Notice2022-24316

Paper File Folders From the People's Republic of China, India, and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations

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
November 8, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Full Text

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<title>Federal Register, Volume 87 Issue 215 (Tuesday, November 8, 2022)</title>
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[Federal Register Volume 87, Number 215 (Tuesday, November 8, 2022)]
[Notices]
[Pages 67441-67447]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-24316]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-147, A-552-834, A-533-910]


Paper File Folders From the People's Republic of China, India, 
and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-
Value Investigations

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

DATES: Applicable November 1, 2022.

FOR FURTHER INFORMATION CONTACT: Jana[eacute] Martin (the People's 
Republic of China (China)); Jinny Ahn (the Socialist Republic of 
Vietnam (Vietnam)); Eric Hawkins or Sun Cho (India); AD/CVD Operations, 
Offices V and VIII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0238, (202) 482-0339, 
(202) 482-1988, or (202) 482-6458, respectively.

SUPPLEMENTARY INFORMATION: 

[[Page 67442]]

The Petitions

    On October 12, 2022, the U.S. Department of Commerce (Commerce) 
received antidumping duty (AD) petitions concerning imports of paper 
file folders from China, Vietnam, and India, filed in proper form on 
behalf of the Coalition of Domestic Folder Manufacturers (the 
petitioner),\1\ the members of which are domestic producers of paper 
file folders.\2\ These AD petitions were accompanied by a 
countervailing duty (CVD) petition concerning imports of paper file 
folders from India.\3\
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    \1\ The members of the Coalition of Domestic Folder 
Manufacturers are: Smead Manufacturing Company, Inc. and TOPS 
Products LLC.
    \2\ See Petitioner's Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Imports of Paper File 
Folders from China, India, and Vietnam,'' dated October 12, 2022 
(Petitions).
    \3\ Id.
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    On October 17, 25, and 26, 2022, Commerce requested supplemental 
information pertaining to certain aspects of the Petitions in separate 
supplemental questionnaires.\4\ The petitioner filed timely responses 
to the supplemental questionnaires on October 21, 26, and 27, 2022.\5\
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    \4\ See Commerce's Letters, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties on Imports of Paper File 
Folders from the People's Republic of China, India, and the 
Socialist Republic of Vietnam: Supplemental Questions,'' dated 
October 17, 2022 (General Issues Supplemental Questionnaire); see 
also Country-Specific Supplemental Questionnaires: China 
Supplemental, Vietnam Supplemental, and India AD Supplemental, dated 
October 17, 2022; Memorandum, ``Phone Call with Counsel to the 
Petitioner,'' dated October 25, 2022 (General Issues Memorandum); 
and Country-Specific Memoranda, Identifying Country-Specific Issues, 
dated October 25 and 26, 2022.
    \5\ See Petitioner's Country-Specific Supplemental Responses, 
dated October 21, 2022; see also Petitioner's Letter, ``Antidumping 
and Countervailing Duties on Imports of Paper File Folders from 
China, India, and Vietnam: Response of Petitioner to Volume I 
Supplemental Questionnaire,'' dated October 21, 2022 (First General 
Issues Supplement); Petitioner's Country-Specific First Supplemental 
Responses, dated October 21, 2022; Petitioner's Country-Specific 
Second Supplemental Responses, dated October 26, 2022; Petitioner's 
Letter, ``Antidumping and Countervailing Duties on Imports of Paper 
File Folders from China, India, and Vietnam: Response of Petitioner 
to Volume I Supplemental Question #20,'' dated October 26, 2022 
(October 26 Injury Supplement); and Petitioner's Letter, 
``Antidumping and Countervailing Duties on Imports of Paper File 
Folders from China, India, and Vietnam: Response of Petitioner to 
Second Volume I Supplemental Questions,'' dated October 27, 2022 
(Second General Issues Supplement).
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    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that imports of paper file 
folders from China, Vietnam, and India are being, or are likely to be, 
sold in the United States at less than fair value (LTFV) within the 
meaning of section 731 of the Act, and that imports of such products 
are materially injuring, or threatening material injury to, the paper 
file folder industry in the United States. Consistent with section 
732(b)(1) of the Act, the Petitions are accompanied by information 
reasonably available to the petitioner supporting its allegations.
    Commerce finds that the petitioner filed the Petitions on behalf of 
the domestic industry, because the petitioner is an interested party, 
as defined in sections 771(9)(F) of the Act. Commerce also finds that 
the petitioner demonstrated sufficient industry support for the 
initiation of the requested AD investigations.\6\
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    \6\ See infra, section on ``Determination of Industry Support 
for the Petitions.''
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Periods of Investigation

    Because the Petitions were filed on October 12, 2022, pursuant to 
19 CFR 351.204(b)(1), the period of investigation (POI) for the India 
AD investigation is October 1, 2021, through September 30, 2022. 
Because China and Vietnam are non-market economy (NME) countries, 
pursuant to section 351.204(b)(1), the POI for the China and Vietnam AD 
investigations is April 1, 2022, through September 30, 2022.

Scope of the Investigations

    The product covered by these investigations is paper file folders 
from China, Vietnam, and India. For a full description of the scope of 
these investigations, see the appendix to this notice.

Comments on the Scope of the Investigations

    On October 17 and 25, 2022, Commerce requested information from the 
petitioner regarding the proposed scope to ensure that the scope 
language in the Petitions is an accurate reflection of the products for 
which the domestic industry is seeking relief.\7\ On October 21 and 27, 
2022, the petitioner revised the scope.\8\ The description of 
merchandise covered by these investigations, as described in the 
appendix to this notice, reflects these clarifications.
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    \7\ See First General Issues Supplement at 3-4; see also General 
Issues Memorandum at 1-2.
    \8\ See First General Issues Supplement at Exhibit I-S2; see 
also Second General Issues Supplement at Exhibit I-2S1.
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    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (i.e., scope).\9\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determinations. If scope comments include factual information,\10\ all 
such factual information should be limited to public information. To 
facilitate preparation of its questionnaires, Commerce requests that 
all interested parties submit such comments by 5:00 p.m. Eastern Time 
(ET) on November 21, 2022, which is 20 calendar days from the signature 
date of this notice. Any rebuttal comments, which may include factual 
information, must be filed by 5:00 p.m. ET on December 1, 2022, which 
is ten calendar days from the initial comment deadline.
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    \9\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \10\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
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    Commerce requests that any factual information that parties 
consider relevant to the scope of the investigations be submitted 
during this period. However, if a party subsequently finds that 
additional factual information pertaining to the scope of the 
investigations may be relevant, the party may contact Commerce and 
request permission to submit the additional information. All such 
submissions must be filed on the records of the concurrent AD and CVD 
investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically via 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS), unless an exception 
applies.\11\ An electronically filed document must be received 
successfully in its entirety by the time and date it is due.
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    \11\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of Commerce's electronic filing 
requirements, effective August 5, 2011. Information on help using 
ACCESS can be found at <a href="https://access.trade.gov/help.aspx">https://access.trade.gov/help.aspx</a> and a 
handbook can be found at <a href="https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf">https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf</a>.
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Comments on Product Characteristics

    Commerce is providing interested parties an opportunity to comment 
on the appropriate physical characteristics of paper file folders to be 
reported in response to Commerce's AD questionnaires. This information 
will be used to identify the key physical characteristics of the 
subject merchandise in order to report the relevant factors of 
production (FOP) or costs of production (COP) accurately, as

[[Page 67443]]

well as to develop appropriate product comparison criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate list of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as: (1) general product 
characteristics; and (2) product comparison criteria. We note that it 
is not always appropriate to use all product characteristics as product 
comparison criteria. We base product comparison criteria on meaningful 
commercial differences among products. In other words, although there 
may be some physical product characteristics utilized by manufacturers 
to describe paper file folders, it may be that only a select few 
product characteristics take into account commercially meaningful 
physical characteristics. In addition, interested parties may comment 
on the order in which the physical characteristics should be used in 
matching products. Generally, Commerce attempts to list the most 
important physical characteristics first and the least important 
characteristics last.
    In order to consider the suggestions of interested parties in 
developing and issuing the AD questionnaires, all product 
characteristics comments must be filed by 5:00 p.m. ET on November 21, 
2022, which is 20 calendar days from the signature date of this 
notice.\12\ Any rebuttal comments must be filed by 5:00 p.m. ET on 
December 1, 2022. All comments and submissions to Commerce must be 
filed electronically using ACCESS, as explained above, on the record of 
each of the AD investigations.
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    \12\ See 19 CFR 351.303(b)(1).
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Determination of Industry Support for the Petitions

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) at least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce shall: (i) 
poll the industry or rely on other information in order to determine if 
there is support for the petition, as required by subparagraph (A); or 
(ii) determine industry support using a statistically valid sampling 
method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs Commerce to look to producers and workers who produce the 
domestic like product. The U.S. International Trade Commission (ITC), 
which is responsible for determining whether ``the domestic industry'' 
has been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\13\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce's determination 
is subject to limitations of time and information. Although this may 
result in different definitions of the like product, such differences 
do not render the decision of either agency contrary to law.\14\
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    \13\ See section 771(10) of the Act.
    \14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
petition).
    With regard to the domestic like product, the petitioner does not 
offer a definition of the domestic like product distinct from the scope 
of the investigations.\15\ Based on our analysis of the information 
submitted on the record, we have determined that paper file folders, as 
defined in the scope, constitute a single domestic like product, and we 
have analyzed industry support in terms of that domestic like 
product.\16\
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    \15\ See Petitions at Volume I (pages 11, 13-18, and Exhibits I-
18 through I-26); see also First General Issues Supplement at 13-17.
    \16\ For a discussion of the domestic like product analysis as 
applied to these cases and information regarding industry support, 
see AD Investigation Initiation Checklists, ``Paper File Folders 
from the People's Republic of China,'' ``Paper File Folders from 
India,'' and ``Paper File Folders from the Socialist Republic of 
Vietnam,'' dated concurrently with this notice (Country-Specific AD 
Initiation Checklists), at Attachment II (Analysis of Industry 
Support for the Antidumping and Countervailing Duty Petitions 
Covering Paper File Folders from the People's Republic of China, 
India, and the Socialist Republic of Vietnam).
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    In determining whether the petitioner has standing under section 
732(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petitions with reference to the domestic like product 
as defined in the ``Scope of the Investigations,'' in the appendix to 
this notice. To establish industry support, the petitioner provided the 
2021 net sales values of the domestic like product for U.S. producers 
that support the Petitions, and compared this to the estimated total 
sales values of the domestic like product for the entire domestic 
industry.\17\ Because total industry production data for the domestic 
like product for 2021 are not reasonably available to the petitioner, 
and the petitioner has established that sales values and shipments are 
a reasonable proxy for production data,\18\ we have relied on the data 
provided by the petitioner for purposes of measuring industry 
support.\19\
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    \17\ See Petitions at Volume I (pages 4-5 and Exhibits I-1, I-2, 
I-33, and I-35); see also First General Issues Supplement at 1, 8-13 
and Exhibits I-S1, I-S4 and I-S5; and Second General Issues 
Supplement at 4-5 and Exhibit I-2S2.
    \18\ See Petitions at Volume I (page 5 and Exhibits I-1, I-2, I-
33, and I-35); see also First General Issues Supplement at 1, 8 and 
Exhibits I-S1 and I-S4; and Second General Issues Supplement at 4-5 
and Exhibit I-2S2.
    \19\ See Petitions at Volume I (pages 4-5 and Exhibits I-1, I-2, 
I-33, and I-35); see also First General Issues Supplement at 1, 8-13 
and Exhibits I-S1, I-S4 and I-S5; and Second General Issues 
Supplement at 4-5 and Exhibit I-2S2.
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    Our review of the data provided in the Petitions, the First General 
Issues Supplement, the Second General Issues Supplement, and other 
information readily available to Commerce indicates that the petitioner 
has established industry support for the Petitions.\20\ First, the 
Petitions established support from domestic producers (or workers) 
accounting for more than 50 percent of the total production of the 
domestic like product and, as such, Commerce is not required to take 
further action in order to evaluate industry support (e.g., 
polling).\21\ Second, the domestic producers (or workers) have met the 
statutory criteria for industry support

[[Page 67444]]

under section 732(c)(4)(A)(i) of the Act because the domestic producers 
(or workers) who support the Petitions account for at least 25 percent 
of the total production of the domestic like product.\22\ Finally, the 
domestic producers (or workers) have met the statutory criteria for 
industry support under section 732(c)(4)(A)(ii) of the Act because the 
domestic producers (or workers) who support the Petitions account for 
more than 50 percent of the production of the domestic like product 
produced by that portion of the industry expressing support for, or 
opposition to, the Petitions.\23\ Accordingly, Commerce determines that 
the Petitions were filed on behalf of the domestic industry within the 
meaning of section 732(b)(1) of the Act.\24\
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    \20\ See Petitions at Volume I (pages 4-5 and Exhibits I-1, I-2, 
I-33, and I-35); see also First General Issues Supplement at 1, 8-13 
and Exhibits I-S1, I-S4 and I-S5; and Second General Issues 
Supplement at 4-5 and Exhibit I-2S2. For further discussion, see 
Country-Specific AD Initiation Checklists at Attachment II.
    \21\ See Country-Specific AD Initiation Checklists at Attachment 
II; see also section 732(c)(4)(D) of the Act.
    \22\ See Country-Specific AD Initiation Checklists at Attachment 
II.
    \23\ Id.
    \24\ Id.
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Allegations and Evidence of Material Injury and Causation

    The petitioner alleges that the U.S. industry producing the 
domestic like product is being materially injured, or is threatened 
with material injury, by reason of the imports of the subject 
merchandise sold at LTFV. In addition, the petitioner alleges that 
subject imports exceed the negligibility threshold provided for under 
section 771(24)(A) of the Act.\25\
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    \25\ See Petitions at Volume I (page 22 and Exhibit I-31).
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    The petitioner contends that the industry's injured condition is 
illustrated by a significant volume of subject imports; declining 
market share; underselling and price depression and/or suppression; 
lost sales and revenues; and adverse impact on the domestic industry's 
performance and development and production efforts.\26\ We assessed the 
allegations and supporting evidence regarding material injury, threat 
of material injury, causation, as well as negligibility, and we have 
determined that these allegations are properly supported by adequate 
evidence, and meet the statutory requirements for initiation.\27\
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    \26\ See Petitions at Volume I (pages 19-38 and Exhibits I-14 
and I-27 through I-34); see also First General Issues Supplement at 
17-21 and Exhibit I-S6; and the October 26 Injury Supplement at 1-2.
    \27\ See Country-Specific AD Initiation Checklists at Attachment 
III, Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Paper File Folders from the People's Republic of China, 
India, and the Socialist Republic of Vietnam (Attachment III).
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Allegations of Sales at LTFV

    The following is a description of the allegations of sales at LTFV 
upon which Commerce based its decision to initiate AD investigations of 
imports of paper file folders from China, Vietnam, and India. The 
sources of data for the deductions and adjustments relating to U.S. 
price and normal value (NV) are discussed in greater detail in the 
Country-Specific AD Initiation Checklists.

U.S. Price

    For China, India, and Vietnam, the petitioner based export price 
(EP) on pricing information for sales of, or offers for sale of, paper 
file folders produced in and exported from each country. The petitioner 
made certain adjustments to U.S. price to calculate a net ex-factory 
U.S. price, where applicable.\28\
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    \28\ See Country-Specific AD Initiation Checklists.
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Normal Value <SUP>29</SUP>
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    \29\ In accordance with section 773(b)(2) of the Act, for the 
India investigation, Commerce will request information necessary to 
calculate the constructed value (CV) and COP to determine whether 
there are reasonable grounds to believe or suspect that sales of the 
foreign like product have been made at prices that represent less 
than the COP of the product.
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    For India, the petitioner stated it was unable to obtain home-
market or third-country prices for paper file folders to use as a basis 
for NV.\30\ Therefore, for India, the petitioner calculated NV based on 
CV.\31\ For further discussion of CV, see the section ``Normal Value 
Based on Constructed Value.''
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    \30\ See India AD Initiation Checklist.
    \31\ Id.
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    Commerce considers China and Vietnam to be NME countries.\32\ In 
accordance with section 771(18)(C)(i) of the Act, any determination 
that a foreign country is an NME country shall remain in effect until 
revoked by Commerce. Therefore, we continue to treat China and Vietnam 
as NME countries for purposes of the initiation of these 
investigations. Accordingly, NV in China and Vietnam is appropriately 
based on FOPs valued in surrogate market economy countries, in 
accordance with section 773(c) of the Act.
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    \32\ See Antidumping Duty Investigation of Certain Aluminum Foil 
from the People's Republic of China: Affirmative Preliminary 
Determination of Sales at Less-Than-Fair Value and Postponement of 
Final Determination, 82 FR 50858, 50861 (November 2, 2017), and 
accompanying Decision Memorandum (China's Status as a Non-Market 
Economy), unchanged in Certain Aluminum Foil from the People's 
Republic of China: Final Determination of Sales at Less Than Fair 
Value, 83 FR 9282 (March 5, 2018); see also Certain Frozen Fish 
Fillets from the Socialist Republic of Vietnam: Final Results, and 
Final Results of No Shipments of the Antidumping Duty Administrative 
Review; 2016-2017, 84 FR 18007 (April 29, 2019).
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    The petitioner claims that Malaysia is an appropriate surrogate 
country for China because Malaysia is a market economy country that is 
at a level of economic development comparable to that of China and is a 
significant producer of identical merchandise.\33\ The petitioner 
provided publicly available information from Malaysia to value all 
FOPs.\34\ Based on the information provided by the petitioner, we 
determine that it is appropriate to use Malaysia as a surrogate country 
for initiation purposes.
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    \33\ See China AD Checklist.
    \34\ Id.
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    The petitioner claims that Indonesia is an appropriate surrogate 
country for Vietnam because Indonesia is a market economy country that 
is at a level of economic development comparable to that of Vietnam and 
is a significant producer of identical merchandise.\35\ The petitioner 
provided publicly available information from Indonesia to value all 
FOPs.\36\ Based on the information provided by the petitioner, we 
determine that it is appropriate to use Indonesia as a surrogate 
country for initiation purposes.
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    \35\ See Vietnam AD Checklist.
    \36\ Id.
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    Interested parties will have the opportunity to submit comments 
regarding surrogate country selection and, pursuant to 19 CFR 
351.301(c)(3)(i), will be provided an opportunity to submit publicly 
available information to value FOPs within 30 days before the scheduled 
date of the preliminary determinations.

Factors of Production

    Because information regarding the volume of inputs consumed by 
Chinese and Vietnamese producers/exporters was not reasonably 
available, the petitioner used product-specific consumption rates from 
a U.S. producer of paper file folders as a surrogate to value Chinese 
and Vietnamese manufacturers' FOPs.\37\ Additionally, the petitioner 
calculated factory overhead; selling, general and administrative (SG&A) 
expenses; and profit based on the experience of a Malaysian and 
Indonesian producer of identical merchandise for China and Vietnam, 
respectively.\38\
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    \37\ See Volume II of the Petitions at 8-9; see also Volume IV 
of the Petitions at 9-10; China Supplemental Response at 3; and 
Vietnam Supplemental Response at 2.
    \38\ See Volume II of the Petitions at 9 and at Exhibits II-3 
and II-17; see also Volume IV of the Petitions at 11 and Exhibits 
IV-3 and IV-16.
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Normal Value Based on Constructed Value

    As noted above for India, the petitioner stated it was unable to 
obtain home-market or third-country prices for

[[Page 67445]]

paper file folders to use as a basis for NV. Therefore, for India, the 
petitioner calculated NV based on CV.\39\
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    \39\ See India AD Initiation Checklist.
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    Pursuant to section 773(e) of the Act, the petitioner calculated CV 
as the sum of the cost of manufacturing, SG&A expenses, financial 
expenses, and profit.\40\ For India, in calculating the cost of 
manufacturing, the petitioner relied on the production experience and 
input consumption rates of a U.S. producer of paper file folders, 
valued using publicly available information applicable to India.\41\ In 
calculating SG&A expenses, financial expenses, and profit ratios (where 
applicable), the petitioner relied on the fiscal year 2021-2022 
financial statements of a producer of identical merchandise in 
India.\42\
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    \40\ Id.
    \41\ Id.
    \42\ Id.
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Fair Value Comparisons

    Based on the data provided by the petitioner, there is reason to 
believe that imports of paper file folders from China, India, and 
Vietnam, are being, or are likely to be, sold in the United States at 
LTFV. Based on comparisons of EP to NV in accordance with sections 772 
and 773 of the Act, the estimated dumping margins for paper file 
folders for each of the countries covered by this initiation are as 
follows: (1) China--62.61 to 192.70 percent; (2) India--86.01 to 225.24 
percent; and (3) Vietnam--180.61 to 233.93 percent.\43\
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    \43\ See Country-Specific AD Initiation Checklists for details 
of calculations.
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Initiation of LTFV Investigations

    Based upon the examination of the Petitions and supplemental 
responses, we find that they meet the requirements of section 732 of 
the Act. Therefore, we are initiating AD investigations to determine 
whether imports of paper file folders from China, Vietnam, and India 
are being, or are likely to be, sold in the United States at LTFV. In 
accordance with section 733(b)(1)(A) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determinations no later than 140 days after the date of this 
initiation.

Respondent Selection

China and Vietnam

    In the Petitions, the petitioner named 39 companies in China and 
nine companies in Vietnam as producers and/or exporters of paper file 
folders.\44\ In accordance with our standard practice for respondent 
selection in AD investigations involving NME countries, Commerce 
selects respondents based on quantity and value (Q&V) questionnaires in 
cases where it has determined that the number of companies is large and 
it cannot individually examine each company based upon its resources. 
Therefore, considering the number of producers and/or exporters 
identified in the Petition, Commerce will solicit Q&V information that 
can serve as a basis for selecting exporters for individual examination 
in the event that Commerce decides to limit the number of respondents 
individually examined pursuant to section 777A(c)(2) of the Act. 
Because there are 39 Chinese and nine Vietnamese producers and/or 
exporters identified in the Petitions, Commerce has determined that it 
will issue Q&V questionnaires to each potential respondent for which 
the petitioner has provided a complete address.
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    \44\ See Petitions at Volume I (page 12 and Exhibit I-16); see 
also First General Issues Supplement at 1-3.
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    In addition, Commerce will post the Q&V questionnaires along with 
filing instructions on Commerce's website at <a href="https://enforcement.trade.gov/questionnaires/questionnaires-ad.html">https://enforcement.trade.gov/questionnaires/questionnaires-ad.html</a>. Producers/
exporters of paper file folders from China and Vietnam that do not 
receive Q&V questionnaires may still submit a response to the Q&V 
questionnaire and can obtain a copy of the Q&V questionnaire from 
Commerce's website. In accordance with the standard practice for 
respondent selection in AD cases involving NME countries, in the event 
Commerce decides to limit the number of respondents individually 
investigated, Commerce intends to base respondent selection on the 
responses to the Q&V questionnaire that it receives.
    Responses to the Q&V questionnaire must be submitted by the 
relevant Chinese and Vietnamese producers/exporters no later than 5:00 
p.m. ET on November 15, 2022, which is two weeks from the signature 
date of this notice. All Q&V questionnaire responses must be filed 
electronically via ACCESS. An electronically filed document must be 
received successfully, in its entirety, by ACCESS no later than 5:00 
p.m. ET on the deadline noted above.
    Interested parties must submit applications for disclosure under 
administrative protective order (APO) in accordance with 19 CFR 
351.305(b). Instructions for filing such applications may be found on 
Commerce's website at <a href="https://enforcement.trade.gov/apo">https://enforcement.trade.gov/apo</a>. Commerce 
intends to make its decisions regarding respondent selection within 20 
days of publication of this notice.

India

    The petitioner named 20 companies in India as producers/exporters 
of paper file folders.\45\ Following standard practice in AD 
investigations involving market economy countries, in the event 
Commerce determines that the number of companies is large and it cannot 
individually examine each company based upon Commerce's resources, 
where appropriate, Commerce intends to select respondents in India 
based on U.S. Customs and Border Protection (CBP) data for U.S. imports 
under the appropriate Harmonized Tariff Schedule of the United States 
(HTSUS) subheading listed in the scope of the investigations in the 
appendix to this notice.
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    \45\ See Petitions at Volume I (page 12 and Exhibit I-16).
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    On October 31, 2022, Commerce released CBP data on U.S. imports of 
paper file folders from India under APO to all parties with access to 
information protected by APO and indicated that interested parties 
wishing to comment on the CBP data and/or respondent selection must do 
so within three business days after the publication date of the notice 
of initiation of these investigations.\46\ Commerce will not accept 
rebuttal comments regarding the CBP data or respondent selection. 
Interested parties must submit applications for disclosure under APO in 
accordance with 19 CFR 351.305(b). Instructions for filing such 
applications may be found on Commerce's website at <a href="https://enforcement.trade.gov/apo">https://enforcement.trade.gov/apo</a>.
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    \46\ See Memoranda, ``Petition for the Imposition of Antidumping 
Duties on Imports of Paper File Folders from India: Release of 
Customs Data from U.S. Customs and Border Protection,'' dated 
October 31, 2022; and ``Countervailing Duty Petition on Imports of 
Paper File Folders from India: Release of U.S. Customs and Border 
Protection Data,'' dated October 31, 2022.
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    Comments must be filed electronically using ACCESS. An 
electronically filed document must be received successfully, in its 
entirety, by Commerce's electronic records system, ACCESS, no later 
than 5:00 p.m. ET on the dates noted above. We intend to make our 
decision regarding respondent selection within 20 days of publication 
of this notice.

Separate Rates

    In order to obtain separate rate status in an NME investigation, 
exporters and producers must submit a separate rate application.\47\ 
The specific requirements

[[Page 67446]]

for submitting a separate rate application in an NME investigation are 
outlined in detail in the application itself, which is available on 
Commerce's website at <a href="https://enforcement.trade.gov/nme/nme-sep-rate.html">https://enforcement.trade.gov/nme/nme-sep-rate.html</a>. The separate rate application will be due 30 days after 
publication of this initiation notice.\48\ Exporters and producers who 
submit a separate rate application and have been selected as mandatory 
respondents will be eligible for consideration for separate rate status 
only if they respond to all parts of Commerce's AD questionnaire as 
mandatory respondents. Commerce requires that companies from China and 
Vietnam submit a response both to the Q&V questionnaire and to the 
separate rate application by the respective deadlines in order to 
receive consideration for separate rate status. Companies not filing a 
timely Q&V questionnaire response will not receive separate rate 
consideration.
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    \47\ See Enforcement and Compliance's Policy Bulletin 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigation involving NME Countries,'' (April 
5, 2005) (Policy Bulletin 05.1), available at <a href="https://enforcement.trade.gov/policy/bull05-1.pdf">https://enforcement.trade.gov/policy/bull05-1.pdf</a>.
    \48\ Although in past investigations this deadline was 60 days, 
consistent with 19 CFR 351.301(a), which states that ``the Secretary 
may request any person to submit factual information at any time 
during a proceeding,'' this deadline is now 30 days.
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Use of Combination Rates

    Commerce will calculate combination rates for certain respondents 
that are eligible for a separate rate in an NME investigation. The 
Separate Rates and Combination Rates Bulletin states:

{w{time} hile continuing the practice of assigning separate rates 
only to exporters, all separate rates that {Commerce{time}  will now 
assign in its NME Investigation will be specific to those producers 
that supplied the exporter during the period of investigation. Note, 
however, that one rate is calculated for the exporter and all of the 
producers which supplied subject merchandise to it during the period 
of investigation. This practice applies both to mandatory 
respondents receiving an individually calculated separate rate as 
well as the pool of non-investigated firms receiving the {weighted 
average{time}  of the individually calculated rates. This practice 
is referred to as the application of ``combination rates'' because 
such rates apply to specific combinations of exporters and one or 
more producers. The cash-deposit rate assigned to an exporter will 
apply only to merchandise both exported by the firm in question and 
produced by a firm that supplied the exporter during the period of 
investigation.\49\
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    \49\ See Policy Bulletin 05.1 at 6 (emphasis added).
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Distribution of Copies of the AD Petitions

    In accordance with section 732(b)(3)(A) of the Act and 19 CFR 
351.202(f), copies of the public version of the AD Petitions have been 
provided to the governments of China, Vietnam, and India via ACCESS. To 
the extent practicable, we will attempt to provide a copy of the public 
version of the AD Petitions to each exporter named in the AD Petitions, 
as provided under 19 CFR 351.203(c)(2).

ITC Notification

    Commerce will notify the ITC of our initiation, as required by 
section 732(d) of the Act.

Preliminary Determinations by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the AD Petitions were filed, whether there is a reasonable 
indication that imports of paper file folders from China, India, and/or 
Vietnam, are materially injuring, or threatening material injury to, a 
U.S. industry.\50\ A negative ITC determination for any country will 
result in the investigation being terminated with respect to that 
country.\51\ Otherwise, these AD investigations will proceed according 
to statutory and regulatory time limits.
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    \50\ See section 733(a) of the Act.
    \51\ Id.
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Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Section 351.301(b) of Commerce's 
regulations requires any party, when submitting factual information, to 
specify under which subsection of 19 CFR 351.102(b)(21) the information 
is being submitted \52\ and, if the information is submitted to rebut, 
clarify, or correct factual information already on the record, to 
provide an explanation identifying the information already on the 
record that the factual information seeks to rebut, clarify, or 
correct.\53\ Time limits for the submission of factual information are 
addressed in 19 CFR 351.301, which provides specific time limits based 
on the type of factual information being submitted. Interested parties 
should review the regulations prior to submitting factual information 
in these investigations.
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    \52\ See 19 CFR 351.301(b).
    \53\ See 19 CFR 351.301(b)(2).
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Particular Market Situation Allegation

    Section 773(e) of the Act addresses the concept of particular 
market situation (PMS) for purposes of CV, stating that ``if a 
particular market situation exists such that the cost of materials and 
fabrication or other processing of any kind does not accurately reflect 
the cost of production in the ordinary course of trade, the 
administering authority may use another calculation methodology under 
this subtitle or any other calculation methodology.'' When an 
interested party submits a PMS allegation pursuant to section 773(e) of 
the Act, Commerce will respond to such a submission consistent with 19 
CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists under section 
773(e) of the Act, then it will modify its dumping calculations 
appropriately.
    Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v), set 
a deadline for the submission of PMS allegations and supporting factual 
information. However, in order to administer section 773(e) of the Act, 
Commerce must receive PMS allegations and supporting factual 
information with enough time to consider the submission. Thus, should 
an interested party wish to submit a PMS allegation and supporting new 
factual information pursuant to section 773(e) of the Act, it must do 
so no later than 20 days after submission of a respondent's initial 
section D questionnaire response.

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by Commerce. In general, an extension request will 
be considered untimely if it is filed after the expiration of the time 
limit established under 19 CFR 351.301.\54\ For submissions that are 
due from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in a letter or memorandum of the 
deadline (including a specified time) by which extension requests must 
be filed to be considered timely. An extension request must be made in 
a separate, stand-alone submission; under limited circumstances we will 
grant untimely filed requests for the extension of time limits. Parties 
should review Commerce's regulations concerning the extension of time 
limits and the Time

[[Page 67447]]

Limits Final Rule prior to submitting factual information in these 
investigations.\55\
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    \54\ See 19 CFR 351.302.
    \55\ See 19 CFR 351.301; see also Extension of Time Limits; 
Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final 
Rule), available at <a href="https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm">https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm</a>.
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Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\56\ 
Parties must use the certification formats provided in 19 CFR 
351.303(g).\57\ Commerce intends to reject factual submissions if the 
submitting party does not comply with the applicable certification 
requirements.
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    \56\ See section 782(b) of the Act.
    \57\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to 
frequently asked questions regarding the Final Rule are available at 
<a href="https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf">https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf</a>.
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Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. Parties wishing to participate 
in these investigations should ensure that they meet the requirements 
of 19 CFR 351.103(d) (e.g., by filing the required letter of 
appearance). Note that Commerce has temporarily modified certain of its 
requirements for serving documents containing business proprietary 
information, until further notice.\58\
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    \58\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
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    This notice is issued and published pursuant to sections 732(c)(2) 
and 777(i) of the Act, and 19 CFR 351.203(c).

    Dated: November 1, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigations

    The products within the scope of these investigations are file 
folders consisting primarily of paper, paperboard, pressboard, or 
other cellulose material, whether coated or uncoated, that has been 
folded (or creased in preparation to be folded), glued, taped, 
bound, or otherwise assembled to be suitable for holding documents. 
The scope includes all such folders, regardless of color, whether or 
not expanding, whether or not laminated, and with or without tabs, 
fasteners, closures, hooks, rods, hangers, pockets, gussets, or 
internal dividers. The term ``primarily'' as used in the first 
sentence of this scope means 50 percent or more of the total product 
weight, exclusive of the weight of fasteners, closures, hooks, rods, 
hangers, removable tabs, and similar accessories, and exclusive of 
the weight of packaging.
    Subject folders have the following dimensions in their folded 
and closed position: lengths and widths of at least 8 inches and no 
greater than 17 inches, regardless of depth.
    The scope covers all varieties of folders, including but not 
limited to manila folders, hanging folders, fastener folders, 
classification folders, expanding folders, pockets, jackets, and 
wallets.
    Excluded from the scope are:
    <bullet> mailing envelopes with a flap bearing one or more 
adhesive strips that can be used permanently to seal the entire 
length of a side such that, when sealed, the folder is closed on all 
four sides;
    <bullet> binders, with two or more rings to hold documents in 
place, made from paperboard or pressboard encased entirely in 
plastic;
    <bullet> non-expanding folders with a depth exceeding 2.5 inches 
and that are closed or closeable on the top, bottom, and all four 
sides (e.g., boxes or cartons);
    <bullet> expanding folders that have (1) 13 or more pockets, (2) 
a flap covering the top, (3) a latching mechanism made of plastic 
and/or metal to close the flap, and (4) an affixed plastic or metal 
carry handle;
    <bullet> expanding folders that have an outer surface (other 
than the gusset, handles, and/or closing mechanisms) that is covered 
entirely with fabric, leather, and/or faux leather;
    <bullet> fashion folders, which are defined as folders with all 
of the following characteristics: (1) plastic lamination covering 
the entire exterior of the folder, (2) printing, foil stamping, 
embossing (i.e., raised relief patterns that are recessed on the 
opposite side), and/or debossing (i.e., recessed relief patterns 
that are raised on the opposite side), covering the entire exterior 
surface area of the folder, (3) at least two visible and printed or 
foil stamped colors other than the color of the base paper, and 
other than the printing of numbers, letters, words, or logos, each 
of which separately covers no less than 10 percent of the entire 
exterior surface area, and (4) patterns, pictures, designs, or 
artwork covering no less than thirty percent of the exterior surface 
area of the folder;
    <bullet> portfolios, which are folders having (1) a width of at 
least 16 inches when open flat, (2) no tabs or dividers, and (3) one 
or more pockets that are suitable for holding letter size documents 
and that cover at least 15 percent of the surface area of the 
relevant interior side or sides; and
    <bullet> report covers, which are folders having (1) no tabs, 
dividers, or pockets, and (2) one or more fasteners or clips, each 
of which is permanently affixed to the center fold, to hold papers 
securely in place.
    Imports of the subject merchandise are provided for under 
Harmonized Tariff Schedule of the United States (HTSUS) category 
4820.30.0040. Subject imports may also enter under other HTSUS 
classifications. While the HTSUS subheading is provided for 
convenience and customs purposes, the written description of the 
scope of the investigations is dispositive.

[FR Doc. 2022-24316 Filed 11-7-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on November 8, 2022.

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.