Notice2022-01338
Granular Polytetrafluoroethylene Resin From India: Final Affirmative Countervailing Duty Determination and Final Affirmative Critical Circumstances Determination
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
January 25, 2022
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The Department of Commerce (Commerce) determines that countervailable subsidies are being provided to producers and exporters of granular polytetrafluoroethylene (PTFE) resin from India.
Full Text
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<title>Federal Register, Volume 87 Issue 16 (Tuesday, January 25, 2022)</title>
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[Federal Register Volume 87, Number 16 (Tuesday, January 25, 2022)]
[Notices]
[Pages 3765-3767]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-01338]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-533-900]
Granular Polytetrafluoroethylene Resin From India: Final
Affirmative Countervailing Duty Determination and Final Affirmative
Critical Circumstances Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
[[Page 3766]]
SUMMARY: The Department of Commerce (Commerce) determines that
countervailable subsidies are being provided to producers and exporters
of granular polytetrafluoroethylene (PTFE) resin from India.
DATES: Applicable January 25, 2022.
FOR FURTHER INFORMATION CONTACT: Josh Simonidis or Janae Martin, 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) 482-0608 or (202)
482-0238, respectively.
SUPPLEMENTARY INFORMATION:
Background
On July 6, 2021, Commerce published its Preliminary
Determination.\1\ On October 1, 2021, Commerce released its Post-
Preliminary Analysis.\2\ For a complete description of the events that
followed the Preliminary Determination and Post-Preliminary Analysis,
see the Issues and Decision Memorandum.\3\ The Issues and Decision
Memorandum is a public document and is made available to the public 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>.
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\1\ See Granular Polytetrafluoroethylene Resin from India:
Preliminary Affirmative Countervailing Duty Determination,
Preliminary Affirmative Critical Circumstances Determination, and
Alignment of Final Determination with Final Antidumping Duty
Determination, 86 FR 35479 (July 6, 2021) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum
(PDM).
\2\ See Memorandum, ``Post-Preliminary Analysis of
Countervailing Duty Investigation,'' dated October 4, 2021 (Post-
Preliminary Analysis).
\3\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination of the Countervailing Duty
Investigation of Granular Polytetrafluoroethylene Resin from
India,'' dated concurrently with, and hereby adopted by, this notice
(Issues and Decision Memorandum).
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Period of Investigation
The period of investigation is April 1, 2019, through March 31,
2020.
Scope of the Investigation
The product covered by this investigation is granular PTFE resin
from India. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
No interested party commented on the scope of the investigation as
it appeared in the Preliminary Determination. Therefore, no changes
were made to the scope of the investigation.
Analysis of Subsidy Programs and Comments Received
The subsidy programs under investigation and the issues raised in
the case and rebuttal briefs that were submitted by parties in this
investigation are addressed in the Issues and Decision Memorandum. For
a list of the issues raised by interested parties and addressed in the
Issues and Decision Memorandum, see Appendix II to this notice.
Methodology
Commerce conducted this investigation in accordance with section
701 of the Tariff Act of 1930, as amended (the Act). For each of the
subsidy programs found countervailable, Commerce determines that there
is a subsidy, i.e., a financial contribution by an ``authority'' that
gives rise to a benefit to the recipient, and that the subsidy is
specific.\4\ For a full description of the methodology underlying our
final determination, see the Issues and Decision Memorandum.
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\4\ 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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In making this final determination, Commerce relied, in part, on
the facts otherwise available on the record pursuant to section 776(a)
of the Act. Additionally, as discussed in the Issues and Decision
Memorandum, because the Government of India did not act to the best of
its ability in responding to our requests for information, we drew
adverse inferences, where appropriate, in selecting from among the
facts otherwise available, pursuant to section 776(b) of the Act. For
further information, see the section ``Use of Facts Otherwise Available
and Adverse Inferences'' in the accompanying Issues and Decision
Memorandum.
Verification
Commerce was unable to conduct on-site verification of the
information relied upon in making its final determination in this
investigation. However, we took additional steps in lieu of an on-site
verification to verify the information relied upon in making this final
determination, in accordance with section 782(i) of the Act.\5\
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\5\ See Commerce's Letter, ``In Lieu of On-Site Verification
Questionnaire,'' dated October 21, 2021; see also GFCL's Letter,
``In Lieu of Verification Questionnaire Response,'' dated November
15, 2021.
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Final Affirmative Determination of Critical Circumstances
In accordance with section 703(e) of the Act and 19 CFR 351.206,
Commerce preliminarily determined that critical circumstances exist for
Gujarat Fluorochemicals Limited (GFCL).\6\ Commerce did not receive any
comments in response to its preliminary determination with respect to
critical circumstances. That determination remains unchanged, and a
discussion of our final critical circumstances determination can be
found in the Issues and Decision Memorandum.
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\6\ See Preliminary Determination PDM at 3-5.
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Changes Since the Preliminary Determination and Post-Preliminary
Analysis
Based on our review and analysis of the comments received from
parties, we made certain changes to GFCLs preliminary subsidy rate
calculations. For a discussion of these changes, see the Issues and
Decision Memorandum.
All-Others Rate
We continue to determine the all-others rate using the individual
estimated subsidy rate determined for GFCL, the only individually
examined exporter/producer in this investigation, in accordance with
section 705(c)(5)(A)(i) of the Act.
Final Determination
Commerce determines that the following estimated countervailable
subsidy rates exist:
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Subsidy
rate ad
Company valorem
(percent)
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Gujarat Fluorochemicals Limited \7\......................... 31.89
All Others.................................................. 31.89
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Disclosure
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\7\ Commerce has found the following companies to be cross-owned
with GFCL: Inox Leasing Finance Limited and Inox Wind Limited.
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Commerce intends to disclose to interested parties the calculations
and analysis performed in this final determination within five days of
any public announcement or, if there is no public announcement, within
five days of the date of the publication of this notice in the Federal
Register, in accordance with 19 CFR 351.224(b).
[[Page 3767]]
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination and pursuant to
sections 703(d)(1)(B) and (d)(2) of the Act, we instructed U.S. Customs
and Border Protection (CBP) to suspend liquidation of entries of
subject merchandise as described in the scope of the investigation
section entered, or withdrawn from warehouse, for consumption on or
after April 7, 2021, which is 90 days before the date of publication of
the Preliminary Determination in the Federal Register. In accordance
with section 703(d) of the Act, effective November 3, 2021, we
instructed CBP to discontinue the suspension of liquidation of all
entries of subject merchandise, but to continue the suspension of
liquidation of all entries of subject merchandise between April 7, 2021
and November 2, 2021.
If the U.S. International Trade Commission (ITC) issues a final
affirmative injury determination, we will issue a countervailing duty
order, reinstate the suspension of liquidation under section 706(a) of
the Act, and require a cash deposit of estimated countervailing duties
for entries of subject merchandise in the amounts indicated above, in
accordance with section 706(a) of the Act. If the ITC determines that
material injury, or threat of material injury, does not exist, this
proceeding will be terminated, and all estimated duties deposited or
securities posted as a result of the suspension of liquidation will be
refunded or canceled.
ITC Notification
In accordance with section 705(d) of the Act, Commerce will notify
the ITC of its final affirmative determination that countervailable
subsidies are being provided to producers and exporters of granular
PTFE resin from India. As Commerce's final determination is
affirmative, in accordance with section 705(b) of the Act, the ITC will
determine, within 45 days, whether the domestic industry in the United
States is materially injured or threatened with material injury. In
addition, we are making available to the ITC all non-privileged and
nonproprietary information related to this investigation. We will allow
the ITC access to all privileged and business proprietary information
in our files, provided the ITC confirms that it will not disclose such
information, either publicly or under an administrative protective
order (APO), without the written consent of the Assistant Secretary for
Enforcement and Compliance.
Notification Regarding APO
In the event that the ITC issues a final negative injury
determination, this notice will serve as the only reminder to parties
subject to an 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/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 violation which is subject to sanction.
Notification to Interested Parties
This determination is issued and published pursuant to sections
705(d) and 777(i) of the Act, and 19 CFR 351.210(c).
Dated: January 18, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix I--Scope of the Investigation
The product covered by this investigation is granular
polytetrafluoroethylene (PTFE) resin. Granular PTFE resin is covered
by the scope of this investigation whether filled or unfilled,
whether or not modified, and whether or not containing co-polymer,
additives, pigments, or other materials. Also included is PTFE wet
raw polymer. The chemical formula for granular PTFE resin is C2F4,
and the Chemical Abstracts Service (CAS) Registry number is 9002-84-
0.
Subject merchandise includes material matching the above
description that has been finished, packaged, or otherwise processed
in a third country, including by filling, modifying, compounding,
packaging with another product, or performing any other finishing,
packaging, or processing that would not otherwise remove the
merchandise from the scope of the investigation if performed in the
country of manufacture of the granular PTFE resin.
The product covered by this investigation does not include
dispersion or coagulated dispersion (also known as fine powder)
PTFE.
PTFE further processed into micropowder, having particle size
typically ranging from 1 to 25 microns, and a melt-flow rate no less
than 0.1 gram/10 minutes, is excluded from the scope of this
investigation.
Granular PTFE resin is classified in the Harmonized Tariff
Schedule of the United States (HTSUS) under subheading 3904.61.0010.
Subject merchandise may also be classified under HTSUS subheading
3904.69.5000. Although the HTSUS subheadings and CAS Number are
provided for convenience and customs purposes, the written
description of the scope is dispositive.
Appendix II--List of Topics Discussed in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Use of Facts Otherwise Available and Adverse Inferences
IV. Final Determination of Critical Circumstances
V. Subsidies Valuation
VI. Analysis of Programs
VII. Analysis of Comments
Comment 1: Whether Production of Wind Energy Supplied by Inox
Wind Limited Is Primarily Dedicated
Comment 2: Whether the Mumbai Benchmark Is Comparable in
Calculating State Industrial Development Corporation's (SIDC's)
Provision of Land for Less Than Adequate Remuneration (LTAR)
Benefits
Comment 3: Whether the Mumbai Benchmark Is Aberrational in
Calculating SIDC's Provision of Land for LTAR Benefits
Comment 4: Whether Commerce Should Correct Its Land Benefit
Calculations
Comment 5: Whether Commerce Should Apply Adverse Facts Available
to the Programs Under the State Government of Madhya Pradesh
Industrial Promotion Act and the Merchandise Export from India
Scheme Program
Comment 6: Whether the Advanced Authorization Program and Duty
Drawback Programs Are Countervailable
Comment 7: Whether Renewable Energy Certificates Provide a
Financial Contribution
Comment 8: Whether Commerce Should Correct Its Electricity Duty
Exemption Calculations
VIII. Recommendation
[FR Doc. 2022-01338 Filed 1-24-22; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on January 25, 2022.
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