Notice2023-19490
Wood Mouldings and Millwork Products From the People's Republic of China: Final Results and Partial Rescission of Countervailing Duty Administrative Review; 2020-2021
Primary source
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Published
September 11, 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 wood mouldings and millwork products (millwork products) from the People's Republic of China (China) during the period of review (POR) from June 12, 2020, through December 31, 2021. Commerce is also rescinding the review with respect to five companies that had no reviewable entries during the POR.
Full Text
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<title>Federal Register, Volume 88 Issue 174 (Monday, September 11, 2023)</title>
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[Federal Register Volume 88, Number 174 (Monday, September 11, 2023)]
[Notices]
[Pages 62319-62322]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-19490]
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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: Final 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) determines that
countervailable subsidies were provided to producers and exporters of
wood mouldings and millwork products (millwork products) from the
People's Republic of China (China) during the period of review (POR)
from June 12, 2020, through December 31, 2021. Commerce is also
rescinding the review with respect to five companies that had no
reviewable entries during the POR.
DATES: Applicable September 11, 2023.
FOR FURTHER INFORMATION CONTACT: Faris Montgomery or Craig Matney, AD/
CVD Operations, Office VIII, Enforcement and Compliance, International
Trade Administration, Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-1537 or (202) 482-2429,
respectively.
SUPPLEMENTARY INFORMATION:
[[Page 62320]]
Background
On March 7, 2023, Commerce published the Preliminary Results.\1\ On
July 17, 2023, 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 June 14, 2023,
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 September 1, 2023.\4\
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\1\ See Wood Mouldings and Millwork Products From the People's
Republic of China: Preliminary Results and Partial Rescission of
Countervailing Duty Administrative Review; 2020-2021, 88 FR 14122
(March 7, 2023) (Preliminary Results) and accompanying Preliminary
Decision Memorandum (PDM).
\2\ See Memoranda, ``Verification of the Questionnaire Responses
of Fujian Yinfeng Imp & Exp Trading Co., Ltd. and Its Cross-Owned
Companies'' dated July 17, 2023 (Yinfeng Verification Report);
``Verification of the Questionnaire Responses of Fujian Jinquan
Trade Co., Ltd. and Its Cross-Owned Producer'' dated July 17, 2023
(Jinquan Verification Report); and ``Case Brief Schedule,'' dated
July 17, 2023.
\3\ See Memorandum, ``Wood Mouldings and Millwork Products from
the People's Republic of China: Issues and Decision Memorandum for
the Final Results of the 2020-2021 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; 2020-2021,''
dated June 14, 2023.
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Scope of the Order <SUP>5</SUP>
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\5\ See Wood Mouldings and Millwork Products from the People's
Republic of China: Countervailing Duty Order, 86 FR 9484 (February
16, 2021) (Order).
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The merchandise subject to the Order is wood mouldings and millwork
products from China, which are primarily classifiable under subheadings
4409.10.0500, 4409.10.1020, 4409.10.1040, 4409.10.1060, 4409.10.1080,
4409.10.4010, 4409.10.4090, 4409.10.4500, 4409.10.5000, 4409.10.9020,
4409.10.9040, 4409.22.0590, 4409.22.1000, 4409.22.4000, 4409.22.5000,
4409.22.5020, 4409.22.5040, 4409.22.5060, 4409.22.5090, 4409.22.9000,
4409.22.9020, 4409.22.9030, 4409.22.9045, 4409.22.9060, 4409.22.9090,
4409.29.0665, 4409.29.1100, 4409.29.4100, 4409.29.5100, 4409.29.9100,
4412.99.5115, 4412.99.9500, 4418.91.9095, and 4421.91.9780 of the of
the Harmonized Tariff Schedule of the United States (HTSUS). WMMP may
also enter under HTSUS numbers 4409.10.6000, 4409.10.6500,
4409.22.6000, 4409.22.6500, 4409.29.6100, 4409.29.6600, 4412.41.0000,
4412.42.0000, 4412.49.0000, 4412.91.5115, 4412.92.5215, 4412.99.9700,
4418.20.4000, 4418.20.8030, 4418.20.8060, 4418.91.9195, 4418.99.9095,
4418.99.9195, 4421.91.9880, 4421.99.9780, and 4421.99.9880. While the
HTSUS subheading and ASTM specification are provided for convenience
and for customs purposes, the written description of the subject
merchandise is dispositive. A full description of the scope of the
Order is contained in the Issues and Decision Memorandum.
Rescission of Administrative Review, in Part
In the Preliminary Results, Commerce stated that we intended to
further examine the rescission of this administrative review with
respect to five companies, 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., that
submitted comments claiming that they had entries of subject
merchandise during the POR in response to Commerce's memorandum stating
our intent to rescind the administrate review with respect to these
companies in the absence of evidence of suspended entries during the
POR.\6\ We find that these companies have 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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\6\ See Preliminary Results PDM at 5-6; see also Memorandum,
``Notice of Intent to Rescind Review, In Part,'' dated June 29,
2022; Aventra Inc.'s Letter, ``Comments on Notice of Intent to
Rescind Review, In Part,'' dated July 13, 2022; 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.
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For further information regarding this determination, see ``Final
Rescission of Administrative Review, In Part'' section 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 Appendix I of 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 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 Fujian
Jinquan Trade Co., Ltd. (Jinquan) and Fujian Yinfeng Imp & Exp Trading
Co., Ltd. (Yinfeng).\7\ As a result of the changes to Jinquan and
Yinfeng's program rates, the final rate for the 23 non-selected
companies under review also changed.\8\ These changes are explained in
the Issues and Decision Memorandum.
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\7\ See Memoranda, ``Final Results Calculations for Fujian
Jinquan Trade Co., Ltd.,'' and ``Final Results Calculations for
Fujian Yinfeng Imp & Exp Trading Co., Ltd.'' dated concurrently with
this notice.
\8\ The 23 non-selected companies under review are listed in
Appendix III of this notice.
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Methodology
Commerce conducted 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 Jinquan and
Yinfeng.\10\
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\10\ See Yinfeng Verification Report and Jinquan Verification
Report.
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Companies Not Selected for Individual Review
The statute and Commerce's regulations do not address the
[[Page 62321]]
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 23 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 rates calculated for
mandatory respondents Jinquan and Yinfeng were above de minimis and not
based entirely on facts available, we applied a final 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 a list of the non-selected
companies, see Appendix III to this notice.
Final Results of Review
We find the countervailable subsidy rates for the mandatory and
non-selected respondents under review for the period of June 12, 2020,
through December 31, 2021, to be as follows:
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\11\ Jinquan is cross-owned with Fujian Province Youxi County
Baiyuan Wood Machining Co., Ltd.
\12\ The following companies are 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.
\13\ See Appendix III.
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Subsidy rate
Subsidy rate for January 1
for June 12 to to December
Producer/exporter December 31, 31, 2021
2020 (percent (percent ad
ad valorem) valorem)
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Fujian Jinquan Trade Co., Ltd.\11\...... 10.60 15.96
Fujian Yinfeng Imp & Exp Trading Co., 6.63 6.46
Ltd.\12\...............................
Non-Selected Companies Under Review \13\ 7.64 8.89
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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 the Federal Register
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 for the corresponding time periods (i.e., June
12, 2020, to December 31, 2020, and January 1, 2021, to December 31,
2021). For entries made during the gap period (i.e., on or after
October 10, 2020, through February 16, 2021), we will continue to
instruct CBP to liquidate the entries without regard to countervailing
duties pursuant to section 703(d) of the Act. 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 2021, the second year covered by the
POR, 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.\14\ 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.
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\14\ See Comment 3 in the Issues and Decision Memorandum for
further discussion.
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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: September 1, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix I
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Final Rescission of Review, in Part
IV. Scope of the Order
V. Diversification of China's Economy
VI. Use of Facts Otherwise Available and Application of Adverse
Inferences
[[Page 62322]]
VII. Subsidies Valuation Information
VIII. Analysis of Programs
IX. Discussion of the Issues
Comment 1: Whether Commerce Should Change Its Preliminary
Findings Regarding the Export Buyer's Credit Program (EBCP)
Comment 2: Whether Commerce Should Rescind the Administrative
Review for Certain Companies
Comment 3: Whether Commerce Should Average the Respondents' 2020
and 2021 Total Ad Valorem Subsidy Rates for Use as a Cash Deposit
Rate
Comment 4: Whether Certain Purchases of Upstream Inputs Should
Have Been Reported and/or Countervailed
Comment 5: Whether Commerce Should Apply Adverse Facts Available
(AFA) to Jinquan for Its Cross-Owned Producer's Unreported Purchases
of Primer for Less Than Adequate Remuneration (LTAR) and Wood Glues
and Adhesives (Adhesives) for LTAR
Comment 6: Whether Commerce Should Rely on Certain Inland
Freight Data in Calculating Benchmarks for Inputs for LTAR
Comment 7: Whether the GOC's Provision of Electricity for LTAR
Is Specific
Comment 8: Whether Individually Owned Input Suppliers Are
Government Authorities
Comment 9: Whether Commerce Should Use the Respondents' Revised
Sales Data From Verification in the Final Results
Comment 10: Whether Commerce Should Make Changes to Its
Benchmark Calculations for Ocean Freight
A. Whether Commerce Should Use Certain Ocean Freight Data in
Calculating Benchmarks
B. Whether Commerce Should Adjust Its Averaging Methodology
Comment 11: Whether Commerce Should Rely on Certain Land
Benchmark Data
Comment 12: Whether Commerce Should Adjust Its Calculation of
Electricity for LTAR Benefits
Comment 13: Whether Commerce Should Correct Certain Errors in
Yinfeng's Preliminary Rate Calculation
Comment 14: Whether Commerce Should Correct Errors in Jinquan's
Preliminary Calculation of Benefit for Land for LTAR
X. Recommendation
Appendix II
Companies for Which the Review Is Rescinded Due to No Reviewable/
Suspended Entries
1. Aventra Inc.
2. China Cornici Co., Ltd.
3. Omni One Co., Limited
4. Raoping HongRong Handicrafts Co., Ltd. (d.b.a. Chen Chui Global
Corp.)
5. Shenzhen Xinjintai Industrial Co., Ltd.
Appendix III
Table of Rates for Non Selected Companies Under Review
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Net countervailable Net countervailable
subsidy rate for June 12 subsidy rate for January
Producer/exporter to December 31, 2020 1 to December 31, 2021
(percent ad valorem) (percent ad valorem)
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Anji Huaxin Bamboo & Wood Products Co., Ltd................. 7.64 8.89
Baixing Import and Export Trading Co., Ltd. Youxi Fujian.... 7.64 8.89
Bel Trade Wood Industrial Co................................ 7.64 8.89
Bel Trade Wood Industrial Co., Ltd. Youxi Fujian............ 7.64 8.89
Cao County Hengda Wood Products Co., Ltd.................... 7.64 8.89
Fotiou Frames Limited....................................... 7.64 8.89
Fujian Hongjia Craft Products Co., Ltd...................... 7.64 8.89
Fujian Shunchang Shengsheng Wood Industry Limited Company... 7.64 8.89
Fujian Wangbin Decorative Material Co., Ltd................. 7.64 8.89
Fujian Youxi Best Arts & Crafts Co., Ltd.................... 7.64 8.89
Fujian Zhangping Kimura Forestry Products Co., Ltd.......... 7.64 8.89
Homebuild Industries Co., Ltd............................... 7.64 8.89
Jiangsu Chensheng Forestry Development Co., Ltd............. 7.64 8.89
Jiangsu Wenfeng Wood Co., Ltd............................... 7.64 8.89
Longquan Jiefeng Trade Co., Ltd............................. 7.64 8.89
Nanping Huatai Wood & Bamboo Co., Ltd....................... 7.64 8.89
Putian Yihong Wood Industry Co., Ltd........................ 7.64 8.89
Shaxian Hengtong Wood Industry Co., Ltd..................... 7.64 8.89
Shaxian Shiyiwood, Ltd...................................... 7.64 8.89
Shuyang Kevin International Co., Ltd........................ 7.64 8.89
Wuxi Boda Bamboo & Wood Industrial Co., Ltd................. 7.64 8.89
Zhangzhou Wangjiamei Industry & Trade Co., Ltd.............. 7.64 8.89
Zhangzhou Yihong Industrial Co., Ltd........................ 7.64 8.89
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[FR Doc. 2023-19490 Filed 9-8-23; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on September 11, 2023.
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