Notice2024-12840
Antidumping Duty Order on Hydrofluorocarbon Blends From the People's Republic of China: Final Affirmative Determination of Circumvention With Respect to R-410A and R-407C From Malaysia
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
June 12, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) determines that imports of R-410A and R-407C, completed in Malaysia using the People's Republic of China (China)- origin hydrofluorocarbon (HFC) components, and exported from Malaysia, are circumventing the antidumping duty (AD) order on HFC blends from China.
Full Text
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<title>Federal Register, Volume 89 Issue 114 (Wednesday, June 12, 2024)</title>
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[Federal Register Volume 89, Number 114 (Wednesday, June 12, 2024)]
[Notices]
[Pages 49842-49844]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-12840]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-028]
Antidumping Duty Order on Hydrofluorocarbon Blends From the
People's Republic of China: Final Affirmative Determination of
Circumvention With Respect to R-410A and R-407C From Malaysia
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) determines that
imports of R-410A and R-407C, completed in Malaysia using the People's
Republic of China (China)-
[[Page 49843]]
origin hydrofluorocarbon (HFC) components, and exported from Malaysia,
are circumventing the antidumping duty (AD) order on HFC blends from
China.
DATES: Applicable June 12, 2024.
FOR FURTHER INFORMATION CONTACT: Jerry Xiao, 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) 482-2273.
SUPPLEMENTARY INFORMATION:
Background
On August 19, 2016, Commerce published in the Federal Register the
AD order on HFC blends from China.\1\ On July 7, 2023, Commerce
initiated a country-wide circumvention inquiry pursuant to section
781(b) of the Tariff Act of 1930, as amended (the Act), and 19 CFR
351.226(d)(1)(ii) to determine whether imports of R-410A and R-407C,
completed in Malaysia using HFC components manufactured in China, are
circumventing the Order and, accordingly, should be covered by the
scope of the Order.\2\ On December 11, 2023, Commerce published in the
Federal Register its Preliminary Determination that imports of R-410A
and R-407C completed in Malaysia using China-origin HFC components and
subsequently exported from Malaysia to the United States are
circumventing the Order.\3\
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\1\ See Hydrofluorocarbon Blends from the People's Republic of
China: Antidumping Duty Order, 81 FR 55436 (August 19, 2016)
(Order).
\2\ See Hydrofluorocarbon Blends from the People's Republic of
China: Initiation of Circumvention Inquiries on the Antidumping Duty
Order, 88 FR 43275 (July 7, 2023) (Initiation Notice).
\3\ See Antidumping Duty Order on Hydrofluorocarbon Blends from
the People's Republic of China: Preliminary Affirmative
Determination of Circumvention With Respect to R-410A and R-407C
From Malaysia, 88 FR 85876 (December 11, 2023) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum
(PDM).
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For a summary of events that occurred since the Preliminary
Determination, as well as a full discussion of the issues raised by
parties for consideration in the final determination, see the Issues
and Decision Memorandum.\4\ 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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\4\ See Memorandum, ``Decision Memorandum for the Circumvention
Inquiry of the Antidumping Duty Order on Hydrofluorocarbon Blends
from the People's Republic of China with Respect to Imports of R-
410A and R-407C from Malaysia,'' dated concurrently with, and hereby
adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Order
The merchandise covered by the Order is certain HFC blends. For a
complete description of the scope of the Order, see the Issues and
Decision Memorandum.
Merchandise Subject to the Circumvention Inquiry
This circumvention inquiry covers HFC blends R-410A and R-407C,
completed in Malaysia using China-origin HFC components and
subsequently exported from Malaysia to the United States (inquiry
merchandise).
Methodology
Commerce is conducting this circumvention inquiry in accordance
with section 781(b) of the Act, and 19 CFR 351.226. See Preliminary
Determination PDM for a full description of the methodology.\5\ We have
continued to apply this methodology, without exception, and incorporate
by reference this description of the methodology, for our final
determination.
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\5\ See Preliminary Determination PDM at 3-13.
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Analysis of Comments Received
All issues raised in this inquiry are addressed in the Issues and
Decision Memorandum. A list of the issues raised is attached to this
notice in the appendix. Based on our analysis of the comments received
from the petitioner, we made the following change to the Preliminary
Determination: we determine to apply retroactive suspension of
liquidation to respondent Juara Teguh Resources PLT (Juara), as well as
on a country-wide basis, effective November 4, 2021.
Final Circumvention Determination
We determine that imports of R-410A and R-407C completed in
Malaysia by Juara, using China-origin HFC components that are
subsequently exported from Malaysia to the United States, are
circumventing the Order. As a result, in accordance with section 781(b)
of the Act, we determine that this merchandise should be included
within the scope of the Order. For a detailed explanation of our
determination with respect to Juara, see Preliminary Determination PDM,
the Issues and Decision Memorandum, and the ``Use of Adverse Facts
Available'' section below.
We also determine that imports of R-410A and R-407C completed in
Malaysia using China-origin HFC components, that are subsequently
exported from Malaysia to the United States, are circumventing the
Order on a country-wide basis. As a result, in accordance with section
781(b) of the Act, we determine that this merchandise should be
included within the scope of the Order; see the ``Suspension of
Liquidation and Cash Deposit Requirements'' section, below, for details
regarding suspension of liquidation and cash deposit requirements.
Use of Adverse Facts Available (AFA)
In this inquiry, Commerce continues to find that necessary
information is not available on the record with respect to Juara within
the meaning of section 776(a)(1) of the Act, and that Juara withheld
requested information, failed to provide requested information by the
deadline or in the form or manner requested, and significantly impeded
the inquiry pursuant to sections 776(a)(1), (A), (B), and (C) of the
Act. Moreover, Commerce continues to find that this company failed to
cooperate by not acting to the best of its ability to provide the
requested information pursuant to section 776(b)(1) of the Act.
Consequently, we continue to use adverse inferences with respect to
Juara in selecting from among the facts otherwise available on the
record, pursuant to sections 776(a) and (b) of the Act, for the reasons
discussed in the Preliminary Determination and the Issues and Decision
Memorandum.\6\ Based on AFA, we determine that Juara exported inquiry
merchandise and that U.S. entries of that merchandise are circumventing
the Order. Interested parties that wish to have their suspended
entries, if any, reviewed should request an administrative review of
the relevant suspended entries during the next anniversary month of the
Order (i.e., August 2024).\7\
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\6\ See Preliminary Determination PDM; see also Issues and
Decision Memorandum at Comment 1.
\7\ See 19 CFR 351.213(b).
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Suspension of Liquidation and Cash Deposit Requirements
Based on the affirmative country-wide determination of
circumvention for Malaysia, in accordance with 19 CFR
351.226(l)(3)(iii)(A), we will direct U.S. Customs and Border
Protection (CBP) to suspend liquidation of any unliquidated entries of
subject merchandise from Malaysia entered, or withdrawn from
[[Page 49844]]
warehouse for consumption, prior to the date of publication of the
notice of initiation of the inquiry, up to, and including, November 4,
2021,\8\ which is a departure from our standard practice of applying
the date specified in 19 CFR 351.226(l)(3)(ii) (i.e., the date of
publication of the initiation notice).\9\ CBP shall require cash
deposits in accordance with the rate established for the China-wide
entity (i.e. 216.37 percent).\10\
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\8\ November 4, 2021, was the date Commerce's circumvention
regulations became effective. See Regulations To Improve
Administration and Enforcement of Antidumping and Countervailing
Duty Laws, 86 FR 52300 (September 20, 2021).
\9\ See Issues and Decision Memorandum at Comment 1.
\10\ See Order, 81 FR at 55438.
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Commerce has established the following third-country case number
for Malaysia in the Automated Commercial Environment (ACE) for such
entries: A-557-300-000. For Juara, Commerce will direct CBP, for all
entries of R-410A or R-407C from Malaysia produced or exported by
Juara, to suspend liquidation and require a cash deposit at the AD cash
deposit rate established for the China-wide entity (i.e., 216.37
percent), under this third-country case number, A-557-300-000.
R-410A and R-407C produced in Malaysia that is not from China-
origin HFC blends is not subject to this inquiry. Therefore, cash
deposits are not required for such merchandise under the Order. These
suspension of liquidation instructions will remain in effect until
further notice.
Opportunity To Request an Administrative Review
Each year during the anniversary month of the publication of an AD
or CVD order, finding, or suspended investigation, an interested party,
as defined in section 771(9) of the Act, may request, in accordance
with 19 CFR 351.213, that Commerce conduct an administrative review of
that AD or CVD order, finding, or suspended investigation. An
interested party who would like Commerce to conduct an administrative
review should wait until Commerce announces via the Federal Register
the next opportunity during the anniversary month of the publication of
the Order to submit such requests. The anniversary month for this Order
is August.
Administrative Protective Order
This notice will serve as the only reminder to all 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 the 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 sanctionable
violation.
Notification to Interested Parties
This determination is issued and published in accordance with
section 781(b) of the Act and 19 CFR 351.226(g)(2).
Dated: June 5, 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
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Merchandise Subject to the Circumvention Inquiry
V. Period of Circumvention Inquiry
VI. Changes from the Preliminary Determination
VII. Discussion of the Issues
Comment 1: Retroactive Suspension of Liquidation and Cash
Deposit Requirement
Comment 2: Certification Requirement
VIII. Recommendation
[FR Doc. 2024-12840 Filed 6-11-24; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on June 12, 2024.
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