Notice2024-09579
Wooden Cabinets and Vanities and Components Thereof From the People's Republic of China: Preliminary Results and Partial Rescission of Countervailing Duty Administrative Review; 2022
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
May 2, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies were provided to producers and exporters of wooden cabinets and vanities and components thereof (wooden cabinets) from the People's Republic of China (China), during the period of review (POR) January 1, 2022, through December 31, 2022. In addition, Commerce is rescinding this review, in part, with respect to 28 companies. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 89 Issue 86 (Thursday, May 2, 2024)</title>
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[Federal Register Volume 89, Number 86 (Thursday, May 2, 2024)]
[Notices]
[Pages 35782-35785]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-09579]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-107]
Wooden Cabinets and Vanities and Components Thereof From the
People's Republic of China: Preliminary Results and Partial Rescission
of Countervailing Duty Administrative Review; 2022
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that countervailable subsidies were provided to producers
and exporters of wooden cabinets and vanities and components thereof
(wooden cabinets) from the People's Republic of China (China), during
the period of review (POR) January 1, 2022, through December 31, 2022.
In addition, Commerce is rescinding this review, in part, with respect
to 28 companies. Interested parties are invited to comment on these
preliminary results.
DATES: Applicable May 2, 2024.
FOR FURTHER INFORMATION CONTACT: Suresh Maniam or Michael Romani, AD/
CVD Operations, Office I, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-1603 or (202)
482-0198, respectively.
Background
On April 21, 2020, Commerce published in the Federal Register the
countervailing duty (CVD) order on wooden cabinets from China.\1\ On
June 12, 2023, Commerce published in the Federal Register the notice of
initiation of an administrative review of the Order.\2\ On August 16,
2023, Commerce selected The Ancientree Cabinet Co., Ltd. (Ancientree)
and Jiangsu Sunwell Cabinet Co. Ltd. (Sunwell) for individual
examination as the mandatory respondents in this administrative
review.\3\ Between September 13 and October 25, 2023, multiple parties
either withdrew their requests for review or did not respond to our
initial questionnaire.\4\ On November 13, 2023, we also selected Yixing
Pengjia Cabinetry Co., Ltd. for individual examination as a mandatory
respondent.\5\ During the course of this proceeding, Yixing Pengjia
Cabinetry Co., Ltd. explained that its name changed to Yixing Pengjia
Technology Co., Ltd. (Pengjia). On December 4, 2023, we extended the
deadline for the preliminary results of this administrative review
until April 26, 2024.\6\
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\1\ See Wooden Cabinets and Vanities and Components Thereof from
the People's Republic of China: Countervailing Duty Order, 85 FR
22134 (April 21, 2020) (Order).
\2\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 88 FR 38021, 38033 (June 12, 2023).
\3\ See Memorandum, ``Respondent Selection,'' dated August 16,
2023.
\4\ For a full description of events regarding respondent
selection, see Memorandum ``Fourth Respondent Selection,'' dated
November 13, 2023.
\5\ Id.
\6\ See Memorandum, ``Extension of Deadline for Preliminary
Results of Countervailing Duty Administrative Review,'' dated
October 30, 2023.
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For a complete description of the events that followed the
initiation of this review, see the Preliminary Decision Memorandum.\7\
A list of topics discussed in the Preliminary Decision Memorandum is
included as Appendix I to this notice. 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="http://access.trade.gov">http://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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\7\ See Memorandum, ``Decision Memorandum for the Preliminary
Results of the Administrative Review of the Countervailing Duty
Order on Wooden Cabinets and Vanities and Components Thereof from
the People's Republic of China; 2022,'' 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 wooden cabinets from China. For
a complete description of the scope of the Order, see the Preliminary
Decision Memorandum.
Methodology
Commerce is conducting this administrative 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
[[Page 35783]]
countervailable, Commerce preliminarily finds 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).\8\ For a
full description of the methodology underlying our 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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\8\ 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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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 the parties that
requested a review withdraw the request within 90 days of the date of
publication of the notice of initiation. Commerce received timely-filed
withdrawal of review requests for nine companies.\9\ Because the
withdrawal requests were timely filed and no other parties requested a
review of these companies, we are rescinding this review of the Order,
in accordance with 19 CFR 351.213(d)(1). For a list of these companies
with timely-filed withdrawal of review requests, see Appendix II.
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\9\ See Letter on Behalf of Several Companies, ``Withdrawal of
Request for Administrative Review,'' dated July 11, 2023 (on behalf
of Shanghai Zifeng International Trading Co., Ltd. and Linyi Bonn
Flooring Manufacture Co. Ltd.); see also Letter on Behalf of Several
Companies, ``Withdrawal of Requests for Administrative Review,''
dated September 11, 2023.
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Based on our analysis of U.S. Customs and Border Protection (CBP)
data, we determine that 19 companies had no entries of subject
merchandise during the POR. On August 21, 2023, we notified parties of
our intent to rescind the administrative review with respect to 19
companies because there are no reviewable suspended entries.\10\ 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. For additional information
regarding this determination, see the Preliminary Decision Memorandum.
For a list of these companies with no reviewable suspended entries, see
Appendix III.
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\10\ See Memorandum, ``Intent to Rescind Review, in Part,''
dated August 21, 2023.
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Preliminary Rate for Non-Selected Companies Under Review
There are seven 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. The statute and
Commerce's regulations do not directly address the establishment of
rates to be applied to companies not selected for individual
examination where Commerce limits its examination in an administrative
review pursuant to section 777A(e)(2) of the Act. However, Commerce
normally determines the rates for non-selected companies in reviews in
a manner that is consistent with section 705(c)(5) of the Act, which
provides the basis for calculating the all-others rate in an
investigation.
Section 705(c)(5)(A)(i) of the Act instructs Commerce, as a general
rule, to calculate an all-others rate equal to the weighted average of
the countervailable subsidy rates established for exporters and/or
producers individually examined, excluding any rates that are zero, de
minimis, or based entirely on facts available. In this review, the
preliminary rates calculated for Ancientree and Pengjia were above de
minimis and not based entirely on facts available. Therefore, we are
applying to the non-selected companies the average of the net subsidy
rates calculated for Ancientree and Pengjia, which we calculated using
the publicly-ranged sales data.\11\ This methodology to establish the
rate for the non-selected companies uses section 705(c)(5)(A) of the
Act, which governs the calculation of the all-others rate in an
investigation, as guidance. For further information on the calculation
of the non-selected respondent rate, see the Preliminary Decision
Memorandum.
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\11\ With two respondents under examination, Commerce normally
calculates: (A) a weighted-average of the estimated subsidy rates
calculated for the examined respondents; (B) a simple average of the
estimated subsidy rates calculated for the examined respondents; and
(C) a weighted-average of the estimated subsidy rates calculated for
the examined respondents using each company's publicly-ranged U.S.
sale quantities for the merchandise under consideration. Commerce
then compares (B) and (C) to (A) and selects the rate closest to (A)
as the most appropriate rate for all other producers and exporters.
See, e.g., Ball Bearings and Parts Thereof from France, Germany,
Italy, Japan, and the United Kingdom: Final Results of Antidumping
Duty Administrative Reviews, Final Results of Changed-Circumstances
Review, and Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010).
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Preliminary Results of Review
We preliminarily find that Yixing Pengjia Technology Co., Ltd.'s
claim that it is the same company as Yixing Pengjia Cabinetry Co., Ltd.
is supported by information on the record. For a complete description,
see the Preliminary Decision Memorandum. Parties are invited to comment
on this issue for the final results. As a result of this administrative
review, we preliminarily find that the following net countervailable
subsidy rates exist for the period January 1, 2022, through December
31, 2022:
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Subsidy rate (percent
Company ad valorem)
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The Ancientree Cabinet Co., Ltd................ 14.23
Yixing Pengjia Technology Co., Ltd.\12\........ 0.91
Jiangsu Sunwell Cabinetry Co Ltd.\13\.......... 163.46
Taizhou Overseas Trading Company Ltd........... 163.46
Taishan Oversea Trading Company Ltd............ 163.46
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Review-Specific Average Rate Applicable to the Following Companies \14\
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Fujian Dushi Wooden Industry Co., Ltd.......... 17.20
Fuzhou CBM Import & Export Co., Ltd............ 17.20
KM Cabinetry Co., Ltd.......................... 17.20
Nantong Aershin Cabinet Co., Ltd............... 17.20
Shouguang Fushi Wood Co., Ltd.................. 17.20
Weifang Fuxing Wood Co., Ltd................... 17.20
Xiamen Adler Cabinetry Co., Ltd................ 17.20
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Cash Deposit Requirements
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\12\ This company was formerly known as Yixing Pengjia Cabinetry
Co., Ltd. See Pengjia's Letter ``Section III,'' dated January 4,
2024, at 2 and Exhibit 5.1.
\13\ Commerce previously found Shanghai Beautystar Cabinetry
Co., Ltd. to be a cross-owned affiliate with Jiangsu Sunwell
Cabinetry Co Ltd. See Wooden Cabinets and Vanities and Components
Thereof from the People's Republic of China: Preliminary Results of
Countervailing Duty Administrative Review, Rescission of
Administrative Review in Part, and Intent To Rescind in Part; 2021,
88 FR 29084 (May 5, 2023), and accompanying Preliminary Decision
Memorandum at 33, unchanged in Wooden Cabinets and Vanities and
Components Thereof from the People's Republic of China: Final
Results and Partial Recission of Countervailing Duty Administrative
Review, 2021, 88 FR 76732 (November 7, 2023).
\14\ This rate is based on the rate for the respondents that
were selected for individual review, excluding rates that are zero,
de minimis, or based entirely on facts available. See section
705(c)(5)(A) of the Act.
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In accordance with 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
calculated in the final results of this review for 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. 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 companies, CBP will continue to collect cash deposits of
estimated countervailing duties at the all-others rate (i.e., 20.93
percent) \15\ 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.
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\15\ See Order, 85 FR at 22135.
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Assessment Rates
In accordance with 19 CFR 351.221(b)(4)(i), we preliminarily
assigned subsidy rates in the amounts shown above for the producers/
exporters shown above. 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.
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 January
1, 2022, through December 31, 2022, in accordance with 19 CFR
351.212(c)(l)(i). For companies remaining under 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).
Disclosure and Public Comment
Commerce intends to disclose its calculations and analysis
performed to interested parties for these preliminary results within
five days of any public announcement or, if there is no public
announcement, within five days of the date of publication of this
notice in accordance with 19 CFR 351.224(b).
Pursuant to 19 CFR 351.309(c)(1)(ii), interested parties may submit
case briefs no later than 30 days after the date of publication of this
notice. 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.\16\ Parties who submit case or rebuttal briefs in this
proceeding are encouraged to submit with each argument: (1) a table of
contents listing each issue; and (2) a table of authorities.\17\
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\16\ See 19 CFR 351.309(d).
\17\ See 19 CFR 351.309(c)(2) and (d)(2).
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their brief that should be limited to five pages
total, including footnotes. In this review, we instead request that
interested parties provide at the beginning of their briefs a public,
executive summary for each issue raised in their briefs.\18\ Further,
we request that interested parties limit their public executive summary
of each issue to no more than 450 words, not including citations. We
intend to use the public executive summaries as the basis of the
comment summaries included in the issues and decision memorandum that
will accompany the final results in this administrative review. We
request that interested parties include footnotes for relevant
citations in the public executive summary of each issue. Note that
Commerce has amended certain of its requirements pertaining to the
service of documents in 19 CFR 351.303(f).\19\
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\18\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\19\ See Administrative Protective Order, Service, and Other
Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR
67069, 67077 (September 29, 2023).
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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, filed electronically via ACCESS. An
electronically filed document must be received successfully in its
entirety by Commerce's electronic records system, ACCESS, by 5:00 p.m.
Eastern Time within 30 days after the date of publication of this
notice.\20\ Requests should contain: (1) the party's name, address, and
telephone number; (2) the number of participants and whether any
participant is a foreign national; and (3) a list of issues to be
discussed. If a request for a hearing is made, we will inform parties
of the scheduled date and time for the hearing.
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\20\ See 19 CFR 351.310(c).
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Final Results
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 case briefs, within 120 days after the date of
publication of these preliminary results in the Federal Register,
pursuant to section 751(a)(3)(A) of the Act and 19 CFR 351.213(h).
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 351.221(b)(4).
Dated: April 26, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Recission of Administrative Review, in Part
V. Non-Selected Companies Under Review
VI. Diversification of China's Economy
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VII. Use of Facts Available and Application of Adverse Inferences
VIII. Subsidies Valuation
IX. Interest Rate, Discount Rate, Input, Electricity, and Land
Benchmarks
X. Analysis of Programs
XI. Recommendation
Appendix II
List of Companies Which Timely Withdrew Requests for Review
1. Shanghai Zifeng International Trading Co., Ltd.
2. Linyi Bonn Flooring Manufacture Co. Ltd.
3. Linyi Bomei Furniture Co., Ltd.
4. Honsoar New Building Material Co., Ltd.
5. Qingdao Shousheng Industry Co., Ltd.
6. Jiang Su Rongxin Wood Industry Co., Ltd.
7. Weifang Yuanlin Woodenware Co., Ltd.
8. Morewood Cabinetry Co., Ltd.
9. Pizhou Ouyme Import & Export Trade Co., Ltd.
Appendix III
List of Companies Which Did Not Have Reviewable Entries During the POR
1. Changyi Zhengheng Woodwork Co. Ltd.
2. Dalian Hualing Wood Co., Ltd.
3. Dalian Meisen Woodworking Co. Ltd. and Dalian Hechang Technology
Development Co., Ltd.
4. Fujian Leifeng Cabinetry Co., Ltd.
5. Goldenhome Living Co. Ltd.
6. Guangzhou Nuolande Import and Export Co., Ltd.
7. Jiangsu Beichen Wood Co., Ltd.
8. Jiangsu Xiangsheng Bedtime Furniture Co., Ltd.
9. Linyi Kaipu Furniture Co., Ltd.
10. Senke Manufacturing Company
11. Shandong Jinhua Wood Co., Ltd.
12. Shandong Longsen Woods Co., Ltd.
13. Suofeiya Home Collection Co., Ltd.
14. Taishan Hongxiang Trading Co., Ltd.
15. Xuzhou Yihe Wood Co., Ltd.
16. Zaozhuang New Sharp Import & Export Trading Co., Ltd.
17. Zhangzhou OCA Furniture Co., Ltd.
18. Zhongshan NU Furniture Co., Ltd.
19. Zhoushan For-Strong Wood Co. Ltd.
Appendix IV
List of Non-Selected Companies Subject to This Administrative Review
1. Fujian Dushi Wooden Industry Co., Ltd.
2. Fuzhou CBM Import & Export Co., Ltd.
3. KM Cabinetry Co., Ltd.
4. Nantong Aershin Cabinet Co., Ltd
5. Shouguang Fushi Wood Co., Ltd
6. Weifang Fuxing Wood Co., Ltd.
7. Xiamen Adler Cabinetry Co., Ltd.
[FR Doc. 2024-09579 Filed 5-1-24; 8:45 am]
BILLING CODE 3510-DS-P
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