Notice2022-09800

Carbon and Alloy Steel Threaded Rod From the People's Republic of China: Preliminary Results of Countervailing Duty Administrative Review and Rescission of Administrative Review in Part; 2019-2020

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Published
May 6, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The Department of Commerce (Commerce) preliminarily determines that the companies subject to this countervailing duty (CVD) administrative review of carbon and alloy steel threaded rod (threaded rod) from the People's Republic of China (China) received countervailable subsidies during the period of review (POR), July 29, 2019, through December 31, 2020. Interested parties are invited to comment on these preliminary results of review.

Full Text

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<title>Federal Register, Volume 87 Issue 88 (Friday, May 6, 2022)</title>
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[Federal Register Volume 87, Number 88 (Friday, May 6, 2022)]
[Notices]
[Pages 27104-27106]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-09800]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-105]


Carbon and Alloy Steel Threaded Rod From the People's Republic of 
China: Preliminary Results of Countervailing Duty Administrative Review 
and Rescission of Administrative Review in Part; 2019-2020

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that the companies subject to this countervailing duty (CVD) 
administrative review of carbon and alloy steel threaded rod (threaded 
rod) from the People's Republic of China (China) received 
countervailable subsidies during the period of review (POR), July 29, 
2019, through December 31, 2020. Interested parties are invited to 
comment on these preliminary results of review.

DATES: Applicable May 6, 2022.

FOR FURTHER INFORMATION CONTACT: Thomas Schauer or Allison Hollander, 
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) 482-0410 or (202) 
482-2805, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On April 9, 2020, Commerce published the CVD order on threaded rod 
from China.\1\ On April 1, 2021, Commerce published a notice of

[[Page 27105]]

opportunity to request an administrative review of the Order for the 
POR.\2\ In April 2021 we received timely requests from multiple parties 
to conduct an administrative review of the Order. On June 11, 2021, we 
published a notice of initiation for this administrative review.\3\ For 
a complete description of the events that followed the initiation of 
this review, see the Preliminary Decision Memorandum.\4\ The 
Preliminary 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 Preliminary 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 Carbon and Alloy Steel Threaded Rod from India and the 
People's Republic of China: Countervailing Duty Orders, 85 FR 19927 
(April 9, 2020) (Order).
    \2\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity to Request Administrative 
Review, 86 FR 17137 (April 1, 2021).
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 86 FR 31282, 31293 (June 11, 2021).
    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Administrative Review of the Countervailing Duty 
Order on Carbon and Alloy Steel Threaded Rod from the People's 
Republic of China; 2019-2020,'' dated concurrently with, and hereby 
adopted by, this notice (Preliminary Decision Memorandum).
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    On December 3, 2021, Commerce extended the deadline for the 
preliminary results of this review by 120 days to May 2, 2022.\5\
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    \5\ See Memorandum, ``Carbon and Alloy Steel Threaded Rod from 
the People's Republic of China: Extension of Deadline for 
Preliminary Results of Countervailing Duty Administrative Review; 
2019-2020,'' dated December 3, 2021.
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Scope of the Order

    The scope of the Order covers threaded rod from China. For a 
complete description of the scope of the Order, see the Preliminary 
Decision Memorandum.

Methodology

    We are conducting this administrative 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 determine 
that there is a subsidy, i.e., a financial contribution by an 
``authority'' that confers a benefit to the recipient, and that the 
subsidy is specific.\6\ For a full description of the methodology 
underlying our preliminary conclusions, including our reliance, in 
part, on adverse facts available pursuant to sections 776(a) and (b) of 
the Act, see the Preliminary Decision Memorandum. A list of topics 
included in the Preliminary Decision Memorandum is provided in Appendix 
I to this notice.
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    \6\ 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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Rescission of Administrative Review, in Part

    Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an 
administrative review, in whole or in part, if the parties that 
requested a review withdraw the request within 90 days of the date of 
publication of the notice of initiation. Commerce received withdrawal 
requests with respect to the 18 companies listed in Appendix II.\7\ 
Because the withdrawal requests were timely filed and no other parties 
requested a review of these companies, in accordance with 19 CFR 
351.213(d)(1), Commerce is rescinding this review of the Order for the 
18 companies listed in Appendix II.\8\
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    \7\ See Vulcan Threaded Products Inc.'s Letter, ``Carbon and 
Alloy Steel Threaded Rod from the People's Republic of China: 
Withdrawal of Requests for Administrative Reviews,'' dated August 
30, 2021.
    \8\ See, e.g., Lightweight Thermal Paper from the People's 
Republic of China: Notice of Rescission of Countervailing Duty 
Administrative Review; 2015, 82 FR 14349 (March 20, 2017); and 
Circular Welded Carbon Quality Steel Pipe from the People's Republic 
of China: Rescission of Countervailing Duty Administrative Review; 
2017, 84 FR 14650 (April 11, 2019).
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Preliminary Rate for Non-Selected Companies

    There are three companies for which a review was requested and not 
rescinded, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent: (1) Ningbo Dingtuo 
Imp. & Exp. Co., Ltd.; (2) Ningbo Dongxin High-Strength Nut Co., Ltd.; 
and (3) Ningbo Jinding Fastening Piece Co., Ltd. For these non-selected 
companies, because the rates calculated for the mandatory respondents, 
Zhejiang Junyue Standard Part Co., Ltd. (Junyue) and Ningbo Zhongjiang 
High Strength Bolts Co., Ltd. (Zhongjiang Bolts), were above de minimis 
and not based entirely on facts available, we are applying the weighted 
average of the net countervailable subsidy rates calculated for the 
mandatory respondents, which we calculated using the publicly-ranged 
sales data submitted by Junyue and Zhongjiang Bolts.\9\ This 
methodology to establish the non-selected subsidy rate is consistent 
with our practice with regard to the all others rate pursuant to 
section 705(c)(5)(A)(i) of the Act.
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    \9\ With two respondents under examination, Commerce normally 
calculates (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted-average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly-ranged U.S. 
sale quantities for the merchandise under consideration. Commerce 
then compares (B) and (C) to (A) and selects the rate closest to (A) 
as the most appropriate rate for all other producers and exporters. 
See, e.g., Ball Bearings and Parts Thereof from France, Germany, 
Italy, Japan, and the United Kingdom: Final Results of Antidumping 
Duty Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010); see also Memorandum, ``Administrative Review of 
the Countervailing Duty Order on Carbon and Alloy Steel Threaded Rod 
from the People's Republic of China: Calculation of Rate for 
Respondents Not Selected for Individual Examination,'' dated 
concurrently with this notice.
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Preliminary Results of Administrative Review

    As a result of this administrative review, we preliminarily find 
that the following net countervailable subsidy rates exist for the 
period July 29, 2019, through December 31, 2020:

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                                                                   Subsidy rate--2019       Subsidy rate--2020
                            Company                               (percent ad valorem)     (percent ad valorem)
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Ningbo Zhongjiang High Strength Bolts Co., Ltd \10\...........                     8.36                     7.65
Zhejiang Junyue Standard Part Co., Ltd \11\...................                     7.22                     7.97
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                       Review-Specific Average Rate Applicable to the Following Companies
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Ningbo Dingtuo Imp. & Exp. Co., Ltd...........................                     7.95                     7.75
Ningbo Dongxin High-Strength Nut Co., Ltd.....................                     7.95                     7.75
Ningbo Jinding Fastening Piece Co., Ltd.......................                     7.95                     7.75
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[[Page 27106]]

Assessment Rates

    Upon issuance of the final results of this administrative review, 
consistent with section 751(a)(1) of the Act and 19 CFR 351.212(b)(2), 
Commerce shall determine, and U.S. Customs and Border Protection (CBP) 
shall assess, countervailing duties on all appropriate entries covered 
by this review. For the 18 companies for which this review is 
rescinded, Commerce will instruct CBP to assess countervailing duties 
on all appropriate entries at the rate equal to the cash deposit of 
estimated countervailing duties required at the time of entry, or 
withdrawal from warehouse, for consumption, during the period July 29, 
2019, through December 31, 2020, in accordance with 19 CFR 
351.212(c)(l)(i).
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    \10\ In the original investigation, Commerce found Ningbo 
Zhongmin Metal Product Co., Ltd., to be cross-owned with Ningbo 
Zhongjiang High Strength Bolts Co., Ltd. See Carbon and Alloy Steel 
Threaded Rod from the People's Republic of China: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Duty Determination, 84 FR 36578 
(July 29, 2019), and accompanying Preliminary Decision Memorandum at 
28, unchanged in Carbon and Alloy Steel Threaded Rod from the 
People's Republic of China: Final Affirmative Countervailing Duty 
Determination, 85 FR 8833, February 18, 2020). As the facts have not 
changed in this review, we continue to find Ningbo Zhongmin Metal 
Product Co., Ltd., to be cross-owned with Ningbo Zhongjiang High 
Strength Bolts Co., Ltd. See also Preliminary Decision Memorandum.
    \11\ As discussed in the Preliminary Decision Memorandum, 
Commerce preliminarily finds the following companies to be cross-
owned with Zhejiang Junyue Standard Part Co., Ltd.: Jiaxing Chengyue 
Trading Co., Ltd., and Haiyan County Brothers Paper Industry Co., 
Ltd.
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    For the companies remaining in the review, Commerce intends to 
issue assessment instructions to CBP no earlier than 35 days after the 
date of publication of the final results of this review in the Federal 
Register. 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).

Cash Deposit Requirements

    Pursuant to section 751(a)(2)(C) of the Act, Commerce intends, upon 
publication of the final results, to instruct CBP to collect cash 
deposits of estimated countervailing duties in the amounts calculated 
in the final results of this review for 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. If the rate calculated in 
the final results is zero or de minimis, no cash deposit will be 
required on shipments of the subject merchandise entered or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this review. For all non-reviewed companies, CBP 
will continue to collect cash deposits of estimated countervailing 
duties at the all-others rate (i.e., 41.17 percent) \12\ or the most 
recent company-specific rate applicable to the company, as appropriate. 
These cash deposit requirements, when imposed, shall remain in effect 
until further notice.
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    \12\ See Order, 85 FR at 19928.
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Disclosure and Public Comment

    We intend to disclose the calculations performed for these 
preliminary results to parties in this proceeding within five days 
after public announcement of the preliminary results in accordance with 
19 CFR 351.224(b). Pursuant to 19 CFR 351.309(c), interested parties 
may submit case briefs no 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 
date for filing case briefs.\13\ Parties who submit case or rebuttal 
briefs in this proceeding are encouraged to submit with each argument: 
(1) A statement of the issue, (2) a brief summary of the argument, and 
(3) a table of authorities.\14\ Commerce has temporarily modified 
certain of its requirements for serving documents containing business 
proprietary information.\15\
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    \13\ See 19 CFR 351.309(d).
    \14\ See 19 CFR 351.309(c)(2) and (d)(2).
    \15\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 41363 (July 10, 2020).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, filed electronically via ACCESS. An 
electronically filed document must be received successfully in its 
entirety by Commerce's electronic records system, ACCESS, by 5:00 p.m. 
Eastern Time within 30 days after the date of publication of this 
notice.\16\ Requests should contain: (1) The party's name, address, and 
telephone number; (2) the number of participants; and (3) a list of 
issues to be discussed. If a request for a hearing is made, we will 
inform parties of the scheduled date and time for the hearing.
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    \16\ See 19 CFR 351.310(c).
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    Unless extended, we intend to issue the final results of this 
administrative review, including the results of our analysis of the 
issues raised by the parties in their case briefs, no later than 120 
days after the date of publication of this notice in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act.

Notification to Interested Parties

    We are issuing and publishing these preliminary results in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 
351.213(d)(4) and 351.221(b)(4).

    Dated: May 2, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Rescission of Administrative Review, In Part
V. Non-Selected Companies Under Review
VI. Diversification of China's Economy
VII. Subsidies Valuation
VIII. Benchmarks and Discount Rates
IX. Use of Facts Otherwise Available and Application of Adverse 
Inferences
X. Analysis of Programs
XI. Recommendation

Appendix II

List of Companies for Which Requests for Review Were Timely Withdrawn

1. Cooper & Turner (Ningbo) International Trading Co., Ltd.
2. EC International (Nantong) Co., Ltd.
3. Haiyan Qinshan Rubber Factory
4. IFI & Morgan Ltd.
5. Jiaxing Genteel Import & Export Co., Ltd
6. Nantong Runyou Metal Products Co., Ltd.
7. Ningbo Qunli Fastener Manufacture Co., Ltd.
8. Ningbo Shareway Import & Export, Co., Ltd.
9. Ningbo Xingsheng Oil Pipe Fittings Manufacture Co., Ltd.
10. Ningbo Zhenghai Yongding Fastener Co., Ltd.
11. Ningbo Zhenghai Yongding Fasteners Manufacture Co., Ltd.
12. Ningbo Zhenhai Zhongbiao Standard Parts Factory
13. RMB Fasteners Ltd.
14. Zhejiang Cooper & Turner Fasteners Co., Ltd.
15. Zhejiang Golden Automotive Fastener Co., Ltd
16. Zhejiang Heiter Mfg & Trade Co., Ltd.
17. Zhejiang Huiyou Import & Export Co., Ltd.
18. Zhejiang Morgan Brother Technology Co., Ltd.

[FR Doc. 2022-09800 Filed 5-5-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on May 6, 2022.

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