Notice2025-09245
Sol Gel Alumina-Based Ceramic Abrasive Grains From the People's Republic of China: Preliminary Affirmative Countervailing Duty 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
May 22, 2025
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of sol gel alumina-based ceramic abrasive grains (ceramic abrasive grains) from the People's Republic of China (China). The period of investigation (POI) is January 1, 2023, through December 31, 2023. Interested parties are invited to comment on this preliminary determination.
Full Text
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<title>Federal Register, Volume 90 Issue 98 (Thursday, May 22, 2025)</title>
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[Federal Register Volume 90, Number 98 (Thursday, May 22, 2025)]
[Notices]
[Pages 21893-21896]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-09245]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-191]
Sol Gel Alumina-Based Ceramic Abrasive Grains From the People's
Republic of China: Preliminary Affirmative Countervailing 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 sol gel alumina-based ceramic abrasive
grains (ceramic abrasive grains) from the People's Republic of China
(China). The period of investigation (POI) is January 1, 2023, through
December 31, 2023. Interested parties are invited to comment on this
preliminary determination.
DATES: Applicable May 22, 2025.
FOR FURTHER INFORMATION CONTACT: Suresh Maniam, 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) 482-1603.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended (the Act). On January 14,
2025, Commerce published the notice of initiation of this
countervailing duty (CVD) investigation.\1\ For a complete
[[Page 21894]]
description of the events that followed the initiation of this
investigation, see the Preliminary Decision Memorandum.\2\ 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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\1\ See Sol Gel Alumina-Based Ceramic Abrasive Grains from the
People's Republic of China: Initiation of Countervailing Duty
Investigation, 90 FR 3175 (January 14, 2025) (Initiation Notice);
see also Sol Gel Alumina-Based Ceramic Abrasive Grains from the
People's Republic of China: Initiation of Countervailing Duty
Investigation; Correction, 90 FR 7659 (January 22, 2025) (Correction
Initiation Notice). We corrected a typographical error in the Scope
in the Correction Initiation Notice.
\2\ See Memorandum, ``Decision Memorandum for the Preliminary
Affirmative Determination in the Countervailing Duty Investigation
of Sol Gel Alumina-Based Ceramic Abrasive Grains 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 ceramic abrasive
grains 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,\3\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage, (i.e., scope).\4\ One interested
party commented on the scope of the investigation as it appeared in the
Correction Initiation Notice. Commerce intends to issue its preliminary
decision regarding comments concerning the scope of the less-than-fair-
value (LTFV) and CVD investigations in the preliminary determination of
the companion LTFV investigation. We will incorporate the scope
decision from the LTFV investigation into the scope of the final CVD
determination for this investigation after considering any relevant
comments submitted in scope case and rebuttal briefs.\5\
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\3\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\4\ See Initiation Notice.
\5\ The deadline for interested parties to submit scope case and
rebuttal briefs will be established in the preliminary scope
decision memorandum accompanying preliminary determination of the
LTFV investigation.
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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
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.\6\ For a full description of the methodology underlying our
preliminary determination, see the Preliminary Decision Memorandum.
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\6\ 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 on facts
available and, because Commerce finds that necessary information was
missing from the record and because respondents did not act to the best
of their ability to respond to Commerce's requests for information, it
drew an adverse inference (AFA) where appropriate in selecting from
among the facts otherwise available.\7\ For further information, see
the ``Use of Facts Available and Adverse Inferences'' section in the
Preliminary Decision Memorandum.
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\7\ See sections 776(a) and (b) of the Act.
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All-Others Rate
Sections 703(d) and 705(c)(5)(A) of the Act provide that in the
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
zero and de minimis rates and any rates based entirely under section
776 of the Act.
Pursuant to section 705(c)(5)(A)(ii) of the Act, if the individual
estimated countervailable subsidy rates established for all exporters
and producers individually examined are zero, de minimis, or determined
based entirely on facts otherwise available, Commerce may use any
reasonable method to establish the estimated subsidy rate for all other
producers or exporters. In this investigation, Commerce has
preliminarily determined the estimated subsidy rate for the
individually examined respondents under section 776 of the Act. This is
the only rate available in this proceeding for deriving the all-others
rate. Consequently, pursuant to sections 703(d) and 705(c)(5)(A)(ii) of
the Act, Commerce established the all-others rate by applying the
countervailable subsidy rate assigned to the non-responsive companies
listed below.
Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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Subsidy rate
(percent ad
Company valorem)
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Qingdao SISA Abrasives Co., Ltd......................... * 165.05
Shandong Imerys Mount Tai Co., Ltd...................... * 165.05
Futong Industry Co., Ltd................................ * 165.05
Guangzhou Qianyang Metals & Machine..................... * 165.05
Kumthai Abrasives Co., Ltd.............................. * 165.05
Luoyang Runbao Super Abrasives Co....................... * 165.05
More Superhard Products Co., Ltd........................ * 165.05
Qingdao Roy Grinding Material Co........................ * 165.05
Reckel Advanced Materials Co., Ltd...................... * 165.05
Zhengshou Haixu Abrasives Co............................ * 165.05
All Others.............................................. 165.05
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* Rate is based on facts available with adverse inferences.
Suspension of Liquidation
In accordance with section 703(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 section entered, or withdrawn from warehouse, for
consumption on or after the date of publication of this notice in the
Federal Register. Further, pursuant to 19 CFR 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.
Disclosure
Normally, Commerce discloses to interested parties the calculations
performed in connection with a 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 the notice of
preliminary determination in the Federal Register, in accordance with
19 CFR 351.224(b). However, because Commerce preliminarily applied
total AFA to the individually examined companies, Qingdao SISA
Abrasives Co., Ltd. and Shandong Imerys Mount Tai Co., Ltd., in this
investigation in accordance with section 776 of the Act, there are no
calculations to disclose.
[[Page 21895]]
Verification
Because the mandatory respondents in this investigation did not
participate in this investigation and the Government of China did not
provide requested information, Commerce preliminarily determines each
of these parties has been uncooperative; thus, verification will not be
conducted.
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 LTFV and CVD investigations. The deadlines to submit scope
case and rebuttal briefs will be provided in the preliminary scope
decision memorandum accompanying the preliminary determination of the
LTFV investigation. For all scope case and rebuttal briefs, parties
must file identical documents simultaneously on the records of the
ongoing LTFV and CVD 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 20 days after the date of publication of the preliminary
determination. 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.\8\ 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.\9\
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\8\ 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).
\9\ See 19 351.309(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 brief 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.\10\
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 public 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 public 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).\11\
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\10\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\11\ See APO and Service Final Rule.
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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 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. If a request for a hearing is
made, Commerce intends to hold the hearing at a time and date to be
determined. Parties should confirm by telephone the date, time, and
location of the hearing two days before the scheduled date.
Final Determination
Section 705(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that
Commerce intends to issue the final determination within 75 days after
the date of its preliminary determination.
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 ceramic abrasive grains from China
are materially injuring, or threaten material injury to, the U.S.
industry.
Notification to Interested Parties
This determination is issued and published pursuant to sections
703(f) and 777(i) of the Act, and 19 CFR 351.205(c).
Dated: May 16, 2025.
Scot Fullerton,
Acting Deputy Assistant Secretary for Antidumping and Countervailing
Duty Operations.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation is sol gel
alumina-based ceramic abrasive grains which are comprised of minimum
94% aluminum oxide (Al2O3), and may contain other compounds,
including, but not limited to, titanium dioxide, silicon dioxide,
calcium oxide, sodium superoxide, ferric oxide, magnesium oxide, di-
aluminum magnesium tetroxide, lanthanum oxide, lanthanum magnesium
oxide, zirconium dioxide, or zirconium carbonate. Grain sizes of sol
gel alumina-based ceramic abrasive grains range from 0.85 mm to
0.0395 mm (which corresponds to American National Standards
Institute (ANSI) grit sizes from 20 to 280).
Shapes include but are not limited to angular, sharp, extra
sharp, blocky, splintery, round stripped, triangular or shaped like
extruded rods or stars.
Ceramic abrasive grains have unique crystalline structures that
impart certain advanced properties, such as their extreme hardness
and strength ranging between 16 and 22 gigapascals by the Vickers
Diamond Indent Method, high melting point (2050 [deg]C), and a
single- or multi-phase microstructure, which may contain multiple
phases, having crystalline sizes ranging from 0.05 to 30 [mu]m.
These ceramic abrasive grains include but are not limited to blue,
white, white-translucent, or off-white opaque colors.
Sol gel alumina-based ceramic abrasive grains are covered by the
scope of this investigation, whether or not incorporated into
downstream articles, including but not limited to, abrasive papers,
grinding wheels, grinding cylinders, and grinding discs. When
incorporated into downstream articles, only the sol gel alumina-
based ceramic abrasive grains component of such articles is covered
by the product scope, and not the downstream product as a whole.
The merchandise subject to this investigation is properly
classified under subheadings 2818.10.2010 and 2818.10.2090 of the
Harmonized Tariff Schedule of the United States (HTSUS). Other
merchandise subject to the current scope, including when
incorporated into the abovementioned downstream articles, may be
classified under HTSUS subheadings 2818.10.1000, 2818.20.0000,
2818.30.0000, 3824.99.1100, 3824.99.1900, 6805.10.0000,
6805.20.0000, 6805.30.1000, 6805.30.5000, 6804.22.1000,
6804.22.4000, 6804.22.6000, 8204.12.0000, 8474.90.0010,
8474.90.0020, 8474.90.0050, and 8474.90.0090. Although the HTSUS
statistical reporting numbers are provided for convenience and
customs purposes, the written description of the merchandise is
dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
[[Page 21896]]
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. Analysis of Programs
VIII. Recommendation
[FR Doc. 2025-09245 Filed 5-21-25; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on May 22, 2025.
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