[Federal Register Volume 85, Number 251 (Thursday, December 31, 2020)]
[Notices]
[Pages 86905-86908]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-28980]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-900]


Diamond Sawblades and Parts Thereof From the People's Republic of 
China: Final Results of Antidumping Duty Changed Circumstances Review

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

SUMMARY: On November 20, 2020, the Department of Commerce (Commerce) 
published the initiation and preliminary results of a changed 
circumstances review (CCR) of the antidumping duty order on diamond 
sawblades and parts thereof (diamond sawblades) from the People's 
Republic of China (China). For these final results, Commerce continues 
to find that Protech Diamond Tools Inc. (Protech) and Gogo 
International Inc. (Gogo) are affiliated. Additionally, Commerce 
continues to find that Protech is eligible to participate in a 
certification process because Protech has demonstrated that it can 
identify diamond sawblades that it produced in Canada using non-Chinese 
cores and Chinese segments.

DATES: Applicable December 31, 2020.

FOR FURTHER INFORMATION CONTACT: Michael A. Romani, 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) 482-9180.

SUPPLEMENTARY INFORMATION:

Background

    On February 20, 2020, Commerce found ``that diamond sawblades made 
with Chinese cores and Chinese segments joined in Canada by Protech and 
then subsequently exported from Canada to the United States are 
circumventing the antidumping duty order on diamond sawblades from 
China.'' \1\ In the Final Determination, Commerce found that diamond 
sawblades ``assembled or completed in Canada using non-Chinese origin 
cores and/or non-Chinese origin segments are not subject to this anti-
circumvention inquiry.'' However, because Protech was unable ``to 
identify diamond sawblades produced with non-Chinese origin cores and/
or non-Chinese origin segments,'' Commerce decided not to ``implement a 
certification process for diamond sawblades already suspended,'' and 
required ``cash deposits on all entries of diamond sawblades produced 
and exported by Protech in Canada.'' \2\ We indicated that Protech 
could, at some future point request reconsideration of Commerce's 
denial of the certification process in, e.g., a CCR.\3\
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    \1\ See Diamond Sawblades and Parts Thereof from the People's 
Republic of China: Final Determination of Anti-Circumvention 
Inquiry, 85 FR 9737, 9738 (February 20, 2020) (Final Determination); 
see also Diamond Sawblades and Parts Thereof from the People's 
Republic of China and the Republic of Korea: Antidumping Duty 
Orders, 74 FR 57145 (November 4, 2009).
    \2\ See Final Determination, 85 FR at 9739.
    \3\ Id.
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    On August 19, 2020, Protech submitted a request for a CCR, in which 
Protech claimed that it is able to identify and segregate diamond 
sawblades made with non-Chinese cores and Chinese segments joined in 
Canada by Protech and then subsequently

[[Page 86906]]

exported from Canada by Protech, its affiliate Gogo, or a third party, 
to the United States.\4\ Protech requested that Commerce find it 
eligible for certification of these diamond sawblades as non-subject 
merchandise. On August 26, 2020, the Diamond Sawblades Manufacturers' 
Coalition (DSMC) submitted a letter supporting the CCR Request.\5\ In 
response to our request for additional information, Protech submitted 
its supplemental responses on September 15, 2020,\6\ and October 1, 
2020.\7\
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    \4\ See Protech's Letters, ``Request for Changed Circumstances 
Review,'' dated August 19, 2020 (CCR Request) at 1-2; see also 
``Response of Protech Diamond Tools Inc. to the Department's 
September 1, 2020, Supplemental Questionnaire'' dated September 15, 
2020 (Protech's First Supplemental Response) at 1.
    \5\ See DSMC's Letter, ``Comments in Support of Protech's 
Request for Changed Circumstances Review,'' dated August 26, 2020. 
DSMC is the petitioner in this proceeding.
    \6\ See Protech's First Supplemental Response.
    \7\ See Protech's Letter, ``Response of Protech Diamond Tools 
Inc. to the Department's September 28, 2020, Second Supplemental 
Questionnaire,'' dated October 1, 2020.
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    Commerce preliminarily determined that Protech is able to track and 
certify the country of origin of the diamond sawblade cores used in the 
production of diamond sawblades produced at its facility in Canada. 
Commerce further determined that diamond sawblades produced in Canada 
by Protech, using Chinese cores and Chinese segments, and exported by 
Protech or its affiliate, Gogo, to the United States are subject to the 
antidumping duty order on diamond sawblades from China.\8\
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    \8\ See Diamond Sawblades and Parts Thereof from the People's 
Republic of China: Initiation and Preliminary Results of Antidumping 
Duty Changed Circumstances Review, 85 FR 74315 (November 20, 2020) 
(Initiation and Preliminary Results).
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    No party commented on the Initiation and Preliminary Results 
regarding Commerce's analysis of Protech's practices to track the 
country of origin of the cores it uses to produce diamond sawblades 
which are exported to the United States, the determination that Protech 
and Gogo are affiliated, the sufficiency of the certification process, 
or the certification language.

Scope of the Order

    The products covered by the order are all finished circular 
sawblades, whether slotted or not, with a working part that is 
comprised of a diamond segment or segments, and parts thereof, 
regardless of specification or size, except as specifically excluded 
below. Within the scope of the order are semi-finished diamond 
sawblades, including diamond sawblade cores and diamond sawblade 
segments. Diamond sawblade cores are circular steel plates, whether or 
not attached to non-steel plates, with slots. Diamond sawblade cores 
are manufactured principally, but not exclusively, from alloy steel. A 
diamond sawblade segment consists of a mixture of diamonds (whether 
natural or synthetic, and regardless of the quantity of diamonds) and 
metal powders (including, but not limited to, iron, cobalt, nickel, 
tungsten carbide) that are formed together into a solid shape (from 
generally, but not limited to, a heating and pressing process).
    Sawblades with diamonds directly attached to the core with a resin 
or electroplated bond, which thereby do not contain a diamond segment, 
are not included within the scope of the order. Diamond sawblades and/
or sawblade cores with a thickness of less than 0.025 inches, or with a 
thickness greater than 1.1 inches, are excluded from the scope of the 
order. Circular steel plates that have a cutting edge of non-diamond 
material, such as external teeth that protrude from the outer diameter 
of the plate, whether or not finished, are excluded from the scope of 
the order. Diamond sawblade cores with a Rockwell C hardness of less 
than 25 are excluded from the scope of the order. Diamond sawblades 
and/or diamond segment(s) with diamonds that predominantly have a mesh 
size number greater than 240 (such as 250 or 260) are excluded from the 
scope of the order.
    Merchandise subject to the order is typically imported under 
heading 8202.39.00.00 of the Harmonized Tariff Schedule of the United 
States (HTSUS). When packaged together as a set for retail sale with an 
item that is separately classified under headings 8202 to 8205 of the 
HTSUS, diamond sawblades or parts thereof may be imported under heading 
8206.00.00.00 of the HTSUS. On October 11, 2011, Commerce included the 
6804.21.00.00 HTSUS classification number to the customs case reference 
file, pursuant to a request by U.S. Customs and Border Protection 
(CBP).\9\ Pursuant to requests by CBP, Commerce included to the customs 
case reference file the following HTSUS classification numbers: 
8202.39.0040 and 8202.39.0070 on January 22, 2015, and 6804.21.0010 and 
6804.21.0080 on January 26, 2015.\10\
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    \9\ See Diamond Sawblades and Parts Thereof from the Republic of 
Korea: Preliminary Results of Antidumping Duty Administrative 
Review, 76 FR 76128 (December 6, 2011).
    \10\ See Diamond Sawblades and Parts Thereof from the People's 
Republic of China: Final Results of Antidumping Duty Administrative 
Review; 2016-2017, 83 FR 64331 (December 14, 2018), and accompanying 
Issues and Decision Memorandum at 3.
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    The tariff classification is provided for convenience and customs 
purposes; however, the written description of the scope of the order is 
dispositive.

Final Results of Changed Circumstances Review

    Commerce is conducting this CCR in accordance with sections 
751(b)(1) and 777(i) of the Act and 19 CFR 351.216. For the reasons 
stated in the Initiation and Preliminary Results, and because we 
received no comments from interested parties, Commerce continues to 
find that, since the publication of the Final Determination, Protech 
has demonstrated in its CCR request and supplemental responses that it 
is able to identify and segregate diamond sawblades produced in Canada 
by Protech, using non-Chinese cores and Chinese segments and exported 
to the United States. Based on information provided by Protech, we also 
continue to find that Protech and Gogo are affiliated, in accordance 
with section 771(33)(F) of the Act and 19 CFR 351.102(b)(3).\11\ 
Therefore, we continue to find that diamond sawblades produced in 
Canada by Protech using Chinese cores and Chinese segments and exported 
by Gogo to the United States are subject to the antidumping duty order 
on diamond sawblades from China.
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    \11\ See Memorandum, ``Diamond Sawblades and Parts Thereof from 
the People's Republic of China: Affiliation of Protech Diamond Tools 
Inc. and Gogo International Inc.'' dated November 17, 2020, for 
details containing Protech's business proprietary information.
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    Accordingly, effective on the publication date of these final 
results, Protech, Gogo and their importers will be eligible, where 
appropriate, to certify that the diamond sawblades produced in Canada 
by Protech and exported by either Protech or Gogo were produced using 
non-Chinese cores and Chinese segments. Attached as an appendix to this 
notice is the final certification language. Commerce also determines, 
based on the request in this CCR, that no other exporters are eligible 
for this certification process.\12\
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    \12\ The circumvention determination covered diamond sawblades 
produced in Canada by Protech with Chinese cores and Chinese 
segments and exported by Protech. See Final Determination, 85 FR at 
9738. Other exporters are not covered by the circumvention 
determination.
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Suspension of Liquidation and Certification Requirements

    In accordance with 19 CFR 351.225(l)(3), the suspension of 
liquidation instructions will remain in effect until further notice. 
Commerce will direct CBP to suspend liquidation and to require a cash 
deposit of

[[Page 86907]]

estimated duties on unliquidated entries of diamond sawblades produced 
(i.e., assembled or completed) using Chinese cores and Chinese segments 
by Protech in Canada and exported by Gogo that were entered, or 
withdrawn from warehouse, for consumption on or after November 20, 
2020, the date of initiation of the CCR.\13\
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    \13\ See Final Determination, 85 FR at 9739.
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    Diamond sawblades produced by Protech in Canada using non-Chinese 
cores and Chinese segments and exported from Canada by either Protech 
or Gogo are not subject to the antidumping duty order on diamond 
sawblades from China. However, imports of such merchandise are subject 
to certification requirements, and cash deposits may be required if the 
certification requirements are not satisfied. Accordingly, if an 
importer imports finished diamond sawblades produced in Canada by 
Protech and exported from Canada by either Protech or Gogo and claims 
that the finished diamond sawblades were produced from non-Chinese 
cores and Chinese segments, in order not to be subject to cash deposit 
requirements, the importer and exporter are required to meet the 
certification and documentation requirements described herein and in 
the certifications contained in the appendix to this notice. Where no 
certification is provided for an entry of diamond sawblades produced by 
Protech in Canada and exported by Protech or Gogo to the United States, 
and the antidumping duty order on diamond sawblades from China 
potentially applies to that entry, Commerce intends to instruct CBP to 
suspend the entry and collect cash deposits at the China-wide rate of 
82.05 percent of the entered value of the merchandise.\14\ For 
shipments and/or entry summaries made on or after the date of 
publication of the initiation of the CCR through 30 days after the date 
of publication of the final results of CCR for which certifications are 
required, importers and exporters should complete the required 
certification within 30 days after the publication of the final results 
of this CCR in the Federal Register. Accordingly, where appropriate, 
the relevant bullet in the certification should be edited to reflect 
that the certification was completed within the time frame specified 
above. For such entries/shipments, importers and exporters each have 
the option to complete a blanket certification covering multiple 
entries/shipments, individual certifications for each entry/shipment, 
or a combination thereof. For shipments and/or entries made on or after 
31 days after the date of publication of the final results of this CCR 
in the Federal Register, for which certifications are required, 
importers should complete the required certification at or prior to the 
date of entry summary, and exporters should complete the required 
certification and provide it to the importer at or prior to the date of 
shipment.
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    \14\ See, e.g., Diamond Sawblades and Parts Thereof from the 
People's Republic of China: Final Results of Antidumping Duty 
Administrative Review; 2016-2017, 83 FR 64331, 64332 (December 14, 
2018).
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Notification to Interested Parties

    We are issuing and publishing these final results and notice in 
accordance with sections 751(b)(1) and 777(i) of the Act, and 19 CFR 
351.216 and 351.222.

    Dated: December 28, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix

Exporter Certification

    Special Instructions: The party that made the sale to the United 
States should fill out the exporter certification. Only Protech 
Diamond Tools Inc., and Gogo International Inc., are eligible for 
this certification process.
    I hereby certify that:

    (A) My name is {COMPANY OFFICIAL'S NAME{time}  and I am an 
official of {NAME OF EXPORTING COMPANY{time} , located at 
{ADDRESS{time} ;
    (B) I have direct personal knowledge of the facts regarding the 
production and exportation of the finished diamond sawblades 
identified below. ``Direct personal knowledge'' refers to facts the 
certifying party is expected to have in its own books and records. 
For example, an exporter should have direct personal knowledge of 
the producer's identity and location.
    (C) Finished diamond sawblades produced in Canada and covered by 
this certification were not manufactured using cores produced in 
China.
    (D) This certification applies to the following sales to {NAME 
OF U.S. CUSTOMER{time} , located at {ADDRESS OF U.S. 
CUSTOMER{time} . (repeat this block as many times as necessary):

    Foreign Seller's Invoice # to U.S. Customer:
    Foreign Seller's Invoice to U.S. Customer Line item #:
    Producer Name: Protech Diamond Tools Inc.
    Producer's Address: Unit 105, 1626 -115 Avenue NE, Calgary, 
Alberta, Canada T3K 2E4
    Producer's Invoice # to Foreign Seller: (If the foreign seller 
and the producer are the same party, put NA here.)
    (E) The finished diamond sawblades covered by this certification 
were shipped to {NAME OF U.S. PARTY TO WHOM MERCHANDISE WAS 
SHIPPED{time} , located at {U.S. ADDRESS TO WHICH MERCHANDISE WAS 
SHIPPED{time} .
    (F) I understand that {NAME OF EXPORTING COMPANY{time}  is 
required to maintain a copy of this certification and sufficient 
documentation supporting this certification (i.e., documents 
maintained in the normal course of business, or documents obtained 
by the certifying party, for example, mill certificates, production 
records, invoices, etc.) for the later of (1) a period of five years 
from the date of entry or (2) a period of three years after the 
conclusion of any litigation in the United States courts regarding 
such entries.
    (G) I understand that {NAME OF EXPORTING COMPANY{time}  must 
provide a copy of this Exporter Certification to the U.S. importer 
by the date of shipment.
    (H) I understand that {NAME OF EXPORTING COMPANY{time}  is 
required to provide a copy of this certification and supporting 
records, upon request, to U.S. Customs and Border Protection (CBP) 
and/or the Department of Commerce (Commerce).
    (I) I understand that the claims made herein, and the 
substantiating documentation are subject to verification by CBP and/
or Commerce.
    (J) I understand that failure to maintain the required 
certification and/or failure to substantiate the claims made herein, 
and/or failure to allow CBP and/or Commerce to verify the claims 
made herein, may result in a de facto determination that all sales 
to which this certification applies are within the scope of the 
antidumping duty order on diamond sawblades and parts thereof from 
the People's Republic of China. I understand that such finding will 
result in:
    (i) suspension of all unliquidated entries (and entries for 
which liquidation has not become final) for which these requirements 
were not met; and
    (ii) the requirement that the importer post applicable 
antidumping duty cash deposits (as appropriate) equal to the rates 
as determined by Commerce; and
    (iii) the revocation of {NAME OF EXPORTING COMPANY{time} 's 
privilege to certify future exports of finished diamond sawblades 
from Canada as not manufactured using cores from China.
    (K) This certification was completed at or prior to the date of 
shipment;
    (L) I am aware that U.S. law (including, but not limited to, 18 
U.S.C. 1001) imposes criminal sanctions on individuals who knowingly 
and willfully make material false statements to the U.S. government.

Signature

NAME OF COMPANY OFFICIAL
TITLE
DATE

Importer Certification

    I hereby certify that:

    (A) My name is {IMPORTING COMPANY OFFICIAL'S NAME{time}  and I 
am an official of {NAME OF IMPORTING COMPANY{time} , located at 
{ADRESS OF IMPORTING COMPANY{time} .
    (B) I have direct personal knowledge of the facts regarding the 
importation into the Customs territory of the United States of 
finished diamond sawblades produced in Canada that entered under 
entry summary

[[Page 86908]]

number(s) identified below and are covered by this certification. 
``Direct personal knowledge'' refers to facts the certifying party 
is expected to have in its own records. For example, the importer 
should have direct personal knowledge of the importation of the 
product (e.g., the name of the exporter) in its records.
    (C) If the importer is acting on behalf of the first U.S. 
customer, complete this paragraph, if not put ``NA'' at the end of 
this paragraph: finished diamond sawblades covered by this 
certification were imported by {NAME OF IMPORTING COMPANY{time}  on 
behalf of {NAME OF U.S. CUSTOMER{time} , located at {ADDRESS OF U.S. 
CUSTOMER{time} .
    (D) Finished diamond sawblades covered by this certification 
were shipped to {NAME OF PARTY TO WHOM MERCHANDISE WAS FIRST SHIPPED 
IN THE UNITED STATES{time} , located at {ADDRESS OF SHIPMENT{time} .
    (E) I have personal knowledge of the facts regarding the 
production of the finished diamond sawblades identified below. 
``Personal knowledge'' includes facts obtained from another party, 
(e.g., correspondence received by the importer (or exporter) from 
the producer regarding the country of manufacture of the imported 
products).
    (F) Finished diamond sawblades covered by this certification 
were not manufactured using cores produced in China.
    (G) This certification applies to the following entries (repeat 
this block as many times as necessary):

    Entry Summary #:
    Entry Summary Line Item #:
    Foreign Seller:
    Foreign Seller's Address:
    Foreign Seller's Invoice #:
    Foreign Seller's Invoice Line Item #:
    Producer: Protech Diamond Tools Inc.
    Producer's Address: Unit 105, 1626 -115 Avenue NE, Calgary, 
Alberta, Canada T3K 2E4

    (H) I understand that {NAME OF IMPORTING COMPANY{time}  is 
required to maintain a copy of this certification and sufficient 
documentation supporting this certification (i.e., documents 
maintained in the normal course of business, or documents obtained 
by the certifying party, for example, mill certificates, production 
records, invoices, etc.) for the later of (1) a period of five years 
from the date of entry, or (2) a period of three years after the 
conclusion of any litigation in the United States courts regarding 
such entries.
    (I) I understand that {NAME OF IMPORTING COMPANY{time}  is 
required to provide this certification and supporting records to 
U.S. Customs and Border Protection (CBP) and/or the Department of 
Commerce (Commerce), upon request by the respective agency.
    (J) I understand that {NAME OF IMPORTING COMPANY{time}  is 
required to maintain a copy of the exporter's certification 
(attesting to the production and/or export of the imported 
merchandise identified above), and any supporting records provided 
by the exporter to the importer, for the later of (1) a period of 
five years from the date of entry or (2) a period of three years 
after the conclusion of any litigation in United States courts 
regarding such entries.
    (K) I understand that {NAME OF IMPORTING COMPANY{time}  is 
required, upon request, to provide a copy of the exporter's 
certification and any supporting records provided by the exporter to 
the importer, to CBP and/or Commerce.
    (L) I understand that the claims made herein, and the 
substantiating documentation, are subject to verification by CBP 
and/or Commerce.
    (M) I understand that failure to maintain the required 
certifications, and/or failure to substantiate the claims made 
herein, and/or failure to allow CBP and/or Commerce to verify the 
claims made herein, may result in a de facto determination that all 
entries to which this certification applies are within the scope of 
the antidumping duty order on diamond sawblades and parts thereof 
from the People's Republic of China. I understand that such finding 
will result in:
    (i) suspension of liquidation of all unliquidated entries (and 
entries for which liquidation has not become final) for which these 
requirements were not met;
    (ii) the requirement that the importer post applicable 
antidumping duty cash deposits (as appropriate) equal to the rates 
determined by Commerce; and
    (iii) the revocation of {NAME OF IMPORTING COMPANY{time} 's 
privilege to certify future imports of diamond sawblades from Canada 
as not manufactured using cores from China.
    (N) I understand that agents of the importer, such as brokers, 
are not permitted to make this certification. Where a broker or 
other party was used to facilitate the entry process, {NAME OF 
IMPORTING COMPANY{time}  obtained the entry summary number and date 
of entry summary from that party.
    (O) This certification was completed at or prior to the date of 
entry summary.
    (P) I am aware that U.S. law (including, but not limited to, 18 
U.S.C. 1001) imposes criminal sanctions on individuals who knowingly 
and willfully make material false statements to the U.S. government.

Signature

NAME OF COMPANY OFFICIAL
TITLE
DATE

[FR Doc. 2020-28980 Filed 12-30-20; 8:45 am]
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