Notice2021-13623
Certain Softwood Lumber Products From Canada: Notice of Initiation and Preliminary Results of Countervailing Duty Changed Circumstances Review
Primary source
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Published
June 25, 2021
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The Department of Commerce (Commerce) is initiating a changed circumstances review (CCR) to determine whether Chaleur Forest Products LP (CFP LP) and Chaleur Forest Products Inc. (CFP Inc.) are the successors-in-interest (SIIs) to Chaleur Sawmills LP (Chaleur LP) and Fornebu Lumber Co. Inc. (Fornebu Inc.), respectively, in the context of the countervailing duty (CVD) order on certain softwood lumber products (softwood lumber) from Canada. We also preliminarily determine that CFP LP and CFP Inc. are the SIIs to Chaleur LP and Fornebu Inc., respectively. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 86 Issue 120 (Friday, June 25, 2021)</title>
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[Federal Register Volume 86, Number 120 (Friday, June 25, 2021)]
[Notices]
[Pages 33660-33662]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-13623]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-122-858]
Certain Softwood Lumber Products From Canada: Notice of
Initiation and Preliminary Results of Countervailing Duty Changed
Circumstances Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) is initiating a changed
circumstances review (CCR) to determine whether Chaleur Forest Products
LP (CFP LP) and Chaleur Forest Products Inc. (CFP Inc.) are the
successors-in-interest (SIIs) to Chaleur Sawmills LP (Chaleur LP) and
Fornebu Lumber Co. Inc. (Fornebu Inc.), respectively, in the context of
the
[[Page 33661]]
countervailing duty (CVD) order on certain softwood lumber products
(softwood lumber) from Canada. We also preliminarily determine that CFP
LP and CFP Inc. are the SIIs to Chaleur LP and Fornebu Inc.,
respectively. Interested parties are invited to comment on these
preliminary results.
DATES: Applicable June 25, 2021.
FOR FURTHER INFORMATION CONTACT: Kristen Johnson, AD/CVD Operations,
Office III, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-4793.
SUPPLEMENTARY INFORMATION:
Background
On January 3, 2018, Commerce published in the Federal Register a
CVD order on softwood lumber from Canada.\1\ On March 11, 2021, CFP LP
and CFP Inc. (collectively, the Chaleur Companies) requested that,
pursuant to section 751(b) of the Tariff Act of 1930, as amended (the
Act), 19 CFR 351.216, and 19 CFR 351.221(c)(3), Commerce conduct a CCR
of the Order to confirm that CFP LP and CFP Inc. are the SIIs to
Chaleur LP and Fornebu Inc., respectively, and accordingly, to assign
them the cash deposit rates of Chaleur LP and Fornebu Inc.\2\ In its
submission, the Chaleur Companies state that Chaleur LP and Fornebu
Inc. undertook name changes to CFP LP and CFP Inc., respectively, but
are otherwise unchanged.\3\ In a March 19, 2021, filing, the Committee
Overseeing Action for Lumber International Trade Investigations or
Negotiations (hereinafter referred to as the petitioner) argued that
Fornebu Inc. was not eligible to receive a cash deposit rate that
differs from the all-others rate that is listed in the Order and, thus,
argued that Commerce should refrain from initiating the CCR.\4\ In a
March 29, 2021, filing, the Chaleur Companies argue that Fornebu Inc.
is eligible for a CCR and that Commerce should, therefore, initiate and
preliminarily determine that CFP LP and CFP Inc. are the SIIs to
Chaleur LP and Fornebu Inc, respectively.\5\
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\1\ See Certain Softwood Lumber Products from Canada: Amended
Final Affirmative Countervailing Duty Determination and
Countervailing Duty Order, 83 FR 347 (January 3, 2018) (Order).
\2\ See Chaleur Companies' Letter, ``Certain Softwood Lumber
Products from Canada: Chaleur's Request for Changed Circumstances
Reviews,'' dated March 11, 2021 (CCR Request).
\3\ Id. at 2-3.
\4\ See Petitioner's Letter, ``Certain Softwood Lumber Products
from Canada: Response to Chaleur's Response for Changed
Circumstances Reviews,'' dated March 19, 2021.
\5\ See Chaleur Companies' Letter, ``Certain Softwood Lumber
Products from Canada: Rebuttal to Petitioner's Response to Chaleur's
Request for Changed Circumstances Reviews,'' dated March 29, 2021.
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On April 12, 2021, Commerce issued a deficiency letter to the
Chaleur Companies requesting additional information and documentation
regarding changes to operations, ownership, and corporate and legal
structure during the relevant period.\6\ On May 3, 2021, the Chaleur
Companies submitted an adequate response to the deficiency letter.\7\
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\6\ See Commerce's Letter, ``Certain Softwood Lumber Products
from Canada: Countervailing Duty Changed Circumstances Review
Request: Response to CCR Request from Chaleur Forest Products LP
(Chaleur FP LP) and Chaleur Forest Products Inc. (Chaleur FP Inc.)
(collectively, the Chaleur Companies),'' dated April 12, 2021.
\7\ See Chaleur Companies' Letter, ``Certain Softwood Lumber
Products from Canada: Chaleur's Response to the Department's
Deficiency Letter,'' dated May 3, 2021 (Deficiency Response).
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Scope of the Order
The merchandise subject to the Order is certain softwood lumber
products.\8\ The products are currently classified under the following
Harmonized Tariff Schedule of the United States (HTSUS) item numbers:
4406.11.0000; 4406.91.0000; 4407.10.01.01; 4407.10.01.02;
4407.10.01.15; 4407.10.01.16; 4407.10.01.17; 4407.10.01.18;
4407.10.01.19; 4407.10.01.20; 4407.10.01.42; 4407.10.01.43;
4407.10.01.44; 4407.10.01.45; 4407.10.01.46; 4407.10.01.47;
4407.10.01.48; 4407.10.01.49; 4407.10.01.52; 4407.10.01.53;
4407.10.01.54; 4407.10.01.55; 4407.10.01.56; 4407.10.01.57;
4407.10.01.58; 4407.10.01.59; 4407.10.01.64; 4407.10.01.65;
4407.10.01.66; 4407.10.01.67; 4407.10.01.68; 4407.10.01.69;
4407.10.01.74; 4407.10.01.75; 4407.10.01.76; 4407.10.01.77;
4407.10.01.82; 4407.10.01.83; 4407.10.01.92; 4407.10.01.93;
4407.11.00.01; 4407.11.00.02; 4407.11.00.42; 4407.11.00.43;
4407.11.00.44; 4407.11.00.45; 4407.11.00.46; 4407.11.00.47;
4407.11.00.48; 4407.11.00.49; 4407.11.00.52; 4407.11.00.53;
4407.12.00.01; 4407.12.00.02; 4407.12.00.17; 4407.12.00.18;
4407.12.00.19; 4407.12.00.20; 4407.12.00.58; 4407.12.00.59;
4407.19.05.00; 4407.19.06.00; 4407.19.10.01; 4407.19.10.02;
4407.19.10.54; 4407.19.10.55; 4407.19.10.56; 4407.19.10.57;
4407.19.10.64; 4407.19.10.65; 4407.19.10.66; 4407.19.10.67;
4407.19.10.68; 4407.19.10.69; 4407.19.10.74; 4407.19.10.75;
4407.19.10.76; 4407.19.10.77; 4407.19.10.82; 4407.19.10.83;
4407.19.10.92; 4407.19.10.93; 4409.10.05.00; 4409.10.10.20;
4409.10.10.40; 4409.10.10.60; 4409.10.10.80; 4409.10.20.00;
4409.10.90.20; 4409.10.90.40; 4418.50.0010; 4418.50.0030; 4418.50.0050
and 4418.99.10.00. Although the HTSUS numbers are provided for
convenience and customs purposes, the written product description
remains dispositive.
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\8\ For a complete description of the Order, see Memorandum,
``Initiation and Preliminary Results of Changed Circumstances
Review: Preliminary Decision Memorandum,'' dated concurrently with
this notice (Initiation and Preliminary Decision Memorandum).
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Initiation and Preliminary Results of CCR
Pursuant to section 751(b)(1) of the Act, Commerce will conduct a
CCR upon receipt of information concerning, or a request from, an
interested party for a review of a CVD order which shows changed
circumstances sufficient to warrant a review of the order. The
information submitted by the Chaleur Companies supporting their claim
that CFP LP and CFP Inc. are the SIIs to Chaleur LP and Fornebu Inc.,
respectively, demonstrates changed circumstances sufficient to warrant
such a review.\9\ Therefore, in accordance with section 751(b)(1)(A) of
the Act and 19 CFR 351.216(d), we are initiating a CCR based upon the
information contained in Chaleur Companies' filings.\10\
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\9\ See 19 CFR 351.216(d); see also CCR Request and Deficiency
Response.
\10\ See CCR Request and Deficiency Response.
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Section 351.221(c)(3)(ii) of Commerce's regulations permits
Commerce to combine the notice of initiation of a CCR and the notice of
preliminary results if Commerce concludes that expedited action is
warranted.\11\ In this instance, because the record contains
information necessary to make a preliminary finding, we find that
expedited action is warranted and have combined the notice of
initiation and the notice of preliminary results.\12\
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\11\ See 19 CFR 351.221(c)(3)(ii).
\12\ See, e.g., Notice of Initiation and Preliminary Results of
Changed Circumstances Reviews: Certain Passenger Vehicle and Light
Truck Tires from the People's Republic of China, 85 FR 5193 (January
29, 2020), unchanged in Certain Passenger Vehicle and Light Truck
Tires from the People's Republic of China: Final Results of Changed
Circumstances Reviews, 85 FR 14638 (March 13, 2020) (Passenger
Vehicle and Light Truck Tires from China CCR).
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In a CVD CCR, Commerce will make an affirmative successorship
finding (i.e., that the respondent company is the
[[Page 33662]]
same subsidized entity for CVD cash deposit purposes as the predecessor
company) where there is no evidence of significant changes in the
respondent's: (1) Operations; (2) ownership; and (3) corporate and
legal structure during the relevant period (i.e., the ``look-back
window'') that could have affected the nature and extent of the
respondent's subsidy levels.\13\ Where Commerce makes an affirmative
CVD successorship finding, the successor's merchandise will be entitled
to enter under the predecessor's cash deposit rate.\14\
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\13\ See Certain Pasta from Turkey: Preliminary Results of
Countervailing Duty Changed Circumstances Review, 74 FR 47225
(September 15, 2009). Here, the relevant period, or ``look-back
window,'' is December 31, 2020 (end of the period of review
associated with the most recent opportunity to request an
administrative review) through March 11, 2021 (date of the CCR
request).
\14\ See Passenger Vehicle and Light Truck Tires from China CCR.
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In accordance with 19 CFR 351.216, we preliminarily determine that
CFP LP and CFP Inc. are the SIIs to Chaleur LP and Fornebu Inc.,
respectively. Record evidence, as submitted by the Chaleur Companies,
indicates that CFP LP and CFP Inc. operate as essentially the same
business entities as Chaleur LP and Fornebu Inc., respectively, with
respect to the subject merchandise.\15\ Specifically, all record
information with respect to trading operations, shareholders, and
corporate and legal structure demonstrates that CFP LP and CFP Inc. are
the same subsidized entity as their predecessors.\16\ For the complete
SII analysis, refer to the accompanying Initiation and Preliminary
Decision Memorandum. Commerce will issue its final results of the
review in accordance with the time limits set forth in 19 CFR
351.216(e).
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\15\ See Initiation and Preliminary Decision Memorandum; see
also CCR Request and Deficiency Response.
\16\ Id.
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Should the final results remain the same as these preliminary
results, we will instruct U.S. Customs and Border Protection to assign
entries of subject merchandise exported by CFP LP and CFP Inc. the CVD
cash deposit rates applicable to Chaleur LP and Fornebu Inc., effective
the date of publication of the final results.
Public Comment
Pursuant to 19 CFR 351.310(c), and interested party may request a
hearing within 30 days of publication of this notice. In accordance
with 19 CFR 351.309(c)(1)(ii), interested parties may submit case
briefs not later than 30 days after the date of publication of this
notice. Rebuttal briefs, limited to issues raised in the case briefs,
may be filed no later than seven days after the case briefs, in
accordance with 19 CFR 351.309(d). Parties who submit case or rebuttal
briefs are requested to submit with each argument: (1) A statement of
the issue; (2) a brief summary of the argument; and (3) a table of
authorities.\17\ All comments are to be filed electronically using
Enforcement and Compliance's Antidumping and Countervailing Duty
Centralized Electronic Service System (ACCESS) available to registered
users at <a href="https://access.trade.gov">https://access.trade.gov</a>, and must also be served on
interested parties. An electronically filed document must be received
successfully in its entirety by ACCESS by 5:00 p.m. Eastern Time on the
day it is due.\18\ Until further notice, Commerce has temporarily
modified certain of its requirements for serving documents containing
business proprietary information.\19\
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\17\ See 19 CFR 351.309(c)(2).
\18\ See 19 CFR 351.303(b).
\19\ 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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Final Results of the Changed Circumstances Review
Consistent with 19 CFR 351.216(e), Commerce will issue the final
results of this CCR no later than 270 days after the date on which this
review was initiated, or within 45 days of publication of these
preliminary results, if all parties agree to our preliminary finding.
Notification to Interested Parties
This notice is published in accordance with sections 751(b)(1) and
777(i) of the Act, and 19 CFR 351.216(b) and 351.221(c)(3).
Dated: June 14, 2021.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations.
[FR Doc. 2021-13623 Filed 6-24-21; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on June 25, 2021.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.