Float Glass Products From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination
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Issuing agencies
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of float glass products from the People's Republic of China (China). The period of investigation is January 1, 2023, through December 31, 2023. Interested parties are invited to comment on this preliminary determination.
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<title>Federal Register, Volume 90 Issue 95 (Monday, May 19, 2025)</title>
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[Federal Register Volume 90, Number 95 (Monday, May 19, 2025)]
[Notices]
[Pages 21281-21284]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-08821]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-189]
Float Glass Products From the People's Republic of China:
Preliminary Affirmative Countervailing Duty Determination and Alignment
of Final Determination With Final Antidumping Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that countervailable subsidies are being provided to
producers and exporters of float glass products from the People's
Republic of China (China). The period of investigation is January 1,
2023, through December 31, 2023. Interested parties are invited to
comment on this preliminary determination.
DATES: Applicable May 19, 2025.
FOR FURTHER INFORMATION CONTACT: Nathan James or Kelsie Hohenberger,
AD/CVD Operations, Office V, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-5305 or (202)
482-2517, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce
published the notice of initiation of this countervailing duty (CVD)
investigation on January 8, 2025.\1\ On February 20, 2025, Commerce
postponed the preliminary determination until May 12, 2025.\2\
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\1\ See Float Glass Products from the People's Republic of China
and Malaysia: Initiation of Countervailing Duty Investigations, 90
FR 1443 (January 8, 2025) (Initiation Notice).
\2\ See Float Glass Products from the People's Republic of China
and Malaysia: Postponement of Preliminary Determinations in the
Countervailing Duty Investigations, 90 FR 9963 (February 20, 2025).
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For a complete description of events that followed the initiation
of this investigation, see the Preliminary Decision Memorandum.\3\ A
list of topics discussed in the Preliminary Decision Memorandum is
included as Appendix II to this notice. The Preliminary 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 Preliminary 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, ``Decision Memorandum for the Preliminary
Affirmative Determination of the Countervailing Duty Investigation
of Float Glass Products from the People's Republic of China,'' dated
concurrently with, and hereby adopted by, this notice (Preliminary
Decision Memorandum).
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Scope of the Investigation
The products covered by this investigation are float glass products
from China. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
In accordance with the Preamble to Commerce's regulations,\4\ in
the Initiation Notice we set aside a period of time for parties to
raise issues regarding product coverage (i.e., scope).\5\ Certain
interested parties commented on the scope of the investigation as it
appeared in the Initiation Notice. Commerce intends to issue its
preliminary decision regarding comments concerning the scope of the
antidumping duty (AD) and CVD investigations concurrent with the
preliminary determinations of the
[[Page 21282]]
companion AD investigations. We will incorporate the scope decisions
from the AD investigations into the scope of the final CVD
determination for this investigation after considering any relevant
comments submitted in scope case and rebuttal briefs.\6\
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\4\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice, 90 FR 1444.
\6\ The deadline for interested parties to submit scope case and
rebuttal briefs will be established in the preliminary scope
decision memorandum.
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Methodology
Commerce is conducting this investigation in accordance with
section 701 of the Act. For each of the subsidy programs found to be
countervailable, Commerce preliminarily 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.\7\ For a full description of the methodology underlying our
preliminary determination, see the Preliminary Decision Memorandum.
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\7\ 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.
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Commerce notes that, in making these findings, it relied, in part,
on facts available. Moreover, because Commerce finds that certain
companies that failed to respond to Commerce's questionnaires, as well
as the Government of China, did not act to the best of their abilities
to respond to Commerce's requests for information, we drew an adverse
inference where appropriate in selecting from among the facts otherwise
available.\8\ For further information, see the ``Use of Facts Otherwise
Available and Adverse Inferences'' section in the Preliminary Decision
Memorandum.
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\8\ See sections 776(a) and (b) of the Act.
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Alignment
In accordance with section 705(a)(1) of the Act and 19 CFR
351.210(b)(4), Commerce is aligning the final determination in this CVD
investigation with the final determination in the concurrent AD
investigation of float glass products from China, based on a request
made by the petitioner.\9\ Consequently, the final CVD determination
will be issued on the same date as the final AD determination, which is
currently scheduled to be issued no later than September 22, 2025,
unless postponed.\10\
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\9\ See Petitioner's Letter, ``Request for Alignment of the
Countervailing Duty Investigations with the Concurrent Antidumping
Duty Investigations,'' dated April 14, 2025.
\10\ See Float Glass Products from the People's Republic of
China and Malaysia: Postponement of Preliminary Determinations in
the Less-Than-Fair-Value Investigations, 90 FR 16107 (April 17,
2025).
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All-Others Rate
Sections 703(d) and 705(c)(5)(A) of the Act provide that, in a
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be
an amount equal to the weighted average of the estimated subsidy rates
established for those companies individually examined, excluding any
rates that are zero, de minimis, or based entirely under section 776 of
the Act.
In this investigation, Commerce preliminarily calculated a total
net subsidy rate for Xinyi Group (Glass) Company Limited (Xinyi HK)
that is not zero, de minimis, or based entirely on the facts otherwise
available. Commerce calculated a rate based entirely on facts available
with adverse inferences for the other mandatory respondent, Shandong
Jinjing Science and Technology Stock Co., Ltd. (Shandong Jinjing).
Because the only individually calculated countervailable subsidy rate
that is not zero, de minimis, or based entirely on facts otherwise
available is Xinyi HK's rate, we have preliminarily assigned Xinyi HK's
rate to all other companies.
Rate for Non-Responsive Companies
As noted above, Shandong Jinjing did not respond to Commerce's
initial questionnaire after being selected as a mandatory respondent.
Three additional exporters and/or producers of float glass products
from China also failed to provide responses to Commerce's Q&V
questionnaire.\11\ We find that, by not responding to Commerce's
requests for information, each of these companies withheld requested
information and significantly impeded this proceeding. Thus, in
reaching our preliminary determination, pursuant to sections
776(a)(2)(A) and (C) of the Act, we are basing the subsidy rate for the
non-responsive companies on facts otherwise available.
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\11\ These companies are: (1) Hubei Sanxia New Building
Materials Co., Ltd.; (2) Shanghai Yaohua Pilkington Glass Group Co.,
Ltd.; and (3) Shenzhen New Kibing Technology Co., Ltd.
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We further preliminarily determine that an adverse inference is
warranted, pursuant to section 776(b) of the Act. By failing to submit
responses to Commerce's questionnaires, the non-responsive companies
did not cooperate to the best of their abilities in this investigation.
Accordingly, we preliminarily find that an adverse inference is
warranted to ensure that the non-responsive companies will not obtain a
more favorable result than had they fully complied with our requests
for information. For more information on the application of adverse
facts available to the non-responsive companies, see the ``Use of Facts
Otherwise Available and Adverse Inferences'' section in the Preliminary
Determination Memorandum.
Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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\12\ Commerce finds the following companies to be cross-owned
with Xinyi HK: (1) Xinyi Special Glass (Jiangmen) Company Limited;
(2) Xinyi Glass (Chongqing) Company Limited; (3) Xinyi Glass
(Guangxi) Company Limited; (4) Xinyi Ultrathin Glass (Dongguan) Co.,
Ltd; (5) Xinyi Electronic Glass (Wuhu) Co., Ltd.; (6) Xinyi Glass
(Hainan) Co., Ltd.; (7) Xinyi Glass (Yingkou) Co., Ltd.; (8) Xinyi
Energy Smart (Sichuan) Co., Ltd; (9) Xinyi Glass (Wuhu) Company
Limited; (10) Xinyi Glass (Tianjin) Co., Ltd.; (11) Xinyi Glass
(Jiangsu) Co., Ltd.; (12) Xinyi Glass Engineering (Dongguan) Co.,
Ltd; and (13) Xinyi Glass (Bozhou) Co., Ltd.
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Subsidy rate
Company (percent ad
valorem)
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Xinyi Group (Glass) Company Limited \12\................ 11.41
Shandong Jinjing Science and Technology Stock Co., Ltd.. * 891.62
Hubei Sanxia New Building Materials Co., Ltd............ * 891.62
Shanghai Yaohua Pilkington Glass Group Co., Ltd. (SYP).. * 891.62
Shenzhen New Kibing Technology Co., Ltd................. * 891.62
All Others.............................................. 11.41
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* Rate based on facts available with adverse inferences.
Disclosure
Commerce intends to disclose to interested parties the calculations
performed in connection with this preliminary 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).
Consistent with 19 CFR 351.224(e), Commerce will analyze and, if
appropriate, correct any timely allegations of significant ministerial
errors by amending the preliminary determination. However, consistent
with 19 CFR 351.224(d), Commerce will not consider incomplete
allegations that do not address the significance standard under 19 CFR
351.224(g) following the preliminary determination. Instead, Commerce
will address such allegations in the final determination together with
issues raised in the case briefs or other written comments.
[[Page 21283]]
Suspension of Liquidation
In accordance with sections 703(d)(1)(B) and (d)(2) of the Act,
Commerce will direct U.S. Customs and Border Protection (CBP) to
suspend liquidation of entries of subject merchandise as described in
the scope of the investigation entered, or withdrawn from warehouse,
for consumption on or after the date of publication of this notice in
the Federal Register. Further, pursuant to section 703(d)(1)(B) of the
Act and 19 CFR 351.205(d), Commerce will instruct CBP to require a cash
deposit equal to the rates indicated above.
Verification
As provided in section 782(i)(1) of the Act, Commerce intends to
verify the information relied upon in making its final determination.
Public Comment
All interested parties will have the opportunity to submit scope
case and rebuttal briefs on the preliminary decision regarding the
scope of the AD and CVD investigations. The deadlines to submit scope
case and rebuttal briefs will be provided in the preliminary scope
decision memorandum. For all scope case and rebuttal briefs, parties
must file identical documents simultaneously on the records of all the
ongoing AD and CVD float glass products investigations. No new factual
information or business proprietary information may be included in
either scope case or rebuttal briefs.
Case briefs or other written comments on non-scope issues may be
submitted to the Assistant Secretary for Enforcement and Compliance no
later than seven days after the date on which the last verification
report is issued in this investigation. Rebuttal briefs, limited to
issues raised in the case briefs, may be filed not later than five days
after the date for filing case briefs.\13\ Interested parties who
submit case briefs or rebuttal briefs in this proceeding must submit:
(1) a table of contents listing each issue; and (2) a table of
authorities.\14\
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\13\ See 19 CFR 351.309(d); see also Administrative Protective
Order, Service, and Other Procedures in Antidumping and
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29,
2023) (APO and Service Final Rule).
\14\ See 19 CFR 351.309(c)(2) and (d)(2).
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their briefs that should be limited to five pages
total, including footnotes. In this investigation, we instead request
that interested parties provide at the beginning of their briefs a
public, executive summary for each issue raised in their briefs.\15\
Further, we request that interested parties limit their executive
summary of each issue to no more than 450 words, not including
citations. We intend to use the executive summaries as the basis of the
comment summaries included in the issues and decision memorandum that
will accompany the final determination in this investigation. We
request that interested parties include footnotes for relevant
citations in the executive summary of each issue. Note that Commerce
has amended certain of its requirements pertaining to the service of
documents in 19 CFR 351.303(f).\16\
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\15\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\16\ See APO and Service Final Rule, 88 FR 67069.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce via ACCESS
within 30 days after the date of publication of this notice. Requests
should contain (1) the party's name, address, and telephone number; (2)
the number of participants and whether any participant is a foreign
national; and (3) a list of the issues to be discussed. Oral
presentations at the hearing will be limited to issues raised in the
briefs. If a request for a hearing is made, parties will be notified of
the time and date for the hearing.\17\ Parties should confirm by
telephone the date, time, and location of the hearing two days before
the scheduled date.
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\17\ See 19 CFR 351.310(d).
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U.S. International Trade Commission (ITC) Notification
In accordance with section 703(f) of the Act, Commerce will notify
the ITC of its determination. If the final determination is
affirmative, the ITC will determine before the later of 120 days after
the date of this preliminary determination or 45 days after the final
determination whether imports of float glass products from China are
materially injuring, or threaten material injury to, the U.S. industry.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 703(f) and 777(i)(1) of the Act, and 19 CFR 351.205(c).
Dated: May 12, 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 scope of this investigation covers float glass products,
which are articles of soda-lime-silica glass that are manufactured
by floating a continuous strip of molten glass over a smooth bath of
tin (or another liquid metal with a density greater than molten
glass), cooling the glass in an annealing lehr, and cutting it to
appropriate dimensions. For purposes of the investigation, float
glass products have an actual thickness of at least 2.0 mm (0.0787
inches) and an actual surface area of at least 0.37 square meters
(4.0 square feet).
The country of origin of each float glass product is determined
by the location where the soda-lime-silica glass is first
manufactured by floating a continuous strip of molten glass over a
smooth bath of tin and cooling the glass in an annealing lehr,
regardless of the location of any downstream finishing or
fabrication operations.
Prior to being subjected to further treatment, finishing, or
fabrication, float glass products meet the requirements of Type I
under ASTM-C1036 of the American Society for Testing and Materials
(ASTM).
Float glass products may be clear, stained, tinted, or coated
with one or more materials. Examples of coated float glass products
include Low-E architectural glass (i.e., glass with a low emissivity
coating to limit the penetration of radiant heat energy) and
frameless mirrors (i.e., flat glass with a silver, aluminum, or
other reflective layer) such as mirror stock sheet.
Float glass products may be annealed, chemically strengthened,
heat strengthened, or tempered to achieve a desired surface
compression, pursuant to ASTM-C1048, ASTM-C1422/C1422M, or other
similar specifications.
Float glass products include tub and shower enclosures (i.e.,
doors and panels) made of tempered glass, which may be sold with
attached or unattached hardware. In such cases, the scope covers
only the tempered glass, to the exclusion of any non-glass hardware.
The only float glass product assemblies included within the
scope are: (1) articles consisting of two of more sheets of float
glass that are bonded together using a polymer interlayer (i.e.,
laminated glass); (2) insulating glass units (IGUs), which consist
of two or more sheets of float glass separated by a spacer material
and hermetically sealed together at the edge in order to create a
thermal barrier using air or one or more gases; and (3) LED mirrors
(i.e., float glass mirrors with one or more light-emitting diodes
integrated with the mirror, as well as framed float glass mirrors
with one or more light-emitting diodes integrated with the mirror or
the mirror frame, but without other electronic functionality).
Float glass products covered by the scope may meet one or more
of the ASTM-C162,
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ASTM-C1036, ASTM-C1048, ASTM-C1172, ASTM-C1349, ASTM-C1376, ASTM-
C1422/C1422M, ASTM-C1464, ASTM-C1503, ASTM-C1651, ASTM-E1300, and
ASTM-E2190 specifications, definitions, and/or standards.
Float glass products may be further worked, including, but not
limited to, operations such as: cutting; beveling; edging; notching;
drilling; etching; bending; curving; chipping; embossing; engraving;
surface grinding; or polishing; and sandblasting (i.e., using high
velocity air to stream abrasive particles and thereby impart a
frosted aesthetic to the glass surface). A float glass product which
undergoes further work remains within the scope so long as the soda-
lime-silica glass originally satisfied the requirements of ASTM-
C1036 Type I and was first manufactured in a subject country,
regardless of where it is further worked.
Excluded from the scope are: (1) wired glass (i.e., glass with a
layer of wire mesh embedded within); (2) patterned flat glass (i.e.,
rolled glass with a pattern impressed on one or both sides) meeting
the requirements of Type II under ASTM-C1036, including greenhouse
glass and patterned solar glass (i.e., photovoltaic glass with a
textured surface); (3) safety glazing materials for vehicles
certified to American National Standards Institute (ANSI) Standard
Z26.1; (4) vacuum insulating glass (VIG) units, which consist of two
or more sheets of float glass separated by a spacer material, with
at least one hermetically sealed compartment that uses a gas-free
vacuum as a thermal barrier; (5) framed mirrors without any LEDs
integrated with the mirror or the mirror frame; (6) unframed ``over-
the-door'' mirrors that are ready for use as imported without
undergoing after importation any processing, finishing, or
fabrication; and (7) heat-strengthened washing machine lid glass
with an actual surface area less than 6.0 square feet (0.56 square
meters).
Also excluded from the scope of the investigation are: (1) soda-
lime-silica glass containing less than 0.01 percent iron oxide by
weight, annealed with a surface compression less than 3,500 pounds
per square inch (PSI), having a transparent conductive oxide base
coating (e.g., tin oxide), and with an actual thickness less than or
equal to 4.0 mm (0.1575 inches) (i.e., ``coated solar glass''); and
(2) heat treated soda-lime-silica glass with a surface compression
between 3,500 and 10,000 PSI, containing two or more drilled holes,
and having an actual thickness less than 2.5 mm (0.0984 inches)
(i.e., ``clear back solar glass''). Solar glass products (also known
as photovoltaic glass) are designed to facilitate the conversion of
solar energy into electricity.
Also excluded from the scope of the investigation are any
products already covered by the scope of any extant antidumping and/
or countervailing duty orders, including Aluminum Extrusions from
the People's Republic of China: Antidumping Duty Order, 76 FR 30650
(May 26, 2011), and Aluminum Extrusions from the People's Republic
of China: Countervailing Duty Order, 76 FR 30653 (May 26, 2011).
The products subject to the investigation are currently
classifiable under subheadings 7005.10.8000, 7005.21.1010,
7005.21.1030, 7005.21.2000, 7005.29.1810, 7005.29.1850,
7005.29.2500, 7007.29.0000, 7008.00.0000, 7009.91.5010,
7009.91.5095, and 7009.92.5010 of the Harmonized Tariff Schedule of
the United States (HTSUS). Products subject to the investigation may
also enter under HTSUS subheadings 7006.00.4010, 7006.00.4050, and
7007.19.0000. Although the HTSUS subheadings are provided for
convenience and customs purposes, the written description of the
scope of the investigation is dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Injury Test
IV. Analysis of China's Financial System
V. Diversification of China's Economy
VI. Use of Facts Available and Adverse Inferences
VII. Subsidies Valuation
VIII. Interest Rates and Benchmarks
IX. Analysis of Programs
X. Recommendation
[FR Doc. 2025-08821 Filed 5-16-25; 8:45 am]
BILLING CODE 3510-DS-P
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