Notice2024-28797

Melamine From Qatar: Final Affirmative Countervailing Duty Determination and Final Negative Critical Circumstances 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
December 9, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that countervailable subsidies are being provided to producers and exporters of melamine from Qatar. The period of investigation (POI) is January 1, 2023, through December 31, 2023.

Full Text

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<title>Federal Register, Volume 89 Issue 236 (Monday, December 9, 2024)</title>
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[Federal Register Volume 89, Number 236 (Monday, December 9, 2024)]
[Notices]
[Pages 97593-97596]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-28797]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-518-002]


Melamine From Qatar: Final Affirmative Countervailing Duty 
Determination and Final Negative Critical Circumstances Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
countervailable subsidies are being provided to producers and exporters 
of melamine from Qatar. The period of investigation (POI) is January 1, 
2023, through December 31, 2023.

DATES: Applicable December 9, 2024.

[[Page 97594]]


FOR FURTHER INFORMATION CONTACT: Samantha Kinney and 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 and (202)-
482-4310, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 22, 2024, Commerce published in the Federal Register its 
preliminary determination in the countervailing duty (CVD) 
investigation of melamine from Qatar and invited interested parties to 
comment.\1\ In the Preliminary Determination, and in accordance with 
section 705(a)(1) of the Tariff Act of 1930, as amended (the Act), and 
19 CFR 351.210(b)(4), Commerce aligned the final CVD determination with 
the final antidumping duty determination of melamine from Qater.\2\ On 
July 22, 2024, Commerce tolled certain deadlines in this administrative 
proceeding by seven days.\3\ The deadline for the final determination 
is now December 2, 2024. On September 12, 2024, Commerce released its 
Post-Preliminary Decision.\4\
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    \1\ See Melamine from Qatar: Preliminary Affirmative 
Countervailable Duty Determination, Preliminary Negative 
Determination of Critical Circumstances, and Alignment of Final 
Determination With the Final Antidumping Duty Determination, 89 FR 
59045 (July 22, 2024) (Preliminary Determination), and accompanying 
Preliminary Decision Memorandum (PDM).
    \2\ See Preliminary Determination, 89 FR 59046.
    \3\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
    \4\ See Memorandum, ``Post Preliminary Analysis Memorandum for 
the Countervailing Duty Investigation of Melamine from Qatar,'' 
dated September 12, 2024 (Post-Preliminary Analysis Memorandum).
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    For a complete description of the events that followed the 
Preliminary Determination, see the Issues and Decision Memorandum.\5\ 
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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    \5\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination of the Countervailing Duty 
Investigation of Melamine from Qatar,'' dated concurrently with, and 
hereby adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Investigation

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

Scope Comments

    We received no comments from interested parties on the scope of the 
investigation as it appeared in the Preliminary Determination. 
Therefore, we made no changes to the scope of the investigation.

Verification

    As provided in section 782(i) of the Act, in September 2024, 
Commerce verified all information reported by Qatar Melamine Company 
(QMC), Qatar Chemical and Petrochemical Marketing and Distribution 
Company (Muntajat) Q.P.J.S.C (Muntajat), and its cross-owned 
affiliates, QAFCO, Industries Qatar, and QatarEnergy (collectively, 
QMC/Muntajat),\6\ and the Government of Qatar (GOQ). We used standard 
verification procedures, including an examination of relevant account 
records and original source documents provided by QMC/Muntajat.\7\
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    \6\ Commerce continues to determine that QMC is cross owned with 
Muntajat, Qatar Fertiliser Company (P.S.C.) (QAFCO), Industries 
Qatar Q.P.S.C. (Industries Qatar) and QatarEnergy. See Preliminary 
Determination PDM at 7-9; see also Post-Preliminary Analysis 
Memorandum at 3.
    \7\ See Memoranda, ``Verification of the Questionnaire Responses 
of Qatar Melamine Company and Muntajat,'' dated October 30, 2024; 
and ``Verification of the Questionnaire Responses of the Government 
of Qatar,'' dated October 30, 2024.
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Analysis of Subsidy Programs and Comments Received

    The subsidy programs under investigation, and the issues raised in 
the case and rebuttal briefs by interested parties in this 
investigation, are discussed in the Issues and Decision Memorandum. For 
a list of the issues raised by parties, and to which we responded in 
the Issues and Decision Memorandum, see Appendix II.

Methodology

    Commerce conducted this investigation in accordance with section 
701 of the Act. For each of the subsidy programs found to be 
countervailable, Commerce 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.\8\ Commerce notes 
that, in making these findings, it relied, in part, on facts available 
and, because it finds that QMC/Muntajat did not act to the best of its 
ability to respond to Commerce's requests for information, Commerce 
drew an adverse inference where appropriate in selecting from among the 
facts otherwise available.\9\ For further information, see the ``Use of 
Facts Otherwise Available and Adverse Inferences'' section in the 
Preliminary Decision Memorandum. For a full description of the 
methodology underlying our final determination, see the Issues and 
Decision Memorandum.
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    \8\ 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.
    \9\ See sections 776(a) and (b) of the Act.
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Final Negative Determination of Critical Circumstances

    Commerce determines that critical circumstances do not exist within 
the meaning of 703(e)(1) of the Act. For further information, see the 
Issues and Decision Memorandum.

Changes Since the Preliminary Determination and Post-Preliminary 
Analysis

    Based on our review and analysis of the information received during 
verification and comments received from interested parties, for this 
final determination, we made certain changes to the countervailable 
subsidy rate calculations for QMC/Muntajat, and for all other 
producers/exporters. For a discussion of these changes, see the Issues 
and Decision Memorandum.

All-Others Rate

    In accordance with section 705(c)(1)(B)(i) of the Act, we 
calculated an individual estimated countervailable subsidy rate for the 
mandatory respondent, QMC/Muntajat. Section 705(c)(5)(A)(i) of the Act 
states that, for companies not individually investigated, Commerce will 
determine an all-others rate equal to the weighted-average 
countervailable subsidy rates established for exporters and/or 
producers individually investigated, excluding any zero and de minimis 
countervailable subsidy rates, and any rates determined entirely under 
section 776 of the Act.
    In this investigation, we continue to calculate an individual total 
net countervailable subsidy rate for QMC/Muntajat that is not zero, de 
minimis, or based entirely on facts otherwise available. Because QMC/
Muntajat's individual total net countervailable subsidy rate is the 
only rate calculated in this investigation, the all-others rate is the 
individual estimated subsidy rate calculated for the examined 
respondent (QMC/Muntajat), in accordance with section 705(c)(5)(A)(i) 
of the Act.

[[Page 97595]]

Final Determination

    Commerce determines that the following estimated net 
countervailable subsidy rates exist for the period January 1, 2023, 
through December 31, 2023:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Qatar Melamine Company; Qatar Chemical and Petrochemical           41.91
 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..............................................           41.91
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Disclosure

    Commerce intends to disclose its calculations performed to 
interested parties in this final determination within five days of its 
public announcement or, if there is no public announcement, within five 
days of the date of the publication of this notice in the Federal 
Register, in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    As a result of our Preliminary Determination, and pursuant to 
sections 703(d)(1)(B) and (d)(2) of the Act, Commerce instructed U.S. 
Customs and Border Protection (CBP) to collect cash deposits and 
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 July 22, 2024, the date of 
publication of the Preliminary Determination in the Federal Register. 
In accordance with section 703(d) of the Act, we instructed CBP to 
discontinue the suspension of liquidation of all entries of subject 
merchandise entered or withdrawn from warehouse, on or after November 
19, 2024, but to continue the suspension of liquidation of all entries 
of subject merchandise on or before November 18, 2024.
    If the U.S. International Trade Commission (ITC) issues a final 
affirmative injury determination, we will issue a countervailing duty 
order, reinstate the suspension of liquidation under section 706(a) of 
the Act, and require a cash deposit of estimated countervailing duties 
for entries of subject merchandise in the amounts indicated above. 
Pursuant to section 705(c)(2) of the Act, if the ITC determines that 
material injury, or threat of material injury, does not exist, this 
proceeding will be terminated, and all estimated duties deposited or 
securities posted as a result of the suspension of liquidation will be 
refunded or cancelled.

ITC Notification

    In accordance with section 705(d) of the Act, Commerce will notify 
the ITC of its final affirmative determination that countervailable 
subsidies are being provided to producers and exporters of melamine 
from Qatar. As Commerce's final determination is affirmative, in 
accordance with section 705(b) of the Act, the ITC will determine, 
within 45 days of our final determination, whether the domestic 
industry in the United States is materially injured, or threated with 
material injury, by reason of imports of melamine from Qatar. In 
addition, we are making available to the ITC all non-privileged and 
non-proprietary information in our files, provided the ITC confirms 
that it will not disclose such information, either publicly or under 
administrative protective order (APO), without the written consent of 
the Assistant Secretary for Enforcement and Compliance.
    If the ITC determines that material injury or threat of material 
injury does not exist, this proceeding will be terminated and all cash 
deposits will be refunded. If the ITC determines that such injury does 
exist, Commerce will issue a countervailing duty order directing CBP to 
assess, upon further instruction by Commerce, countervailing duties on 
all imports of the subject merchandise that are entered, or withdrawn, 
for consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Administrative Protective Order

    This notice will serve as the only reminder to parties subject to 
the 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/destruction of 
APO materials or conversion to judicial protective order is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
705(d) and 777(i) of the Act, and 19 CFR 351.210(c).

    Dated: December 2, 2024.
Abdelali Elouaradia,
Deputy 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 Issues and Decision Memorandum

I. Summary
II. Background
III. Critical Circumstances
IV. Use of Facts Available
V. Subsidies Valuation

[[Page 97596]]

VI. Changes Since the Preliminary Determination
VII. Analysis of Programs
VIII. Discussion of the Issues
    Comment 1: Whether Commerce Should Countervail the Provision of 
Natural Gas for Less Than Adequate Remuneration (LTAR)
    Comment 2: Whether Commerce Should Revise its Preliminary 
Analysis of Income Tax Exemptions
    Comment 3: Whether Commerce Should Revise its Preliminary 
Analysis of the Provision of Management, Usage, and Usufruct Rights 
over Industrial Areas
    Comment 4: Whether Commerce Should Revise its Preliminary 
Analysis Regarding the Provision of Electricity and Water for LTAR
IX. Recommendation

[FR Doc. 2024-28797 Filed 12-6-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on December 9, 2024.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.