Notice2022-13543

Emulsion Styrene-Butadiene Rubber From the Russian Federation: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination, and Extension of Provisional Measures

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Published
June 27, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that Emulsion Styrene-Butadiene Rubber (ESBR) from the Russian Federation (Russia) is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is October 01, 2020, through September 30, 2021. Interested parties are invited to comment on this preliminary determination.

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<title>Federal Register, Volume 87 Issue 122 (Monday, June 27, 2022)</title>
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[Federal Register Volume 87, Number 122 (Monday, June 27, 2022)]
[Notices]
[Pages 38057-38059]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-13543]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-821-835]


Emulsion Styrene-Butadiene Rubber From the Russian Federation: 
Preliminary Affirmative Determination of Sales at Less Than Fair Value, 
Postponement of Final Determination, and Extension of Provisional 
Measures

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that Emulsion Styrene-Butadiene Rubber (ESBR) from the 
Russian Federation (Russia) is being, or is likely to be, sold in the 
United States at less than fair value (LTFV). The period of 
investigation (POI) is October 01, 2020, through September 30, 2021. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable June 27, 2022.

FOR FURTHER INFORMATION CONTACT: Caitlin Monks or Zachary Le Vene, AD/
CVD Operations, Office VII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-2670 or (202) 
482-0056, respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on December 
10, 2021.\1\ On March 31, 2022, Commerce postponed the preliminary 
determination of this investigation until June 14, 2022.\2\
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    \1\ See Emulsion Styrene-Butadiene Rubber from the Czech 
Republic, Italy, and the Russian Federation: Initiation of Less-
Than-Fair-Value Investigations, 86 FR 70447 (December 10, 2021) 
(Initiation Notice).
    \2\ See Emulsion Styrene-Butadiene Rubber from the Czech 
Republic and the Russian Federation: Postponement of Preliminary 
Determinations in the Less-Than-Fair-Value Investigation, 87 FR 
18767 (March 31, 2022).

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[[Page 38058]]

    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics included in the Preliminary Decision 
Memorandum is included as Appendix II to this notice. 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="https://access.trade.gov">https://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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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Emulsion 
Styrene-Butadiene Rubber from the Russian Federation'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are ESBR from Russia. 
For a complete description of the scope of this investigation, see 
Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ On January 10, 
2022, we received timely filed comments from the petitioner regarding 
the product characteristics and the scope of the investigation as it 
appeared in the Initiation Notice.\6\ On January 21, 2022, Commerce 
determined the product characteristics applicable to this 
investigation.\7\ Commerce is not preliminarily modifying the scope 
language as it appeared in the Initiation Notice. See the scope in 
Appendix I to this notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \5\ See Initiation Notice.
    \6\ See Petitioner's Letter, ``Emulsion Styrene-Butadiene Rubber 
from Czech Republic, Italy, and Russian Federation: Petitioner's 
Comments on Scope and Product Characteristics,'' dated January 10, 
2022.
    \7\ See Memorandum, ``Product Characteristics for Sections B-D 
Questionnaire,'' dated January 21, 2022.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce has calculated export prices in 
accordance with section 772(a) of the Act. Normal value (NV) is 
calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying the preliminary 
determination, see the Preliminary Decision Memorandum.

All-Others Rate

    Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in 
the preliminary determination Commerce shall determine an estimated 
all-others rate for all exporters and producers not individually 
examined. This rate shall be an amount equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters and producers individually investigated, excluding any zero 
and de minimis margins, and any margins determined entirely under 
section 776 of the Act.
    In this investigation, Commerce calculated estimated weighted-
average dumping margins for Public Joint Stock Company SIBUR Holding, 
Joint Stock Company Voronezhsintezkauchuk, and SIBUR International GmbH 
(collectively, SIBUR) and for LLC TATNEFT-AZS Center, LLC 
Togliattikauchuk, Tolyattisintez, and Public Joint Stock Company 
TATNEFT (collectively, TATNEFT) that are not zero, de minimis, or based 
entirely on facts otherwise available. Commerce calculated the all-
others rate using a weighted average of the estimated weighted-average 
dumping margins calculated for the individually examined respondents 
using the publicly ranged total values of each respondent's sales of 
the merchandise under consideration to the United States during the 
POI.\8\
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    \8\ With two respondents under examination, Commerce normally 
calculates (A) a weighted-average of the estimated weighted-average 
dumping margins calculated for the examined respondents; (B) a 
simple average of the estimated weighted-average dumping margins 
calculated for the examined respondents; and (C) a weighted-average 
of the estimated weighted-average dumping margins calculated for the 
examined respondents using each company's publicly-ranged U.S. sale 
values 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 
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). As complete publicly ranged sales data was 
available, Commerce based the all-others rate on the publicly ranged 
sales data of the mandatory respondents. For a complete analysis of 
the data, see the Preliminary All-Others Rate Calculation 
Memorandum.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                               Estimated
                                                               weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
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Public Joint Stock Company SIBUR Holding/Joint Stock Company       18.75
 Voronezhsintezkauchuk/SIBUR International GmbH \9\.........
LLC TATNEFT-AZS Center/LLC Togliattikauchuk/Tolyattisintez/         8.14
 Public Joint Stock Company TATNEFT \10\....................
All Others..................................................       12.41
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Suspension of Liquidation
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    \9\ Commerce preliminarily determines that Public Joint Stock 
Company SIBUR Holding/Joint Stock Company Voronezhsintezkauchuk/
SIBUR International GmbH are a single entity. See Preliminary 
Decision Memorandum.
    \10\ Commerce preliminarily determines that LLC TATNEFT-AZS 
Center, LLC Togliattikauchuk, and Public Joint Stock Company TATNEFT 
are a single entity. See Preliminary Decision Memorandum.
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    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register.
    Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR 
351.205(d), Commerce will instruct CBP to require a cash deposit equal 
to the estimated weighted-average dumping margin or the estimated all-
others rate, as follows: (1) The cash deposit rate for the respondents 
listed above will be equal to the company-specific estimated weighted-
average dumping margins determined in this preliminary determination; 
(2) if the exporter is not a respondent identified above, but the 
producer is, then the cash deposit rate will be equal to the company-
specific estimated weighted-average dumping margin established for that 
producer of the subject merchandise; and (3) the cash deposit rate for 
all other producers and exporters will be equal to the all-others 
estimated weighted-average dumping margin. These suspension of 
liquidation instructions will remain in effect until further notice.

Disclosure

    Commerce intends to disclose its calculations and related analysis 
to interested parties in this preliminary

[[Page 38059]]

determination within five days of any public announcement or, if there 
is no public announcement, within five days of the date of publication 
of this notice in the Federal Register in accordance with 19 CFR 
351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Interested parties will be notified of the timeline 
for the submission of such case briefs and written comments at a later 
date. Rebuttal briefs, limited to issues raised in case briefs, may be 
submitted no later than seven days after the deadline date for case 
briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who 
submit case briefs or rebuttal briefs in this investigation 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. 
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, U.S. Department of Commerce, within 30 days after the date 
of publication of this notice in the Federal Register. Requests should 
contain the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.
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    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination in the Federal Register 
if, in the event of an affirmative preliminary determination, a request 
for such postponement is made by exporters who account for a 
significant proportion of exports of the subject merchandise, or in the 
event of a negative preliminary determination, a request for such 
postponement is made by the petitioner. Section 351.210(e)(2) of 
Commerce's regulations requires that a request by exporters for 
postponement of the final determination be accompanied by a request for 
extension of provisional measures from a four-month period to a period 
not more than six months in duration.
    On May 26, 2022, pursuant to 19 CFR 351.210(e), SIBUR and TATNEFT 
separately requested that, in the event of an affirmative preliminary 
determination in this investigation, Commerce postpone the final 
determination and that provisional measures be extended to a period not 
to exceed six months.\12\ In accordance with section 735(a)(2)(A) of 
the Act and 19 CFR 351.210(b)(2)(ii), because: (1) the preliminary 
determination is affirmative; (2) the requesting exporters account for 
a significant proportion of exports of the subject merchandise; and (3) 
no compelling reasons for denial exist, Commerce is postponing the 
final determination and extending the provisional measures from a four-
month period to a period not greater than six months. Accordingly, 
Commerce will make its final determination no later than 135 days after 
the date of publication of this preliminary determination in the 
Federal Register, pursuant to 735(a)(2) of the Act.
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    \12\ See SIBUR's Letter, ``Emulsion Styrene-Butadiene Rubber 
from the Russian Federation: Request for Extension of Final 
Determination and Provisional Measures,'' dated May 26, 2022; see 
also TATNEFT's Letter, ``Antidumping Duty Investigation of Emulsion 
Styrene-Butadiene Rubber from the Russian Federation: Request for 
Postponement of Final Determination and Provisional Measures 
Period,'' dated May 26, 2022.
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International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its preliminary 
determination. If Commerce's final determination is affirmative, the 
ITC will determine before the later of 120 days after the date of this 
preliminary determination or 45 days after the final determination 
whether imports of ESBR from Russia are materially injuring, or 
threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: June 14, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The products covered by this investigation are cold-polymerized 
emulsion styrene-butadiene rubber (ESB rubber). The scope of the 
investigation includes, but is not limited to, ESB rubber in primary 
forms, bales, granules, crumbs, pellets, powders, plates, sheets, 
strip, etc. ESB rubber consists of non-pigmented rubbers and oil-
extended non-pigmented rubbers, both of which contain at least one 
percent of organic acids from the emulsion polymerization process.
    ESB rubber is produced and sold in accordance with a generally 
accepted set of product specifications issued by the International 
Institute of Synthetic Rubber Producers (IISRP). The scope of the 
investigation covers grades of ESB rubber included in the IISRP 1500 
and 1700 series of synthetic rubbers. The 1500 grades are light in 
color and are often described as ``Clear'' or ``White Rubber.'' The 
1700 grades are oil-extended and thus darker in color, and are often 
called ``Brown Rubber.''
    Specifically excluded from the scope of this investigation are 
products which are manufactured by blending ESB rubber with other 
polymers, high styrene resin master batch, carbon black master batch 
(i.e., IISRP 1600 series and 1800 series) and latex (an intermediate 
product).
    The products subject to this investigation are currently 
classifiable under subheadings 4002.19.0015 and 4002.19.0019 of the 
Harmonized Tariff Schedule of the United States (HTSUS). ESB rubber 
is described by Chemical Abstracts Services (CAS) Registry No. 9003-
55-8. This CAS number also refers to other types of styrene 
butadiene rubber. Although the HTSUS subheadings and CAS registry 
number are provided for convenience and customs purposes, the 
written description of the scope of this investigation is 
dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Postponement of Final Determination and Extension of Provisional 
Measures
VI. Affiliation and Single Entity Treatment
VII. Discussion of the Methodology
VIII. Currency Conversion
IX. Verification
X. Recommendation

[FR Doc. 2022-13543 Filed 6-24-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on June 27, 2022.

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