Notice2023-22453

Certain Metal Lockers and Parts Thereof From the People's Republic of China: Notice of Court Decision Not in Harmony With the Final Determination of Antidumping Duty Investigation; Notice of Amended Final Determination

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
October 12, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

On September 28, 2023, the U.S. Court of International Trade (CIT) issued its final judgment in List Industries, Inc. v. United States, Court No. 21-00521, Slip Op. 23-143 (CIT September 28, 2023), sustaining the U.S. Department of Commerce's (Commerce) first final results of redetermination pertaining to the antidumping duty (AD) investigation of certain metal lockers and parts thereof from the People's Republic of China (China) covering the period of investigation January 1, 2020, through June 30, 2020. Commerce is notifying the public that the CIT's final judgment is not in harmony with Commerce's final determination in that investigation, and that Commerce is amending the final determination with respect to the weighted-average dumping margins assigned to the mandatory respondent, Zhejiang Xingyi Metal Products Co., Ltd./Xingyi Metalworking Technology (Zhejiang) Co., Ltd. (collectively, Zhejiang Xingyi/Xingyi Metalworking) and certain non-selected separate rate respondents.

Full Text

<html>
<head>
<title>Federal Register, Volume 88 Issue 196 (Thursday, October 12, 2023)</title>
</head>
<body><pre>
[Federal Register Volume 88, Number 196 (Thursday, October 12, 2023)]
[Notices]
[Pages 70644-70646]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-22453]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-133]


Certain Metal Lockers and Parts Thereof From the People's 
Republic of China: Notice of Court Decision Not in Harmony With the 
Final Determination of Antidumping Duty Investigation; Notice of 
Amended Final Determination

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

SUMMARY: On September 28, 2023, the U.S. Court of International Trade 
(CIT) issued its final judgment in List Industries, Inc. v. United 
States, Court No. 21-00521, Slip Op. 23-143 (CIT September 28, 2023), 
sustaining the U.S. Department of Commerce's (Commerce) first final 
results of redetermination pertaining to the antidumping duty (AD) 
investigation of certain metal lockers and parts thereof from the 
People's Republic of China (China) covering the period of investigation 
January 1, 2020, through June 30, 2020. Commerce is notifying the 
public that the CIT's final judgment is not in harmony with Commerce's 
final determination in that investigation, and that Commerce is 
amending the final determination with respect to the weighted-average 
dumping margins assigned to the mandatory respondent, Zhejiang Xingyi 
Metal Products Co., Ltd./Xingyi Metalworking Technology (Zhejiang) Co., 
Ltd. (collectively, Zhejiang Xingyi/Xingyi Metalworking) and certain 
non-selected separate rate respondents.

DATES: Applicable October 8, 2023.

FOR FURTHER INFORMATION CONTACT: Laurel LaCivita, 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) 482-4243.

SUPPLEMENTARY INFORMATION: 

Background

    On July 7, 2021, Commerce published its Final Determination in the 
AD investigation of certain metal lockers and parts thereof from 
China.\1\ Commerce calculated an estimated weighted-average dumping 
margin and cash deposit rate (adjusted for subsidy offsets) of 0.00 
percent for Hangzhou Xline Machinery & Equipment Co., Ltd. (Hangzhou 
Xline).\2\ Commerce determined a weighted-average dumping margin of 
21.25 percent and a cash deposit rate (adjusted for subsidy offsets) of 
10.71 percent for Zhejiang Xingyi/Xingyi Metalworking, which it applied 
to all the separate companies identified below.\3\ Commerce applied the 
highest calculated petition margin of 322.25 percent reported in the 
Initiation Notice, as adverse facts available (AFA), as the AD margin 
applicable to the China-wide entity.\4\ Commerce

[[Page 70645]]

subsequently published the AD order with respect to certain metal 
lockers and parts thereof from China.\5\
---------------------------------------------------------------------------

    \1\ See Certain Metal Lockers and Parts Thereof from the 
People's Republic of China: Final Affirmative Determination of Sales 
at Less Than Fair Value, 86 FR 35737 (July 7, 2021) (Final 
Determination).
    \2\ Id., 86 FR at 35737-38.
    \3\ Id.
    \4\ Id.; see also Certain Metal Lockers and Parts Thereof from 
the People's Republic of China: Initiation of Less-Than-Fair-Value 
Investigation, 85 FR 47343, 47346 (August 5, 2020) (Initiation 
Notice).
    \5\ 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).
---------------------------------------------------------------------------

    List Industries, Inc. (the petitioner) appealed Commerce's Final 
Determination. On May 20, 2023, the CIT remanded the Final 
Determination to Commerce either to reconsider or further explain: (1) 
the disparate treatment of shipping in the calculation of Ayes 
Celikhasir VE CT's (Ayes) financial ratios, where shipping expenses 
were excluded from the selling, general, and administrative (SG&A) 
expense ratio, but shipping revenues were included as an offset to 
SG&A, in view of Commerce's stated practice of seeking ``consistency in 
the treatment of both the revenue and expense side of line items on 
Ayes' financial statements''; (2) the inclusion of incentive income as 
an offset to SG&A for the Final Determination (but not the Preliminary 
Determination <SUP>6</SUP>) without identifying the corresponding 
expense category or explaining the reason for the change; (3) the 
inclusion of rental income as an offset to SG&A in the Final 
Determination (but not the Preliminary Determination) without 
explaining the reason for the change; and (4) the treatment of interest 
income in the calculation of the financial ratios, with a precise 
description of its calculations, including a demonstration that any 
interest income excluded from the SG&A ratio is also excluded from 
profit.\7\
---------------------------------------------------------------------------

    \6\ See Certain Metal Lockers and Parts Thereof from the 
People's Republic of China: Preliminary Affirmative Determination of 
Sales at Less Than Fair Value, Postponement of Final Determination 
and Extension of Provisional Measures, 86 FR 9051 (February 11, 
2021) (Preliminary Determination), and accompanying Preliminary 
Decision Memorandum.
    \7\ See List Industries, Inc. v. United States, Court No. 21-
00521, Slip Op. 23-83 (CIT May 30, 2023) (Remand Order).
---------------------------------------------------------------------------

    In its final results of redetermination, issued in August 2023, 
Commerce provided further explanation for its treatment of shipping 
revenue, incentive income, interest income, and rental income in the 
determination of the SG&A expense ratio using Ayes' audited financial 
statements.\8\ In addition, we excluded shipping revenue from the 
determination of the SG&A ratio, and reduced profit by interest 
income.\9\ Consequently, we recalculated the weighted-average dumping 
margins for both mandatory respondents in the investigation, which 
resulted in a change from 21.25 percent to 21.38 percent for Zhejiang 
Xingyi/Xingyi Metalworking, and no change to the 0.00 percent margin 
calculated for Hangzhou Xline.\10\ Moreover, as Zhejiang Xingyi/Xingyi 
Metalworking is the only individually-examined respondent with an 
above-de minimis margin in the investigation, and the weighted-average 
dumping margin calculated for Zhejiang Xingyi/Xingyi Metalworking is, 
thus, the sole basis for the non-selected separate rate margin, we 
revised the exporter/producer combination rates for the respondents 
that are eligible for a separate rate in this investigation to reflect 
the revision to Zhejiang Xingyi/Xingyi Metalworking's weighted-average 
dumping margin.\11\
---------------------------------------------------------------------------

    \8\ See Final Results of Redetermination Pursuant to Court 
Remand, List Industries, Inc. v. United States, Court No. 21-00521, 
Slip Op. 23-83 (CIT May 30, 2023), dated August 23, 2023, available 
at <a href="https://access.trade.gov/resources/remands/23-83.pdf">https://access.trade.gov/resources/remands/23-83.pdf</a>.
    \9\ Id.
    \10\ Id.
    \11\ Id.
---------------------------------------------------------------------------

    On September 28, 2023, the CIT sustained Commerce's final results 
of redetermination.\12\
---------------------------------------------------------------------------

    \12\ See List Industries, Inc. v. United States, Court No. 21-
00521, Slip Op. 23-143 (CIT September 28, 2023).
---------------------------------------------------------------------------

Timken Notice

    In its decision in Timken,\13\ as clarified by Diamond 
Sawblades,\14\ the U.S. Court of Appeals for the Federal Circuit held 
that, pursuant to section 516A(c) and (e) of the Tariff Act of 1930, as 
amended (the Act), Commerce must publish a notice of court decision 
that is not ``in harmony'' with a Commerce determination and must 
suspend liquidation of entries pending a ``conclusive'' court decision. 
The CIT's September 28, 2023, judgment constitutes a final decision of 
the CIT that is not in harmony with Commerce's Final Determination. 
Thus, this notice is published in fulfillment of the publication 
requirements of Timken.
---------------------------------------------------------------------------

    \13\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \14\ See Diamond Sawblades Manufacturers Coalition v. United 
States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
---------------------------------------------------------------------------

Amended Final Determination

    Because there is now a final court judgment, Commerce is amending 
its Final Determination with respect to the companies below, as 
follows:

----------------------------------------------------------------------------------------------------------------
                                                                                Estimated      Cash deposit rate
                                                                            weighted- average    (adjusted for
                  Exporter                              Producer              dumping margin    subsidy offsets)
                                                                                (percent)          (percent)
----------------------------------------------------------------------------------------------------------------
Zhejiang Xingyi Metal Products Co., Ltd./    Zhejiang Xingyi Metal                      21.38              10.84
 Xingyi Metalworking Technology (Zhejiang)    Products Co., Ltd./Xingyi
 Co., Ltd.                                    Metalworking Technology
                                              (Zhejiang) Co., Ltd.
Geelong Sales (Macao Commercial Offshore)    Zhongshan Geelong                          21.38              10.84
 Limited (a.k.a. Geelong Sales (MCO)          Manufacturing Co. Ltd.
 Limited, Geelong Sales (Macao Commercial)
 Limited, and Geelong Sales (MC) Limited).
Hangzhou Evernew Machinery & Equipment       Zhejiang Yinghong Metalworks               21.38              10.84
 Company Limited.                             Co., Ltd.
Hangzhou Zhuoxu Trading Co., Ltd...........  Shanghai ASI Building                      21.38              10.84
                                              Materials Co., Ltd.
Hangzhou Zhuoxu Trading Co., Ltd...........  Luoyang Mingxiu Office                     21.38              10.84
                                              Furniture Co., Ltd.
Hangzhou Zhuoxu Trading Co., Ltd...........  Luoyang Wandefu Import and                 21.38              10.84
                                              Export Trading Co. Ltd.
Hangzhou Zhuoxu Trading Co., Ltd...........  Zhejiang Xingyi Metal                      21.38              10.84
                                              Products Co., Ltd.
Jiaxing Haihong Mechanical and Electrical    Zhejiang Steelrix Office                   21.38              10.84
 Technology Co. Ltd.                          Furniture Co., Ltd.
Kunshan Dongchu Precision Machinery Co.,     Kunshan Dongchu Precision                  21.38              10.84
 Ltd.                                         Machinery Co., Ltd.
Luoyang Hynow Import and Export Co., Ltd...  Luoyang Jiudu Golden Cabinet               21.38              10.84
                                              Co., Ltd.
Luoyang Shidiu Import and Export Co., Ltd..  Luoyang Yuabo Office                       21.38              10.84
                                              Machinery Co., Ltd.
Luoyang Steelart Office Furniture Co., Ltd.  Luoyang Yongwei Office                     21.38              10.84
                                              Furniture Co., Ltd.
Luoyang Steelart Office Furniture Co., Ltd.  Luoyang Zhuofan Steel Product              21.38              10.84
                                              Factory.

[[Page 70646]]

 
Luoyang Steelart Office Furniture Co., Ltd.  Luoyang Flyer Office                       21.38              10.84
                                              Furniture Co., Ltd.
Pinghu Chenda Storage Office Co., Ltd......  Pinghu Chenda Storage Office               21.38              10.84
                                              Co., Ltd.
Tianjin Jia Mei Metal Furniture Ltd........  Tianjin Jia Mei Metal                      21.38              10.84
                                              Furniture Ltd.
----------------------------------------------------------------------------------------------------------------

Cash Deposit Requirements

    Commerce will issue revised cash deposit instructions to U.S. 
Customs and Border Protection.

Notification to Interested Parties

    This notice is issued and published in accordance with sections 
516A(c) and (e) and 777(i)(1) of the Act.

    Dated: October 4, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2023-22453 Filed 10-11-23; 8:45 am]
BILLING CODE 3510-DS-P


</pre></body>
</html>
Indexed from Federal Register on October 12, 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.