83 FR 39412 - Certain Uncoated Groundwood Paper From Canada: Final Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 154 (August 9, 2018)

Page Range39412-39414
FR Document2018-17020

The Department of Commerce (Commerce) determines that certain uncoated groundwood paper (UGW paper) from Canada is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is July 1, 2016, through June 30, 2017. The final dumping margins of sales at LTFV are listed below in the ``Final Determination'' section of this notice.

Federal Register, Volume 83 Issue 154 (Thursday, August 9, 2018)
[Federal Register Volume 83, Number 154 (Thursday, August 9, 2018)]
[Notices]
[Pages 39412-39414]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-17020]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-861]


Certain Uncoated Groundwood Paper From Canada: Final 
Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) determines that certain 
uncoated groundwood paper (UGW paper) from Canada is being, or is 
likely to be, sold in the United States at less than fair value (LTFV). 
The period of investigation (POI) is July 1, 2016, through June 30, 
2017. The final dumping margins of sales at LTFV are listed below in 
the ``Final Determination'' section of this notice.

DATES: Effective August 9, 2018.

FOR FURTHER INFORMATION CONTACT: David Goldberger or Terre Keaton 
Stefanova, AD/CVD Operations, Office II, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4136 
or (202) 482-1280.

SUPPLEMENTARY INFORMATION: 

Background

    On March 19, 2018, Commerce published the Preliminary Determination 
of sales at LTFV of UGW paper from Canada, in which we also postponed 
the final determination to August 1, 2018.\1\ A summary of the events 
that occurred since Commerce 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 Issues and Decision 
Memorandum, which is hereby adopted by this notice.\2\
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    \1\ See Certain Uncoated Groundwood Paper from Canada: 
Preliminary Affirmative Determination of Sales at Less Than Fair 
Value, Postponement of Final Determination and Extension of 
Provisional Measures, 83 FR 11960 (March 19, 2018) (Preliminary 
Determination).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Certain Uncoated Groundwood Paper from Canada,'' 
dated concurrently with this notice (Issues and Decision 
Memorandum).
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Scope of the Investigation

    The product covered by this investigation is UGW paper from Canada. 
For a complete description of the scope of the investigation, see 
Appendix I.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Issues and Decision Memorandum. 
A list of the issues raised is attached to this notice as Appendix II. 
The Issues and Decision Memorandum is a public document and is on file 
electronically via Enforcement and Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at https://access.trade.gov, 
and it is available to all parties in the Central Records Unit, Room B-
8024 of the main Department of Commerce building. In addition, a 
complete version of the Issues and Decision Memorandum can be accessed 
directly at http://enforcement.trade.gov/frn/index.html. The signed and 
electronic versions of the Issues and

[[Page 39413]]

Decision Memorandum are identical in content.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), in March and April 2018, we conducted verifications of the 
sales and cost information submitted by Catalyst Pulp and Paper Sales, 
Inc. and Catalyst Paper General Partnership (collectively, Catalyst); 
Resolute FP Canada Inc. and Donohue Malbaie Inc. (collectively, 
Resolute); and White Birch Paper Canada Company, Papier Masson WB LP, 
FF Soucy WB LP, and Stadacona WB LP (collectively, White Birch Paper) 
for use in our final determination. We used standard verification 
procedures, including an examination of relevant accounting and 
production records, and original source documents provided by Catalyst, 
Resolute, and White Birch Paper.\3\
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    \3\ For discussion of our verification findings, see the 
following memoranda: Memorandum ``Verification of the Cost Response 
of White Birch Paper Canada Company in the Antidumping Duty Less 
Than Fair Value Investigation of Uncoated Groundwood Paper from 
Canada,'' dated April 20, 2018; Memorandum, ``Verification of the 
Sales Questionnaire Responses of Catalyst Pulp and Paper Sales, Inc. 
and Catalyst Paper General Partnership (collectively, Catalyst) in 
the Antidumping Duty Investigation of Certain Uncoated Groundwood 
Paper from Canada,'' dated May 18, 2018; Memorandum, ``Verification 
of the Sales Response of White Birch Paper in the Antidumping 
Investigation of Certain Uncoated Groundwood Paper from Canada,'' 
dated May 21, 2018; Memorandum, ``Verification of the Sales Response 
of White Birch Paper in the Antidumping Investigation of Certain 
Uncoated Groundwood Paper from Canada,'' dated May 24, 2018; 
Memorandum, ``Verification of the Sales Response of Resolute FP 
Canada Inc. and Donohue Malbaie Inc. (collectively, Resolute),'' 
dated May 31, 2018; Memorandum ``Verification of the Cost Response 
of Catalyst in the Antidumping Duty Investigation of Certain 
Uncoated Groundwood Paper from Canada,'' dated May 31, 2018; and 
Memorandum, ``Verification of the Cost Response of Resolute in the 
Antidumping Duty Investigation of Uncoated Groundwood Paper from 
Canada,'' dated June 5, 2018.
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations for 
Catalyst, Resolute, and White Birch Paper. For a discussion of these 
changes, see the ``Margin Calculation'' section of the Issues and 
Decision Memorandum.

``All Others'' Rate

    Section 735(c)(5)(A) of the Act provides that the estimated ``all 
others'' rate shall be an amount equal to the weighted average of the 
estimated weighted-average dumping margins established for exporters 
and producers individually investigated, excluding any zero or de 
minimis margins, and margins determined entirely under section 776 of 
the Act. Section 735(c)(5)(B) of the Act provides that if the estimated 
weighted-average dumping margins for all individually investigated 
exporters and producers are zero or de minimis or determined entirely 
under section 776 of the Act, then Commerce may use any reasonable 
method to establish the estimated all others rate, including averaging 
the estimated weighted-average dumping margins determined for the 
individually investigated exporters and producers.
    Commerce has continued to calculate zero rates for Resolute and 
White Birch Paper. Further, because of the substantial change to the 
scope of this investigation at the time of the Preliminary 
Determination, we find that Catalyst can no longer be considered an 
``individually investigated'' exporter or producer, within the meaning 
of section 735(c) of the Act.\4\ Therefore, there are no margins for 
``individually investigated'' respondents in this investigation that 
are not zero. Consequently, we assigned the ``all others'' rate 
pursuant to section 735(c)(5)(B) of the Act by averaging the margins 
for the ``individually investigated'' respondents. Specifically, we 
assigned the zero rate calculated for Resolute and White Birch Paper as 
the rate for ``all others'' producers and exporters in this 
investigation.\5\
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    \4\ However, pursuant to section 735(a) of the Act, we continue 
to reach an affirmative final determination with respect to 
Catalyst, and we have used the record evidence and verification 
findings with respect to Catalyst to calculate its weighted-average 
dumping margin. For further discussion, see the Issues and Decision 
Memorandum at Comment 2.
    \5\ For further discussion, see the Issues and Decision 
Memorandum at Comment 2.
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Final Determination

    The final estimated weighted-average dumping margins are as 
follows:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                  Exporter/manufacturer                       margin
                                                             (percent)
------------------------------------------------------------------------
Catalyst Pulp and Paper Sales, Inc. and Catalyst Paper             16.88
 General Partnership....................................
Resolute FP Canada Inc. and Donohue Malbaie Inc.........            0.00
White Birch Paper Canada Company, Papier Masson WB LP,              0.00
 FF Soucy WB LP, and Stadacona WB LP....................
All Others..............................................            0.00
------------------------------------------------------------------------

Disclosure

    We 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 section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of UGW paper from 
Canada, as described in Appendix I of this notice, which were entered, 
or withdrawn from warehouse, for consumption on or after March 19, 
2018, the date of publication of the preliminary determination of this 
investigation in the Federal Register, other than entries of UGW paper 
produced and exported by Resolute, and produced and exported by White 
Birch, because their rates are zero. Entries for the companies subject 
to the ``all others'' rate will be subject to suspension of liquidation 
at the ``all others'' rate.
    Further, Commerce will instruct CBP to require a cash deposit equal 
to the estimated amount by which the normal value exceeds the U.S. 
price as shown above.

International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we will notify the 
ITC of the final affirmative determination of sales at LTFV. In 
addition, we are making available to the ITC all non-privileged and 
non-proprietary information related to this investigation. We will 
allow the ITC access to all privileged and business proprietary 
information in our files, provided the ITC confirms that it will not 
disclose such information, either

[[Page 39414]]

publicly or under an administrative protective order (APO), without the 
written consent of the Assistant Secretary for Enforcement and 
Compliance.
    Because the final determination in this proceeding is affirmative, 
in accordance with section 735(b)(2) 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 UGW paper from Canada 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, Commerce will issue an 
antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on all imports of the 
subject merchandise, other than those produced and exported by 
Resolute, and those produced and exported by White Birch, because their 
rates are zero, entered, or withdrawn from warehouse, for consumption 
on or after the effective date of the suspension of liquidation.

Notification Regarding Administrative Protective Orders (APO)

    This notice serves as a reminder to parties subject to APO of their 
responsibility concerning the disposition of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
notification of the return or 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 
sanctionable violation.
    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act.

    Dated: August 1, 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 merchandise covered by this investigation includes certain 
paper that has not been coated on either side and with 50 percent or 
more of the cellulose fiber content consisting of groundwood pulp, 
including groundwood pulp made from recycled paper, weighing not 
more than 90 grams per square meter. Groundwood pulp includes all 
forms of pulp produced from a mechanical pulping process, such as 
thermo-mechanical process (TMP), chemi-thermo mechanical process 
(CTMP), bleached chemi-thermo mechanical process (BCTMP) or any 
other mechanical pulping process. The scope includes paper shipped 
in any form, including but not limited to both rolls and sheets.
    Certain uncoated groundwood paper includes but is not limited to 
standard newsprint, high bright newsprint, book publishing, and 
printing and writing papers. The scope includes paper that is white, 
off-white, cream, or colored.
    Specifically excluded from the scope are imports of certain 
uncoated groundwood paper printed with final content of printed text 
or graphic. Also excluded are papers that otherwise meet this 
definition, but which have undergone a supercalendering process.\6\ 
Additionally, excluded are papers that otherwise meet this 
definition, but which have undergone a creping process over the 
entire surface area of the paper.
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    \6\ Supercalendering imparts a glossy finish produced by the 
movement of the paper web through a supercalender which is a stack 
of alternating rollers of metal and cotton (or other softer 
material). The supercalender runs at high speed and applies 
pressure, heat, and friction which glazes the surface of the paper, 
imparting gloss to the surface and increasing the paper's smoothness 
and density.
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    Also excluded are uncoated groundwood construction paper and 
uncoated groundwood manila drawing paper in sheet or roll format. 
Excluded uncoated groundwood construction paper and uncoated 
groundwood manila drawing paper: (a) Have a weight greater than 61 
grams per square meter; (b) have a thickness greater than 6.1 
caliper, i.e., greater than .0061'' or 155 microns; (c) are produced 
using at least 50 percent thermomechanical pulp; and (d) have a 
shade, as measured by CIELAB, as follows: L* less than or 75.0 or b* 
greater than or equal to 25.0.
    Also excluded is uncoated groundwood directory paper that: (a) 
Has a basis weight of 34 grams per square meter or less; and (b) has 
a thickness of 2.6 caliper mils or 66 microns or less.
    Certain uncoated groundwood paper is classifiable in the 
Harmonized Tariff Schedule of the United States (HTSUS) in several 
subheadings, including 4801.00.0120, 4801.00.0140, 4802.61.1000, 
4802.61.2000, 4802.61.3110, 4802.61.3191, 4802.61.6040, 
4802.62.1000, 4802.62.2000, 4802.62.3000, 4802.62.6140, 
4802.69.1000, 4802.69.2000, and 4802.69.3000. Subject merchandise 
may also be imported under several additional subheadings including 
4805.91.5000, 4805.91.7000, and 4805.91.9000.\7\ Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the merchandise is dispositive.

    \7\ The following HTSUS numbers are no longer active as of 
January 1, 2017: 4801.00.0020, 4801.00.0040, 4802.61.3010, 
4802.61.3091, and 4802.62.6040.
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Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Changes Since the Preliminary Determination
V. Discussion of the Issues
General
    Comment 1: Whether There was Sufficient Industry Support to 
Initiate this Investigation
    Comment 2: Respondent Selection and Calculation of the ``All 
Others'' Rate
    Comment 3: Differential Pricing Methodology
Catalyst
    Comment 4: Fixed Asset Impairment for Catalyst
    Comment 5: Treatment of Catalyst's Home Market Barter Sales
    Comment 6: Treatment of Catalyst's Sales Which May Have Been 
Destined for Mexico
    Comment 7: Insurance Recovery Costs for Catalyst
    Comment 8: Catalyst's Home Market Bank Charges
    Comment 9: Errors in Catalyst's Preliminary Determination Margin 
Program
    Comment 10: Verification Corrections for Catalyst
Resolute
    Comment 11: Resolute's Short-Term U.S. Dollar Borrowing Rate
    Comment 12: Treatment of Resolute's Corporate Level Costs
VI. Recommendation

[FR Doc. 2018-17020 Filed 8-8-18; 8:45 am]
 BILLING CODE 3510-DS-P


Current View
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
DatesEffective August 9, 2018.
ContactDavid Goldberger or Terre Keaton Stefanova, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4136 or (202) 482-1280.
FR Citation83 FR 39412 

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