83_FR_8463 83 FR 8424 - Rubber Bands From the People's Republic of China, Sri Lanka, and Thailand: Initiation of Less-Than-Fair-Value Investigations

83 FR 8424 - Rubber Bands From the People's Republic of China, Sri Lanka, and Thailand: Initiation of Less-Than-Fair-Value Investigations

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 39 (February 27, 2018)

Page Range8424-8429
FR Document2018-03923

Federal Register, Volume 83 Issue 39 (Tuesday, February 27, 2018)
[Federal Register Volume 83, Number 39 (Tuesday, February 27, 2018)]
[Notices]
[Pages 8424-8429]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-03923]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-069, A-542-802, and A-549-835]


Rubber Bands From the People's Republic of China, Sri Lanka, and 
Thailand: Initiation of Less-Than-Fair-Value Investigations

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

DATES: Applicable February 20, 2018.

FOR FURTHER INFORMATION CONTACT: Paul Stolz at (202) 482-4474 and 
Stephanie Berger at (202) 482-2483 (the People's Republic of China 
(China)); Cindy Robinson at (202) 482-3797 (Sri Lanka); and Laurel 
LaCivita at (202) 482-4243 and Joseph Degreenia at (202) 482-6030 
(Thailand); AD/CVD Operations, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION: 

The Petitions

    On January 30, 2018, the U.S. Department of Commerce (Commerce) 
received antidumping duty (AD) and countervailing duty (CVD) Petitions 
concerning imports of rubber bands from China, Sri Lanka, and Thailand 
filed in proper form on behalf of Alliance Rubber Co. (Alliance, the 
petitioner).\1\ The petitioner is a domestic producer of rubber 
bands.\2\
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    \1\ See the petitioner's letter, ``Petition for Imposition of 
Antidumping and Countervailing Duties on Rubber Bands from Thailand, 
China and Sri Lanka,'' dated January 30, 2018 (the Petitions). For 
the purposes of the instant notice, all mentions of `the Petitions,' 
herein, refer specifically to the AD Petitions.
    \2\ See Volume I of the Petitions, at 5-6.
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    On February 2 and February 12, 2018, Commerce requested 
supplemental information pertaining to certain areas of the AD 
Petitions.\3\ The petitioner filed responses to these requests on 
February 8 and February 13, 2018.\4\ On February 16, 2018, based on a 
telephone conversation between Commerce and counsel to the petitioner, 
the petitioner agreed to certain clarifications to the scope.\5\
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    \3\ See Commerce's letters, ``Petition for the Imposition of 
Antidumping and Countervailing Duties on Imports of Rubber Bands 
from the People's Republic of China, Sri Lanka, and Thailand: 
Supplemental Questions'' (General Issues Supplemental 
Questionnaire); ``Petition for the Imposition of Antidumping Duties 
on Imports of Rubber Bands from the People's Republic of China: 
Supplemental Questions'' (China AD Supplemental Questionnaire); 
``Petition for the Imposition of Antidumping Duties on Imports of 
Rubber Bands from Sri Lanka: Supplemental Questions'' (Sri Lanka AD 
Supplemental Questionnaire); and ``Petition for the Imposition of 
Antidumping Duties on Imports of Rubber Bands from Thailand: 
Supplemental Questions'' (Thailand AD Supplemental Questionnaire). 
All four of these documents are dated February 2, 2018. See also 
Commerce's memoranda, ``Petitions for the Imposition of Antidumping 
and Countervailing Duties on Rubber Bands from the People's Republic 
of China, Sri Lanka, and Thailand: Phone Call with Counsel to the 
Petitioner'' (Second General Issues Supplemental Questionnaire); 
``Petition for the Imposition of Antidumping Duties on Rubber Bands 
from the People's Republic of China: Phone Call with Counsel to the 
Petitioner'' (China Second AD Supplemental Questionnaire); 
``Petition for the Imposition of Antidumping Duties on Rubber Bands 
from the Sri Lanka: Phone Call with Counsel to the Petitioner'' (Sri 
Lanka Second AD Supplemental Questionnaire); and ``Petition for the 
Imposition of Antidumping Duties on Rubber Bands from Thailand: 
Phone Call with Counsel to the Petitioner'' (Thailand Second AD 
Supplemental Questionnaire). All four of these documents are dated 
February 12, 2018.
    \4\ See the petitioner's separate letters letters regarding 
General Issues, China, Sri Lanka and Thailand, each entitled, 
``Petition for the Imposition of Antidumping and Countervailing 
Duties on Rubber Bands from Thailand, China and Sri Lanka--Responses 
to Supplemental Questionnaires'' (respectively, General Issues 
Supplement, Sri Lanka AD Supplement, China AD Supplement, and 
Thailand AD Supplement). All four of these documents are dated 
February 8, 2018. See also the petitioner's separate letters 
regarding General Issues, China, Sri Lanka, and Thailand, each 
entitled, ``Petition for the Imposition of Antidumping and 
Countervailing Duties on Rubber Bands from Thailand, China and Sri 
Lanka--Supplemental Responses to Supplemental Questionnaires: 
Responses of Petitioner Alliance Rubber Co. to Department of 
Commerce's February 12, 2018 General Issues Questionnaire'' 
(respectively, Second General Issues Supplement, Second China AD 
Supplement, Second Sri Lanka AD Supplement, and Second Thailand AD 
Supplement). All four of these documents are dated February 13, 
2018.
    \5\ See memorandum, ``Phone Call with Counsel to the Petitioner 
Regarding Scope Clarification,'' dated February 16, 2018 (Scope 
Clarification Memorandum).
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    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that imports of rubber bands 
from China, Sri Lanka, and Thailand are being, or are likely to be, 
sold in the United States at less than fair value within the meaning of 
section 731 of the Act, and that such imports are materially injuring, 
or threatening material injury to, the domestic industry producing 
rubber bands in the United States. Consistent with section 732(b)(1) of 
the Act, the Petitions are accompanied by information reasonably 
available to the petitioner supporting its allegations.
    Commerce finds that the petitioner filed the Petitions on behalf of 
the domestic industry because the petitioner is an interested party as 
defined in section 771(9)(C) of the Act. Commerce also finds that the 
petitioner demonstrated sufficient industry support with respect to the 
initiation of the AD investigations that the petitioner is 
requesting.\6\
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    \6\ See the ``Determination of Industry Support for the 
Petitions'' section, infra.
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Periods of Investigation

    Because the Petitions were filed on January 30, 2018, pursuant to 
19 CFR 351.204(b)(1), the period of investigation (POI) for the Sri 
Lanka and Thailand investigations is January 1, 2017, through December 
31, 2017. Because China is a non-market economy (NME) country, pursuant 
to 19 CFR 351.204(b)(1), the POI for the China investigation is July 1, 
2017, through December 31, 2017.

Scope of the Investigations

    The products covered by these investigations are rubber bands from 
China, Sri Lanka, and Thailand. For a full description of the scope of 
these investigations, see the Appendix to this notice.

Comments on Scope of the Investigations

    During our review of the Petitions, Commerce issued questions to, 
and received responses from, the petitioner pertaining to the proposed 
scope to ensure that the scope language in the Petitions is an accurate 
reflection of the products for which the domestic industry is seeking 
relief.\7\ As a result of these exchanges, the scope of the Petitions 
was modified to clarify the description of merchandise covered by the 
Petitions. The description of the merchandise covered by this 
initiation, as described in the Appendix to this notice, reflects these 
clarifications.
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    \7\ See General Issues Supplemental Questionnaire, at 3-4 and 
Second General Issues Supplemental Questionnaire; see also General 
Issues Supplement at 4-6, and Second General Issues Supplement at 1; 
and Scope Clarification Memorandum.
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    As discussed in the preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (scope).\8\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determinations. If scope comments include factual information,\9\ all 
such factual information should be limited to

[[Page 8425]]

public information. To facilitate preparation of its questionnaires, 
Commerce requests that all interested parties submit such comments by 
5:00 p.m. Eastern Time (ET) on March 12, 2018, which is 20 calendar 
days from the signature date of this notice. Any rebuttal comments, 
which may include factual information, must be filed by 5:00 p.m. ET on 
March 22, 2018, which is 10 calendar days from the initial comments 
deadline.\10\
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    \8\ See Antidumping Duties; Countervailing Duties; Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \9\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
    \10\ See 19 CFR 351.303(b).
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    Commerce requests that any factual information the parties consider 
relevant to the scope of the investigations be submitted during this 
time period. However, if a party subsequently finds that additional 
factual information pertaining to the scope of the investigations may 
be relevant, the party may contact Commerce and request permission to 
submit the additional information. All such comments must be filed on 
the records of each of the concurrent AD and CVD investigations, in 
accordance with the filing requirements, discussed immediately below.

Filing Requirements

    All submissions to Commerce must be filed electronically using 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS).\11\ An electronically 
filed document must be received successfully in its entirety by the 
time and date it is due. Documents exempted from the electronic 
submission requirements must be filed manually (i.e., in paper form) 
with Enforcement and Compliance's APO/Dockets Unit, Room 18022, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230, and stamped with the date and time of receipt by the applicable 
deadlines.
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    \11\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of Commerce's electronic filing 
requirements, effective August 5, 2011. Information on help using 
ACCESS can be found at https://access.trade.gov/help.aspx and a 
handbook can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filling%20Procedures.pdf.
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Comments on Product Characteristics for AD Questionnaires

    Commerce requests comments from interested parties regarding the 
appropriate physical characteristics of rubber bands to be reported in 
response to Commerce's AD questionnaires. This information will be used 
to identify the key physical characteristics of the merchandise under 
consideration in order to report the relevant costs of production 
accurately as well as to develop appropriate product-comparison 
criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate list of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as: (1) General product 
characteristics, and (2) product-comparison criteria. We note that it 
is not always appropriate to use all product characteristics as 
product-comparison criteria. We base product-comparison criteria on 
meaningful commercial differences among products. In other words, 
although there may be some physical product characteristics utilized by 
manufacturers to describe rubber bands, it may be that only a select 
few product characteristics take into account commercially meaningful 
physical characteristics. In addition, interested parties may comment 
on the order in which the physical characteristics should be used in 
matching products. Generally, Commerce attempts to list the most 
important physical characteristics first and the least important 
characteristics last.
    In order to consider the suggestions of interested parties in 
developing and issuing the AD questionnaires, all product 
characteristics comments must be filed by 5:00 p.m. ET on March 12, 
2018. Any rebuttal comments must be filed by 5:00 p.m. ET on March 19, 
2018. All comments and submissions to Commerce must be filed 
electronically using ACCESS, as explained above, on the records of the 
China, Sri Lanka, and Thailand less-than-fair-value investigations.

Determination of Industry Support for the Petitions

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce shall: (i) 
Poll the industry or rely on other information in order to determine if 
there is support for the petition, as required by subparagraph (A); or 
(ii) determine industry support using a statistically valid sampling 
method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs Commerce to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\12\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce's determination 
is subject to limitations of time and information. Although this may 
result in different definitions of the like product, such differences 
do not render the decision of either agency contrary to law.\13\
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    \12\ See section 771(10) of the Act.
    \13\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
Petitions).
    With regard to the domestic like product, the petitioner does not 
offer a definition of the domestic like product distinct from the scope 
of the Petitions. Based on our analysis of the information submitted on 
the record, we have determined that rubber bands, as defined in the 
scope, constitute a single domestic like product, and we have analyzed 
industry support in terms of that domestic like product.\14\
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    \14\ For a discussion of the domestic like product analysis, see 
Antidumping Duty Investigation Initiation Checklist: Rubber Bands 
from China (China AD Initiation Checklist), at Attachment II, 
Analysis of Industry Support for the Antidumping and Countervailing 
Duty Petitions Covering Rubber Bands from the People's Republic of 
China, Sri Lanka, and Thailand (Attachment II); Antidumping Duty 
Investigation Initiation Checklist: Rubber Bands from Sri Lanka (Sri 
Lanka AD Initiation Checklist), at Attachment II; and Antidumping 
Duty Investigation Initiation Checklist: Rubber Bands from Thailand 
(Thailand AD Initiation Checklist), at Attachment II. These 
checklists are dated concurrently with, and hereby adopted by, this 
notice and on file electronically via ACCESS. Access to documents 
filed via ACCESS is also available in the Central Records Unit, Room 
B8024 of the main Department of Commerce building.

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[[Page 8426]]

    In determining whether the petitioner has standing under section 
732(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petitions with reference to the domestic like product 
as defined in the ``Scope of the Investigations,'' in the Appendix to 
this notice. To establish industry support, the petitioner provided its 
own net sales values of the domestic like product in 2017, and compared 
this to the estimated total sales values of the domestic like product 
for the entire domestic industry.\15\ Because total industry production 
data for the domestic like product for 2017 are not reasonably 
available to the petitioner, and the petitioner has established that 
sales values and shipments are a reasonable proxy for production 
data,\16\ we have relied on the data the petitioner provided for 
purposes of measuring industry support.\17\
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    \15\ See General Issues Supplement, at 8 and GEN-10S; see also 
Second General Issues Supplement, at 2-3.
    \16\ See Second General Issues Supplement, at 2-3.
    \17\ Id. For further discussion, see China AD Initiation 
Checklist, at Attachment II; Sri Lanka AD Initiation Checklist, at 
Attachment II; and Thailand AD Initiation Checklist, at Attachment 
II.
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    Our review of the data provided in the Petitions, the General 
Issues Supplement, the Second General Issues Supplement, and other 
information readily available to Commerce indicates that the petitioner 
has established industry support for the Petitions.\18\ First, the 
Petitions established support from domestic producers (or workers) 
accounting for more than 50 percent of the total production of the 
domestic like product and, as such, Commerce is not required to take 
further action in order to evaluate industry support (e.g., 
polling).\19\ Second, the domestic producers (or workers) have met the 
statutory criteria for industry support under section 732(c)(4)(A)(i) 
of the Act because the domestic producers (or workers) who support the 
Petitions account for at least 25 percent of the total production of 
the domestic like product.\20\ Finally, the domestic producers (or 
workers) have met the statutory criteria for industry support under 
section 732(c)(4)(A)(ii) of the Act because the domestic producers (or 
workers) who support the Petitions account for more than 50 percent of 
the production of the domestic like product produced by that portion of 
the industry expressing support for, or opposition to, the 
Petitions.\21\ Accordingly, Commerce determines that the Petitions were 
filed on behalf of the domestic industry within the meaning of section 
732(b)(1) of the Act.
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    \18\ See China AD Initiation Checklist, at Attachment II; Sri 
Lanka AD Initiation Checklist, at Attachment II; and Thailand AD 
Initiation Checklist, at Attachment II.
    \19\ See section 732(c)(4)(D) of the Act; see also China AD 
Initiation Checklist, at Attachment II; Sri Lanka AD Initiation 
Checklist, at Attachment II; and Thailand AD Initiation Checklist, 
at Attachment II.
    \20\ See China AD Initiation Checklist, at Attachment II; Sri 
Lanka AD Initiation Checklist, at Attachment II; and Thailand AD 
Initiation Checklist, at Attachment II.
    \21\ Id.
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    Commerce finds that the petitioner filed the Petitions on behalf of 
the domestic industry because it is an interested party as defined in 
section 771(9)(C) of the Act, and it has demonstrated sufficient 
industry support with respect to the AD investigations that it is 
requesting that Commerce initiate.\22\
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    \22\ Id.
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Allegations and Evidence of Material Injury and Causation

    The petitioner alleges that the U.S. industry producing the 
domestic like product is being materially injured, or is threatened 
with material injury, by reason of the imports of the subject 
merchandise sold at less than normal value (NV). In addition, the 
petitioner alleges that subject imports exceed the negligibility 
threshold provided for under section 771(24)(A) of the Act.\23\
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    \23\ See General Issues Supplement, at 9 and Exhibit B.
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    The petitioner contends that the industry's injured condition is 
illustrated by a significant and increasing volume of subject imports, 
reduced market share, underselling and price depression or suppression, 
lost sales and revenues, and a negative impact on the domestic 
industry's financial performance.\24\ We have assessed the allegations 
and supporting evidence regarding material injury, threat of material 
injury, and causation, and we have determined that these allegations 
are properly supported by adequate evidence, and meet the statutory 
requirements for initiation.\25\
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    \24\ See Volume I of the Petitions, at 16-19, 25-47 and Exhibits 
GEN-3 through GEN-8, GEN-10 and GEN-12; see also General Issues 
Supplement, at 8-16 and Exhibits A, B, and GEN-10S; and Second 
General Issues Supplement, at 3 and Exhibit A.
    \25\ See China AD Initiation Checklist, at Attachment III, 
``Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Rubber Bands from the People's Republic of China, Sri 
Lanka, and Thailand'' (Attachment III); see also Sri Lanka AD 
Initiation Checklist, at Attachment III; see also Thailand AD 
Initiation Checklist, at Attachment III.
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Allegations of Sales at Less Than Fair Value

    The following is a description of the allegations of sales at less 
than fair value upon which Commerce based its decision to initiate AD 
investigations of imports of rubber bands from China, Sri Lanka, and 
Thailand. The sources of data for the deductions and adjustments 
relating to U.S. price and NV are discussed in greater detail in the 
country-specific initiation checklists.

Export Price

    For China, Sri Lanka, and Thailand, the petitioners based export 
price (EP) on pricing information or price quotes for rubber bands 
produced in, and exported from, those countries and sold or offered for 
sale in the United States.\26\
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    \26\ See China AD Initiation Checklist, Sri Lanka AD Initiation 
Checklist, and Thailand AD Initiation Checklist.
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    Where appropriate, the petitioner made deductions from U.S. price 
consistent with the terms of sale, as applicable.\27\
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    \27\ Id.
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Normal Value

    For Sri Lanka and Thailand, the petitioner was unable to obtain 
home market or third-country prices for rubber bands; therefore, the 
petitioner calculated normal value based on constructed value (CV) 
pursuant to section 773(a)(4) of the Act. See the section ``Normal 
Value Based on Constructed Value'' below.\28\
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    \28\ In accordance with section 505(a) of the Trade Preferences 
Extension Act of 2015, amending section 773(b)(2) of the Act, for 
these investigations, Commerce will request information necessary to 
calculate the CV and cost of production (COP) to determine whether 
there are reasonable grounds to believe or suspect that sales of the 
foreign like product have been made at prices that represent less 
than the COP of the product. Commerce no longer requires a COP 
allegation to conduct this analysis.
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    With respect to China, Commerce considers China to be an NME 
country.\29\ In accordance with section 771(18)(C)(i) of the Act, any 
determination that a foreign country is an NME country shall remain in 
effect until revoked by Commerce. Therefore, we continue to treat China 
as an NME country for purposes of the initiation of this investigation. 
Accordingly, NV in

[[Page 8427]]

China is appropriately based on factors of production (FOPs) valued in 
a surrogate market economy country, in accordance with section 773(c) 
of the Act.\30\ In the course of this investigation, all parties, and 
the public, will have the opportunity to provide relevant information 
related to the granting of separate rates to individual exporters.
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    \29\ See Antidumping Duty Investigation of Certain Aluminum Foil 
from the People's Republic of China: Affirmative Preliminary 
Determination of Sales at Less-Than-Fair Value and Postponement of 
Final Determination, 82 FR 50858, 50861 (November 2, 2017), and 
accompanying decision memorandum, China's Status as a Non-Market 
Economy.
    \30\ See China AD Initiation Checklist.
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    The petitioner claims that Thailand is an appropriate surrogate 
country for China because: (1) Commerce has evaluated the per capita 
gross domestic product (GDP) of Thailand in numerous cases and 
determined that Thailand is at the level of economic development 
comparable to China based on per-capita Gross National Income; (2) 
Thailand is a significant producer of comparable merchandise as well as 
a significant exporter of subject merchandise; and (3) the data for 
valuing FOPs, factory overhead, selling, general and administrative 
(SG&A) expenses and profit are publicly available, current, and 
reliable.\31\ Based on the information provided by the petitioner, we 
believe it is appropriate to use Thailand as a surrogate country for 
initiation purposes.
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    \31\ See Volume III of Petitions, at 3.
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    Interested parties will have the opportunity to submit comments 
regarding surrogate country selection and, pursuant to 19 CFR 
351.301(c)(3)(i), will be provided an opportunity to submit publicly 
available information to value FOPs within 30 days before the scheduled 
date of the preliminary determination.

Factors of Production

    Because information regarding the volume of inputs consumed by 
Chinese producers/exporters was not reasonably available, the 
petitioner relied on its actual consumption of direct materials, direct 
labor, energy, scrap offset, and packing for comparable rubber bands, 
adjusted for known differences in usage between the United States and 
China.\32\ The petitioner valued the estimated FOPs using surrogate 
values from Thailand,\33\ and used the average POI exchange rate to 
convert the data to U.S. dollars.\34\
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    \32\ Id. at 1 and 4 and Exhibit AD-CH-2.
    \33\ Id. at Exhibit AD-CH-3; see also China AD Supplement, at 
Exhibit AD-CH-S3; and Second China AD Supplement, at Exhibit AD-CH-
SS3.
    \34\ Id.
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Normal Value Based on Constructed Value

    As noted above, for Sri Lanka and Thailand, the petitioner was 
unable to obtain home market or third-country prices for rubber bands; 
therefore, the petitioner based NV on CV pursuant to section 773(a)(4) 
of the Act. Pursuant to section 773(b)(3) of the Act, CV consists of 
the cost of manufacturing (COM); selling, general and administrative 
(SG&A) expenses; financial expenses; profit; and packing expenses.
    For Sri Lanka, the petitioner calculated the COM based on its own 
input factors of production and usage rates for raw materials, energy, 
packing and scrap offset. The input factors of production were valued 
using publicly available data on costs specific to Sri Lanka, where 
available, and the petitioner's cost experience. For Sri Lanka, labor 
and energy costs were valued using publicly available sources from Sri 
Lanka and the petitioner's cost experience.\35\ The petitioner 
calculated factory overhead, SG&A, financial expenses and profit based 
on the experience of a Sri Lankan producer of comparable 
merchandise.\36\
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    \35\ See Sri Lanka AD Initiation Checklist.
    \36\ Id.
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    For Thailand, the petitioner calculated the COM based on its own 
input factors of production and usage rates for raw materials, labor, 
energy, packing, and a scrap offset.\37\ The input factors of 
production were valued using publicly available data on costs specific 
to Thailand, during the proposed POI.\38\ Specifically, the prices for 
raw material and packing inputs were based on publicly available import 
data for Thailand.\39\ Labor and energy costs were valued using 
publicly available sources for Thailand.\40\ The petitioner calculated 
factory overhead, SG&A, and profit for Thailand based on the experience 
of a Thai producer of rubber bands.\41\
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    \37\ See Thailand AD Initiation Checklist.
    \38\ Id.
    \39\ Id.
    \40\ Id.
    \41\ Id.
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Fair Value Comparisons

    Based on the data provided by the petitioner, there is reason to 
believe that imports of rubber bands from China, Sri Lanka, and 
Thailand are being, or are likely to be, sold in the United States at 
less than fair value. Based on comparisons of EP to NV in accordance 
with sections 772 and 773 of the Act, the estimated dumping margins for 
rubber bands for each of the countries covered by this initiation are 
as follows: (1) China--27.27 percent; \42\, (2) Sri Lanka--56.54 to 
133.13 percent; \43\, and (3) Thailand--28.92 to 78.36 percent.\44\
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    \42\ See China AD Initiation Checklist.
    \43\ See Sri Lanka AD Initiation Checklist.
    \44\ See Thailand AD Initiation Checklist.
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Initiation of Less-Than-Fair-Value Investigations

    Based upon the examination of the Petitions, we find that the 
Petitions meet the requirements of section 732 of the Act. Therefore, 
we are initiating AD investigations to determine whether imports of 
rubber bands from China, Sri Lanka, and Thailand are being, or are 
likely to be, sold in the United States at less than fair value. In 
accordance with section 733(b)(1)(A) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determinations no later than 140 days after the date of this 
initiation.
    Under the Trade Preferences Extension Act of 2015, numerous 
amendments to the AD and CVD laws were made.\45\ The 2015 law does not 
specify dates of application for those amendments. On August 6, 2015, 
Commerce published an interpretative rule, in which it announced the 
applicability dates for each amendment to the Act, except for 
amendments contained in section 771(7) of the Act, which relate to 
determinations of material injury by the ITC.\46\ The amendments to 
sections 771(15), 773, 776, and 782 of the Act are applicable to all 
determinations made on or after August 6, 2015, and, therefore, apply 
to these AD investigations.\47\
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    \45\ See Trade Preferences Extension Act of 2015, Public Law 
114-27, 129 Stat. 362 (2015).
    \46\ See Dates of Application of Amendments to the Antidumping 
and Countervailing Duty Laws Made by the Trade Preferences Extension 
Act of 2015, 80 FR 46793 (August 6, 2015).
    \47\ Id. at 46794-95. The 2015 amendments may be found at 
https://www.congress.gov/bill/114th-congress/house-bill/1295/text/pl.
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Respondent Selection

    In the Petitions, the petitioner named 12, four, and 22 producers/
exporters, respectively, as accounting for the majority of exports of 
rubber bands products to the United States from China, Sri Lanka, and 
Thailand.\48\ With regard to China, in accordance with our standard 
practice for respondent selection in cases involving NME countries, we 
intend to issue quantity and value (Q&V) questionnaires to each 
potential respondent and, if necessary, base respondent selection on 
the responses received. In addition, Commerce will post the Q&V 
questionnaire along with filing instructions on the Enforcement and 
Compliance website at http://www.trade.gov/enforcement/news.asp.
---------------------------------------------------------------------------

    \48\ See Volume I of the Petitions, at Exhibit GEN-2. See also 
General Issues Supplement at 2-3.
---------------------------------------------------------------------------

    Exporters/producers of rubber bands from China that do not receive 
Q&V

[[Page 8428]]

questionnaires by mail may still submit a response to the Q&V 
questionnaire and can obtain a copy from the Enforcement and Compliance 
website. The Q&V response must be submitted by all exporters/producers 
from China no later than 5:00 p.m. E.T. on March 6, 2018, which is two 
weeks from the signature date of this notice. All Q&V responses must be 
filed electronically via ACCESS.
    With regard to Sri Lanka and Thailand, following standard practice 
in AD investigations involving market economy countries, in the event 
Commerce determines that the number of companies is large and it cannot 
individually examine each company based upon Commerce's resources, 
where appropriate, Commerce intends to select respondents based on U.S. 
Customs and Border Protection (CBP) data for U.S. imports under the 
appropriate Harmonized Tariff Schedule of the United States numbers 
listed with the scope in the Appendix, below. We also intend to release 
the CBP data under Administrative Protective Order (APO) to all parties 
with access to information protected by APO on the record within five 
business days of publication of this Federal Register notice. Comments 
regarding the CBP data and respondent selection should be submitted 
seven calendar days after the placement of the CBP data on the record 
of these investigations. Parties wishing to submit rebuttal comments 
should submit those comments five calendar days after the deadline for 
the initial comments. Comments must be filed electronically using 
ACCESS. An electronically-filed document must be received successfully 
in its entirety by Commerce's electronic records system, ACCESS, by 
5:00 p.m. ET by the dates noted above. We intend to make our decision 
regarding respondent selection within 20 days of publication of this 
notice.

Separate Rates

    In order to obtain separate-rate status in an NME investigation, 
exporters and producers must submit a separate-rate application.\49\ 
The specific requirements for submitting a separate-rate application in 
the China investigation are outlined in detail in the application 
itself, which is available on Commerce's website at http://enforcement.trade.gov/nme/nme-sep-rate.html. The separate-rate 
application will be due 30 days after publication of this initiation 
notice.\50\ Exporters and producers who submit a separate-rate 
application and have been selected as mandatory respondents will be 
eligible for consideration for separate-rate status only if they 
respond to all parts of Commerce's AD questionnaire as mandatory 
respondents. Commerce requires that companies from China submit a 
response to both the Q&V questionnaire and the separate-rate 
application by the respective deadlines in order to receive 
consideration for separate-rate status. Companies not filing a timely 
Q&V response will not receive separate-rate consideration.
---------------------------------------------------------------------------

    \49\ See Policy Bulletin 05.1: Separate-Rates Practice and 
Application of Combination Rates in Antidumping Investigation 
involving Non-Market Economy Countries (April 5, 2005), available at 
http://enforcement.trade.gov/policy/bull05-1.pdf (Policy Bulletin 
05.1).
    \50\ Although in some past investigations this deadline was 60 
days, consistent with 19 CFR 351.301(a), which states that ``the 
Secretary may request any person to submit factual information at 
any time during a proceeding,'' this deadline is now 30 days.
---------------------------------------------------------------------------

Use of Combination Rates

    Commerce will calculate combination rates for certain respondents 
that are eligible for a separate rate in an NME investigation. The 
Separate Rates and Combination Rates Bulletin states:

    {while{time}  continuing the practice of assigning separate 
rates only to exporters, all separate rates that the Department will 
now assign in its NME Investigation will be specific to those 
producers that supplied the exporter during the period of 
investigation. Note, however, that one rate is calculated for the 
exporter and all of the producers which supplied subject merchandise 
to it during the period of investigation. This practice applies both 
to mandatory respondents receiving an individually calculated 
separate rate as well as the pool of non-investigated firms 
receiving the weighted-average of the individually calculated rates. 
This practice is referred to as the application of ``combination 
rates'' because such rates apply to specific combinations of 
exporters and one or more producers. The cash-deposit rate assigned 
to an exporter will apply only to merchandise both exported by the 
firm in question and produced by a firm that supplied the exporter 
during the period of investigation.\51\
---------------------------------------------------------------------------

    \51\ See Policy Bulletin 05.1 at 6 (emphasis added).
---------------------------------------------------------------------------

Distribution of Copies of the Petitions

    In accordance with section 732(b)(3)(A)(i) of the Act and 19 CFR 
351.202(f), copies of the public version of the Petitions have been 
provided to the governments of China, Sri Lanka, and Thailand via 
ACCESS. To the extent practicable, we will attempt to provide a copy of 
the public version of the Petitions to each exporter named in the 
Petitions, as provided under 19 CFR 351.203(c)(2).

ITC Notification

    We will notify the ITC of our initiation, as required by section 
732(d) of the Act.

Preliminary Determinations by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petitions were filed, whether there is a reasonable 
indication that imports of rubber bands from China, Sri Lanka, and/or 
Thailand are materially injuring or threatening material injury to a 
U.S. industry.\52\ A negative ITC determination for any country will 
result in the investigation being terminated with respect to that 
country.\53\ Otherwise, the investigations will proceed according to 
statutory and regulatory time limits.
---------------------------------------------------------------------------

    \52\ See section 733(a) of the Act.
    \53\ Id.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Any party, when submitting factual 
information, must specify under which subsection of 19 CFR 
351.102(b)(21) the information is being submitted \54\ and, if the 
information is submitted to rebut, clarify, or correct factual 
information already on the record, to provide an explanation 
identifying the information already on the record that the factual 
information seeks to rebut, clarify, or correct.\55\ Time limits for 
the submission of factual information are addressed in 19 CFR 351.301, 
which provides specific time limits based on the type of factual 
information being submitted. Interested parties should review the 
regulations prior to submitting factual information in these 
investigations.
---------------------------------------------------------------------------

    \54\ See 19 CFR 351.301(b).
    \55\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by the Secretary. In general, an extension request 
will be considered untimely if it is filed after the expiration of the 
time limit established under 19 CFR 351.301. For submissions that are 
due from

[[Page 8429]]

multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in the letter or memorandum setting 
forth the deadline (including a specified time) by which extension 
requests must be filed to be considered timely. An extension request 
must be made in a separate, stand-alone submission; under limited 
circumstances we will grant untimely-filed requests for the extension 
of time limits. Parties should review Extension of Time Limits; Final 
Rule, 78 FR 57790 (September 20, 2013), available at http://www.thefederalregister.org/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm, prior to 
submitting factual information in these investigations.

Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\56\ 
Parties are hereby reminded that revised certification requirements are 
in effect for company/government officials, as well as their 
representatives. Investigations initiated on the basis of petitions 
filed on or after August 16, 2013, and other segments of any AD or CVD 
proceedings initiated on or after August 16, 2013, should use the 
formats for the revised certifications provided at the end of the Final 
Rule.\57\ Commerce intends to reject factual submissions if the 
submitting party does not comply with applicable revised certification 
requirements.
---------------------------------------------------------------------------

    \56\ See section 782(b) of the Act.
    \57\ See Certification of Factual Information to Import 
Administration during Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also 
frequently asked questions regarding the Final Rule, available at 
http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
---------------------------------------------------------------------------

Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce 
published Antidumping and Countervailing Duty Proceedings: Documents 
Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). 
Parties wishing to participate in these investigations should ensure 
that they meet the requirements of these procedures (e.g., the filing 
of letters of appearance as discussed at 19 CFR 351.103(d)).
    This notice is issued and published pursuant to sections 732(c)(2) 
and 777(i) of the Act, and 19 CFR 351.203(c).

    Dated: February 20, 2018.
Christian Marsh,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigations

    The products subject to these investigations are bands made of 
vulcanized rubber, with a flat length, as actually measured end-to-
end by the band lying flat, no less than \1/2\ inch and no greater 
than 10 inches; with a width, which measures the dimension 
perpendicular to the length, actually of at least 3/64 inch and no 
greater than 2 inches; and a wall thickness actually from 0.020 inch 
to 0.125 inch. Vulcanized rubber has been chemically processed into 
a more durable material by the addition of sulfur or other 
equivalent curatives or accelerators. Subject products are included 
regardless of color or inclusion of printed material on the rubber 
band's surface, including but not limited to, rubber bands with 
printing on them, such as a product name, advertising, or slogan, 
and printed material (e.g., a tag) fastened to the rubber band by an 
adhesive or another temporary type of connection. The scope includes 
vulcanized rubber bands which are contained or otherwise exist in 
various forms and packages, such as, without limitation, vulcanized 
rubber bands included within a desk accessory set or other type of 
set or package, and vulcanized rubber band balls. The scope excludes 
products that consist of an elastomer loop and durable tag all-in-
one, and bands that are being used at the time of import to fasten 
an imported product. Merchandise covered by these investigations is 
currently classified in the Harmonized Tariff Schedule of the United 
States (HTSUS) under subheading 4016.99.3510. Merchandise covered by 
the scope may also enter under HTSUS subheading 4016.99.6050. While 
the HTSUS subheadings are provided for convenience and customs 
purposes, the written description of the scope of the investigations 
is dispositive.

[FR Doc. 2018-03923 Filed 2-26-18; 8:45 am]
 BILLING CODE 3510-DS-P



                                               8424                           Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices

                                                 Dated: February 20, 2018.                                responses to these requests on February                  domestic industry because the
                                               Christian Marsh,                                           8 and February 13, 2018.4 On February                    petitioner is an interested party as
                                               Deputy Assistant Secretary for Enforcement                 16, 2018, based on a telephone                           defined in section 771(9)(C) of the Act.
                                               and Compliance.                                            conversation between Commerce and                        Commerce also finds that the petitioner
                                               [FR Doc. 2018–03921 Filed 2–26–18; 8:45 am]                counsel to the petitioner, the petitioner                demonstrated sufficient industry
                                               BILLING CODE 3510–DS–P                                     agreed to certain clarifications to the                  support with respect to the initiation of
                                                                                                          scope.5                                                  the AD investigations that the petitioner
                                                                                                             In accordance with section 732(b) of                  is requesting.6
                                               DEPARTMENT OF COMMERCE                                     the Tariff Act of 1930, as amended (the
                                                                                                          Act), the petitioner alleges that imports                Periods of Investigation
                                               International Trade Administration                         of rubber bands from China, Sri Lanka,                     Because the Petitions were filed on
                                                                                                          and Thailand are being, or are likely to                 January 30, 2018, pursuant to 19 CFR
                                               [A–570–069, A–542–802, and A–549–835]
                                                                                                          be, sold in the United States at less than               351.204(b)(1), the period of
                                               Rubber Bands From the People’s                             fair value within the meaning of section                 investigation (POI) for the Sri Lanka and
                                               Republic of China, Sri Lanka, and                          731 of the Act, and that such imports                    Thailand investigations is January 1,
                                               Thailand: Initiation of Less-Than-Fair-                    are materially injuring, or threatening                  2017, through December 31, 2017.
                                               Value Investigations                                       material injury to, the domestic industry                Because China is a non-market economy
                                                                                                          producing rubber bands in the United                     (NME) country, pursuant to 19 CFR
                                               AGENCY:   Enforcement and Compliance,                      States. Consistent with section 732(b)(1)                351.204(b)(1), the POI for the China
                                               International Trade Administration,                        of the Act, the Petitions are                            investigation is July 1, 2017, through
                                               Department of Commerce.                                    accompanied by information reasonably                    December 31, 2017.
                                               DATES: Applicable February 20, 2018.                       available to the petitioner supporting its               Scope of the Investigations
                                               FOR FURTHER INFORMATION CONTACT: Paul                      allegations.
                                               Stolz at (202) 482–4474 and Stephanie                         Commerce finds that the petitioner                      The products covered by these
                                               Berger at (202) 482–2483 (the People’s                     filed the Petitions on behalf of the                     investigations are rubber bands from
                                               Republic of China (China)); Cindy                                                                                   China, Sri Lanka, and Thailand. For a
                                               Robinson at (202) 482–3797 (Sri Lanka);                    from Sri Lanka: Supplemental Questions’’ (Sri            full description of the scope of these
                                               and Laurel LaCivita at (202) 482–4243
                                                                                                          Lanka AD Supplemental Questionnaire); and                investigations, see the Appendix to this
                                                                                                          ‘‘Petition for the Imposition of Antidumping Duties      notice.
                                               and Joseph Degreenia at (202) 482–6030                     on Imports of Rubber Bands from Thailand:
                                               (Thailand); AD/CVD Operations,                             Supplemental Questions’’ (Thailand AD                    Comments on Scope of the
                                                                                                          Supplemental Questionnaire). All four of these
                                               Enforcement and Compliance,                                documents are dated February 2, 2018. See also
                                                                                                                                                                   Investigations
                                               International Trade Administration,                        Commerce’s memoranda, ‘‘Petitions for the                   During our review of the Petitions,
                                               U.S. Department of Commerce, 1401                          Imposition of Antidumping and Countervailing
                                                                                                                                                                   Commerce issued questions to, and
                                               Constitution Avenue NW, Washington,                        Duties on Rubber Bands from the People’s Republic
                                                                                                          of China, Sri Lanka, and Thailand: Phone Call with       received responses from, the petitioner
                                               DC 20230.                                                  Counsel to the Petitioner’’ (Second General Issues       pertaining to the proposed scope to
                                               SUPPLEMENTARY INFORMATION:                                 Supplemental Questionnaire); ‘‘Petition for the          ensure that the scope language in the
                                                                                                          Imposition of Antidumping Duties on Rubber Bands
                                               The Petitions                                              from the People’s Republic of China: Phone Call
                                                                                                                                                                   Petitions is an accurate reflection of the
                                                                                                          with Counsel to the Petitioner’’ (China Second AD        products for which the domestic
                                                  On January 30, 2018, the U.S.                           Supplemental Questionnaire); ‘‘Petition for the          industry is seeking relief.7 As a result of
                                               Department of Commerce (Commerce)                          Imposition of Antidumping Duties on Rubber Bands         these exchanges, the scope of the
                                               received antidumping duty (AD) and                         from the Sri Lanka: Phone Call with Counsel to the
                                                                                                          Petitioner’’ (Sri Lanka Second AD Supplemental           Petitions was modified to clarify the
                                               countervailing duty (CVD) Petitions                        Questionnaire); and ‘‘Petition for the Imposition of     description of merchandise covered by
                                               concerning imports of rubber bands                         Antidumping Duties on Rubber Bands from                  the Petitions. The description of the
                                               from China, Sri Lanka, and Thailand                        Thailand: Phone Call with Counsel to the                 merchandise covered by this initiation,
                                               filed in proper form on behalf of                          Petitioner’’ (Thailand Second AD Supplemental
                                                                                                          Questionnaire). All four of these documents are          as described in the Appendix to this
                                               Alliance Rubber Co. (Alliance, the                         dated February 12, 2018.                                 notice, reflects these clarifications.
                                               petitioner).1 The petitioner is a domestic                    4 See the petitioner’s separate letters letters          As discussed in the preamble to
                                               producer of rubber bands.2                                 regarding General Issues, China, Sri Lanka and           Commerce’s regulations, we are setting
                                                  On February 2 and February 12, 2018,                    Thailand, each entitled, ‘‘Petition for the Imposition
                                                                                                          of Antidumping and Countervailing Duties on              aside a period for interested parties to
                                               Commerce requested supplemental                            Rubber Bands from Thailand, China and Sri                raise issues regarding product coverage
                                               information pertaining to certain areas                    Lanka—Responses to Supplemental                          (scope).8 Commerce will consider all
                                               of the AD Petitions.3 The petitioner filed                 Questionnaires’’ (respectively, General Issues           comments received from interested
                                                                                                          Supplement, Sri Lanka AD Supplement, China AD
                                                                                                          Supplement, and Thailand AD Supplement). All             parties and, if necessary, will consult
                                                 1 See the petitioner’s letter, ‘‘Petition for

                                               Imposition of Antidumping and Countervailing
                                                                                                          four of these documents are dated February 8, 2018.      with interested parties prior to the
                                                                                                          See also the petitioner’s separate letters regarding     issuance of the preliminary
                                               Duties on Rubber Bands from Thailand, China and            General Issues, China, Sri Lanka, and Thailand,
                                               Sri Lanka,’’ dated January 30, 2018 (the Petitions).       each entitled, ‘‘Petition for the Imposition of          determinations. If scope comments
                                               For the purposes of the instant notice, all mentions       Antidumping and Countervailing Duties on Rubber          include factual information,9 all such
                                               of ‘the Petitions,’ herein, refer specifically to the AD
                                               Petitions.
                                                                                                          Bands from Thailand, China and Sri Lanka—                factual information should be limited to
                                                                                                          Supplemental Responses to Supplemental
                                                 2 See Volume I of the Petitions, at 5–6.
                                                                                                          Questionnaires: Responses of Petitioner Alliance            6 See the ‘‘Determination of Industry Support for
                                                 3 See Commerce’s letters, ‘‘Petition for the             Rubber Co. to Department of Commerce’s February
                                               Imposition of Antidumping and Countervailing               12, 2018 General Issues Questionnaire’’                  the Petitions’’ section, infra.
daltland on DSKBBV9HB2PROD with NOTICES




                                                                                                                                                                      7 See General Issues Supplemental Questionnaire,
                                               Duties on Imports of Rubber Bands from the                 (respectively, Second General Issues Supplement,
                                               People’s Republic of China, Sri Lanka, and                 Second China AD Supplement, Second Sri Lanka             at 3–4 and Second General Issues Supplemental
                                               Thailand: Supplemental Questions’’ (General Issues         AD Supplement, and Second Thailand AD                    Questionnaire; see also General Issues Supplement
                                               Supplemental Questionnaire); ‘‘Petition for the            Supplement). All four of these documents are dated       at 4–6, and Second General Issues Supplement at
                                               Imposition of Antidumping Duties on Imports of             February 13, 2018.                                       1; and Scope Clarification Memorandum.
                                                                                                                                                                      8 See Antidumping Duties; Countervailing Duties;
                                               Rubber Bands from the People’s Republic of China:             5 See memorandum, ‘‘Phone Call with Counsel to

                                               Supplemental Questions’’ (China AD Supplemental            the Petitioner Regarding Scope Clarification,’’ dated    Final Rule, 62 FR 27296, 27323 (May 19, 1997).
                                               Questionnaire); ‘‘Petition for the Imposition of           February 16, 2018 (Scope Clarification                      9 See 19 CFR 351.102(b)(21) (defining ‘‘factual

                                               Antidumping Duties on Imports of Rubber Bands              Memorandum).                                             information’’).



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                                                                           Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices                                                     8425

                                               public information. To facilitate                       key physical characteristics of the                   production of the domestic like product,
                                               preparation of its questionnaires,                      merchandise under consideration in                    Commerce shall: (i) Poll the industry or
                                               Commerce requests that all interested                   order to report the relevant costs of                 rely on other information in order to
                                               parties submit such comments by 5:00                    production accurately as well as to                   determine if there is support for the
                                               p.m. Eastern Time (ET) on March 12,                     develop appropriate product-                          petition, as required by subparagraph
                                               2018, which is 20 calendar days from                    comparison criteria.                                  (A); or (ii) determine industry support
                                               the signature date of this notice. Any                     Interested parties may provide any                 using a statistically valid sampling
                                               rebuttal comments, which may include                    information or comments that they feel                method to poll the ‘‘industry.’’
                                               factual information, must be filed by                   are relevant to the development of an                    Section 771(4)(A) of the Act defines
                                               5:00 p.m. ET on March 22, 2018, which                   accurate list of physical characteristics.            the ‘‘industry’’ as the producers as a
                                               is 10 calendar days from the initial                    Specifically, they may provide                        whole of a domestic like product. Thus,
                                               comments deadline.10                                    comments as to which characteristics                  to determine whether a petition has the
                                                  Commerce requests that any factual                   are appropriate to use as: (1) General                requisite industry support, the statute
                                               information the parties consider                        product characteristics, and (2) product-             directs Commerce to look to producers
                                               relevant to the scope of the                            comparison criteria. We note that it is               and workers who produce the domestic
                                               investigations be submitted during this                 not always appropriate to use all                     like product. The International Trade
                                               time period. However, if a party                        product characteristics as product-                   Commission (ITC), which is responsible
                                               subsequently finds that additional                      comparison criteria. We base product-                 for determining whether ‘‘the domestic
                                               factual information pertaining to the                   comparison criteria on meaningful                     industry’’ has been injured, must also
                                               scope of the investigations may be                      commercial differences among products.                determine what constitutes a domestic
                                               relevant, the party may contact                         In other words, although there may be                 like product in order to define the
                                               Commerce and request permission to                      some physical product characteristics                 industry. While both Commerce and the
                                               submit the additional information. All                  utilized by manufacturers to describe                 ITC must apply the same statutory
                                               such comments must be filed on the                      rubber bands, it may be that only a                   definition regarding the domestic like
                                               records of each of the concurrent AD                    select few product characteristics take               product,12 they do so for different
                                               and CVD investigations, in accordance                   into account commercially meaningful                  purposes and pursuant to a separate and
                                               with the filing requirements, discussed                 physical characteristics. In addition,                distinct authority. In addition,
                                               immediately below.                                      interested parties may comment on the                 Commerce’s determination is subject to
                                                                                                       order in which the physical                           limitations of time and information.
                                               Filing Requirements                                     characteristics should be used in                     Although this may result in different
                                                  All submissions to Commerce must be                  matching products. Generally,                         definitions of the like product, such
                                               filed electronically using Enforcement                  Commerce attempts to list the most                    differences do not render the decision of
                                               and Compliance’s Antidumping Duty                       important physical characteristics first              either agency contrary to law.13
                                               and Countervailing Duty Centralized                     and the least important characteristics                  Section 771(10) of the Act defines the
                                               Electronic Service System (ACCESS).11                   last.                                                 domestic like product as ‘‘a product
                                               An electronically filed document must                      In order to consider the suggestions of            which is like, or in the absence of like,
                                               be received successfully in its entirety                interested parties in developing and                  most similar in characteristics and uses
                                               by the time and date it is due.                         issuing the AD questionnaires, all                    with, the article subject to an
                                               Documents exempted from the                             product characteristics comments must                 investigation under this title.’’ Thus, the
                                               electronic submission requirements                      be filed by 5:00 p.m. ET on March 12,                 reference point from which the
                                               must be filed manually (i.e., in paper                  2018. Any rebuttal comments must be                   domestic like product analysis begins is
                                               form) with Enforcement and                              filed by 5:00 p.m. ET on March 19,                    ‘‘the article subject to an investigation’’
                                               Compliance’s APO/Dockets Unit, Room                     2018. All comments and submissions to                 (i.e., the class or kind of merchandise to
                                               18022, U.S. Department of Commerce,                     Commerce must be filed electronically                 be investigated, which normally will be
                                               1401 Constitution Avenue NW,                            using ACCESS, as explained above, on                  the scope as defined in the Petitions).
                                               Washington, DC 20230, and stamped                       the records of the China, Sri Lanka, and                 With regard to the domestic like
                                               with the date and time of receipt by the                Thailand less-than-fair-value                         product, the petitioner does not offer a
                                               applicable deadlines.                                   investigations.                                       definition of the domestic like product
                                                                                                       Determination of Industry Support for                 distinct from the scope of the Petitions.
                                               Comments on Product Characteristics
                                                                                                       the Petitions                                         Based on our analysis of the information
                                               for AD Questionnaires
                                                                                                                                                             submitted on the record, we have
                                                 Commerce requests comments from                         Section 732(b)(1) of the Act requires
                                                                                                                                                             determined that rubber bands, as
                                               interested parties regarding the                        that a petition be filed on behalf of the
                                                                                                                                                             defined in the scope, constitute a single
                                               appropriate physical characteristics of                 domestic industry. Section 732(c)(4)(A)
                                                                                                                                                             domestic like product, and we have
                                               rubber bands to be reported in response                 of the Act provides that a petition meets
                                                                                                                                                             analyzed industry support in terms of
                                               to Commerce’s AD questionnaires. This                   this requirement if the domestic
                                                                                                                                                             that domestic like product.14
                                               information will be used to identify the                producers or workers who support the
                                                                                                       petition account for: (i) At least 25                   12 See  section 771(10) of the Act.
                                                 10 See  19 CFR 351.303(b).                            percent of the total production of the                  13 See  USEC, Inc. v. United States, 132 F. Supp.
                                                  11 See Antidumping and Countervailing Duty           domestic like product; and (ii) more                  2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd.
                                               Proceedings: Electronic Filing Procedures;              than 50 percent of the production of the              v. United States, 688 F. Supp. 639, 644 (CIT 1988),
                                               Administrative Protective Order Procedures, 76 FR       domestic like product produced by that                aff’d 865 F.2d 240 (Fed. Cir. 1989)).
daltland on DSKBBV9HB2PROD with NOTICES




                                               39263 (July 6, 2011); see also Enforcement and                                                                   14 For a discussion of the domestic like product

                                               Compliance; Change of Electronic Filing System
                                                                                                       portion of the industry expressing                    analysis, see Antidumping Duty Investigation
                                               Name, 79 FR 69046 (November 20, 2014) for details       support for, or opposition to, the                    Initiation Checklist: Rubber Bands from China
                                               of Commerce’s electronic filing requirements,           petition. Moreover, section 732(c)(4)(D)              (China AD Initiation Checklist), at Attachment II,
                                               effective August 5, 2011. Information on help using     of the Act provides that, if the petition             Analysis of Industry Support for the Antidumping
                                               ACCESS can be found at https://access.trade.gov/                                                              and Countervailing Duty Petitions Covering Rubber
                                               help.aspx and a handbook can be found at https://
                                                                                                       does not establish support of domestic                Bands from the People’s Republic of China, Sri
                                               access.trade.gov/help/Handbook%20on%                    producers or workers accounting for                   Lanka, and Thailand (Attachment II); Antidumping
                                               20Electronic%20Filling%20Procedures.pdf.                more than 50 percent of the total                                                               Continued




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                                               8426                        Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices

                                                 In determining whether the petitioner                 product.20 Finally, the domestic                       Allegations of Sales at Less Than Fair
                                               has standing under section 732(c)(4)(A)                 producers (or workers) have met the                    Value
                                               of the Act, we considered the industry                  statutory criteria for industry support                   The following is a description of the
                                               support data contained in the Petitions                 under section 732(c)(4)(A)(ii) of the Act              allegations of sales at less than fair value
                                               with reference to the domestic like                     because the domestic producers (or                     upon which Commerce based its
                                               product as defined in the ‘‘Scope of the                workers) who support the Petitions                     decision to initiate AD investigations of
                                               Investigations,’’ in the Appendix to this               account for more than 50 percent of the                imports of rubber bands from China, Sri
                                               notice. To establish industry support,                  production of the domestic like product                Lanka, and Thailand. The sources of
                                               the petitioner provided its own net sales               produced by that portion of the industry               data for the deductions and adjustments
                                               values of the domestic like product in                  expressing support for, or opposition to,
                                                                                                                                                              relating to U.S. price and NV are
                                               2017, and compared this to the                          the Petitions.21 Accordingly, Commerce
                                                                                                                                                              discussed in greater detail in the
                                               estimated total sales values of the                     determines that the Petitions were filed
                                                                                                                                                              country-specific initiation checklists.
                                               domestic like product for the entire                    on behalf of the domestic industry
                                               domestic industry.15 Because total                      within the meaning of section 732(b)(1)                Export Price
                                               industry production data for the                        of the Act.                                              For China, Sri Lanka, and Thailand,
                                               domestic like product for 2017 are not                     Commerce finds that the petitioner
                                                                                                                                                              the petitioners based export price (EP)
                                               reasonably available to the petitioner,                 filed the Petitions on behalf of the
                                                                                                                                                              on pricing information or price quotes
                                               and the petitioner has established that                 domestic industry because it is an
                                                                                                                                                              for rubber bands produced in, and
                                               sales values and shipments are a                        interested party as defined in section
                                                                                                                                                              exported from, those countries and sold
                                               reasonable proxy for production data,16                 771(9)(C) of the Act, and it has
                                                                                                                                                              or offered for sale in the United States.26
                                               we have relied on the data the petitioner               demonstrated sufficient industry
                                                                                                                                                                Where appropriate, the petitioner
                                               provided for purposes of measuring                      support with respect to the AD
                                                                                                                                                              made deductions from U.S. price
                                               industry support.17                                     investigations that it is requesting that
                                                                                                                                                              consistent with the terms of sale, as
                                                 Our review of the data provided in the                Commerce initiate.22
                                                                                                                                                              applicable.27
                                               Petitions, the General Issues
                                                                                                       Allegations and Evidence of Material
                                               Supplement, the Second General Issues                                                                          Normal Value
                                                                                                       Injury and Causation
                                               Supplement, and other information                                                                                For Sri Lanka and Thailand, the
                                               readily available to Commerce indicates                    The petitioner alleges that the U.S.
                                                                                                       industry producing the domestic like                   petitioner was unable to obtain home
                                               that the petitioner has established                                                                            market or third-country prices for
                                               industry support for the Petitions.18                   product is being materially injured, or is
                                                                                                       threatened with material injury, by                    rubber bands; therefore, the petitioner
                                               First, the Petitions established support                                                                       calculated normal value based on
                                               from domestic producers (or workers)                    reason of the imports of the subject
                                                                                                       merchandise sold at less than normal                   constructed value (CV) pursuant to
                                               accounting for more than 50 percent of
                                                                                                       value (NV). In addition, the petitioner                section 773(a)(4) of the Act. See the
                                               the total production of the domestic like
                                                                                                       alleges that subject imports exceed the                section ‘‘Normal Value Based on
                                               product and, as such, Commerce is not
                                                                                                       negligibility threshold provided for                   Constructed Value’’ below.28
                                               required to take further action in order
                                                                                                       under section 771(24)(A) of the Act.23                   With respect to China, Commerce
                                               to evaluate industry support (e.g.,
                                                                                                          The petitioner contends that the                    considers China to be an NME
                                               polling).19 Second, the domestic
                                                                                                       industry’s injured condition is                        country.29 In accordance with section
                                               producers (or workers) have met the
                                                                                                       illustrated by a significant and                       771(18)(C)(i) of the Act, any
                                               statutory criteria for industry support
                                                                                                       increasing volume of subject imports,                  determination that a foreign country is
                                               under section 732(c)(4)(A)(i) of the Act
                                                                                                       reduced market share, underselling and                 an NME country shall remain in effect
                                               because the domestic producers (or
                                                                                                       price depression or suppression, lost                  until revoked by Commerce. Therefore,
                                               workers) who support the Petitions
                                                                                                       sales and revenues, and a negative                     we continue to treat China as an NME
                                               account for at least 25 percent of the
                                               total production of the domestic like                   impact on the domestic industry’s                      country for purposes of the initiation of
                                                                                                       financial performance.24 We have                       this investigation. Accordingly, NV in
                                               Duty Investigation Initiation Checklist: Rubber         assessed the allegations and supporting
                                               Bands from Sri Lanka (Sri Lanka AD Initiation           evidence regarding material injury,                    of China, Sri Lanka, and Thailand’’ (Attachment III);
                                               Checklist), at Attachment II; and Antidumping Duty                                                             see also Sri Lanka AD Initiation Checklist, at
                                                                                                       threat of material injury, and causation,              Attachment III; see also Thailand AD Initiation
                                               Investigation Initiation Checklist: Rubber Bands
                                               from Thailand (Thailand AD Initiation Checklist), at    and we have determined that these                      Checklist, at Attachment III.
                                               Attachment II. These checklists are dated               allegations are properly supported by                    26 See China AD Initiation Checklist, Sri Lanka

                                               concurrently with, and hereby adopted by, this          adequate evidence, and meet the                        AD Initiation Checklist, and Thailand AD Initiation
                                               notice and on file electronically via ACCESS.           statutory requirements for initiation.25               Checklist.
                                               Access to documents filed via ACCESS is also                                                                     27 Id.
                                               available in the Central Records Unit, Room B8024                                                                28 In accordance with section 505(a) of the Trade
                                                                                                         20 See China AD Initiation Checklist, at
                                               of the main Department of Commerce building.                                                                   Preferences Extension Act of 2015, amending
                                                  15 See General Issues Supplement, at 8 and GEN–      Attachment II; Sri Lanka AD Initiation Checklist, at
                                                                                                                                                              section 773(b)(2) of the Act, for these investigations,
                                               10S; see also Second General Issues Supplement, at      Attachment II; and Thailand AD Initiation
                                                                                                                                                              Commerce will request information necessary to
                                               2–3.                                                    Checklist, at Attachment II.
                                                                                                         21 Id.
                                                                                                                                                              calculate the CV and cost of production (COP) to
                                                  16 See Second General Issues Supplement, at
                                                                                                                                                              determine whether there are reasonable grounds to
                                                                                                         22 Id.
                                               2–3.                                                                                                           believe or suspect that sales of the foreign like
                                                                                                         23 See General Issues Supplement, at 9 and
                                                  17 Id. For further discussion, see China AD                                                                 product have been made at prices that represent
                                               Initiation Checklist, at Attachment II; Sri Lanka AD    Exhibit B.                                             less than the COP of the product. Commerce no
                                               Initiation Checklist, at Attachment II; and Thailand      24 See Volume I of the Petitions, at 16–19, 25–47    longer requires a COP allegation to conduct this
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                                               AD Initiation Checklist, at Attachment II.              and Exhibits GEN–3 through GEN–8, GEN–10 and           analysis.
                                                  18 See China AD Initiation Checklist, at             GEN–12; see also General Issues Supplement, at           29 See Antidumping Duty Investigation of Certain

                                               Attachment II; Sri Lanka AD Initiation Checklist, at    8–16 and Exhibits A, B, and GEN–10S; and Second        Aluminum Foil from the People’s Republic of
                                               Attachment II; and Thailand AD Initiation               General Issues Supplement, at 3 and Exhibit A.         China: Affirmative Preliminary Determination of
                                               Checklist, at Attachment II.                              25 See China AD Initiation Checklist, at             Sales at Less-Than-Fair Value and Postponement of
                                                  19 See section 732(c)(4)(D) of the Act; see also     Attachment III, ‘‘Analysis of Allegations and          Final Determination, 82 FR 50858, 50861
                                               China AD Initiation Checklist, at Attachment II; Sri    Evidence of Material Injury and Causation for the      (November 2, 2017), and accompanying decision
                                               Lanka AD Initiation Checklist, at Attachment II; and    Antidumping and Countervailing Duty Petitions          memorandum, China’s Status as a Non-Market
                                               Thailand AD Initiation Checklist, at Attachment II.     Covering Rubber Bands from the People’s Republic       Economy.



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                                                                           Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices                                                     8427

                                               China is appropriately based on factors                 petitioner based NV on CV pursuant to                  Initiation of Less-Than-Fair-Value
                                               of production (FOPs) valued in a                        section 773(a)(4) of the Act. Pursuant to              Investigations
                                               surrogate market economy country, in                    section 773(b)(3) of the Act, CV consists                 Based upon the examination of the
                                               accordance with section 773(c) of the                   of the cost of manufacturing (COM);                    Petitions, we find that the Petitions
                                               Act.30 In the course of this investigation,             selling, general and administrative                    meet the requirements of section 732 of
                                               all parties, and the public, will have the              (SG&A) expenses; financial expenses;                   the Act. Therefore, we are initiating AD
                                               opportunity to provide relevant                         profit; and packing expenses.                          investigations to determine whether
                                               information related to the granting of                     For Sri Lanka, the petitioner                       imports of rubber bands from China, Sri
                                               separate rates to individual exporters.                 calculated the COM based on its own                    Lanka, and Thailand are being, or are
                                                  The petitioner claims that Thailand is               input factors of production and usage                  likely to be, sold in the United States at
                                               an appropriate surrogate country for                    rates for raw materials, energy, packing               less than fair value. In accordance with
                                               China because: (1) Commerce has                         and scrap offset. The input factors of                 section 733(b)(1)(A) of the Act and 19
                                               evaluated the per capita gross domestic                 production were valued using publicly
                                               product (GDP) of Thailand in numerous                                                                          CFR 351.205(b)(1), unless postponed,
                                                                                                       available data on costs specific to Sri                we will make our preliminary
                                               cases and determined that Thailand is at                Lanka, where available, and the
                                               the level of economic development                                                                              determinations no later than 140 days
                                                                                                       petitioner’s cost experience. For Sri                  after the date of this initiation.
                                               comparable to China based on per-                       Lanka, labor and energy costs were
                                               capita Gross National Income; (2)                                                                                 Under the Trade Preferences
                                                                                                       valued using publicly available sources                Extension Act of 2015, numerous
                                               Thailand is a significant producer of                   from Sri Lanka and the petitioner’s cost
                                               comparable merchandise as well as a                                                                            amendments to the AD and CVD laws
                                                                                                       experience.35 The petitioner calculated                were made.45 The 2015 law does not
                                               significant exporter of subject                         factory overhead, SG&A, financial
                                               merchandise; and (3) the data for                                                                              specify dates of application for those
                                                                                                       expenses and profit based on the                       amendments. On August 6, 2015,
                                               valuing FOPs, factory overhead, selling,                experience of a Sri Lankan producer of
                                               general and administrative (SG&A)                                                                              Commerce published an interpretative
                                                                                                       comparable merchandise.36                              rule, in which it announced the
                                               expenses and profit are publicly                          For Thailand, the petitioner
                                               available, current, and reliable.31 Based                                                                      applicability dates for each amendment
                                                                                                       calculated the COM based on its own                    to the Act, except for amendments
                                               on the information provided by the                      input factors of production and usage
                                               petitioner, we believe it is appropriate                                                                       contained in section 771(7) of the Act,
                                                                                                       rates for raw materials, labor, energy,                which relate to determinations of
                                               to use Thailand as a surrogate country                  packing, and a scrap offset.37 The input
                                               for initiation purposes.                                                                                       material injury by the ITC.46 The
                                                                                                       factors of production were valued using                amendments to sections 771(15), 773,
                                                  Interested parties will have the
                                                                                                       publicly available data on costs specific              776, and 782 of the Act are applicable
                                               opportunity to submit comments
                                                                                                       to Thailand, during the proposed POI.38                to all determinations made on or after
                                               regarding surrogate country selection
                                                                                                       Specifically, the prices for raw material              August 6, 2015, and, therefore, apply to
                                               and, pursuant to 19 CFR
                                                                                                       and packing inputs were based on                       these AD investigations.47
                                               351.301(c)(3)(i), will be provided an
                                               opportunity to submit publicly available                publicly available import data for
                                                                                                       Thailand.39 Labor and energy costs were                Respondent Selection
                                               information to value FOPs within 30
                                               days before the scheduled date of the                   valued using publicly available sources                   In the Petitions, the petitioner named
                                               preliminary determination.                              for Thailand.40 The petitioner                         12, four, and 22 producers/exporters,
                                                                                                       calculated factory overhead, SG&A, and                 respectively, as accounting for the
                                               Factors of Production                                   profit for Thailand based on the                       majority of exports of rubber bands
                                                 Because information regarding the                     experience of a Thai producer of rubber                products to the United States from
                                               volume of inputs consumed by Chinese                    bands.41                                               China, Sri Lanka, and Thailand.48 With
                                               producers/exporters was not reasonably                  Fair Value Comparisons                                 regard to China, in accordance with our
                                               available, the petitioner relied on its                                                                        standard practice for respondent
                                               actual consumption of direct materials,                    Based on the data provided by the                   selection in cases involving NME
                                               direct labor, energy, scrap offset, and                 petitioner, there is reason to believe that            countries, we intend to issue quantity
                                               packing for comparable rubber bands,                    imports of rubber bands from China, Sri                and value (Q&V) questionnaires to each
                                               adjusted for known differences in usage                 Lanka, and Thailand are being, or are                  potential respondent and, if necessary,
                                               between the United States and China.32                  likely to be, sold in the United States at             base respondent selection on the
                                               The petitioner valued the estimated                     less than fair value. Based on                         responses received. In addition,
                                               FOPs using surrogate values from                        comparisons of EP to NV in accordance                  Commerce will post the Q&V
                                               Thailand,33 and used the average POI                    with sections 772 and 773 of the Act,                  questionnaire along with filing
                                               exchange rate to convert the data to U.S.               the estimated dumping margins for                      instructions on the Enforcement and
                                               dollars.34                                              rubber bands for each of the countries                 Compliance website at http://
                                                                                                       covered by this initiation are as follows:             www.trade.gov/enforcement/news.asp.
                                               Normal Value Based on Constructed                       (1) China—27.27 percent; 42, (2) Sri                      Exporters/producers of rubber bands
                                               Value                                                   Lanka—56.54 to 133.13 percent; 43, and                 from China that do not receive Q&V
                                                 As noted above, for Sri Lanka and                     (3) Thailand—28.92 to 78.36 percent.44
                                               Thailand, the petitioner was unable to                                                                            45 See Trade Preferences Extension Act of 2015,

                                               obtain home market or third-country                       35 See   Sri Lanka AD Initiation Checklist.          Public Law 114–27, 129 Stat. 362 (2015).
                                                                                                                                                                 46 See Dates of Application of Amendments to the
                                               prices for rubber bands; therefore, the                   36 Id.
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                                                                                                         37 See   Thailand AD Initiation Checklist.           Antidumping and Countervailing Duty Laws Made
                                                                                                         38 Id.                                               by the Trade Preferences Extension Act of 2015, 80
                                                 30 See  China AD Initiation Checklist.
                                                                                                         39 Id.
                                                                                                                                                              FR 46793 (August 6, 2015).
                                                 31 See Volume III of Petitions, at 3.                                                                           47 Id. at 46794–95. The 2015 amendments may be
                                                 32 Id. at 1 and 4 and Exhibit AD–CH–2.                  40 Id.
                                                                                                                                                              found at https://www.congress.gov/bill/114th-
                                                 33 Id. at Exhibit AD–CH–3; see also China AD            41 Id.
                                                                                                                                                              congress/house-bill/1295/text/pl.
                                                                                                         42 See China AD Initiation Checklist.
                                               Supplement, at Exhibit AD–CH–S3; and Second                                                                       48 See Volume I of the Petitions, at Exhibit
                                               China AD Supplement, at Exhibit AD–CH–SS3.                43 See Sri Lanka AD Initiation Checklist.            GEN–2. See also General Issues Supplement at 2–
                                                 34 Id.                                                  44 See Thailand AD Initiation Checklist.             3.



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                                               8428                        Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices

                                               questionnaires by mail may still submit                 after publication of this initiation                   ITC Notification
                                               a response to the Q&V questionnaire                     notice.50 Exporters and producers who                    We will notify the ITC of our
                                               and can obtain a copy from the                          submit a separate-rate application and                 initiation, as required by section 732(d)
                                               Enforcement and Compliance website.                     have been selected as mandatory                        of the Act.
                                               The Q&V response must be submitted                      respondents will be eligible for
                                               by all exporters/producers from China                   consideration for separate-rate status                 Preliminary Determinations by the ITC
                                               no later than 5:00 p.m. E.T. on March                   only if they respond to all parts of                      The ITC will preliminarily determine,
                                               6, 2018, which is two weeks from the                    Commerce’s AD questionnaire as                         within 45 days after the date on which
                                               signature date of this notice. All Q&V                  mandatory respondents. Commerce                        the Petitions were filed, whether there
                                               responses must be filed electronically                  requires that companies from China                     is a reasonable indication that imports
                                               via ACCESS.                                             submit a response to both the Q&V                      of rubber bands from China, Sri Lanka,
                                                  With regard to Sri Lanka and                                                                                and/or Thailand are materially injuring
                                                                                                       questionnaire and the separate-rate
                                               Thailand, following standard practice in                                                                       or threatening material injury to a U.S.
                                                                                                       application by the respective deadlines
                                               AD investigations involving market                                                                             industry.52 A negative ITC
                                                                                                       in order to receive consideration for
                                               economy countries, in the event                                                                                determination for any country will
                                               Commerce determines that the number                     separate-rate status. Companies not
                                                                                                       filing a timely Q&V response will not                  result in the investigation being
                                               of companies is large and it cannot                                                                            terminated with respect to that
                                               individually examine each company                       receive separate-rate consideration.
                                                                                                                                                              country.53 Otherwise, the investigations
                                               based upon Commerce’s resources,                        Use of Combination Rates                               will proceed according to statutory and
                                               where appropriate, Commerce intends                                                                            regulatory time limits.
                                               to select respondents based on U.S.                        Commerce will calculate combination
                                               Customs and Border Protection (CBP)                     rates for certain respondents that are                 Submission of Factual Information
                                               data for U.S. imports under the                         eligible for a separate rate in an NME                    Factual information is defined in 19
                                               appropriate Harmonized Tariff Schedule                  investigation. The Separate Rates and                  CFR 351.102(b)(21) as: (i) Evidence
                                               of the United States numbers listed with                Combination Rates Bulletin states:                     submitted in response to questionnaires;
                                               the scope in the Appendix, below. We                                                                           (ii) evidence submitted in support of
                                                                                                         {while} continuing the practice of
                                               also intend to release the CBP data                                                                            allegations; (iii) publicly available
                                                                                                       assigning separate rates only to exporters, all
                                               under Administrative Protective Order                   separate rates that the Department will now            information to value factors under 19
                                               (APO) to all parties with access to                     assign in its NME Investigation will be                CFR 351.408(c) or to measure the
                                               information protected by APO on the                     specific to those producers that supplied the          adequacy of remuneration under 19 CFR
                                               record within five business days of                     exporter during the period of investigation.           351.511(a)(2); (iv) evidence placed on
                                               publication of this Federal Register                    Note, however, that one rate is calculated for         the record by Commerce; and (v)
                                               notice. Comments regarding the CBP                      the exporter and all of the producers which            evidence other than factual information
                                               data and respondent selection should be                 supplied subject merchandise to it during the          described in (i)–(iv). Any party, when
                                               submitted seven calendar days after the                 period of investigation. This practice applies         submitting factual information, must
                                               placement of the CBP data on the record                 both to mandatory respondents receiving an             specify under which subsection of 19
                                               of these investigations. Parties wishing                individually calculated separate rate as well          CFR 351.102(b)(21) the information is
                                               to submit rebuttal comments should                      as the pool of non-investigated firms                  being submitted 54 and, if the
                                               submit those comments five calendar                     receiving the weighted-average of the                  information is submitted to rebut,
                                               days after the deadline for the initial                 individually calculated rates. This practice is        clarify, or correct factual information
                                               comments. Comments must be filed                        referred to as the application of ‘‘combination        already on the record, to provide an
                                               electronically using ACCESS. An                         rates’’ because such rates apply to specific           explanation identifying the information
                                               electronically-filed document must be                   combinations of exporters and one or more              already on the record that the factual
                                               received successfully in its entirety by                producers. The cash-deposit rate assigned to           information seeks to rebut, clarify, or
                                               Commerce’s electronic records system,                   an exporter will apply only to merchandise             correct.55 Time limits for the
                                               ACCESS, by 5:00 p.m. ET by the dates                    both exported by the firm in question and              submission of factual information are
                                               noted above. We intend to make our                      produced by a firm that supplied the exporter          addressed in 19 CFR 351.301, which
                                               decision regarding respondent selection                 during the period of investigation.51                  provides specific time limits based on
                                               within 20 days of publication of this                                                                          the type of factual information being
                                               notice.                                                 Distribution of Copies of the Petitions
                                                                                                                                                              submitted. Interested parties should
                                               Separate Rates                                            In accordance with section                           review the regulations prior to
                                                                                                       732(b)(3)(A)(i) of the Act and 19 CFR                  submitting factual information in these
                                                  In order to obtain separate-rate status
                                                                                                       351.202(f), copies of the public version               investigations.
                                               in an NME investigation, exporters and
                                               producers must submit a separate-rate                   of the Petitions have been provided to                 Extensions of Time Limits
                                               application.49 The specific requirements                the governments of China, Sri Lanka,
                                                                                                                                                                 Parties may request an extension of
                                               for submitting a separate-rate                          and Thailand via ACCESS. To the extent
                                                                                                                                                              time limits before the expiration of a
                                               application in the China investigation                  practicable, we will attempt to provide                time limit established under 19 CFR
                                               are outlined in detail in the application               a copy of the public version of the                    351.301, or as otherwise specified by the
                                               itself, which is available on Commerce’s                Petitions to each exporter named in the                Secretary. In general, an extension
                                               website at http://enforcement.trade.gov/                Petitions, as provided under 19 CFR                    request will be considered untimely if it
                                               nme/nme-sep-rate.html. The separate-                    351.203(c)(2).                                         is filed after the expiration of the time
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                                               rate application will be due 30 days                                                                           limit established under 19 CFR 351.301.
                                                                                                         50 Although in some past investigations this
                                                                                                                                                              For submissions that are due from
                                                 49 See Policy Bulletin 05.1: Separate-Rates           deadline was 60 days, consistent with 19 CFR
                                               Practice and Application of Combination Rates in        351.301(a), which states that ‘‘the Secretary may
                                                                                                                                                               52 See   section 733(a) of the Act.
                                               Antidumping Investigation involving Non-Market          request any person to submit factual information at
                                                                                                                                                               53 Id.
                                               Economy Countries (April 5, 2005), available at         any time during a proceeding,’’ this deadline is now
                                               http://enforcement.trade.gov/policy/bull05-1.pdf        30 days.                                                54 See   19 CFR 351.301(b).
                                               (Policy Bulletin 05.1).                                   51 See Policy Bulletin 05.1 at 6 (emphasis added).    55 See   19 CFR 351.301(b)(2).



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                                                                           Federal Register / Vol. 83, No. 39 / Tuesday, February 27, 2018 / Notices                                                       8429

                                               multiple parties simultaneously, an                       This notice is issued and published                 Shana Lee at (202) 482–6386 (Thailand),
                                               extension request will be considered                    pursuant to sections 732(c)(2) and 777(i)             Kristen Johnson at (202) 482–4793
                                               untimely if it is filed after 10:00 a.m. ET             of the Act, and 19 CFR 351.203(c).                    (China), and Patricia Tran at (202) 482–
                                               on the due date. Under certain                            Dated: February 20, 2018.                           1503 (Sri Lanka), AD/CVD Operations,
                                               circumstances, we may elect to specify                  Christian Marsh,                                      Office III, Enforcement and Compliance,
                                               a different time limit by which                                                                               International Trade Administration,
                                                                                                       Deputy Assistant Secretary for Enforcement
                                               extension requests will be considered                   and Compliance.                                       U.S. Department of Commerce, 1401
                                               untimely for submissions which are due                                                                        Constitution Avenue NW, Washington,
                                               from multiple parties simultaneously. In                Appendix                                              DC 20230.
                                               such a case, we will inform parties in                  Scope of the Investigations                           SUPPLEMENTARY INFORMATION:
                                               the letter or memorandum setting forth
                                                                                                          The products subject to these                      The Petitions
                                               the deadline (including a specified time)               investigations are bands made of vulcanized
                                               by which extension requests must be                     rubber, with a flat length, as actually                  On January 30, 2018, the U.S.
                                               filed to be considered timely. An                       measured end-to-end by the band lying flat,           Department of Commerce (Commerce)
                                               extension request must be made in a                     no less than 1⁄2 inch and no greater than 10          received countervailing duty (CVD)
                                               separate, stand-alone submission; under                 inches; with a width, which measures the              petitions concerning imports of rubber
                                               limited circumstances we will grant                     dimension perpendicular to the length,                bands from Thailand, the People’s
                                               untimely-filed requests for the extension               actually of at least 3/64 inch and no greater
                                                                                                                                                             Republic of China (China), and Sri
                                               of time limits. Parties should review                   than 2 inches; and a wall thickness actually
                                                                                                       from 0.020 inch to 0.125 inch. Vulcanized             Lanka, filed in proper form on behalf of
                                               Extension of Time Limits; Final Rule, 78                rubber has been chemically processed into a           Alliance Rubber Co. (the petitioner).1
                                               FR 57790 (September 20, 2013),                          more durable material by the addition of              The CVD Petitions were accompanied
                                               available at http://www.gpo.gov/fdsys/                  sulfur or other equivalent curatives or               by antidumping duty (AD) petitions
                                               pkg/FR-2013-09-20/html/2013-                            accelerators. Subject products are included           concerning imports of rubber bands
                                               22853.htm, prior to submitting factual                  regardless of color or inclusion of printed           from Thailand, China, and Sri Lanka.
                                               information in these investigations.                    material on the rubber band’s surface,                The petitioner is a domestic producer of
                                                                                                       including but not limited to, rubber bands            rubber bands.2
                                               Certification Requirements                              with printing on them, such as a product
                                                                                                                                                                On February 2, 2018, Commerce
                                                 Any party submitting factual                          name, advertising, or slogan, and printed
                                                                                                       material (e.g., a tag) fastened to the rubber         requested supplemental information
                                               information in an AD or CVD                                                                                   pertaining to certain areas of the
                                               proceeding must certify to the accuracy                 band by an adhesive or another temporary
                                                                                                       type of connection. The scope includes                Petitions.3 The petitioner filed
                                               and completeness of that information.56                 vulcanized rubber bands which are contained           responses to these requests on February
                                               Parties are hereby reminded that revised                or otherwise exist in various forms and               8, 2018, which included revised scope
                                               certification requirements are in effect                packages, such as, without limitation,                language.4 On February 12, 2018,
                                               for company/government officials, as                    vulcanized rubber bands included within a             Commerce held a conference call with
                                               well as their representatives.                          desk accessory set or other type of set or            the petitioner to discuss the scope of the
                                               Investigations initiated on the basis of                package, and vulcanized rubber band balls.
                                                                                                                                                             investigation, industry support, and
                                               petitions filed on or after August 16,                  The scope excludes products that consist of
                                                                                                       an elastomer loop and durable tag all-in-one,         injury.5 The petitioner filed a response
                                               2013, and other segments of any AD or
                                               CVD proceedings initiated on or after                   and bands that are being used at the time of
                                                                                                                                                                1 See Letter from the petitioner ‘‘Petition for the
                                                                                                       import to fasten an imported product.
                                               August 16, 2013, should use the formats                 Merchandise covered by these investigations           Imposition of Antidumping and Countervailing
                                               for the revised certifications provided at                                                                    Duties: Rubber Bands from Thailand, China and Sri
                                                                                                       is currently classified in the Harmonized             Lanka,’’ dated January 30, 2018 (Petitions).
                                               the end of the Final Rule.57 Commerce                   Tariff Schedule of the United States (HTSUS)             2 Id. at Volume I of the Petitions at 1.
                                               intends to reject factual submissions if                under subheading 4016.99.3510.                           3 See Letter from Commerce to the petitioner,
                                               the submitting party does not comply                    Merchandise covered by the scope may also             ‘‘Petition for the Imposition of Countervailing
                                               with applicable revised certification                   enter under HTSUS subheading                          Duties on Imports of Rubber Bands from Sri Lanka:
                                               requirements.                                           4016.99.6050. While the HTSUS subheadings             Supplemental Questions,’’ (Sri Lanka CVD Petition
                                                                                                       are provided for convenience and customs              Supplemental Questionnaire); ‘‘Petition for the
                                               Notification to Interested Parties                      purposes, the written description of the              Imposition of Antidumping and Countervailing
                                                                                                       scope of the investigations is dispositive.           Duties on Imports of Rubber Bands from the
                                                 Interested parties must submit                                                                              People’s Republic of China, Sri Lanka, and
                                               applications for disclosure under APO                   [FR Doc. 2018–03923 Filed 2–26–18; 8:45 am]           Thailand: Supplemental Questions,’’ (General
                                               in accordance with 19 CFR 351.305. On                   BILLING CODE 3510–DS–P                                Issues Petition Supplemental Questionnaire);
                                                                                                                                                             ‘‘Petition for the Imposition of Countervailing
                                               January 22, 2008, Commerce published                                                                          Duties on Imports of Rubber Bands from the
                                               Antidumping and Countervailing Duty                                                                           People’s Republic of China (China): Supplemental
                                               Proceedings: Documents Submission                       DEPARTMENT OF COMMERCE                                Questions,’’ (China CVD Petition Supplemental
                                               Procedures; APO Procedures, 73 FR                                                                             Questionnaire); ‘‘Petition for the Imposition of
                                               3634 (January 22, 2008). Parties wishing                International Trade Administration                    Countervailing Duties on Imports of Rubber Bands
                                                                                                                                                             from Thailand: Supplemental Questions,’’
                                               to participate in these investigations                  [C–549–836, C–570–070, C–542–803]                     (Thailand CVD Petition Supplemental
                                               should ensure that they meet the                                                                              Questionnaire) dated February 2, 2018.
                                               requirements of these procedures (e.g.,                 Rubber Bands From Thailand, the                          4 See Letter from petitioner to Commerce,

                                               the filing of letters of appearance as                  People’s Republic of China, and Sri                   ‘‘Petition for the Imposition of Antidumping and
                                                                                                       Lanka: Initiation of Countervailing Duty              Countervailing Duties on Rubber Bands from
                                               discussed at 19 CFR 351.103(d)).                                                                              Thailand, China and Sri Lanka—Responses to
                                                                                                       Investigations
daltland on DSKBBV9HB2PROD with NOTICES




                                                                                                                                                             Supplemental Questionnaires,’’ dated February 8,
                                                 56 See section 782(b) of the Act.                                                                           2018 (General Issues Supplemental Response,
                                                 57 See Certification of Factual Information to
                                                                                                       AGENCY:  Enforcement and Compliance,                  Thailand CVD Petition Supplemental Response,
                                               Import Administration during Antidumping and            International Trade Administration,                   China CVD Petition Supplemental Response, and
                                               Countervailing Duty Proceedings, 78 FR 42678 (July      Department of Commerce.                               Sri Lanka CVD Petition Supplemental Response).
                                               17, 2013) (Final Rule); see also frequently asked       DATES: Applicable February 20, 2018.
                                                                                                                                                                5 See Memorandum to the File, ‘‘Petition for the

                                               questions regarding the Final Rule, available at                                                              Imposition of Antidumping and Countervailing
                                               http://enforcement.trade.gov/tlei/notices/factual_      FOR FURTHER INFORMATION CONTACT:                      Duties on Rubber Bands from the People’s Republic
                                               info_final_rule_FAQ_07172013.pdf.                       Frances Veith at (202) 482–4295 or                                                                 Continued




                                          VerDate Sep<11>2014   19:49 Feb 26, 2018   Jkt 244001   PO 00000   Frm 00012   Fmt 4703   Sfmt 4703   E:\FR\FM\27FEN1.SGM   27FEN1



Document Created: 2018-02-27 01:14:51
Document Modified: 2018-02-27 01:14:51
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 February 20, 2018.
ContactPaul Stolz at (202) 482-4474 and Stephanie Berger at (202) 482-2483 (the People's Republic of China (China)); Cindy Robinson at (202) 482-3797 (Sri Lanka); and Laurel LaCivita at (202) 482-4243 and Joseph Degreenia at (202) 482-6030 (Thailand); AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
FR Citation83 FR 8424 

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