[Federal Register Volume 79, Number 36 (Monday, February 24, 2014)]
[Notices]
[Pages 10097-10099]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-03712]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-991]


Countervailing Duty Investigation of Chlorinated Isocyanurates 
From the People's Republic of China: Preliminary Determination and 
Alignment of Final Determination With Final Antidumping Determination

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

ACTION: Notice.

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SUMMARY: The Department of Commerce (the ``Department'') preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of chlorinated isocyanurates (``chlorinated 
isos'') from the People's Republic of China (the ``PRC''). We invite 
interested parties to comment on this preliminary determination.

DATES: Effective February 24, 2014.

FOR FURTHER INFORMATION CONTACT: Matthew Renkey or Paul Walker, AD/CVD 
Operations, Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone 202.482.2312 
or 202.482.0413, respectively.

SUPPLEMENTARY INFORMATION:

Scope of the Investigation

    The products covered by this investigation are chlorinated 
isocyanurates. Chlorinated isocyanurates are derivatives of cyanuric 
acid, described as chlorinated s-triazine triones. There are three 
primary chemical compositions of chlorinated isocyanurates: (1) 
Trichloroisocyanuric acid (``TCCA'') (Cl3(NCO)3), 
(2) sodium dichloroisocyanurate (dihydrate) 
(NaCl2(NCO)3 x 2H2O), and (3) sodium 
dichloroisocyanurate (anhydrous) (NaCl2(NCO)3). 
Chlorinated isocyanurates are available in powder, granular and solid 
(e.g., tablet or stick) forms.
    Chlorinated isocyanurates are currently classifiable under 
subheadings 2933.69.6015, 2933.69.6021, 2933.69.6050, 3808.50.4000, 
3808.94.5000, and 3808.99.9500 of the Harmonized Tariff Schedule of the 
United States (``HTSUS''). The tariff classification 2933.69.6015 
covers sodium dichloroisocyanurates (anhydrous and dihydrate forms) and

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trichloroisocyanuric acid. The tariff classifications 2933.69.6021 and 
2933.69.6050 represent basket categories that include chlorinated 
isocyanurates and other compounds including an unfused triazine ring. 
The tariff classifications 3808.50.4000, 3808.94.5000 and 3808.99.9500 
cover disinfectants that include chlorinated isocyanurates. The HTSUS 
subheadings are provided for convenience and customs purposes. The 
written description of the scope of the investigation is dispositive.

Methodology

    The Department is conducting this countervailing duty (``CVD'') 
investigation in accordance with section 701 of the Tariff Act of 1930, 
as amended (the ``Act''). For a full description of the methodology 
underlying our preliminary conclusions, see the Preliminary Decision 
Memo.\1\ The Preliminary Decision Memo is a public document and is on 
file electronically via Enforcement & Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (``IA 
ACCESS''). IA ACCESS is available to registered users at http://iaaccess.trade.gov, and is available to all parties in the Central 
Records Unit, room 7046 of the main Department of Commerce building. In 
addition, a complete version of the Preliminary Decision Memo can be 
accessed directly on the Internet at http://trade.gov/enforcement. The 
signed Preliminary Decision Memo and the electronic versions of the 
Preliminary Decision Memo are identical in content.
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    \1\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
``Countervailing Duty Investigation of Chlorinated Isocyanurates 
from the People's Republic of China: Decision Memorandum for the 
Preliminary Determination,'' dated concurrently with this notice 
(``Preliminary Decision Memo'').
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    The Department notes that, in making these findings, we relied, in 
part, on facts available and, because one or more respondents did not 
act to the best of their ability to respond to the Department's 
requests for information, we drew an adverse inference where 
appropriate in selecting from among the facts otherwise available.\2\ 
For further information, see ``Use of Facts Otherwise Available and 
Adverse Inferences'' in the Preliminary Decision Memo.
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    \2\ See sections 776(a) and (b) of the Act.
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Alignment

    As noted in the Preliminary Decision Memo, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), we are aligning 
the final CVD determination in this investigation with the final 
determination in the companion antidumping duty (``AD'') investigation 
of chlorinated isos from Japan.\3\ Consequently, the final CVD 
determination will be issued on the same date as the final AD 
determination, which is currently scheduled to be issued no later than 
June 30, 2014, unless postponed.
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    \3\ See Chlorinated Isocyanurates from Japan: Initiation of 
Antidumping Duty Investigation, 78 FR 58997 (September 25, 2013).
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Preliminary Determination and Suspension of Liquidation

    In accordance with section 703(d)(1)(A)(i) of the Act, we 
calculated an individual rate for each producer/exporter of the subject 
merchandise individually investigated. We preliminarily determine the 
countervailable subsidy rates to be:

------------------------------------------------------------------------
                                                                Subsidy
                           Company                                rate
------------------------------------------------------------------------
Hebei Jiheng Chemicals Co., Ltd..............................      18.57
Juancheng Kangtai Chemical Co., Ltd..........................       1.55
All Others...................................................      10.06
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    In accordance with sections 703(d)(1)(B) and (2) of the Act, we are 
directing U.S. Customs and Border Protection to suspend liquidation of 
all entries of chlorinated isos from the PRC that are entered, or 
withdrawn from warehouse, for consumption on or after the date of the 
publication of this notice in the Federal Register, and to require a 
cash deposit for such entries of merchandise in the amounts indicated 
above.
    In accordance with sections 703(d) and 705(c)(5)(A) of the Act, for 
companies not investigated, we apply an ``all-others'' rate, which is 
normally calculated by weighting the subsidy rates of the individual 
companies selected as respondents by those companies' exports of the 
subject merchandise to the United States. Under section 705(c)(5)(i) of 
the Act, the all-others rate should exclude zero and de minimis rates 
calculated for the exporters and producers individually investigated. 
Where the rates for the investigated companies are all zero or de 
minimis, section 705(c)(5)(A)(ii) of the Act instructs the Department 
to establish an all-others rate using ``any reasonable method.'' 
Notwithstanding the language of section 705(c)(5)(A)(i) of the Act, we 
have not calculated the ``all-others'' rate by weight averaging the 
rates of the two individually investigated respondents, because doing 
so risks disclosure of proprietary information. Therefore, for the 
``all-others'' rate, we calculated a simple average of the two 
responding firms' rates.

Disclosure and Public Comment

    The Department will disclose calculations performed for this 
preliminary determination to the parties within five days of the date 
of public announcement of this determination in accordance with 19 CFR 
351.224(b). Case briefs or other written comments for all non-scope 
issues may be submitted to the Assistant Secretary for Enforcement and 
Compliance no later than seven days after the date on which the final 
verification report is issued in this proceeding, and rebuttal briefs, 
limited to issues raised in case briefs, may be submitted no later than 
five days after the deadline date for case briefs.\4\ A table of 
contents, list of authorities used and an executive summary of issues 
should accompany any briefs submitted to the Department. This summary 
should be limited to five pages total, including footnotes.
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    \4\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Interested parties who wish to request a hearing, or to participate 
if one is requested, must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, U.S. Department of Commerce, 
filed electronically using IA ACCESS. An electronically filed document 
must be received successfully in its entirety by the Department's 
electronic records system, IA ACCESS, by 5:00 p.m. Eastern Standard 
Time, within 30 days after the date of publication of this notice.\5\ 
Requests should contain the party's name, address, and telephone 
number; the number of participants; and a list of the issues to be 
discussed. If a request for a hearing is made, the Department intends 
to hold the hearing at the U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230, at a date, time and 
location to be determined. Parties will be notified of the date, time 
and location of any hearing.
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    \5\ See 19 CFR 351.310(c).
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International Trade Commission Notification

    In accordance with section 703(f) of the Act, we will notify the 
International Trade Commission (``ITC'') of our determination. In 
addition, we are making available to the ITC all non-privileged and 
non-proprietary information relating to this

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investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an administrative protective order, without the written consent 
of the Assistant Secretary for Enforcement and Compliance.
    In accordance with section 705(b)(2) of the Act, if our final 
determination is affirmative, the ITC will make its final determination 
within 45 days after the Department makes its final determination.
    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 11, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix--List of Topics Discussed in the Preliminary Decision Memo

1. Scope Comments
2. Scope of the Investigation
3. Alignment
4. Respondent Selection
5. Injury Test
6. Application of Countervailing Duty Law to Imports from the PRC
7. Subsidies Valuation
8. Benchmarks and Discount Rates
9. Use of Facts Otherwise Available and Adverse Inferences
10. Analysis of Programs
11. Verification

[FR Doc. 2014-03712 Filed 2-21-14; 8:45 am]
BILLING CODE 3510-DS-P