83_FR_32081 83 FR 31949 - Sodium Gluconate, Gluconic Acid, and Derivative Products From the People's Republic of China: Preliminary Determination of Sales at Less Than Fair Value

83 FR 31949 - Sodium Gluconate, Gluconic Acid, and Derivative Products From the People's Republic of China: Preliminary Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 132 (July 10, 2018)

Page Range31949-31951
FR Document2018-14729

The U.S. Department of Commerce (Commerce) preliminarily determines that sodium gluconate, gluconic acid, and derivative products from the People's Republic of China (China) are, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is April 1, 2017, through September 30, 2017. Interested parties are invited to comment on this preliminary determination.

Federal Register, Volume 83 Issue 132 (Tuesday, July 10, 2018)
[Federal Register Volume 83, Number 132 (Tuesday, July 10, 2018)]
[Notices]
[Pages 31949-31951]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-14729]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-071]


Sodium Gluconate, Gluconic Acid, and Derivative Products From the 
People's Republic of China: Preliminary Determination of Sales at Less 
Than Fair Value

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that sodium gluconate, gluconic acid, and derivative 
products from the People's Republic of China (China) are, or are likely 
to be, sold in the United States at less than fair value (LTFV). The 
period of investigation (POI) is April 1, 2017, through September 30, 
2017. Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable July 10, 2018.

FOR FURTHER INFORMATION CONTACT: Magd Zalok or Stephen Bailey, AD/CVD 
Operations, Office IV, Enforcement & Compliance, International Trade 
Administration, Department of Commerce, 1401 Constitution Avenue NW, 
Washington, DC 20230; telephone: (202) 482-4162 or (202) 482-0193 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is in accordance with section 733(b) 
of the Tariff Act of 1930, as amended (the Act). Commerce published the 
notice of initiation of this investigation on January 4, 2018.\1\ On 
May 1, 2018, Commerce postponed the preliminary determination of this 
investigation.\2\ Commerce has exercised its discretion to toll 
deadlines for the duration of the closure of the Federal Government 
from January 20 through 22, 2018.\3\ The revised deadline for the 
preliminary determination for this investigation is now July 2, 2018.
---------------------------------------------------------------------------

    \1\ See Sodium Gluconate, Gluconic Acid, and Derivative Products 
from France and the People's Republic of China: Initiation of Less-
Than-Fair-Value Investigations, 83 FR 516 (January 4, 2018) 
(Initiation Notice).
    \2\ See Sodium Gluconate, Gluconic Acid, and Derivative Products 
from the People's Republic of China: Postponement of Preliminary 
Determination in the Less-Than-Fair-Value Investigation, 83 FR 19050 
(May 1, 2018).
    \3\ See Memorandum, for The Record from Christian Marsh, Deputy 
Assistant Secretary for Enforcement and Compliance, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance, ``Deadlines Affected by the Shutdown of 
the Federal Government,'' (Tolling Memorandum), dated January 23, 
2018. All deadlines in this segment of the proceeding have been 
extended by 3 days.
---------------------------------------------------------------------------

    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\4\ A list of topics included in the Preliminary Decision 
Memorandum is included as Appendix II to this notice. The Preliminary 
Decision Memorandum is a public document and is on file electronically 
via Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at https://access.trade.gov, and to all parties in the 
Central Records Unit, room B8024 of the main Department of Commerce 
building. In addition, a complete version of the Preliminary Decision 
Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed and the electronic versions of the Preliminary 
Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination of the Less-Than-Fair-Value Investigation of Sodium 
Gluconate, Gluconic Acid, and Derivative Products from People's 
Republic of China (Preliminary Decision Memorandum), dated 
concurrently with, and hereby adopted by, this notice. See also 
Appendix I.
---------------------------------------------------------------------------

Scope of the Investigation

    The products covered by this investigation are sodium gluconate, 
gluconic acid, and derivative products from China. For a complete 
description of the scope of this investigation, see Appendix I to this 
notice.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\5\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (scope).\6\ On January 9, 2018, and 
January 19, 2018, Commerce received scope comments and rebuttal 
comments, respectively.\7\ For further details, see the Preliminary 
Decision Memorandum accompanying this notice. However, Commerce is not 
preliminarily modifying the scope language as it appeared in the 
Initiation Notice. See the scope in Appendix I to this notice.
---------------------------------------------------------------------------

    \5\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \6\ See Initiation Notice.
    \7\ See Letter from Jungbunzlauer S.A. to Commerce, 
``Investigations Sodium Gluconate, Gluconic Acid, and Derivative 
Products from France and China--Junsbunzlauers Comments regarding 
Scope,'' dated January 9, 2018, and PMP's Letter to Commerce, 
``Countervailing and Antidumping Duty Investigation of Sodium 
Gluconate, Gluconic Acid and Derivative Products from the People's 
Republic of China: Petitioner's Rebuttal Comments on Scope 
Comments,'' dated January 19, 2018.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Pursuant to sections 776(a) and (b) of the Act, 
Commerce preliminarily has relied upon facts otherwise available, with 
adverse inferences, for the China-wide entity. The China-wide entity 
includes mandatory respondents Shandong Fuyang Biotechnology Co., Ltd./
Shandong Fuyang Biology Starch Co., Ltd. (Shandong Fuyang) \8\ Qingdao

[[Page 31950]]

Dongxiao Enterprise Co., Ltd. (Qingdao Dongxiao),\9\ Zhejiang Tianyi 
Food Additives Co., Ltd. (Tianyi Food) \10\ and Dezhou Huiyang 
Biotechnology Co., Ltd. (Dezhou Huiyang).\11\ These companies failed to 
respond to Commerce's requests for information and withdrew from 
participation in this investigation. For a full description of the 
methodology underlying Commerce's preliminary determination, see the 
Preliminary Decision Memorandum.
---------------------------------------------------------------------------

    \8\ See Memorandum, ``Less-Than-Fair-Value Investigation of 
Sodium Gluconate, Gluconic Acid, and Derivative Products from the 
People's Republic of China: Respondent Selection,'' dated January 
17, 2018 (Initial Respondent Selection Memorandum). See also 
Shandong Fuyang letter, ``Notice of Non-Participation in 
Investigation,'' dated March 30, 2018.
    \9\ See Qingdao Dongxiao, see the Initial Respondent Selection 
Memorandum and Qingdao Dongxiao's Letter, ``Withdrawal from 
Participation,'' dated February 14, 2018.
    \10\ See Tianyi Food, see Commerce's Memorandum, ``Selection of 
Additional Respondent,'' dated March 5, 2018 and Tianyi Food's 
Letter, ``Withdrawal from Participation,'' dated March 8, 2018.
    \11\ See Dezhou Huiyang's Commerce's Memorandum, ``Selection of 
Additional Respondent,'' dated March 9, 2018 and Dezhou Huiyang's 
Letter, ``Dezhou Huiyang Biotechnology Co., Ltd. Withdrawal of 
Participation in Antidumping Duty Investigation,'' dated March 13, 
2018.
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Separate Rate

    In proceedings involving NME countries, Commerce maintains a 
rebuttable presumption that all companies within the country are 
subject to government control and, therefore, should be assessed a 
single weighted-average dumping margin.\12\ Commerce's policy is to 
assign all exporters of subject merchandise that are in an NME country 
this single rate unless an exporter can demonstrate that it is 
sufficiently independent so as to be entitled to a separate rate.\13\ 
Commerce preliminarily finds that the evidence placed on the record of 
this investigation by Anhui Xingzhou Medicine Food Co., Ltd. (Xingzhou 
Medicine) \14\ demonstrates an absence of de jure and de facto 
government control. Commerce assigned Xingzhou Medicine a separate 
rate, which is the petition rate, because it is the only rate available 
on the record of this proceeding. For a full description of the 
methodology underlying Commerce's preliminary determination, see the 
Preliminary Decision Memorandum.
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    \12\ See, e.g., Polyethylene Terephthalate Film, Sheet, and 
Strip from the People's Republic of China: Final Determination of 
Sales at Less Than Fair Value, 73 FR 55039, 55040 (September 24, 
2008).
    \13\ See Final Determination of Sales at Less Than Fair Value: 
Sparklers from the People's Republic of China, 56 FR 20588, 20589 
(May 6, 1991) (Sparklers).
    \14\ See, e.g., Xingzhou Medicine's Letter, ``Xingzhou Medicine 
Separate Rate Application,'' dated February 5, 2018; Commerce's 
Letter, ``1st Supplemental Questionnaire Regarding the Separate Rate 
Application for Anhui Xingzhou Medicine Food Co., Ltd.,'' dated 
February 27, 2018; Xingzhou Medicine's Letter, ``Supplemental SRA 
Questionnaire Response,'' dated March 6, 2018; Commerce's Letter, 
``2nd Supplemental Questionnaire regarding the Separate Rate 
Application for Anhui Xingzhou Medicine Food Co., Ltd.,'' dated 
March 22, 2018. and Xingzhou Medicine's Letter, ``Second 
Supplemental SRA Questionnaire Response,'' dated March 29, 2018.
---------------------------------------------------------------------------

Combination Rates

    In the Initiation Notice,\15\ Commerce stated that it would 
calculate producer/exporter combination rates for the respondents that 
are eligible for a separate rate in this investigation. Policy Bulletin 
05.1 describes this practice.\16\ Because Commerce preliminarily 
determined that these mandatory respondents should be considered part 
of the China-wide entity, and assigned, as adverse facts available, the 
petition rate to the China-wide entity, Commerce did not calculate 
producer/exporter combination rates for those companies.
---------------------------------------------------------------------------

    \15\ See Initiation Notice at 42652-53.
    \16\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on 
Commerce's website at http://enforcement.trade.gov/policy/bull05-1.pdf.
    \17\ The China-wide Entity includes Dezhou Huiyang, Qingdao 
Dongxiao, Shandong Fuyang, and Tianyi Food.
---------------------------------------------------------------------------

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                             Estimated
                                                             weighted-
            Exporter                     Producer             average
                                                          dumping margin
                                                             (percent)
------------------------------------------------------------------------
Anhui Xingzhou Medicine Food     Xiwang Pharmaceutical            213.15
 Co., Ltd.                        Co., Ltd.
Anhui Xingzhou Medicine Food     Zhucheng Shuguang                213.15
 Co., Ltd.                        Biotech Co., Ltd.
------------------------------------------------------------------------
                 China-wide Entity \17\                           213.15
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of subject merchandise as described in the scope of the investigation 
section entered, or withdrawn from warehouse, for consumption on or 
after the date of publication of this notice in the Federal Register, 
as discussed below. Further, pursuant to section 733(d)(1)(B) of the 
Act and 19 CFR 351.205(d), Commerce will instruct CBP to require a cash 
deposit equal to the weighted average amount by which normal value 
exceeds U.S. price, as indicated in the chart above as follows: (1) For 
the producer/exporter combinations listed in the table above, the cash 
deposit rate is equal to the estimated weighted-average dumping margin 
listed for that combination in the table; (2) for all combinations of 
China producers/exporters of merchandise under consideration that have 
not established eligibility for their own separate rates, the cash 
deposit rate will be equal to the estimated weighted-average dumping 
margin established for the China-wide entity; and (3) for all third-
country exporters of merchandise under consideration not listed in the 
table above, the cash deposit rate is the cash deposit rate applicable 
to the China producer/exporter combination (or the China-wide entity) 
that supplied that third-country exporter.
    As described in the Preliminary Decision Memorandum, in this 
preliminary determination, no adjustments pursuant to sections 777A(f) 
and 772(c)(1)(C) of the Act are being made for cash deposit purposes.
    These suspension of liquidation instructions will remain in effect 
until further notice.

Disclosure

    Normally, Commerce discloses to interested parties the calculations 
performed in connection with a preliminary determination within five 
days of its public announcement or, if there is no public announcement, 
within five days of the date of publication of this notice in 
accordance with 19 CFR 351.224(b). However,

[[Page 31951]]

because Commerce preliminarily determined that the mandatory 
respondents should be considered to be part of the China-wide entity, 
and assigned the China-wide entity an AFA rate based solely on the 
petition, there are no calculations to disclose.

Verification

    Because the mandatory respondents in this investigation did not 
provide information requested by Commerce and Commerce preliminarily 
determines in accordance with section 776(b) of the Act that each of 
the mandatory respondents to have been uncooperative, verification will 
not be conducted.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than 30 
days after the date of publication of the preliminary determination, 
unless the Secretary alters the time limit. Rebuttal briefs, limited to 
issues raised in case briefs, may be submitted no later than five days 
after the deadline date for case briefs.\18\ Pursuant to 19 CFR 
351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal 
briefs in this investigation are encouraged to submit with each 
argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities.
---------------------------------------------------------------------------

    \18\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time 
and date to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing two days before the scheduled 
date.

Final Determination

    Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that 
Commerce will issue the final determination within 75 days after the 
date of its preliminary determination. Accordingly, Commerce will make 
its final determination no later than 75 days after the signature date 
of this preliminary determination.

International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its preliminary 
determination of sales at LTFV. If the final determination is 
affirmative, the ITC will determine before the later of 120 days after 
the date of this preliminary determination or 45 days after the final 
determination whether imports of the subject merchandise are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: July 2, 2018.
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

Scope of the Investigation

    The scope of the investigation covers all grades of sodium 
gluconate, gluconic acid, liquid gluconate, and glucono delta 
lactone (GDL) (collectively GNA Products), regardless of physical 
form (including, but not limited to substrates; solutions; dry 
granular form or powders, regardless of particle size; or as a 
slurry). The scope also includes GNA Products that have been blended 
or are in solution with other product(s) where the resulting mix 
contains 35 percent or more of sodium gluconate, gluconic acid, 
liquid gluconate, and/or GDL by dry weight.
    Sodium gluconate has a molecular formula of 
NaC6H11O7. Sodium gluconate has a 
Chemical Abstract Service (CAS) registry number of 527-07-1, and can 
also be called ``sodium salt of gluconic acid'' and/or sodium 2, 3, 
4, 5, 6 pentahydroxyhexanoate. Gluconic acid has a molecular formula 
of C6H12O7. Gluconic acid has a CAS 
registry number of 526-95-4, and can also be called 2, 3, 4, 5, 6 
pentahydroxycaproic acid. Liquid gluconate is a blend consisting 
only of gluconic acid and sodium gluconate in an aqueous solution. 
Liquid gluconate has CAS registry numbers of 527-07-1, 526-95-4, and 
7732-18-5, and can also be called 2, 3, 4, 5, 6-pentahydroxycaproic 
acid-hexanoate. GDL has a molecular formula of 
C6H10O6. GDL has a CAS registry 
number of 90-80-2, and can also be called d-glucono-1,5-lactone.
    The merchandise covered by the scope of the investigation is 
currently classified in the Harmonized Tariff Schedule of the United 
States (HTSUS) under subheadings 2918.16.1000, 2918.16.5010, and 
2932.20.5020. Merchandise covered by the scope may also enter under 
HTSUS subheadings 2918.16.5050, 3824.99.2890, and 3824.99.9295. 
Although the HTSUS subheadings and CAS registry numbers are provided 
for convenience and customs purposes, the written description of the 
merchandise is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Scope of the Investigation
VI. Discussion of the Methodology
    A. Non-Market Economy Country
    B. Surrogate Country and Surrogate Value Comments
    C. Separate Rates
    D. China-Wide Entity
    E. Use of Facts Otherwise Available With an Adverse Inference
VII. Adjustment Under Section 777(A)(f) of the Act
VIII. Adjustments to Cash Deposit Rates for Export Subsidies
IX. Verification
X. Conclusion

[FR Doc. 2018-14729 Filed 7-9-18; 8:45 am]
 BILLING CODE 3510-DS-P



                                                                              Federal Register / Vol. 83, No. 132 / Tuesday, July 10, 2018 / Notices                                                  31949

                                                Estimated Total Annual Cost to                         are invited to comment on this                        access.trade.gov, and to all parties in the
                                              Public: $0. (This is not the cost of                     preliminary determination.                            Central Records Unit, room B8024 of the
                                              respondents’ time, but the indirect costs                DATES: Applicable July 10, 2018.                      main Department of Commerce
                                              respondents may incur for such things                    FOR FURTHER INFORMATION CONTACT:                      building. In addition, a complete
                                              as purchases of specialized software or                  Magd Zalok or Stephen Bailey, AD/CVD                  version of the Preliminary Decision
                                              hardware needed to report, or                            Operations, Office IV, Enforcement &                  Memorandum can be accessed directly
                                              expenditures for accounting or records                   Compliance, International Trade                       at http://enforcement.trade.gov/frn/.
                                              maintenance services required                            Administration, Department of                         The signed and the electronic versions
                                              specifically by the collection.)                         Commerce, 1401 Constitution Avenue                    of the Preliminary Decision
                                                Respondent Obligation: Voluntary.                      NW, Washington, DC 20230; telephone:                  Memorandum are identical in content.
                                                Legal Authority: Title 13 U.S.C. 16,                   (202) 482–4162 or (202) 482–0193                      Scope of the Investigation
                                              141, and 193.                                            respectively.
                                                                                                                                                                The products covered by this
                                              V. Request for Comments                                  SUPPLEMENTARY INFORMATION:
                                                                                                                                                             investigation are sodium gluconate,
                                                 Comments are invited on: (a) Whether                  Background                                            gluconic acid, and derivative products
                                              the proposed collection of information                                                                         from China. For a complete description
                                              is necessary for the proper performance                     This preliminary determination is in
                                                                                                       accordance with section 733(b) of the                 of the scope of this investigation, see
                                              of the functions of the agency, including                                                                      Appendix I to this notice.
                                              whether the information shall have                       Tariff Act of 1930, as amended (the Act).
                                              practical utility; (b) the accuracy of the               Commerce published the notice of                      Scope Comments
                                              agency’s estimate of the burden                          initiation of this investigation on
                                                                                                       January 4, 2018.1 On May 1, 2018,                       In accordance with the preamble to
                                              (including hours and cost) of the                                                                              Commerce’s regulations,5 the Initiation
                                              proposed collection of information; (c)                  Commerce postponed the preliminary
                                                                                                       determination of this investigation.2                 Notice set aside a period of time for
                                              ways to enhance the quality, utility, and                                                                      parties to raise issues regarding product
                                              clarity of the information to be                         Commerce has exercised its discretion
                                                                                                       to toll deadlines for the duration of the             coverage (scope).6 On January 9, 2018,
                                              collected; and (d) ways to minimize the                                                                        and January 19, 2018, Commerce
                                              burden of the collection of information                  closure of the Federal Government from
                                                                                                       January 20 through 22, 2018.3 The                     received scope comments and rebuttal
                                              on respondents, including through the                                                                          comments, respectively.7 For further
                                              use of automated collection techniques                   revised deadline for the preliminary
                                                                                                       determination for this investigation is               details, see the Preliminary Decision
                                              or other forms of information                                                                                  Memorandum accompanying this
                                              technology.                                              now July 2, 2018.
                                                                                                          For a complete description of the                  notice. However, Commerce is not
                                                 Summarization of comments                                                                                   preliminarily modifying the scope
                                                                                                       events that followed the initiation of
                                              submitted in response to this notice will                                                                      language as it appeared in the Initiation
                                                                                                       this investigation, see the Preliminary
                                              be included in the request for OMB                                                                             Notice. See the scope in Appendix I to
                                                                                                       Decision Memorandum.4 A list of topics
                                              approval of this information collection.                                                                       this notice.
                                                                                                       included in the Preliminary Decision
                                              Comments will also become a matter of
                                                                                                       Memorandum is included as Appendix                    Methodology
                                              public record.
                                                                                                       II to this notice. The Preliminary
                                              Sheleen Dumas,                                           Decision Memorandum is a public                         Commerce is conducting this
                                                                                                       document and is on file electronically                investigation in accordance with section
                                              Departmental Lead PRA Officer, Office of the
                                              Chief Information Officer.                               via Enforcement and Compliance’s                      731 of the Act. Pursuant to sections
                                                                                                       Antidumping and Countervailing Duty                   776(a) and (b) of the Act, Commerce
                                              [FR Doc. 2018–14695 Filed 7–9–18; 8:45 am]
                                                                                                       Centralized Electronic Service System                 preliminarily has relied upon facts
                                              BILLING CODE 3510–07–P
                                                                                                       (ACCESS). ACCESS is available to                      otherwise available, with adverse
                                                                                                       registered users at https://                          inferences, for the China-wide entity.
                                              DEPARTMENT OF COMMERCE                                                                                         The China-wide entity includes
                                                                                                          1 See Sodium Gluconate, Gluconic Acid, and         mandatory respondents Shandong
                                              International Trade Administration                       Derivative Products from France and the People’s      Fuyang Biotechnology Co., Ltd./
                                                                                                       Republic of China: Initiation of Less-Than-Fair-      Shandong Fuyang Biology Starch Co.,
                                              [A–570–071]                                              Value Investigations, 83 FR 516 (January 4, 2018)     Ltd. (Shandong Fuyang) 8 Qingdao
                                                                                                       (Initiation Notice).
                                              Sodium Gluconate, Gluconic Acid, and                        2 See Sodium Gluconate, Gluconic Acid, and
                                                                                                                                                                5 See Antidumping Duties; Countervailing Duties,
                                              Derivative Products From the People’s                    Derivative Products from the People’s Republic of
                                                                                                       China: Postponement of Preliminary Determination      62 FR 27296, 27323 (May 19, 1997).
                                              Republic of China: Preliminary                           in the Less-Than-Fair-Value Investigation, 83 FR         6 See Initiation Notice.
                                              Determination of Sales at Less Than                      19050 (May 1, 2018).                                     7 See Letter from Jungbunzlauer S.A. to

                                              Fair Value                                                  3 See Memorandum, for The Record from              Commerce, ‘‘Investigations Sodium Gluconate,
                                                                                                       Christian Marsh, Deputy Assistant Secretary for       Gluconic Acid, and Derivative Products from
                                              AGENCY:  Enforcement and Compliance,                     Enforcement and Compliance, performing the non-       France and China—Junsbunzlauers Comments
                                              International Trade Administration,                      exclusive functions and duties of the Assistant       regarding Scope,’’ dated January 9, 2018, and PMP’s
                                              Department of Commerce.                                  Secretary for Enforcement and Compliance,             Letter to Commerce, ‘‘Countervailing and
                                                                                                       ‘‘Deadlines Affected by the Shutdown of the           Antidumping Duty Investigation of Sodium
                                              SUMMARY: The U.S. Department of                          Federal Government,’’ (Tolling Memorandum),           Gluconate, Gluconic Acid and Derivative Products
                                              Commerce (Commerce) preliminarily                        dated January 23, 2018. All deadlines in this         from the People’s Republic of China: Petitioner’s
                                              determines that sodium gluconate,                        segment of the proceeding have been extended by       Rebuttal Comments on Scope Comments,’’ dated
amozie on DSK3GDR082PROD with NOTICES1




                                                                                                       3 days.                                               January 19, 2018.
                                              gluconic acid, and derivative products                      4 See Memorandum, ‘‘Decision Memorandum for           8 See Memorandum, ‘‘Less-Than-Fair-Value
                                              from the People’s Republic of China                      the Preliminary Determination of the Less-Than-       Investigation of Sodium Gluconate, Gluconic Acid,
                                              (China) are, or are likely to be, sold in                Fair-Value Investigation of Sodium Gluconate,         and Derivative Products from the People’s Republic
                                              the United States at less than fair value                Gluconic Acid, and Derivative Products from           of China: Respondent Selection,’’ dated January 17,
                                                                                                       People’s Republic of China (Preliminary Decision      2018 (Initial Respondent Selection Memorandum).
                                              (LTFV). The period of investigation                      Memorandum), dated concurrently with, and             See also Shandong Fuyang letter, ‘‘Notice of Non-
                                              (POI) is April 1, 2017, through                          hereby adopted by, this notice. See also Appendix     Participation in Investigation,’’ dated March 30,
                                              September 30, 2017. Interested parties                   I.                                                    2018.



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                                              31950                           Federal Register / Vol. 83, No. 132 / Tuesday, July 10, 2018 / Notices

                                              Dongxiao Enterprise Co., Ltd. (Qingdao                   weighted-average dumping margin.12                            Combination Rates
                                              Dongxiao),9 Zhejiang Tianyi Food                         Commerce’s policy is to assign all
                                              Additives Co., Ltd. (Tianyi Food) 10 and                 exporters of subject merchandise that                           In the Initiation Notice,15 Commerce
                                              Dezhou Huiyang Biotechnology Co.,                        are in an NME country this single rate                        stated that it would calculate producer/
                                              Ltd. (Dezhou Huiyang).11 These                           unless an exporter can demonstrate that                       exporter combination rates for the
                                              companies failed to respond to                           it is sufficiently independent so as to be                    respondents that are eligible for a
                                              Commerce’s requests for information                      entitled to a separate rate.13 Commerce                       separate rate in this investigation. Policy
                                              and withdrew from participation in this                  preliminarily finds that the evidence                         Bulletin 05.1 describes this practice.16
                                              investigation. For a full description of                 placed on the record of this                                  Because Commerce preliminarily
                                              the methodology underlying                               investigation by Anhui Xingzhou                               determined that these mandatory
                                              Commerce’s preliminary determination,                    Medicine Food Co., Ltd. (Xingzhou                             respondents should be considered part
                                              see the Preliminary Decision                             Medicine) 14 demonstrates an absence of                       of the China-wide entity, and assigned,
                                              Memorandum.                                              de jure and de facto government control.                      as adverse facts available, the petition
                                                                                                       Commerce assigned Xingzhou Medicine                           rate to the China-wide entity, Commerce
                                              Separate Rate                                                                                                          did not calculate producer/exporter
                                                                                                       a separate rate, which is the petition
                                                In proceedings involving NME                           rate, because it is the only rate available                   combination rates for those companies.
                                              countries, Commerce maintains a                          on the record of this proceeding. For a                       Preliminary Determination
                                              rebuttable presumption that all                          full description of the methodology
                                              companies within the country are                         underlying Commerce’s preliminary                               Commerce preliminarily determines
                                              subject to government control and,                       determination, see the Preliminary                            that the following estimated weighted-
                                              therefore, should be assessed a single                   Decision Memorandum.                                          average dumping margins exist:

                                                                                                                                                                                                             Estimated
                                                                                                                                                                                                             weighted-
                                                                                                                                                                                                              average
                                                                              Exporter                                                                       Producer                                        dumping
                                                                                                                                                                                                              margin
                                                                                                                                                                                                             (percent)

                                              Anhui Xingzhou Medicine Food Co., Ltd ....................................    Xiwang Pharmaceutical Co., Ltd ...............................................        213.15
                                              Anhui Xingzhou Medicine Food Co., Ltd ....................................    Zhucheng Shuguang Biotech Co., Ltd ......................................             213.15

                                                                                                             China-wide Entity 17                                                                                 213.15



                                              Suspension of Liquidation                                above, the cash deposit rate is equal to                        As described in the Preliminary
                                                                                                       the estimated weighted-average                                Decision Memorandum, in this
                                                In accordance with section 733(d)(2)                                                                                 preliminary determination, no
                                                                                                       dumping margin listed for that
                                              of the Act, Commerce will direct U.S.                                                                                  adjustments pursuant to sections
                                                                                                       combination in the table; (2) for all
                                              Customs and Border Protection (CBP) to                                                                                 777A(f) and 772(c)(1)(C) of the Act are
                                                                                                       combinations of China producers/
                                              suspend liquidation of subject                                                                                         being made for cash deposit purposes.
                                              merchandise as described in the scope                    exporters of merchandise under
                                                                                                       consideration that have not established                         These suspension of liquidation
                                              of the investigation section entered, or                                                                               instructions will remain in effect until
                                              withdrawn from warehouse, for                            eligibility for their own separate rates,
                                                                                                                                                                     further notice.
                                              consumption on or after the date of                      the cash deposit rate will be equal to the
                                              publication of this notice in the Federal                estimated weighted-average dumping                            Disclosure
                                              Register, as discussed below. Further,                   margin established for the China-wide                           Normally, Commerce discloses to
                                              pursuant to section 733(d)(1)(B) of the                  entity; and (3) for all third-country                         interested parties the calculations
                                              Act and 19 CFR 351.205(d), Commerce                      exporters of merchandise under                                performed in connection with a
                                              will instruct CBP to require a cash                      consideration not listed in the table                         preliminary determination within five
                                              deposit equal to the weighted average                    above, the cash deposit rate is the cash                      days of its public announcement or, if
                                              amount by which normal value exceeds                     deposit rate applicable to the China                          there is no public announcement,
                                              U.S. price, as indicated in the chart                    producer/exporter combination (or the                         within five days of the date of
                                              above as follows: (1) For the producer/                  China-wide entity) that supplied that                         publication of this notice in accordance
                                              exporter combinations listed in the table                third-country exporter.                                       with 19 CFR 351.224(b). However,
                                                9 See Qingdao Dongxiao, see the Initial                   12 See, e.g., Polyethylene Terephthalate Film,             Commerce’s Letter, ‘‘2nd Supplemental
                                              Respondent Selection Memorandum and Qingdao              Sheet, and Strip from the People’s Republic of                Questionnaire regarding the Separate Rate
                                              Dongxiao’s Letter, ‘‘Withdrawal from                     China: Final Determination of Sales at Less Than              Application for Anhui Xingzhou Medicine Food
                                              Participation,’’ dated February 14, 2018.                Fair Value, 73 FR 55039, 55040 (September 24,                 Co., Ltd.,’’ dated March 22, 2018. and Xingzhou
                                                10 See Tianyi Food, see Commerce’s                     2008).                                                        Medicine’s Letter, ‘‘Second Supplemental SRA
                                                                                                          13 See Final Determination of Sales at Less Than           Questionnaire Response,’’ dated March 29, 2018.
                                              Memorandum, ‘‘Selection of Additional                                                                                    15 See Initiation Notice at 42652–53.
                                              Respondent,’’ dated March 5, 2018 and Tianyi             Fair Value: Sparklers from the People’s Republic of
                                                                                                       China, 56 FR 20588, 20589 (May 6, 1991)                         16 See Enforcement and Compliance’s Policy
                                              Food’s Letter, ‘‘Withdrawal from Participation,’’
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                                                                                                       (Sparklers).                                                  Bulletin No. 05.1, regarding, ‘‘Separate-Rates
                                              dated March 8, 2018.                                        14 See, e.g., Xingzhou Medicine’s Letter,                  Practice and Application of Combination Rates in
                                                11 See Dezhou Huiyang’s Commerce’s
                                                                                                       ‘‘Xingzhou Medicine Separate Rate Application,’’              Antidumping Investigations involving Non-Market
                                              Memorandum, ‘‘Selection of Additional                    dated February 5, 2018; Commerce’s Letter, ‘‘1st              Economy Countries,’’ (April 5, 2005) (Policy
                                              Respondent,’’ dated March 9, 2018 and Dezhou             Supplemental Questionnaire Regarding the                      Bulletin 05.1), available on Commerce’s website at
                                              Huiyang’s Letter, ‘‘Dezhou Huiyang Biotechnology         Separate Rate Application for Anhui Xingzhou                  http://enforcement.trade.gov/policy/bull05-1.pdf.
                                              Co., Ltd. Withdrawal of Participation in                 Medicine Food Co., Ltd.,’’ dated February 27, 2018;             17 The China-wide Entity includes Dezhou

                                              Antidumping Duty Investigation,’’ dated March 13,        Xingzhou Medicine’s Letter, ‘‘Supplemental SRA                Huiyang, Qingdao Dongxiao, Shandong Fuyang,
                                              2018.                                                    Questionnaire Response,’’ dated March 6, 2018;                and Tianyi Food.



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                                                                              Federal Register / Vol. 83, No. 132 / Tuesday, July 10, 2018 / Notices                                                 31951

                                              because Commerce preliminarily                           determination within 75 days after the                  The merchandise covered by the scope of
                                              determined that the mandatory                            date of its preliminary determination.                the investigation is currently classified in the
                                              respondents should be considered to be                   Accordingly, Commerce will make its                   Harmonized Tariff Schedule of the United
                                              part of the China-wide entity, and                       final determination no later than 75                  States (HTSUS) under subheadings
                                                                                                                                                             2918.16.1000, 2918.16.5010, and
                                              assigned the China-wide entity an AFA                    days after the signature date of this                 2932.20.5020. Merchandise covered by the
                                              rate based solely on the petition, there                 preliminary determination.                            scope may also enter under HTSUS
                                              are no calculations to disclose.                                                                               subheadings 2918.16.5050, 3824.99.2890,
                                                                                                       International Trade Commission
                                              Verification                                             Notification                                          and 3824.99.9295. Although the HTSUS
                                                                                                                                                             subheadings and CAS registry numbers are
                                                Because the mandatory respondents                         In accordance with section 733(f) of               provided for convenience and customs
                                              in this investigation did not provide                    the Act, Commerce will notify the                     purposes, the written description of the
                                              information requested by Commerce                        International Trade Commission (ITC) of               merchandise is dispositive.
                                              and Commerce preliminarily determines                    its preliminary determination of sales at             Appendix II
                                              in accordance with section 776(b) of the                 LTFV. If the final determination is
                                              Act that each of the mandatory                                                                                 List of Topics Discussed in the Preliminary
                                                                                                       affirmative, the ITC will determine                   Decision Memorandum
                                              respondents to have been                                 before the later of 120 days after the date
                                              uncooperative, verification will not be                  of this preliminary determination or 45               I. Summary
                                              conducted.                                                                                                     II. Background
                                                                                                       days after the final determination                    III. Period of Investigation
                                              Public Comment                                           whether imports of the subject                        IV. Scope Comments
                                                                                                       merchandise are materially injuring, or               V. Scope of the Investigation
                                                 Case briefs or other written comments                 threaten material injury to, the U.S.                 VI. Discussion of the Methodology
                                              may be submitted to the Assistant                        industry.                                                A. Non-Market Economy Country
                                              Secretary for Enforcement and                                                                                     B. Surrogate Country and Surrogate Value
                                              Compliance no later than 30 days after                   Notification to Interested Parties                          Comments
                                              the date of publication of the                                                                                    C. Separate Rates
                                                                                                         This determination is issued and
                                              preliminary determination, unless the                                                                             D. China-Wide Entity
                                                                                                       published in accordance with sections
                                              Secretary alters the time limit. Rebuttal                                                                         E. Use of Facts Otherwise Available With
                                                                                                       733(f) and 777(i)(1) of the Act and 19                      an Adverse Inference
                                              briefs, limited to issues raised in case
                                                                                                       CFR 351.205(c).                                       VII. Adjustment Under Section 777(A)(f) of
                                              briefs, may be submitted no later than
                                              five days after the deadline date for case                 Dated: July 2, 2018.                                      the Act
                                                                                                                                                             VIII. Adjustments to Cash Deposit Rates for
                                              briefs.18 Pursuant to 19 CFR                             Gary Taverman,
                                                                                                                                                                   Export Subsidies
                                              351.309(c)(2) and (d)(2), parties who                    Deputy Assistant Secretary for Antidumping            IX. Verification
                                              submit case briefs or rebuttal briefs in                 and Countervailing Duty Operations                    X. Conclusion
                                              this investigation are encouraged to                     performing the non-exclusive functions and
                                                                                                       duties of the Assistant Secretary for                 [FR Doc. 2018–14729 Filed 7–9–18; 8:45 am]
                                              submit with each argument: (1) A
                                              statement of the issue; (2) a brief                      Enforcement and Compliance.                           BILLING CODE 3510–DS–P

                                              summary of the argument; and (3) a                       Appendix I
                                              table of authorities.                                                                                          DEPARTMENT OF COMMERCE
                                                                                                       Scope of the Investigation
                                                 Pursuant to 19 CFR 351.310(c),
                                              interested parties who wish to request a                    The scope of the investigation covers all
                                                                                                                                                             International Trade Administration
                                              hearing, limited to issues raised in the                 grades of sodium gluconate, gluconic acid,
                                                                                                       liquid gluconate, and glucono delta lactone           [C–570–978]
                                              case and rebuttal briefs, must submit a
                                                                                                       (GDL) (collectively GNA Products),
                                              written request to the Assistant                         regardless of physical form (including, but           High Pressure Steel Cylinders From
                                              Secretary for Enforcement and                            not limited to substrates; solutions; dry             the People’s Republic of China:
                                              Compliance, U.S. Department of                           granular form or powders, regardless of               Preliminary Results of Countervailing
                                              Commerce, within 30 days after the date                  particle size; or as a slurry). The scope also        Duty Administrative Review; 2016
                                              of publication of this notice. Requests                  includes GNA Products that have been
                                              should contain the party’s name,                         blended or are in solution with other                 AGENCY:  Enforcement and Compliance,
                                              address, and telephone number, the                       product(s) where the resulting mix contains           International Trade Administration,
                                              number of participants, whether any                      35 percent or more of sodium gluconate,               Department of Commerce.
                                                                                                       gluconic acid, liquid gluconate, and/or GDL
                                              participant is a foreign national, and a                                                                       SUMMARY: The Department of Commerce
                                                                                                       by dry weight.
                                              list of the issues to be discussed. If a                    Sodium gluconate has a molecular formula           (Commerce) is conducting an
                                              request for a hearing is made, Commerce                  of NaC6H11O7. Sodium gluconate has a                  administrative review of the
                                              intends to hold the hearing at the U.S.                  Chemical Abstract Service (CAS) registry              countervailing duty (CVD) order on high
                                              Department of Commerce, 1401                             number of 527–07–1, and can also be called            pressure steel cylinders (steel cylinders)
                                              Constitution Avenue NW, Washington,                      ‘‘sodium salt of gluconic acid’’ and/or               from the People’s Republic of China
                                              DC 20230, at a time and date to be                       sodium 2, 3, 4, 5, 6 pentahydroxyhexanoate.           (PRC) for the period of review January
                                              determined. Parties should confirm by                    Gluconic acid has a molecular formula of
                                                                                                                                                             1, 2016, through December 31, 2016.
                                              telephone the date, time, and location of                C6H12O7. Gluconic acid has a CAS registry
                                                                                                       number of 526–95–4, and can also be called            Interested parties are invited to
                                              the hearing two days before the                                                                                comment on these preliminary results.
                                                                                                       2, 3, 4, 5, 6 pentahydroxycaproic acid. Liquid
                                              scheduled date.                                          gluconate is a blend consisting only of               DATES: Applicable July 10, 2018.
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                                              Final Determination                                      gluconic acid and sodium gluconate in an              FOR FURTHER INFORMATION CONTACT:
                                                                                                       aqueous solution. Liquid gluconate has CAS            Toby Vandall or Aimee Phelan, AD/
                                                Section 735(a)(1) of the Act and 19                    registry numbers of 527–07–1, 526–95–4, and
                                              CFR 351.210(b)(1) provide that                           7732–18–5, and can also be called 2, 3, 4, 5,
                                                                                                                                                             CVD Operations, Office I, Enforcement
                                              Commerce will issue the final                            6-pentahydroxycaproic acid-hexanoate. GDL             and Compliance, International Trade
                                                                                                       has a molecular formula of C6H10O6. GDL has           Administration, U.S. Department of
                                                 18 See 19 CFR 351.309; see also 19 CFR 351.303        a CAS registry number of 90–80–2, and can             Commerce, 1401 Constitution Avenue
                                              (for general filing requirements).                       also be called d-glucono-1,5-lactone.                 NW, Washington, DC 20230; telephone:


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Document Created: 2018-11-06 10:18:57
Document Modified: 2018-11-06 10:18:57
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 July 10, 2018.
ContactMagd Zalok or Stephen Bailey, AD/CVD Operations, Office IV, Enforcement & Compliance, International Trade Administration, Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4162 or (202) 482-0193 respectively.
FR Citation83 FR 31949 

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