83 FR 9842 - Polytetrafluoroethylene Resin From India: Preliminary Affirmative Countervailing Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 46 (March 8, 2018)

Page Range9842-9843
FR Document2018-04658

The Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of polytetrafluoroethylene resin (PTFE resin) from India. The period of investigation is April 1, 2016, through March 31, 2017.

Federal Register, Volume 83 Issue 46 (Thursday, March 8, 2018)
[Federal Register Volume 83, Number 46 (Thursday, March 8, 2018)]
[Notices]
[Pages 9842-9843]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-04658]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-880]


Polytetrafluoroethylene Resin From India: Preliminary Affirmative 
Countervailing Duty Determination

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that countervailable subsidies are being provided to producers and 
exporters of polytetrafluoroethylene resin (PTFE resin) from India. The 
period of investigation is April 1, 2016, through March 31, 2017.

DATES: Effective March 8, 2018.

FOR FURTHER INFORMATION CONTACT: Toby Vandall, Emily Halle, or Aimee 
Phelan, AD/CVD Operations, Office I, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-
1664, (202) 482-0176, or (202) 482-0697, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on October 26, 
2017.\1\ On December 7, 2017, Commerce postponed the preliminary 
determination of this investigation to February 26, 2018.\2\ Commerce 
exercised its discretion to toll deadlines for the duration of the 
closure of the Federal Government from January 20 through 22, 2018. As 
a result, the deadline for this preliminary determination became 
February 28, 2018.\3\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\4\ A list of topics discussed in the Preliminary 
Decision Memorandum is included as Appendix II to this notice. The 
Preliminary Decision Memorandum is a public document and is on file 
electronically via Enforcement and Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at http://access.trade.gov, and 
is available to all parties in the Central Records Unit, room B8024 of 
the main Department of Commerce building. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at http://enforcement.trade.gov/frn/. The signed and electronic 
versions of the Preliminary Decision Memorandum are identical in 
content.
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    \1\ See Polytetrafluoroethylene Resin from India: Initiation of 
Countervailing Duty Investigation, 82 FR 49592 (October 26, 2017) 
(Initiation Notice).
    \2\ See Polytetrafluoroethylene Resin from India: Postponement 
of Preliminary Determination in the Countervailing Duty 
Investigation, 82 FR 57727 (December 7, 2017). The postponement of 
the preliminary determination to the 130th day after initiation of 
the investigation resulted in the deadline falling on Sunday, 
February 25, 2018. Consistent with Commerce's practice, the deadline 
became the next business day, Monday, February 26. Id. at footnote 
6.
    \3\ See Memorandum, ``Deadlines Affected by the Shutdown of the 
Federal Government,'' dated January 23, 2018. All deadlines in this 
segment of the proceeding have been extended by three days.
    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Countervailing Duty Investigation of 
Polytetrafluoroethylene Resin from India,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Scope of the Investigation

    The product covered by this investigation is PTFE resin from India. 
For a complete description of the scope of this investigation, see 
Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\5\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage, (i.e., scope).\6\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttal responses submitted to the record for this preliminary 
determination, and accompanying discussion and analysis of all comments 
timely received, see the Preliminary Scope Decision Memorandum.\7\ 
Commerce is preliminarily adopting the scope language as it appeared in 
the Initiation Notice.
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    \5\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \6\ See Initiation Notice.
    \7\ See Memorandum, ``Polytetrafluoroethylene Resin from India 
and the People's Republic of China: Scope Comments Decision 
Memorandum for the Preliminary Determinations,'' dated concurrently 
with this notice (Preliminary Scope Decision Memorandum).
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\8\
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    \8\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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    Commerce notes that, in making these findings, it relied, in part, 
on facts available and, because it finds that the government of India 
did not act to the best of its ability to respond to Commerce's 
requests for information, Commerce drew an adverse inference where 
appropriate in selecting from among the facts otherwise available.\9\ 
For further information, see ``Use of Facts Otherwise Available and 
Adverse Inferences'' in the Preliminary Decision Memorandum.
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    \9\ See sections 776(a) and (b) of the Act.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de

[[Page 9843]]

minimis rates and any rates based entirely under section 776 of the 
Act.
    Commerce calculated an individual estimated countervailable subsidy 
rate for Gujarat Fluorochemicals Limited (GFL),\10\ the only 
individually examined exporter/producer in this investigation. Because 
the only individually calculated rate is not zero, de minimis, or based 
entirely on facts otherwise available, the countervailable subsidy rate 
calculated for GFL is the rate assigned to all-other producers and 
exporters, pursuant to section 705(c)(5)(A)(i) of the Act.
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    \10\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found Inox Leasing and Finance Limited to be cross-
owned with GFL.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
------------------------------------------------------------------------
Gujarat Fluorochemicals Limited (GFL)...................            3.90
All-Others..............................................            3.90
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Suspension of Liquidation

    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, 
Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice in accordance 
with 19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in case 
briefs, may be submitted no later than five days after the deadline 
date for case briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), 
parties who submit case briefs or rebuttal briefs in this investigation 
are encouraged to submit with each argument: (1) A statement of the 
issue; (2) a brief summary of the argument; and (3) a table of 
authorities.
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    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time 
and date to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing two days before the scheduled 
date.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its determination. If the 
final determination is affirmative, the ITC will determine before the 
later of 120 days after the date of this preliminary determination or 
45 days after the final determination.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: February 28, 2018.
Christian Marsh,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

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

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Injury Test
VI. Subsidies Valuation
VII. Benchmarks and Discount Rates
VIII. Use of Facts Otherwise Available and Adverse Inferences
IX. Analysis of Programs
X. Calculation of the All-Others Rate
XI. ITC Notification
XII. Disclosure and Public Comment
XIII. Verification
XIV. Conclusion

[FR Doc. 2018-04658 Filed 3-7-18; 8:45 am]
 BILLING CODE 3510-DS-P


Current View
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
DatesEffective March 8, 2018.
ContactToby Vandall, Emily Halle, or Aimee Phelan, AD/CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482- 1664, (202) 482-0176, or (202) 482-0697, respectively.
FR Citation83 FR 9842 

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