Notice2023-23531
Aluminum Lithographic Printing Plates From the People's Republic of China: Initiation of Countervailing Duty Investigation
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 25, 2023
Issuing agencies
Commerce DepartmentInternational Trade Administration
Full Text
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<title>Federal Register, Volume 88 Issue 205 (Wednesday, October 25, 2023)</title>
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[Federal Register Volume 88, Number 205 (Wednesday, October 25, 2023)]
[Notices]
[Pages 73313-73316]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-23531]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-157]
Aluminum Lithographic Printing Plates From the People's Republic
of China: Initiation of Countervailing Duty Investigation
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable October 18, 2023.
FOR FURTHER INFORMATION CONTACT: Terre Keaton Stefanova, AD/CVD
Operations, Office IX, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-1280.
SUPPLEMENTARY INFORMATION:
The Petition
On September 28, 2023, the U.S. Department of Commerce (Commerce)
received a countervailing duty (CVD) petition concerning imports of
aluminum lithographic printing plates (printing plates) from the
People's Republic of China (China) filed in proper form on behalf of
Eastman Kodak Company (the petitioner).\1\ The CVD petition was
accompanied by antidumping duty (AD) petitions concerning imports of
printing plates from China and Japan.\2\
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\1\ See Petitioner's Letter, ``Aluminum Lithographic Printing
Plates from China and Japan--Petition for the Imposition of
Antidumping and Countervailing Duties,'' dated September 28, 2023
(Petition).
\2\ Id.
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On October 2 and 3, 2023, Commerce requested supplemental
information pertaining to certain aspects of the Petition.\3\ On
October 5 and 6, 2023, the petitioner filed timely responses to these
requests for additional information.\4\
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\3\ See Commerce's Letters, ``Petitions for the Imposition of
Antidumping and Countervailing Duties on Imports of Aluminum
Lithographic Printing Plates from the People's Republic of China and
Japan: Supplemental Questions,'' dated October 2, 2023 (General
Issues Questionnaire); and ``Petition for the Imposition of
Antidumping Duties on Imports of Aluminum Lithographic Printing
Plates from the People's Republic of China: Supplemental
Questions,'' dated October 3, 2023.
\4\ See Petitioner's Letters, ``Aluminum Lithographic Printing
Plates from China and Japan--Petitioner's Supplement to Volume I
Relating to Request for the Imposition of Antidumping and
Countervailing Duties on Imports from China and Japan,'' dated
October 5, 2023 (General Issues Supplement); and ``Aluminum
Lithographic Printing Plates from the People's Republic of China--
Petitioner's Supplemental Questionnaire Response and Amendment to
Volume IV Relating to Countervailing Duties,'' dated October 6,
2023.
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In accordance with section 702(b)(1) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that the Government of China
(GOC) is providing countervailable subsidies, within the meaning of
sections 701 and 771(5) of the Act, to producers of printing plates in
China, and that such imports are materially injuring, or threatening
material injury to, the domestic industry producing printing plates in
the United States. Consistent with section 702(b)(1) of the Act and 19
CFR 351.202(b), for those alleged programs on which we are initiating a
CVD investigation, the Petition is supported by information reasonably
available to the petitioner.
Commerce finds that the petitioner filed the Petition on behalf of
the domestic industry because the petitioner is an interested party, as
defined in section 771(9)(C) of the Act.\5\ Commerce also finds that
the petitioner demonstrated sufficient industry support with respect to
the initiation of the requested CVD investigation.\6\
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\5\ See Petition at Volume I (page 2).
\6\ See, infra, section on ``Determination of Industry Support
for the Petition.''
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Period of Investigation
Because the Petition was filed on September 28, 2023, pursuant to
19 CFR 351.204(b)(2), the period of investigation (POI) is January 1,
2022, through December 31, 2022.
Scope of the Investigation
The products covered by this investigation are printing plates from
China. For a full description of the scope of this investigation, see
the appendix to this notice.
Comments on Scope of the Investigation
On October 2, 2023, Commerce requested information and
clarification from the petitioner regarding the proposed scope to
ensure that the scope language in the Petition is an accurate
reflection of the products for which the domestic industry is seeking
relief.\7\ On October 5, 2023, the petitioner revised the scope.\8\ The
description of merchandise covered by this investigation, as described
in the appendix to this notice, reflects these clarifications.
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\7\ See General Issues Questionnaire.
\8\ See General Issues Supplement at 2-7 and Attachments 1-3.
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As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for parties to raise issues regarding product
coverage (i.e., scope).\9\ Commerce will consider all scope comments
received from interested parties and, if necessary, will consult with
interested parties prior to the issuance of the preliminary
determination. If scope comments include factual information, all such
factual information should be limited to public information.\10\ To
facilitate preparation of its questionnaires, Commerce requests that
scope comments be submitted by 5:00 p.m. Eastern Time (ET) on November
7, 2023, which is 20 calendar days from the signature date of this
notice. Any rebuttal comments, which may include factual information,
must be filed by 5:00 p.m. ET on November 17, 2023, which is ten
calendar days from the initial comment deadline.
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\9\ See Antidumping Duties; Countervailing Duties, 62 FR 27296,
27323 (May 19, 1997) (Preamble); see also 19 CFR 351.312.
\10\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
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Commerce requests that any factual information that the parties
consider relevant to the scope of the investigation be submitted during
that period. However, if a party subsequently finds that additional
factual information pertaining to the scope of the investigation may be
relevant, the party must contact Commerce and request permission to
submit the additional information. All such submissions must be filed
on the record of each of the concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically via
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\11\ An
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electronically filed document must be received successfully in its
entirety by the time and date it is due.
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\11\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance; Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014), for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on using ACCESS
can be found at: <a href="https://access.trade.gov/help.aspx">https://access.trade.gov/help.aspx</a> and a handbook
can be found at: <a href="https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf">https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf</a>.
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Consultations
Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce
notified the GOC of the receipt of the Petition and provided an
opportunity for consultations with respect to the Petition.\12\
Commerce held consultations with the GOC on October 16, 2023.\13\
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\12\ See Commerce's Letter, ``Countervailing Duty Petition on
Aluminum Lithographic Printing Plates from the People's Republic of
China,'' dated October 3, 2023.
\13\ See Memorandum, ``Consultations with Officials with the
Government of China,'' dated October 16, 2023.
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Determination of Industry Support for the Petition
Section 702(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 702(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) at least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The U.S. International Trade Commission (ITC),
which is responsible for determining whether ``the domestic industry''
has been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC must apply the same statutory definition regarding the domestic
like product,\14\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\15\
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\14\ See section 771(10) of the Act.
\15\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigation.\16\ Based on our analysis of the information
submitted on the record, we have determined that printing plates, as
defined in the scope, constitute a single domestic like product, and we
have analyzed industry support in terms of that domestic like
product.\17\
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\16\ See Petition at Volume I (pages 14-16); see also General
Issues Supplement at 7-8.
\17\ For a discussion of the domestic like product analysis as
applied to this case and information regarding industry support, see
Countervailing Duty Investigation Initiation Checklist: Aluminum
Lithographic Printing Plates from the People's Republic of China,
dated concurrently with this notice (China CVD Initiation
Checklist), at Attachment II, Analysis of Industry Support for the
Antidumping and Countervailing Duty Petitions Covering Aluminum
Lithographic Printing Plates from the People's Republic of China and
Japan (Attachment II).
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In determining whether the petitioner has standing under section
702(c)(4)(A) of the Act, we considered the industry support data
contained in the Petition with reference to the domestic like product
as defined in the ``Scope of the Investigation,'' in the appendix to
this notice. To establish industry support, the petitioner provided its
own production of printing plates in 2022 and compared this to the
estimated total 2022 production of the domestic like product for the
entire U.S. industry.\18\ We relied on data provided by the petitioner
for purposes of measuring industry support.\19\
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\18\ See Petition at Volume I (pages 3-4 and Exhibits GEN-1 and
GEN-2); see also General Issues Supplement at 8 and Attachment 4.
\19\ Id. For further discussion, see Attachment II of the China
CVD Initiation Checklist.
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Our review of the data provided in the Petition, General Issues
Supplement, and other information readily available to Commerce
indicates that the petitioner has established industry support for the
Petition.\20\ First, the Petition established support from domestic
producers (or workers) accounting for more than 50 percent of the total
production of the domestic like product and, as such, Commerce is not
required to take further action in order to evaluate industry support
(e.g., polling).\21\ Second, the domestic producers (or workers) have
met the statutory criteria for industry support under section
702(c)(4)(A)(i) of the Act because the domestic producers (or workers)
who support the Petition accounts for at least 25 percent of the total
production of the domestic like product.\22\ Finally, the domestic
producers (or workers) have met the statutory criteria for industry
support under section 702(c)(4)(A)(ii) of the Act because the domestic
producers (or workers) who support the Petition accounts for more than
50 percent of the production of the domestic like product produced by
that portion of the industry expressing support for, or opposition to,
the Petition.\23\ Accordingly, Commerce determines that the Petition
was filed on behalf of the domestic industry within the meaning of
section 702(b)(1) of the Act.\24\
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\20\ See Petition at Volume I (pages 3-4 and Exhibits GEN-1 and
GEN-2); see also General Issues Supplement at 8 and Attachment 4.
For further discussion, see Attachment II of the China CVD
Initiation Checklist.
\21\ See Attachment II of the China CVD Initiation Checklist;
see also section 702(c)(4)(D) of the Act.
\22\ See Attachment II of the China CVD Initiation Checklist.
\23\ Id.
\24\ Id.
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Injury Test
Because China is a ``Subsidies Agreement Country'' within the
meaning of section 701(b) of the Act, section 701(a)(2) of the Act
applies to this investigation. Accordingly, the ITC must determine
whether imports of the subject merchandise from China materially
injure, or threaten material injury to, a U.S. industry.
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that imports of the subject merchandise are
benefiting from countervailable subsidies and that such imports are
causing, or threaten to cause, material injury to the U.S. industry
producing the domestic like product. In addition, the petitioner
alleges that subject imports exceed the
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negligibility threshold provided for under section 771(24)(A) of the
Act.\25\
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\25\ See Petition at Volume I (page 17 and Exhibit GEN-8).
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The petitioner contends that the industry's injured condition is
illustrated by a significant and increasing volume of subject imports;
declining market share; underselling and price suppression; lost sales
and revenues; plant closures; declining employment variables; and
adverse impact on financial performance.\26\ We assessed the
allegations and supporting evidence regarding material injury, threat
of material injury, causation, as well as negligibility, and we have
determined that these allegations are properly supported by adequate
evidence, and meet the statutory requirements for initiation.\27\
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\26\ Id. at 17-35 and Exhibits GEN-1 through GEN-3, GEN-6, and
GEN-8 through GEN-13; see also General Issues Supplement at 8-10 and
Attachment 5.
\27\ See China CVD Initiation Checklist at Attachment III,
Analysis of Allegations and Evidence of Material Injury and
Causation for the Antidumping and Countervailing Duty Petitions
Covering Aluminum Lithographic Printing Plates from the People's
Republic of China and Japan.
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Initiation of CVD Investigation
Based upon the examination of the Petition and supplemental
responses, we find that they meet the requirements of section 702 of
the Act. Therefore, we are initiating a CVD investigation to determine
whether imports of printing plates from China benefit from
countervailable subsidies conferred by the GOC. Based on our review of
the Petition, we find that there is sufficient information to initiate
a CVD investigation on 14 of 16 programs alleged by the petitioner. For
a full discussion of the basis for our decision to initiate an
investigation of each program, see the China CVD Initiation Checklist.
A public version of the initiation checklist for this investigation is
available on ACCESS. In accordance with section 703(b)(1) of the Act
and 19 CFR 351.205(b)(1), unless postponed, we will make our
preliminary determination no later than 65 days after the date of this
initiation.
Respondent Selection
In the Petition, the petitioner identified eight companies in China
as producers/exporters of printing plates.\28\ Following standard
practice in CVD investigations, in the event Commerce determines that
the number of exporters or producers is large such that Commerce cannot
individually examine each company based on its resources, Commerce
intends to select mandatory respondents based on U.S. Customs and
Border Protection (CBP) entry data for U.S. imports under the
appropriate Harmonized Tariff Schedule of the United States (HTSUS)
subheadings listed in the scope of the investigation.
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\28\ See Petition at Volume I at Exhibit GEN-5.
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On October 12, 2023, Commerce released CBP data on imports of
printing plates from China under administrative protective order (APO)
to all parties with access to information protected by APO and
indicated that interested parties wishing to comment on CBP data and/or
respondent selection must do so within three business days of the
publication date of the notice of initiation of this investigation.\29\
Comments must be filed electronically using ACCESS. An electronically-
filed document must be received successfully in its entirety via ACCESS
by 5:00 p.m. ET on the specified deadline. Commerce will not accept
rebuttal comments regarding the CBP data or respondent selection.
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\29\ See Memorandum, ``Release of U.S. Customs and Border
Protection Data,'' dated October 12, 2023.
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Distribution of Copies of the Petition
In accordance with section 702(b)(4)(A) of the Act and 19 CFR
351.202(f), a copy of the public version of the Petition has been
provided to the GOC via ACCESS. To the extent practicable, we will
attempt to provide a copy of the public version of the Petition to each
exporter named in the Petition, as provided under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our initiation, as required by
section 702(d) of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petition was filed, whether there is a reasonable
indication that imports of printing plates from China are materially
injuring, or threatening material injury to, a U.S. industry.\30\ A
negative ITC determination will result in the investigation being
terminated.\31\ Otherwise, this CVD investigation will proceed
according to statutory and regulatory time limits.
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\30\ See section 703(a)(1) of the Act.
\31\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \32\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\33\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in this investigation.
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\32\ See 19 CFR 351.301(b).
\33\ See 19 CFR 351.301(b)(2).
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Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by Commerce. In general, an extension request will
be considered untimely if it is filed after the expiration of the time
limit established under 19 CFR 351.301.\34\ For submissions that are
due from multiple parties simultaneously, an extension request will be
considered untimely if it is filed after 10:00 a.m. ET on the due date.
Under certain circumstances, Commerce may elect to specify a different
time limit by which extension requests will be considered untimely for
submissions which are due from multiple parties simultaneously. In such
a case, Commerce will inform parties in a letter or memorandum of the
deadline (including a specified time) by which extension requests must
be filed to be considered timely. An extension request must be made in
a separate, stand-alone submission; under limited circumstances we will
grant untimely filed requests for the extension of time limits, where
we determine, based on 19 CFR 351.302, that extraordinary circumstances
exist. Parties should review Commerce's regulations concerning the
extension of time limits and the Time Limits Final Rule prior to
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submitting factual information in this investigation.\35\
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\34\ See 19 CFR 351.301; see also Extension of Time Limits;
Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final
Rule), available at: <a href="https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm">https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm</a>.
\35\ See 19 CFR 351.302; see also Time Limits Final Rule.
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Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\36\
Parties must use the certification formats provided in 19 CFR
351.303(g).\37\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\36\ See section 782(b) of the Act.
\37\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also
frequently asked questions regarding the Final Rule, available at:
<a href="https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf">https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf</a>.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. Parties wishing to participate
in this investigation should ensure that they meet the requirements of
19 CFR 351.103(d) (e.g., by filing the required letters of appearance).
Note that Commerce has temporarily modified certain of its requirements
for serving documents containing business proprietary information,
until further notice.\38\
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\38\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020). Additionally, note that Commerce has modified its
regulations to make permanent certain changes to its service
procedures that were adopted on a temporary basis due to COVID-19,
as well as additional clarifications and corrections to its AD/CVD
regulations. Effective October 30, 2023, these changes will apply to
all AD/CVD proceedings that are ongoing on the effective date and
all AD/CVD proceedings initiated on or after the effective date. See
Administrative Protective order, Service, and Other Procedures in
Antidumping and Countervailing Duty Proceedings, 88 FR 67079
(September 29, 2023).
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This notice is issued and published pursuant to sections 702 and
777(i) of the Act, and 19 CFR 351.203(c).
Dated: October 18, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
Appendix
Scope of the Investigation
The merchandise covered by this investigation is aluminum
lithographic printing plates. Aluminum lithographic printing plates
consist of a flat substrate containing at least 90 percent aluminum.
The aluminum-containing substrate is generally treated using a
mechanical, electrochemical, or chemical graining process, which is
followed by one or more anodizing treatments that form a hydrophilic
layer on the aluminum-containing substrate. An image-recording,
oleophilic layer that is sensitive to light, including but not
limited to ultra-violet, visible, or infrared, is dispersed in a
polymeric binder material that is applied on top of the hydrophilic
layer, generally on one side of the aluminum lithographic printing
plate. The oleophilic light-sensitive layer is capable of capturing
an image that is transferred onto the plate by either light or heat.
The image applied to an aluminum lithographic printing plate
facilitates the production of newspapers, magazines, books,
yearbooks, coupons, packaging, and other printed materials through
an offset printing process, where an aluminum lithographic printing
plate facilitates the transfer of an image onto the printed media.
Aluminum lithographic printing plates within the scope of this
investigation include all aluminum lithographic printing plates,
irrespective of the dimensions or thickness of the underlying
aluminum substrate, whether the plate requires processing after an
image is applied to the plate, whether the plate is ready to be
mounted to a press and used in printing operations immediately after
an image is applied to the plate, or whether the plate has been
exposed to light or heat to create an image on the plate or remains
unexposed and is free of any image.
Subject merchandise also includes aluminum lithographic printing
plates produced from an aluminum sheet coil that has been coated
with a light-sensitive image-recording layer in a subject country
and that is subsequently unwound and cut to the final dimensions to
produce a finished plate in a third country (including the United
States), or exposed to light or heat to create an image on the plate
in a third country (including in a foreign trade zone within the
United States).
Excluded from the scope of this investigation are lithographic
printing plates manufactured using a substrate produced from a
material other than aluminum, such as rubber or plastic.
Aluminum lithographic printing plates are currently classifiable
under Harmonized Tariff of the United States (HTSUS) subheadings
3701.30.0000 and 3701.99.6060. Further, merchandise that falls
within the scope of this investigation may also be entered into the
United States under HTSUS subheadings 3701.99.3000 and 8442.50.1000.
Although the HTSUS subheadings are provided for convenience and
customs purposes, the written description of the scope of this
investigation is dispositive.
[FR Doc. 2023-23531 Filed 10-24-23; 8:45 am]
BILLING CODE 3510-DS-P
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