Notice2025-23780
Paper File Folders From the Kingdom of Cambodia: Final 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
December 29, 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 paper file folders from the Kingdom of Cambodia (Cambodia). The period of investigation (POI) is January 1, 2023, through December 31, 2023.
Full Text
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<title>Federal Register, Volume 90 Issue 245 (Monday, December 29, 2025)</title>
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[Federal Register Volume 90, Number 245 (Monday, December 29, 2025)]
[Notices]
[Pages 60631-60633]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-23780]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-555-006]
Paper File Folders From the Kingdom of Cambodia: Final
Affirmative Countervailing Duty Determination
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 paper file folders from the Kingdom of Cambodia (Cambodia). The
period of investigation (POI) is January 1, 2023, through December 31,
2023.
DATES: Applicable December 29, 2025.
FOR FURTHER INFORMATION CONTACT: Shane Subler or Brandon James, AD/CVD
Operations, Office VIII, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-6241 and (202)
482-7472, respectively.
SUPPLEMENTARY INFORMATION:
Background
On March 28, 2025, Commerce published the Preliminary Determination
in the Federal Register, invited interested parties to comment on the
Preliminary Determination, and aligned this countervailing duty
investigation with the final determination in the less-than-fair value
investigation of paper file folders from Cambodia, 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\ On August 27, 2025, Commerce released its
Post-Preliminary Analysis.\2\
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\1\ See Paper File Folders From the Kingdom of Cambodia:
Preliminary Affirmative Countervailing Duty Determination and
Alignment of Final Determination With Final Antidumping Duty
Determination, 90 FR 14110 (March 28, 2025) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum
(PDM).
\2\ See Memorandum, ``Decision Memorandum for the Post-
Preliminary Analysis in the Countervailing Duty Investigation of
Paper File Folders from the Kingdom of Cambodia,'' dated August 27,
2025 (Post-Preliminary Analysis).
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Due to the lapse in appropriations and Federal Government shutdown,
on November 14, 2025, Commerce tolled all deadlines in administrative
proceedings by 47 days.\3\ Additionally, due to a backlog of documents
that were electronically filed via Enforcement and Compliance's
Antidumping and Countervailing Duty Centralized Electronic Service
System (ACCESS) during the Federal Government shutdown, on November 24,
2025, Commerce tolled all deadlines in administrative proceedings by an
additional 21 days.\4\ Accordingly, the deadline for this final
determination is now December 18, 2025.
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\3\ See Memorandum, ``Deadlines Affected by the Shutdown of the
Federal Government,'' dated November 14, 2025.
\4\ See Memorandum, ``Tolling of All Case Deadlines,'' dated
November 24, 2025.
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For a complete discussion of the events that followed the
Preliminary Determination, see the Issues and Decision Memorandum.\5\
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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\5\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination of the Countervailing Duty
Investigation of Paper File Folders from the Kingdom of Cambodia,''
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 file folders.
For a complete description of the scope of this investigation, see
Appendix I.
Scope Comments
No interested party commented on the scope of the investigation as
it appeared in the Preliminary Determination. Therefore, no changes
were made to the scope of the investigation.
Verification
As provided in section 782(i) of the Act, in July 2025, Commerce
conducted on-site verification of the subsidy information reported by
the Royal Government of Cambodia (RCG) and Three Color Stone Stationery
(Cambodia) Co., Ltd. (TCS). We used standard verification procedures,
including an examination of relevant accounting records and original
source documents provided by the RGC and TCS.\6\
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\6\ See Memorandum, ``Verification of the Questionnaire
Responses of Three Color Stone Stationery (Cambodia) Co., Ltd.,''
dated August 11, 2025; see also Memorandum, ``Verification of the
Questionnaire Responses of the Royal Government of Cambodia,'' dated
August 18, 2025.
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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 submitted by interested parties in this
investigation are discussed in the Issues and Decision Memorandum. For
a list of the issues raised by interested parties and addressed in the
Issues and Decision Memorandum, see Appendix II.
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.\7\ For a full
description of the methodology underlying our final determination, see
the Issues and Decision Memorandum.
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\7\ 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 with adverse inferences, pursuant
to sections 776(a) and (b) of the Act. For a full discussion of our
application of adverse facts available (AFA), see the Issues and
Decision Memorandum at the section entitled ``Use of Facts Otherwise
Available and Application of Adverse Inferences.''
Changes Since the Preliminary Determination
For this final determination, we have included an additional
subsidy program addressed in the Post-Preliminary
[[Page 60632]]
Analysis.\8\ Based on our review and analysis of the information at
verification and comments received from interested parties, we made no
changes to the subsidy rate calculations for TCS and all other
producers and/or exporters from the Preliminary Determination and Post-
Preliminary Analysis. For further discussion, see the Issues and
Decision Memorandum.
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\8\ See Post-Preliminary Analysis at 14-15.
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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
mandatory respondent, TCS. 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. For this final determination, TCS's subsidy
rate is not zero, de minimis, or determined entirely under section 776
of the Act. Consequently, we have assigned the subsidy rate calculated
for TCS as the rate for all other producers and/or exporters.
Final Determination
Commerce determines that the following estimated countervailable
subsidy rates exist for the period January 1, 2023, through December
31, 2023:
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\9\ TCS's subsidy rate in the Preliminary Determination was
21.53 percent ad valorem. The subsidy rate for the additional
program addressed in the Post-Preliminary Analysis was 8.85 percent
ad valorem. See Preliminary Determination, 90 FR at 14111; see also
Post-Preliminary Analysis at 15. The sum of these two rates is 30.38
percent ad valorem.
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Subsidy rate
Company (percent ad
valorem)
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Three Color Stone Stationery (Cambodia) Co., Ltd........ \9\ 30.38
All Others.............................................. 30.38
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Disclosure
Commerce normally discloses the calculations for a final
determination to interested parties within five days of any public
announcement or, if there is no public announcement, within five days
of the date of the publication of the notice in the Federal Register,
in accordance with 19 CFR 351.224(b). However, because we have made no
changes to the calculations from the Preliminary Determination and
Post-Preliminary Analysis, there are no new calculations to disclose.
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 subject merchandise as described in
the scope of the investigation section entered, or withdrawn from
warehouse, for consumption on or after March 28, 2025, the date of
publication of the Preliminary Determination in the Federal Register.
In accordance with section 703(d) of the Act, on July 28, 2025, we
instructed CBP to discontinue the suspension of liquidation of all
entries of subject merchandise entered or withdrawn from warehouse on
or after July 26, 2025, but to continue the suspension of liquidation
of all entries of subject merchandise on or after March 28, 2025, to on
or before July 25, 2025.
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 in the amounts indicated above,
in accordance with section 706(a) 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 canceled.
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 paper file
folders from Cambodia. As Commerce's final determination is
affirmative, in accordance with section 705(b) of the Act, the ITC will
determine, within 45 days, whether the domestic industry in the United
States is materially injured, or threatened with material injury, by
reason of imports of paper file folders from Cambodia. In addition, we
are making available to the ITC all non-privileged and non-proprietary
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, without
the written consent of the Assistant Secretary for Enforcement and
Compliance. If the ITC determines that 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 (APO)
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 in accordance with
sections 705(d) and 777(i) of the Act, and 19 CFR 351.210(c).
Dated: December 18, 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 products within the scope of this investigation are file
folders consisting primarily of paper, paperboard, pressboard, or
other cellulose material, whether coated or uncoated, that has been
folded (or creased in preparation to be folded), glued, taped,
bound, or otherwise assembled to be suitable for holding documents.
The scope includes all such folders, regardless of color, whether or
not expanding, whether or not laminated, and with or without tabs,
fasteners, closures, hooks, rods, hangers, pockets, gussets, or
internal dividers. The term ``primarily'' as used in the first
sentence of this scope means 50 percent or more of the total product
weight, exclusive of the weight of fasteners, closures, hooks, rods,
hangers, removable
[[Page 60633]]
tabs, and similar accessories, and exclusive of the weight of the
packaging.
Subject folders have the following dimensions in their folded
and closed position: lengths and widths of at least 8 inches and no
greater than 17 inches, regardless of depth.
The scope covers all varieties of folders, including but not
limited to manila folders, hanging folders, fastener folders,
classification folders, expanding folders, pockets, jackets, and
wallets.
Excluded from the scope are:
<bullet> mailing envelopes with a flap bearing one or more
adhesive strips that can be used permanently to seal the entire
length of a side such that, when sealed, the folder is closed on all
four sides;
<bullet> binders, with two or more rings to hold documents in
place, made of paperboard or pressboard encased entirely in plastic;
<bullet> binders consisting of a front cover, back cover, and
spine, with or without a flap; to be excluded, a mechanism with two
or more metal rings must be included on or adjacent to the interior
spine;
<bullet> non-expanding folders with a depth exceeding 2.5 inches
and that are closed or closeable on the top, bottom, and all four
sides (e.g., boxes or cartons);
<bullet> expanding folders that have: (1) 13 or more pockets;
(2) a flap covering the top; (3) a latching mechanism made of
plastic and/or metal to close the flap; and (4) an affixed plastic
or metal carry handle;
<bullet> folders that have an outer surface (other than the
gusset, handles, and/or closing mechanisms, if any) that is covered
entirely with fabric, leather, and/or faux leather;
<bullet> fashion folders, which are defined as folders with all
of the following characteristics: (1) plastic lamination covering
the entire exterior of the folder; (2) printing, foil stamping,
embossing (i.e., raised relief patterns that are recessed on the
opposite side), and/or debossing (i.e., recessed relief patterns
that are raised on the opposite side), covering the entire exterior
surface area of the folder; (3) at least two visible and printed or
foil stamped colors (other than the color of the base paper), each
of which separately covers no less than 10 percent of the entire
exterior surface area; and (4) patterns, pictures, designs, or
artwork covering no less than thirty percent of the exterior surface
area of the folder;
<bullet> portfolios, which are folders having: (1) a width of at
least 16 inches when open flat; (2) no tabs or dividers; and (3) one
or more pockets that are suitable for holding letter size documents
and that cover at least 15 percent of the surface area of the
relevant interior side or sides; and
<bullet> report covers, which are folders having: (1) no tabs,
dividers, or pockets; and (2) one or more fasteners or clips, each
of which is permanently affixed to the center fold, to hold papers
securely in place.
Imports of the subject merchandise are provided for under
Harmonized Tariff Schedule of the United States (HTSUS) category
4820.30.0040. Subject imports may also enter under other HTSUS
classifications. While the HTSUS subheading is provided for
convenience and customs purposes, the written description of the
scope of this investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Subsidies Valuation Information
V. Use of Facts Otherwise Available and Application of Adverse
Inferences
VI. Benchmarks for Measuring the Adequacy of Remuneration
VII. Analysis of Programs
VIII. Discussion of the Issues
Comment 1: Whether World Trade Organization Rules Grant Commerce
Authority to Investigate Transnational Subsidies
Comment 2: Whether Commerce Has Statutory Authority to
Countervail Alleged Transnational Subsidies
Comment 3: Whether Commerce's Determinations Regarding the
Cross-Border Provision of Chinese-Origin Inputs for Less Than
Adequate Remuneration Are Based on Substantial Evidence and
Otherwise in Accordance with Law
Comment 4: Whether Record Evidence Establishes that the
Cambodian Kraft Paper and Pulp Markets Are Distorted
Comment 5: Whether Commerce Should Revise the Partial Adverse
Facts Available (AFA) Rate Applied to Vietnamese Purchases of Kraft
Paper
Comment 6: Whether Commerce Should Remove Import Duties and
Value-Added Taxes from the Kraft Paper and Pulp Benchmarks
Comment 7: Whether Commerce Should Revise the Ocean Freight
Benchmarks
Comment 8: Whether Commerce Should Correct Its Market Distortion
Calculations for Pulp
Comment 9: Whether Commerce Should Apply AFA Because TCS Failed
to Report Income Tax Exemptions Under the Qualified Investment
Project Program
Comment 10: Whether the Royal Government of Cambodia's Customs
Duty Exemptions for Imported Raw Materials Are Countervailable
Comment 11: Whether the Business Recovery Guarantee Scheme
Program Is Specific
Comment 12: Whether the Electricity Fee Reduction Program Was
Used During the POI and Is Specific
IX. Recommendation
[FR Doc. 2025-23780 Filed 12-23-25; 8:45 am]
BILLING CODE 3510-DS-P
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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.