Notice2024-28946

Refillable Stainless Steel Kegs From the People's Republic of China: Notice of Court Decision Not in Harmony With the Final Determination of Antidumping Investigation; Notice of Amended Final Determination; and Notice of Amended Antidumping Duty Order

Primary source

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Published
December 10, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

On November 25, 2024, the U.S. Court of International Trade (CIT) issued its final judgment in New American Keg v. United States, Court No. 20-00008, sustaining the U.S. Department of Commerce's (Commerce) third remand redetermination pertaining to the less-than- fair-value (LTFV) investigation of refillable stainless steel kegs (kegs) from the People's Republic of China (China) covering the period of investigation (POI) January 1, 2018, through June 30, 2018. Commerce is notifying the public that the CIT's final judgment is not in harmony with Commerce's final determination in that investigation, and that Commerce is amending the final determination and the resulting antidumping duty (AD) order with respect to the dumping margin for certain respondents eligible for a separate rate, i.e., Ningbo Master International Trade Co., Ltd. (Ningbo Master), Guangzhou Jingye Machinery Co., Ltd. (Guangzhou Jingye), and Guangzhou Ulix Industrial & Trading Co., Ltd. (Guangzhou Ulix). The merchandise exported by these three exporters is included in the amended AD order.

Full Text

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<title>Federal Register, Volume 89 Issue 237 (Tuesday, December 10, 2024)</title>
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[Federal Register Volume 89, Number 237 (Tuesday, December 10, 2024)]
[Notices]
[Pages 99226-99227]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-28946]



[[Page 99226]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-093]


Refillable Stainless Steel Kegs From the People's Republic of 
China: Notice of Court Decision Not in Harmony With the Final 
Determination of Antidumping Investigation; Notice of Amended Final 
Determination; and Notice of Amended Antidumping Duty Order

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

SUMMARY: On November 25, 2024, the U.S. Court of International Trade 
(CIT) issued its final judgment in New American Keg v. United States, 
Court No. 20-00008, sustaining the U.S. Department of Commerce's 
(Commerce) third remand redetermination pertaining to the less-than-
fair-value (LTFV) investigation of refillable stainless steel kegs 
(kegs) from the People's Republic of China (China) covering the period 
of investigation (POI) January 1, 2018, through June 30, 2018. Commerce 
is notifying the public that the CIT's final judgment is not in harmony 
with Commerce's final determination in that investigation, and that 
Commerce is amending the final determination and the resulting 
antidumping duty (AD) order with respect to the dumping margin for 
certain respondents eligible for a separate rate, i.e., Ningbo Master 
International Trade Co., Ltd. (Ningbo Master), Guangzhou Jingye 
Machinery Co., Ltd. (Guangzhou Jingye), and Guangzhou Ulix Industrial & 
Trading Co., Ltd. (Guangzhou Ulix). The merchandise exported by these 
three exporters is included in the amended AD order.

DATES: Applicable December 5, 2024.

FOR FURTHER INFORMATION CONTACT: Dmitry Vladimirov, 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) 482-0665.

SUPPLEMENTARY INFORMATION:

Background

    On October 24, 2019, Commerce published its Final Determination in 
the LTFV investigation of kegs from China.\1\ On December 16, 2019, 
Commerce subsequently published the AD order on kegs from China.\2\ New 
American Keg, d/b/a American Keg Company appealed Commerce's Final 
Determination.
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    \1\ See Refillable Stainless Steel Kegs from the People's 
Republic of China: Final Affirmative Determination of Sales at Less 
Than Fair Value and Final Affirmative Determination of Critical 
Circumstances, in Part, 84 FR 57010 (October 24, 2019) (Final 
Determination).
    \2\ See Refillable Stainless Steel Kegs from the Federal 
Republic of Germany and the People's Republic of China: Antidumping 
Duty Orders, 84 FR 68405 (December 16, 2019) (Order).
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    On March 23, 2021, the CIT remanded the Final Determination to 
Commerce, ordering Commerce to reconsider or further explain: (1) its 
selection of the Malaysian surrogate labor data over the Brazilian 
surrogate labor data to value factors of production (FOPs) for labor; 
and (2) whether Guangzhou Ulix is eligible for a separate rate.\3\ In 
the First Redetermination, Commerce determined that ``Malaysian data 
does not constitute the best available information for valuing Ningbo 
Master's labor FOPs because it is linked to forced labor.'' \4\ 
Commerce further determined that ``based on the information on the 
record, {it{time} selected the Mexican labor {surrogate value 
(SV){time}  from {Conference Board's International Labor Comparisons 
(ILC){time}  as the best information available to value Ningbo Master's 
labor FOPs'' and ``inflated the Mexican labor SV from ILC to the {POI 
using Brazilian inflator{time}  and recalculated Ningbo Master's 
margin.'' \5\ In the First Redetermination, Commerce also examined 
certain evidence requested by the CIT and determined that Guangzhou 
Ulix remained eligible for a separate rate.\6\
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    \3\ See New American Keg v. United States, Court No. 20-00008, 
Slip Op. 21-30 (CIT March 23, 2021).
    \4\ See Final Results of Redetermination Pursuant to Court 
Remand, New American Keg v. United States, Court No. 20-00008, Slip 
Op. 21-30 (CIT March 23, 2021), dated July 7, 2021 (First 
Redetermination).
    \5\ Id.
    \6\ Id.
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    On September 13, 2022, the CIT remanded the First Redetermination 
and ordered Commerce to reconsider or further explain: (1) the use of 
the Mexican surrogate labor data inflated with Brazilian consumer price 
index (CPI) when the Brazilian surrogate labor data are available on 
the record; and (2) the evidence in the administrative record that 
supports granting Guangzhou Ulix a separate rate.\7\ In the Second 
Redetermination, after filing the First Redetermination and requesting 
a voluntary remand, Commerce acknowledge that it was improper to 
inflate the Mexican labor wage rate from the ILC using Brazilian 
CPI.\8\ Notwithstanding, Commerce continued to determine that the 
Mexican labor wage data are superior to the Brazilian labor wage data 
and, in order to achieve an accurate calculation, Commerce re-opened 
the record and placed on the record data from the International Labour 
Organization (ILO).\9\ Consequently, in the Second Redetermination, 
Commerce used the Mexican wage rate from the ILO data for 2018 
(contemporaneous with the POI) and recalculated Ningbo Master's margin 
accordingly.\10\ In the Second Redetermination, Commerce also 
determined that Guangzhou Ulix has met its burden for a separate rate 
status.\11\
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    \7\ See New American Keg v. United States, Court No. 20-00008, 
Slip Op. 22-106 (CIT September 13, 2022).
    \8\ See Final Results of Redetermination Pursuant to Court 
Remand, New American Keg v. United States, Court No. 20-00008, Slip 
Op. 22-106 (CIT September 13, 2022), dated November 10, 2022 (Second 
Redetermination).
    \9\ Id.
    \10\ Id.
    \11\ Id.
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    On January 31, 2024, the CIT remanded the Second Redetermination, 
holding that Commerce abused its discretion in reopening the record to 
use Mexican ILO wage data, because Commerce made no showing that the 
Brazilian wage information on the record was inaccurate or otherwise 
unsuitable for the calculation of Ningbo Master's margin.\12\ In its 
third final remand redetermination, Commerce used the Brazilian labor 
SV from 2016, inflated to the POI, and recalculated Ningbo Master's 
margin.\13\ On November 25, 2024, the CIT sustained Commerce's third 
final remand redetermination.\14\
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    \12\ See New American Keg v. United States, Court No. 20-00008, 
Slip Op. 24-11 (CIT January 31, 2024).
    \13\ See Final Results of Redetermination Pursuant to Court 
Remand, New American Keg v. United States, Court No. 20-00008, Slip 
Op. 24-11 (CIT January 31, 2024), dated March 25, 2024.
    \14\ See New American Keg v. United States, Court No. 20-00008, 
Slip Op. 24-129 (CIT November 25, 2024).
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Timken Notice

    In its decision in Timken,\15\ as clarified by Diamond 
Sawblades,\16\ the U.S. Court of Appeals for the Federal Circuit held 
that, pursuant to section 516A(c) and (e) of the Tariff Act of 1930, as 
amended (the Act), Commerce must publish a notice of court decision 
that is not ``in harmony'' with a Commerce determination and must 
suspend liquidation of entries pending a ``conclusive'' court decision. 
The CIT's November 25, 2024, judgment constitutes a final decision of 
the CIT

[[Page 99227]]

that is not in harmony with Commerce's Final Determination. Thus, this 
notice is published in fulfillment of the publication requirements of 
Timken.
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    \15\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \16\ See Diamond Sawblades Manufacturers Coalition v. United 
States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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Amended Final Determination

    Because there is now a final court judgment, Commerce is amending 
its Final Determination with respect to the following exporter-producer 
combinations:

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                                                                                                   Cash deposit
                                                                                     Weighted     rate (adjusted
                                                                                      average       for subsidy
                   Exporter                                 Producer              dumping margin     offsets)
                                                                                    (percent ad     (percent ad
                                                                                     valorem)        valorem)
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Ningbo Master International Trade Co., Ltd....  Ningbo Major Draft Beer                     4.23       \17\ 3.96
                                                 Equipment Co., Ltd.
Guangzhou Jingye Machinery Co., Ltd...........  Guangzhou Jingye Machinery Co.,             4.23            3.96
                                                 Ltd.
Guangzhou Ulix Industrial & Trading Co., Ltd..  Guangzhou Jingye Machinery Co.,             4.23            3.96
                                                 Ltd.
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Amended Antidumping Duty Order
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    \17\ See Refillable Stainless Steel Kegs from the People's 
Republic of China: Final Affirmative Countervailing Duty 
Determination and Final Affirmative Determination of Critical 
Circumstances, in Part, 84 FR 57005 (October 24, 2019), and 
accompanying Issues and Decision Memorandum at 5 for the export 
subsidy rate.
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    Pursuant to section 735(a)(4) of the Act, Commerce ``shall 
disregard any weighted average dumping margin that is de minimis as 
defined in section 733(b)(3) of the Act'' \18\ and pursuant to section 
735(c)(2) of the Act, Commerce shall ``issue an antidumping duty order 
under section 736'' of the Act when the final determination is 
affirmative. In the Final Determination, the exporter-producer 
combination identified above for respondent Ningbo Master received a 
zero percent margin. As a result of this amended final determination, 
in which Commerce calculated an estimated weighted-average dumping 
margin above de minimis for the exporter-producer combination 
identified above for Ningbo Master, Commerce is hereby including 
entries of subject merchandise that were produced by Ningbo Major Draft 
Beer Equipment Co., Ltd., and exported by Ningbo Master International 
Trade Co., Ltd., within the Order. However, Commerce recently revoked 
the Order effective December 16, 2024.\19\
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    \18\ Section 733(b)(3) of the Act defines a de minimis dumping 
margin as ``less than 2 percent ad valorem or the equivalent 
specific rate for the subject merchandise.''
    \19\ See Refillable Stainless-Steel Kegs from Mexico and the 
People's Republic of China: Final Results of Sunset Reviews and 
Revocation of Orders, 89 FR 92095, 92096 (November 21, 2024) (Order 
Revocation).
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Cash Deposit Requirements

    Commerce will issue revised cash deposit instructions to U.S. 
Customs and Border Protection (CBP) for Ningbo Master.
    Because Guangzhou Jingye and Guangzhou Ulix have a superseding cash 
deposit rate, i.e., there have been final results published in a 
subsequent administrative review,\20\ Commerce will not issue revised 
cash deposit instructions for those companies. This notice will not 
affect the current cash deposit rate for these companies. However, as 
stated in the Order Revocation, in accordance with section 751(c)(3)(A) 
of the Act and 19 CFR 351.222(i)(2)(i), Commerce intends to instruct 
CBP to terminate the suspension of liquidation of the merchandise 
subject to the Order entered, or withdrawn from the warehouse, on or 
after December 16, 2024.\21\
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    \20\ See Refillable Stainless Steel Kegs from the People's 
Republic of China: Final Results of the Antidumping Duty 
Administrative Review; 2021-2022, 89 FR 25564 (April 11, 2024) 
(Commerce denied separate rate eligibility for Guangzhou Jingye and 
Guangzhou Ulix and treated them as part of the China-wide entity.).
    \21\ See Order Revocation, 89 FR 92095-96.
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Notification to Interested Parties

    This notice is issued and published in accordance with sections 
516A(c) and (e) and 777(i)(1) of the Act.

    Dated: December 4, 2024.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2024-28946 Filed 12-9-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on December 10, 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.