Notice2023-19335

Certain Metal Lockers and Parts Thereof From the People's Republic of China: Preliminary Results and Partial Rescission of the Countervailing Duty Administrative Review; 2020-2021

Primary source

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Published
September 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 certain metal lockers and parts thereof (metal lockers) from the People's Republic of China (China) during the period of review (POR) from December 14, 2020, through December 31, 2021. Additionally, Commerce is rescinding the review with respect to four companies. Interested parties are invited to comment on these preliminary results.

Full Text

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<title>Federal Register, Volume 88 Issue 172 (Thursday, September 7, 2023)</title>
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[Federal Register Volume 88, Number 172 (Thursday, September 7, 2023)]
[Notices]
[Pages 61514-61516]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-19335]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-134]


Certain Metal Lockers and Parts Thereof From the People's 
Republic of China: Preliminary Results and Partial Rescission of the 
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 certain metal lockers and parts thereof 
(metal lockers) from the People's Republic of China (China) during the 
period of review (POR) from December 14, 2020, through December 31, 
2021. Additionally, Commerce is rescinding the review with respect to 
four companies. Interested parties are invited to comment on these 
preliminary results.

DATES: Applicable September 7, 2023.

FOR FURTHER INFORMATION CONTACT: Alex Cipolla, AD/CVD Operations, 
Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-4956.

SUPPLEMENTARY INFORMATION: 

Background

    On August 20, 2021, Commerce published the countervailing duty 
(CVD) order on metal lockers from China.\1\ On August 31, 2022, List 
Industries, Inc. (the petitioner), a petitioner from the underlying 
investigation, made a timely review request for four companies.\2\ Also 
on August 31, 2022, Commerce received timely review requests from 
Hangzhou Evernew Machinery & Equipment Company Limited (Hangzhou 
Evernew),\3\ Hangzhou Xline Machinery & Equipment Co., Ltd. (Hangzhou 
Xline),\4\ Hangzhou Zhuoxu Trading Co., Ltd. (Hangzhou Zhuoxu),\5\ 
Kunshan Dongchu Precision Machinery Co., Ltd. (Kunshan Dongchu),\6\ 
Tianjin Jia Mei Furniture Ltd. (Tianjin Jia Mei),\7\ Xingyi 
Metalworking Technology (Zhejiang) Co., Ltd. (Xingyi Metalworking),\8\ 
and Zhejiang Xingyi Metal Products Co., Ltd. (Zhejiang Xingyi).\9\ On 
October 11, 2022, in accordance with 19 CFR 351.221(c)(1)(i), Commerce 
initiated an administrative review for Hangzhou Evernew, Hangzhou 
Xline, Hangzhou Zhuoxu, Kunshan Dongchu, Pinghu Chenda Storage Office 
Co., Ltd. (Pinghu Chenda), Tianjin Jia Mei, Xingyi Metalworking, and 
Zhejiang Xingyi.\10\ On April 3, 2023, Commerce extended the deadline 
for the preliminary results of this administrative review until August 
31, 2023.\11\ For a complete description of the events that followed 
the initiation of this review, see the Preliminary Decision 
Memorandum.\12\
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    \1\ See Certain Metal Lockers and Parts Thereof from the 
People's Republic of China: Antidumping and Countervailing Duty 
Orders, 86 FR 46826 (August 20, 2021) (Order).
    \2\ See Petitioner's Letter, ``Request for Initiation of First 
Administrative Review,'' dated August 31, 2022.
    \3\ See Hangzhou Evernew's Letter, ``Request for Administrative 
Review,'' dated August 31, 2022.
    \4\ See Hangzhou Xline's Letter, ``Request for Administrative 
Review,'' dated August 31, 2022.
    \5\ See Hangzhou Zhuoxu's Letter, ``Request for Administrative 
Review,'' dated August 31, 2022.
    \6\ See Kunshan Dongchu's Letter, ``Request for Administrative 
Review,'' dated August 31, 2022.
    \7\ See Tianjin Jia Mei's Letter, ``Request for Administrative 
Review,'' dated August 31, 2022.
    \8\ See Xingyi Metalworking and Zhejiang Xingyi's Letter, 
``Request for Administrative Review,'' dated August 31, 2022.
    \9\ Id.
    \10\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 87 FR 61278 (October 11, 2022) (Initiation 
Notice).
    \11\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review,'' dated April 
3, 2023.
    \12\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review of Certain 
Metal Lockers and Parts Thereof from the People's Republic of China 
and Rescission of Administrative Review, in Part; 2020-2021,'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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    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 at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>. A list of topics discussed in the Preliminary

[[Page 61515]]

Decision Memorandum is included as Appendix I to this notice.

Scope of the Order

    The products covered by the Order are metal lockers from China. For 
a complete description of the scope of the Order, see the Preliminary 
Decision Memorandum.

Rescission of Administrative Review, In Part

    Based on our analysis of U.S. Customs and Border Protection (CBP) 
information, we determine that four companies had no entries of subject 
merchandise during the POR.\13\ On December 2, 2022, we notified 
parties of our intent to rescind the administrative review with respect 
to the four companies because there are no reviewable suspended 
entries.\14\ No parties commented on the notification of intent to 
rescind the review, in part. Pursuant to 19 CFR 351.213(d)(3), we are 
rescinding the administrative review of these companies. We have 
included a list of these four companies in Appendix II of this notice. 
For additional information regarding this determination, see the 
Preliminary Decision Memorandum.
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    \13\ See Appendix II (listing the four companies).
    \14\ See Memorandum, ``Notice of Intent to Rescind Review, In 
Part,'' dated December 2, 2022.
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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.\15\ 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.\16\
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    \15\ 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.
    \16\ See Preliminary Decision Memorandum at 8-38.
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Preliminary Rate for Non-Selected Companies Under Review

    As discussed above, Commerce initiated this administrative review 
for eight producers/exporters and is rescinding this administrative 
review, in part, with respect to four producers/exporters. In addition, 
Commerce selected Xingyi Metalworking and Zhejiang Xingyi for 
individual examination. In these preliminary results, we are finding 
Xingyi Metalworking and Zhejiang Xingyi to be cross-owned pursuant to 
19 CFR 351.525(b)(6)(vi), and attributed subsidies received by Xingyi 
Metalworking and Zhejiang Xingyi to the combined sales of both 
companies, i.e., we calculated one subsidy rate for the combined entity 
of Xingyi Metalworking and Zhejiang Xingyi. For the remaining two 
companies subject to this review, because the preliminary subsidy rate 
calculated for Xingyi Metalworking and Zhejiang Xingyi is above de 
minimis and not based entirely on facts available, we are preliminarily 
applying to the two non-selected companies, identified below, Xingyi 
Metalworking and Zhejiang Xingyi's subsidy rate. The methodology to 
establish the rate for non-selected companies is applied pursuant to 
section 705(c)(5)(A) of the Act, which governs the calculation of the 
``all-others'' rate in an investigation, as guidance. For additional 
information, see the Preliminary Decision Memorandum.\17\
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    \17\ Id. at 39.
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Preliminary Results of the Review

    We preliminarily find the following countervailable subsidy rates 
exist for the period of December 14, 2020, through December 31, 2021:

------------------------------------------------------------------------
                                           2020 Subsidy    2021 Subsidy
            Producer/Exporter             rate (percent)  rate (percent)
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Xingyi Metalworking Technology                     25.78           31.81
 (Zhejiang) Co., Ltd.; Zhejiang Xingyi
 Metal Products Co., Ltd................
Hangzhou Evernew Machinery & Equipment             25.78           31.81
 Company Limited........................
Hangzhou Xline Machinery & Equipment Co.           25.78           31.81
 Ltd....................................
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Disclosure and Public Comment

    We intend to disclose to interested parties the calculations 
performed for these preliminary results within five days of the date of 
publication of this notice in accordance with 19 CFR 351.224(b).
    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than 30 
days after the publication of these preliminary results of review in 
the Federal Register.\18\ Rebuttal comments, limited to issues raised 
in case briefs, may be submitted no later than seven days after the 
deadline for filing case briefs.\19\ Parties who submit case or 
rebuttal briefs in this administrative review 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.\20\ Case and rebuttal 
briefs must be filed using ACCESS. An electronically filed document 
must be received successfully in its entirety by ACCESS by 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.\21\
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    \18\ See 19 CFR 351.309(c)(1)(ii).
    \19\ See 19 CFR 351.309(d).
    \20\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
    \21\ 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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    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, filed 
electronically using ACCESS. An electronically-filed request must be 
received successfully, and in its entirety, by ACCESS by 5 p.m. Eastern 
Time, within 30 days after the date of publication of this notice. 
Hearing requests should contain: (1) the party's name, address, and 
telephone number; (2) the number of participants; and (3) a list of the 
issues to be discussed. If a request for a hearing is made, parties 
will be notified of the date and time for the hearing to be determined.
    Unless extended, we intend to issue the final results of this 
administrative review, which will include the results of our analysis 
of the issues raised in the case briefs, within 120 days of publication 
of these preliminary results in the Federal Register, pursuant to 
section 751(a)(3)(A) of the Act.

[[Page 61516]]

Assessment Rates

    Consistent with section 751(a)(1) of the Act and 19 CFR 
351.212(b)(2), upon issuance of the final results, Commerce shall 
determine, and CBP shall assess, countervailing duties on all 
appropriate entries covered by this review. We intend 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).
    For the companies for which this review is rescinded with these 
preliminary results, we 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 December 
14, 2020, through December 31, 2021, in accordance with 19 CFR 
351.212(c)(l)(i).Cash Deposit Requirements
    Pursuant to section 751(a)(2)(C) of the Act, Commerce intends, upon 
publication of the final results, to instruct CBP to collect cash 
deposits of estimated countervailing duties in the amounts shown (i.e., 
the rate calculated for calendar year 2021) for each of the respondents 
listed above on shipments of subject merchandise entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this administrative review. If the rate calculated 
in the final results is zero or de minimis, no cash deposit will be 
required on shipments of the subject merchandise entered or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this review.
    For all non-reviewed firms, CBP will continue to collect cash 
deposits of estimated countervailing duties at the all-others rate or 
the most recent company-specific rate applicable to the company, as 
appropriate. These cash deposit requirements, when imposed, shall 
remain in effect until further notice.

Notification to Interested Parties

    These preliminary results and notice are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 
351.213 and 19 CFR 351.221(b)(4).

    Dated: August 31, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

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

Appendix II

List of Companies Subject to Rescission of Review

1. Hangzhou Zhuoxu Trading Co., Ltd.
2. Kunshan Dongchu Precision Machinery Co., Ltd.
3. Pinghu Chengda Storage Office Co., Ltd.
4. Tianjin Jia Mei Metal Furniture Ltd.

[FR Doc. 2023-19335 Filed 9-6-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on September 7, 2023.

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