Notice2025-06909

Ceramic Tile From India: Final Affirmative Countervailing Duty Determination and Final Affirmative Critical Circumstances Determination, in Part

Primary source

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Published
April 23, 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 ceramic tile from India. The period of investigation is April 1, 2023, through March 31, 2024.

Full Text

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<title>Federal Register, Volume 90 Issue 77 (Wednesday, April 23, 2025)</title>
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[Federal Register Volume 90, Number 77 (Wednesday, April 23, 2025)]
[Notices]
[Pages 17036-17038]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-06909]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-929]


Ceramic Tile From India: Final Affirmative Countervailing Duty 
Determination and Final Affirmative Critical Circumstances 
Determination, 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 ceramic tile from India. The period of investigation is April 1, 
2023, through March 31, 2024.

DATES: Applicable April 23, 2025.

FOR FURTHER INFORMATION CONTACT: Jinny Ahn or Natasia Harrison, AD/CVD 
Operations, Office VI, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0339 or (202) 482-1240, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On September 27, 2024, Commerce published its Preliminary 
Determination in the Federal Register and aligned this countervailing 
duty (CVD) investigation with the final determination in the less-than-
fair-value investigation of ceramic tile from India, in accordance with 
section 705(a)(1) of the Tariff Act of 1930, as amended (the Act), and 
19 CFR 351.210(b)(4).\1\ Commerce invited interested parties to comment 
on the Preliminary Determination.\2\ For a summary of the events that 
occurred since the Preliminary Determination, see 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="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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    \1\ See Ceramic Tile from India: Preliminary Affirmative 
Countervailing Duty Determination, Preliminary Affirmative Critical 
Circumstances Determination, in Part, and Alignment of Final 
Determination With the Final Antidumping Duty Determination, 89 FR 
79245 (September 27, 2024) (Preliminary Determination), and 
accompanying Preliminary Decision Memorandum (PDM).
    \2\ Id., 89 FR at 79247.
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination of the Countervailing Duty 
Investigation of Ceramic Tile from India,'' 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 ceramic tile from 
India. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    On November 22, 2025, we issued the Preliminary Scope Decision 
Memorandum \4\ in which we considered comments from parties regarding 
the scope of this investigation and the companion investigation of 
sales at less than fair value. In the Preliminary Scope Memorandum, we 
made no changes to the scope of this investigation as it was initiated. 
We invited comments on the Preliminary Scope Memorandum. We received no 
comments from interested parties on the scope of the investigation as 
it appeared in the Preliminary Scope Decision Memorandum. Therefore, we 
made no changes to the scope of the investigation.
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    \4\ See Memorandum, ``Antidumping Duty Investigation and 
Countervailing Duty Investigation of Ceramic Tile from India: 
Preliminary Scope Decision Memorandum,'' dated November 22, 2024 
(Preliminary Scope Memorandum).
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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 that were submitted 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.

Verification

    As provided in section 782(i) of the Act, in December 2024, 
Commerce conducted verification of the information reported by Antiqa 
Minerals (Antiqa), and Win-Tel Ceramics Private Limited (Win-Tel), and 
the Government of India (GOI) for use in our final determination. We 
used standard verification procedures, including an examination of 
relevant account records and original source documents provided by 
Antiqa, Win-Tel, and the GOI.\5\
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    \5\ See Memoranda, ``Verification of the Questionnaire Responses 
of the Government of India,'' dated February 11, 2025; 
``Verification of Questionnaire Responses of Antiqa Minerals,'' 
dated February 11, 2025; and ``Verification of Questionnaire 
Responses of Win-Tel Ceramics Private Limited,'' dated February 11, 
2025.
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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.\6\ In making its 
determination, Commerce relied, in part, on facts available with 
adverse inferences. For a full description of the methodology 
underlying our final

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determination, see the Issues and Decision Memorandum.
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    \6\ 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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Final Affirmative Determination of Critical Circumstances, in Part

    In accordance with section 705(a)(2) of the Act, we continue to 
find that critical circumstances do not exist with respect to U.S. 
imports of subject merchandise from Antiqa and Win-Tel. However, 
Commerce continues to find that critical circumstances exist with 
respect to imports of subject merchandise for all other exporters and/
or producers not individually examined. For a full description of the 
methodology and results of Commerce's analysis, see the ``Final 
Determination of Critical Circumstances, in Part'' section in the 
Issues and Decision Memorandum.

Changes Since the Preliminary Determination

    Based on our review and analysis of the information reviewed during 
verification and analysis of comments received from interested parties, 
for this final determination, we made certain changes to the 
countervailable subsidy rate calculations for Antiqa and Win-Tel, 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 
two mandatory respondents, Antiqa and Win-Tel. 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 individual 
estimated countervailable subsidy rates for Antiqa and Win-Tel that are 
not zero, de minimis, or based entirely on facts otherwise available. 
We, therefore, continue to calculate the all-others rate using a 
weighted average of the individual estimated subsidy rates calculated 
for the examined respondents (i.e., Antiqa and Win-Tel) using each 
company's publicly-ranged sales value for their exports of ceramic tile 
to the United States, in accordance with section 705(c)(5)(A)(i) of the 
Act.\7\
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    \7\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted-average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly ranged U.S. 
sale values for the merchandise under consideration. Commerce then 
compares (B) and (C) to (A) and selects the rate closer to (A) as 
the most appropriate rate for all other producers and exporters. 
See, e.g., Ball Bearings and Parts Thereof from France, Germany, 
Italy, Japan, and the United Kingdom: Final Results of Antidumping 
Duty Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53662 
(September 1, 2010), and accompanying Issues and Decision Memorandum 
at Comment 1. As complete publicly ranged sales data were available, 
Commerce based the all-others rate on the publicly ranged sales data 
of the mandatory respondents. For a complete analysis of the data, 
see Memorandum, ``Calculation of the All-Others Rate for the Final 
Determination,'' dated concurrently with this notice.
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Final Determination

    Commerce determines that the following estimated countervailable 
subsidy rates exist for the period April 1, 2023, through March 31, 
2024:

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                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Antiqa Minerals.........................................            3.45
Win-Tel Ceramics Private Limited \8\....................            3.06
All Others..............................................            3.18
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Disclosure
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    \8\ Commerce preliminarily found Win-Tel Ceramics Private 
Limited to be cross-owned with Theos Tiles LLP. See Preliminary 
Results PDM at 14-15. For this final determination, Commerce 
continues to find Win-Tel Ceramics Private Limited to be cross-owned 
with Theos Tiles LLP.
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    Commerce intends to disclose to interested parties the calculations 
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 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 ceramic tile from India that were 
entered, or withdrawn from warehouse, for consumption on or after 
September 27, 2024, the date of publication of the Preliminary 
Determination in the Federal Register.\9\ In accordance with section 
703(d) of the Act, we instructed CBP to discontinue the suspension of 
liquidation of all entries of ceramic tile entered or withdrawn from 
warehouse, on or after January 25, 2025, the final day of provisional 
measures, but to continue the suspension of liquidation of all entries 
of ceramic tile that were subject to suspension of liquidation on or 
before January 24, 2025.
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    \9\ See Preliminary Determination, 89 FR at 79246.
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    If the U.S. International Trade Commission (ITC) issues a final 
affirmative injury determination, we will issue a CVD 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 ceramic tile 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 ceramic tile 
from India. As Commerce's final determination is affirmative, in 
accordance with section 705(b) of the Act, the ITC will determine, 
within 45 days after this final determination, whether the domestic 
industry in the United States is materially injured, or threatened with 
material injury, by reason of import of ceramic tile from India. 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 posted will be refunded. If the ITC determines that such 
injury does exist, Commerce will issue a CVD order directing CBP to 
assess, upon further instruction by Commerce, countervailing duties on 
all

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imports of the ceramic tile 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 ``Suspension of 
Liquidation'' section.

Administrative Protective Order

    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: April 16, 2025.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation is ceramic 
flooring tile, wall tile, paving tile, hearth tile, porcelain tile, 
mosaic tile, flags, decorative tile, finishing tile, and the like 
(hereinafter ceramic tile). Ceramic tiles are articles containing a 
mixture of minerals including clay (generally hydrous silicates of 
alumina or magnesium) that are fired so the raw materials are fused 
to produce a tile that is less than 3.2 cm in thickness, exclusive 
of decorative features. All ceramic tile is subject to the scope 
regardless of end use, surface area, and weight, regardless of 
whether the tile is glazed or unglazed, regardless of the water 
absorption coefficient by weight, regardless of the extent of 
vitrification, and regardless of whether or not the tile is on a 
backing. Subject merchandise includes ceramic tile ``slabs'' or 
``panels'' (tiles that are larger than 1 meter\2\ (11 ft\2\)).
    Subject merchandise includes ceramic tile that undergoes minor 
processing in a third country prior to importation into the United 
States. Similarly, subject merchandise includes ceramic tile 
produced that undergoes minor processing after importation into the 
United States. Such minor processing includes, but is not limited 
to, one or more of the following: beveling, cutting, trimming, 
staining, painting, polishing, finishing, additional firing, 
affixing a decorative surface to the tile, or any other processing 
that would otherwise not remove the merchandise from the scope of 
the investigation if performed in the country of manufacture of the 
in-scope product.
    Subject merchandise is currently classified in the Harmonized 
Tariff Schedule of the United States (HTSUS) under the following 
subheadings of heading 6907: 6907.21.1005, 6907.21.1011, 
6907.21.1051, 6907.21.2000, 6907.21.3000, 6907.21.4000, 
6907.21.9011, 6907.21.9051, 6907.22.1005, 6907.22.1011, 
6907.22.1051, 6907.22.2000, 6907.22.3000, 6907.22.4000, 
6907.22.9011, 6907.22.9051, 6907.23.1005, 6907.23.1011, 
6907.23.1051, 6907.23.2000, 6907.23.3000, 6907.23.4000, 
6907.23.9011, 6907.23.9051, 6907.30.1005, 6907.30.1011, 
6907.30.1051, 6907.30.2000, 6907.30.3000, 6907.30.4000, 
6907.30.9011, 6907.30.9051, 6907.40.1005, 6907.40.1011, 
6907.40.1051, 6907.40.2000, 6907.40.3000, 6907.40.4000, 
6907.40.9011, and 6907.40.9051. Subject merchandise may also enter 
under subheadings of headings 6913, 6914, and 6905: 6913.90.2000, 
6914.10.8000, 6914.90.8000, 6905.10.0000, and 6905.90.0050. The 
HTSUS subheadings are provided for convenience and customs purposes 
only. The written description of the scope of the investigation is 
dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Final Affirmative Determination of Critical Circumstances, in 
Part
V. Use of Facts Otherwise Available and Application of Adverse 
Inferences
VI. Upstream Subsidy Allegations
VII. Subsidies Valuation
VIII. Changes Since the Preliminary Determination
IX. Analysis of Programs
X. Discussion of the Issues
    Comment 1: Whether Commerce Should Apply Total Adverse Facts 
Available (AFA) to the Mandatory Respondents Based on Their 
Affiliation Reporting
    Comment 2: Whether Commerce Should Find that Antiqa Withheld 
Information About Its Affiliations that Impeded the Investigation
    Comment 3: Whether Commerce Should Find that Win-Tel Withheld 
Information About Its Affiliations that Impeded the Investigation
    Comment 4: Whether Commerce Properly Applied AFA to the State 
Government of Gujarat (SGOG) Provision of Gas for Less than Adequate 
Remuneration (LTAR) Program and Should Revise the Benchmarks Used to 
Calculate Benefit
    Comment 5: Whether the Export Promotion Capital Goods Scheme 
(EPCGS) is Countervailable and Commerce Correctly Calculated Benefit 
for Win-Tel
    Comment 6: Whether Commerce Should Continue to Find the Duty 
Drawback (DDB) Program Countervailable
    Comment 7: Whether the Remission of Duties and Taxes on Export 
Products (RoDTEP) is Countervailable and Commerce Correctly 
Calculated Benefit for the Mandatory Respondents
    Comment 8: Whether the SGOG Electricity Duty Exemption Program 
is Countervailable and Commerce Should Find that Win-Tel Benefited 
from This Program
    Comment 9: Whether Commerce Should Find the SGOG Industrial 
Policy Programs Assistance of Capital Investment Subsidy and 
Assistance for Interest Subsidy Geographically Specific and 
Countervail Both Programs
    Comment 10: Whether Critical Circumstances Exist for the 
Mandatory Respondents and All Other Producers and Exporters of 
Ceramic Tile from India
    Comment 11: Whether Commerce Should Have Initiated an Inquiry 
into the Petitioner's Upstream Subsidy Allegations
XI. Recommendation

[FR Doc. 2025-06909 Filed 4-22-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on April 23, 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.