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

<html>
<head>
<title>Federal Register, Volume 90 Issue 245 (Monday, December 29, 2025)</title>
</head>
<body><pre>
[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]


-----------------------------------------------------------------------

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\
---------------------------------------------------------------------------

    \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).
---------------------------------------------------------------------------

    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.
---------------------------------------------------------------------------

    \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.
---------------------------------------------------------------------------

    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>.
---------------------------------------------------------------------------

    \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).
---------------------------------------------------------------------------

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\
---------------------------------------------------------------------------

    \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.
---------------------------------------------------------------------------

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.
---------------------------------------------------------------------------

    \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.
---------------------------------------------------------------------------

    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.
---------------------------------------------------------------------------

    \8\ See Post-Preliminary Analysis at 14-15.
---------------------------------------------------------------------------

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:
---------------------------------------------------------------------------

    \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.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
------------------------------------------------------------------------
Three Color Stone Stationery (Cambodia) Co., Ltd........       \9\ 30.38
All Others..............................................           30.38
------------------------------------------------------------------------

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


</pre></body>
</html>
Indexed from Federal Register on December 29, 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.