Certain Paper Plates From the People's Republic of China, Thailand, and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations, 14046-14052 [2024-03863]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 89, Number 38 (Monday, February 26, 2024)]
[Notices]
[Pages 14046-14052]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-03863]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-164, A-549-849, A-552-839]


Certain Paper Plates From the People's Republic of China, 
Thailand, 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 February 14, 2024.

FOR FURTHER INFORMATION CONTACT: Charles DeFilippo (the People's 
Republic of China (China)) at (202) 482-3979; Theodore Pearson 
(Thailand) at (202) 482-2631; and Bryan Hansen (the Socialist Republic 
of Vietnam (Vietnam)) at (202) 482-3683, 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 January 25, 2024, the U.S. Department of Commerce (Commerce) 
received antidumping duty (AD) petitions concerning imports of certain 
paper plates (paper plates) from China, Thailand, and Vietnam filed in 
proper form on behalf of the American Paper Plate Coalition (the 
petitioner).\1\ These AD Petitions were accompanied by countervailing 
duty (CVD) petitions concerning imports of paper plates from China and 
Vietnam.\2\
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    \1\ See Petitioner's Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties,'' dated January 25, 2024 (the 
Petitions). The members of the American Paper Plate Coalition are 
AJM Packaging Corporation, Aspen Products, Inc., Dart Container 
Corporation, Hoffmaster Group, Inc., Huhtamaki Americas, Inc., and 
Unique Industries, Inc.
    \2\ Id.
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    Between January 29 and February 6, 2024, Commerce requested 
supplemental information pertaining to certain aspects of the Petitions 
in separate supplemental questionnaires.\3\ The petitioner filed 
responses to the

[[Page 14047]]

supplemental questionnaires between January 31 and February 8, 2024.\4\
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    \3\ See Commerce's Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Imports of Certain Paper 
Plates from the People's Republic of China, Thailand, and the 
Socialist Republic of Vietnam: Supplemental Questions,'' dated 
January 29, 2024 (General Issues Questionnaire); see also Country-
Specific Supplemental Questionnaires: China Supplemental, Thailand 
Supplemental, and Vietnam Supplemental, dated January 29, 2024; and 
Memorandum, ``Phone Call,'' dated February 6, 2024 (February 6 
Memorandum).
    \4\ See Petitioner's Letters, ``Petitioner's Responses to 
Supplemental Questions--General Issues,'' dated February 2, 2024 
(First General Issues Supplement); Country-Specific AD Supplemental 
Responses: First China AD Supplement, First Thailand AD Supplement, 
and First Vietnam AD Supplement, dated February 2, 2024; Country-
Specific AD Supplemental Responses: Second China AD Supplement, 
Second Thailand AD Supplement, and Second Vietnam AD Supplement, 
dated February 8, 2024; and ``Petitioner's Responses to Supplemental 
Questions--General Issues,'' dated February 8, 2024 (Second General 
Issues Supplement).
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    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that imports of paper plates 
from China, Thailand, 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 
plates industry in the United States. Consistent with section 732(b)(1) 
of the Act, the Petitions were 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 LTFV investigations.\6\
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    \5\ The members of the American Paper Plate Coalition are 
interested parties as defined under section 771(9)(C) of the Act.
    \6\ See section on ``Determination of Industry Support for the 
Petitions,'' infra.
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Periods of Investigation

    Because the Petitions were filed on January 25, 2024, pursuant to 
19 CFR 351.204(b)(1), the period of investigation (POI) for the 
Thailand LTFV investigation is January 1, 2023, through December 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 
LTFV investigations is July 1, 2023, through December 31, 2023.

Scope of the Investigations

    The products covered by these investigations are paper plates from 
China, Thailand, 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 January 29 and February 6, 2024, Commerce requested information 
and clarification 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 February 2 and 8, 2024, 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.
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    \7\ See General Issues Questionnaire; see also February 6 
Memorandum.
    \8\ See First General Issues Supplement at 5-11; see also Second 
General Issues Supplement at 3-6.
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    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (i.e., scope).\9\ Commerce will consider all scope 
comments received from interested parties 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 March 5, 2024, which is 20 calendar days from the 
signature date of this notice.\11\ Any rebuttal comments, which may 
include factual information, must be filed by 5:00 p.m. ET on March 15, 
2024, which is 10 calendar days from the initial comment deadline.
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    \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'').
    \11\ See 19 CFR 351.303(b)(1).
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    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 scope 
comments must be filed simultaneously on the records of the concurrent 
LTFV and CVD investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically via 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS), unless an exception 
applies.\12\ An electronically filed document must be received 
successfully in its entirety by the time and date it is due.
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    \12\ 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 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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Comments on Product Characteristics

    Commerce is providing interested parties an opportunity to comment 
on the appropriate physical characteristics of paper plates 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 cost 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 plates, 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 March 5, 
2024, which is 20 calendar days from the signature date of this 
notice.\13\ Any rebuttal comments must be filed by 5:00 p.m. ET on 
March 15, 2024, which is 10 calendar days from the initial comment 
deadline. All comments and submissions to Commerce must be filed

[[Page 14048]]

electronically using ACCESS, as explained above, on the record of each 
of the LTFV investigations.
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    \13\ See 19 CFR 351.303(b)(1).
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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 U.S. International Trade Commission (ITC), 
which is responsible for determining whether ``the domestic industry'' 
has been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC apply the same statutory definition regarding the domestic like 
product,\14\ 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.\15\
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    \14\ See section 771(10) of the Act.
    \15\ 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 Algoma Steel Corp., Ltd. v. United 
States, 865 F.2d 240 (Fed. Cir. 1989)).
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    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.\16\ Based on our analysis of the information 
submitted on the record, we have determined that paper plates, as 
defined in the scope, constitute a single domestic like product, and we 
have analyzed industry support in terms of that domestic like 
product.\17\
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    \16\ See Petitions at Volume I (pages 11-13); see also First 
General Issues Supplement at 17-18.
    \17\ 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 Plates from the People's Republic of China, Thailand, 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 Plates from the People's 
Republic of China, Thailand, and the Socialist Republic of Vietnam 
(Attachment II). These checklists are dated concurrently with this 
notice and on file electronically via ACCESS.
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    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 its 
own shipments of the domestic like product in 2023 and compared this to 
the estimated total 2023 shipments of the domestic like product for the 
entire domestic industry.\18\ Because total industry production data 
for the domestic like product for 2023 are not reasonably available to 
the petitioner, and the petitioner has established that shipments are a 
reasonable proxy for production data,\19\ we have relied on the data 
provided by the petitioner for purposes of measuring industry 
support.\20\
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    \18\ See First General Issues Supplement at 12-14, 16, and 
Attachments 2-4; see also Second General Issues Supplement at 7-8 
and Attachment 1.
    \19\ See Petitions at Volume I (page 4 and Exhibit I-2); see 
also First General Issues Supplement at 12 and 14.
    \20\ See Petitions at Volume I (pages 3-4); see also First 
General Issues Supplement at 11-16 and Attachments 2-4; and Second 
General Issues Supplement at 7-8 and Attachment 1. For further 
discussion, see Attachment II of the Country-Specific AD Initiation 
Checklists.
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    Our review of the data provided in the Petitions, the First General 
Issues Supplement, the Second General Issues Supplement, and other 
information readily available to Commerce indicates that the petitioner 
has established industry support for the Petitions.\21\ 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).\22\ 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.\23\ 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.\24\ 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.\25\
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    \21\ See Petitions at Volume I (pages 3-4); see also First 
General Issues Supplement at 11-16 and Attachments 2-4; and Second 
General Issues Supplement at 6-8 and Attachments 1-3. For further 
discussion, see Attachment II of the Country-Specific AD Initiation 
Checklists.
    \22\ See Attachment II of the Country-Specific AD Initiation 
Checklists; see also section 732(c)(4)(D) of the Act.
    \23\ See Attachment II of the Country-Specific AD Initiation 
Checklists.
    \24\ Id.
    \25\ Id.
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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, the petitioner alleges that 
subject imports from China and Vietnam exceed the negligibility 
threshold provided for under section 771(24)(A) of the Act.\26\
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    \26\ See Petitions at Volume I (pages 15-16 and Exhibit I-8).
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    With regard to Thailand, while the allegedly dumped imports do not 
exceed the statutory requirements for negligibility,\27\ the petitioner 
alleges and provides supporting evidence that: (1)

[[Page 14049]]

there is a reasonable indication that data obtained in the ITC's 
investigation will establish that imports exceed the negligibility 
threshold; \28\ and (2) there is the potential that imports from 
Thailand will imminently exceed the negligibility threshold and, 
therefore, are not negligible for purposes of a threat 
determination.\29\ The petitioner's arguments regarding the limitations 
of publicly available import data and the collection of scope-specific 
import data in the ITC's investigations are consistent with the SAA. 
Furthermore, the petitioner's arguments regarding the potential for 
imports from Thailand to imminently exceed the negligibility threshold 
are consistent with the statutory criteria for ``negligibility in 
threat analysis'' under section 771(24)(A)(iv) of the Act, which 
provides that imports shall not be treated as negligible if there is a 
potential that subject imports from a country will imminently exceed 
the statutory requirements for negligibility.
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    \27\ Id. at 16-17 and Exhibits I-8 through I-10, I-12, and I-13; 
see also First General Issues Supplement at 18-19.
    \28\ See Statement of Administrative Action Accompanying the 
Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1 (1994) 
(SAA), at 857; see also Petitions at Volume I (pages 16-17 and 
Exhibits I-8 through I-10); and First General Issues Supplement at 
18-19.
    \29\ See section 771(24)(A)(iv) of the Act; see also First 
General Issues Supplement at 19.
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    The petitioner contends that the industry's injured condition is 
illustrated by the significant volume of subject imports; underselling 
and price depression and/or suppression; loss of market share; decrease 
in production volume and capacity utilization; and lost sales and 
revenues.\30\ 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.\31\
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    \30\ See Petitions at Volume I (pages 15-39 and Exhibits I-2, I-
3, and I-7 through I-35); see also First General Issues Supplement 
at 18-19.
    \31\ 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 Plates from the People's Republic of China, 
Thailand, and the Socialist Republic of Vietnam.
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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 LTFV investigations 
of imports of paper plates from China, Thailand, 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, Thailand, and Vietnam, the petitioner based export price 
(EP) on pricing information for sales, or offers for sale, of paper 
plates produced in and exported from each country.\32\ For each 
country, the petitioner made certain adjustments to U.S. price to 
calculate a net ex-factory U.S. price, where applicable.\33\
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    \32\ See Country-Specific AD Initiation Checklists.
    \33\ Id.
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Normal Value \34\
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    \34\ In accordance with section 773(b)(2) of the Act, for the 
Thailand investigation, Commerce will request information necessary 
to calculate the 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.
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    For Thailand, the petitioner stated that it was unable to obtain 
home market or third country pricing information for paper plates to 
use as a basis for NV.\35\ Therefore, for Thailand, the petitioner 
calculated NV based on constructed value (CV).\36\ For further 
discussion of CV, see the section ``Normal Value Based on Constructed 
Value,'' below.
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    \35\ See Thailand AD Initiation Checklist.
    \36\ Id.
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    Commerce considers China and Vietnam to be NME countries.\37\ 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 FOPs valued in a surrogate 
market economy country in accordance with section 773(c) of the Act.
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    \37\ 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); and 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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    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.\38\ The petitioner provided 
publicly available information from Malaysia to value all FOPs except 
labor.\39\ Consistent with Commerce's recent practice in cases 
involving Malaysia as a surrogate country,\40\ to value labor, the 
petitioner provided labor statistics from another surrogate country, 
Turkey.\41\ Based on the information provided by the petitioner, we 
believe it is appropriate to use Malaysia as a surrogate country for 
China to value all FOPs except labor and to value labor using labor 
statistics from Turkey for initiation purposes.
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    \38\ See China AD Initiation Checklist.
    \39\ Id.
    \40\ See, e.g., Certain Collated Steel Staples from the People's 
Republic of China: Final Results of Antidumping Duty Administrative 
Review; and Final Determination of No Shipments; 2021-2022, 88 FR 
85242 (December 7, 2023), and accompanying Issues and Decision 
Memorandum (IDM) at Comment 2; and Light-Walled Rectangular Pipe and 
Tube from the People's Republic of China: Final Results of 
Antidumping Duty Administrative Review, 88 FR 15671 (March 14, 
2023), and accompanying IDM at Comment 2.
    \41\ See China AD Initiation Checklist.
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    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.\42\ The petitioner 
provided publicly available information from Indonesia to value all 
FOPs.\43\ Based on the information provided by the petitioner, we 
believe it is appropriate to use Indonesia as a surrogate country for 
Vietnam to value all FOPs for initiation purposes.
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    \42\ See Vietnam AD Initiation Checklist.
    \43\ Id.
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    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 determination.

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 plates as a surrogate to value Chinese and 
Vietnamese manufacturers' FOPs.\44\ Additionally, the petitioner 
calculated factory overhead, selling, general, and administrative 
expenses (SG&A), and profit based on the experience of a Malaysian and 
an

[[Page 14050]]

Indonesian producer of comparable merchandise for China and Vietnam, 
respectively.\45\
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    \44\ See China AD Initiation Checklist; see also Vietnam AD 
Initiation Checklist.
    \45\ See China AD Initiation Checklist; see also Vietnam AD 
Initiation Checklist. As noted above, for China, the petitioner 
calculated labor using information specific to Turkey. See China AD 
Initiation Checklist.
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Normal Value Based on Constructed Value

    As noted above for Thailand, the petitioner stated that it was 
unable to obtain home market or third-country prices for paper plates 
to use as a basis for NV. Therefore, for Thailand, the petitioner 
calculated NV based on CV.\46\
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    \46\ See Thailand AD Initiation Checklist.
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    Pursuant to section 773(e) of the Act, the petitioner calculated CV 
as the sum of the cost of manufacturing, SG&A, financial expenses, and 
profit.\47\ For Thailand, in calculating the cost of manufacturing, the 
petitioner relied on the production experience and input consumption 
rates of a U.S. producer of paper plates, valued using publicly 
available information applicable to Thailand.\48\ In calculating SG&A, 
financial expenses, and profit ratios, the petitioner relied on the 
fiscal year 2022 financial statements of a producer of identical 
merchandise in Thailand.\49\
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    \47\ Id.
    \48\ Id.
    \49\ Id.
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Fair Value Comparisons

    Based on the data provided by the petitioner, there is reason to 
believe that imports of paper plates from China, Thailand, 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 plates for each 
of the countries covered by this initiation are as follows: (1) China--
154.57 to 178.80 percent; (2) Thailand--61.03 to 73.17 percent; and (3) 
Vietnam--153.09 to 165.27 percent.\50\
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    \50\ See Country-Specific AD Initiation Checklists.
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Initiation of LTFV Investigations

    Based upon the examination of the Petitions and supplemental 
responses, we find that they meet the requirements of section 732 of 
the Act. Therefore, we are initiating LTFV investigations to determine 
whether imports of paper plates from China, Thailand, 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

Thailand

    In the Petitions, the petitioner identified nine companies in 
Thailand as producers/exporters of paper plates.\51\ Following standard 
practice in LTFV investigations involving market economy countries, 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 U.S. Customs and Border Protection (CBP) data for 
imports under the appropriate Harmonized Tariff Schedule of the United 
States (HTSUS) subheading(s) listed in the ``Scope of the 
Investigations,'' in the appendix.
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    \51\ See Petitions at Volume I (page 9 and Exhibit I-5); see 
also First General Issues Supplement at 3 and Attachment 1.
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    On February 9, 2024, Commerce released CBP data on imports of paper 
plates from Thailand under administrative protective order (APO) to all 
parties with access to information protected by APO and indicated that 
interested parties wishing to comment on CBP data and/or respondent 
selection must do so within three business days of the publication date 
of the notice of initiation of these investigations.\52\ Comments must 
be filed electronically using ACCESS. An electronically filed document 
must be received successfully in its entirety via ACCESS by 5:00 p.m. 
ET on the specified deadline. Commerce will not accept rebuttal 
comments regarding the CBP data or respondent selection.
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    \52\ See Memorandum, ``Release of Data from U.S. Customs and 
Border Protection,'' dated February 9, 2024.
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    Interested parties must submit applications for disclosure under 
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.

China and Vietnam

    In the Petitions, the petitioner named 149 companies in China and 
nine companies in Vietnam as producers and/or exporters of paper 
plates.\53\ Our standard practice for respondent selection in AD 
investigations involving NME countries is to select respondents based 
on quantity and value (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 
Petitions, Commerce will solicit Q&V information that can serve as a 
basis for selecting exporters for individual examination in the event 
that Commerce determines that the number is large and decides to limit 
the number of respondents individually examined pursuant to section 
777A(c)(2) of the Act. For Vietnam, because there are nine 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. 
For China, because there are 149 Chinese producers and/or exporters 
identified in the Petitions, Commerce has determined that it will issue 
Q&V questionnaires to the largest producers and/or exporters in China 
that are identified in the CBP data for which there is complete address 
information on the record.\54\
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    \53\ See Petitions at Volume I (page 9 and Exhibit I-5); see 
also First General Issues Supplement at 3-4 and Attachment 1.
    \54\ See Memorandum, ``Release of U.S. Customs and Border 
Protection Data,'' dated February 9, 2024.
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    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 plates 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. 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 February 28, 2024, 
which is two weeks from the signature date of this notice. 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/administrative-protective-orders.

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

[[Page 14051]]

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/Resources/nme/nme-sep-rate.html. The separate rate 
application will be due 30 days after publication of this initiation 
notice. Exporters and producers must file a timely separate rate 
application if they want to be considered for individual examination. 
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 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} hile 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.\55\
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    \55\ See Enforcement and Compliance's Policy Bulletin No. 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 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 Petitions have been 
provided to the governments of China, Thailand, and Vietnam via ACCESS. 
To the extent practicable, we will attempt to provide a copy of the 
public version of the Petitions to each exporter named in the 
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 Petitions were filed, whether there is a reasonable 
indication that imports of paper plates from China, Thailand, and/or 
Vietnam are materially injuring, or threatening material injury to, a 
U.S. industry.\56\ A negative ITC determination for any country will 
result in the investigation being terminated with respect to that 
country.\57\ Otherwise, these LTFV investigations will proceed 
according to statutory and regulatory time limits.
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    \56\ See section 733(a) of the Act.
    \57\ 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 \58\ 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.\59\ 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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    \58\ See 19 CFR 351.301(b).
    \59\ 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, or as otherwise specified by 
Commerce.\60\ 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, Commerce 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, standalone submission; under limited

[[Page 14052]]

circumstances we will grant untimely filed requests for the extension 
of time limits, where we determine, based on 19 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.\61\
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    \60\ 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.
    \61\ 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.\62\ 
Parties must use the certification formats provided in 19 CFR 
351.303(g).\63\ Commerce intends to reject factual submissions if the 
submitting party does not comply with the applicable certification 
requirements.
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    \62\ See section 782(b) of the Act.
    \63\ 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/.
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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 modified certain of its 
requirements for serving documents containing business proprietary 
information and has made additional clarifications and corrections to 
its AD/CVD regulations.\64\
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    \64\ See Administrative Protective Order, Service, and Other 
Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR 
67069 (September 29, 2023).
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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: February 14, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix

Scope of the Investigations

    The merchandise subject to these investigations is certain paper 
plates. Paper plates subject to these investigations may be cut from 
rolls, sheets, or other pieces of paper and/or paper board. Paper 
plates subject to these investigations have a depth up to and 
including two (2.0) inches, as measured vertically from the base to 
the top of the lip, or the edge if the plate has no lip. Paper 
plates subject to these investigations may be uncolored, white, 
colored, or printed. Printed paper plates subject to these 
investigations may have any type of surface finish, and may be 
printed by any means with images, text and/or colors on one or both 
surfaces. Colored paper plates subject to this investigation may be 
colored by any method, including but not limited to printing, 
beater-dyeing, and dip-dyeing. Paper plates subject to these 
investigations may be produced from paper of any type (including, 
but not limited to, bamboo, straws, bagasse, hemp, kenaf, jute, 
sisal, abaca, cotton inters and reeds, or from non-plant sources, 
such as synthetic resin (petroleum)-based resins), may have any 
caliper or basis weight, may have any shape or size, may have one or 
more than one section, may be embossed, may have foil or other 
substances adhered to their surface, and/or may be uncoated or 
coated with any type of coating.
    The paper plates subject to these investigations remain covered 
by the scope of these investigations whether imported alone, or in 
any combination of subject and non-subject merchandise. When paper 
plates subject to these investigations are imported in combination 
with non-subject merchandise, only the paper plates subject to these 
investigations are subject merchandise.
    The paper plates subject to these investigations include paper 
plates matching the above description that have been finished, 
packaged, or otherwise processed in a third country by performing 
finishing, packaging, or processing that would not otherwise remove 
the merchandise from the scope of the investigations if performed in 
the country of manufacture of the paper plates. Examples of 
finishing, packaging, or other processing in a third country that 
would not otherwise remove the merchandise from the scope of the 
investigations if performed in the country of manufacture of the 
paper plates include, but are not limited to, printing, application 
of other surface treatments such as coatings, repackaging, 
embossing, and application of foil surface treatments.
    Excluded from the scope of these investigations are paper plates 
molded or pressed directly from paper pulp (including but not 
limited to unfelted pulp), which are currently classifiable under 
subheading 4823.70.0020 of the Harmonized Tariff Schedule of the 
United States (HTSUS).
    Also excluded from the scope of these investigations are 
articles that otherwise would be covered but which exhibit the 
following two physical characteristics: (a) depth (measured 
vertically from the base to the top of the lip, or edge if no lip) 
equal to or greater than 1.25 inches but less than two (2.0) inches, 
and (b) a base not exceeding five (5.0) inches in diameter if round, 
or not exceeding 20 square inches in area if any other shape.
    Also excluded from the scope of these investigations are paper 
bowls, paper buckets, and paper food containers with closeable lids.
    Paper plates subject to these investigations are currently 
classifiable under HTSUS subheading 4823.69.0040. Paper plates 
subject to these investigations also may be classified under HTSUS 
subheading 4823.61.0040. If packaged with other articles, the paper 
plates subject to these investigations also may be classified under 
HTSUS subheadings 9505.90.4000 and 9505.90.6000. While the HTSUS 
subheading(s) are provided for convenience and customs purposes, the 
written description of the subject merchandise is dispositive.

[FR Doc. 2024-03863 Filed 2-23-24; 8:45 am]
BILLING CODE 3510-DS-P