Notice2023-04573

Wood Mouldings and Millwork Products From the People's Republic of China: Preliminary Results and Partial Rescission of Countervailing Duty Administrative Review; 2020-2021

Primary source

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Published
March 7, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of wood moulding and millwork products (millwork products) from the People's Republic of China (China) during the period of review (POR), June 12, 2020, through December 31, 2021. In addition, Commerce is rescinding this review with respect to 38 companies. Interested parties are invited to comment on these preliminary results of review.

Full Text

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<title>Federal Register, Volume 88 Issue 44 (Tuesday, March 7, 2023)</title>
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[Federal Register Volume 88, Number 44 (Tuesday, March 7, 2023)]
[Notices]
[Pages 14122-14125]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-04573]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-118]


Wood Mouldings and Millwork Products From the People's Republic 
of China: Preliminary Results and Partial Rescission of Countervailing 
Duty Administrative Review; 2020-2021

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of wood moulding and millwork products 
(millwork products) from the People's Republic of China (China) during 
the period of review (POR), June 12, 2020, through December 31, 2021. 
In addition, Commerce is rescinding this review with respect to 38 
companies. Interested parties are invited to comment on these 
preliminary results of review.

DATES: Applicable March 7, 2023.

FOR FURTHER INFORMATION CONTACT: Janae Martin or Faris Montgomery, AD/
CVD Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-0238 or (202) 
482-1537, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On February 16, 2021, Commerce published a countervailing duty 
(CVD) order on millwork products from China.\1\ The Coalition of 
American Millwork Producers (the petitioner) and other interested 
parties requested that Commerce conduct an administrative review of the 
Order. On February 4, 2022, Commerce published in the Federal Register 
a notice of initiation of an administrative review of the Order.\2\ We 
initiated an administrative review of 70 producers/exporters of 
millwork products from China for the POR. On June 21, 2022, Commerce 
selected Fujian Jinquan Trade Co., Ltd. (Jinquan) and Fujian Yinfeng 
Imp & Exp Trading Co., Ltd. (Yinfeng) as the mandatory respondents in 
this administrative review.\3\
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    \1\ See Wood Mouldings and Millwork Products from the People's 
Republic of China: Countervailing Duty Order, 86 FR 9484 (February 
16, 2021) (Order).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 87 FR 21619 (April 12, 2022) (Initiation 
Notice).
    \3\ See Memorandum, ``Respondent Selection,'' dated June 21, 
2022.
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    On October 5, 2022, Commerce extended the deadline for the 
preliminary results of this review to no later than February 28, 
2023.\4\
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    \4\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review; 2020-2021,'' 
dated October 5, 2022.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\5\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included at Appendix I. 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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    \5\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review of Wood 
Mouldings and Millwork Products from the People's Republic of China; 
2020-2021,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
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Scope of the Order

    The product covered by the Order is millwork products from China. 
For a complete description of the scope of the Order, see the 
Preliminary Decision Memorandum.

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 a party who requested 
the review withdraws the request within 90 days of the date of 
publication of notice of initiation of the requested review. On June 
30, 2022, Gaomi Hongtai Home Furniture Co., Ltd. timely withdrew its 
request for review.\6\ On July 11, 2022, Sanming Lingtong Trading Co., 
Ltd. and Sanming Lintong Trading Co., Ltd. timely withdrew their 
requests for review.\7\ On July 11, 2022, the petitioner timely 
withdrew its requests for review of 57 companies.\8\ For the 34 
companies for which all requests for review were timely withdrawn, we 
are rescinding this review, in part with respect to these companies 
pursuant to 19 CFR 351.213(d)(1).\9\
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    \6\ See Gaomi Hongtai Home Furniture Co., Ltd.'s Letter, 
``Withdrawal of Request for Administrative Review,'' dated June 30, 
2022.
    \7\ See Sanming Lingtong Trading Co., Ltd./Sanming Lintong 
Trading Co., Ltd.'s Letter, ``Withdrawal of Request for 
Administrative Review and Request for Extension of Time to File 
Request'' dated July 11, 2022.
    \8\ See the Petitioner's Letter, ``Withdrawal of Request for 
Administrative Review,'' dated July 11, 2022.
    \9\ See Appendix II for a list of companies for which we are 
rescinding the review due to the timely withdrawal of the request 
for review.
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    On June 29, 2022, Commerce notified interested parties that we 
intended to rescind this administrative review with respect to certain 
companies, in the absence of suspended entries during the POR.\10\ Five 
companies listed in our Intent to Rescind Memorandum, Aventra Inc., 
China Cornici Co., Ltd., Omni One Co., Limited, Raoping HongRong 
Handicrafts Co., Ltd. (d.b.a. Chen Chui Global Corp), and Shenzhen 
Xinjintai Industrial Co., Ltd., submitted comments claiming that they 
had entries of subject merchandise during the POR.\11\ As we require 
more time to fully examine the companies' claims and request additional 
information if necessary, we are not rescinding the review of these 
five companies at this time, and will make a determination in the final 
results. With respect to the remaining four companies noted in our 
Intent to Rescind Memorandum and for which all review requests were not

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timely withdrawn,\12\ we find that there were no reviewable entries of 
subject merchandise during the POR. As a result, we are rescinding this 
review, pursuant to 19 CFR 351.213(d)(3), with respect to these 
companies.
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    \10\ See Memorandum, ``Notice of Intent to Rescind Review, In 
Part,'' dated June 29, 2022 (Intent to Rescind Memorandum).
    \11\ See Aventra Inc.'s Letter, ``Comments on Notice of Intent 
to Rescind Review, In Part,'' dated July 13, 2022; see also China 
Cornici Co., Ltd.'s Letter, ``Comments on Notice of Intent to 
Rescind Review, In Part,'' dated July 13, 2022; Omni One Co., 
Limited's Letter, ``Comments on Notice of Intent to Rescind Review, 
In Part,'' July 13, 2022; Raoping HongRong Handicrafts Co., Ltd.'s 
Letter, ``Comments on Notice of Intent to Rescind Review, In Part,'' 
dated July 13, 2022; Shenzhen Xinjintai Industrial Co., Ltd.'s 
Letter, ``Comments on Notice of Intent to Rescind Review, In Part,'' 
dated July 13, 2022.
    \12\ See Appendix III for a list of these four companies.
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    For further information regarding this determination, see ``Final 
Rescission of Administrative Review, In Part'' section in the 
Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this 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 preliminarily 
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.\13\ 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.
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    \13\ 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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Preliminary Rate for Non-Selected Companies Under Review

    As discussed above, Commerce initiated this administrative review 
with respect to 70 producers/exporters. We are rescinding the review 
for 34 companies for which the requests for administrative review were 
timely withdrawn and for four companies that had no suspended entries 
during the POR. Commerce selected two mandatory respondents, Jinquan 
and Yinfeng, for individual examination. For the remaining 28 non-
selected companies subject to this review, because the rates calculated 
for mandatory respondents Jinquan and Yinfeng were above de minimis and 
not based entirely on facts available, we applied a preliminary subsidy 
rate based on a weighted average of the rates calculated for the two 
mandatory respondents using the publicly ranged sales data they 
submitted on the record. This methodology is consistent with our 
practice for establishing an all-others subsidy rate pursuant to 
section 705(c)(5)(A) of the Act. For further information on the 
calculation of the non-selected respondent rate, refer to the section 
in the Preliminary Decision Memorandum entitled ``Non-Selected 
Companies Under Review.'' For a list of the non-selected companies, see 
Appendix IV to this notice.

Preliminary Results of the Review

    In accordance with 19 CFR 351.221(b)(4)(i), we calculated a 
countervailable subsidy rate for each of the mandatory respondents, 
Jinquan and Yinfeng, and their cross-owned affiliates, where 
applicable.
    We preliminarily find the countervailable subsidy rates for the 
mandatory and non-selected respondents under review to be as follows:

------------------------------------------------------------------------
                                           Subsidy rate    Subsidy rate
            Producer/exporter             (percent) 2020  (percent) 2021
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Fujian Jinquan Trade Co., Ltd \14\......           13.21            8.63
Fujian Yinfeng Imp & Exp Trading Co.,               5.01           04.38
 Ltd \15\...............................
Non-Selected Companies Under Review \16\           07.10           05.47
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Disclosure
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    \14\ As discussed in the Preliminary Decision Memorandum, 
Commerce preliminarily finds Fujian Province Youxi County Baiyuan 
Wood Machining Co., Ltd. to be cross-owned with Jinquan. Fujian 
Province Youxi County Baiyuan Wood Machining Co., Ltd. was listed 
separately in the Initiation Notice.
    \15\ As discussed in the Preliminary Decision Memorandum, 
Commerce preliminarily finds the following companies to be cross-
owned with Yinfeng: Fujian Province Youxi City Mangrove Wood 
Machining Co., Ltd.; and Fujian Province Youxi City Mangrove Wood 
Machining Co., Ltd. Youxi Xicheng Branch. Fujian Province Youxi City 
Mangrove Wood Machining Co., Ltd. was listed separately in the 
Initiation Notice.
    \16\ See Appendix IV.
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    We intend to disclose to interested parties the calculations 
performed for these preliminary results in accordance with 19 CFR 
351.224(b).

Verification

    Commerce received a timely request from the petitioner to verify 
the information submitted in this administrative review.\17\ As 
provided in section 782(i)(3) of the Act, Commerce intends to verify 
the information relied upon for its final results of this review.
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    \17\ See Petitioner's Letter, ``Request for Verification,'' 
dated July 21, 2022.
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Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance. Interested parties 
will be notified of the timeline for the submission of case briefs at a 
later date.\18\ 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.\19\ Pursuant to 19 CFR 351.309(d)(2), rebuttal briefs must 
be limited to issues raised in the case briefs. Parties who submit 
arguments are requested to submit with the argument: (1) a statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.\20\
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    \18\ See 19 CFR 351.309(c)(1)(ii); see also 19 CFR 351.303 (for 
general filing requirements).
    \19\ See 19 CFR 351.309(d)(1); see also Temporary Rule Modifying 
AD/CVD Service Requirements Due to COVID-19, 85 FR 17006, 17007 
(March 26, 2020) (``To provide adequate time for release of case 
briefs via ACCESS, E&C intends to schedule the due date for all 
rebuttal briefs to be 7 days after case briefs are filed (while 
these modifications remain in effect.'')).
    \20\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, U.S. Department of Commerce, 
using Enforcement and Compliance's ACCESS system within 30 days of 
publication of this notice.\21\ Requests should contain: (1) the 
party's name, address, and telephone number; (2) the number of 
participants; (3) whether any participant is a foreign national; and 
(4) a list of issues to be discussed. Issues raised in the hearing will 
be limited to those raised in the respective case and rebuttal briefs. 
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 the 
date and time of the hearing two days before the scheduled date.
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    \21\ See 19 CFR 351.310(c).
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    Parties are reminded that all briefs and hearing requests must be 
filed electronically using ACCESS \22\ and must be served on interested 
parties.\23\ Electronically filed documents must be received 
successfully in their entirety by

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5:00 p.m. Eastern Time on the established deadline. Note that Commerce 
has temporarily modified certain of its requirements for serving 
documents containing business proprietary information, until further 
notice.\24\
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    \22\ See 19 CFR 351.303.
    \23\ See 19 CFR 351.303(f).
    \24\ 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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Final Results

    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act and 19 CFR 351.213(h)(2), Commerce intends to issue the final 
results of this administrative review, including the results of its 
analysis of the issues raised by the parties in any written briefs, no 
later than 120 days after the date of publication of these preliminary 
results.

Assessment Rates

    In accordance with 19 CFR 351.221(b)(4)(i), we preliminarily 
assigned subsidy rates in the amounts for the producer/exporters shown 
above. Upon completion of the administrative review, consistent with 
section 751(a)(1) of the Act and 19 CFR 351.212(b)(2), Commerce shall 
determine, and CBP shall assess, countervailing duties on all 
appropriate entries covered by this review, for the above-listed 
companies at the applicable ad valorem assessment rates listed for the 
corresponding time period (i.e., June 12, 2020, to December 31, 2020, 
and January 1, 2021, to December 31, 2021). For the companies for which 
this review is rescinded, Commerce will instruct CBP to assess 
countervailing duties on all appropriate entries at a 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 
June 12, 2020, through December 31, 2021, in accordance with 19 CFR 
351.212(c)(l)(i). Commerce intends to issue assessment instructions to 
CBP for these companies no earlier than 35 days after the publication 
of the preliminary results of this review in the Federal Register. For 
the remaining companies under 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

    In accordance with section 751(a)(1) 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 shown for 
each of the respective companies listed above and in Appendix IV for 
2021, the second year covered by the period of the review, 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, we will 
instruct CBP to continue to collect cash deposits at the most recent 
company-specific or all-others rate, as appropriate. These cash deposit 
requirements, when imposed, shall remain in effect until further 
notice.

Notification to Interested Parties

    These preliminary results are issued and published pursuant to 
sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(4).

    Dated: February 28, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

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

Appendix II

Companies for Which All Review Requests Were Timely Withdrawn

1. Anji Golden Elephant Bamboo Wooden Industry Co., Ltd.
2. Evermark (Yantai) Co., Ltd.
3. Fujian Province Youxi County Chang Sheng Wood Machining Co., Ltd.
4. Fujian Ruisen International Industrial Co., Ltd.
5. Gaomi Hongtai Home Furniture Co., Ltd.
6. Heze Huasheng Wooden Co., Ltd.
7. Huaan Longda Wood Industry Co., Ltd.
8. Lanzhou Xinyoulian Industrial Co., Ltd.
9. Lianyungang Tianke New Energy Technology Co., Ltd.
10. Nanping Qiangmei Import & Export Co., Ltd.
11. Oppein Home Group Inc.
12. Pucheng County Qiangmei Wood Company, Ltd.
13. Qimen Jianxing Bamboo and Wood Goods Co., Ltd.
14. Qingdao Sanhe Dacheng International Trade Co., Ltd.
15. Rizhao Duli Trade Co., Ltd.
16. Rizhao Forest International Trading Co., Ltd.
17. Rizhao Guantong Woodworking Co., Ltd.
18. Rizhao Jiayue Industry & Trading Co., Ltd.
19. Sanming Lingtong Trading Co., Ltd.
20. Sanming Lintong Trading Co., Ltd.
21. Sanming Shitong Wood Industry Co., Ltd.
22. Shandong Jicheng Decorative Material Co., Ltd.
23. Shandong Miting Household Co., Ltd.
24. Shouguang Luli Wood Industry Co., Ltd.
25. Shuyang Zhongding Decoration Materials Co., Ltd.
26. The Ancientree Cabinet Co., Ltd.
27. Xiamen Oubai Industry & Trade Co., Ltd.
28. Xuzhou Goodwill Resource Co., Ltd.
29. Xuzhou Hexi Wood Co., Ltd.
30. Yongan Tenlong Bamboo & Wood Products Co., Ltd.
31. Zhangping San Chuan Industrial & Trade Co., Ltd.
32. Zhangzhou City Jinxi Building Material Co., Ltd.
33. Zhangzhou Fukangyuan Industry and Trade Co., Ltd.
34. Zhejiang Senya Board Industry Co., Ltd.

Appendix III

Companies for Which the Review Is Rescinded Due to No Reviewable 
Entries

1. Fujian Sanming City Donglai Wood Co., Ltd.
2. Suqian Sulu Import & Export Trading Co., Ltd.
3. Xiamen Jinxi Building Material Co., Ltd.
4. Zhangzhou Green Wood Industry and Trade Co., Ltd.

Appendix IV

Non-Selected Companies Under Review

1. Anji Huaxin Bamboo & Wood Products Co., Ltd.
2. Aventra Inc.
3. Baixing Import and Export Trading Co., Ltd. Youxi Fujian
4. Bel Trade Wood Industrial Co.
5. Bel Trade Wood Industrial Co., Ltd. Youxi Fujian
6. Cao County Hengda Wood Products Co., Ltd.
7. China Cornici Co., Ltd.
8. Fotiou Frames Limited
9. Fujian Hongjia Craft Products Co., Ltd.
10. Fujian Shunchang Shengsheng Wood Industry Limited Company
11. Fujian Wangbin Decorative Material Co., Ltd.
12. Fujian Youxi Best Arts & Crafts Co., Ltd.
13. Fujian Zhangping Kimura Forestry Products Co., Ltd.
14. Homebuild Industries Co., Ltd.
15. Jiangsu Chensheng Forestry Development Co., Ltd.
16. Jiangsu Wenfeng Wood Co., Ltd.
17. Longquan Jiefeng Trade Co., Ltd.
18. Nanping Huatai Wood & Bamboo Co., Ltd.
19. Omni One Co., Limited

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20. Putian Yihong Wood Industry Co., Ltd.
21. Raoping HongRong Handicrafts Co., Ltd. (d.b.a. Chen Chui Global 
Corp.)
22. Shaxian Hengtong Wood Industry Co., Ltd.
23. Shaxian Shiyiwood, Ltd.
24. Shenzhen Xinjintai Industrial Co., Ltd.
25. Shuyang Kevin International Co., Ltd.
26. Wuxi Boda Bamboo & Wood Industrial Co., Ltd.
27. Zhangzhou Wangjiamei Industry & Trade Co., Ltd.
28. Zhangzhou Yihong Industrial Co., Ltd.

[FR Doc. 2023-04573 Filed 3-6-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on March 7, 2023.

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.