Notice2024-11480

Certain Paper Shopping Bags From India: Final Affirmative Determination of Sales at Less Than Fair Value and Final Negative Determination of Critical Circumstances

Primary source

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Published
May 24, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that certain paper shopping bags (paper bags) from India are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation is April 1, 2022, through March 31, 2023.

Full Text

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<title>Federal Register, Volume 89 Issue 102 (Friday, May 24, 2024)</title>
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[Federal Register Volume 89, Number 102 (Friday, May 24, 2024)]
[Notices]
[Pages 45826-45829]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-11480]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-917]


Certain Paper Shopping Bags From India: Final Affirmative 
Determination of Sales at Less Than Fair Value and Final Negative 
Determination of Critical Circumstances

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
certain paper shopping bags (paper bags) from India are being, or are 
likely to be, sold in the United States at less than fair value (LTFV). 
The period of investigation is April 1, 2022, through March 31, 2023.

DATES: Applicable May 24, 2024.

FOR FURTHER INFORMATION CONTACT: Gorden Struck or Nathan Araya, AD/CVD 
Operations, Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-8151 or (202) 482-3401, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On January 3, 2024, Commerce published in the Federal Register its 
preliminary affirmative determination in the LTFV investigation of 
paper bags from India, in which we also postponed

[[Page 45827]]

the final determination until May 17, 2024.\1\ We invited interested 
parties to comment on the Preliminary Determination.\2\
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    \1\ See Certain Paper Shopping Bags from India: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value, 
Preliminary Negative Determination of Critical Circumstances, 
Postponement of Final Determination, and Extension of Provisional 
Measures, 89 FR 336 (January 3, 2024) (Preliminary Determination), 
and accompanying Preliminary Decision Memorandum (PDM).
    \2\ Id., 89 FR at 336.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination, may be found in the 
Issues and Decision Memorandum.\3\ 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>.
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    \3\ See Memorandum, ``Decision Memorandum for the Final 
Affirmative Determination in the Less-Than-Fair-Value Investigation 
of Paper Shopping Bags from India,'' dated concurrently with, and 
hereby adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is certain paper shopping 
bags from India. For a complete description of the scope of this 
investigation, see Appendix I to this notice.

Scope Comments

    During the course of this investigation, Commerce received scope 
comments from interested parties. Commerce issued a Preliminary Scope 
Decision Memorandum to address these comments and set aside a period of 
time for parties to address scope issues in scope-specific case and 
rebuttal briefs.\4\ We received comments from parties on the 
Preliminary Scope Decision Memorandum, which we address in the Final 
Scope Decision Memorandum.\5\ We made no changes to the scope of the 
investigation from the scope published in the Preliminary 
Determination, as noted in Appendix I to this notice.
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    \4\ See Memorandum, ``Less-Than-Fair-Value and Countervailing 
Duty Investigations of Certain Paper Shopping Bags from Cambodia, 
the People's Republic of China, Colombia, India, Malaysia, Portugal, 
Taiwan, the Republic of Turkey, and the Socialist Republic of 
Vietnam: Preliminary Scope Decision Memorandum,'' dated December 27, 
2023.
    \5\ See Memorandum, ``Less-Than-Fair Value and Countervailing 
Duty Investigations of Certain Paper Shopping Bags from Cambodia, 
the People's Republic of China, Colombia, India, Malaysia, Portugal, 
Taiwan, the Republic of Turkey, and the Socialist Republic of 
Vietnam: Final Scope Decision Memorandum,'' dated March 11, 2024.
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Final Negative Determination of Critical Circumstances

    We continue to find that critical circumstances do not exist for 
imports of paper bags from India for the two mandatory respondents, 
Aeroplast Packing Solution Private Limited (APSL), Aero Plast Limited 
(APL), and Aero Business Solutions Private Limited (ABSL) (collectively 
Aeroplast) and Kuloday Plastomers Pvt Ltd. (KPPL), and for all other 
Indian producers and exporters pursuant to sections 735(a)(3)(A) and 
(B) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 
351.206. For further discussion of this issue, see the Issues and 
Decision Memorandum.

Verification

    As provided in section 782(i) of the Act, in January and March 
2024, we verified the sales and cost information submitted by Aeroplast 
and KPPL for use in our final determination. We used standard 
verification procedures, including an examination of relevant sales and 
accounting records, and original source documents provided by Aeroplast 
and KPPL.\6\
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    \6\ See Memoranda, ``Verification of the Sales Response of 
Aeroplast Packaging Solution Private Limited (APSL) and affiliates, 
Aeroplast Limited (APL) and Aero Business Solutions Private Limited 
(ABSL) in the Antidumping Duty Investigation on Certain Paper 
Shopping Bags from India,'' dated March 7, 2024; ``Verification of 
the Sales Response of Kuloday Plastomers Pvt Ltd. in the Antidumping 
Duty Investigation of Certain Paper Shopping Bags from India,'' 
dated March 7, 2024; ``Verification of the Cost Response of Kuloday 
Plastomers Private Limited in the Antidumping Duty Investigation of 
Certain Paper Shopping Bags from India,'' dated April 18, 2024; and 
``Verification of the Cost Response of Aeroplast Packaging Solutions 
Private Limited in the Less Than Fair Value Investigation of Certain 
Paper Shopping Bags from India,'' dated April 24, 2024.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
interested parties in this investigation are addressed in the Issues 
and Decision Memorandum. A list of the issues addressed in the Issues 
and Decision Memorandum is attached as Appendix II to this notice.

Changes Since the Preliminary Determination

    We made certain changes to the margin calculation for Aeroplast and 
KPPL since the Preliminary Determination.<SUP>7</SUP> In addition, 
Aeroplast requested that the name of one its affiliates be updated for 
the purpose of the final determination and final customs 
instructions.\8\ For a discussion of these changes, see the Issues and 
Decision Memorandum.
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    \7\ See Memoranda, ``Allegation of Ministerial Error in the 
Preliminary Determination,'' dated February 2, 2024; ``Analysis for 
the Final Determination for Aero Business Solutions Private Limited; 
Aero Plast Limited; and Aeroplast Packaging Solution Private 
Limited,'' dated concurrently with this notice; and ``Analysis for 
the Final Determination for Kuloday Plastomers Pvt Ltd.,'' dated 
concurrently with this notice.
    \8\ See Aeroplast's Letter, ``Case Brief of Packaging Solution 
Private Limited,'' dated May 2, 2024 (citing Aeroplast's Letters, 
``Request to Correct the Clerical Error,'' dated February 2, 2024; 
``Section A Response,'' dated September 14, 2023, at Exhibit A-13(b) 
and Exhibit A-13(d); and ``Aero Plast Packaging Solutions Private 
Limited (APSL) 1st Supplemental Section ABC Response to Antidumping 
Duty Investigation Questionnaire,'' dated November 28, 2023, at 
Exhibit S3-2).
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Use of Adverse Facts Available

    As discussed in the Preliminary Determination, the following 
companies failed to respond to Commerce's quantity and value 
questionnaire: Apex Paper and Plastic and Film (Apex); Asha Overseas 
(Asha); Godhani Exports (Godhani); and Pack Easy Paper Products (Pack 
Easy). Consequently, for the Preliminary Determination, we determined 
that it was appropriate to apply adverse facts available (AFA) pursuant 
to sections 776(a)(1), 776(a)(2)(A)-(C), and 776(b) of the Act, with 
respect to Apex, Asha, Godhani, and Pack Easy.\9\ Absent comments on 
the application of AFA, we continue to assign the estimated weighted-
average dumping margin, i.e., the highest transaction-specific margin 
calculated of 53.05 percent (because we are unable to corroborate the 
highest rate in the Petition of 96.15 percent \10\) for these companies 
on the basis of AFA, pursuant to sections 776(a)(1), 776(a)(2)(A)-(C), 
and 776(b) of Act.\11\
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    \9\ See Preliminary Determination PDM at 5.
    \10\ See Certain Paper Shopping Bags from Cambodia, the People's 
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the 
Republic of Turkey, and the Socialist Republic of Vietnam: 
Initiation of Less-Than-Fair- Value Investigations, 88 FR 41689, 
41692 (June 27, 2023).
    \11\ See Preliminary Determination PDM.
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All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters or producers individually investigated excluding rates that 
are zero, de minimis, or determined entirely under section 776 of the 
Act. Pursuant to section

[[Page 45828]]

735(c)(5)(B) of the Act, if the estimated weighted-average dumping 
margins established for all exporters or producers individually 
examined are zero, de minimis, or determined based entirely on facts 
otherwise available, Commerce may use any reasonable method to 
establish the estimated weighted-average dumping margin for all other 
producers and exporters.
    Here, Commerce calculated an estimated weighted-average dumping 
margin of zero percent for Aeroplast. Therefore, the only rate that is 
not zero, de minimis or based entirely on facts otherwise available is 
the rate calculated for KPPL. Consequently, the rate calculated for 
KPPL is also assigned as the estimated weighted-average dumping margin 
for all other producers and exporters.

Final Determination

    The final estimated weighted-average dumping margins are as 
follows:

------------------------------------------------------------------------
                                        Estimated      Cash deposit rate
                                     weighted-average    (adjusted for
         Exporter/producer            dumping margin     export subsidy
                                        (percent)      offset) (percent)
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Aeroplast Packaging Solution                     0.00     Not Applicable
 Private Limited; Aero Plast
 Limited; Aero Business Solutions
 Private Limited..................
Kuloday Plastomers Pvt. Ltd.......               4.59               1.20
Adeera Packaging Pvt. Ltd.........               4.59               1.20
Amate Products Pvt. Ltd...........               4.59               1.20
Apex Paper and Plastic and Film...            * 53.05              49.66
Archies Limited...................               4.59               1.20
Asha Overseas.....................            * 53.05              49.66
Carrywell Packaging Pvt. Ltd......               4.59               1.20
Colorbox..........................               4.59               1.20
Dynaflex Private Limited..........               4.59               1.20
Godhani Exports...................            * 53.05              49.66
Pack Easy Paper Products..........            * 53.05              49.66
Pack Planet Pvt. Ltd..............               4.59               1.20
Poonam............................               4.59               1.20
Shriniwas Enterprises.............               4.59               1.20
Tejaswi Plastic Pvt. Ltd..........               4.59               1.20
The Velvin Group (DBA Velvin                     4.59               2.21
 Packaging Solutions Pvt. Ltd. and
 Velvin Paper Products)...........
Vama Packaging....................               4.59               1.20
All Others........................               4.59               1.20
------------------------------------------------------------------------
* Rate based on AFA.

Disclosure

    We intend to disclose the calculations performed in this final 
determination within five days of the date of publication of this 
notice in the Federal Register in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of subject merchandise, 
as described in Appendix I of this notice, entered, or withdrawn from 
warehouse, for consumption on or after January 3, 2024, the date of 
publication in the Federal Register of the Preliminary Determination 
except for those entries of subject merchandise produced and exported 
by Aeroplast.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), where appropriate, Commerce will instruct CBP to require a 
cash deposit equal to the estimated weighted-average dumping margin or 
the estimated all-others rate, as follows: (1) the cash deposit rate 
for the companies listed above that exported the subject merchandise 
will be equal to the company-specific estimated weighted-average 
dumping margin determined in this final determination; (2) if the 
exporter is not a company identified above but the producer is, then 
the cash deposit rate will be equal to the company-specific estimated 
weighted-average dumping margin established for that producer of the 
subject merchandise; and (3) the cash deposit rate for all other 
producers and exporters will be equal to the estimated weighted-average 
dumping margin for all other producers and exporters. These suspension 
of liquidation instructions will remain in effect until further notice.
    Because the estimated weighted-average dumping margin for Aeroplast 
is zero, entries of shipments of subject merchandise produced by and 
exported by this company will not be subject to suspension of 
liquidation or cash deposit requirements. In such situations, Commerce 
also applies the exclusion to the provisional measures to the producer/
exporter combination that was examined in the investigation. 
Accordingly, Commerce will not be directing CBP to suspend liquidation 
of entries of subject merchandise produced and exported by Aeroplast. 
However, entries of subject merchandise from this company in any other 
producer/exporter combination (i.e., where Aeroplast, is either the 
producer or the exporter, but not both), or by third parties that 
sourced subject merchandise from the excluded producer/exporter 
combination, will be subject to suspension of liquidation at the all-
others rate.
    Further, because the estimated weighted-average dumping margin is 
zero for subject merchandise produced and exported by Aeroplast, 
entries of such merchandise will be excluded from the potential 
antidumping duty order. Such an exclusion will not be applicable to 
merchandise exported to the United States by this respondent in any 
other producer/exporter combinations or by third parties that sourced 
subject merchandise from the excluded producer/exporter combination.
    Commerce normally adjusts cash deposits for estimated antidumping 
duties by the amount of export subsidies countervailed in a companion

[[Page 45829]]

countervailing duty (CVD) proceeding, when CVD provisional measures are 
in effect. Accordingly, where Commerce has made a final affirmative 
determination for countervailable export subsidies, Commerce has offset 
the estimated weighted-average dumping margins by the appropriate CVD 
rate. Any such adjusted cash deposit rate may be found in the ``Final 
Determination'' section above.

U.S. International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of our final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of paper bags 
from India no later than 45 days after this final determination. If the 
ITC determines that material injury or threat of material injury does 
not exist, the proceeding will be terminated and all cash deposits will 
be refunded or canceled, and suspension of liquidation will be lifted. 
If the ITC determines that such injury does exist, Commerce will issue 
an antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on all imports of the 
subject merchandise that are entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Administrative Protective Order

    This notice will serve as the final reminder to parties subject to 
an administrative protective order (APO) of their responsibility 
concerning the destruction of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of return or destruction of APO materials or conversion to 
judicial protective order is hereby requested. Failure to comply with 
the regulations and the terms of an APO is a violation which is subject 
to sanction.

Notification to Interested Parties

    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act, and 19 CFR 
351.210(c).

    Dated: May 17, 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

Scope of the Investigation

    The products within the scope of this investigation are paper 
shopping bags with handles of any type, regardless of whether there 
is any printing, regardless of how the top edges are finished (e.g., 
folded, serrated, or otherwise finished), regardless of color, and 
regardless of whether the top edges contain adhesive or other 
material for sealing closed. Subject paper shopping bags have a 
width of at least 4.5 inches and depth of at least 2.5 inches.
    Paper shopping bags typically are made of kraft paper but can be 
made from any type of cellulose fiber, paperboard, or pressboard 
with a basis weight less than 300 grams per square meter (GSM).
    A non-exhaustive illustrative list of the types of handles on 
shopping bags covered by the scope include handles made from any 
materials such as twisted paper, flat paper, yarn, ribbon, rope, 
string, or plastic, as well as die-cut handles (whether the punchout 
is fully removed or partially attached as a flap).
    Excluded from the scope are:
    <bullet> Paper sacks or bags that are of a \1/6\ or \1/7\ barrel 
size (i.e., 11.5-12.5 inches in width, 6.5-7.5 inches in depth, and 
13.5-17.5 inches in height) with flat paper handles or die-cut 
handles;
    <bullet> Paper sacks or bags with die-cut handles, a grams per 
square meter paper weight of less than 86 GSM, and a height of less 
than 11.5 inches; and
    <bullet> Shopping bags (i) with non-paper handles made wholly of 
woven ribbon or other similar woven fabric \12\ and (ii) that are 
finished with folded tops or for which tied knots or t-bar aglets 
(made of wood, metal, or plastic) are used to secure the handles to 
the bags.
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    \12\ Paper sacks or bags with handles made of braided or twisted 
materials, such as rope or cord, do not qualify for this exclusion.
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    The above-referenced dimensions are provided for paper bags in 
the opened position. The height of the bag is the distance from the 
bottom fold edge to the top edge (i.e., excluding the height of 
handles that extend above the top edge). The depth of the bag is the 
distance from the front of the bag edge to the back of the bag edge 
(typically measured at the bottom of the bag). The width of the bag 
is measured from the left to the right edges of the front and back 
panels (upon which the handles typically are located).
    This merchandise is currently classifiable under Harmonized 
Tariff Schedule of the United States (HTSUS) subheadings 
4819.30.0040 and 4819.40.0040. The HTSUS subheadings are provided 
for convenience and customs purposes only; the written description 
of the scope is dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Final Negative Determination of Critical Circumstances
IV. Changes Since the Preliminary Determination
V. Discussion of the Issues
    Comment 1: Shorter Cost Averaging Periods for KPPL
    Comment 2: Correction of Aeroplast's Name in the Final 
Determination and Final Customs Instructions
    Comment 3: Adverse Inference for Shorter Cost Averaging Periods 
for Aeroplast
VI. Recommendation

[FR Doc. 2024-11480 Filed 5-23-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on May 24, 2024.

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.