments of the
Antidumping Duty Administrative Review; 2016–
2017, 84 FR 18007 (April 29, 2019).
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in accordance with section 773(c) of the
Act.
The petitioner claims that Malaysia is
an appropriate surrogate country for
China because it is a market economy
that is at a level of economic
development comparable to that of
China and is a significant producer of
comparable merchandise.33 The
petitioner provided publicly available
information from Malaysia to value all
FOPs (except labor and overhead).34 To
value labor and overhead, the petitioner
provided labor statistics and financial
statements from another surrogate
country, Turkey.35 Based on the
information provided by the petitioner,
we believe it is appropriate to use
Malaysia as a surrogate country to value
all FOPs (except labor and overhead)
and Turkey to value labor and overhead
for initiation purposes.
The petitioner claims that Indonesia
is an appropriate surrogate country for
Vietnam because it is a market economy
that is at a level of economic
development comparable to that of
Vietnam and is a significant producer of
comparable merchandise.36 The
petitioner provided publicly available
information from Indonesia to value all
FOPs.37 Based on the information
provided by the petitioner, we believe it
is appropriate to use Indonesia as a
surrogate country for initiation
purposes.
Interested parties will have the
opportunity to submit comments
regarding surrogate country selection
and, pursuant to 19 CFR
351.301(c)(3)(i), will be provided an
opportunity to submit publicly available
information to value FOPs within 30
days before the scheduled date of the
preliminary determinations.
Factors of Production
Because information regarding the
volume of inputs consumed by Chinese
and Vietnamese producers/exporters
was not reasonably available, the
petitioner used product-specific
consumption rates from a U.S. producer
of paper bags as a surrogate to value
Chinese and Vietnamese manufacturers’
FOPs.38 Additionally, the petitioner
calculated factory overhead; selling,
general and administrative (SG&A)
expenses; and profit based on the
experience of a Malaysian and
Indonesian producer of identical
33 See
China AD Initiation Checklist.
34 Id.
35 See
36 See
China AD Initiation Checklist.
Vietnam AD Initiation Checklist.
37 Id.
38 See China AD Initiation Checklist and Vietnam
AD Initiation Checklist.
PO 00000
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Fmt 4703
Sfmt 4703
merchandise for China and Vietnam,
respectively.39
Normal Value Based on Constructed
Value
As noted above for Cambodia,
Colombia, India, Malaysia, Portugal,
Taiwan, and Turkey, the petitioner
stated it was unable to obtain homemarket or third-country prices for paper
bags to use as a basis for NV. Therefore,
for these countries, the petitioner
calculated NV based on CV.40
Pursuant to section 773(e) of the Act,
the petitioner calculated CV as the sum
of the cost of manufacturing, SG&A
expenses, financial expenses, and
profit.41 For each of these countries, in
calculating the cost of manufacturing,
the petitioner relied on the production
experience and input consumption rates
of a U.S. producer of paper bags, valued
using publicly available information
applicable to the respective countries.42
In calculating SG&A expenses, financial
expenses, and profit ratios (where
applicable), the petitioner relied on the
most recently available fiscal year
financial statements of a producer of
identical or comparable merchandise
domiciled in the subject country or a
third country, where applicable.43
Fair Value Comparisons
Based on the data provided by the
petitioner, there is reason to believe that
imports of paper bags from Cambodia,
China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and Vietnam,
are being, or are likely to be, sold in the
United States at LTFV. Based on
comparisons of EP to NV in accordance
with sections 772 and 773 of the Act,
the estimated dumping margins for
paper bags for each of the countries
covered by this initiation are as follows:
(1) Cambodia—18.21 to 248.81 percent;
China—93.10 to 237.02 percent;
Colombia—56.14 percent; India—26.45
to 96.15 percent; Malaysia—148.19
percent; Portugal—31.12 to 188.78
percent; Taiwan—60.26 to 65.81
percent; Turkey—13.65 to 47.56
percent; and Vietnam—27.64 to 92.34
percent.44
Initiation of LTFV Investigations
Based upon the examination of the
Petitions and supplemental responses,
39 See China AD Initiation Checklist and Vietnam
AD Initiation Checklist. As noted above, the
petitioner calculated labor and overhead using
information specific to Turkey. See China AD
Initiation Checklist.
40 See Country-Specific AD Initiation Checklists.
41 Id.
42 Id.
43 Id.
44 Id.
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Federal Register / Vol. 88, No. 122 / Tuesday, June 27, 2023 / Notices
we find that they meet the requirements
of section 732 of the Act. Therefore, we
are initiating AD investigations to
determine whether imports of paper
bags from Cambodia, China, Colombia,
India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam are being, or are
likely to be, sold in the United States at
LTFV. In accordance with section
733(b)(1)(A) of the Act and 19 CFR
351.205(b)(1), unless postponed, we will
make our preliminary determinations no
later than 140 days after the date of
these initiations.
Respondent Selection
ddrumheller on DSK120RN23PROD with NOTICES1
Cambodia, Colombia, India, Malaysia,
Portugal, Taiwan, and Turkey
In the Petitions, the petitioner
identified three companies in
Cambodia, three companies in
Colombia, 18 companies in India, three
companies in Malaysia, one company in
Portugal, three companies in Taiwan,
and 21 companies in Turkey as
producers/exporters of paper bags.45 For
Cambodia, Colombia, India, Malaysia,
Taiwan and Turkey, in the event
Commerce determines that the number
of companies is large, and it cannot
individually examine each company
based upon Commerce’s resources,
where appropriate, Commerce intends
to select mandatory respondents based
on quantity and value (Q&V)
questionnaires issued to potential
respondents. Following standard
practice in AD investigations involving
market economy countries, Commerce
would normally select respondents
based on U.S. Customs and Border
Protection (CBP) entry data for imports
under the appropriate Harmonized
Tariff Schedule of the United States
(HTSUS) subheadings listed in the
scope of the investigations. However, for
these investigations, the main HTSUS
subheadings under which the subject
merchandise would enter (4819.30.0040
and 4819.40.0040) are basket categories
under which non-subject merchandise
may also enter. Therefore, we cannot
rely on CBP entry data in selecting
respondents. We, instead, intend to
issue Q&V questionnaires to each
potential respondent for which the
petitioner has provided a complete
address for Cambodia, Colombia, India,
Malaysia, Taiwan and Turkey. For
Portugal, the petitioner identified only
one company as an exporter or producer
of paper bags. Therefore, unless we
receive voluntary responses to the Q&V
questionnaire from companies not
identified, as described below, we
45 See First General Issues Supplement at 1–2 and
Exhibit I–S2.
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intend to examine this one exporter or
producer of paper bags from Portugal.
Exporters/producers of paper bags
from Cambodia, Colombia, India,
Malaysia, Portugal, Taiwan, and Turkey
that do not receive Q&V questionnaires
by mail may still submit a response to
the Q&V questionnaire and can obtain a
copy of the Q&V questionnaire from
Enforcement and Compliance’s website,
at https://www.trade.gov/ec-adcvd-caseannouncements. Responses to the Q&V
questionnaire must be submitted by the
relevant exporters/producers no later
than 5:00 p.m. ET on July 5, 2023,
which is the next business day after two
weeks from the signature date of this
notice.46 All Q&V responses must be
filed electronically via ACCESS. An
electronically filed document must be
received successfully, in its entirety, by
ACCESS no later than 5:00 p.m. ET on
the deadline noted above.
Interested parties must submit
applications for disclosure under
administrative protective order (APO) in
accordance with 19 CFR 351.305(b).
Instructions for filing such applications
may be found on Commerce’s website at
https://www.trade.gov/administrativeprotective-orders. Commerce intends to
make its decisions regarding respondent
selection for Cambodia, Colombia,
India, Malaysia, Portugal, Taiwan, and
Turkey within 20 days of publication of
this notice.
China and Vietnam
In the Petitions, the petitioner named
26 companies in China and 14
companies in Vietnam as producers
and/or exporters of paper bags.47 In
accordance with our standard practice
for respondent selection in AD
investigations involving NME countries,
Commerce selects respondents based on
Q&V questionnaires in cases where it
has determined that the number of
companies is large and it cannot
individually examine each company
based upon its resources. Therefore,
considering the number of producers
and/or exporters identified in the
Petition, Commerce will solicit Q&V
information that can serve as a basis for
selecting exporters for individual
examination in the event that Commerce
decides to limit the number of
respondents individually examined
pursuant to section 777A(c)(2) of the
46 See 19 CFR 351.303(b)(1) (‘‘For both
electronically filed and manually filed documents,
if the applicable due date falls on a non-business
day, the Secretary will accept documents that are
filed on the next business day.’’). Two weeks from
the initiation of these investigation is July 4, 2023,
which is a Federal holiday.
47 See First General Issues Supplement at 1–2 and
Exhibit I–S2.
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41593
Act. Because there are 26 Chinese and
14 Vietnamese producers and/or
exporters identified in the Petitions,
Commerce has determined that it will
issue Q&V questionnaires to each
potential respondent for which the
petitioner has provided a complete
address.
In addition, Commerce will post the
Q&V questionnaires along with filing
instructions on Commerce’s website at
https://www.trade.gov/ec-adcvd-caseannouncements. Producers/exporters of
paper bags from China and Vietnam that
do not receive Q&V questionnaires may
still submit a response to the Q&V
questionnaire and can obtain a copy of
the Q&V questionnaire from
Commerce’s website. In accordance
with the standard practice for
respondent selection in AD cases
involving NME countries, in the event
Commerce decides to limit the number
of respondents individually
investigated, Commerce intends to base
respondent selection on the responses to
the Q&V questionnaire that it receives.
Responses to the Q&V questionnaire
must be submitted by the relevant
Chinese and Vietnamese producers/
exporters no later than 5:00 p.m. ET on
July 5, 2023, which is the next business
day after two weeks from the signature
date of this notice.48 All Q&V
questionnaire responses must be filed
electronically via ACCESS. An
electronically filed document must be
received successfully, in its entirety, by
ACCESS no later than 5:00 p.m. ET on
the deadline noted above.
Interested parties must submit
applications for disclosure under APO
in accordance with 19 CFR 351.305(b).
As stated above, instructions for filing
such applications may be found on
Commerce’s website at https://
www.trade.gov/administrativeprotective-orders. Commerce intends to
make its decisions regarding respondent
selection for China and Vietnam within
20 days of publication of this notice.
Separate Rates
In order to obtain separate rate status
in an NME investigation, exporters and
producers must submit a separate rate
application. The specific requirements
for submitting a separate rate
application in an NME investigation are
outlined in detail in the application
itself, which is available on Commerce’s
website at https://access.trade.gov/
48 See 19 CFR 351.303(b)(1) (‘‘For both
electronically filed and manually filed documents,
if the applicable due date falls on a non-business
day, the Secretary will accept documents that are
filed on the next business day.’’). Two weeks from
the initiation of these investigation is July 4, 2023,
which is a Federal holiday.
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41594
Federal Register / Vol. 88, No. 122 / Tuesday, June 27, 2023 / Notices
Resources/nme/nme-sep-rate.html. The
separate rate application will be due 30
days after publication of this initiation
notice. Exporters and producers who
submit a separate rate application and
have been selected as mandatory
respondents will be eligible for
consideration for separate rate status
only if they respond to all parts of
Commerce’s AD questionnaire as
mandatory respondents. Commerce
requires that companies from China and
Vietnam submit a response both to the
Q&V questionnaire and to the separate
rate application by the respective
deadlines in order to receive
consideration for separate rate status.
Companies not filing a timely Q&V
questionnaire response will not receive
separate rate consideration.
Use of Combination Rates
Commerce will calculate combination
rates for certain respondents that are
eligible for a separate rate in an NME
investigation. The Separate Rates and
Combination Rates Bulletin states:
ddrumheller on DSK120RN23PROD with NOTICES1
{w}while continuing the practice of
assigning separate rates only to exporters, all
separate rates that {Commerce} will now
assign in its NME Investigation will be
specific to those producers that supplied the
exporter during the period of investigation.
Note, however, that one rate is calculated for
the exporter and all of the producers which
supplied subject merchandise to it during the
period of investigation. This practice applies
both to mandatory respondents receiving an
individually calculated separate rate as well
as the pool of non-investigated firms
receiving the {weighted average} of the
individually calculated rates. This practice is
referred to as the application of ‘‘combination
rates’’ because such rates apply to specific
combinations of exporters and one or more
producers. The cash-deposit rate assigned to
an exporter will apply only to merchandise
both exported by the firm in question and
produced by a firm that supplied the exporter
during the period of investigation.49
Distribution of Copies of the AD
Petitions
In accordance with section
732(b)(3)(A) of the Act and 19 CFR
351.202(f), copies of the public version
of the AD Petitions have been provided
to the governments of Cambodia, China,
Colombia, India, Malaysia, Portugal,
Taiwan, Turkey, and Vietnam via
ACCESS. To the extent practicable, we
will attempt to provide a copy of the
public version of the AD Petitions to
each exporter named in the AD
49 See Enforcement and Compliance’s Policy
Bulletin 05.1, regarding, ‘‘Separate-Rates Practice
and Application of Combination Rates in
Antidumping Investigation involving NME
Countries,’’ (April 5, 2005) at 6 (emphasis added),
available on Commerce’s website at https://
access.trade.gov/Resources/policy/bull05-1.pdf.
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18:54 Jun 26, 2023
Jkt 259001
Petitions, as provided under 19 CFR
351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our
initiation, as required by section 732(d)
of the Act.
Preliminary Determinations by the ITC
The ITC will preliminarily determine,
within 45 days after the date on which
the AD Petitions were filed, whether
there is a reasonable indication that
imports of paper bags from Cambodia,
China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and/or
Vietnam are materially injuring, or
threatening material injury to, a U.S.
industry.50 A negative ITC
determination for any country will
result in the investigation being
terminated with respect to that
country.51 Otherwise, these AD
investigations will proceed according to
statutory and regulatory time limits.
Submission of Factual Information
Factual information is defined in 19
CFR 351.102(b)(21) as: (i) evidence
submitted in response to questionnaires;
(ii) evidence submitted in support of
allegations; (iii) publicly available
information to value factors under 19
CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR
351.511(a)(2); (iv) evidence placed on
the record by Commerce; and (v)
evidence other than factual information
described in (i)–(iv). Section 351.301(b)
of Commerce’s regulations requires any
party, when submitting factual
information, to specify under which
subsection of 19 CFR 351.102(b)(21) the
information is being submitted 52 and, if
the information is submitted to rebut,
clarify, or correct factual information
already on the record, to provide an
explanation identifying the information
already on the record that the factual
information seeks to rebut, clarify, or
correct.53 Time limits for the
submission of factual information are
addressed in 19 CFR 351.301, which
provides specific time limits based on
the type of factual information being
submitted. Interested parties should
review the regulations prior to
submitting factual information in these
investigations.
Particular Market Situation Allegation
Section 773(e) of the Act addresses
the concept of particular market
situation (PMS) for purposes of CV,
50 See
section 733(a) of the Act.
51 Id.
52 See
53 See
PO 00000
19 CFR 351.301(b).
19 CFR 351.301(b)(2).
Frm 00009
Fmt 4703
Sfmt 4703
stating that ‘‘if a particular market
situation exists such that the cost of
materials and fabrication or other
processing of any kind does not
accurately reflect the cost of production
in the ordinary course of trade, the
administering authority may use
another calculation methodology under
this subtitle or any other calculation
methodology.’’ When an interested
party submits a PMS allegation pursuant
to section 773(e) of the Act, Commerce
will respond to such a submission
consistent with 19 CFR 351.301(c)(2)(v).
If Commerce finds that a PMS exists
under section 773(e) of the Act, then it
will modify its dumping calculations
appropriately.
Neither section 773(e) of the Act, nor
19 CFR 351.301(c)(2)(v), set a deadline
for the submission of PMS allegations
and supporting factual information.
However, in order to administer section
773(e) of the Act, Commerce must
receive PMS allegations and supporting
factual information with enough time to
consider the submission. Thus, should
an interested party wish to submit a
PMS allegation and supporting new
factual information pursuant to section
773(e) of the Act, it must do so no later
than 20 days after submission of a
respondent’s initial section D
questionnaire response.
Extensions of Time Limits
Parties may request an extension of
time limits before the expiration of a
time limit established under 19 CFR
351.301, or as otherwise specified by
Commerce. In general, an extension
request will be considered untimely if it
is filed after the expiration of the time
limit established under 19 CFR
351.301.54 For submissions that are due
from multiple parties simultaneously,
an extension request will be considered
untimely if it is filed after 10:00 a.m. ET
on the due date. Under certain
circumstances, we may elect to specify
a different time limit by which
extension requests will be considered
untimely for submissions which are due
from multiple parties simultaneously. In
such a case, we will inform parties in a
letter or memorandum of the deadline
(including a specified time) by which
extension requests must be filed to be
considered timely. An extension request
must be made in a separate, stand-alone
submission; under limited
circumstances we will grant untimely
filed requests for the extension of time
limits, where we determine, based on 19
54 See 19 CFR 351.301; see also Extension of Time
Limits; Final Rule, 78 FR 57790 (September 20,
2013) (Time Limits Final Rule), available at https://
www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/201322853.htm.
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Federal Register / Vol. 88, No. 122 / Tuesday, June 27, 2023 / Notices
CFR 351.302, that extraordinary
circumstances exist. Parties should
review Commerce’s regulations
concerning the extension of time limits
and the Time Limits Final Rule prior to
submitting factual information in these
investigations.55
Certification Requirements
Any party submitting factual
information in an AD or CVD
proceeding must certify to the accuracy
and completeness of that information.56
Parties must use the certification
formats provided in 19 CFR
351.303(g).57 Commerce intends to
reject factual submissions if the
submitting party does not comply with
the applicable certification
requirements. Note that Commerce has
temporarily modified certain of its
requirements for serving documents
containing business proprietary
information, until further notice.58
Notification to Interested Parties
Interested parties must submit
applications for disclosure under APO
in accordance with 19 CFR 351.305.
Parties wishing to participate in these
investigations should ensure that they
meet the requirements of 19 CFR
351.103(d) (e.g., by filing the required
letter of appearance). Note that
Commerce has temporarily modified
certain of its requirements for serving
documents containing business
proprietary information, until further
notice.59
This notice is issued and published
pursuant to sections 732(c)(2) and 777(i)
of the Act, and 19 CFR 351.203(c).
Dated: June 20, 2023.
James Maeder,
Deputy Assistant Secretary for Antidumping
and Countervailing Duty Operations.
Appendix
Scope of the Investigations
The products within the scope of these
investigations are paper shopping bags with
handles of any type, regardless of whether
there is any printing, regardless of how the
top edges are finished (e.g., folded, serrated,
or otherwise finished), regardless of color,
ddrumheller on DSK120RN23PROD with NOTICES1
55 See
19 CFR 351.302; see also, e.g., Time Limits
Final Rule.
56 See section 782(b) of the Act.
57 See Certification of Factual Information to
Import Administration During Antidumping and
Countervailing Duty Proceedings, 78 FR 42678 (July
17, 2013) (Final Rule). Additional information
regarding the Final Rule is available at https://
access.trade.gov/Resources/filing/.
58 See Temporary Rule Modifying AD/CVD
Service Requirements Due to COVID–19; Extension
of Effective Period, 85 FR 41363 (July 10, 2020).
59 See Temporary Rule Modifying AD/CVD
Service Requirements Due to COVID–19; Extension
of Effective Period, 85 FR 41363 (July 10, 2020).
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18:54 Jun 26, 2023
Jkt 259001
and regardless of whether the top edges
contain adhesive or other material for sealing
closed. Subject paper shopping bags have a
width of at least 4.5 inches and depth of at
least 2.5 inches.
Paper shopping bags typically are made of
kraft paper but can be made from any type
of cellulose fiber, paperboard, or pressboard
with a basis weight less than 300 grams per
square meter (GSM).
A non-exhaustive illustrative list of the
types of handles on shopping bags covered
by the scope include handles made from any
materials such as twisted paper, flat paper,
yarn, ribbon, rope, string, or plastic, as well
as die-cut handles (whether the punchout is
fully removed or partially attached as a flap).
Excluded from the scope are:
• Paper sacks or bags that are of a 1⁄6 or 1⁄7
barrel size (i.e., 11.5–12.5 inches in width,
6.5–7.5 inches in depth, and 13.5–17.5
inches in height) with flat paper handles or
die-cut handles;
• Paper sacks or bags with die-cut handles,
a grams per square meter paper weight of less
than 86 GSM, and a height of less than 11.5
inches; and
• Shopping bags (i) with non-paper
handles made wholly of woven ribbon or
other similar woven fabric and (ii) that are
finished with folded tops or for which tied
knots or t-bar aglets (made of wood, metal,
or plastic) are used to secure the handles to
the bags.
The above-referenced dimensions are
provided for paper bags in the opened
position. The height of the bag is the distance
from the bottom fold edge to the top edge
(i.e., excluding the height of handles that
extend above the top edge). The depth of the
bag is the distance from the front of the bag
edge to the back of the bag edge (typically
measured at the bottom of the bag). The
width of the bag is measured from the left to
the right edges of the front and back panels
(upon which the handles typically are
located).
This merchandise is currently classifiable
under Harmonized Tariff Schedule of the
United States (HTSUS) subheadings
4819.30.0040 and 4819.40.0040. The HTSUS
subheadings are provided for convenience
and customs purposes only; the written
description of the scope is dispositive.
[FR Doc. 2023–13576 Filed 6–26–23; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–053, C–570–054]
Certain Aluminum Foil From the
People’s Republic of China: Extension
of Deadline To Certify Certain Entries
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: On March 22, 2023, the U.S.
Department of Commerce (Commerce)
published in the Federal Register a
notice of preliminary affirmative
AGENCY:
PO 00000
Frm 00010
Fmt 4703
Sfmt 4703
41595
circumvention determinations with
respect to the Republic of Korea (Korea)
and Kingdom of Thailand (Thailand),
concerning the antidumping duty (AD)
and countervailing duty (CVD) orders
on certain aluminum foil from the
People’s Republic of China (China)
(Preliminary Determinations). On March
28, 2023, Commerce published a
correction to the Preliminary
Determinations. This notice informs
parties that Commerce has extended the
deadline for certain exporters and
importers to certify entries of certain
aluminum foil exported from Korea and
Thailand that were entered, or
withdrawn from warehouse, for
consumption on or after July 18, 2022,
through March 22, 2023.
DATES: Applicable May 3, 2023.
FOR FURTHER INFORMATION CONTACT:
Michael J. Heaney or Mark Flessner,
Office VI, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–4475
and (202) 482–6312, respectively.
SUPPLEMENTARY INFORMATION:
Background
In the Preliminary Determinations,
Commerce established a certification
program and a deadline for certain
exporters and importers to certify that
entries of certain aluminum foil
exported from Korea or Thailand that
were entered, or withdrawn from
warehouse, for consumption on or after
July 18, 2022 (the date of initiation of
these circumvention inquiries), through
the date of publication of the
Preliminary Determinations (i.e., March
22, 2023), are not subject to the
suspension of liquidation or the
collection of cash deposits based on the
inputs used to manufacture such
merchandise.1 The original deadline for
exporters and importers to complete
these certifications was 45 days after the
publication of the Preliminary
Determinations, i.e., May 6, 2023. On
March 28, 2023, Commerce published
the Preliminary Correction in the
Federal Register.2 On May 3, 2023,
1 See Antidumping and Countervailing Duty
Orders on Certain Aluminum Foil from the People’s
Republic of China: Preliminary Affirmative
Determinations of Circumvention with Respect to
the Republic of Korea and the Kingdom of
Thailand, 88 FR 17177 (March 22, 2023)
(Preliminary Determinations).
2 See Antidumping and Countervailing Duty
Orders on Certain Aluminum Foil from the People’s
Republic of China: Preliminary Affirmative
Determinations of Circumvention With Respect to
the Republic of Korea and the Kingdom of
Thailand; Correction, 88 FR 18297 (March 28, 2023)
(Preliminary Correction). The Preliminary
E:\FR\FM\27JNN1.SGM
Continued
27JNN1
]]>Agencies
[Federal Register Volume 88, Number 122 (Tuesday, June 27, 2023)]
[Notices]
[Pages 41589-41595]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-13576]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-555-002, A-570-152, A-301-805, A-533-917, A-557-825, A-471-808, A-
583-872, A-489-849, A-552-836]
Certain Paper Shopping Bags From Cambodia, the People's Republic
of China, Colombia, India, Malaysia, Portugal, Taiwan, the Republic of
Turkey, and the Socialist Republic of Vietnam: Initiation of Less-Than-
Fair-Value Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable June 20, 2023.
FOR FURTHER INFORMATION CONTACT: Charles Doss (Cambodia) at (202) 482-
4474; Yang Jin Chun (the People's Republic of China (China)) at (202)
482-5760; Laurel LaCivita (Colombia) at (202) 482-4243; David Crespo
(India) at (202) 482-3693; Dan Alexander (Malaysia) at (202) 482-4313;
Whitley Herndon (Portugal) at (202) 482-6274; Brittany Bauer (Taiwan)
at (202) 482-3860; Magd Zalok (the Republic of Turkey (Turkey)) at
(202) 482-4162; and Myrna Lobo (the Socialist Republic of Vietnam
(Vietnam)) at (202) 482-2371, AD/CVD Operations, Enforcement and
Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
The Petitions
On May 31, 2023, the U.S. Department of Commerce (Commerce)
received antidumping duty (AD) petitions concerning imports of certain
paper shopping bags (paper bags) from Cambodia, China, Colombia, India,
Malaysia, Portugal, Taiwan, Turkey, and Vietnam filed in proper form on
behalf of the Coalition for Fair Trade in Shopping Bags (the
petitioner).\1\ These AD petitions were accompanied by countervailing
duty (CVD) petitions concerning imports of paper bags from China and
India.\2\
---------------------------------------------------------------------------
\1\ See Petitioner's Letter, ``Petitions for The Imposition of
Antidumping and Countervailing Duties on Certain Paper Shopping Bags
from Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam,'' dated May 31, 2023 (the Petitions) at 2-3.
The members of the Coalition for Fair Trade in Shopping Bags include
Novolex Holdings, LLC (Novolex) and the United Steel, Paper and
Forestry, Rubber, Manufacturing, Energy, Allied Industrial and
Service Workers International Union (USW) (collectively, the
petitioner).
\2\ See Petitioner's Letter, ``Petitions for The Imposition of
Antidumping and Countervailing Duties on Certain Paper Shopping Bags
from Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam,'' dated May 31, 2023.
---------------------------------------------------------------------------
On June 2, 5, and 13, 2023, Commerce requested supplemental
information pertaining to certain aspects of the Petitions in a
separate supplemental questionnaires.\3\ The petitioner filed responses
to the supplemental questionnaires on June 8, 9, 12, and 15, 2023.\4\
---------------------------------------------------------------------------
\3\ See Commerce's Letters, ``Petitions for the Imposition of
Antidumping and Countervailing Duties on Imports of Certain Paper
Shopping Bags from Cambodia, the People's Republic of China,
Colombia, India, Malaysia, Portugal, Taiwan, the Republic of Turkey,
and the Socialist Republic of Vietnam,'' dated June 2, 2023 (General
Issues Questionnaire); and Country-Specific Supplemental
Questionnaires: Cambodia Supplemental, China Supplemental, Colombia
Supplemental, India Supplemental, Malaysia Supplemental, Portugal
Supplemental, Taiwan Supplemental, Turkey Supplemental, and Vietnam
Supplemental, dated June 5, 2023; see also Memorandum, ``Phone Call
with Counsel to the Petitioner,'' dated June 13, 2023.
\4\ See Petitioner's Letters, ``Certain Paper Shopping Bags from
Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam: Response of Petitioner to Volume I Supplemental
Questionnaire,'' dated June 8, 2023 (First General Issues
Supplement); Country-Specific Supplemental Responses, dated June 9
and 12, 2023; ``Certain Paper Shopping Bags from Cambodia, China,
Colombia, India, Malaysia, Portugal, Taiwan, Turkey, and Vietnam:
Response of Petitioner to Commerce's Second Supplemental Questions
Concerning Volumes I, VI, IX, and X,'' dated June 15, 2023 (Second
General Issues Supplement); and Second Vietnam Supplement, dated
June 15, 2023.
---------------------------------------------------------------------------
In accordance with section 732(b) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that imports of paper bags
from Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan,
Turkey, and Vietnam are being, or are likely to be, sold in the United
States at less than fair value (LTFV) within the meaning of section 731
of the Act, and that imports of such products are materially injuring,
or threatening material injury to, the paper bag industry in the United
States. Consistent with section 732(b)(1) of the Act, the Petitions are
accompanied by information reasonably available to the petitioner
supporting its allegations.
Commerce finds that the petitioner filed the Petitions on behalf of
the domestic industry, because the petitioner is an interested party,
as defined in section 771(9)(F) of the Act.\5\ Commerce also finds that
the petitioner demonstrated sufficient industry support for the
initiation of the requested AD investigations.\6\
---------------------------------------------------------------------------
\5\ See Petitions at Volume I (pages 2-3). The members of the
Coalition for Fair Trade in Shopping Bags (Novolex and the USW) are
interested parties, as defined in sections 771(9)(C) and (D) of the
Act, respectively.
\6\ See, infra, section on ``Determination of Industry Support
for the Petitions.''
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[[Page 41590]]
Periods of Investigation
Because the Petitions were filed on May 31, 2023, pursuant to 19
CFR 351.204(b)(1), the period of investigation (POI) for the Cambodia,
Colombia, India, Malaysia, Portugal, Taiwan and Turkey AD
investigations is April 1, 2022, through March 31, 2023. Because China
and Vietnam are non-market economy (NME) countries, pursuant to 19 CFR
351.204(b)(1), the POI for the China and Vietnam AD investigations is
October 1, 2022, through March 31, 2023.
Scope of the Investigations
The product covered by these investigations is paper bags from
Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan, Turkey,
and Vietnam. For a full description of the scope of these
investigations, see the appendix to this notice.
Comments on the Scope of the Investigations
On June 2 and 13, 2023, Commerce requested information from the
petitioner regarding the proposed scope to ensure that the scope
language in the Petitions is an accurate reflection of the products for
which the domestic industry is seeking relief.\7\ On June 8 and 15,
2023, the petitioner provided clarifications and revised the scope.\8\
The description of merchandise covered by these investigations, as
described in the appendix to this notice, reflects these
clarifications.
---------------------------------------------------------------------------
\7\ See General Issues Questionnaire; see also June 13, 2023,
Memorandum.
\8\ See General Issues Supplement at 2-7 and Exhibit I-S5; see
also Second General Issues Supplement at 1 and Exhibit I-2S1.
---------------------------------------------------------------------------
As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for parties to raise issues regarding product
coverage (i.e., scope).\9\ Commerce will consider all scope comments
received and, if necessary, will consult with interested parties prior
to the issuance of the preliminary determinations. If scope comments
include factual information,\10\ all such factual information should be
limited to public information. To facilitate preparation of its
questionnaires, Commerce requests that scope comments be submitted by
5:00 p.m. Eastern Time (ET) on July 10, 2023, which is 20 calendar days
from the signature date of this notice. Any rebuttal comments, which
may include factual information, must be filed by 5:00 p.m. ET on July
20, 2023, which is ten calendar days from the initial comment deadline.
---------------------------------------------------------------------------
\9\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble); see also 19 CFR
351.312.
\10\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
---------------------------------------------------------------------------
Commerce requests that any factual information that parties
consider relevant to the scope of these investigations be submitted
during that period. However, if a party subsequently finds that
additional factual information pertaining to the scope of the
investigations may be relevant, the party must contact Commerce and
request permission to submit the additional information. All such
submissions must be filed on the records of each of the concurrent AD
and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically using
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\11\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
---------------------------------------------------------------------------
\11\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance: Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on help using
ACCESS can be found at https://access.trade.gov/help.aspx and a
handbook can be found at https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf.
---------------------------------------------------------------------------
Comments on Product Characteristics
Commerce is providing interested parties an opportunity to comment
on the appropriate physical characteristics of paper bags to be
reported in response to Commerce's AD questionnaires. This information
will be used to identify the key physical characteristics of the
subject merchandise in order to report the relevant factors of
production (FOP) or costs of production (COP) accurately, as well as to
develop appropriate product comparison criteria.
Interested parties may provide any information or comments that
they feel are relevant to the development of an accurate list of
physical characteristics. Specifically, they may provide comments as to
which characteristics are appropriate to use as: (1) general product
characteristics; and (2) product comparison criteria. We note that it
is not always appropriate to use all product characteristics as product
comparison criteria. We base product comparison criteria on meaningful
commercial differences among products. In other words, although there
may be some physical product characteristics utilized by manufacturers
to describe paper bags, it may be that only a select few product
characteristics take into account commercially meaningful physical
characteristics. In addition, interested parties may comment on the
order in which the physical characteristics should be used in matching
products. Generally, Commerce attempts to list the most important
physical characteristics first and the least important characteristics
last.
In order to consider the suggestions of interested parties in
developing and issuing the AD questionnaires, all product
characteristics comments must be filed by 5:00 p.m. ET on July 10,
2023, which is 20 calendar days from the signature date of this
notice.\12\ Any rebuttal comments must be filed by 5:00 p.m. ET on July
20, 2023, which is ten calendar days from the initial comment deadline.
All comments and submissions to Commerce must be filed electronically
using ACCESS, as explained above, on the record of each of the AD
investigations.
---------------------------------------------------------------------------
\12\ See 19 CFR 351.303(b)(1).
---------------------------------------------------------------------------
Determination of Industry Support for the Petitions
Section 732(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 732(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) at least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The International Trade Commission (ITC), which
is responsible for determining whether ``the domestic industry'' has
been injured, must also
[[Page 41591]]
determine what constitutes a domestic like product in order to define
the industry. While both Commerce and the ITC must apply the same
statutory definition regarding the domestic like product,\13\ they do
so for different purposes and pursuant to a separate and distinct
authority. In addition, Commerce's determination is subject to
limitations of time and information. Although this may result in
different definitions of the like product, such differences do not
render the decision of either agency contrary to law.\14\
---------------------------------------------------------------------------
\13\ See section 771(10) of the Act.
\14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------
Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigations.\15\ Based on our analysis of the information
submitted on the record, we have determined that paper bags, as defined
in the scope, constitute a single domestic like product, and we have
analyzed industry support in terms of that domestic like product.\16\
---------------------------------------------------------------------------
\15\ See Petitions at Volume I (pages 10-15 and Exhibits I-10
through I-12); see also First General Issues Supplement at 10.
\16\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Antidumping Duty Investigation Initiation Checklists: Certain
Paper Shopping Bags from Cambodia, the People's Republic of China,
Colombia, India, Malaysia, Portugal, Taiwan, the Republic of Turkey,
and the Socialist Republic of Vietnam, dated concurrently with this
notice (Country-Specific AD Initiation Checklists) at Attachment II,
Analysis of Industry Support for the Antidumping and Countervailing
Duty Petitions Covering Certain Paper Shopping Bags from Cambodia,
the People's Republic of China, Colombia, India, Malaysia, Portugal,
Taiwan, the Republic of Turkey, and the Socialist Republic of
Vietnam (Attachment II). These Initiation Checklists are on file
electronically via ACCESS.
---------------------------------------------------------------------------
In determining whether the petitioner has standing under section
732(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in the appendix to
this notice. To establish industry support, the petitioner provided the
2022 production of paper bags for the U.S. producers that support the
Petitions and compared this to the estimated total 2022 production of
paper bags by the U.S. industry.\17\ We relied on data provided by the
petitioner for purposes of measuring industry support.\18\
---------------------------------------------------------------------------
\17\ See Petitions at Volume I (pages 4-5 and Exhibits I-2
through I-4); see also First General Issues Supplement at 7-9 and
Exhibits I-S6 through I-S8; Petitioner's Letter, ``Petitions for the
Imposition of Antidumping and Countervailing Duties on Imports of
Certain Paper Shopping Bags from Cambodia, China, Colombia, India,
Malaysia, Portugal, Taiwan, Turkey, and Vietnam--Industry Support
Calculation Revision,'' dated June 9, 2023 (Industry Support
Supplement) at Attachments A and B; and Second General Issues
Supplement at 2-3 and Exhibits I-2S2 through I-2S4.
\18\ See Petitions at Volume I (pages 2-5 and Exhibits I-2
through I-4); see also First General Issues Supplement at 7-9 and
Exhibits I-S6 through I-S8; Industry Support Supplement at 1-2 and
Attachments A and B; and Second General Issues Supplement at 2-3 and
Exhibits I-2S2 through I-2S4. For further discussion, see Attachment
II of the Country-Specific AD Initiation Checklists.
---------------------------------------------------------------------------
Our review of the data provided in the Petitions, the First General
Issues Supplement, the Industry Support Supplement, the Second General
Issues Supplement, and other information readily available to Commerce
indicates that the petitioner has established industry support for the
Petitions.\19\ First, the Petitions established support from domestic
producers (or workers) accounting for more than 50 percent of the total
production of the domestic like product and, as such, Commerce is not
required to take further action in order to evaluate industry support
(e.g., polling).\20\ Second, the domestic producers (or workers) have
met the statutory criteria for industry support under section
732(c)(4)(A)(i) of the Act because the domestic producers (or workers)
who support the Petitions account for at least 25 percent of the total
production of the domestic like product.\21\ Finally, the domestic
producers (or workers) have met the statutory criteria for industry
support under section 732(c)(4)(A)(ii) of the Act because the domestic
producers (or workers) who support the Petitions account for more than
50 percent of the production of the domestic like product produced by
that portion of the industry expressing support for, or opposition to,
the Petitions.\22\ Accordingly, Commerce determines that the Petitions
were filed on behalf of the domestic industry within the meaning of
section 732(b)(1) of the Act.\23\
---------------------------------------------------------------------------
\19\ See Petitions at Volume I (pages 2-5 and Exhibits I-2
through I-4); see also First General Issues Supplement at 7-9 and
Exhibits I-S6 through I-S8; Industry Support Supplement at 1-2 and
Attachments A and B; and Second General Issues Supplement at 2-3 and
Exhibits I-2S2 through I-2S4. For further discussion, see Attachment
II of the Country-Specific AD Initiation Checklists.
\20\ See Attachment II of the Country-Specific AD Initiation
Checklists; see also section 732(c)(4)(D) of the Act.
\21\ See Attachment II of the Country-Specific AD Initiation
Checklists.
\22\ Id.
\23\ Id.
---------------------------------------------------------------------------
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that the U.S. industry producing the
domestic like product is being materially injured, or is threatened
with material injury, by reason of the imports of the subject
merchandise sold at LTFV. In addition, with regard to China, India,
Taiwan, and Vietnam, the petitioner alleges that subject imports exceed
the negligibility threshold provided for under section 771(24)(A) of
the Act.\24\ With regard to Cambodia, Colombia, Malaysia, Portugal, and
Turkey, while the allegedly dumped imports from each of these countries
do not individually exceed the statutory requirements for
negligibility, the petitioner provided data demonstrating that the
aggregate import share from these five countries is 10.19 percent,
which exceeds the seven percent threshold established by the exception
in section 771(24)(A)(ii) of the Act.\25\
---------------------------------------------------------------------------
\24\ See Petitions at Volume I (pages 18-19 and Exhibit I-15).
\25\ Id. at Volume I (page 19 and Exhibit I-15).
---------------------------------------------------------------------------
The petitioner contends that the industry's injured condition is
illustrated by a significant volume of subject imports; reduced market
share; underselling and price depression and/or suppression; lost sales
and revenues; decline in the domestic industry's production, capacity
utilization, and U.S. commercial shipments; and adverse impact on the
domestic industry's profitability and financial performance.\26\ We
assessed the allegations and supporting evidence regarding material
injury, threat of material injury, causation, as well as negligibility,
and we have determined that these allegations are properly supported by
adequate evidence, and meet the statutory requirements for
initiation.\27\
---------------------------------------------------------------------------
\26\ See Petitions at Volume I (pages 16-31 and Exhibits I-13
through I-18); see also First General Issues Supplement at 10-12 and
Exhibit I-S9.
\27\ See Country-Specific AD Initiation Checklists at Attachment
III, ``Analysis of Allegations and Evidence of Material Injury and
Causation for the Antidumping and Countervailing Duty Petitions
Covering Certain Paper Shopping Bags from Cambodia, the People's
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the
Republic of Turkey, and the Socialist Republic of Vietnam.''
---------------------------------------------------------------------------
Allegations of Sales at LTFV
The following is a description of the allegations of sales at LTFV
upon which Commerce based its decision to initiate
[[Page 41592]]
AD investigations of imports of paper bags from Cambodia, China,
Colombia, India, Malaysia, Portugal, Taiwan, Turkey, and Vietnam. The
sources of data for the deductions and adjustments relating to U.S.
price and normal value (NV) are discussed in greater detail in the
Country-Specific AD Initiation Checklists.
U.S. Price
For China, Colombia, India, Malaysia, Portugal, Taiwan, and Turkey,
the petitioner based export price (EP) on pricing information for sales
of, or offers for sale of, paper bags produced in and exported from
each country. The petitioner made certain adjustments to U.S. price to
calculate a net ex-factory U.S. price, where applicable.\28\
---------------------------------------------------------------------------
\28\ See Country-Specific AD Initiation Checklists.
---------------------------------------------------------------------------
Normal Value 29
---------------------------------------------------------------------------
\29\ In accordance with section 773(b)(2) of the Act, for the
Cambodia, Colombia, India, Malaysia, Portugal, Taiwan, and Turkey
investigations, Commerce will request information necessary to
calculate the constructed value (CV) and COP to determine whether
there are reasonable grounds to believe or suspect that sales of the
foreign like product have been made at prices that represent less
than the COP of the product.
---------------------------------------------------------------------------
For Cambodia, Colombia, India, Malaysia, Portugal, Taiwan, and
Turkey, the petitioner stated that it was unable to obtain home-market
or third-country prices for paper bags to use as a basis for NV.\30\
Therefore, for these countries, the petitioner calculated NV based on
CV.\31\ For further discussion of CV, see the section ``Normal Value
Based on Constructed Value.''
---------------------------------------------------------------------------
\30\ See Country-Specific AD Initiation Checklists.
\31\ Id.
---------------------------------------------------------------------------
Commerce considers China and Vietnam to be NME countries.\32\ In
accordance with section 771(18)(C)(i) of the Act, any determination
that a foreign country is an NME country shall remain in effect until
revoked by Commerce. Therefore, we continue to treat China and Vietnam
as NME countries for purposes of the initiation of these
investigations. Accordingly, we base NV on factors of production (FOPs)
valued in a surrogate market economy country in accordance with section
773(c) of the Act.
---------------------------------------------------------------------------
\32\ See, e.g., Certain Freight Rail Couplers and Parts Thereof
from the People's Republic of China: Preliminary Affirmative
Determination of Sales at Less Than Fair Value and Preliminary
Affirmative Determination of Critical Circumstances, 88 FR 15372
(March 13, 2023), and accompanying Preliminary Decision Memorandum
at 5, unchanged in Certain Freight Rail Couplers and Parts Thereof
from the People's Republic of China: Final Affirmative Determination
of Sales at Less-Than-Fair Value and Final Affirmative Determination
of Critical Circumstances, 88 FR 34485 (May 30, 2023); see also
Certain Frozen Fish Fillets from the Socialist Republic of Vietnam:
Final Results, and Final Results of No Shipments of the Antidumping
Duty Administrative Review; 2016-2017, 84 FR 18007 (April 29, 2019).
---------------------------------------------------------------------------
The petitioner claims that Malaysia is an appropriate surrogate
country for China because it is a market economy that is at a level of
economic development comparable to that of China and is a significant
producer of comparable merchandise.\33\ The petitioner provided
publicly available information from Malaysia to value all FOPs (except
labor and overhead).\34\ To value labor and overhead, the petitioner
provided labor statistics and financial statements from another
surrogate country, Turkey.\35\ Based on the information provided by the
petitioner, we believe it is appropriate to use Malaysia as a surrogate
country to value all FOPs (except labor and overhead) and Turkey to
value labor and overhead for initiation purposes.
---------------------------------------------------------------------------
\33\ See China AD Initiation Checklist.
\34\ Id.
\35\ See China AD Initiation Checklist.
---------------------------------------------------------------------------
The petitioner claims that Indonesia is an appropriate surrogate
country for Vietnam because it is a market economy that is at a level
of economic development comparable to that of Vietnam and is a
significant producer of comparable merchandise.\36\ The petitioner
provided publicly available information from Indonesia to value all
FOPs.\37\ Based on the information provided by the petitioner, we
believe it is appropriate to use Indonesia as a surrogate country for
initiation purposes.
---------------------------------------------------------------------------
\36\ See Vietnam AD Initiation Checklist.
\37\ Id.
---------------------------------------------------------------------------
Interested parties will have the opportunity to submit comments
regarding surrogate country selection and, pursuant to 19 CFR
351.301(c)(3)(i), will be provided an opportunity to submit publicly
available information to value FOPs within 30 days before the scheduled
date of the preliminary determinations.
Factors of Production
Because information regarding the volume of inputs consumed by
Chinese and Vietnamese producers/exporters was not reasonably
available, the petitioner used product-specific consumption rates from
a U.S. producer of paper bags as a surrogate to value Chinese and
Vietnamese manufacturers' FOPs.\38\ Additionally, the petitioner
calculated factory overhead; selling, general and administrative (SG&A)
expenses; and profit based on the experience of a Malaysian and
Indonesian producer of identical merchandise for China and Vietnam,
respectively.\39\
---------------------------------------------------------------------------
\38\ See China AD Initiation Checklist and Vietnam AD Initiation
Checklist.
\39\ See China AD Initiation Checklist and Vietnam AD Initiation
Checklist. As noted above, the petitioner calculated labor and
overhead using information specific to Turkey. See China AD
Initiation Checklist.
---------------------------------------------------------------------------
Normal Value Based on Constructed Value
As noted above for Cambodia, Colombia, India, Malaysia, Portugal,
Taiwan, and Turkey, the petitioner stated it was unable to obtain home-
market or third-country prices for paper bags to use as a basis for NV.
Therefore, for these countries, the petitioner calculated NV based on
CV.\40\
---------------------------------------------------------------------------
\40\ See Country-Specific AD Initiation Checklists.
---------------------------------------------------------------------------
Pursuant to section 773(e) of the Act, the petitioner calculated CV
as the sum of the cost of manufacturing, SG&A expenses, financial
expenses, and profit.\41\ For each of these countries, in calculating
the cost of manufacturing, the petitioner relied on the production
experience and input consumption rates of a U.S. producer of paper
bags, valued using publicly available information applicable to the
respective countries.\42\ In calculating SG&A expenses, financial
expenses, and profit ratios (where applicable), the petitioner relied
on the most recently available fiscal year financial statements of a
producer of identical or comparable merchandise domiciled in the
subject country or a third country, where applicable.\43\
---------------------------------------------------------------------------
\41\ Id.
\42\ Id.
\43\ Id.
---------------------------------------------------------------------------
Fair Value Comparisons
Based on the data provided by the petitioner, there is reason to
believe that imports of paper bags from Cambodia, China, Colombia,
India, Malaysia, Portugal, Taiwan, Turkey, and Vietnam, are being, or
are likely to be, sold in the United States at LTFV. Based on
comparisons of EP to NV in accordance with sections 772 and 773 of the
Act, the estimated dumping margins for paper bags for each of the
countries covered by this initiation are as follows: (1) Cambodia--
18.21 to 248.81 percent; China--93.10 to 237.02 percent; Colombia--
56.14 percent; India--26.45 to 96.15 percent; Malaysia--148.19 percent;
Portugal--31.12 to 188.78 percent; Taiwan--60.26 to 65.81 percent;
Turkey--13.65 to 47.56 percent; and Vietnam--27.64 to 92.34
percent.\44\
---------------------------------------------------------------------------
\44\ Id.
---------------------------------------------------------------------------
Initiation of LTFV Investigations
Based upon the examination of the Petitions and supplemental
responses,
[[Page 41593]]
we find that they meet the requirements of section 732 of the Act.
Therefore, we are initiating AD investigations to determine whether
imports of paper bags from Cambodia, China, Colombia, India, Malaysia,
Portugal, Taiwan, Turkey, and Vietnam are being, or are likely to be,
sold in the United States at LTFV. In accordance with section
733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless postponed, we
will make our preliminary determinations no later than 140 days after
the date of these initiations.
Respondent Selection
Cambodia, Colombia, India, Malaysia, Portugal, Taiwan, and Turkey
In the Petitions, the petitioner identified three companies in
Cambodia, three companies in Colombia, 18 companies in India, three
companies in Malaysia, one company in Portugal, three companies in
Taiwan, and 21 companies in Turkey as producers/exporters of paper
bags.\45\ For Cambodia, Colombia, India, Malaysia, Taiwan and Turkey,
in the event Commerce determines that the number of companies is large,
and it cannot individually examine each company based upon Commerce's
resources, where appropriate, Commerce intends to select mandatory
respondents based on quantity and value (Q&V) questionnaires issued to
potential respondents. Following standard practice in AD investigations
involving market economy countries, Commerce would normally select
respondents based on U.S. Customs and Border Protection (CBP) entry
data for imports under the appropriate Harmonized Tariff Schedule of
the United States (HTSUS) subheadings listed in the scope of the
investigations. However, for these investigations, the main HTSUS
subheadings under which the subject merchandise would enter
(4819.30.0040 and 4819.40.0040) are basket categories under which non-
subject merchandise may also enter. Therefore, we cannot rely on CBP
entry data in selecting respondents. We, instead, intend to issue Q&V
questionnaires to each potential respondent for which the petitioner
has provided a complete address for Cambodia, Colombia, India,
Malaysia, Taiwan and Turkey. For Portugal, the petitioner identified
only one company as an exporter or producer of paper bags. Therefore,
unless we receive voluntary responses to the Q&V questionnaire from
companies not identified, as described below, we intend to examine this
one exporter or producer of paper bags from Portugal.
---------------------------------------------------------------------------
\45\ See First General Issues Supplement at 1-2 and Exhibit I-
S2.
---------------------------------------------------------------------------
Exporters/producers of paper bags from Cambodia, Colombia, India,
Malaysia, Portugal, Taiwan, and Turkey that do not receive Q&V
questionnaires by mail may still submit a response to the Q&V
questionnaire and can obtain a copy of the Q&V questionnaire from
Enforcement and Compliance's website, at https://www.trade.gov/ec-adcvd-case-announcements. Responses to the Q&V questionnaire must be
submitted by the relevant exporters/producers no later than 5:00 p.m.
ET on July 5, 2023, which is the next business day after two weeks from
the signature date of this notice.\46\ All Q&V responses must be filed
electronically via ACCESS. An electronically filed document must be
received successfully, in its entirety, by ACCESS no later than 5:00
p.m. ET on the deadline noted above.
---------------------------------------------------------------------------
\46\ See 19 CFR 351.303(b)(1) (``For both electronically filed
and manually filed documents, if the applicable due date falls on a
non-business day, the Secretary will accept documents that are filed
on the next business day.''). Two weeks from the initiation of these
investigation is July 4, 2023, which is a Federal holiday.
---------------------------------------------------------------------------
Interested parties must submit applications for disclosure under
administrative protective order (APO) in accordance with 19 CFR
351.305(b). Instructions for filing such applications may be found on
Commerce's website at https://www.trade.gov/administrative-protective-orders. Commerce intends to make its decisions regarding respondent
selection for Cambodia, Colombia, India, Malaysia, Portugal, Taiwan,
and Turkey within 20 days of publication of this notice.
China and Vietnam
In the Petitions, the petitioner named 26 companies in China and 14
companies in Vietnam as producers and/or exporters of paper bags.\47\
In accordance with our standard practice for respondent selection in AD
investigations involving NME countries, Commerce selects respondents
based on Q&V questionnaires in cases where it has determined that the
number of companies is large and it cannot individually examine each
company based upon its resources. Therefore, considering the number of
producers and/or exporters identified in the Petition, Commerce will
solicit Q&V information that can serve as a basis for selecting
exporters for individual examination in the event that Commerce decides
to limit the number of respondents individually examined pursuant to
section 777A(c)(2) of the Act. Because there are 26 Chinese and 14
Vietnamese producers and/or exporters identified in the Petitions,
Commerce has determined that it will issue Q&V questionnaires to each
potential respondent for which the petitioner has provided a complete
address.
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\47\ See First General Issues Supplement at 1-2 and Exhibit I-
S2.
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In addition, Commerce will post the Q&V questionnaires along with
filing instructions on Commerce's website at https://www.trade.gov/ec-adcvd-case-announcements. Producers/exporters of paper bags from China
and Vietnam that do not receive Q&V questionnaires may still submit a
response to the Q&V questionnaire and can obtain a copy of the Q&V
questionnaire from Commerce's website. In accordance with the standard
practice for respondent selection in AD cases involving NME countries,
in the event Commerce decides to limit the number of respondents
individually investigated, Commerce intends to base respondent
selection on the responses to the Q&V questionnaire that it receives.
Responses to the Q&V questionnaire must be submitted by the
relevant Chinese and Vietnamese producers/exporters no later than 5:00
p.m. ET on July 5, 2023, which is the next business day after two weeks
from the signature date of this notice.\48\ All Q&V questionnaire
responses must be filed electronically via ACCESS. An electronically
filed document must be received successfully, in its entirety, by
ACCESS no later than 5:00 p.m. ET on the deadline noted above.
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\48\ See 19 CFR 351.303(b)(1) (``For both electronically filed
and manually filed documents, if the applicable due date falls on a
non-business day, the Secretary will accept documents that are filed
on the next business day.''). Two weeks from the initiation of these
investigation is July 4, 2023, which is a Federal holiday.
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Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305(b). As stated above, instructions
for filing such applications may be found on Commerce's website at
https://www.trade.gov/administrative-protective-orders. Commerce
intends to make its decisions regarding respondent selection for China
and Vietnam within 20 days of publication of this notice.
Separate Rates
In order to obtain separate rate status in an NME investigation,
exporters and producers must submit a separate rate application. The
specific requirements for submitting a separate rate application in an
NME investigation are outlined in detail in the application itself,
which is available on Commerce's website at https://access.trade.gov/
[[Page 41594]]
Resources/nme/nme-sep-rate.html. The separate rate application will be
due 30 days after publication of this initiation notice. Exporters and
producers who submit a separate rate application and have been selected
as mandatory respondents will be eligible for consideration for
separate rate status only if they respond to all parts of Commerce's AD
questionnaire as mandatory respondents. Commerce requires that
companies from China and Vietnam submit a response both to the Q&V
questionnaire and to the separate rate application by the respective
deadlines in order to receive consideration for separate rate status.
Companies not filing a timely Q&V questionnaire response will not
receive separate rate consideration.
Use of Combination Rates
Commerce will calculate combination rates for certain respondents
that are eligible for a separate rate in an NME investigation. The
Separate Rates and Combination Rates Bulletin states:
{w{time} while continuing the practice of assigning separate rates
only to exporters, all separate rates that {Commerce{time} will now
assign in its NME Investigation will be specific to those producers
that supplied the exporter during the period of investigation. Note,
however, that one rate is calculated for the exporter and all of the
producers which supplied subject merchandise to it during the period
of investigation. This practice applies both to mandatory
respondents receiving an individually calculated separate rate as
well as the pool of non-investigated firms receiving the {weighted
average{time} of the individually calculated rates. This practice
is referred to as the application of ``combination rates'' because
such rates apply to specific combinations of exporters and one or
more producers. The cash-deposit rate assigned to an exporter will
apply only to merchandise both exported by the firm in question and
produced by a firm that supplied the exporter during the period of
investigation.\49\
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\49\ See Enforcement and Compliance's Policy Bulletin 05.1,
regarding, ``Separate-Rates Practice and Application of Combination
Rates in Antidumping Investigation involving NME Countries,'' (April
5, 2005) at 6 (emphasis added), available on Commerce's website at
https://access.trade.gov/Resources/policy/bull05-1.pdf.
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Distribution of Copies of the AD Petitions
In accordance with section 732(b)(3)(A) of the Act and 19 CFR
351.202(f), copies of the public version of the AD Petitions have been
provided to the governments of Cambodia, China, Colombia, India,
Malaysia, Portugal, Taiwan, Turkey, and Vietnam via ACCESS. To the
extent practicable, we will attempt to provide a copy of the public
version of the AD Petitions to each exporter named in the AD Petitions,
as provided under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our initiation, as required by
section 732(d) of the Act.
Preliminary Determinations by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the AD Petitions were filed, whether there is a reasonable
indication that imports of paper bags from Cambodia, China, Colombia,
India, Malaysia, Portugal, Taiwan, Turkey, and/or Vietnam are
materially injuring, or threatening material injury to, a U.S.
industry.\50\ A negative ITC determination for any country will result
in the investigation being terminated with respect to that country.\51\
Otherwise, these AD investigations will proceed according to statutory
and regulatory time limits.
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\50\ See section 733(a) of the Act.
\51\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \52\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\53\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in these investigations.
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\52\ See 19 CFR 351.301(b).
\53\ See 19 CFR 351.301(b)(2).
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Particular Market Situation Allegation
Section 773(e) of the Act addresses the concept of particular
market situation (PMS) for purposes of CV, stating that ``if a
particular market situation exists such that the cost of materials and
fabrication or other processing of any kind does not accurately reflect
the cost of production in the ordinary course of trade, the
administering authority may use another calculation methodology under
this subtitle or any other calculation methodology.'' When an
interested party submits a PMS allegation pursuant to section 773(e) of
the Act, Commerce will respond to such a submission consistent with 19
CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists under section
773(e) of the Act, then it will modify its dumping calculations
appropriately.
Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v), set
a deadline for the submission of PMS allegations and supporting factual
information. However, in order to administer section 773(e) of the Act,
Commerce must receive PMS allegations and supporting factual
information with enough time to consider the submission. Thus, should
an interested party wish to submit a PMS allegation and supporting new
factual information pursuant to section 773(e) of the Act, it must do
so no later than 20 days after submission of a respondent's initial
section D questionnaire response.
Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by Commerce. In general, an extension request will
be considered untimely if it is filed after the expiration of the time
limit established under 19 CFR 351.301.\54\ For submissions that are
due from multiple parties simultaneously, an extension request will be
considered untimely if it is filed after 10:00 a.m. ET on the due date.
Under certain circumstances, we may elect to specify a different time
limit by which extension requests will be considered untimely for
submissions which are due from multiple parties simultaneously. In such
a case, we will inform parties in a letter or memorandum of the
deadline (including a specified time) by which extension requests must
be filed to be considered timely. An extension request must be made in
a separate, stand-alone submission; under limited circumstances we will
grant untimely filed requests for the extension of time limits, where
we determine, based on 19
[[Page 41595]]
CFR 351.302, that extraordinary circumstances exist. Parties should
review Commerce's regulations concerning the extension of time limits
and the Time Limits Final Rule prior to submitting factual information
in these investigations.\55\
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\54\ See 19 CFR 351.301; see also Extension of Time Limits;
Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final
Rule), available at https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm.
\55\ See 19 CFR 351.302; see also, e.g., Time Limits Final Rule.
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Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\56\
Parties must use the certification formats provided in 19 CFR
351.303(g).\57\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements. Note that Commerce has temporarily modified certain of
its requirements for serving documents containing business proprietary
information, until further notice.\58\
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\56\ See section 782(b) of the Act.
\57\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Additional
information regarding the Final Rule is available at https://access.trade.gov/Resources/filing/.
\58\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020).
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. Parties wishing to participate
in these investigations should ensure that they meet the requirements
of 19 CFR 351.103(d) (e.g., by filing the required letter of
appearance). Note that Commerce has temporarily modified certain of its
requirements for serving documents containing business proprietary
information, until further notice.\59\
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\59\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020).
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This notice is issued and published pursuant to sections 732(c)(2)
and 777(i) of the Act, and 19 CFR 351.203(c).
Dated: June 20, 2023.
James Maeder,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations.
Appendix
Scope of the Investigations
The products within the scope of these investigations are paper
shopping bags with handles of any type, regardless of whether there
is any printing, regardless of how the top edges are finished (e.g.,
folded, serrated, or otherwise finished), regardless of color, and
regardless of whether the top edges contain adhesive or other
material for sealing closed. Subject paper shopping bags have a
width of at least 4.5 inches and depth of at least 2.5 inches.
Paper shopping bags typically are made of kraft paper but can be
made from any type of cellulose fiber, paperboard, or pressboard
with a basis weight less than 300 grams per square meter (GSM).
A non-exhaustive illustrative list of the types of handles on
shopping bags covered by the scope include handles made from any
materials such as twisted paper, flat paper, yarn, ribbon, rope,
string, or plastic, as well as die-cut handles (whether the punchout
is fully removed or partially attached as a flap).
Excluded from the scope are:
Paper sacks or bags that are of a \1/6\ or \1/7\ barrel
size (i.e., 11.5-12.5 inches in width, 6.5-7.5 inches in depth, and
13.5-17.5 inches in height) with flat paper handles or die-cut
handles;
Paper sacks or bags with die-cut handles, a grams per
square meter paper weight of less than 86 GSM, and a height of less
than 11.5 inches; and
Shopping bags (i) with non-paper handles made wholly of
woven ribbon or other similar woven fabric and (ii) that are
finished with folded tops or for which tied knots or t-bar aglets
(made of wood, metal, or plastic) are used to secure the handles to
the bags.
The above-referenced dimensions are provided for paper bags in
the opened position. The height of the bag is the distance from the
bottom fold edge to the top edge (i.e., excluding the height of
handles that extend above the top edge). The depth of the bag is the
distance from the front of the bag edge to the back of the bag edge
(typically measured at the bottom of the bag). The width of the bag
is measured from the left to the right edges of the front and back
panels (upon which the handles typically are located).
This merchandise is currently classifiable under Harmonized
Tariff Schedule of the United States (HTSUS) subheadings
4819.30.0040 and 4819.40.0040. The HTSUS subheadings are provided
for convenience and customs purposes only; the written description
of the scope is dispositive.
[FR Doc. 2023-13576 Filed 6-26-23; 8:45 am]
BILLING CODE 3510-DS-P
