Notice2024-20364
Ferrosilicon From Malaysia: Preliminary Affirmative Countervailing Duty Determination, Preliminary Affirmative Critical Circumstances Determination, in Part, and Alignment of Final Determination With Final Antidumping Duty Determination
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
September 10, 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 ferrosilicon from Malaysia. The period of investigation (POI) 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 175 (Tuesday, September 10, 2024)</title>
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[Federal Register Volume 89, Number 175 (Tuesday, September 10, 2024)]
[Notices]
[Pages 73364-73366]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-20364]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-557-829]
Ferrosilicon From Malaysia: Preliminary Affirmative
Countervailing Duty Determination, Preliminary Affirmative Critical
Circumstances Determination, in Part, 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 ferrosilicon from Malaysia. The period of
investigation (POI) is January 1, 2023, through December 31, 2023.
Interested parties are invited to comment on this preliminary
determination.
DATES: Applicable September 10, 2024.
FOR FURTHER INFORMATION CONTACT: Suresh Maniam or Stefan Smith, 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) 482-4342,
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 April 24,
2024.\1\ On May 30, 2024, Commerce postponed the preliminary
determination of this investigation until August 26, 2024.\2\ On July
22, 2024, Commerce tolled certain deadlines in this administrative
proceeding by seven days.\3\ The deadline for this preliminary
determination is now September 3, 2024.\4\
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\1\ See Ferrosilicon from Brazil, Kazakhstan, Malaysia, and the
Russian Federation: Initiation of Countervailing Duty
Investigations, 89 FR 31133 (April 24, 2024) (Initiation Notice).
\2\ See Ferrosilicon from Brazil, Kazakhstan, and Malaysia:
Postponement of Preliminary Determinations in theCountervailing Duty
Investigations, 89 FR 46860 (May 30, 2024).
\3\ See Memorandum, ``Tolling of Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated July 22, 2024.
\4\ Because seven days from August 26, 2024 (i.e., September 2,
2024) falls on a federal holiday, the actual deadline for the
preliminary determination is September 3, 2024.
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For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\5\ A list of topics 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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\5\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination of the Countervailing Duty Investigation of
Ferrosilicon from Malaysia,'' 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 ferrosilicon from
Malaysia. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
In accordance with the preamble to Commerce's regulations,\6\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage, (i.e., scope).\7\ As noted in the
Preliminary Decision Memorandum, Commerce corrected a minor clerical
error in the language of the scope.\8\
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\6\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\7\ See Initiation Notice.
\8\ See Preliminary Decision Memorandum.
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[[Page 73365]]
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.\9\
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\9\ 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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Commerce notes that, in making these findings, it relied, in part,
on facts available and, because it finds that one or more respondents
did not act to the best of their ability to respond to Commerce's
requests for information, it drew an adverse inference where
appropriate in selecting from among the facts otherwise available.\10\
For further information, see the ``Use of Facts Otherwise Available and
Adverse Inferences'' section in the Preliminary Decision Memorandum.
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\10\ See sections 776(a) and (b) of the Act.
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Preliminary Affirmative Determination of Critical Circumstances, in
Part
In accordance with section 703(e)(1) of the Act, Commerce
preliminarily determines that critical circumstances exist with respect
to imports of ferrosilicon from Malaysia for Pertama Ferroalloys Sdn.
Bhd (Pertama), but do not exist with respect to OM Materials (Sarawak)
Sdn. Bhd (OM Materials) and all other exporters or producers not
individually examined. For a full description of the methodology and
results of Commerce's analysis, see 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 ferrosilicon from Malaysia based on a
request made by the petitioners.\11\ 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
January 14, 2025, unless postponed.
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\11\ See Ferrosilicon from Brazil; Kazakhstan, and Malaysia:
Postponement of Preliminary Determinations in the Less-Than-Fair-
Value Investigations, 89 FR 66678 (August 16, 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 individual estimated
countervailable subsidy rates for OM Materials and Pertama that are not
zero, de minimis, or based entirely on facts otherwise available.
Commerce calculated the all-others rate using a weighted average of the
individual estimated subsidy rates calculated for the examined
respondents using each company's publicly-ranged values for the
merchandise under consideration.\12\
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\12\ 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 values 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, 53662
(September 1, 2010), and accompanying Issues and Decision Memorandum
at Comment 1. As complete publicly ranged sales data were available,
Commerce based the all-others rate on the publicly ranged sales data
of the mandatory respondents. For a complete analysis of the data,
see the All-Others Rate Calculation Memorandum.
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Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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\13\ As discussed in the Preliminary Decision Memorandum,
Commerce has found the following companies to be cross-owned with OM
Materials: OM Materials & Logistics (M) Sdn. Bhd; OM Materials
(Samalaju) Sdn. Bhd; and OM Engineering Tech (M) Sdn. Bhd.
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Subsidy rate
Company (percent ad
valorem)
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OM Materials (Sarawak) Sdn. Bhd \13\.................... 2.81
Pertama Ferroalloys Sdn. Bhd............................ 3.48
All Others.............................................. 3.02
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Suspension of Liquidation
In accordance with section 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.
Section 703(e)(2) of the Act provides that, given an affirmative
determination of critical circumstances, any suspension of liquidation
shall apply to unliquidated entries of merchandise entered, or
withdrawn from warehouse, for consumption on or after the later of: (a)
the date which is 90 days before the date on which the suspension of
liquidation was first ordered; or (b) the date on which notice of
initiation of the investigation was published. As noted above, Commerce
preliminarily finds that critical circumstances exist for imports of
subject merchandise produced and/or exported by Pertama. In accordance
with section 703(e)(2)(A) of the Act, the suspension of liquidation
shall apply to unliquidated entries of merchandise produced and/or
exported by Pertama that were entered, or withdrawn from warehouse, for
consumption on or after the date which is 90 days before the
publication of this notice.
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
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
[[Page 73366]]
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. A timeline for the
submission of case briefs and written comments will be notified to
interested parties at a later date. 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.\14\ Interested parties who submit case
briefs or rebuttal briefs in this proceeding must submit: (1) a table
of contents listing each issue; and (2) a table of authorities.\15\
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\14\ 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).
\15\ 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.\16\
Further, we request that interested parties limit their 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).\17\
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\16\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\17\ 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 Notification
In accordance with section 703(f) of the Act, Commerce will notify
the U.S. International Trade Commission (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
ferrosilicon from Malaysia are materially injuring 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: September 3, 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 scope of this investigation covers all forms and sizes of
ferrosilicon, regardless of grade, including ferrosilicon
briquettes. Ferrosilicon is a ferroalloy containing by weight four
percent or more iron, more than eight percent but not more than 96
percent silicon, three percent or less phosphorus, 30 percent or
less manganese, less than three percent magnesium, and 10 percent or
less of any other element. The merchandise covered also includes
product described as slag, if the product meets these
specifications.
Subject merchandise includes material matching the above
description that has been finished, packaged, or otherwise processed
in a third country, including by performing any grinding or any
other finishing, packaging, or processing that would not otherwise
remove the merchandise from the scope of the investigation if
performed in the country of manufacture of the ferrosilicon.
Ferrosilicon is currently classifiable under subheadings
7202.21.1000, 7202.21.5000, 7202.21.7500, 7202.21.9000,
7202.29.0010, and 7202.29.0050 of the Harmonized Tariff Schedule of
the United States (HTSUS). While the HTSUS numbers are provided for
convenience and customs purposes, the written description of the
scope remains dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Injury Test
IV. Preliminary Affirmative Determination of Critical Circumstances,
In Part
V. Use of Facts Available and Adverse Inferences
VI. Subsidies Valuation Information
VII. Analysis of Programs
VIII. Recommendation
[FR Doc. 2024-20364 Filed 9-9-24; 8:45 am]
BILLING CODE 3510-DS-P
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