Notice2024-15978

Melamine From Qatar: Preliminary Affirmative Countervailing Duty Determination, Preliminary Negative Determination of Critical Circumstances, and Alignment of Final Determination With Final Antidumping Duty Determination

Primary source

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Published
July 22, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of melamine from Qatar (Qatar). The period of investigation is January 1, 2023, through December 31, 2023. Interested parties are invited to comment on this preliminary determination.

Full Text

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<title>Federal Register, Volume 89 Issue 140 (Monday, July 22, 2024)</title>
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[Federal Register Volume 89, Number 140 (Monday, July 22, 2024)]
[Notices]
[Pages 59045-59047]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-15978]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-518-002]


Melamine From Qatar: Preliminary Affirmative Countervailing Duty 
Determination, Preliminary Negative Determination of Critical 
Circumstances, and Alignment of Final Determination With Final 
Antidumping Duty Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of melamine from Qatar (Qatar). The period of 
investigation is January 1, 2023, through December 31, 2023. Interested 
parties are invited to comment on this preliminary determination.

DATES: Applicable July 22, 2024.

FOR FURTHER INFORMATION CONTACT: Samantha Kinney or Sofia Pedrelli, 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) 482-2285 or (202) 
482-4310, respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on March 11, 
2024.\1\ On April 11, 2024, Commerce postponed the preliminary 
determination of this investigation until July 15, 2024.\2\
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    \1\ See Melamine from Germany, India, Qatar, and Trinidad and 
Tobago: Initiation of Countervailing Duty Investigations, 89 FR 
17381 (March 11, 2024) (Initiation Notice).
    \2\ See Melamine from Germany, India, Qatar, and Trinidad and 
Tobago: Postponement of Preliminary Determinations in the 
Countervailing Duty Investigations, 89 FR 27714 (April 18, 2024).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics

[[Page 59046]]

discussed in the Preliminary Decision Memorandum is included as 
Appendix II 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="https://access.trade.gov">https://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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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination of the Countervailing Duty Investigation 
of Melamine from Qatar,'' dated concurrently with, and hereby 
adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is melamine from Qatar. 
For a complete description of the scope of this investigation, see 
Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ No interested party 
commented on the scope of the investigation as it appeared in the 
Initiation Notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\6\ For a full description of the methodology underlying our 
preliminary determination, see the Preliminary Decision Memorandum.
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    \6\ 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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Preliminary Negative Determination of Critical Circumstances

    Commerce preliminarily determines that critical circumstances do 
not exist. For a full description of the methodology and results of 
Commerce's analysis, see the ``Preliminary Negative Determination of 
Critical Circumstances'' section of the Preliminary Decision 
Memorandum.

Alignment

    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is 
aligning the final countervailing duty (CVD) determination in this 
investigation with the final determination in the companion antidumping 
duty (AD) investigation of melamine from Qatar based on a request made 
by the petitioner.\7\ Consequently, the final CVD determination will be 
issued on the same date as the final AD determination, which is 
currently scheduled to be issued no later than November 25, 2024, 
unless postponed.\8\
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    \7\ See Petitioner's Letter, ``Petitioner's Request to Align 
Countervailing Duty Investigation Final Determination with 
Antidumping Duty Investigation Final Determination,'' dated June 11, 
2024. The petitioner is Cornerstone Chemical Company.
    \8\ See Melamine from Germany, India, Japan, the Netherlands, 
Qatar, and Trinidad and Tobago: Postponement of Preliminary 
Determinations in the Less-Than-Fair-Value Investigations, 89 FR 
52437 (June 24, 2024).
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act.
    In this investigation, Commerce calculated an individual estimated 
countervailable subsidy rate for Qatar Melamine Company (QMC)/Qatar 
Chemical and Petrochemical Marketing and Distribution Company 
(Muntajat) Q.P.J.S.C. (Muntajat) and its cross-owned companies (QMC/
Muntajat), the only individually examined exporters/producers in this 
investigation. Because the only individually calculated rate is not 
zero, de minimis, or based entirely under section 776 of the Act, the 
estimated weighted-average rate calculated for QMC/Muntajat and its 
cross-owned companies is the rate assigned to all other producers and 
exporters, pursuant to section 705(c)(5)(A)(i) of the Act.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist: \9\
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    \9\ As discussed in the Preliminary Decision Memorandum, 
Commerce found the following companies to be cross owned with QMC: 
Muntajat, Qatar Fertiliser Company (P.S.C.), Industries Qatar 
Q.P.S.C., and QatarEnergy.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Qatar Melamine Company; Qatar Chemical and Petrochemical           40.49
 Marketing and Distribution Company (Muntajat)
 Q.P.J.S.C.; Qatar Fertiliser Company (P.S.C.);
 Industries Qatar Q.P.S.C.; QatarEnergy.................
All Others..............................................           40.49
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Suspension of Liquidation

    In accordance with sections 703(d)(1)(B) and (d)(2) of the Act, 
Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice in accordance 
with 19 CFR 351.224(b).
    Consistent with 19 CFR 351.224(e), Commerce will analyze and, if 
appropriate, correct any timely allegations of significant ministerial 
errors by amending the preliminary determination. However, consistent 
with 19 CFR 351.224(d), Commerce will not consider incomplete 
allegations that do not address the significance standard under 19 CFR 
351.224(g) following the preliminary determination. Instead, Commerce 
will address such allegations in the final determination together with

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issues raised in the case briefs or other written comments.

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in the 
case briefs, may be filed not later than five days after the date for 
filing case briefs.\10\ Interested parties who submit case or rebuttal 
briefs in this proceeding must submit: (1) a table of contents listing 
each issue; and (2) a table of authorities.\11\
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    \10\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Service Final Rule).
    \11\ See 19 351.309(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 investigation, we instead request 
that interested parties provide at the beginning of their briefs a 
public, executive summary for each issue raised in their briefs.\12\ 
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 determination in this 
investigation. 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).\13\
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    \12\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \13\ See APO and Service Final Rule.
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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, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.

U.S. International Trade Commission (ITC) Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the ITC of its determination. If the final determination is 
affirmative, the ITC will determine before the later of 120 days after 
the date of this preliminary determination or 45 days after the final 
determination, whether imports of melamine from Qatar are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act, and 19 CFR 351.205(c).

    Dated: July 15, 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 merchandise subject to this investigation is melamine 
(Chemical Abstracts Service (CAS) registry number 108-78-01, 
molecular formula C<INF>3</INF> H<INF>6</INF> N<INF>6</INF>). 
Melamine is also known as 2,4,6-triamino-s-triazine; 1,3,5-Triazine-
2,4,6- triamine; Cyanurotriamide; Cyanurotriamine; Cyanuramide; and 
by various brand names. Melamine is a crystalline powder or granule. 
All melamine is covered by the scope of this investigation 
irrespective of purity, particle size, or physical form. Melamine 
that has been blended with other products is included within this 
scope when such blends include constituent parts that have been 
intermingled, but that have not been chemically reacted with each 
other to produce a different product. For such blends, only the 
melamine component of the mixture is covered by the scope of this 
investigation. Melamine that is otherwise subject to this 
investigation is not excluded when commingled with melamine from 
sources not subject to this investigation. Only the subject 
component of such commingled products is covered by the scope of 
this investigation.
    The subject merchandise is provided for in subheading 
2933.61.0000 of the Harmonized Tariff Schedule of the United States 
(HTSUS). Although the HTSUS subheading and CAS registry number are 
provided for convenience and customs purposes, the written 
description of the scope is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Injury Test
IV. Preliminary Negative Determination of Critical Circumstances
V. New Subsidy Allegation
VI. Subsidies Valuation
VII. Analysis of Programs
VIII. Recommendation

[FR Doc. 2024-15978 Filed 7-19-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on July 22, 2024.

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