[Federal Register Volume 85, Number 66 (Monday, April 6, 2020)]
[Notices]
[Pages 19138-19141]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-07151]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-583-854]


Certain Steel Nails From Taiwan: Preliminary Results of 
Antidumping Duty Administrative Review and Preliminary Determination of 
No Shipments; 2018-2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that certain steel nails from Taiwan were sold in the United States at 
less than normal value during the period of review (POR), July 1, 2018 
to June 30, 2019. Interested parties are invited to comment on these 
preliminary results.

DATES: Applicable April 6, 2020.

FOR FURTHER INFORMATION CONTACT: Irene Gorelik, AD/CVD Operations, 
Office VIII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-6905.

SUPPLEMENTARY INFORMATION: 

Background

    These preliminary results of review are issued in accordance with 
section 751(a) of the Tariff Act of 1930, as amended (the Act). On 
September 9, 2019, in accordance with section 751(a) of the Act and 19 
CFR 351.221(c)(1)(i), Commerce published the notice of initiation for 
the administrative review, covering 84 companies.\1\ On October 22, 
2019, Commerce selected as mandatory respondents, Bonuts Hardware 
Logistics Co., LLC (Bonuts) and Create Trading Co., Ltd., (Create 
Trading), the two companies accounting for the largest volume of 
exports in the U.S. Customer and Border Protection (CBP) data.\2\ As 
Bonuts did not respond to Commerce's questionnaire, or request any 
extensions to file its responses, and Commerce excused Create Trading 
from responding to the questionnaire, Commerce selected an additional 
respondent to individually examine. Subsequently, on January 17, 2020, 
Commerce selected the next largest exporter, by volume, PT Enterprise, 
Inc. (PT Enterprise) and its affiliated producer Pro-Team Coil Nail 
Enterprise, Inc. (Pro-Team) (collectively, PT),\3\ as a replacement 
respondent for individual examination.\4\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 84 FR 47242 (September 9, 2019).
    \2\ See Memorandum, ``Administrative Review of Certain Steel 
Nails from Taiwan: Respondent Selection,'' dated October 22, 2019.
    \3\ In a prior segment of the proceeding, Commerce determined 
that Pro-Team and PT Enterprise comprise a single entity, and we 
find no new information in this segment of the proceeding that 
contradicts that finding. See Certain Steel Nails from Taiwan: 
Preliminary Results of Antidumping Duty Administrative Review and 
Partial Rescission of Administrative Review; 2015-2016, 82 FR 36744 
(August 7, 2017) and accompanying Preliminary Decision Memorandum, 
unchanged in Certain Steel Nails from Taiwan: Final Results of 
Antidumping Duty Administrative Review and Partial Rescission of 
Administrative Review; 2015-2016, 83 FR 6163 (February 13, 2018). 
Accordingly, we have preliminarily continued to treat PT Enterprise 
and Pro-Team as a single entity.
    \4\ See Memorandum, ``Administrative Review of Certain Steel 
Nails from Taiwan: Selection of Additional Mandatory Respondent,'' 
dated January 17, 2020.
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    For a complete description of the events that followed the 
initiation of this administrative review, see the Preliminary Decision 
Memorandum.\5\ The Preliminary Decision Memorandum is a public document 
and is on file electronically via the Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (ACCESS). ACCESS is available to registered users at http://access.trade.gov, and to all parties in the Central Records Unit, room 
B8024 of the main Commerce building. In addition, a complete version of 
the Preliminary Decision Memorandum can be accessed directly on the 
internet at http://enforcement.trade.gov/frn/. The signed and 
electronic versions of the Preliminary Decision Memorandum are 
identical in content.
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    \5\ See Memorandum, ``Decision Memorandum for Preliminary 
Results of Antidumping Duty Administrative Review: Certain Steel 
Nails from Taiwan; 2017-2018,'' dated concurrently with, and hereby 
adopted by, this notice (Preliminary Decision Memorandum).

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[[Page 19139]]

Scope of the Order 6
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    \6\ See Certain Steel Nails from the Republic of Korea, 
Malaysia, the Sultanate of Oman, Taiwan, and the Socialist Republic 
of Vietnam: Antidumping Duty Orders, 80 FR 39994 (July 13, 2015) 
(Order).
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    The merchandise covered by this order is certain steel nails from 
Taiwan. The certain steel nails subject to the order are currently 
classifiable under Harmonized Tariff Schedule of the United States 
(HTSUS) subheadings 7317.00.55.02, 7317.00.55.03, 7317.00.55.05, 
7317.00.55.07, 7317.00.55.08, 7317.00.55.11, 7317.00.55.18, 
7317.00.55.19, 7317.00.55.20, 7317.00.55.30, 7317.00.55.40, 
7317.00.55.50, 7317.00.55.60, 7317.00.55.70, 7317.00.55.80, 
7317.00.55.90, 7317.00.65.30, 7317.00.65.60 and 7317.00.75.00. Certain 
steel nails subject to this order also may be classified under HTSUS 
subheadings 7907.00.60.00, 8206.00.00.00 or other HTSUS subheadings. 
Although the HTSUS numbers are provided for convenience and for customs 
purposes, the written product description, available in the Preliminary 
Decision Memorandum, remains dispositive.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act. For a full description of the methodology 
underlying the preliminary results, see the Preliminary Decision 
Memorandum.

Preliminary Determination of No Shipments

    Commerce received no shipment certifications from five companies: 
Astrotech Steels Private Limited, Jinhai Hardware Co., Ltd., Region 
International Co., Ltd., Region Industries, and Region System Sdn 
Bhd.\7\ To confirm these companies' no-shipment claims, Commerce issued 
a no-shipment inquiry to CBP and received no contradictory 
information.\8\ Therefore, we preliminarily determine that these five 
companies did not have any shipments of subject merchandise during the 
POR. Consistent with Commerce's practice, we will not rescind the 
review with respect to these companies, but, rather, will complete the 
review and issue instructions based on the final results.\9\
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    \7\ See certifications of no shipments filed by: (1) Astrotech 
Steels Private Limited, dated October 1, 2019; (2) Jinhai Hardware 
Co., Ltd., dated October 9, 2019; and (3) Region System Sdn Bhd; (4) 
Region Industries Co., Ltd.; and (5) Region International Co., Ltd., 
dated October 9, 2019.
    \8\ See No Shipment Inquiry, Message 9289301 (ACCESS Barcode 
3900308-01).
    \9\ See, e.g., Certain Frozen Warmwater Shrimp from Thailand; 
Preliminary Results of Antidumping Duty Administrative Review, 
Partial Rescission of Review, Preliminary Determination of No 
Shipments; 2012-2013, 79 FR 15951, 15952 (March 24, 2014), unchanged 
in Certain Frozen Warmwater Shrimp from Thailand: Final Results of 
Antidumping Duty Administrative Review, Final Determination of No 
Shipments, and Partial Rescission of Review; 2012-2013, 79 FR 51306, 
51307 (August 28, 2014).
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Preliminary Determination of No Reviewable Entries

    As noted above, Commerce selected Create Trading as a mandatory 
respondent. Create Trading reported that it had no reviewable sales 
because its unaffiliated producers had knowledge of the final 
destination of the subject merchandise that they produced and sold to 
Create Trading, and which Create Trading resold to U.S. customers 
during the POR. Create Trading provided sales documentation from its 
unaffiliated producers as evidence in support of its claim.\10\ Because 
the evidence on the record demonstrates that Create Trading's 
unaffiliated suppliers had knowledge that the final destination of the 
subject merchandise was to customers in the United States, we find that 
Create Trading had no reviewable sales of subject merchandise during 
the POR. We intend to instruct CBP at the final results to liquidate 
any existing entries of merchandise produced by Create Trading's 
unaffiliated producers and exported by Create Trading at the rate 
applicable to the unaffiliated producers, i.e., the all-others 
rate.\11\
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    \10\ See Create Trading's Letter, ``Statement of No Sales to the 
United States,'' dated November 12, 2019, at Exhibits 1 and 2.
    \11\ See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954, 23954 (May 6, 2003) 
(Assessment of Antidumping Duties); see also Certain Pasta from 
Turkey: Notice of Preliminary Results of Antidumping Duty 
Administrative Review, 76 FR 23974, 23977 (April 29, 2011), 
unchanged in Pasta From Turkey: Notice of Final Results of the 14th 
Antidumping Duty Administrative Review, 76 FR 68399 (November 4, 
2011).
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Facts Available

    Pursuant to section 776(a) of the Act, Commerce is preliminarily 
relying upon facts otherwise available to assign estimated dumping 
margins to Bonuts and PT because both respondents withheld necessary 
information that was requested by Commerce, thereby significantly 
impeding the conduct of the review. Further, Commerce preliminarily 
determines that both Bonuts and PT failed to cooperate by not acting to 
the best of their abilities to comply with requests for information 
and, thus, Commerce is applying an adverse inference in selecting among 
the facts available, in accordance with section 776(b) of the Act. For 
a full description of the methodology underlying our conclusions 
regarding the application of adverse facts available (AFA), see the 
Preliminary Decision Memorandum.

Rate for Non-Selected Companies

    In accordance with the U.S. Court of Appeals for the Federal 
Circuit's decision in Albemarle,\12\ we are applying a rate based on 
the simple average of the individual rates preliminarily applied to 
Bonuts and PT in this administrative review (i.e., 78.17 percent) to 
the companies not selected for individual examination. For a detailed 
discussion, see the Preliminary Decision Memorandum.
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    \12\ See Albemarle Corp. v. United States, 821 F. 3d 1345 (Fed. 
Cir. 2016) (Albemarle).
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Preliminary Results of Review

    We preliminarily determine that, for the period July 1, 2018 
through June 30, 2019, the following estimated dumping margins exist:

------------------------------------------------------------------------
                                                              Dumping
                    Exporter/producer                         margin
                                                             (percent)
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Bonuts Hardware Logistics Co............................           78.17
PT Enterprise, Inc./Pro-Team Coil Nail Enterprise, Inc..           78.17
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  Review-Specific Average Rate Applicable to Companies Under Review Not
                   Selected for Individual Examination
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See Appendix II for the 75 companies under review                  78.17
 subject to the review-specific average rate............
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[[Page 19140]]

Assessment Rates

    Upon completion of the administrative review, Commerce shall 
determine, and CBP shall assess, antidumping duties on all appropriate 
entries covered by this review.\13\ If the preliminary results are 
unchanged for the final results, we will instruct CBP to apply an ad 
valorem assessment rate of 78.17 percent to all entries of subject 
merchandise during the POR which were produced and/or exported by 
Bonuts and PT, and the companies which were not selected for individual 
examination. We intend to issue liquidation instructions to CBP 15 days 
after the date of publication of the final results of this review.
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    \13\ See 19 CFR 351.212(b).
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    With respect to the five companies that certified they had no 
shipments, if we continue to find that they had no shipments of subject 
merchandise in the final results, we will instruct CBP to liquidate any 
existing entries of subject merchandise produced by the five companies, 
but exported by other parties, at the rate for the intermediate 
reseller, if available, or at the all-others rate.\14\
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    \14\ See, e.g., Magnesium Metal from the Russian Federation: 
Preliminary Results of Antidumping Duty Administrative Review, 75 FR 
26922, 26923 (May 13, 2010), unchanged in Magnesium Metal from the 
Russian Federation: Final Results of Antidumping Duty Administrative 
Review, 75 FR 56989 (September 17, 2010).
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    We determined that Create Trading was not the first party in the 
transaction chain to have knowledge that the merchandise was destined 
for the United States, and thus Create Trading is not considered the 
exporter of subject merchandise during the POR for purposes of this 
review. In our May 6, 2003, ``automatic assessment'' clarification, we 
explained that, where respondents in an administrative review 
demonstrate that they had no knowledge of sales through resellers to 
the United States, we would instruct CBP to liquidate such entries at 
the all-others rate applicable to the proceeding.\15\ Here, Commerce 
finds that Create Trading had no shipments of subject merchandise to 
the United States during the POR for which it was the first party with 
knowledge of U.S. destination. Because ``as entered'' liquidation 
instructions do not alleviate the concerns which the May 2003 
clarification was intended to address, we find it appropriate in this 
case to instruct CBP to liquidate any existing entries of merchandise 
produced by Create Trading's unaffiliated producers and exported by 
Create Trading at the rate applicable to the producer(s).\16\ However, 
because none of the producers have their own rates, we will instruct 
CBP to liquidate entries at the all-others rate from the investigation, 
as revised, of 2.16 percent,\17\ in accordance with the reseller 
policy.
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    \15\ See Assessment of Antidumping Duties.
    \16\ See, e.g., Certain Frozen Warmwater Shrimp from India: 
Partial Rescission of Antidumping Duty Administrative Review, 73 FR 
77610, 77612 (December 19, 2008); see also Certain Pasta From 
Turkey: Notice of Final Results of the 14th Antidumping Duty 
Administrative Review, 76 FR 68399, 68400 (November 4, 2011).
    \17\ The all-others rate from the underlying investigation was 
revised in Certain Steel Nails from Taiwan: Notice of Court Decision 
Not in Harmony with Final Determination in Less than Fair Value 
Investigation and Notice of Amended Final Determination, 82 FR 
55090, 55091 (November 20, 2017).
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Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for all 
shipments of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication date of the 
final results of this administrative review, as provided by section 
751(a)(2)(C) of the Act: (1) The cash deposit rate for Bonuts, PT, and 
the other companies listed in Appendix II will be equal to the dumping 
margin established in the final results of this administrative review; 
(2) for previously reviewed or investigated companies not listed above, 
the cash deposit rate will continue to be the company-specific rate 
published for the most recently completed segment of this proceeding in 
which they were reviewed; (3) if the exporter is not a firm covered in 
this review, a prior review, or in the investigation, but the producer 
is, then the cash deposit rate will be the rate established for the 
most recently completed segment of this proceeding for the producer of 
the merchandise; and the cash deposit rate for all other manufacturers 
or exporters will continue to be 2.16 percent, the all-others rate. 
These cash deposit requirements, when imposed, shall remain in effect 
until further notice.

Disclosure and Public Comment

    Normally, Commerce discloses the calculations performed in 
connection with preliminary results to interested parties within five 
days after the date of publication of this notice.\18\ Because Commerce 
preliminarily applied a rate based on total AFA to each of the 
mandatory respondents in this review, in accordance with section 776 of 
the Act, there are no calculations to disclose.
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    \18\ See 19 CFR 351.224(b).
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    Interested parties may submit case briefs no later than 30 days 
after the date of publication of this notice.\19\ Rebuttal briefs, the 
content of which is limited to the issues raised in the case briefs, 
must be filed within five days from the deadline date for the 
submission of case briefs.\20\ Parties who submit case or rebuttal 
briefs in this proceeding are requested to submit with each argument: 
(1) A statement of the issue; (2) a brief summary of the argument; and 
(3) a table of authorities.\21\ Case and rebuttal briefs should be 
filed via ACCESS.\22\ Note that Commerce has temporarily modified 
certain of its requirements for serving documents containing business 
proprietary information, until May 19, 2020, unless extended.\23\
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    \19\ See 19 CFR 351.309(c)(1)(ii).
    \20\ See 19 CFR 351.309(d)(1) and (2).
    \21\ See 19 CFR 351.309(c)(2) and (d)(2).
    \22\ See, generally, 19 CFR 351.303.
    \23\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 17006 (March 26, 2020).
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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, filed electronically via 
ACCESS by 5:00 p.m. Eastern Time within 30 days after the date of 
publication of this notice.\24\ Requests should contain: (1) The 
party's name, address and telephone number; (2) the number of 
participants; and (3) a list of issues parties intend to discuss. 
Issues raised in the hearing will be limited to those raised in the 
respective case and rebuttal briefs. 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 date 
and time to be determined.\25\ Parties should confirm the date, time, 
and location of the hearing two days before the scheduled date.
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    \24\ See 19 CFR 351.310(c).
    \25\ See 19 CFR 351.310(d).
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Final Results of Review

    Unless extended, Commerce intends to issue the final results of 
this administrative review, which will include the results of our 
analysis of all issues raised in the case and rebuttal briefs, within 
120 days of publication of these preliminary results in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act.

Notification to Importers

    This notice also serves as a preliminary reminder to importers of

[[Page 19141]]

their responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in Commerce's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.

Notification to Interested Parties

    We are issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act, and sections 19 CFR 
351.213(h)(1) and 351.221(b)(4).

    Dated: March 31, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Discussion of the Methodology
V. Recommendation

Appendix II

List of Companies Under Review Not Selected for Individual Examination

1. All Precision Co., Ltd.
2. Aplus Pneumatic Corp.
3. Basso Industry Corporation
4. Challenge Industrial Co., Ltd.
5. Cheng Ch International Co. Ltd.
6. Chia Pao Metal Co. Ltd.
7. China Staple Enterprise Corporation
8. Chite Enterprises Co., Ltd.
9. Crown Run Industrial Corp.
10. Da Yong Enterprise Co., Ltd.
11. Daejin Steel Company Ltd.
12. De Fasteners Inc.
13. Dragon Iron Factory Co., Ltd.
14. Easylink Industrial Co., Ltd.
15. ECI Taiwan Co., Ltd.
16. Encore Green Co., Ltd.
17. Faithful Engineering Products Co. Ltd.
18. Fastenal Asia Pacific Ltd.
19. Four Winds Corporation
20. Gaun Ting Technology Co., Ltd.
21. General Merchandise Consolidators
22. Ginfa World Co. Ltd.
23. Gloex Inc.
24. Home Value Co., Ltd.
25. Hor Liang Industrial Corp.
26. Hoyi Plus Co., Ltd.
27. Integral Building Products Inc.
28. Interactive Corp.
29. J C Grand Corporation
30. Jade Shuttle Enterprise Co., Ltd.
31. Jau Yeou Industry Co., Ltd.
32. Jen Ju Enterprise Co., Ltd.
33. Jet Crown International Co., Ltd.
34. Jiajue Industrial Co. Ltd.
35. Jinsco International Corp.
36. Ko's Nail Inc.
37. Korea Wire Co., Ltd.
38. Liang Chyuan Industrial Co., Ltd.
39. Linkwell Industry Co., Ltd.
40. Locksure Inc.
41. Long Ngyuen Trading & Service Co.
42. Lu Kang Hand Tools Industrial Co., Ltd. (Prommer)
43. Master United Corp.
44. Maytrans International Corp.
45. Ming Cheng Hardware Co., Ltd.
46. Nailermate Enterprise Corporation
47. Nailtech Co., Ltd.
48. Newrex Screw Corporation
49. NS International Ltd.
50. Panther T&H Industry Co.
51. Patek Tool Co., Ltd.
52. Point Edge Corp.
53. President Industrial Inc.
54. Quick Advance Inc.
55. Romp Coil Nail Industries Inc.
56. Shinn Chuen Corp.
57. Six-2 Fastener Imports Inc.
58. Taiwan Shan Yin Int'l Co. Ltd.
59. Taiwan Wakisangyo Co. Ltd.
60. Techart Mechanical Corporation
61. Test-Rite Int'l Co., Ltd.
62. Theps Co., Ltd.
63. Trans-Top Enterprise Co., Ltd.
64. Trim International Inc.
65. U-Can-Do Hardware Corp.
66. UJL Industries Co., Ltd.
67. Unicatch Industrial Co. Ltd.
68. VIM International Enterprise Co., Ltd.
69. Wattson Fastener Group Inc.
70. Wictory Co. Ltd.
71. Yeh Fong Hsin
72. Yehdyi Enterprise Co., Ltd.
73. Yu Chi Hardware Co., Ltd.
74. Zhishan Xing Enterprise Co., Ltd.
75. Zon Mon Co. Ltd.

[FR Doc. 2020-07151 Filed 4-3-20; 8:45 am]
 BILLING CODE 3510-DS-P