Notice2021-26890

Certain Mobile Access Equipment and Subassemblies Thereof From the People's Republic of China: Countervailing Duty Order and Amended Final Affirmative Countervailing Duty Determination

Primary source

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Published
December 10, 2021

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

Based on affirmative final determinations by the Department of Commerce (Commerce) and International Trade Commission (ITC), Commerce is issuing a countervailing duty (CVD) order on certain mobile access equipment and subassemblies thereof (mobile access equipment) from the People's Republic of China (China). In addition, Commerce is amending its final determination with respect to mobile access equipment from China to correct several ministerial errors.

Full Text

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<title>Federal Register, Volume 86 Issue 235 (Friday, December 10, 2021)</title>
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[Federal Register Volume 86, Number 235 (Friday, December 10, 2021)]
[Notices]
[Pages 70439-70442]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-26890]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-140]


Certain Mobile Access Equipment and Subassemblies Thereof From 
the People's Republic of China: Countervailing Duty Order and Amended 
Final Affirmative Countervailing Duty Determination

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

SUMMARY: Based on affirmative final determinations by the Department of 
Commerce (Commerce) and International Trade Commission (ITC), Commerce 
is issuing a countervailing duty (CVD) order on certain mobile access 
equipment and subassemblies thereof (mobile access equipment) from the 
People's Republic of China (China). In addition, Commerce is amending 
its final determination with respect to mobile access equipment from 
China to correct several ministerial errors.

DATES: Applicable December 10, 2021.

FOR FURTHER INFORMATION CONTACT: Theodore Pearson or Michael Romani, 
AD/CVD Operations, Office I, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-2631 or (202) 
482-0198, respectively.

SUPPLEMENTARY INFORMATION:

Background

    In accordance with section 705(a), 705(d), and 777(i) of the Tariff 
Act of 1930, as amended (the Act), on October 19, 2021, Commerce 
published its affirmative final determination that countervailable 
subsides are being provided to producers and exporters of mobile access 
equipment from China.\1\ The Coalition of American Manufacturers of 
Mobile Access Equipment (the petitioner) and Lingong Jinan Heavy 
Machinery Co., Ltd. (LGMG) submitted timely allegations on the record 
that Commerce made several ministerial errors in the Final 
Determination.\2\ Section 705(e) of the

[[Page 70440]]

Act and 19 CFR 351.224(f) define ministerial errors as errors in 
addition, subtraction, or other arithmetic function, clerical errors 
resulting from inaccurate copying, duplication, or the like, and any 
other type of unintentional error which Commerce considers ministerial. 
We reviewed the allegations and determined that we made ministerial 
errors in the Final Determination. See ``Amendment to the Final 
Determination'' section below for further discussion.
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    \1\ See Certain Mobile Access Equipment and Subassemblies 
Thereof from the People's Republic of China: Final Affirmative 
Countervailing Duty Determination, 86 FR 57809 (October 19, 2021) 
(Final Determination).
    \2\ See Petitioner's Letter, ``Certain Mobile Access Equipment 
and Subassemblies Thereof from the People's Republic of China: 
Ministerial Error Allegations,'' dated October 20, 2021 (Petitioner 
Ministerial Error Allegations); see also LGMG's Letter, ``Certain 
Mobile Access Equipment and Subassemblies Thereof from China; CVD 
Investigation; LGMG Ministerial Error Comments,'' dated October 20, 
2021 (collectively, LGMG Ministerial Error Allegations).
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    On December 3, 2021, pursuant to sections 705(d) of the Act, the 
ITC notified Commerce of its final affirmative determination that an 
industry in the United States is threatened with material injury by 
reason of subsidized imports of mobile access equipment from China, 
within the meaning of sections 705(b)(1)(A)(i).\3\
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    \3\ See ITC's Letter, ``Notification of ITC Final 
Determination,'' dated December 3, 2021 (ITC Notification Letter).
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Scope of the Order

    The products covered by this order are mobile access equipment from 
China. For a full description of the scope of this order, see Appendix 
I.

Amendment to the Final Determination

    On October 20, 2021, the petitioner and LGMG submitted timely 
ministerial error allegations regarding the Final Determination.\4\ 
Commerce reviewed the record, and on November 8, 2021, agreed that 
several errors alleged by the petitioner constituted ministerial errors 
within the meaning of section 705(e) of the Act and 19 CFR 
351.224(f).\5\ Specifically, Commerce determined that it had: 
Miscalculated the benchmark for ocean freight used in calculating the 
subsidy rates for certain the provision of inputs for less-than-
adequate-remuneration (LTAR) programs; miscalculated the benchmark for 
inland freight used for certain of LGMG's of inputs for LTAR programs; 
and failed to apply the ``0.5 percent test'' for determining whether to 
allocate or expense one of LGMG's subsidy programs.\6\ Pursuant to 19 
CFR 351.224(e), Commerce is amending the Final Determination to reflect 
the corrections of the ministerial errors described in the Ministerial 
Error Memorandum.
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    \4\ See Petitioner Ministerial Error Allegations; see also LGMG 
Ministerial Error Allegations.
    \5\ See Memorandum, ``Countervailing Duty Investigation Certain 
Mobile Access Equipment and Subassemblies Thereof from the People's 
Republic of China: Ministerial Error Allegations in the Final 
Determination,'' dated November 8, 2021 (Ministerial Error 
Memorandum).
    \6\ Id. Commerce also determined that it erred in selecting the 
discount rate used for allocating two other subsidies for LGMG in 
the Final Determination.
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    Based on these corrections, the subsidy rate for LGMG changed from 
18.34 percent to 18.58 percent and the subsidy rate for Zhejiang Dingli 
Machinery Co., Ltd. (Dingli) changed from 11.95 percent to 11.97 
percent. Because the all-others rate is based upon a weighted average 
of the subsidy rates calculated for Dingli and LGMG, the all-others 
rate changed from 12.93 percent to 12.98 percent. In addition, the 
adverse facts available subsidy rate for non-responsive companies, 
which is partially calculated using subsidy rates determined for Dingli 
and LGMG, changed from 448.70 percent to 448.80 percent.

CVD Order

    As stated above, on December 3, 2021, in accordance with section 
705(d) of the Act, the ITC notified Commerce of its final determination 
that an industry in the United States producing mobile access equipment 
is threatened with material injury, within the meaning of section 
705(b)(1)(A)(ii) of the Act, by reason of subsidized imports of mobile 
access equipment from China.\7\ Therefore, in accordance with section 
705(c)(2) of the Act, we are publishing this CVD order.
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    \7\ See ITC Notification Letter.
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    According to section 706(b)(2) of the Act, countervailing duties 
shall be assessed on subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
ITC's notice of final determination if that determination is based upon 
the threat of material injury. Section 706(b)(1) of the Act states, 
``{i{time} f the Commission, in its final determination under section 
705(b), finds material injury or threat of material injury which, but 
for the suspension of liquidation under section 703(d)(2), would have 
led to a finding of material injury, then entries of the merchandise 
subject to the countervailing duty order, the liquidation of which has 
been suspended under section 703(d)(2), shall be subject to the 
imposition of countervailing duties under section 701(a).'' In 
addition, section 706(b)(2) of the Act requires U.S. Customs and Border 
Protection (CBP) to refund any cash deposits of estimated 
countervailing duties posted before the date of publication of the 
ITC's final affirmative determination, if the ITC's final determination 
is based on threat other than the threat described in section 706(b)(1) 
of the Act. Because the ITC's final determination in this case is based 
on the threat of material injury and is not accompanied by a finding 
that injury would have resulted but for the imposition of suspension of 
liquidation of entries since the publication of Commerce's Preliminary 
Determination in the Federal Register,\8\ section 706(b)(2) of the Act 
applies.
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    \8\ See Certain Mobile Access Equipment and Subassemblies 
Thereof from the People's Republic of China: Preliminary Affirmative 
Countervailing Duty Determination, 86 FR 41013 (July 30, 2021) 
(Preliminary Determination).
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Suspension of Liquidation

    As a result of the ITC's determination and in accordance with 
section 706(a)(1) of the Act, Commerce will direct CBP to assess, upon 
further instruction by Commerce, countervailing duties equal to the 
amount of the net countervailable subsidy for all relevant entries of 
mobile access equipment from China. In accordance with section 706 of 
the Act, Commerce will direct CBP to continue suspension of 
liquidation, effective on the date of publication of the ITC's notice 
of final determination in the Federal Register, and to require a cash 
deposit for each entry of subject merchandise in an amount equal to the 
net countervailable subsidy rates listed below. The all-others rate 
applies to all producers and exporters of subject merchandise not 
specifically listed.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
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Lingong Group Jinan Heavy Machinery Co., Ltd.\9\........           18.58
Zhejiang Dingli Machinery Co., Ltd.\10\.................           11.97
Jinan Zhongtian International Trading \11\..............          448.80
Zhongshan Shiliwang Machinery Co., LTD \12\.............          448.80
Yantai Empire Industry and Trade \13\...................          448.80
Shandong Lede Machinery \14\............................          448.80

[[Page 70441]]

 
Shandong Huifeng Auto Fittings \15\.....................          448.80
Jinan Zhongtang Mechanical Equipment \16\...............          448.80
All Others..............................................           12.98
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Termination of the Suspension of Liquidation
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    \9\ Cross-owned affiliate is Linyi Lingong Machinery Group Co., 
Ltd.
    \10\ Cross-owned affiliates are Zhejiang Green Power Machinery 
Co., Ltd. and Shengda Fenghe Automotive Equipment Co., Ltd.
    \11\ See Preliminary Decision Memorandum at section 
``Application of AFA: Non-Responsive Companies.''
    \12\ Id.
    \13\ Id.
    \14\ Id.
    \15\ Id.
    \16\ Id.
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    Commerce will instruct CBP to terminate the suspension of 
liquidation for entries of mobile access equipment from China, entered 
or withdrawn from warehouse, for consumption prior to the publication 
of the ITC's notice of final determination. Commerce will also instruct 
CBP to refund any cash deposits made with respect to entries of mobile 
access equipment entered, or withdrawn from warehouse, for consumption 
on or after July 30, 2021 (i.e., the date of publication of the 
Preliminary Determination), but before the date of publication of the 
ITC's notice of final determination. This notice constitutes the 
countervailing duty order with respect to mobile access equipment from 
China, pursuant to section 706(a) of the Act.

Establishment of the Annual Inquiry Service List

    On September 20, 2021, Commerce published the final rule titled 
``Regulations to Improve Administration and Enforcement of Antidumping 
and Countervailing Duty Laws'' in the Federal Register.\17\ On 
September 27, 2021, Commerce also published the notice entitled ``Scope 
Ruling Application; Annual Inquiry Service List; and Informational 
Sessions'' in the Federal Register.\18\ The Final Rule and Procedural 
Guidance provide that Commerce will maintain an annual inquiry service 
list for each order or suspended investigation, and any interested 
party submitting a scope ruling application or request for 
circumvention inquiry shall serve a copy of the application or request 
on the persons on the annual inquiry service list for that order, as 
well as any companion order covering the same merchandise from the same 
country of origin.\19\
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    \17\ See Regulations to Improve Administration and Enforcement 
of Antidumping and Countervailing Duty Laws, 86 FR 52300 (September 
20, 2021) (Final Rule).
    \18\ See Scope Ruling Application; Annual Inquiry Service List; 
and Informational Sessions, 86 FR 53205 (September 27, 2021) 
(Procedural Guidance).
    \19\ Id.
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    In accordance with the Procedural Guidance, for orders published in 
the Federal Register after November 4, 2021, Commerce will create an 
annual inquiry service list segment in Commerce's online e-filing and 
document management system, Antidumping and Countervailing Duty 
Electronic Service System (ACCESS), available at <a href="https://access.trade.gov">https://access.trade.gov</a>, within five business days of publication of the 
order. Each annual inquiry service list will be saved in ACCESS, under 
each case number, and under a specific segment type called ``AISL-
Annual Inquiry Service List.'' \20\
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    \20\ This segment will be combined with the ACCESS Segment 
Specific Information (SSI) field which will display the month in 
which the notice of the order or suspended investigation was 
published in the Federal Register, also known as the anniversary 
month. For example, for an order under case number A-000-000 that 
was published in the Federal Register in January, the relevant 
segment and SSI combination will appear in ACCESS as ``AISL-January 
Anniversary.'' Note that there will be only one annual inquiry 
service list segment per case number, and the anniversary month will 
be pre-populated in ACCESS.
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    Interested parties who wish to be added to the annual inquiry 
service list for an order must submit an entry of appearance to the 
annual inquiry service list segment for the order in ACCESS within 30 
days after the date of publication of the order. For ease of 
administration, Commerce requests that law firms with more than one 
attorney representing interested parties in an order designate a lead 
attorney to be included on the annual inquiry service list. Commerce 
will finalize the annual inquiry service list within five business days 
thereafter. As mentioned in the Procedural Guidance, the new annual 
inquiry service list will be in place until the following year, when 
the Opportunity Notice for the anniversary month of the order is 
published.
    Commerce may update an annual inquiry service list at any time as 
needed based on interested parties' amendments to their entries of 
appearance to remove or otherwise modify their list of members and 
representatives, or to update contact information. Any changes or 
announcements pertaining to these procedures will be posted to the 
ACCESS website at <a href="https://access.trade.gov">https://access.trade.gov</a>.

Special Instructions for Petitioners and Foreign Governments

    In the Final Rule, Commerce stated that, ``after an initial request 
and placement on the annual inquiry service list, both petitioners and 
foreign governments will automatically be placed on the annual inquiry 
service list in the years that follow.'' \21\ Accordingly, as stated 
above, the petitioner and the Government of China should submit their 
initial entry of appearance after publication of this notice in order 
to appear in the first annual inquiry service list. Pursuant to 19 CFR 
351.225(n)(3), the petitioner and the Government of China will not need 
to resubmit their entries of appearance each year to continue to be 
included on the annual inquiry service list. However, the petitioner 
and the Government of China are responsible for making amendments to 
their entries of appearance during the annual update to the annual 
inquiry service list in accordance with the procedures described above.
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    \21\ See Final Rule, 86 FR at 52335.
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Notification to Interested Parties

    This notice constitutes the CVD order with respect to mobile access 
equipment from China pursuant to section 706(a) of the Act. Interested 
parties can find a list of CVD orders currently in effect at <a href="http://enforcement.trade.gov/stats/iastats1.html">http://enforcement.trade.gov/stats/iastats1.html</a>.
    This amended final determination and order is issued and published 
in accordance with sections 705(d) and 706(a) of the Act and 19 CFR 
351.211(b) and 351.224(e).

    Dated: December 7, 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

Scope of the Order

    The merchandise covered by this order consists of certain mobile 
access equipment,

[[Page 70442]]

which consists primarily of boom lifts, scissor lifts, and material 
telehandlers, and subassemblies thereof. Mobile access equipment 
combines a mobile (self-propelled or towed) chassis, with a lifting 
device (e.g., scissor arms, boom assemblies) for mechanically 
lifting persons, tools and/or materials capable of reaching a 
working height of ten feet or more, and a coupler that provides an 
attachment point for the lifting device, in addition to other 
components. The scope of this order covers mobile access equipment 
and subassemblies thereof whether finished or unfinished, whether 
assembled or unassembled, and whether the equipment contains any 
additional features that provide for functions beyond the primary 
lifting function.
    Subject merchandise includes, but is not limited to, the 
following subassemblies:
    <bullet> Scissor arm assemblies, or scissor arm sections, for 
connection to chassis and platform assemblies. These assemblies 
include: (1) Pin assemblies that connect sections to form scissor 
arm assemblies, and (2) actuators that power the arm assemblies to 
extend and retract. These assemblies may or may not also include 
blocks that allow sliding of end sections in relation to frame and 
platform, hydraulic hoses, electrical cables, and/or other 
components;
    <bullet> boom assemblies, or boom sections, for connection to 
the boom turntable, or to the chassis assembly, or to a platform 
assembly or to a lifting device. Boom assemblies include telescoping 
sections where the smallest section (or tube) can be nested in the 
next larger section (or tube) and can slide out for extension and/or 
articulated sections joined by pins. These assemblies may or may not 
include pins, hydraulic cylinders, hydraulic hoses, electrical 
cables, and/or other components;
    <bullet> chassis assemblies, for connection to scissor arm 
assemblies, or to boom assemblies, or to boom turntable assemblies. 
Chassis assemblies include: (1) Chassis frames, and/or (2) frame 
sections. Chassis assemblies may or may not include axles, wheel end 
components, steering cylinders, engine assembly, transmission, drive 
shafts, tires and wheels, crawler tracks and wheels, fuel tank, 
hydraulic oil tanks, battery assemblies, and/or other components;
    <bullet> boom turntable assemblies, for connection to chassis 
assemblies, or to boom assemblies. Boom turntable assemblies include 
turntable frames. Boom turntable assemblies may or may not include 
engine assembly, slewing rings, fuel tank, hydraulic oil tank, 
battery assemblies, counterweights, hoods (enclosures), and/or other 
components.
    Importation of any of these subassemblies, whether assembled or 
unassembled, constitutes unfinished mobile access equipment for 
purposes of this order.
    Processing of finished and unfinished mobile access equipment 
and subassemblies such as trimming, cutting, grinding, notching, 
punching, slitting, drilling, welding, joining, bolting, bending, 
beveling, riveting, minor fabrication, galvanizing, painting, 
coating, finishing, assembly, or any other processing either in the 
country of manufacture of the in-scope product or in a third country 
does not remove the product from the scope. Inclusion of other 
components not identified as comprising the finished or unfinished 
mobile access equipment does not remove the product from the scope.
    The scope excludes forklifts, vertical mast lifts, mobile self-
propelled cranes and motor vehicles that incorporate a scissor arm 
assembly or boom assembly. Forklifts are material handling vehicles 
with a working attachment, usually a fork, lifted along a vertical 
guide rail with the operator seated or standing on the chassis 
behind the vertical mast. Vertical mast lifts are person and 
material lifting vehicles with a working attachment, usually a 
platform, lifted along a vertical guide rail with an operator 
standing on the platform. Mobile self-propelled cranes are material 
handling vehicles with a boom attachment for lifting loads of tools 
or materials that are suspended on ropes, cables, and/or chains, and 
which contain winches mounted on or near the base of the boom with 
ropes, cables, and/or chains managed along the boom structure. The 
scope also excludes motor vehicles (defined as a vehicle driven or 
drawn by mechanical power and manufactured primarily for use on 
public streets, roads, and highways, but does not include a vehicle 
operated only on a rail line pursuant to 49 U.S.C. 30102(a)(7)) that 
incorporate a scissor arm assembly or boom assembly. The scope 
further excludes vehicles driven or drawn by mechanical power 
operated only on a rail line that incorporate a scissor arm assembly 
or boom assembly. The scope also excludes: (1) Rail line vehicles, 
defined as vehicles with hi-rail gear or track wheels, and a fixed 
(non-telescopic) main boom, which perform operations on rail lines, 
such as laying rails, setting ties, or other rail maintenance jobs; 
and (2) certain rail line vehicle subassemblies, defined as chassis 
subassemblies and boom turntable subassemblies for rail line 
vehicles with a fixed (non-telescopic) main boom.
    Certain mobile access equipment subject to this order is 
typically classifiable under subheadings 8427.10.8020, 8427.10.8030, 
8427.10.8070, 8427.10.8095, 8427.20.8020, 8427.20.8090, 8427.90.0020 
and 8427.90.0090 of the Harmonized Tariff Schedule of the United 
States (HTSUS). Parts of certain mobile access equipment are 
typically classifiable under subheading 8431.20.0000 of the HTSUS. 
While the HTSUS subheadings are provided for convenience and customs 
purposes only, the written description of the merchandise under 
order is dispositive.

[FR Doc. 2021-26890 Filed 12-9-21; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on December 10, 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.