[Federal Register Volume 83, Number 248 (Friday, December 28, 2018)]
[Notices]
[Pages 67346-67348]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-28175]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-1074]


Certain Industrial Automation Systems and Components Thereof 
Including Control Systems, Controllers, Visualization Hardware, Motion 
and Motor Control Systems, Networking Equipment, Safety Devices, and 
Power Supplies; Commission Determination Not To Review a Final Initial 
Determination Finding a Section 337 Violation by the Defaulted 
Respondents

AGENCY: U.S. International Trade Commission.

ACTION: Notice.

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SUMMARY: Notice is hereby given that the U.S. International Trade 
Commission has determined not to review a final initial determination 
(``FID'') of the presiding administrative law judge (``ALJ'') finding a 
section 337 violation by the Defaulted Respondents. The Commission also 
requests written submissions, under the schedule set forth below, on 
remedy, the public interest, and bonding.

FOR FURTHER INFORMATION CONTACT: Houda Morad, Office of the General 
Counsel, U.S. International Trade Commission, 500 E Street SW, 
Washington, DC 20436, telephone (202) 708-4716. Copies of non-
confidential documents filed in connection with this investigation are 
or will be available for inspection during official business hours 
(8:45 a.m. to 5:15 p.m.) in the Office of the Secretary, U.S. 
International Trade Commission, 500 E Street SW, Washington, DC 20436, 
telephone (202) 205-2000. General information concerning the Commission 
may also be obtained by accessing its internet server at https://www.usitc.gov. The public record for this investigation may be viewed 
on the Commission's electronic docket (EDIS) at https://edis.usitc.gov. 
Hearing-impaired persons are advised that information on this matter 
can be obtained by contacting the Commission's TDD terminal on (202) 
205-1810.

SUPPLEMENTARY INFORMATION: The Commission instituted this investigation 
on October 16, 2017, based on a complaint filed by Complainant Rockwell 
Automation, Inc. of Milwaukee, Wisconsin. See 82 FR 48113-15 (Oct. 16, 
2017). The complaint, as supplemented, alleges violations of section 
337 based on the infringement of certain registered trademarks and 
copyrights and on unfair methods of competition and unfair acts in the 
importation or sale of certain industrial automation systems and 
components thereof including control systems, controllers, 
visualization hardware, motion and motor control systems, networking 
equipment, safety devices, and power supplies, the threat or effect of 
which is to destroy or substantially injure an industry in the United 
States. See id. The Notice of Investigation identifies the following 
respondents: Can Electric Limited of Guangzhou, China (``Can 
Electric''); Capnil (HK) Company Limited of Hong Kong (``Capnil''); 
Fractioni (Hongkong) Ltd. of Shanghai, China (``Fractioni''); Fujian 
Dahong Trade Co. of Fujian, China (``Dahong''); GreySolution Limited d/
b/a Fibica of Hong Kong (``GreySolution''); Huang Wei Feng d/b/a A-O-M 
Industry of Shenzhen, China (``Huang''); KBS Electronics Suzhou Co, 
Ltd. of Shanghai, China (``KBS''); PLC-VIP Shop d/b/a VIP Tech Limited 
of Hong Kong (``PLC-VIP''); Radwell International, Inc. d/b/a PLC 
Center of Willingboro, New Jersey (``Radwell''); Shanghai EuoSource 
Electronic Co., Ltd of Shanghai, China (``EuoSource''); ShenZhen T-Tide 
Trading Co., Ltd. of Shenzhen, China (``T-Tide''); SoBuy Commercial 
(HK) Co. Limited of Hong Kong (``SoBuy''); Suzhou Yi Micro Optical Co., 
Ltd., d/b/a Suzhou Yiwei Guangxue Youxiangongsi, d/b/a Easy Microoptics 
Co. LTD. of Jiangsu, China (``Suzhou''); Wenzhou Sparker Group Co. 
Ltd., d/b/a Sparker Instruments of Wenzhou, China (``Sparker''); and 
Yaspro Electronics (Shanghai) Co., Ltd. of Shanghai, China 
(``Yaspro''). See id. In addition, the Office of Unfair Import 
Investigations is also a party in this investigation. See id.
    Nine respondents were found in default, namely, Fractioni, 
GreySolution, KBS, EuoSource, T-Tide, SoBuy, Suzhou, Yaspro and Can 
Electric (collectively, ``the Defaulted Respondents''). See Order No. 
17 (Feb. 1, 2018), unreviewed, Comm'n Notice

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(Feb. 26, 2018); Order No. 32 (June 28, 2018), unreviewed, Comm'n 
Notice (July 24, 2018). Furthermore, five unserved respondents (Capnil, 
Dahong, Huang, PLC-VIP, and Sparker) were terminated from the 
investigation, and one respondent (Radwell) was terminated based on the 
entry of a consent order. See Order No. 41 (July 17, 2018), unreviewed, 
Comm'n Notice (Aug. 13, 2018); Order No. 42 (July 20, 2018), 
unreviewed, Comm'n Notice (Aug. 15, 2018).
    On October 23, 2018, the ALJ issued the subject FID finding a 
violation of section 337 by the Defaulted Respondents and recommending 
that the Commission: (1) Issue a general exclusion order; (2) issue a 
cease and desist order against Defaulted Respondent Fractioni; and (3) 
set a bond at 100 percent of the entered value. No petitions for review 
of the subject FID were filed.
    The Commission has determined not to review the subject FID.
    In connection with the final disposition of this investigation, the 
Commission may (1) issue an order that could result in the exclusion of 
the subject articles from entry into the United States, and/or (2) 
issue one or more cease and desist orders that could result in the 
respondent(s) being required to cease and desist from engaging in 
unfair acts in the importation and sale of such articles. Accordingly, 
the Commission is interested in receiving written submissions that 
address the form of remedy, if any, that should be ordered. If a party 
seeks exclusion of an article from entry into the United States for 
purposes other than entry for consumption, the party should so indicate 
and provide information establishing that activities involving other 
types of entry either are adversely affecting it or likely to do so. 
For background, see Certain Devices for Connecting Computers via 
Telephone Lines, Inv. No. 337-TA-360, USITC Pub. No. 2843 (Dec. 1994) 
(Comm'n Op.).
    In particular, the written submissions should address any request 
for a cease and desist order in the context of recent Commission 
opinions, including those in Certain Arrowheads with Deploying Blades 
and Components Thereof and Packaging Therefor, Inv. No. 337-TA-977, 
Comm'n Op. (Apr. 28, 2017) and Certain Electric Skin Care Devices, 
Brushes and Chargers Therefor, and Kits Containing the Same, Inv. No. 
337-TA-959, Comm'n Op. (Feb. 13, 2017). Specifically, if Complainant 
seeks a cease and desist order against a defaulting respondent, the 
written submissions should respond to the following requests:
    (1) Please identify with citations to the record any information 
regarding commercially significant inventory in the United States as to 
each respondent against whom a cease and desist order is sought. If 
Complainant also relies on other significant domestic operations that 
could undercut the remedy provided by an exclusion order, please 
identify with citations to the record such information as to each 
respondent against whom a cease and desist order is sought.
    (2) In relation to the infringing products, please identify any 
information in the record, including allegations in the pleadings, that 
addresses the existence of any domestic inventory, any domestic 
operations, or any sales-related activity directed at the United States 
for each respondent against whom a cease and desist order is sought.
    If the Commission contemplates some form of remedy, it must 
consider the effects of that remedy upon the public interest. The 
factors the Commission will consider include the effect that an 
exclusion order and/or cease and desist orders would have on (1) the 
public health and welfare, (2) competitive conditions in the U.S. 
economy, (3) U.S. production of articles that are like or directly 
competitive with those that are subject to investigation, and (4) U.S. 
consumers. The Commission is therefore interested in receiving written 
submissions that address the aforementioned public interest factors in 
the context of this investigation.
    If the Commission orders some form of remedy, the U.S. Trade 
Representative, as delegated by the President, has 60 days to approve 
or disapprove the Commission's action. See Presidential Memorandum of 
July 21, 2005, 70 FR 43251 (July 26, 2005). During this period, the 
subject articles would be entitled to enter the United States under 
bond, in an amount determined by the Commission and prescribed by the 
Secretary of the Treasury. The Commission is therefore interested in 
receiving submissions concerning the amount of the bond that should be 
imposed if a remedy is ordered.
    Written Submissions: Parties to the investigation, interested 
government agencies, and any other interested parties are encouraged to 
file written submissions on the issues of remedy, the public interest, 
and bonding. Complainant and the Commission investigative attorney are 
also requested to submit proposed remedial orders for the Commission's 
consideration. Complainant is also requested to state the HTSUS numbers 
under which the accused products are imported and to supply the names 
of known importers of the infringing articles.
    Written submissions must be filed no later than close of business 
on January 11, 2019. Reply submissions must be filed no later than the 
close of business on January 18, 2019. Such submissions should address 
the ALJ's recommended determinations on remedy and bonding which were 
made in the FID. No further submissions on any of these issues will be 
permitted unless otherwise ordered by the Commission.
    Persons filing written submissions must file the original document 
electronically on or before the deadlines stated above and submit eight 
(8) true paper copies to the Office of the Secretary by noon the next 
day pursuant to section 210.4(f) of the Commission's Rules of Practice 
and Procedure (19 CFR 210.4(f)). Submissions should refer to the 
investigation number (``Inv. No. 337-TA-1074'') in a prominent place on 
the cover page and/or the first page. (See Handbook for Electronic 
Filing Procedures, https://www.usitc.gov/secretary/documents/handbook_on_filing_procedures.pdf). Persons with questions regarding 
filing should contact the Secretary (202-205-2000).
    Any person desiring to submit a document to the Commission in 
confidence must request confidential treatment. All such requests 
should be directed to the Secretary to the Commission and must include 
a full statement of the reasons why the Commission should grant such 
treatment. See 19 CFR 201.6. Documents for which confidential treatment 
by the Commission is properly sought will be treated accordingly. All 
information, including confidential business information and documents 
for which confidential treatment is properly sought, submitted to the 
Commission for purposes of this Investigation may be disclosed to and 
used: (i) By the Commission, its employees and Offices, and contract 
personnel (a) for developing or maintaining the records of this or a 
related proceeding, or (b) in internal investigations, audits, reviews, 
and evaluations relating to the programs, personnel, and operations of 
the Commission including under 5 U.S.C. Appendix 3; or (ii) by U.S. 
government employees and contract personnel,\1\ solely for 
cybersecurity purposes. All non-confidential written submissions will 
be available for public

[[Page 67348]]

inspection at the Office of the Secretary and on EDIS.
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    \1\ All contract personnel will sign appropriate nondisclosure 
agreements.
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    The authority for the Commission's determination is contained in 
section 337 of the Tariff Act of 1930, as amended (19 U.S.C. 1337), and 
in part 210 of the Commission's Rules of Practice and Procedure (19 CFR 
part 210).

    By order of the Commission.
    Issued: December 20, 2018.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2018-28175 Filed 12-27-18; 8:45 am]
BILLING CODE 7020-02-P