Notice2023-02591

Certain Collated Steel Staples From the People's Republic of China: Final Results of Countervailing Duty Administrative Review; 2019-2020

Primary source

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Published
February 7, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that countervailable subsidies were provided to producers and exporters of certain collated steel staples (collated staples) from the People's Republic of China (China) during the period of review (POR) from November 12, 2019, through December 31, 2020.

Full Text

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<title>Federal Register, Volume 88 Issue 25 (Tuesday, February 7, 2023)</title>
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[Federal Register Volume 88, Number 25 (Tuesday, February 7, 2023)]
[Notices]
[Pages 7938-7940]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-02591]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-113]


Certain Collated Steel Staples From the People's Republic of 
China: Final Results of Countervailing Duty Administrative Review; 
2019-2020

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
countervailable subsidies were provided to producers and exporters of 
certain collated steel staples (collated staples) from the People's 
Republic of China (China) during the period of review (POR) from 
November 12, 2019, through December 31, 2020.

DATES: Applicable February 7, 2023.

FOR FURTHER INFORMATION CONTACT: Jinny Ahn or Shane Subler, AD/CVD 
Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0339 or (202) 482-6241, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On August 5, 2022, Commerce published the Preliminary Results.\1\ 
On November 22, 2022, we released the final verification report and 
invited parties to comment on the Preliminary Results.\2\ For a 
detailed description of the events that occurred subsequent to the 
Preliminary Results, see the Issues and Decision Memorandum.\3\ On 
November 21, 2022,\4\ in accordance with section 751(a)(3)(A) of the 
Tariff Act of 1930, as amended (the Act), Commerce extended the 
deadline for issuing the final results until February 1, 2023.
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    \1\ See Certain Collated Staples from the People's Republic of 
China: Preliminary Results and Partial Rescission of the 
Countervailing Duty Administrative Review; 2019-2020, 87 FR 47980 
(August 5, 2022) (Preliminary Results) and accompanying Preliminary 
Decision Memorandum.
    \2\ See Memoranda, ``Verification of the Questionnaire Responses 
of Tianjin Hweschun Fasteners Manufacturing Co., Ltd.,'' dated 
November 22, 2022 (Verification Report); and ``Case Brief 
Schedule,'' dated November 22, 2022.
    \3\ See Memorandum, ``Certain Collated Steel Staples from the 
People's Republic of China: Issues and Decision Memorandum for the 
Final Results of the 2019-2020 Countervailing Duty Administrative 
Review,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
    \4\ See Memorandum, ``Extension of Deadline for the Final 
Results of Countervailing Duty Administrative Review; 2020,'' dated 
November 21, 2022.
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Scope of the Order \5\
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    \5\ See Certain Collated Steel Staples from the People's 
Republic of China: Countervailing Duty Order, 85 FR 43813 (July 20, 
2020) (Order).
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    The merchandise subject to the Order is collated staples from 
China. A full description of the scope of the Order is contained in the 
Issues and Decision Memorandum.

Analysis of Comments Received

    All issues raised by interested parties in briefs are addressed in 
the Issues and Decision Memorandum. A list of the issues addressed in 
the Issues and Decision Memorandum is provided in the appendix to this 
notice. The Issues and 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 Issues and Decision Memorandum can 
be accessed directly

[[Page 7939]]

at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.

Changes Since the Preliminary Results

    Based on our review of the record and comments received from 
interested parties regarding our Preliminary Results, we made certain 
revisions to the countervailable subsidy rate calculations for Tianjin 
Hweschun Fasteners Mfg. Co. Ltd. (Tianjin Hweschun).\6\ As a result of 
the changes to Tianjin Hweschun's program rates, the final rate for the 
five non-selected companies under review also changed.\7\ Further, as a 
result of the changes to Tianjin Hweschun's program rates and other 
changes made to the derivation of the total adverse facts available 
(AFA) rate, the final total AFA rate for the non-cooperative mandatory 
respondents (i.e., China Staple Enterprise (Tianjin) (China Staple) and 
Shanghai Yueda Nails Co., Ltd. (Shanghai Yueda)) also changed.\8\ These 
changes are explained in the Issues and Decision Memorandum.
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    \6\ See Memorandum, ``Final Results Calculations for Tianjin 
Hweschun Fasteners Manufacturing Co., Ltd.,'' dated concurrently 
with this notice.
    \7\ The five non-selected companies under review are: A-Jax 
International Co., Ltd., China Dinghao Co., Ltd., Rise Time 
Industrial Ltd., Shaoxing Bohui Import Export Co., Ltd., and 
Zhejiang Best Nail Industrial Co., Ltd.
    \8\ For information detailing the derivation of the AFA rate 
applied, see Memorandum, ``AFA Calculation Memorandum for the Final 
Results in the Administrative Review of Certain Collated Steel 
Staples from the People's Republic of China,'' dated concurrently 
with this memorandum (AFA Calculation Memorandum).
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Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(A) of the Act. For each of the subsidy programs found 
countervailable, we find that there is a subsidy, i.e., a government-
provided financial contribution that gives rise to a benefit to the 
recipient, and that the subsidy is specific.\9\ The Issues and Decision 
Memorandum contains a full description of the methodology underlying 
Commerce's conclusions, including any determination that relied upon 
the use of adverse facts available pursuant to sections 776(a) and (b) 
of the Act.
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    \9\ 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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Verification

    Pursuant to section 782(i) of the Act, and 19 CFR 351.307(b)(iv), 
we conducted verification of the questionnaire responses of Tianjin 
Hweschun.\10\
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    \10\ See Verification Report.
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Companies Not Selected for Individual Review

    The statute and Commerce's regulations do not address the 
establishment of a rate to be applied to companies not selected for 
individual examination when Commerce limits its examination in an 
administrative review pursuant to section 777A(c)(2) of the Act. 
Generally, Commerce looks to section 705(c)(5) of the Act, which 
provides instructions for determining the all-others rate in an 
investigation, for guidance when calculating the rate for companies 
which were not selected for individual examination in an administrative 
review. Under section 705(c)(5)(A) of the Act, the all-others rate is 
normally an amount equal to the weighted average of the countervailable 
subsidy rates established for exporters and producers individually 
investigated, excluding any zero or de minimis countervailable subsidy 
rates, and any rates determined entirely on the basis of facts 
available.
    As stated above, there are five 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. For 
these non-selected companies, because the rate calculated for the only 
participating mandatory respondent in this review, Tianjin Hweschun, 
was above de minimis and not based entirely on facts available, we are 
applying to the five non-selected companies Tianjin Hweschun's subsidy 
rate. This methodology used to establish the rate for the non-selected 
companies is consistent with our practice regarding the calculation of 
the all-others rate, pursuant to section 705(c)(5)(A)(i) of the Act.

Final Results of Review

    We find the countervailable subsidy rates for the mandatory and 
non-selected respondents under review for the period of November 12, 
2019, through December 31, 2020, to be as follows:

------------------------------------------------------------------------
                                                           Subsidy rate
                    Producer/exporter                       (percent ad
                                                             valorem)
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Tianjin Hweschun Fasteners Mfg. Co. Ltd.................           62.18
China Staple Enterprise (Tianjin).......................          319.30
Shanghai Yueda Nails Co., Ltd...........................          319.30
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                   Review-Specific Rate Applicable to
                         Non-Selected Companies
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A-Jax International Co., Ltd............................           62.18
China Dinghao Co., Ltd..................................           62.18
Rise Time Industrial Ltd................................           62.18
Shaoxing Bohui Import Export Co., Ltd...................           62.18
Zhejiang Best Nail Industrial Co., Ltd..................           62.18
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Disclosure

    We intend to disclose the calculations performed in connection with 
the final results of review to parties in this proceeding within five 
days of the date of publication of this notice in accordance with 19 
CFR 351.224(b).

Assessment Rates

    Pursuant to section 751(a)(2)(C) of the Act and 19 CFR 351.212(b), 
Commerce has determined, and U.S Customs and Border Protection (CBP) 
shall assess, countervailing duties on all appropriate entries of 
subject merchandise in accordance with the final results of this 
review, for the above-listed companies at the applicable ad valorem 
assessment rates listed. 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

    In accordance with section 751(a)(1) of the Act, Commerce intends 
to instruct CBP to collect cash deposits of estimated countervailing 
duties in the amounts shown for each of 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. For all non-reviewed firms 
subject to the Order, we will instruct CBP to continue to collect cash 
deposits of estimated countervailing duties at the most recent company-
specific or all-others rate applicable to the company, as appropriate. 
These cash deposit requirements, effective upon publication of the 
final results of review, shall remain in effect until further notice.

[[Page 7940]]

Administrative Protective Order (APO)

    This notice also serves as a reminder to parties subject to an APO 
of their responsibility concerning the return or destruction of 
proprietary information disclosed under APO in accordance with 19 CFR 
351.305(a)(3), which continues to govern business proprietary 
information in this segment of the proceeding. Timely written 
notification of the return or 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

    We are issuing and publishing these final results of administrative 
review and notice in accordance with sections 751(a)(1) and 777(i) of 
the Act and 19 CFR 351.221(b)(5).

    Dated: February 1, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Alleged Upstream Subsidies on Galvanized Steel Wire
V. Diversification of China's Economy
VI. Use of Facts Otherwise Available and Application of Adverse 
Inferences
VII. Subsidies Valuation Information
VIII. Analysis of Programs
IX. Discussion of the Issues
    Comment 1: Whether Commerce Should Apply Adverse Facts Available 
(AFA) to the Export Buyer's Credit Program
    Comment 2: Whether Commerce Should Conduct the Upstream Subsidy 
Investigation
    Comment 3: Whether Commerce Should Apply AFA to the Provision of 
Wire Rod and Galvanized Steel Wire for Less Than Adequate 
Remuneration (LTAR)
    Comment 4: Whether Inland Freight and Value-Added Tax (VAT) 
Included in the Wire Rod and Galvanized Wire Benchmarks Should Be 
Removed
    Comment 5: Whether Commerce Should Apply AFA to the Provision of 
Electricity for LTAR
    Comment 6: Whether Import Compliance Costs Should Be Included in 
the Wire Rod and Galvanized Steel Wire Benchmarks
    Comment 7: May 2020 Exchange Rate Calculation
    Comment 8: Ministerial Error in the Benefit Calculations for the 
Provision of Galvanized Steel Wire for LTAR Program
    Comment 9a: Provision of Electricity for LTAR Benefit 
Calculations: Highest Applicable Benchmark Rates
    Comment 9b: Provision of Electricity for LTAR Benefit 
Calculations: Benchmark for ``Unspecified'' Electricity Categories
    Comment 9c: Provision of Electricity for LTAR Benefit 
Calculations: Electricity Prices Paid by Tianjin Hweschun
    Comment 10: Total AFA Rate
X. Recommendation

[FR Doc. 2023-02591 Filed 2-6-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on February 7, 2023.

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