Notice2021-23373

Multilayered Wood Flooring From the People's Republic of China: Final Results and Partial Rescission of Countervailing Duty Administrative Review; 2018

Primary source

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Published
October 27, 2021

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The Department of Commerce (Commerce) continues to determine that Riverside Plywood Corporation (Riverside) and its cross-owned affiliates Baroque Timber Industries (Baroque Timber) and Suzhou Times Flooring Co., Ltd., and Jiangsu Senmao Bamboo and Wood Industry Co., Ltd. (Jiangsu Senmao), producers and/or exporters of multilayered wood flooring (wood flooring) from the People's Republic of China (China), received countervailable subsidies during the period of review (POR) January 1, 2018, through December 31, 2018.

Full Text

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<title>Federal Register, Volume 86 Issue 205 (Wednesday, October 27, 2021)</title>
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[Federal Register Volume 86, Number 205 (Wednesday, October 27, 2021)]
[Notices]
[Pages 59362-59364]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-23373]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-971]


Multilayered Wood Flooring From the People's Republic of China: 
Final Results and Partial Rescission of Countervailing Duty 
Administrative Review; 2018

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

SUMMARY: The Department of Commerce (Commerce) continues to determine 
that Riverside Plywood Corporation (Riverside) and its cross-owned 
affiliates Baroque Timber Industries (Baroque Timber) and Suzhou Times 
Flooring Co., Ltd., and Jiangsu Senmao Bamboo and Wood Industry Co., 
Ltd. (Jiangsu Senmao), producers and/or exporters of multilayered wood 
flooring (wood flooring) from the People's Republic of China (China), 
received countervailable subsidies during the period of review (POR) 
January 1, 2018, through December 31, 2018.

DATES: Applicable October 27, 2021.

FOR FURTHER INFORMATION CONTACT: Dennis McClure, AD/CVD Operations, 
Office VIII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-5973.

SUPPLEMENTARY INFORMATION:

Background

    Commerce published the Preliminary Results of this administrative 
review in the Federal Register on April 23, 2021,\1\ and invited 
interested parties to comment.
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    \1\ See Multilayered Wood Flooring from the People's Republic of 
China: Preliminary Results of Countervailing Duty Administrative 
Review, and Intent to Rescind Review, in Part; 2018, 86 FR 21693 
(April 23, 2021) (Preliminary Results), and accompanying Preliminary 
Decision Memorandum.
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    On June 1, 2021, we received case briefs from the following 
interested parties: Riverside, Jiangsu Senmao, Fine Furniture 
(Shanghai) Limited and Double F Limited (collectively, Fine Furniture), 
Lumber Liquidators Services, LLC (including various Chinese exporters 
and producers), the Government of the People's Republic of China (GOC), 
and the American Manufacturers of Multilayered Wood Flooring. On June 
15, 2021, we received rebuttal briefs from Riverside, Jiangsu Senmao, 
and the American Manufacturers of Multilayered Wood Flooring. For a 
complete description of the events that occurred since the Preliminary 
Results, see the Issues and Decision Memorandum.\2\
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    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the 2018 Countervailing Duty Administrative Review 
of Multilayered Wood Flooring from the People's Republic of China,'' 
dated concurrently with, and hereby adopted by, this notice (Issues 
and Decision Memorandum).
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    On July 29, 2021, we extended the deadline for these final results 
to October 20, 2021.\3\
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    \3\ See Memorandum, ``Administrative Review of the 
Countervailing Duty Order on Multilayered Wood Flooring from the 
People's Republic of China: Extension of Deadline for Final 
Results,'' dated July 29, 2021.
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Scope of the Order

    The product covered by the Order \4\ is multilayered wood flooring 
from China. For a complete description of the scope of the Order, see 
the Issues and Decision Memorandum.
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    \4\ See Multilayered Wood Flooring from the People's Republic of 
China: Countervailing Duty Order, 76 FR 76693 (December 8, 2011) 
(Order); see also Multilayered Wood Flooring from the People's 
Republic of China: Amended Antidumping and Countervailing Duty 
Orders, 77 FR 5484 (February 3, 2012) (Amended Order); and 
Multilayered Wood Flooring from the People's Republic of China: 
Final Clarification of the Scope of the Antidumping and 
Countervailing Duty Orders, 82 FR 27799 (June 19, 2017).
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Analysis of Comments Received

    All issues raised in the parties' briefs are addressed in the 
Issues and Decision Memorandum. A list of the issues addressed is 
attached to this notice at Appendix I. The Issues and Decision 
Memorandum is a public document and is on file electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at <a href="http://access.trade.gov">http://access.trade.gov</a>. In addition, a complete 
version of the Issues and Decision Memorandum can be accessed directly 
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.

Changes Since the Preliminary Results

    Based on our analysis of the case and rebuttal briefs and the 
evidence on the record, we made certain changes from the Preliminary 
Results. These changes are explained in the Issues and Decision 
Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we find that there is a 
subsidy, i.e., a government-provided financial contribution that gives 
rise to a benefit

[[Page 59363]]

to the recipient, and that the subsidy is specific.\5\ The Issues and 
Decision Memorandum contains a full description of the methodology 
underlying Commerce's conclusions, including any determination that 
relied upon the use of adverse facts available pursuant to sections 
776(a) and (b) of the Act.
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    \5\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Partial Rescission of Administrative Review

    As noted in the Preliminary Results, Commerce timely received no-
shipment certifications from Innomaster Home (Zhongshan) Co., Ltd.; 
Jiangsu Yuhui International Trade Co., Ltd.; Jiashan On-Line Lumber 
Co., Ltd.; and Shandong Longteng Wood Co., Ltd. We inquired with U.S. 
Customs and Border Protection (CBP) whether these companies had shipped 
merchandise to the United States during the POR, and CBP provided no 
evidence to contradict the claims of no shipments made by these 
companies. Accordingly, in the Preliminary Results, Commerce stated its 
intention to rescind the review with respect to these companies in the 
final results. As the facts in this regard are unchanged since the 
Preliminary Results, we are rescinding the administrative review of 
these companies, pursuant to 19 CFR 351.213(d)(3).

Final Results of Administrative Review

    In accordance with 19 CFR 351.221(b)(5), we calculated a final 
countervailable subsidy rate for each of the mandatory respondents, 
Riverside and Jiangsu Senmao. For the companies subject to this review 
that were not selected for individual examination, we followed Commerce 
practice, which is to base the subsidy rates on an average of the 
subsidy rates calculated for those companies selected for individual 
examination, excluding de minimis rates or rates based entirely on 
adverse facts available. In this case, for the non-selected companies, 
we calculated a rate by weight-averaging the calculated subsidy rates 
of Riverside and Jiangsu Senmao using their publicly-ranged sales data 
for exports of subject merchandise to the United States during the POR. 
We find the countervailable subsidy rates for the producers/exporters 
under review to be as follows:

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                                                                Subsidy
                      Producer/exporter                           rate
                                                               (percent)
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Riverside Plywood Corporation and its Cross-Owned Affiliates        9.18
 \6\.........................................................
Jiangsu Senmao Bamboo and Wood Industry Co., Ltd.............       5.81
Non-Selected Companies Under Review \7\......................       8.17
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Assessment Rates

    Pursuant to 19 CFR 351.212(b)(2), Commerce will determine, and CBP 
shall assess, countervailing duties on all appropriate entries of 
subject merchandise in accordance with the final results of this 
review, for the above-listed companies at the applicable ad valorem 
assessment rates listed. We intend to issue assessment instructions to 
CBP 35 days after the date of publication of these final results of 
review. If a timely summons is filed at the U.S. Court of International 
Trade, the assessment instructions will direct CBP not to liquidate 
relevant entries until the time for parties to file a request for a 
statutory injunction has expired (i.e., within 90 days of publication).
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    \6\ Cross-owned affiliates are Baroque Timber Industries and 
Suzhou Times Flooring Co., Ltd.
    \7\ See Appendix II.
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    For the companies for which this review is rescinded, Commerce will 
instruct CBP to assess countervailing duties on all appropriate entries 
at a rate equal to the cash deposit of estimated countervailing duties 
required at the time of entry, or withdrawal from warehouse, for 
consumption, during the POR in accordance with 19 CFR 351.212(c)(l)(i).

Cash Deposit Instructions

    In accordance with section 751(a)(2)(C) of the Act, Commerce also 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amounts shown for each of the respective 
companies listed above on shipments of subject merchandise entered, or 
withdrawn from warehouse, for consumption on or after the date of 
publication of the final results of this administrative review. For all 
non-reviewed firms subject to the Order, we will instruct CBP to 
continue to collect cash deposits of estimated countervailing duties at 
the most recent company-specific or all-others rate applicable to the 
company, as appropriate. These cash deposit requirements, effective 
upon publication of these final results, shall remain in effect until 
further notice.

Administrative Protective Orders

    This notice also serves as a reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the destruction of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return or destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a sanctionable 
violation.
    We are issuing and publishing these final results in accordance 
with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: October 20, 2021.
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 I

List of Topics Discussed in the Final Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Rescission of the Review, In Part
V. Period of Review
VI. Subsidies Valuation Information
VII. Changes Since the Preliminary Results
VIII. Use of Facts Otherwise Available
IX. Analysis of Programs
X. Discussion of Comments
    Comment 1: Whether To Apply Adverse Facts Available to the 
Export Buyer's Credit Program
    Comment 2: Whether There Is a Basis to Apply Adverse Facts 
Available Regarding the Countervailability of the Provision of 
Electricity for Less Than Adequate Remuneration
    Comment 3: Whether the Electricity Rate Benchmark Selected for 
Adverse Facts Available Is Flawed
    Comment 4: Whether There Is a Basis to Apply Adverse Facts 
Available to Specificity Regarding the Countervailability of the 
Provision of Inputs for Less Than Adequate Remuneration
    Comment 5: Whether Individually-Owned Suppliers Are Government 
Authorities
    Comment 6: Whether Commerce Should Include International 
Tropical Timber Organization Data in the Plywood Benchmark Price for 
the Provision of Plywood for Less Than Adequate Remuneration
    Comment 7: Whether Commerce Should Revise its Benchmark Prices 
to Properly Value Multiple Sources of Data
    Comment 8: Whether Commerce Should Apply Partial Adverse Facts 
Available to Riverside and Baroque Timber for Failing to Fully 
Report Purchases of Backboard Veneers
    Comment 9: Whether Backboards Are Properly Defined as Veneers

[[Page 59364]]

    Comment 10: Whether to Use Riverside's and Baroque Timber's 
Density Estimates Based on Actual Purchases or Density Figures from 
the 2017 Administrative Review in the Provision of Fiberboard and 
Veneers for Less Than Adequate Remuneration Calculations
    Comment 11: Whether Commerce Incorrectly Calculated Baroque 
Timber's Unit Price for Fiberboard and Veneers
    Comment 12: Whether to Include a Specific Harmonized Tariff 
Schedule Subheading in the Veneer Benchmark Calculation
    Comment 13: Whether Commerce Should Adjust the Value-Added Tax 
Used to Calculate Benchmark Prices for the Provision of Inputs for 
Less Than Adequate Remuneration Calculations
    Comment 14: Whether Commerce Should Revise Inland Freight Costs 
Used To Calculate Benchmark Prices for the Provision of Inputs for 
Less Than Adequate Remuneration Calculations
    A. Domestic Transportation and Border Fees
    B. Jiangsu Senmao's Inland Freight Distance
    C. Jiangsu Senmao's Domestic Transportation Rate
    Comment 15: Whether Commerce Should Include Negative Less Than 
Adequate Remuneration Calculations in Benefits
    Comment 16: Whether Commerce's Decision to Countervail ``Other 
Subsidies'' Is Contrary to Law
    Comment 17: Whether Commerce Should Assign Kember Flooring a 
Countervailable Duty Subsidy Rate
    Comment 18: Whether Commerce Should Revise the U.S. Customs and 
Border Protection Instructions
XI. Recommendation

Appendix II

Non-Selected Companies Under Review

1. Anhui Boya Bamboo & Wood Products Co., Ltd.
2. Anhui Longhua Bamboo Product Co., Ltd.
3. Anhui Yaolong Bamboo & Wood Products Co., Ltd.
4. Armstrong Wood Products (Kunshan) Co., Ltd.
5. Benxi Flooring Factory (General Partnership)
6. Benxi Wood Company
7. Changzhou Hawd Flooring Co., Ltd.
8. Dalian Huilong Wooden Products Co., Ltd.
9. Dalian Jaenmaken Wood Industry Co., Ltd.
10. Dalian Jiahong Wood Industry Co., Ltd.
11. Dalian Kemian Wood Industry Co., Ltd.
12. Dalian Penghong Floor Products Co., Ltd.
13. Dalian Qianqiu Wooden Product Co., Ltd.
14. Dalian Shengyu Science and Technology Development Co.
15. Dalian Shumaike Floor Manufacturing Co., Ltd.
16. Dalian T-Boom Wood Products Co., Ltd.
17. Dongtai Fuan Universal Dynamics, LLC
18. Dun Hua Sen Tai Wood Co., Ltd.
19. Dunhua City Dexin Wood Industry Co., Ltd.
20. Dunhua City Hongyuan Wood Industry Co., Ltd.
21. Dunhua City Jisen Wood Industry Co., Ltd.
22. Dunhua Shengda Wood Industry Co., Ltd.
23. Fine Furniture (Shanghai) Limited
24. Fusong Jinlong Wooden Group Co., Ltd.
25. Fusong Jinqiu Wooden Product Co., Ltd.
26. Fusong Qianqiu Wooden Product Co., Ltd.
27. Guangzhou Homebon Timber Manufacturing Co., Ltd.
28. HaiLin LinJing Wooden Products Co., Ltd.
29. Hangzhou Hanje Tec Company Limited
30. Hangzhou Zhengtian Industrial Co., Ltd.
31. Hunchun Forest Wolf Wooden Industry Co., Ltd.
32. Hunchun Xingjia Wooden Flooring Inc.
33. Huzhou Chenghang Wood Co., Ltd.
34. Huzhou Fulinmen Imp. & Exp. Co., Ltd.
35. Huzhou Jesonwood Co., Ltd.
36. Huzhou Sunergy World Trade Co., Ltd.
37. Jiangsu Guyu International Trading Co., Ltd.
38. Jiangsu Keri Wood Co., Ltd.
39. Jiangsu Mingle Flooring Co., Ltd.
40. Jiangsu Simba Flooring Co., Ltd.
41. Jiashan HuiJiaLe Decoration Material Co., Ltd.
42. Jiaxing Hengtong Wood Co., Ltd.
43. Jilin Xinyuan Wooden Industry Co., Ltd.
44. Karly Wood Product Limited
45. Kember Flooring, Inc. (aka Kember Hardwood Flooring, Inc.)
46. Kemian Wood Industry (Kunshan) Co., Ltd.
47. Kingman Floors Co., Ltd.
48. Linyi Anying Wood Co., Ltd.
49. Linyi Youyou Wood Co., Ltd. (successor-in-interest to Shanghai 
Lizhong Wood Products Co., Ltd.) (aka, The Lizhong Wood Industry 
Limited Company of Shanghai)
50. Pinge Timber Manufacturing (Zhejiang) Co., Ltd.
51. Power Dekor Group Co. Ltd.
52. Scholar Home (Shanghai) New Material Co. Ltd.
53. Shanghaifloor Timber (Shanghai) Co., Ltd.
54. Sino-Maple (Jiangsu) Co., Ltd.
55. Suzhou Dongda Wood Co., Ltd.
56. Tongxiang Jisheng Import and Export Co., Ltd.
57. Xiamen Yung De Ornament Co., Ltd.
58. Xuzhou Shenghe Wood Co., Ltd.
59. Yekalon Industry, Inc.
60. Yihua Lifestyle Technology Co., Ltd.
61. Yingyi-Nature (Kunshan) Wood Industry Co., Ltd.
62. Zhejiang Dadongwu Greenhome Wood Co., Ltd.
63. Zhejiang Fuerjia Wooden Co., Ltd.
64. Zhejiang Jiechen Wood Industry Co., Ltd.
65. Zhejiang Longsen Lumbering Co., Ltd.
66. Zhejiang Shiyou Timber Co., Ltd.
67. Zhejiang Shuimojiangnan New Material Technology Co., Ltd.
68. Zhejiang Simite Wooden Co., Ltd.

[FR Doc. 2021-23373 Filed 10-26-21; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on October 27, 2021.

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