Notice2026-16056
Certain Tissue Paper Products From the People's Republic of China: Initiation of Circumvention Inquiry of the Antidumping Duty Order
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
August 6, 2026
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
In response to a request from Seaman Paper Company of Massachusetts, Inc. (Seaman, or the requester), the U.S. Department of Commerce (Commerce) is initiating a country-wide circumvention inquiry to determine whether imports of certain tissue paper products (tissue paper) completed in the Socialist Republic of Vietnam (Vietnam) using jumbo paper rolls manufactured in the People's Republic of China (China), are circumventing the antidumping duty (AD) order on tissue paper from China.
Full Text
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<title>Federal Register, Volume 91 Issue 150 (Thursday, August 6, 2026)</title>
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[Federal Register Volume 91, Number 150 (Thursday, August 6, 2026)]
[Notices]
[Pages 50789-50791]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-16056]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-894]
Certain Tissue Paper Products From the People's Republic of
China: Initiation of Circumvention Inquiry of the Antidumping Duty
Order
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: In response to a request from Seaman Paper Company of
Massachusetts, Inc. (Seaman, or the requester), the U.S. Department of
Commerce (Commerce) is initiating a country-wide circumvention inquiry
to determine whether imports of certain tissue paper products (tissue
paper) completed in the Socialist Republic of Vietnam (Vietnam) using
jumbo paper rolls manufactured in the People's Republic of China
(China), are circumventing the antidumping duty (AD) order on tissue
paper from China.
DATES: Applicable August 6, 2026.
FOR FURTHER INFORMATION CONTACT: Justin Enck at (202) 482-1614 and
Walter Schaub at (202) 482-0907, Trade Remedy Counseling and
Initiations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
Background
On June 4, 2026, pursuant to section 781(b) of the Tariff Act of
1930, as amended (the Act), and 19 CFR 351.226, Seaman filed a
circumvention inquiry request alleging that tissue paper completed in
Vietnam using jumbo paper rolls manufactured in China is circumventing
the AD order on tissue paper from China,\1\ and, accordingly, should be
included within the scope of the Order.\2\ Seaman also requested that
Commerce initiate a scope inquiry to determine whether imports of
tissue paper completed in Vietnam using Chinese-origin jumbo paper
rolls are already specifically covered by the scope of the Order,
pursuant to 19 CFR 351.225(j).\3\
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\1\ See Notice of Amended Final Determination of Sales at Less
than Fair Value and Antidumping Duty Order: Certain Tissue Paper
Products from the People's Republic of China, 70 FR 16223 (March 30,
2005) (Order).
\2\ See Requester's Letter, ``Circumvention Inquiry,'' dated
June 4, 2026.
\3\ Id. Commerce has concluded that the issues raised by the
requester are appropriately addressed in the context of a
circumvention inquiry. Therefore, Commerce has not initiated a scope
inquiry pursuant to 19 CFR 351.225(j). For further discussion, see
the Circumvention Initiation Checklist, ``Tissue Paper Products
Completed in Vietnam Circumvention Initiation Checklist,'' dated
concurrently with, and hereby adopted by, this notice (Circumvention
Initiation Checklist) at 3.
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On June 18, 2026, Commerce issued a supplemental questionnaire to
the requester.\4\ On June 24, 2026, the requester filed its response to
our request for additional information.\5\ On June 17, 2026, Vietnam
Glitter Company Limited and Vietnam Glitter Celebration Company Limited
(collectively, Vietnam Glitter), Vietnamese producers of tissue paper,
filed comments in opposition to the Seaman's request.\6\ On June 22,
2026, the requester filed rebuttal comments to Vietnam Glitter's June
17, 2026 comments.\7\ On July 1, 2026, Commerce extended the initiation
deadline from July 6 to August 3, 2026, in accordance with 19 CFR
351.226(d)(1).\8\ On July 7, 2026, Target General Merchandise, Inc.
(Target) filed comments in opposition to the Seaman's request.\9\ On
July 8, 2026, Seaman responded to Target's July 7, 2026 comments.\10\
Commerce extended the deadline for Target to file comments and new
factual information regarding the adequacy of the circumvention inquiry
request to July 17, 2026, in accordance with 19 CFR 351.302(b).\11\
Target filed additional comments in opposition to the request on July
17, 2026.\12\
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\4\ See Commerce's Letter, ``Supplemental Questionnaire,'' dated
June 18, 2026.
\5\ See Requester's Letter, ``Response to Commerce's
Supplemental Questionnaire,'' dated June 24, 2026.
\6\ See Vietnam Glitter's Letter, ``Comments on the Adequacy of
Petitioner's Request for an Anti-Circumvention Inquiry,'' dated June
17, 2026.
\7\ See Requester's Letter, ``Response to Adequacy Comments,''
dated June 22, 2026.
\8\ See Memorandum, ``Extension of Circumvention Inquiry
Initiation Deadline,'' dated July 1, 2026.
\9\ See Target's Letter, ``Request to Reject Circumvention
Inquiry Request,'' dated July 7, 2026.
\10\ See Requester's Letter, ``Response to Target's Comments,''
dated July 8, 2026.
\11\ See Memorandum, ``Extension of New Factual Information
Deadline,'' dated July 9, 2026.
\12\ See Target's Letter, ``Adequacy Comments,'' dated July 17,
2026.
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[[Page 50790]]
Scope of the Order
The merchandise subject to the Order is cut-to-length sheets of
tissue paper having a basis weight not exceeding 29 grams per square
meter and with a width equal to or greater than one-half (0.5) inch
and. Tissue paper may or may not be bleached, dye-colored, surface-
colored, glazed, surface decorated or printed, sequined, crinkled,
embossed, and/or die cut. Tissue paper may be flat or folded, and may
be packaged by banding or wrapping with paper or film, by placing in
plastic or film bags, and/or by placing in boxes for distribution and
use by the ultimate consumer.
The merchandise subject to this Order does not have specific
classification numbers assigned to them under the Harmonized Tariff
Schedule of the United States (HTSUS). Subject merchandise may be under
one or more of several different subheadings, including: 4802.30;
4802.54; 4802.61; 4802.62; 4802.69; 4804.31.1000; 4804.31.2000;
4804.31.4020; 4804.31.4040; 4804.31.6000; 4804.39; 4805.91.1090;
4805.91.5000; 4805.91.7000; 4806.40; 4808.30; 4808.90; 4811.90;
4823.90; 4820.50.00; 4802.90.00; 4805.91.90; 9505.90.40. Although the
HTSUS tariff classifications are provided for convenience and customs
purposes, the written description of the scope of this Order is
dispositive.
For a full description of the scope of the Order, see the
Circumvention Initiation Checklist.\13\
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\13\ See Circumvention Initiation Checklist at Attachment I.
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Merchandise Subject to the Circumvention Inquiry
The circumvention inquiry covers tissue paper, completed in Vietnam
using Chinese-origin jumbo paper rolls that is subsequently exported
from Vietnam to the United States.
Initiation of Circumvention Inquiry
Section 351.226(d) of Commerce's regulations states that if
Commerce determines that a request for a circumvention inquiry
satisfies the requirements of 19 CFR 351.226(c), then Commerce ``will
accept the request and initiate a circumvention inquiry.'' Section
351.226(c)(1) of Commerce's regulations, in turn, requires that each
circumvention inquiry request allege ``that the elements necessary for
a circumvention determination under section 781 of the Act exist'' and
be ``accompanied by information reasonably available to the interested
party supporting these allegations.'' The requester alleged
circumvention pursuant to section 781(b) of the Act (i.e., merchandise
completed or assembled in other foreign countries).
Section 781(b)(1) of the Act provides that Commerce may find
circumvention of an order when merchandise of the same class or kind
subject to the order is completed or assembled in a foreign country
other than the country to which the order applies. In conducting a
circumvention inquiry, under section 781(b)(1) of the Act, Commerce
relies on the following criteria: (A) merchandise imported into the
United States is of the same class or kind as any merchandise produced
in a foreign country that is the subject of an AD or CVD order; (B)
before importation into the United States, such imported merchandise is
completed or assembled in another foreign country from merchandise
which is subject to the order or is produced in the foreign country
that is subject to the order; (C) the process of assembly or completion
in the foreign country referred to in section (B) is minor or
insignificant; (D) the value of the merchandise produced in the foreign
country to which the AD or CVD order applies is a significant portion
of the total value of the merchandise exported to the United States;
and (E) the administering authority determines that action is
appropriate to prevent evasion of such order.
In determining whether the process of assembly or completion in a
foreign country is minor or insignificant under section 781(b)(1)(C) of
the Act, section 781(b)(2) of the Act directs Commerce to consider: (A)
the level of investment in the foreign country; (B) the level of
research and development in the foreign country; (C) the nature of the
production process in the foreign country; (D) the extent of production
facilities in the foreign country; and (E) whether or not the value of
processing performed in the foreign country represents a small
proportion of the value of the merchandise imported into the United
States. However, no single factor, by itself, controls Commerce's
determination of whether the process of assembly or completion in a
foreign country is minor or insignificant.\14\ Accordingly, Commerce
will evaluate each of these five factors as they exist in the foreign
country, depending on the particular circumvention scenario.
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\14\ See Statement of Administrative Action Accompanying the
Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1 (1994), at
893.
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In determining whether action is needed in order to prevent evasion
of the order under section 781(b)(1)(E) of the Act, section 781(b)(3)
of the Act sets forth factors to consider in determining whether to
include merchandise assembled or completed in a foreign country within
the scope of an AD or CVD order. Specifically, Commerce shall take into
account such factors as: (A) the pattern of trade, including sourcing
patterns; (B) whether the manufacturer or exporter of the merchandise
that was shipped to the foreign country is affiliated with the person
who, in the foreign country, uses the merchandise to complete or
assemble the merchandise which is subsequently imported into the United
States; and (C) whether imports of the merchandise into the foreign
country have increased after the initiation of the investigation that
resulted in the issuance of such order.
Analysis
Based on our analysis of the Seaman's circumvention inquiry
request, we determine that the requester has satisfied the criteria
under 19 CFR 351.226(c), and thus, pursuant to 19 CFR
351.226(d)(1)(iii), we are initiating the requested circumvention
inquiry. For a full discussion of the basis for our decision to
initiate the circumvention inquiry, see the Circumvention Initiation
Checklist. As explained in the Circumvention Initiation Checklist, the
information provided by the requester warrants initiating the
circumvention inquiry on a country-wide basis. Commerce has taken this
approach in prior circumvention inquiries, where the facts warranted
initiation on a country-wide basis.\15\
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\15\ See, e.g., Hydrofluorocarbon Blends from the People's
Republic of China: Initiation of Circumvention Inquiry on the
Antidumping Duty Order, 88 FR 74150 (October 30, 2023).
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Consistent with the approach in the prior circumvention inquiries
that were initiated on a country-wide basis, Commerce intends to
solicit information from certain companies in Vietnam concerning their
production of tissue paper and their shipments to the United States.
Respondent Selection
Commerce intends to base respondent selection on U.S. Customs and
Border Protection (CBP) entry data of tissue paper from Vietnam based
on the HTSUS subheadings identified in the scope of the Order. Commerce
intends to place the CBP data on each record within five days of the
publication of this initiation notice, which will be available under
administrative protective order (APO) on Enforcement and Compliance's
Antidumping and Countervailing Duty Centralized Electronic Service
System (ACCESS). ACCESS is available to registered users
[[Page 50791]]
at <a href="https://access.trade.gov">https://access.trade.gov</a>. Interested parties must submit
applications for disclosure under APO in accordance with 19 CFR
351.305(b). Instructions for filing such applications may be found on
Commerce's website at <a href="https://www.trade.gov/administrative-protective-orders">https://www.trade.gov/administrative-protective-orders</a>. Comments regarding the CBP data and respondent selection should
be submitted within seven days after placement of the CBP data on the
record of the relevant inquiry.
Commerce intends to establish a schedule for questionnaire
responses after respondent selection. A company's failure to completely
respond to Commerce's requests for information may result in the
application of facts available, pursuant to section 776(a) of the Act,
which may include adverse inferences, pursuant to section 776(b) of the
Act.
Suspension of Liquidation
Pursuant to 19 CFR 351.226(l)(1), Commerce will notify CBP of the
initiation and direct CBP to continue the suspension of liquidation of
entries of products subject to the circumvention inquiry that were
already subject to the suspension of liquidation under the Order and to
apply the cash deposit rates that would be applicable if the products
were determined to be covered by the scope of the Order.
Should Commerce issue affirmative preliminary or final
circumvention determinations, Commerce will follow the suspension of
liquidation rules under 19 CFR 351.226(l)(2)-(4). In the event that
Commerce issues affirmative preliminary or final circumvention
determinations that the products are circumventing the Order, Commerce
will instruct CBP to continue the suspension of liquidation of
previously suspended entries and to apply the applicable cash deposit
rate. Commerce will also instruct CBP to begin the suspension of
liquidation and application of cash deposits for any unliquidated
entries not yet suspended, entered, or withdrawn from warehouse, for
consumption, on or after the date of publication of the notice of
initiation of the circumvention inquiry pursuant to paragraphs
(l)(2)(ii) and (l)(3)(ii). In addition, pursuant to paragraphs
(l)(2)(iii)(A) and (l)(3)(iii)(A), Commerce may instruct CBP to begin
the suspension of liquidation and application of cash deposits for any
unliquidated entries not yet suspended, entered, or withdrawn from
warehouse, for consumption, prior to the date of initiation of the
circumvention inquiry, but not for such entries prior to November 4,
2021, the effective date of these provisions in the Final Rule.\16\
These rules will not affect CBP's authority to take any additional
action with respect to the suspension of liquidation or related
measures for these entries, as stated in 19 CFR 351.226(l)(5).
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\16\ See Regulations to Improve Administration and Enforcement
of Antidumping and Countervailing Duty Laws, 86 FR 52300, 52345
(September 20, 2021) (Final Rule).
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Notification to Interested Parties
In accordance with 19 CFR 351.226(d) and section 781(b) of the Act,
Commerce determines that the Seaman's request for this circumvention
inquiry satisfies the requirements of 19 CFR 351.226(c). Accordingly,
Commerce is notifying all interested parties of the initiation of this
circumvention inquiry to determine whether imports of tissue paper
completed in and exported from Vietnam using jumbo paper rolls
manufactured in China are circumventing the Order. In addition, we have
included a description of the products that are subject to this
inquiry, and an explanation of Commerce's decision to initiate the
inquiry as provided in the accompanying Circumvention Initiation
Checklist.\17\
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\17\ See Circumvention Initiation Checklist.
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In accordance with 19 CFR 351.226(e)(1), unless the circumvention
inquiry is rescinded, in whole or in part, or extended, Commerce
intends to issue its preliminary circumvention determination no later
than 150 days from the date of publication of the notice of initiation
of this circumvention inquiry in the Federal Register. Furthermore, in
accordance with section 781(f) of the Act and 19 CFR 351.226(e)(2),
unless the circumvention inquiry is rescinded, in whole or in part, or
extended, Commerce intends to issue its final determination within 300
days from the date of publication of the notice of initiation of the
circumvention inquiry in the Federal Register.
This notice is published in accordance with section 781(b) of the
Act, and 19 CFR 351.226(d)(1)(iii).
Dated: August 3, 2026.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
[FR Doc. 2026-16056 Filed 8-5-26; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on August 6, 2026.
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