83 FR 48590 - Polytetrafluoroethylene Resin From the People's Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 187 (September 26, 2018)

Page Range48590-48592
FR Document2018-20846

The Department of Commerce (Commerce) determines that imports of polytetrafluoroethylene (PTFE) resin from the People's Republic of China (China) are being, or are likely to be, sold in the United States at less than fair value (LTFV). The final dumping margins of sales at LTFV are listed in the ``Final Determination'' section of this notice.

Federal Register, Volume 83 Issue 187 (Wednesday, September 26, 2018)
[Federal Register Volume 83, Number 187 (Wednesday, September 26, 2018)]
[Notices]
[Pages 48590-48592]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-20846]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-066]


Polytetrafluoroethylene Resin From the People's Republic of 
China: Final Affirmative 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 imports 
of polytetrafluoroethylene (PTFE) resin from the People's Republic of 
China (China) are being, or are likely to be, sold in the United States 
at less than fair value (LTFV). The final dumping margins of sales at 
LTFV are listed in the ``Final Determination'' section of this notice.

DATES: Applicable September 26, 2018.

FOR FURTHER INFORMATION CONTACT: Thomas Schauer or Michael Romani, AD/
CVD Operations, Office I, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-0410 and (202) 
482-0198, respectively.

SUPPLEMENTARY INFORMATION:

Background

    Commerce published the Preliminary Determination in the LTFV 
investigation of PTFE resin from China on May 7, 2018.\1\ For a 
complete description of the events that followed the Preliminary 
Determination, see the Issues and Decision Memorandum.\2\
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    \1\ See Polytetrafluoroethylene Resin from the People's Republic 
of China: Preliminary Affirmative Determination of Sales at Less 
Than Fair Value, Postponement of Final Determination, and Extension 
of Provisional Measures, 83 FR 20039 (May 7, 2018) (Preliminary 
Determination) and accompanying Preliminary Decision Memorandum.
    \2\ See the Memorandum, ``Polytetrafluoroethylene Resin from the 
People's Republic of China: Issues and Decision Memorandum for the 
Final Affirmative Determination of Sales at Less Than Fair Value,'' 
dated concurrently with and hereby adopted by this notice (Issues 
and Decision Memorandum).
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Period of Investigation

    The period of investigation is January 1, 2017, through June 30, 
2017.

Scope of the Investigation

    The product covered by this investigation is PTFE resin from China. 
For a full description of the scope of this investigation, see the 
``Scope of the Investigation'' in Appendix I of this notice.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs that were 
submitted by parties in this investigation are addressed in the Issues 
and Decision Memorandum. A list of issues raised is attached to this 
notice at Appendix II. The Issues and Decision Memorandum is a public 
document and is made available to the public 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 to all parties in Commerce's Central 
Records Unit, room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Issues and Decision Memorandum 
can be accessed directly on the internet at http://enforcement.trade.gov/frn/.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), we verified the U.S. sales and factors of production 
information submitted by Daikin Fluorochemicals (China) Co., Ltd. 
(Daikin), and Shandong Dongyue Polymer Material Co., Ltd. (Dongyue) in 
May 2018 and June 2018.\3\ We used standard verification procedures, 
including an examination of relevant accounting and production records, 
and original source documents provided by Daikin and Dongyue.
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    \3\ See the Reports, ``Verification of the Questionnaire 
Responses of Daikin Fluorochemicals (China) Co., Ltd. in the 
Antidumping Investigation of Polytetrafluoroethylene Resin from the 
People's Republic of China'' dated June 4, 2018 (Daikin CEP 
Verification Report), ``Verification of the Questionnaire Responses 
of Daikin Fluorochemicals (China) Co., Ltd. in the Antidumping 
Investigation of Polytetrafluoroethylene Resin from the People's 
Republic of China'' dated July 10, 2018 (Daikin FOP Verification 
Report), and ``Verification of the Questionnaire Responses of 
Shandong Dongyue Polymer Material Co., Ltd. in the Antidumping 
Investigation of Polytetrafluorethylene Resin from the People's 
Republic of China'' dated July 13, 2018 (Dongyue Verification 
Report).

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[[Page 48591]]

China-Wide Entity and Use of Adverse Facts Available

    We continue to find that the use of facts available is warranted in 
determining the rate of the China-wide entity pursuant to section 
776(a)(1) and (a)(2)(A)-(C) of the Act.\4\ Further, we found that the 
China-wide entity did not cooperate to the best of its ability to 
comply with our requests for information and, accordingly, we 
determined it appropriate to apply adverse inferences in selecting from 
the facts available, pursuant to section 776(b) of the Act and 19 CFR 
351.308(c).
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    \4\ See Preliminary Determination and accompanying Preliminary 
Decision Memorandum at 14-17.
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Changes From the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to our dumping margin calculation 
for Daikin and Dongyue and revised the margins for non-selected 
respondents and the China-wide entity to reflect the revised margins 
for Daikin and Dongyue.\5\
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    \5\ See Issues and Decision Memorandum for a discussion of these 
changes.
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Combination Rates

    Consistent with Preliminary Determination \6\ and Policy Bulletin 
05.1,\7\ Commerce calculated combination rates for the respondents that 
are eligible for a separate rate in this investigation.
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    \6\ See Preliminary Determinations, 83 FR at 20039-40.
    \7\ 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,'' dated April 5, 2005 (Policy Bulletin 05.1), available 
on Commerce's website at http://enforcement.trade.gov/policy/bull05-1.pdf.
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Final Determination

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

------------------------------------------------------------------------
                                                             Estimated
                                                             weighted-
                                                              average
             Exporter                     Producer            dumping
                                                              margin
                                                             (percent)
------------------------------------------------------------------------
Daikin Fluorochemicals (China)      Daikin                         91.65
 Co., Ltd.                           Fluorochemicals
                                     (China) Co., Ltd.
Shandong Dongyue Polymer Material   Shandong Dongyue               54.41
 Co., Ltd.                           Polymer Material
                                     Co., Ltd.
Hangzhou Fine Fluorotech Co., Ltd.  Qingdao Orientalflon           77.13
                                     New Materials Co.,
                                     Ltd.
Hangzhou Fine Fluorotech Co., Ltd.  Zhejiang Juhua Co.,            77.13
                                     Ltd. Fluor-
                                     Polymeric Plant.
Shanghai Huayi 3f New Materials     Shanghai 3f New                77.13
 Sales Co., Ltd.                     Materials Co., Ltd.
China-Wide Entity.................  ....................          218.88
------------------------------------------------------------------------

Disclosure

    We intend to disclose the calculations performed to parties in this 
proceeding within five days after public announcement of the final 
determination or, if there is no public announcement, within five days 
of the date of publication of the notice of final determination in the 
Federal Register, 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 entries of PTFE resin from China, as 
described in Appendix I of this notice, which were entered, or 
withdrawn from warehouse, for consumption on or after May 7, 2018, the 
date of publication of the Preliminary Determination of this 
investigation in the Federal Register.
    Pursuant to section 735(c)(1)(B)(ii) of the Act, upon the 
publication of this notice, Commerce will instruct CBP to require a 
cash deposit \8\ equal to the weighted-average amount by which the 
normal value exceeds U.S. price as follows: (1) The cash deposit rate 
for the exporter/producer combinations listed in the table above will 
be the rate identified in the table; (2) for all combinations of 
Chinese exporters/producers of merchandise under consideration that 
have not received their own separate rate above, the cash-deposit rate 
will be the cash deposit rate established for the China-wide entity; 
and (3) for all non-Chinese exporters of merchandise under 
consideration which have not received their own separate rate above, 
the cash-deposit rate will be the cash deposit rate applicable to the 
Chinese exporter/producer combination that supplied that non-Chinese 
exporter. These suspension of liquidation instructions will remain in 
effect until further notice.
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    \8\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
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International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
International Trade Commission (ITC) of our final affirmative 
determination of sales at LTFV. 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 subject 
merchandise from China no later than 45 days after our final 
determination. If the ITC determines that such injury does not exist, 
this proceeding will be terminated, and all securities posted will be 
refunded or canceled. 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 entered, or withdrawn from 
warehouse, for consumption on or after the effective date of the 
suspension of liquidation.

Notification Regarding Administrative Protective Order

    This notice will serve as a reminder to the 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 or destruction of APO materials or conversion to 
judicial protective order is hereby requested. Failure to comply with 
the regulations and terms of an APO is a sanctionable violation.

[[Page 48592]]

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).

    Dated: September 19, 2018.
Christian Marsh,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The product covered by this investigation is 
polytetrafluoroethylene (PTFE) resin, including but not limited to 
granular, dispersion, or coagulated dispersion (also known as fine 
powder). PTFE resin is covered by the scope of this investigation 
whether filled or unfilled, whether or not modified, and whether or 
not containing co-polymer additives, pigments, or other materials. 
Also included is PTFE resin wet raw polymer. The chemical formula 
for PTFE resin is C2F4, and the Chemical Abstracts Service (CAS) 
Registry number is 9002-84-0.
    PTFE resin further processed into micropowder, having particle 
size typically ranging from 1 to 25 microns, and a melt-flow rate no 
less than 0.1 gram/10 minutes, is excluded from the scope of this 
investigation.
    PTFE resin is classified in the Harmonized Tariff Schedule of 
the United States (HTSUS) under subheadings 3904.61.0010 and 
3904.61.0090. Subject merchandise may also be classified under HTSUS 
subheading 3904.69.5000. Although the HTSUS subheadings and CAS 
Number are provided for convenience and Customs purposes, the 
written description of the scope is dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope Comments
IV. Surrogate Country
V. Separate Rates
VI. China-Wide Rate
VII. Changes Since the Preliminary Determination
VIII. Discussion of the Issues
    a. Daikin Fluorochemicals (China) Co., Ltd.
    1. Unreported U.S. Sales
    2. Ocean Freight Expenses
    3. Factor of Production of a Certain Input
    4. Surrogate Value for R-22
    5. Surrogate Financial Ratios
    b. Separate Rate Eligibility
IX. Recommendation

[FR Doc. 2018-20846 Filed 9-25-18; 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
DatesApplicable September 26, 2018.
ContactThomas Schauer or Michael Romani, AD/ CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-0410 and (202) 482-0198, respectively.
FR Citation83 FR 48590 

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