82_FR_53697 82 FR 53477 - Biodiesel From the Republic of Argentina: Final Affirmative Countervailing Duty Determination

82 FR 53477 - Biodiesel From the Republic of Argentina: Final Affirmative Countervailing Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 82, Issue 220 (November 16, 2017)

Page Range53477-53479
FR Document2017-24857

The Department of Commerce (Department) determines that countervailable subsidies are being provided to producers and exporters of biodiesel from the Republic of Argentina. The period of investigation is January 1, 2016, through December 31, 2016.

Federal Register, Volume 82 Issue 220 (Thursday, November 16, 2017)
[Federal Register Volume 82, Number 220 (Thursday, November 16, 2017)]
[Notices]
[Pages 53477-53479]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-24857]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-357-821]


Biodiesel From the Republic of Argentina: Final Affirmative 
Countervailing Duty Determination

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (Department) determines that 
countervailable subsidies are being provided to producers and exporters 
of biodiesel from the Republic of Argentina. The period of 
investigation is January 1, 2016, through December 31, 2016.

DATES: Applicable November 16, 2017.

FOR FURTHER INFORMATION CONTACT: Kathryn Wallace or Elfi Blum, AD/CVD 
Operations, Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone: (202) 482-6251, or (202) 482-
0197, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the Preliminary Determination on August 
28, 2017.\1\ A summary of the events that occurred since the Department 
published the Preliminary Determination, as well as a full discussion 
of the issues raised by parties for this final determination, may be 
found in the accompanying Final Decision Memorandum.\2\ The Final 
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 http://access.trade.gov, and is available to all 
parties in the Central Records Unit, Room B8024 of the main Department 
of Commerce building. In addition, a complete version of the Final 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov. The signed and electronic versions of the Final 
Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \1\ See Biodiesel from Argentina: Preliminary Affirmative 
Countervailing Duty Determination and Preliminary Affirmative 
Critical Circumstances Determination, in Part, 82 FR 40748 
(Preliminary Determination) and accompanying Preliminary Decision 
Memorandum (PDM).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
final Determination in the Countervailing Duty Investigation of 
Biodiesel from the Republic of Argentina,'' dated concurrently with 
this determination and hereby adopted by this notice (Final Decision 
Memorandum).
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Period of Investigation

    The period of investigation for which we are measuring subsidies is 
January 1, 2016, through December 31, 2016.

Scope of the Investigation

    The scope of the investigation covers biodiesel from the Republic 
of Argentina. The Department did not receive any scope comments and has 
not updated the scope of the investigation since the Preliminary 
Determination. For a complete description of the scope of this 
investigation, see Appendix II to this notice.

Final Negative Determination of Critical Circumstances

    In the Preliminary Determination, the Department determined that 
critical circumstances exist with respect to LDC Argentina S.A. (LDC 
Argentina) and Vicentin S.A.I.C. (Vicentin), but do not exist with 
respect to imports from all other producers or exporters of biodiesel 
from Argentina.\3\ As discussed in the Final Decision Memorandum, in 
accordance with section 705(a)(2) of the Tariff Act of 1930, as amended 
(the Act), the Department no longer finds critical circumstances with 
respect to imports from LDC Argentina and Vicentin. In addition, the 
Department continues to find that critical circumstances do not exist 
with respect to imports from all other producers or exporters of 
biodiesel from Argentina. Therefore, in accordance with section 
705(a)(2) of the Act, the Department determines that critical 
circumstances do not exist with respect to LDC Argentina, Vicentin, and 
all other producers or exporters of subject merchandise.
---------------------------------------------------------------------------

    \3\ See Preliminary Determination at 82 FR 40749 and PDM at 5-8.
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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 the interested parties in 
this proceeding, are discussed in the Final Decision Memorandum. A list 
of the issues raised by the parties and addressed by the

[[Page 53478]]

Department in the Final Decision Memorandum is attached at Appendix I 
to this notice.

Verification

    As provided in section 782(i) of the Act, during September 2017, 
the Department verified the subsidy information reported by the 
Government of Argentina (GOA), LDC Argentina, and Vicentin. We used 
standard verification procedures, including an examination of relevant 
accounting records and original source documents provided by the 
respondents.\4\
---------------------------------------------------------------------------

    \4\ See Memorandum, ``Countervailing Duty Investigation of 
Biodiesel from the Republic of Argentina: Verification of the 
Questionnaire Responses of the Government of the Republic of 
Argentina,'' dated September 29, 2017; Memorandum, ``Countervailing 
Duty Investigation of Biodiesel from the Republic of Argentina: 
Verification of the Questionnaire Responses of LDC Argentina SA.,'' 
dated September 29, 2017; and Memorandum, ``Countervailing Duty 
Investigation of Biodiesel from Argentina: Verification of the 
Questionnaire Responses of Vicentin S.A.I.C.,'' dated September 29, 
2017.
---------------------------------------------------------------------------

Use of Adverse Facts Available

    If necessary information is not available on the record, or an 
interested party withholds information, fails to provide requested 
information in a timely manner, significantly impedes a proceeding by 
not providing information, or information provided cannot be verified, 
the Department will apply facts available, pursuant to section 
776(a)(1) & (2) of the Act.
    For purposes of this final determination, the Department continued 
to rely, in part, on facts available. For the GOA and Vicentin,\5\ the 
Department is basing certain countervailability determinations and 
calculating subsidy rates for certain examined programs on facts 
otherwise available, pursuant to sections 776(a)(2)(A) and 776(a)(2)(C) 
and (D) of the Act. Further, because the GOA and Vicentin did not act 
to the best of their ability in this investigation in failing to 
provide necessary information requested by the Department, we determine 
that an adverse inference in selecting from among the facts available 
is warranted with respect to certain countervailable subsidy programs, 
pursuant to section 776(b) of the Act. The Department has therefore 
relied, in part, on adverse facts available (AFA) in its 
countervailability determination with respect to two programs, and in 
calculating the subsidy rate for certain Banco de la Nacion Argentina 
loan programs.
---------------------------------------------------------------------------

    \5\ Vicentin includes its cross-owned affiliates Oleaginosa San 
Lorenzo S.A. (San Lorenzo) and Los Amores S.A. (Los Amores).
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    For further information on the Department's application of AFA, as 
summarized above, see the section titled, ``Use of Facts Otherwise 
Available and Adverse Inferences,'' in the Final Decision Memorandum.

Changes Since the Preliminary Determination

    Based on our analysis of the comments received from parties and the 
minor corrections presented, we made certain changes to the 
respondents' subsidy rate calculations set forth in the Preliminary 
Determination. For a discussion of these changes, see the Final 
Decision Memorandum and the Final Calculation Memoranda.\6\
---------------------------------------------------------------------------

    \6\ See Final Decision Memorandum; see also See Memorandum, 
``Countervailing Duty Investigation of Biodiesel from Argentina: 
Final Calculations for LDC Argentina S.A.,'' dated November 6, 2017 
(LDC Argentina Final Calculation Memorandum); see also Memorandum, 
``Countervailing Duty Investigation of Biodiesel from Argentina: 
Final Calculations for Vicentin S.A.I.C. et Alia,'' dated November 
6, 2017 (Vicentin Final Calculation Memorandum).
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All-Others Rate

    In accordance with section 705(c)(1)(B)(i)(I) of the Act, the 
Department calculated a countervailable subsidy rate for the 
individually investigated exporters/producers of the subject 
merchandise. Consistent with sections 705(c)(1)(B)(i)(I) and 
705(c)(5)(A) of the Act, the Department also calculated an estimated 
``all-others'' rate for exporters and producers not individually 
investigated. Section 705(c)(5)(A)(i) of the Act provides that the 
``all-others'' rate shall be an amount equal to the weighted-average of 
the countervailable subsidy rates established for individually 
investigated exporters and producers, excluding any rates that are zero 
or de minimis or any rates determined entirely under section 776 of the 
Act. In this investigation, the Department calculated individual 
estimated countervailable subsidy rates for LDC Argentina and Vicentin 
that are not zero, de minimis, or based entirely on facts otherwise 
available. Therefore, the Department calculated the all-others rate 
using a simple average of the individual estimated subsidy rates 
calculated for the examined respondents.\7\
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    \7\ With two respondents under examination, the Department 
normally calculates (A) a weighted-average of the estimated subsidy 
rates calculated for the examined respondents; (B) a simple average 
of the estimated subsidy rates calculated for the examined 
respondents; and (C) a weighted-average of the estimated subsidy 
rates calculated for the examined respondents using each company's 
publicly-ranged U.S. sale quantities for the merchandise under 
consideration. The Department then compares (B) and (C) to (A) and 
selects the rate closest to (A) as the most appropriate rate for all 
other producers and exporters. See, e.g., Ball Bearings and Parts 
Thereof from France, Germany, Italy, Japan, and the United Kingdom: 
Final Results of Antidumping Duty Administrative Reviews, Final 
Results of Changed-Circumstances Review, and Revocation of an Order 
in Part, 75 FR 53661, 53663 (September 1, 2010). However, complete 
publicly ranged sales data are not available on the record of this 
investigation. Therefore, the Department has based the all-others 
rate on a simple average of the estimated subsidy rates calculated 
for the examined respondents. For a complete analysis of the data, 
please see the All-Others' Rate Calculation Memorandum.
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Final Determination

    The Department determines the total estimated countervailable 
subsidy rates to be:

------------------------------------------------------------------------
                                                                Subsidy
                           Company                               rate
                                                               (percent)
------------------------------------------------------------------------
LDC Argentina S.A \8\.......................................       72.28
Vicentin S.A.I.C \9\........................................       71.45
All-Others..................................................       71.87
------------------------------------------------------------------------

Disclosure
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    \8\ As discussed in the Preliminary Decision Memorandum, the 
Department has found the following companies to be cross-owned with 
LDC Argentina S.A.: LDC Semillas S.A., Semillas del Rosario S.A.
    \9\ As discussed in the Preliminary Decision Memorandum, the 
Department has found the following companies to be cross-owned with 
Vicentin S.A.I.C.: Oleaginosa San Lorenzo S.A, Los Amores S.A.
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    The Department will disclose the calculations performed within five 
days of the date of publication of this notice to parties in this 
proceeding in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with sections 703(d) of the Act, the Department will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of biodiesel from 
Argentina, which were entered, or withdrawn from warehouse, for 
consumption on or after August 28, 2017, the date of publication of the 
Preliminary Determination. Further, the Department will instruct CBP to 
require a cash deposit for such entries of merchandise. Because the 
Department finds critical circumstances no longer exist for LDC 
Argentina and Vicentin, the Department will terminate the retroactive 
suspension of liquidation ordered at the Preliminary Determination and 
release any cash deposits that were required during the period May 30, 
2017 through August 27, 2017, consistent with section 705(c)(3) of the 
Act.

[[Page 53479]]

International Trade Commission Notification

    In accordance with section 705(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of the final affirmative 
determination of countervailable subsidies. Because the final 
determination in this proceeding is affirmative, in accordance with 
section 705(b) of the Act, the ITC will make its final determination as 
to whether the domestic industry in the United States is materially 
injured, or threatened with material injury, by reason of imports of 
biodiesel from Argentina no later than 45 days after our final 
determination. If the ITC determines that material injury or threat of 
material injury does not exist, the proceeding will be terminated and 
all cash deposits will be refunded. If the ITC determines that such 
injury does exist, the Department will issue a CVD order directing CBP 
to assess, upon further instruction by the Department, countervailing 
duties on all imports of the subject merchandise 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.

Notification Regarding Administrative Protective Orders

    This notice serves as the only reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of return/destruction of APO materials or conversion to 
judicial protective order is hereby requested. Failure to comply with 
the regulations and the terms of an APO is a violation subject to 
sanction.
    This determination is issued and published in accordance with 
sections 705(d) and 777(i) of the Act.

    Dated: November 6, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Final Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Scope of the Investigation
VI. Final Determination of Critical Circumstances
VII. Subsidies Valuation Information
VIII. Use of Facts Otherwise Available and Adverse Inferences
IX. Analysis of Programs
X. Discussion of the Issues
    Comment 1: Whether an Export Tax on Soybeans Is a 
Countervailable Subsidy
    Comment 2: Whether Benefits Associated With Purchases of 
Soybeans for LTAR Are Tied to Sales of Soybean-Based Products
    Comment 3: Whether the Department Should Add a Certain Expense 
to the Two-Tier Benchmark
    Comment 4: Whether the Department's Benchmark Relates to the 
Prevailing Market Conditions in Argentina
    Comment 5: Whether the Department Should Attribute Los Amores' 
Alleged Subsidies to Vicentin
    Comment 6: Whether the Department Should Apply AFA Regarding 
Certain BNA Preferential Loans
    Comment 7: Whether the Department Has the Authority to 
Investigate ``All Other'' Subsidies
    Comment 8: Whether To Apply AFA to Los Amores' Use of a Ten-Year 
Tax Exemption Provided by the Province of Santiago del Estero
    Comment 9: Whether the Department Correctly Calculated LDC 
Argentina's Benefit From the General Lagos DReI Convenio
    Comment 10: Whether ``Pacto Fiscal'' Confers Countervailable 
Benefits to LDC Argentina
XI. Conclusion

Appendix II

Scope of the Investigation

    The product covered by this investigation is biodiesel, which is 
a fuel comprised of mono-alkyl esters of long chain fatty acids 
derived from vegetable oils or animal fats, including biologically-
based waste oils or greases, and other biologically-based oil or fat 
sources. The investigation covers biodiesel in pure form (B100) as 
well as fuel mixtures containing at least 99 percent biodiesel by 
volume (B99). For fuel mixtures containing less than 99 percent 
biodiesel by volume, only the biodiesel component of the mixture is 
covered by the scope of the investigation.
    Biodiesel is generally produced to American Society for Testing 
and Materials International (ASTM) D6751 specifications, but it can 
also be made to other specifications. Biodiesel commonly has one of 
the following Chemical Abstracts Service (CAS) numbers, generally 
depending upon the feedstock used: 67784-80-9 (soybean oil methyl 
esters); 91051-34-2 (palm oil methyl esters); 91051-32-0 (palm 
kernel oil methyl esters); 73891-99-3 (rapeseed oil methyl esters); 
61788-61-2 (tallow methyl esters); 68990-52-3 (vegetable oil methyl 
esters); 129828-16-6 (canola oil methyl esters); 67762-26-9 
(unsaturated alkylcarboxylic acid methyl ester); or 68937-84-8 
(fatty acids, C12-C18, methyl ester).
    The B100 product subject to the investigation is currently 
classifiable under subheading 3826.00.1000 of the Harmonized Tariff 
Schedule of the United States (HTSUS), while the B99 product is 
currently classifiable under HTSUS subheading 3826.00.3000. Although 
the HTSUS subheadings, ASTM specifications, and CAS numbers are 
provided for convenience and customs purposes, the written 
description of the scope is dispositive.

[FR Doc. 2017-24857 Filed 11-15-17; 8:45 am]
 BILLING CODE 3510-DS-P



                                                                              Federal Register / Vol. 82, No. 220 / Thursday, November 16, 2017 / Notices                                                  53477

                                                    end-user that, at the time of importation,              HTSUS subheadings are provided for                    registered users at http://
                                                    includes (1) all wooden components (in                  convenience and customs purposes, the                 access.trade.gov, and is available to all
                                                    finished form) required to assemble a                   written description of the scope of this              parties in the Central Records Unit,
                                                    finished unit of cabinetry, (2) all accessory           investigation is dispositive.
                                                                                                                                                                  Room B8024 of the main Department of
                                                    parts (e.g., screws, washers, dowels, nails,            [FR Doc. 2017–24864 Filed 11–15–17; 8:45 am]
                                                    handles, knobs, hooks, adhesive glues)                                                                        Commerce building. In addition, a
                                                    required to assemble a finished unit of                 BILLING CODE 3510–DS–P                                complete version of the Final Decision
                                                    cabinetry, and (3) instructions providing                                                                     Memorandum can be accessed directly
                                                    guidance on the assembly of a finished unit                                                                   at http://enforcement.trade.gov. The
                                                    of cabinetry.                                           DEPARTMENT OF COMMERCE                                signed and electronic versions of the
                                                       Excluded from the scope of this                                                                            Final Decision Memorandum are
                                                    investigation are finished table tops, which            International Trade Administration
                                                                                                                                                                  identical in content.
                                                    are table tops imported in finished form with
                                                                                                            [C–357–821]
                                                    pre-cut or drilled openings to attach the                                                                     Period of Investigation
                                                    underframe or legs. The table tops are ready
                                                    for use at the time of import and require no            Biodiesel From the Republic of                          The period of investigation for which
                                                    further finishing or processing.                        Argentina: Final Affirmative                          we are measuring subsidies is January 1,
                                                       Excluded from the scope of this                      Countervailing Duty Determination                     2016, through December 31, 2016.
                                                    investigation are finished countertops that
                                                    are imported in finished form and require no            AGENCY:  Enforcement and Compliance,                  Scope of the Investigation
                                                    further finishing or manufacturing.                     International Trade Administration,                     The scope of the investigation covers
                                                       Excluded from the scope of this                      Department of Commerce.                               biodiesel from the Republic of
                                                    investigation are laminated veneer lumber               SUMMARY: The Department of Commerce                   Argentina. The Department did not
                                                    door and window components with (1) a                   (Department) determines that                          receive any scope comments and has
                                                    maximum width of 44 millimeters, a                      countervailable subsidies are being                   not updated the scope of the
                                                    thickness from 30 millimeters to 72
                                                    millimeters, and a length of less than 2413
                                                                                                            provided to producers and exporters of                investigation since the Preliminary
                                                    millimeters (2) water boiling point exterior            biodiesel from the Republic of                        Determination. For a complete
                                                    adhesive, (3) a modulus of elasticity of                Argentina. The period of investigation is             description of the scope of this
                                                    1,500,000 pounds per square inch or higher,             January 1, 2016, through December 31,                 investigation, see Appendix II to this
                                                    (4) finger-jointed or lap-jointed core veneer           2016.                                                 notice.
                                                    with all layers oriented so that the grain is           DATES: Applicable November 16, 2017.
                                                    running parallel or with no more than 3                                                                       Final Negative Determination of
                                                    dispersed layers of veneer oriented with the            FOR FURTHER INFORMATION CONTACT:                      Critical Circumstances
                                                    grain running perpendicular to the other                Kathryn Wallace or Elfi Blum, AD/CVD
                                                                                                                                                                     In the Preliminary Determination, the
                                                    layers; and (5) top layer machined with a               Operations, Office VII, Enforcement and
                                                                                                                                                                  Department determined that critical
                                                    curved edge and one or more profile                     Compliance, International Trade
                                                                                                                                                                  circumstances exist with respect to LDC
                                                    channels throughout.                                    Administration, U.S. Department of
                                                       Imports of hardwood plywood are                                                                            Argentina S.A. (LDC Argentina) and
                                                                                                            Commerce, 1401 Constitution Avenue
                                                    primarily entered under the following                                                                         Vicentin S.A.I.C. (Vicentin), but do not
                                                                                                            NW., Washington, DC 20230; telephone:
                                                    Harmonized Tariff Schedule of the United                                                                      exist with respect to imports from all
                                                                                                            (202) 482–6251, or (202) 482–0197,
                                                    States (HTSUS) subheadings: 4412.10.0500;                                                                     other producers or exporters of biodiesel
                                                    4412.31.0520; 4412.31.0540; 4412.31.0560;
                                                                                                            respectively.
                                                                                                                                                                  from Argentina.3 As discussed in the
                                                    4412.31.0620; 4412.31.0640; 4412.31.0660;               SUPPLEMENTARY INFORMATION:                            Final Decision Memorandum, in
                                                    4412.31.2510; 4412.31.2520; 4412.31.2610;                                                                     accordance with section 705(a)(2) of the
                                                    4412.31.2620; 4412.31.4040; 4412.31.4050;               Background
                                                                                                                                                                  Tariff Act of 1930, as amended (the Act),
                                                    4412.31.4060; 4412.31.4075; 4412.31.4080;                 The Department published the
                                                    4412.31.4140; 4412.31.4150; 4412.31.4160;
                                                                                                                                                                  the Department no longer finds critical
                                                                                                            Preliminary Determination on August                   circumstances with respect to imports
                                                    4412.31.4180; 4412.31.5125; 4412.31.5135;
                                                    4412.31.5155; 4412.31.5165; 4412.31.5175;
                                                                                                            28, 2017.1 A summary of the events that               from LDC Argentina and Vicentin. In
                                                    4412.31.5235; 4412.31.5255; 4412.31.5265;               occurred since the Department                         addition, the Department continues to
                                                    4412.31.5275; 4412.31.6000; 4412.31.6100;               published the Preliminary                             find that critical circumstances do not
                                                    4412.31.9100; 4412.31.9200; 4412.32.0520;               Determination, as well as a full                      exist with respect to imports from all
                                                    4412.32.0540; 4412.32.0565; 4412.32.0570;               discussion of the issues raised by parties            other producers or exporters of biodiesel
                                                    4412.32.0620; 4412.32.0640; 4412.32.0670;               for this final determination, may be                  from Argentina. Therefore, in
                                                    4412.32.2510; 4412.32.2525; 4412.32.2530;               found in the accompanying Final                       accordance with section 705(a)(2) of the
                                                    4412.32.2610; 4412.32.2630; 4412.32.3125;               Decision Memorandum.2 The Final
                                                    4412.32.3135; 4412.32.3155; 4412.32.3165;
                                                                                                                                                                  Act, the Department determines that
                                                                                                            Decision Memorandum is a public                       critical circumstances do not exist with
                                                    4412.32.3175; 4412.32.3185; 4412.32.3235;
                                                    4412.32.3255; 4412.32.3265; 4412.32.3275;
                                                                                                            document, and is on file electronically               respect to LDC Argentina, Vicentin, and
                                                    4412.32.3285; 4412.32.5600; 4412.32.3235;               via Enforcement and Compliance’s                      all other producers or exporters of
                                                    4412.32.3255; 4412.32.3265; 4412.32.3275;               Antidumping and Countervailing Duty                   subject merchandise.
                                                    4412.32.3285; 4412.32.5700; 4412.94.1030;               Centralized Electronic Service System
                                                    4412.94.1050; 4412.94.3105; 4412.94.3111;               (ACCESS). ACCESS is available to                      Analysis of Subsidy Programs and
                                                    4412.94.3121; 4412.94.3141; 4412.94.3161;                                                                     Comments Received
                                                    4412.94.3175; 4412.94.4100; 4412.99.0600;                 1 See Biodiesel from Argentina: Preliminary
                                                                                                                                                                    The subsidy programs under
                                                    4412.99.1020; 4412.99.1030; 4412.99.1040;
asabaliauskas on DSKBBXCHB2PROD with NOTICES




                                                                                                            Affirmative Countervailing Duty Determination and
                                                                                                            Preliminary Affirmative Critical Circumstances
                                                                                                                                                                  investigation, and the issues raised in
                                                    4412.99.3110; 4412.99.3120; 4412.99.3130;
                                                    4412.99.3140; 4412.99.3150; 4412.99.3160;               Determination, in Part, 82 FR 40748 (Preliminary      the case and rebuttal briefs submitted by
                                                    4412.99.3170; 4412.99.4100; 4412.99.5115;               Determination) and accompanying Preliminary           the interested parties in this proceeding,
                                                                                                            Decision Memorandum (PDM).                            are discussed in the Final Decision
                                                    and 4412.99.5710.                                         2 See Memorandum, ‘‘Issues and Decision
                                                       Imports of hardwood plywood may also                                                                       Memorandum. A list of the issues raised
                                                                                                            Memorandum for the final Determination in the
                                                    enter under HTSUS subheadings                           Countervailing Duty Investigation of Biodiesel from   by the parties and addressed by the
                                                    4412.99.6000; 4412.99.7000; 4412.99.8000;               the Republic of Argentina,’’ dated concurrently
                                                    4412.99.9000; 4412.10.9000; 4412.94.5100;               with this determination and hereby adopted by this      3 See Preliminary Determination at 82 FR 40749

                                                    4412.94.9500; and 4412.99.9500. While the               notice (Final Decision Memorandum).                   and PDM at 5–8.



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                                                    53478                     Federal Register / Vol. 82, No. 220 / Thursday, November 16, 2017 / Notices

                                                    Department in the Final Decision                           For further information on the                       Final Determination
                                                    Memorandum is attached at Appendix I                    Department’s application of AFA, as
                                                    to this notice.                                         summarized above, see the section                         The Department determines the total
                                                                                                            titled, ‘‘Use of Facts Otherwise                        estimated countervailable subsidy rates
                                                    Verification                                                                                                    to be:
                                                                                                            Available and Adverse Inferences,’’ in
                                                      As provided in section 782(i) of the                  the Final Decision Memorandum.
                                                    Act, during September 2017, the                                                                                                                                    Subsidy
                                                                                                            Changes Since the Preliminary                                           Company                             rate
                                                    Department verified the subsidy                         Determination                                                                                             (percent)
                                                    information reported by the Government
                                                    of Argentina (GOA), LDC Argentina, and                    Based on our analysis of the                          LDC Argentina S.A 8 ...................               72.28
                                                    Vicentin. We used standard verification                 comments received from parties and the                  Vicentin S.A.I.C 9 ........................           71.45
                                                    procedures, including an examination of                 minor corrections presented, we made                    All-Others ....................................       71.87
                                                    relevant accounting records and original                certain changes to the respondents’
                                                    source documents provided by the                        subsidy rate calculations set forth in the
                                                                                                            Preliminary Determination. For a                        Disclosure
                                                    respondents.4
                                                                                                            discussion of these changes, see the                      The Department will disclose the
                                                    Use of Adverse Facts Available                          Final Decision Memorandum and the                       calculations performed within five days
                                                       If necessary information is not                      Final Calculation Memoranda.6                           of the date of publication of this notice
                                                    available on the record, or an interested               All-Others Rate                                         to parties in this proceeding in
                                                    party withholds information, fails to                                                                           accordance with 19 CFR 351.224(b).
                                                                                                              In accordance with section
                                                    provide requested information in a
                                                                                                            705(c)(1)(B)(i)(I) of the Act, the                      Continuation of Suspension of
                                                    timely manner, significantly impedes a
                                                                                                            Department calculated a countervailable                 Liquidation
                                                    proceeding by not providing
                                                                                                            subsidy rate for the individually
                                                    information, or information provided
                                                                                                            investigated exporters/producers of the                    In accordance with sections 703(d) of
                                                    cannot be verified, the Department will
                                                                                                            subject merchandise. Consistent with                    the Act, the Department will instruct
                                                    apply facts available, pursuant to
                                                                                                            sections 705(c)(1)(B)(i)(I) and                         U.S. Customs and Border Protection
                                                    section 776(a)(1) & (2) of the Act.
                                                                                                            705(c)(5)(A) of the Act, the Department                 (CBP) to continue to suspend
                                                       For purposes of this final                           also calculated an estimated ‘‘all-others’’
                                                    determination, the Department                                                                                   liquidation of all appropriate entries of
                                                                                                            rate for exporters and producers not                    biodiesel from Argentina, which were
                                                    continued to rely, in part, on facts                    individually investigated. Section
                                                    available. For the GOA and Vicentin,5                                                                           entered, or withdrawn from warehouse,
                                                                                                            705(c)(5)(A)(i) of the Act provides that                for consumption on or after August 28,
                                                    the Department is basing certain                        the ‘‘all-others’’ rate shall be an amount
                                                    countervailability determinations and                                                                           2017, the date of publication of the
                                                                                                            equal to the weighted-average of the
                                                    calculating subsidy rates for certain                                                                           Preliminary Determination. Further, the
                                                                                                            countervailable subsidy rates
                                                    examined programs on facts otherwise                                                                            Department will instruct CBP to require
                                                                                                            established for individually investigated
                                                    available, pursuant to sections                                                                                 a cash deposit for such entries of
                                                                                                            exporters and producers, excluding any
                                                    776(a)(2)(A) and 776(a)(2)(C) and (D) of                rates that are zero or de minimis or any                merchandise. Because the Department
                                                    the Act. Further, because the GOA and                   rates determined entirely under section                 finds critical circumstances no longer
                                                    Vicentin did not act to the best of their               776 of the Act. In this investigation, the              exist for LDC Argentina and Vicentin,
                                                    ability in this investigation in failing to             Department calculated individual                        the Department will terminate the
                                                    provide necessary information                           estimated countervailable subsidy rates                 retroactive suspension of liquidation
                                                    requested by the Department, we                         for LDC Argentina and Vicentin that are                 ordered at the Preliminary
                                                    determine that an adverse inference in                  not zero, de minimis, or based entirely                 Determination and release any cash
                                                    selecting from among the facts available                on facts otherwise available. Therefore,                deposits that were required during the
                                                    is warranted with respect to certain                    the Department calculated the all-others                period May 30, 2017 through August 27,
                                                    countervailable subsidy programs,                       rate using a simple average of the                      2017, consistent with section 705(c)(3)
                                                    pursuant to section 776(b) of the Act.                  individual estimated subsidy rates                      of the Act.
                                                    The Department has therefore relied, in                 calculated for the examined
                                                    part, on adverse facts available (AFA) in               respondents.7                                           other producers and exporters. See, e.g., Ball
                                                    its countervailability determination                                                                            Bearings and Parts Thereof from France, Germany,
                                                    with respect to two programs, and in                      6 See Final Decision Memorandum; see also See         Italy, Japan, and the United Kingdom: Final Results
                                                    calculating the subsidy rate for certain                Memorandum, ‘‘Countervailing Duty Investigation         of Antidumping Duty Administrative Reviews, Final
                                                    Banco de la Nacion Argentina loan                       of Biodiesel from Argentina: Final Calculations for     Results of Changed-Circumstances Review, and
                                                                                                            LDC Argentina S.A.,’’ dated November 6, 2017 (LDC       Revocation of an Order in Part, 75 FR 53661, 53663
                                                    programs.                                                                                                       (September 1, 2010). However, complete publicly
                                                                                                            Argentina Final Calculation Memorandum); see
                                                                                                            also Memorandum, ‘‘Countervailing Duty                  ranged sales data are not available on the record of
                                                      4 See Memorandum, ‘‘Countervailing Duty               Investigation of Biodiesel from Argentina: Final        this investigation. Therefore, the Department has
                                                    Investigation of Biodiesel from the Republic of         Calculations for Vicentin S.A.I.C. et Alia,’’ dated     based the all-others rate on a simple average of the
                                                    Argentina: Verification of the Questionnaire            November 6, 2017 (Vicentin Final Calculation            estimated subsidy rates calculated for the examined
                                                    Responses of the Government of the Republic of          Memorandum).                                            respondents. For a complete analysis of the data,
                                                    Argentina,’’ dated September 29, 2017;                    7 With two respondents under examination, the         please see the All-Others’ Rate Calculation
                                                                                                                                                                    Memorandum.
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                                                    Memorandum, ‘‘Countervailing Duty Investigation         Department normally calculates (A) a weighted-
                                                    of Biodiesel from the Republic of Argentina:            average of the estimated subsidy rates calculated for      8 As discussed in the Preliminary Decision

                                                    Verification of the Questionnaire Responses of LDC      the examined respondents; (B) a simple average of       Memorandum, the Department has found the
                                                    Argentina SA.,’’ dated September 29, 2017; and          the estimated subsidy rates calculated for the          following companies to be cross-owned with LDC
                                                    Memorandum, ‘‘Countervailing Duty Investigation         examined respondents; and (C) a weighted-average        Argentina S.A.: LDC Semillas S.A., Semillas del
                                                    of Biodiesel from Argentina: Verification of the        of the estimated subsidy rates calculated for the       Rosario S.A.
                                                    Questionnaire Responses of Vicentin S.A.I.C.,’’         examined respondents using each company’s                  9 As discussed in the Preliminary Decision
                                                    dated September 29, 2017.                               publicly-ranged U.S. sale quantities for the            Memorandum, the Department has found the
                                                      5 Vicentin includes its cross-owned affiliates        merchandise under consideration. The Department         following companies to be cross-owned with
                                                    Oleaginosa San Lorenzo S.A. (San Lorenzo) and Los       then compares (B) and (C) to (A) and selects the rate   Vicentin S.A.I.C.: Oleaginosa San Lorenzo S.A, Los
                                                    Amores S.A. (Los Amores).                               closest to (A) as the most appropriate rate for all     Amores S.A.



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                                                                              Federal Register / Vol. 82, No. 220 / Thursday, November 16, 2017 / Notices                                                      53479

                                                    International Trade Commission                          VIII. Use of Facts Otherwise Available and            3826.00.3000. Although the HTSUS
                                                    Notification                                                 Adverse Inferences                               subheadings, ASTM specifications, and CAS
                                                                                                            IX. Analysis of Programs                              numbers are provided for convenience and
                                                       In accordance with section 705(d) of                 X. Discussion of the Issues                           customs purposes, the written description of
                                                    the Act, we will notify the U.S.                          Comment 1: Whether an Export Tax on                 the scope is dispositive.
                                                    International Trade Commission (ITC) of                      Soybeans Is a Countervailable Subsidy            [FR Doc. 2017–24857 Filed 11–15–17; 8:45 am]
                                                    the final affirmative determination of                    Comment 2: Whether Benefits Associated
                                                                                                                                                                  BILLING CODE 3510–DS–P
                                                    countervailable subsidies. Because the                       With Purchases of Soybeans for LTAR
                                                    final determination in this proceeding is                    Are Tied to Sales of Soybean-Based
                                                                                                                 Products
                                                    affirmative, in accordance with section                                                                       DEPARTMENT OF COMMERCE
                                                                                                              Comment 3: Whether the Department
                                                    705(b) of the Act, the ITC will make its                     Should Add a Certain Expense to the
                                                    final determination as to whether the                        Two-Tier Benchmark                               International Trade Administration
                                                    domestic industry in the United States                    Comment 4: Whether the Department’s                 [A–469–817]
                                                    is materially injured, or threatened with                    Benchmark Relates to the Prevailing
                                                    material injury, by reason of imports of                     Market Conditions in Argentina                   Ripe Olives From Spain:
                                                    biodiesel from Argentina no later than                    Comment 5: Whether the Department                   Postponement of Preliminary
                                                    45 days after our final determination. If                    Should Attribute Los Amores’ Alleged
                                                                                                                 Subsidies to Vicentin
                                                                                                                                                                  Determination in the Less-Than-Fair-
                                                    the ITC determines that material injury                                                                       Value Investigation
                                                                                                              Comment 6: Whether the Department
                                                    or threat of material injury does not                        Should Apply AFA Regarding Certain
                                                    exist, the proceeding will be terminated                                                                      AGENCY:  Enforcement and Compliance,
                                                                                                                 BNA Preferential Loans
                                                    and all cash deposits will be refunded.                                                                       International Trade Administration,
                                                                                                              Comment 7: Whether the Department Has
                                                    If the ITC determines that such injury                       the Authority to Investigate ‘‘All Other’’       Department of Commerce.
                                                    does exist, the Department will issue a                      Subsidies                                        DATES: Applicable November 16, 2017.
                                                    CVD order directing CBP to assess, upon                   Comment 8: Whether To Apply AFA to Los              FOR FURTHER INFORMATION CONTACT:
                                                    further instruction by the Department,                       Amores’ Use of a Ten-Year Tax                    Catherine Cartsos at (202) 482–1757,
                                                    countervailing duties on all imports of                      Exemption Provided by the Province of            AD/CVD Operations, Office I,
                                                                                                                 Santiago del Estero
                                                    the subject merchandise entered, or                                                                           Enforcement and Compliance,
                                                                                                              Comment 9: Whether the Department
                                                    withdrawn from warehouse, for                                Correctly Calculated LDC Argentina’s             International Trade Administration,
                                                    consumption on or after the effective                        Benefit From the General Lagos DReI              U.S. Department of Commerce, 1401
                                                    date of the suspension of liquidation, as                    Convenio                                         Constitution Avenue NW., Washington,
                                                    discussed above in the ‘‘Continuation of                  Comment 10: Whether ‘‘Pacto Fiscal’’                DC 20230.
                                                    Suspension of Liquidation’’ section.                         Confers Countervailable Benefits to LDC          SUPPLEMENTARY INFORMATION:
                                                                                                                 Argentina
                                                    Notification Regarding Administrative                   XI. Conclusion                                        Background
                                                    Protective Orders                                                                                               On July 12, 2017, the Department of
                                                                                                            Appendix II
                                                      This notice serves as the only                                                                              Commerce (the Department) initiated a
                                                    reminder to parties subject to                          Scope of the Investigation                            less-than-fair-value (LTFV) investigation
                                                    administrative protective order (APO) of                   The product covered by this investigation          of imports of ripe olives from Spain.1
                                                    their responsibility concerning the                     is biodiesel, which is a fuel comprised of            Currently, the preliminary
                                                    disposition of proprietary information                  mono-alkyl esters of long chain fatty acids           determination is due no later than
                                                                                                            derived from vegetable oils or animal fats,
                                                    disclosed under APO in accordance                                                                             November 29, 2017.
                                                                                                            including biologically-based waste oils or
                                                    with 19 CFR 351.305(a)(3). Timely                       greases, and other biologically-based oil or fat      Postponement of Preliminary
                                                    written notification of return/                         sources. The investigation covers biodiesel in        Determination
                                                    destruction of APO materials or                         pure form (B100) as well as fuel mixtures
                                                    conversion to judicial protective order is              containing at least 99 percent biodiesel by              Section 733(b)(1)(A) of the Tariff Act
                                                    hereby requested. Failure to comply                     volume (B99). For fuel mixtures containing            of 1930, as amended (the Act), requires
                                                    with the regulations and the terms of an                less than 99 percent biodiesel by volume,             the Department to issue the preliminary
                                                    APO is a violation subject to sanction.                 only the biodiesel component of the mixture           determination in a LTFV investigation
                                                      This determination is issued and                      is covered by the scope of the investigation.         within 140 days after the date on which
                                                                                                               Biodiesel is generally produced to                 the Department initiated the
                                                    published in accordance with sections                   American Society for Testing and Materials
                                                    705(d) and 777(i) of the Act.                           International (ASTM) D6751 specifications,
                                                                                                                                                                  investigation. However, section
                                                      Dated: November 6, 2017.                              but it can also be made to other                      733(c)(1)(A)(b)(1) of the Act permits the
                                                                                                            specifications. Biodiesel commonly has one            Department to postpone the preliminary
                                                    Gary Taverman,
                                                                                                            of the following Chemical Abstracts Service           determination until no later than 190
                                                    Deputy Assistant Secretary for Antidumping
                                                    and Countervailing Duty Operations,
                                                                                                            (CAS) numbers, generally depending upon               days after the date on which the
                                                                                                            the feedstock used: 67784–80–9 (soybean oil           Department initiated the investigation
                                                    performing the non-exclusive functions and
                                                                                                            methyl esters); 91051–34–2 (palm oil methyl           if: (A) The petitioner 2 makes a timely
                                                    duties of the Assistant Secretary for
                                                                                                            esters); 91051–32–0 (palm kernel oil methyl           request for a postponement; or (B) the
                                                    Enforcement and Compliance.                             esters); 73891–99–3 (rapeseed oil methyl
                                                                                                            esters); 61788–61–2 (tallow methyl esters);
                                                                                                                                                                  Department concludes that the parties
                                                    Appendix I                                                                                                    concerned are cooperating, that the
                                                                                                            68990–52–3 (vegetable oil methyl esters);
                                                    List of Topics Discussed in the Final                                                                         investigation is extraordinarily
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                                                                                                            129828–16–6 (canola oil methyl esters);
                                                    Decision Memorandum                                     67762–26–9 (unsaturated alkylcarboxylic               complicated, and that additional time is
                                                    I. Summary                                              acid methyl ester); or 68937–84–8 (fatty              necessary to make a preliminary
                                                    II. Background                                          acids, C12–C18, methyl ester).                        determination. Under 19 CFR
                                                    III. Period of Investigation                               The B100 product subject to the
                                                    IV. Scope Comments                                      investigation is currently classifiable under            1 See Ripe Olives from Spain: Initiation of
                                                    V. Scope of the Investigation                           subheading 3826.00.1000 of the Harmonized             Investigation, 82 FR 33054 (July 19, 2017)
                                                    VI. Final Determination of Critical                     Tariff Schedule of the United States                  (Initiation Notice).
                                                          Circumstances                                     (HTSUS), while the B99 product is currently              2 The petitioner is the Coalition for Fair Trade in

                                                    VII. Subsidies Valuation Information                    classifiable under HTSUS subheading                   Ripe Olives.



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Document Created: 2017-11-16 03:52:56
Document Modified: 2017-11-16 03:52:56
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
DatesApplicable November 16, 2017.
ContactKathryn Wallace or Elfi Blum, AD/CVD Operations, Office VII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-6251, or (202) 482- 0197, respectively.
FR Citation82 FR 53477 

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