[Federal Register Volume 80, Number 166 (Thursday, August 27, 2015)]
[Notices]
[Pages 52029-52031]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-21176]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-351-842]


Certain Uncoated Paper From Brazil: Preliminary Determination of 
Sales at Less Than Fair Value and Postponement of Final Determination

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the ``Department'') preliminarily 
determines that certain uncoated paper (``uncoated paper'') from Brazil 
is being, or is likely to be, sold in the United States at less than 
fair value (``LTFV''), as provided in section 733(b) of the Tariff Act 
of 1930, as amended (``the Act''). The period of investigation 
(``POI'') is January 1, 2014, through December 31, 2014. The estimated 
weighted-average dumping margins of sales at LTFV are shown in the 
``Preliminary Determination'' section of this notice. Interested 
parties are invited to comment on this preliminary determination.

DATES: Effective Date: August 27, 2015.

FOR FURTHER INFORMATION CONTACT: Julia Hancock 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-
1394 or (202) 482-0413, respectively.

SUPPLEMENTARY INFORMATION: On February 10, 2015, the Department 
initiated the antidumping duty investigation on uncoated paper from 
Brazil.\1\
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    \1\ See Certain Uncoated Paper from Australia, Brazil, the 
People's Republic of China, Indonesia, and Portugal: Initiation of 
Less-Than-Fair-Value Investigations, 80 FR 8608 (February 18, 2015).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\2\ 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 https://access.trade.gov, and 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 found at 
http://enforcement.trade.gov/frn/. The signed Preliminary Decision 
Memorandum and the electronic version of the Preliminary Decision 
Memorandum are identical in content.
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    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance 
``Decision Memorandum for the Preliminary Determination in the 
Antidumping Duty Investigation of Certain Uncoated Paper from 
Brazil'' (``Preliminary Decision Memorandum''), dated concurrently 
with and hereby adopted by this notice.
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Scope of the Investigation

    The product covered by this investigation is uncoated paper from 
Brazil. For a full description of the scope of this investigation, see 
the ``Scope of the Investigation,'' in Appendix I.

Scope Comments

    Certain interested parties commented on the scope of the 
investigation as it appeared in the Initiation Notice. For a discussion 
of those comments, see the Preliminary Decision Memorandum.\3\
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    \3\ See also Memorandum from Erin Begnal, Director, Office III, 
to Ronald K. Lorentzen, Acting Assistant Secretary for Enforcement 
and Compliance ``Scope Comments Decision Memorandum for the 
Preliminary Determinations'' (August 3, 2015).
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Postponement of Deadline for Preliminary Determination

    On May 18, 2015, Petitioners \4\ submitted a timely request for a 
50-day postponement of the preliminary determination in this 
investigation pursuant to section 733(c)(1)(A) of the Act and 19 CFR 
351.205(e).\5\ On June 1, 2015, we postponed the preliminary 
determination by 50 days.\6\ As a result of the postponement, the 
revised deadline for the preliminary determination of this 
investigation is now August 19, 2015.
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    \4\ Petitioners are United Steel, Paper and Forestry, Rubber, 
Manufacturing, Energy, Allied Industrial and Service Workers 
International Union; Domtar Corporation; Finch Paper LLC; P.H. 
Glatfelter Company; and Packaging Corporation of America 
(collectively ``Petitioners'').
    \5\ See Letter to the Secretary of Commerce from Petitioners 
``Request For Postponement Of The Preliminary Determination'' (May 
18, 2015).
    \6\ See Certain Uncoated Paper from Australia, Brazil, the 
People's Republic of China, Indonesia, and Portugal: Postponement of 
Preliminary Determinations of Antidumping Duty Investigations, 80 FR 
31017 (June 1, 2015).
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Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. There are two mandatory respondents 
participating in this investigation, International Paper \7\ and 
Suzano.\8\ Export price and constructed export price for these 
companies, as appropriate, are calculated in accordance with section 
772 of the Act. Normal value (``NV'') is calculated in accordance with 
section 773 of the Act. For a full description of the methodology 
underlying our preliminary conclusions, see the Preliminary Decision 
Memorandum.
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    \7\ International Paper do Brasil Ltda., and International Paper 
Exportadora Ltda. (collectively ``International Paper'').
    \8\ Suzano Papel e Celulose S.A./Suzano Pulp and Paper America, 
Inc. (``Suzano'').
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All-Others Rate

    Consistent with sections 733(d)(1)(A)(ii) and 735(c)(5) of the Act, 
the Department also calculated an estimated all-others rate. Section 
735(c)(5)(A) of the Act provides that the estimated all-others rate 
shall be an amount equal to the weighted average of the estimated 
weighted-average dumping margins established for exporters and 
producers individually investigated, excluding any zero and de minimis 
margins, and any margins determined entirely under section 776 of the 
Act.
    Specifically, this rate of 37.76 percent is based on a simple 
average of the

[[Page 52030]]

weighted-average margin calculated for each mandatory respondent. 
Because the Department cannot apply our normal methodology of 
calculating a weighted-average margin due to requests to protect 
business-proprietary information, the Department finds this rate to be 
the best proxy of the actual weighted-average margin determined for 
these respondents.9 10
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    \9\ See, e.g., Certain Frozen Warmwater Shrimp from India: Final 
Results of Antidumping Duty Administrative Review, Partial 
Rescission, and Final No Shipment Determination, 76 FR 41203, 41205 
(July 13, 2011).
    \10\ See Memorandum to the File from Julia Hancock, Senior Case 
Analyst, Office V, Enforcement and Compliance, Subject: Certain 
Uncoated Paper from Brazil: Calculation of All-Others' Rate in 
Preliminary Determination (August 19, 2015).
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Preliminary Determination

    The Department preliminarily determines that the following 
weighted-average dumping margins exist:
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    \11\ In this preliminary determination, we determine that 
International Paper do Brasil Ltda. and International Paper 
Exportadora Ltda. constitute a single entity. See Preliminary 
Decision Memorandum at ``Affiliation Determinations'' section, and 
Memorandum to the File from Julia Hancock, Senior International 
Trade Analyst, Office V, through Paul Walker, Acting Program 
Manager, Office V ``Calculations Performed for International Paper 
do Brasil Ltda. and International Paper Exportadora Ltda. for the 
Preliminary Determination in the Antidumping Duty Investigation of 
Certain Uncoated Paper from Brazil'' (August 19, 2015), at 2-3.

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         margin
                                                               (percent)
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International Paper do Brasil Ltda. and International Paper        42.42
 Exportadora Ltda.\11\......................................
Suzano Papel e Celulose S.A.................................       33.09
All-Others..................................................       37.76
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Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, we are directing 
U.S. Customs and Border Protection (``CBP'') to suspend liquidation of 
all entries of uncoated paper from Brazil, as described in Appendix I 
of this notice, entered, or withdrawn from warehouse, for consumption 
on or after the date of publication of this notice in the Federal 
Register.
    In accordance with 19 CFR 351.205(d), the Department will instruct 
CBP to require a cash deposit equal to the preliminary weighted-average 
amount by which normal value exceeds U.S. price, as indicated in the 
chart above.\12\ These suspension of liquidation instructions will 
remain in effect until further notice.
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    \12\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
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Disclosure

    We will disclose the calculations performed to interested parties 
in this proceeding within five days of the date of the announcement of 
our preliminary determination in accordance with 19 CFR 351.224(b).

Verification

    As provided in section 782(i) of the Act and 19 CFR 351.307, we 
intend to verify information relied upon in making our final 
determination.

Public Comment

    Interested parties are invited to comment on this preliminary 
determination. 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 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.\13\ Pursuant to 19 CFR 351.309(c)(2) 
and (d)(2), parties who submit case briefs or rebuttal briefs in this 
proceeding 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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    \13\ See 19 CFR 351.309.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, U.S. Department of Commerce. 
All documents must be filed electronically using ACCESS. An 
electronically-filed request must be received successfully in its 
entirety by ACCESS by 5:00 p.m. Eastern Time, within 30 days after the 
date of publication of this notice.\14\ 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 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.
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    \14\ See 19 CFR 351.310(c).
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Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
Petitioners. Pursuant to 19 CFR 351.210(e)(2) requests by respondents 
for postponement of a final antidumping determination must be 
accompanied by a request for extension of provisional measures from a 
four-month period to a period not more than six months in duration.
    On August 13, 2015, pursuant to 19 CFR 351.210(b) and (e), 
International Paper requested that, contingent upon an affirmative 
preliminary determination of sales at LTFV, the Department postpone the 
final determination and that provisional measures be extended to a 
period not to exceed six months.\15\ In addition, Petitioners requested 
that the Department postpone its final determination in accordance with 
19 CFR 351.210(b)(2)(i).\16\
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    \15\ See Letter to the Secretary of Commerce from International 
Paper ``Request for Postponement of Final Determination'' (August 
13, 2015).
    \16\ See Letter to the Secretary of Commerce from Petitioners 
``Petitioners' Comments on the Extension of the Final 
Determination'' (July 31, 2015).
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    In accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because (1) our preliminary determination is 
affirmative; (2) the requesting exporters account for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, we are postponing the final determination and 
extending the provisional measures from a four-month period to a period 
not greater than six months. Accordingly, we will make our final 
determination no later than 135 days after the date of publication of 
this preliminary determination, pursuant to section 735(a)(2) of the 
Act.\17\
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    \17\ See also 19 CFR 351.210(e).
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International Trade Commission (ITC) Notification

    In accordance with section 733(f) of the Act, we have notified the 
ITC of our affirmative preliminary determination of sales at LTFV. If 
our final determination is affirmative, the ITC will determine

[[Page 52031]]

before the later of 120 days after the date of this preliminary 
determination or 45 days after our final determination whether these 
imports are materially injuring, or threaten material injury to, the 
U.S. industry.
    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: August 19, 2015.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

    The merchandise covered by this investigation includes uncoated 
paper in sheet form; weighing at least 40 grams per square meter but 
not more than 150 grams per square meter; that either is a white 
paper with a GE brightness level of 85 or higher or is a colored 
paper; whether or not surface-decorated, printed (except as 
described below), embossed, perforated, or punched; irrespective of 
the smoothness of the surface; and irrespective of dimensions 
(Certain Uncoated Paper).
    Certain Uncoated Paper includes (a) uncoated free sheet paper 
that meets this scope definition; (b) uncoated ground wood paper 
produced from bleached chemi-thermo-mechanical pulp (``BCTMP'') that 
meets this scope definition; and (c) any other uncoated paper that 
meets this scope definition regardless of the type of pulp used to 
produce the paper.
    Specifically excluded from the scope are (1) paper printed with 
final content of printed text or graphics and (2) lined paper 
products, typically school supplies, composed of paper that 
incorporates straight horizontal and/or vertical lines that would 
make the paper unsuitable for copying or printing purposes.
    Imports of the subject merchandise are provided for under 
Harmonized Tariff Schedule of the United States (``HTSUS'') 
categories 4802.56.1000, 4802.56.2000, 4802.56.3000, 4802.56.4000, 
4802.56.6000, 4802.56.7020, 4802.56.7040, 4802.57.1000, 
4802.57.2000, 4802.57.3000, and 4802.57.4000. Some imports of 
subject merchandise may also be classified under 4802.62.1000, 
4802.62.2000, 4802.62.3000, 4802.62.5000, 4802.62.6020, 
4802.62.6040, 4802.69.1000, 4802.69.2000, 4802.69.3000, 4811.90.8050 
and 4811.90.9080. While HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
scope of the investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

1. Summary
2. Background
3. Period of Investigation
4. Postponement of Final Determination and Extension of Provision 
Measures
5. Scope Comments
6. Affiliation Determinations
7. All Others Rate
8. Discussion of the Methodology
    A. Determination of the Comparison Method
    B. Results of Differential Pricing Analysis
9. Date of Sale
10. Product Comparisons
11. Treatment of Re-Export Sales
12. Export Price
13. Constructed Export Price
14. Normal Value
    A. Home Market Viability
    B. Affiliated Party Transactions and Arm's-Length Test
    C. Level of Trade
    D. Cost of Production Analysis
1. Calculation of COP
2. Test of Comparison Market Sales Prices
3. Results of the COP Test
4. Constructed Value
    E. Calculation of Normal Value Based on Comparison Market Prices
15. Currency Conversion
16. Verification

[FR Doc. 2015-21176 Filed 8-26-15; 8:45 am]
 BILLING CODE 3510-DS-P