Notice2025-01810

Certain Paper Plates From the Socialist Republic of Vietnam: Final Affirmative Countervailing Duty Determination and Final Affirmative Determination of Critical Circumstances, in Part

Primary source

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Published
January 28, 2025

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 certain paper plates (paper plates) from the Socialist Republic of Vietnam (Vietnam) during the period of investigation, January 1, 2023, through December 31, 2023.

Full Text

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<title>Federal Register, Volume 90 Issue 17 (Tuesday, January 28, 2025)</title>
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[Federal Register Volume 90, Number 17 (Tuesday, January 28, 2025)]
[Notices]
[Pages 8258-8260]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-01810]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-552-840]


Certain Paper Plates From the Socialist Republic of Vietnam: 
Final Affirmative Countervailing Duty Determination and Final 
Affirmative Determination of Critical Circumstances, in Part

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 certain paper plates (paper plates) from the Socialist Republic of 
Vietnam (Vietnam) during the period of investigation, January 1, 2023, 
through December 31, 2023.

DATES: Applicable January 28, 2025.

FOR FURTHER INFORMATION CONTACT: Mary Kolberg, 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) 482-1785.

SUPPLEMENTARY INFORMATION:

Background

    On July 1, 2024, Commerce published the Preliminary Determination 
in the Federal Register and invited interested parties to comment.\1\ 
On July 22, 2024, Commerce tolled certain deadlines in this 
administrative proceeding by seven days.\2\ The deadline for the final 
determination is now January 21, 2025.
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    \1\ See Certain Paper Plates from the Socialist Republic of 
Vietnam: Preliminary Affirmative Countervailing Duty Determination, 
Preliminary Affirmative Determination of Critical Circumstances, in 
Part, and Alignment of Final Determination with Antidumping Duty 
Determination, 89 FR 54429 (July 1, 2024) (Preliminary 
Determination) and accompanying Preliminary Decision Memorandum 
(PDM).
    \2\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination, may be found in the 
Issues and Decision Memorandum.\3\ 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="http://access.trade.gov">http://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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    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination of the Countervailing Duty 
Investigation of Certain Paper Plates from the Socialist Republic of 
Vietnam,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are paper plates from 
Vietnam. For a complete description of the scope of this 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.

Analysis of Subsidy Programs and Comments Received

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

Methodology

    Commerce conducted this investigation in accordance with section 
701 of the Tariff Act of 1920, as amended (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.\4\ For a full description of the methodology underlying our 
final determination, see the Issues and Decision Memorandum.
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    \4\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; see also section 771(5)(E) of the Act 
regarding benefit; and section 771(5A) of the Act regarding 
specificity.
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    In making this final determination, Commerce relied, in part, on 
facts otherwise available, including adverse facts available (AFA), 
pursuant to sections 776(a) and (b) of the Act. For a full discussion 
of our application of AFA, see the Preliminary Determination, section 
``Use of Facts Available and Adverse Inferences'' in the accompanying 
Issues and Decision Memorandum.\5\
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    \5\ Preliminary Determination PDM at 7-17.
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Verification

    As provided in section 782(i) of the Act, between July 15 through 
July 19, 2024, Commerce conducted verification of the subsidy 
information reported by Go-Pak Paper Products Vietnam Limited (Go-
Pak).\6\ We used standard verification procedures, including an 
examination of relevant accounting records and original source 
documents provided by Go-Pak.
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    \6\ See Memorandum, ``Verification of the Questionnaire 
Responses of Go-Pak Paper Products Vietnam Co., Ltd.,'' dated August 
1, 2024.
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Final Affirmative Determination of Critical Circumstances, in Part

    In accordance with sections 703(e)(1) and 776(a) and 776(b) of the 
Act and 19 CFR 351.206, Commerce continues to find that critical 
circumstances exist with respect to imports of paper plates from 
Vietnam for Xie Li Vietnam International Company Limited (Xie Li), the 
non-responsive companies,\7\ and all other producers and exporters. In 
addition, we continue to find that critical circumstances do not exist 
with respect to imports of paper plates from Go-Pak. For a full 
description of the methodology and results of Commerce's critical 
circumstances analysis, see the Issues and Decision Memorandum.
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    \7\ In addition to Xie Li, the mandatory respondent that timely 
notified Commerce of its intent to withdraw from the investigation 
following its response to the affiliation portion of the initial 
questionnaire, there are four other non-responsive companies: (1) 
Innovative Sonic Vietnam International; (2) Ningbo Changya Plastic 
Vietnam Company; (3) Ningbo Changya Plastic Vietnam; and (4) SCG 
Vietnam.
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Changes Since the Preliminary Determination

    Based on our analysis of the information received during

[[Page 8259]]

verification, for this final determination, we made certain changes to 
the countervailable subsidy rate calculations for Go-Pak and for all 
other producers/exporters. For a discussion of these changes, see the 
Issues and Decision Memorandum.

All-Others Rate

    Pursuant to section 705(c)(5)(A)(i) of the Act, Commerce will 
determine an all-others rate equal to the weighted average 
countervailable subsidy rates established for those exporters and/or 
producers individually investigated, excluding any zero and de minimis 
countervailable subsidy rates and any rates based entirely under 
section 776 of the Act. In this investigation, Commerce calculated an 
individual estimated countervailable subsidy rate for Go-Pak that is 
not zero, de minimis, or based entirely under section 776 of the Act. 
Because the individual estimated countervailable subsidy rate for Xie 
Li and the four non-responsive companies is based entirely upon section 
776 of the Act, Commerce is using the individual estimated subsidy rate 
calculated for Go-Pak as the all-others rate.

Final Determination

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

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
------------------------------------------------------------------------
Go-Pak Paper Products Vietnam Co., Ltd..................            5.53
Innovative Sonic Vietnam International..................        * 225.90
Ningbo Changya Plastic Vietnam Company..................        * 225.90
Ningbo Changya Plastic Vietnam..........................        * 225.90
SCG Vietnam.............................................        * 225.90
Xie Li..................................................        * 225.90
All Others..............................................            5.53
------------------------------------------------------------------------
* Rate based on AFA.

Disclosure

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

Suspension of Liquidation

    As a result of our Preliminary Determination, and pursuant to 
sections 703(d)(1)(B) and (d)(2) of the Act, we instructed U.S. Customs 
and Border Protection (CBP) to suspend liquidation of entries of 
subject merchandise from Vietnam that were entered, or withdrawn from 
warehouse, for consumption on or after July 1, 2024, the date of 
publication of the Preliminary Determination in the Federal Register 
for entries produced and/or exported by Go-Pak. Because we 
preliminarily determined that critical circumstances existed with 
respect to Xie Li, the four non-responsive companies, and all other 
producers and/or exporters, we instructed CBP to suspend liquidation of 
entries of subject merchandise from Vietnam that were entered, or 
withdrawn from warehouse, for consumption, on or after April 2, 2024, 
which is 90 days prior to the date of the 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, October 29, 2024, but to 
continue the suspension of liquidation of all entries of subject 
merchandise that were subject to suspension of liquidation between 
April 2, 2024, and October 28, 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 such entries of subject merchandise. 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, we will notify the 
ITC of our final affirmative determination that countervailable 
subsidies are being provided to producers and exporters of paper plates 
from Vietnam. Because the final determination is affirmative, in 
accordance with section 705(b) of the Act, the ITC will make its final 
determination as to whether the domestic industry in the United States 
is materially injured, or threatened with material injury, by reason of 
imports of paper plates from Vietnam no later than 45 days after our 
final determination. In addition, we are making available to the ITC 
all non-privileged and nonproprietary information related to this 
investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an 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 from warehouse, 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

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to an 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: January 21, 2025.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The merchandise subject to this investigation is certain paper 
plates. Paper plates subject to this investigation may be cut from 
rolls, sheets, or other pieces of paper and/or paper board. Paper 
plates subject to this investigation have a depth up to and 
including two (2.0) inches, as measured vertically from the base to 
the top of the lip, or the edge if the plate has no lip. Paper 
plates subject to this investigation may be uncolored, white, 
colored, or printed. Printed paper plates subject to this 
investigation may have any type of surface finish, and may be 
printed by any means with images, text and/or colors on one or both 
surfaces. Colored paper plates subject to this investigation may

[[Page 8260]]

be colored by any method, including but not limited to printing, 
beater-dyeing, and dip-dyeing. Paper plates subject to this 
investigation may be produced from paper of any type (including, but 
not limited to, bamboo, straws, bagasse, hemp, kenaf, jute, sisal, 
abaca, cotton inters and reeds, or from non-plant sources, such as 
synthetic resin (petroleum)-based resins), may have any caliper or 
basis weight, may have any shape or size, may have one or more than 
one section, may be embossed, may have foil or other substances 
adhered to their surface, and/or may be uncoated or coated with any 
type of coating.
    The paper plates subject to this investigation remain covered by 
the scope of this investigation whether imported alone, or in any 
combination of subject and non-subject merchandise. When paper 
plates subject to this investigation are imported in combination 
with non-subject merchandise, only the paper plates subject to this 
investigation are subject merchandise.
    The paper plates subject to this investigation include paper 
plates 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 paper plates. 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 
paper plates include, but are not limited to, printing, application 
of other surface treatments such as coatings, repackaging, 
embossing, and application of foil surface treatments.
    Excluded from the scope of this investigation are paper plates 
molded or pressed directly from paper pulp (including but not 
limited to unfelted pulp), which are currently classifiable under 
subheading 4823.70.0020 of the Harmonized Tariff Schedule of the 
United States (HTSUS).
    Also excluded from the scope of this investigation are articles 
that otherwise would be covered but which exhibit the following two 
physical characteristics: (a) depth (measured vertically from the 
base to the top of the lip, or edge if no lip) equal to or greater 
than 1.25 inches but less than two (2.0) inches, and (b) a base not 
exceeding five (5.0) inches in diameter if round, or not exceeding 
20 square inches in area if any other shape.
    Also excluded from the scope of this investigation are paper 
bowls, paper buckets, and paper food containers with closeable lids.
    Paper plates subject to this investigation are currently 
classifiable under HTSUS subheading 4823.69.0040. .Paper plates 
subject to this investigation also may be classified under HTSUS 
subheading 4823.61.0040. If packaged with other articles, the paper 
plates subject to this investigation also may be classified under 
HTSUS subheadings 9505.90.4000 and 9505.90.6000. While the HTSUS 
subheading(s) are provided for convenience and customs purposes, the 
written description of the subject merchandise is dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Determination of Critical Circumstances, in Part
IV. Use of Facts Otherwise Available and Adverse Inferences
V. Subsidies Valuation Information
VI. Analysis of Programs
VII. Discussion of the Issues
    Comment 1: Whether Commerce Properly Found That the Import Duty 
Exemptions on Imported Raw Materials By Export Processing 
Enterprises and Export Processing Zones Program Is Countervailable
    Comment 2: Whether Commerce Properly Found That Import Duty 
Exemptions on Imported Fixed Assets By Export Processing Enterprises 
and Export Processing Zones Program is Countervailable
    Comment 3: Whether Commerce Properly Applied Adverse Facts 
Available (AFA) to the Three State-Owned Commercial Bank Programs
    Comment 4: Whether Commerce Properly Found the Accelerated 
Depreciation and Increases of Deductible Expense Tax Program Is 
Countervailable
VIII. Recommendation

[FR Doc. 2025-01810 Filed 1-27-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on January 28, 2025.

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.