Notice2024-25562
Thermoformed Molded Fiber Products From the People's Republic of China and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations
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
November 4, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Full Text
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<title>Federal Register, Volume 89 Issue 213 (Monday, November 4, 2024)</title>
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[Federal Register Volume 89, Number 213 (Monday, November 4, 2024)]
[Notices]
[Pages 87551-87556]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-25562]
[[Page 87551]]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-182, A-552-845]
Thermoformed Molded Fiber Products From the People's Republic of
China and the Socialist Republic of Vietnam: Initiation of Less-Than-
Fair-Value Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable October 28, 2024.
FOR FURTHER INFORMATION CONTACT: Rebecca Trainor or Dennis McClure at
(202) 482-4007 or (202) 482-5973, respectively (the People's Republic
of China (China)) and Thomas Martin at (202) 482-3936 (the Socialist
Republic of Vietnam (Vietnam)), AD/CVD Operations, Enforcement and
Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
The Petitions
On October 8, 2024, the U.S. Department of Commerce (Commerce)
received antidumping duty (AD) petitions concerning imports of
thermoformed molded fiber products (molded fiber products) from China
and Vietnam filed in proper form on behalf of Genera, Tellus Products,
LLC, and the United Steel, Paper and Forestry, Rubber, Manufacturing,
Energy, Allied Industrial and Service Workers International Union, AFL-
CIO (the USW), collectively, the American Molded Fiber Products
Coalition (the petitioners), domestic producers of molded fiber
products and a certified union, which represents workers engaged in the
production of molded fiber products in the United States.\1\ The AD
Petitions were accompanied by countervailing duty (CVD) petitions
concerning imports of molded fiber products from China and Vietnam.\2\
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\1\ See Petitioners' Letter, ``Petitions for the Imposition of
Antidumping and Countervailing Duties,'' dated October 8, 2024
(Petitions).
\2\ Id.
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Between October 11 and 22, 2024, Commerce requested supplemental
information pertaining to certain aspects of the Petitions in
supplemental questionnaires.\3\ The petitioners responded to Commerce's
supplemental questionnaires between October 16 and 24, 2024.\4\
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\3\ See Commerce's Letters, ``Supplemental Questions,'' dated
October 11, 2024 (First General Issues Questionnaire); see also
Country-Specific AD Supplemental Questionnaires: China Supplemental
and Vietnam Supplemental, dated October 11, 2024; and Memorandum,
``Phone Call,'' dated October 22, 2024 (October 22, 2024,
Memorandum).
\4\ See Petitioners' Letters, ``Responses to Antidumping and
Countervailing Duty Petition Supplemental Questionnaire,'' dated
October 16, 2024 (First General Issues Supplement); see also
Country-Specific AD Supplemental Responses: China AD Supplement and
Vietnam AD Supplement, dated October 16, 2024; and Petitioners'
Letter, ``Responses to Second Supplemental Questionnaire,'' dated
October 24, 2024 (Second General Issues Supplement).
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In accordance with section 732(b) of the Tariff Act of 1930, as
amended (the Act), the petitioners allege that imports of molded fiber
products from China and Vietnam are being, or are likely to be, sold in
the United States at less than fair value (LTFV) within the meaning of
section 731 of the Act, and that imports of such products are
materially injuring, or threatening material injury to, the molded
fiber products industry in the United States. Consistent with section
732(b)(1) of the Act, the Petitions were accompanied by information
reasonably available to the petitioners supporting their allegations.
Commerce finds that the petitioners filed the Petitions on behalf
of the domestic industry, because the petitioners are interested
parties, as defined in sections 771(9)(C) and (D) of the Act.\5\
Commerce also finds that the petitioners demonstrated sufficient
industry support for the initiation of the requested LTFV
investigations.\6\
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\5\ Genera and Tellus Products, LLC are interested parties under
section 771(9)(C) of the Act, while the USW is an interested party
under section 771(9)(D) of the Act.
\6\ See section on ``Determination of Industry Support for the
Petitions,'' infra.
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Periods of Investigation
Because the Petitions were filed on October 8, 2024, and because
China and Vietnam are non-market economy (NME) countries, pursuant to
19 CFR 351.204(b)(1), the periods of investigation (POI) for the China
and Vietnam LTFV investigations are April 1, 2024, through September
30, 2024.
Scope of the Investigations
The products covered by these investigations are molded fiber
products from China and Vietnam. For a full description of the scope of
these investigations, see the appendix to this notice.
Comments on the Scope of the Investigations
On October 11 and 22, 2024, Commerce requested information and
clarification from the petitioners regarding the proposed scope to
ensure that the scope language in the Petitions is an accurate
reflection of the products for which the domestic industry is seeking
relief.\7\ On October 16 and 24, 2024, the petitioners provided
clarifications and revised the scope.\8\ The description of merchandise
covered by these investigations, as described in the appendix to this
notice, reflects these clarifications.
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\7\ See First General Issues Questionnaire; see also October 22,
2024, Memorandum.
\8\ See First General Issues Supplement at 2-4; see also Second
General Issues Supplement at 1-4.
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As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for interested parties to raise issues regarding
product coverage (i.e., scope).\9\ Commerce will consider all scope
comments received from interested parties and, if necessary, will
consult with interested parties prior to the issuance of the
preliminary determinations. If scope comments include factual
information,\10\ all such factual information should be limited to
public information. To facilitate preparation of its questionnaires,
Commerce requests that scope comments be submitted by 5:00 p.m. Eastern
Time (ET) on November 18, 2024, which is the next business day after 20
calendar days from the signature date of this notice.\11\ Any rebuttal
comments, which may include factual information, and should also be
limited to public information, must be filed by 5:00 p.m. ET on
November 29, 2024, which is the next business day after 10 calendar
days from the initial comment deadline.\12\
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\9\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble); see also 19 CFR
351.312.
\10\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
\11\ See 19 CFR 351.303(b)(1). The deadline for scope comments
falls on November 17, 2024, which is a Sunday. In accordance with 19
CFR 351.303(b)(1), Commerce will accept comments filed by 5:00 p.m.
ET on November 18, 2024 (``For both electronically filed and
manually filed documents, if the applicable due date falls on a non-
business day, the Secretary will accept documents that are filed on
the next business day.'').
\12\ See 19 CFR 351.303(b)(1). The deadline for rebuttal scope
comments falls on November 28, 2024, which is a Federal holiday. In
accordance with 19 CFR 351.303(b)(1), Commerce will accept comments
filed by 5:00 p.m. ET on November 29, 2024 (``For both
electronically filed and manually filed documents, if the applicable
due date falls on a non-business day, the Secretary will accept
documents that are filed on the next business day.'').
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Commerce requests that any factual information that parties
consider relevant to the scope of these investigations be submitted
during that period. However, if a party subsequently finds that
additional factual information pertaining to the scope of the
investigations may be relevant, the party must contact Commerce and
request
[[Page 87552]]
permission to submit the additional information. All scope comments
must be filed simultaneously on the records of the concurrent LTFV and
CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically via
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\13\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
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\13\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance: Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on using ACCESS
can be found at <a href="https://access.trade.gov/help.aspx">https://access.trade.gov/help.aspx</a> and a handbook
can be found at <a href="https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf">https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf</a>.
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Comments on Product Characteristics
Commerce is providing interested parties an opportunity to comment
on the appropriate physical characteristics of molded fiber products to
be reported in response to Commerce's AD questionnaires. This
information will be used to identify the key physical characteristics
of the subject merchandise in order to report the relevant factors of
production (FOP) accurately, as well as to develop appropriate product
comparison criteria.
Interested parties may provide any information or comments that
they feel are relevant to the development of an accurate list of
physical characteristics. In order to consider the suggestions of
interested parties in developing and issuing the AD questionnaires, all
product characteristics comments must be filed by 5:00 p.m. ET on
November 18, 2024, which is the next business day after 20 calendar
days from the signature date of this notice.\14\ Any rebuttal comments
must be filed by 5:00 p.m. ET on November 29, 2024, which is the next
business day after 10 calendar days from the initial comment
deadline.\15\ All comments and submissions to Commerce must be filed
electronically using ACCESS, as explained above, on the record of each
of the LTFV investigations.
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\14\ See 19 CFR 351.303(b)(1). The deadline for comments on
product characteristics falls on November 17, 2024, which is a
Sunday. In accordance with 19 CFR 351.303(b)(1), Commerce will
accept comments filed by 5:00 p.m. ET on November 18, 2024 (``For
both electronically filed and manually filed documents, if the
applicable due date falls on a non-business day, the Secretary will
accept documents that are filed on the next business day.'').
\15\ See 19 CFR 351.303(b)(1). The deadline for rebuttal product
characteristics comments falls on November 28, 2024, which is a
Federal holiday. In accordance with 19 CFR 351.303(b)(1), Commerce
will accept comments filed by 5:00 p.m. ET on November 29, 2024
(``For both electronically filed and manually filed documents, if
the applicable due date falls on a non-business day, the Secretary
will accept documents that are filed on the next business day.'').
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Determination of Industry Support for the Petitions
Section 732(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 732(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) at least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The U.S. International Trade Commission (ITC),
which is responsible for determining whether ``the domestic industry''
has been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC apply the same statutory definition regarding the domestic like
product,\16\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\17\
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\16\ See section 771(10) of the Act.
\17\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd Algoma Steel Corp., Ltd. v. United
States, 865 F.2d 240 (Fed. Cir. 1989)).
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Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioners do not
offer a definition of the domestic like product distinct from the scope
of the investigations.\18\ Based on our analysis of the information
submitted on the record, we have determined that molded fiber products,
as defined in the scope, constitute a single domestic like product, and
we have analyzed industry support in terms of that domestic like
product.\19\
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\18\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Checklists, ``Antidumping Duty Investigation Initiation
Checklists: Thermoformed Molded Fiber Products from the People's
Republic of China and the Socialist Republic of Vietnam,'' dated
concurrently with, and hereby adopted by, this notice (Country-
Specific AD Initiation Checklists), at Attachment II, Analysis of
Industry Support for the Antidumping and Countervailing Duty
Petitions Covering Thermoformed Molded Fiber Products from the
People's Republic of China and the Socialist Republic of Vietnam
(Attachment II). These checklists are on file electronically via
ACCESS.
\19\ See Attachment II of the Country-Specific AD Initiation
Checklists.
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In determining whether the petitioners have standing under section
732(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in the appendix to
this notice. To establish industry support, the petitioners provided
the 2023 total production of the domestic like product for the U.S.
producers and workers that support the Petitions and compared this to
the estimated total U.S. production of the domestic like product for
the entire U.S. molded fiber products industry.\20\ We relied on data
provided by the petitioners for purposes of measuring industry
support.\21\
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\20\ Id.
\21\ For further discussion, see Attachment II of the Country-
Specific AD Initiation Checklists.
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On October 21, 2024, we received timely filed comments on industry
support from Eco-Products, PBC, a U.S. importer of molded fiber
products.\22\ On
[[Page 87553]]
October 23, 2024, the petitioners responded to the comments from Eco-
Products, PBC in a timely filed rebuttal submission.\23\
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\22\ See Eco-Products' Letter, ``Comments on Domestic Industry
Support,'' dated October 21, 2024.
\23\ See Petitioners' Letter, ``Rebuttal Comments on Domestic
Industry Support,'' dated October 23, 2024 (Petitioners' Rebuttal).
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Our review of the data provided in the Petitions, the First General
Issues Supplement, Petitioners' Rebuttal, the Second General Issues
Supplement, and other information readily available to Commerce
indicates that the petitioners have established industry support for
the Petitions.\24\ First, the Petitions established support from
domestic producers (or workers) accounting for more than 50 percent of
the total production of the domestic like product and, as such,
Commerce is not required to take further action in order to evaluate
industry support (e.g., polling).\25\ Second, the domestic producers
(or workers) have met the statutory criteria for industry support under
section 732(c)(4)(A)(i) of the Act because the domestic producers (or
workers) who support the Petitions account for at least 25 percent of
the total production of the domestic like product.\26\ Finally, the
domestic producers (or workers) have met the statutory criteria for
industry support under section 732(c)(4)(A)(ii) of the Act because the
domestic producers (or workers) who support the Petitions account for
more than 50 percent of the production of the domestic like product
produced by that portion of the industry expressing support for, or
opposition to, the Petitions.\27\ Accordingly, Commerce determines that
the Petitions were filed on behalf of the domestic industry within the
meaning of section 732(b)(1) of the Act.\28\
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\24\ See Attachment II of the Country-Specific AD Initiation
Checklists.
\25\ Id.; see also section 732(c)(4)(D) of the Act.
\26\ See Attachment II of the Country-Specific AD Initiation
Checklists.
\27\ Id.
\28\ Id.
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Allegations and Evidence of Material Injury and Causation
The petitioners allege that the U.S. industry producing the
domestic like product is being materially injured, or is threatened
with material injury, by reason of the imports of the subject
merchandise sold at LTFV. In addition, the petitioners allege that
subject imports exceed the negligibility threshold provided for under
section 771(24)(A) of the Act.\29\
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\29\ For further information regarding negligibility and the
injury allegation, see Country-Specific AD Initiation Checklists at
Attachment III, Analysis of Allegations and Evidence of Material
Injury and Causation for the Antidumping and Countervailing Duty
Petitions Covering Thermoformed Molded Fiber Products from the
People's Republic of China and the Socialist Republic of Vietnam
(Attachment III).
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The petitioners contend that the industry's injured condition is
illustrated by the significant and increasing volume and market share
of subject imports; underselling and price depression and/or
suppression; lost sales and revenues; and adverse impact on the
domestic industry's production, capacity utilization, employment
variables, and financial performance.\30\ We assessed the allegations
and supporting evidence regarding material injury, threat of material
injury, causation, cumulation, as well as negligibility, and we have
determined that these allegations are properly supported by adequate
evidence and meet the statutory requirements for initiation.\31\
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\30\ Id.
\31\ Id.
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Allegations of Sales at LTFV
The following is a description of the allegations of sales at LTFV
upon which Commerce based its decision to initiate LTFV investigations
of imports of molded fiber products from China and Vietnam. The sources
of data for the deductions and adjustments relating to U.S. price and
normal value (NV) are discussed in greater detail in the Country-
Specific AD Initiation Checklists.
U.S. Price
For China, the petitioners based export price (EP) on a price quote
for molded fiber products produced in and exported from China and sold
or offered for sale in the U.S. market during the POI.\32\ For Vietnam,
the petitioners based EP on transaction-specific average unit values
(AUVs) (i.e., month- and port-specific AUVs) derived from official
import statistics and tied to ship manifest data.\33\ For each country,
the petitioner made certain adjustments to U.S. price to calculate a
net ex-factory U.S. price, where applicable.\34\
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\32\ See China AD Initiation Checklist.
\33\ See Vietnam AD Initiation Checklist.
\34\ See Country-Specific AD Initiation Checklists.
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Normal Value
Commerce considers China and Vietnam to be NME countries.\35\ In
accordance with section 771(18)(C)(i) of the Act, any determination
that a foreign country is an NME country shall remain in effect until
revoked by Commerce. Therefore, we continue to treat China and Vietnam
as NME countries for purposes of the initiation of the China and
Vietnam LTFV investigations. Accordingly, we base NV on FOPs valued in
a surrogate market economy country in accordance with section 773(c) of
the Act.
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\35\ See, e.g., Certain Freight Rail Couplers and Parts Thereof
from the People's Republic of China: Preliminary Affirmative
Determination of Sales at Less Than Fair Value and Preliminary
Affirmative Determination of Critical Circumstances, 88 FR 15372
(March 13, 2023), and accompanying Preliminary Decision Memorandum
at 5, unchanged in Certain Freight Rail Couplers and Parts Thereof
from the People's Republic of China: Final Affirmative Determination
of Sales at Less-Than-Fair Value and Final Affirmative Determination
of Critical Circumstances, 88 FR 34485 (May 30, 2023); see also,
e.g., Raw Honey from the Socialist Republic of Vietnam: Final
Results of Antidumping Duty Changed Circumstances Review, 89 FR
64411 (August 7, 2024), and accompanying NME Analysis Memorandum at
5.
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The petitioners claim that Malaysia is an appropriate surrogate
country for China because it is a market economy that is at a level of
economic development comparable to that of China and is a significant
producer of comparable merchandise.\36\ The petitioners provided
publicly available information from Malaysia to value all FOPs except
labor.\37\ Consistent with Commerce's recent practice in cases
involving Malaysia as a surrogate country,\38\ to value labor, the
petitioners provided data from another surrogate country, the Republic
of T[uuml]rkiye (T[uuml]rkiye).\39\ Based on the information provided
by the petitioners, we believe it is appropriate to use Malaysia as a
surrogate country for China to value all FOPs except labor and
T[uuml]rkiye to value labor for initiation purposes.
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\36\ See China AD Initiation Checklist.
\37\ Id.
\38\ See, e.g., Certain Collated Steel Staples from the People's
Republic of China: Final Results of Antidumping Duty Administrative
Review; and Final Determination of No Shipments; 2021-2022, 88 FR
85242 (December 7, 2023), and accompanying Issues and Decision
Memorandum (IDM) at Comment 2; and Light-Walled Rectangular Pipe and
Tube from the People's Republic of China: Final Results of
Antidumping Duty Administrative Review, 88 FR 15671 (March 14,
2023), and accompanying IDM at Comment 2.
\39\ See China AD Initiation Checklist.
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The petitioners claim that Indonesia is an appropriate surrogate
country for Vietnam because it is a market economy that is at a level
of economic development comparable to that of Vietnam and is a
significant producer of comparable merchandise.\40\ The petitioners
provided publicly available information from Indonesia to value all
FOPs.\41\ Based on the information provided by the petitioners, we
believe it is appropriate to use Indonesia as a surrogate country for
Vietnam to value all FOPs for initiation purposes.
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\40\ See Vietnam AD Initiation Checklist.
\41\ Id.
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[[Page 87554]]
Interested parties will have the opportunity to submit comments
regarding surrogate country selection and, pursuant to 19 CFR
351.301(c)(3)(i), will be provided an opportunity to submit publicly
available information to value FOPs within 30 days before the scheduled
date of the preliminary determinations.
Factors of Production
Because information regarding the volume of inputs consumed by
Chinese and Vietnamese producers/exporters was not reasonably
available, the petitioners used the production experience and product-
specific consumption rates of a U.S. producer of molded fiber products
as a surrogate to value Chinese and Vietnamese manufacturers' FOPs.\42\
Additionally, the petitioners calculated factory overhead, selling,
general, and administrative expenses, and profit based on the
experience of Malaysian and Indonesian producers of comparable
merchandise for China and Vietnam, respectively.\43\
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\42\ See Country-Specific AD Initiation Checklists.
\43\ Id.
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Fair Value Comparisons
Based on the data provided by the petitioners, there is reason to
believe that imports of molded fiber products from China and Vietnam
are being, or are likely to be, sold in the United States at LTFV.
Based on comparisons of EP to NV in accordance with sections 772 and
773 of the Act, the estimated dumping margins for molded fiber products
for each of the countries covered by this initiation are as follows:
(1) China--477.97 percent; and (2) Vietnam--231.73 to 260.56
percent.\44\
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\44\ Id.
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Initiation of LTFV Investigations
Based upon the examination of the Petitions and supplemental
responses, we find that they meet the requirements of section 732 of
the Act. Therefore, we are initiating LTFV investigations to determine
whether imports of molded fiber products from China and Vietnam are
being, or are likely to be, sold in the United States at LTFV. In
accordance with section 733(b)(1)(A) of the Act and 19 CFR
351.205(b)(1), unless postponed, we will make our preliminary
determinations no later than 140 days after the date of these
initiations.
Respondent Selection
In the Petitions, the petitioners identified 63 companies in China
and eight companies in Vietnam as producers and/or exporters of molded
fiber products.\45\ Our standard practice for respondent selection in
AD investigations involving NME countries is to select respondents
based on quantity and value (Q&V) questionnaires in cases where
Commerce has determined that the number of companies is large, and it
cannot individually examine each company based upon its resources.
Therefore, considering the number of producers and/or exporters
identified in the Petitions, Commerce will solicit Q&V information that
can serve as a basis for selecting exporters for individual examination
in the event that Commerce determines that the number is large and
decides to limit the number of respondents individually examined
pursuant to section 777A(c)(2) of the Act. Because there are 63 Chinese
producers and/or exporters identified in the Petitions, Commerce has
determined that it will issue Q&V questionnaires to the largest
producers and/or exporters in China that are identified in the U.S.
Customs and Border Protection POI entry data for which there is
complete address information on the record.\46\ For Vietnam, because
there are eight producers and/or exporters identified in the Petitions
Commerce will issue a Q&V questionnaire to each potential respondent in
Vietnam for which there is complete address information on the record.
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\45\ See Petitions at Volume I (page 15 and Exhibit I-15).
\46\ See Memorandum, ``Release of U.S. Customs and Border
Protection Entry Data,'' dated October 25, 2024.
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Commerce will post the Q&V questionnaires along with filing
instructions on Commerce's website at <a href="https://www.trade.gov/ec-adcvd-case-announcements">https://www.trade.gov/ec-adcvd-case-announcements</a>. Producers/exporters of molded fiber products from
China and Vietnam that do not receive Q&V questionnaires may still
submit a response to the Q&V questionnaire and can obtain a copy of the
Q&V questionnaire from Commerce's website. Responses to the Q&V
questionnaire must be submitted by the relevant Chinese and Vietnamese
producers/exporters no later than 5:00 p.m. ET on November 12, 2024,
which is the next business day after two weeks from the signature date
of this notice.\47\ All Q&V questionnaire responses must be filed
electronically via ACCESS. An electronically filed document must be
received successfully, in its entirety, by ACCESS no later than 5:00
p.m. ET on the deadline noted above.
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\47\ See 19 CFR 351.303(b)(1). The deadline for Q&V
questionnaire responses falls on November 11, 2024, which is a
Federal holiday. In accordance with 19 CFR 351.303(b)(1), Commerce
will accept responses to the Q&V questionnaire filed by 5:00 p.m. ET
on November 12, 2024 (``For both electronically filed and manually
filed documents, if the applicable due date falls on a non-business
day, the Secretary will accept documents that are filed on the next
business day.'').
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Interested parties must submit applications for disclosure under
administrative protective order (APO) in accordance with 19 CFR
351.305(b). As stated above, instructions for filing such applications
may be found on Commerce's website at <a href="https://www.trade.gov/administrative-protective-orders">https://www.trade.gov/administrative-protective-orders</a>.
Separate Rates
In order to obtain separate rate status in an NME investigation,
exporters and producers must submit a separate rate application. The
specific requirements for submitting a separate rate application in an
NME investigation are outlined in detail in the application itself,
which is available on Commerce's website at <a href="https://access.trade.gov/Resources/nme/nme-sep-rate.html">https://access.trade.gov/Resources/nme/nme-sep-rate.html</a>. The separate rate application will be
due 30 days after publication of this initiation notice. Exporters and
producers must file a timely separate rate application if they want to
be considered for individual examination. Exporters and producers who
submit a separate rate application and have been selected as mandatory
respondents will be eligible for consideration for separate rate status
only if they respond to all parts of Commerce's AD questionnaire as
mandatory respondents. Commerce requires that companies from China and
Vietnam submit a response both to the Q&V questionnaire and to the
separate rate application by the respective deadlines to receive
consideration for separate rate status. Companies not filing a timely
Q&V questionnaire response will not receive separate rate
consideration.
Use of Combination Rates
Commerce will calculate combination rates for certain respondents
that are eligible for a separate rate in an NME investigation. The
Separate Rates and Combination Rates Bulletin states:
{w{time} hile continuing the practice of assigning separate rates
only to exporters, all separate rates that {Commerce{time} will now
assign in its NME investigation will be specific to those producers
that supplied the exporter during the period of investigation. Note,
however, that one rate is calculated for the exporter and all of the
producers which supplied subject merchandise to it during the period
of investigation. This practice applies both to mandatory
respondents receiving an individually calculated separate rate as
well as the pool of non-investigated firms receiving the {weighted
average{time} of the individually calculated rates. This practice
is
[[Page 87555]]
referred to as the application of ``combination rates'' because such
rates apply to specific combinations of exporters and one or more
producers. The cash-deposit rate assigned to an exporter will apply
only to merchandise both exported by the firm in question and
produced by a firm that supplied the exporter during the period of
investigation.\48\
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\48\ See Enforcement and Compliance's Policy Bulletin No. 05.1,
regarding, ``Separate-Rates Practice and Application of Combination
Rates in Antidumping Investigation involving NME Countries,'' (April
5, 2005) at 6 (emphasis added), available on Commerce's website at
<a href="https://access.trade.gov/Resources/policy/bull05-1.pdf">https://access.trade.gov/Resources/policy/bull05-1.pdf</a>.
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Distribution of Copies of the Petitions
In accordance with section 732(b)(3)(A) of the Act and 19 CFR
351.202(f), copies of the public version of the Petitions have been
provided to the governments of China and Vietnam via ACCESS. To the
extent practicable, we will attempt to provide a copy of the public
version of the Petitions to each exporter named in the Petitions, as
provided under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our initiation, as required by
section 732(d) of the Act.
Preliminary Determinations by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petitions were filed, whether there is a reasonable
indication that imports of molded fiber products from China and/or
Vietnam are materially injuring, or threatening material injury to, a
U.S. industry.\49\ A negative ITC determination for any country will
result in the investigation being terminated with respect to that
country.\50\ Otherwise, these LTFV investigations will proceed
according to statutory and regulatory time limits.
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\49\ See section 733(a) of the Act.
\50\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \51\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\52\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in these investigations.
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\51\ See 19 CFR 351.301(b).
\52\ See 19 CFR 351.301(b)(2).
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Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by Commerce. In general, an extension request will
be considered untimely if it is filed after the expiration of the time
limit established under 19 CFR 351.301, or as otherwise specified by
Commerce.\53\ For submissions that are due from multiple parties
simultaneously, an extension request will be considered untimely if it
is filed after 10:00 a.m. ET on the due date. Under certain
circumstances, Commerce may elect to specify a different time limit by
which extension requests will be considered untimely for submissions
which are due from multiple parties simultaneously. In such a case, we
will inform parties in a letter or memorandum of the deadline
(including a specified time) by which extension requests must be filed
to be considered timely. An extension request must be made in a
separate, standalone submission; under limited circumstances we will
grant untimely filed requests for the extension of time limits, where
we determine, based on 19 CFR 351.302, that extraordinary circumstances
exist. Parties should review Commerce's regulations concerning the
extension of time limits and the Time Limits Final Rule prior to
submitting factual information in these investigations.\54\
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\53\ See 19 CFR 351.301; see also Extension of Time Limits;
Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final
Rule), available at <a href="https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm">https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm</a>.
\54\ See 19 CFR 351.302; see also, e.g., Time Limits Final Rule.
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Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\55\
Parties must use the certification formats provided in 19 CFR
351.303(g).\56\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\55\ See section 782(b) of the Act.
\56\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Additional
information regarding the Final Rule is available at <a href="https://access.trade.gov/Resources/filing/index.html">https://access.trade.gov/Resources/filing/index.html</a>.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. Parties wishing to participate
in these investigations should ensure that they meet the requirements
of 19 CFR 351.103(d) (e.g., by filing the required letter of
appearance). Note that Commerce has amended certain of its requirements
pertaining to the service of documents in 19 CFR 351.303(f).\57\
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\57\ See Administrative Protective Order, Service, and Other
Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR
67069 (September 29, 2023).
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This notice is issued and published pursuant to sections 732(c)(2)
and 777(i) of the Act, and 19 CFR 351.203(c).
Dated: October 28, 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
Scope of the Investigations
The merchandise subject to these investigations consists of
thermoformed molded fiber products regardless of shape, form,
function, fiber source, or finish. Thermoformed molded fiber
products are formed with cellulose fibers, thermoformed using one or
more heated molds, and dried/cured in the mold.
Thermoformed molded fiber products include, but are not limited
to, plates, bowls, clamshells, trays, lids, food or foodservice
contact packaging, and consumer or other product packaging.
Thermoformed molded fiber products are relatively dense, with a
typical fiber density above 0.5 grams per cubic centimeter, and are
generally characterized by relatively smooth surfaces. They may be
derived from any virgin or recycled cellulose fiber source
(including, but not limited to, those sourced from wood, woody
crops, agricultural crops/byproducts/residue, and agricultural/
industrial/other waste). They may have any weight, shape,
dimensionality, design, or size, and may be bleached, unbleached,
dyed, colored, or printed. They may include ingredients, additives,
or chemistries to enhance functionality including, but not limited
to, anti-microbial, anti-fungal, anti-bacterial, heat/flame
resistant, hydrophobic, oleophobic, absorbent, or adsorbent.
[[Page 87556]]
Thermoformed molded fiber products may also be subject to other
processing or treatments, including, but not limited to, hot or
after pressing, die-cutting, punching, trimming, padding,
perforating, printing, labeling, dying, coloring, coating,
laminating, embossing, debossing, repacking, or denesting.
Thermoformed molded fiber products subject to these investigations
may also have additional design features, including, but not limited
to, tab closures, venting, channeling, or stiffening.
Thermoformed molded fiber products remain covered by the scope
of these investigations whether the subject product is encased by
exterior packaging or whether the subject product forms the outer
packaging for non-subject products. They also remain covered by the
scope of these investigations whether imported alone, or in any
combination of subject and non-subject merchandise (e.g., a lid or
cover of any type packaged with a molded fiber bowl, addition of any
items to make the thermoformed molded fiber packaging suitable for
end-use such as absorbent pads). When thermoformed molded fiber
products are imported in combination with non-subject merchandise,
only the thermoformed molded fiber products are subject merchandise.
Excluded from the scope of these investigations are thermoformed
molded fiber products imported as packaging material that enclose
and/or surround non-subject merchandise prepackaged for final sale
upon importation into the United States (e.g., molded fiber
packaging surrounding a cellular phone).
Thermoformed molded fiber products include thermoformed molded
fiber products matching the above description that have been
finished, packaged, or otherwise processed in a third country by
performing finishing, packaging, or processing that would not
otherwise remove the merchandise from the scope of the
investigations if performed in the country of manufacture of the
thermoformed molded fiber products. Examples of finishing,
packaging, or other processing in a third country that would not
otherwise remove the merchandise from the scope of the
investigations if performed in the country of manufacture of the
thermoformed molded fiber products include, but are not limited to,
hot or after pressing, die-cutting, punching, trimming, padding,
perforating, printing, labeling, dying, coloring, coating,
laminating, embossing, debossing, repacking, or denesting.
Thermoformed molded fiber products are classified under
subheadings 7823.70.0020 and 4823.70.0040, Harmonized Tariff
Schedule of the United States (HTSUS). Imports may also be
classified under subheadings 4823.61.0020, 4823.61.0040,
4823.69.0020, 4823.69.0040, 4823.90.1000, HTSUS. References to the
HTSUS classification are provided for convenience and customs
purposes, and the written description of the merchandise under
investigation is dispositive.
[FR Doc. 2024-25562 Filed 11-1-24; 8:45 am]
BILLING CODE 3510-DS-P
</pre></body>
</html>Indexed from Federal Register on November 4, 2024.
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