[Federal Register Volume 86, Number 43 (Monday, March 8, 2021)]
[Notices]
[Pages 13285-13287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-04728]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-896]


Common Alloy Aluminum Sheet From India: Final Affirmative 
Countervailing Duty Determination and Final Negative Critical 
Circumstances Determination

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

SUMMARY: The Department of Commerce (Commerce) determines that 
countervailable subsidies are being provided to producers and exporters 
of common alloy aluminum sheet (aluminum sheet) from India.

DATES: Applicable March 8, 2021

FOR FURTHER INFORMATION CONTACT: Benito Ballesteros or Nathan James AD/
CVD Operations, Office V, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-7425 or (202) 
482-5305, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On August 14, 2020, Commerce published the Preliminary 
Determination in the Federal Register.\1\ In the Preliminary 
Determination, and in accordance with section 705(a)(1) of the Tariff 
Act of 1930, as amended (the Act), and 19 CFR 351.210(b)(4), Commerce 
aligned the final determination of this CVD investigation with the 
final determination in the companion antidumping duty investigation of 
aluminum sheet from India.
---------------------------------------------------------------------------

    \1\ See Common Alloy Aluminum Sheet from India: Preliminary 
Affirmative Countervailing Duty Determination, Preliminary Negative 
Critical Circumstances Determination, and Alignment of Final 
Determination with Final Antidumping Duty Determination, 85 FR 49631 
(August 14, 2020) (Preliminary Determination).
---------------------------------------------------------------------------

    A summary of the events that occurred since Commerce published the 
Preliminary Determination, may be found in the Issues and Decision 
Memorandum.\2\ The Issues and 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 http://access.trade.gov. In addition, a complete version of the Issues and 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed and electronic versions of the 
Issues and Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Determination in the Countervailing Duty Investigation of 
Common Alloy Aluminum Sheet from India,'' dated concurrently with, 
and hereby adopted by, this notice (Issues and Decision Memorandum).
---------------------------------------------------------------------------

Period of Investigation

    The period of investigation is January 1, 2019, through December 
31, 2019.

Scope of the Investigation

    The product covered by this investigation is aluminum sheet from 
India. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    During the course of this investigation, Commerce received scope 
comments from interested parties. Commerce issued a Preliminary Scope 
Decision Memorandum to address these comments.\3\ We received comments 
from interested parties on the Preliminary Scope Decision Memorandum, 
which we addressed in the Final Scope Decision Memorandum.\4\ Commerce 
is not modifying the scope language as it appeared in the Preliminary 
Determination. See Appendix I for the final scope of the investigation.
---------------------------------------------------------------------------

    \3\ See Memorandum, ``Antidumping and Countervailing Duty 
Investigations of Common Alloy Aluminum Sheet from Bahrain, Brazil, 
Croatia, Egypt, Germany, Greece, India, Indonesia, Italy, Republic 
of Korea, Oman, Romania, Serbia, Slovenia, South Africa, Spain, 
Taiwan and Turkey: Scope Comments Decision Memorandum for the 
Preliminary Determinations,'' dated October 6, 2020 (Preliminary 
Scope Decision Memorandum).
    \4\ See Memorandum, ``Common Alloy Aluminum Sheet from Bahrain, 
Brazil, Croatia, Egypt, Germany, Greece, India, Indonesia, Italy, 
Korea, Oman, Romania, Serbia, Slovenia, South Africa, Spain, Taiwan, 
and Turkey: Scope Comments Final Decision Memorandum,'' dated 
concurrently with, and hereby adopted by, this notice (Final Scope 
Decision Memorandum).
---------------------------------------------------------------------------

Verification

    Commerce was unable to conduct on-site verification of the 
information relied upon in making its final determination in this 
investigation. However, we took additional steps in lieu of on-site 
verification to verify the information relied upon in making this final 
determination, in accordance with section 782(i) of the Act.\5\
---------------------------------------------------------------------------

    \5\ See Commerce's Letter, ``Countervailing Duty Investigation 
of Common Alloy Aluminum Sheet from India: In Lieu of Verification 
Questionnaire,'' dated December 3, 2020.
---------------------------------------------------------------------------

Analysis of Subsidy Programs and Comments Received

    The subsidy programs under investigation, and the issues raised in

[[Page 13286]]

the case and rebuttal briefs by parties in this investigation, are 
discussed in the Issues and Decision Memorandum. For a list of the 
issues raised by parties, and to which we responded in the Issues and 
Decision Memorandum, see Appendix II of this notice.

Methodology

    Commerce conducted this investigation in accordance with section 
701 of the Act. For each of the subsidy programs found countervailable, 
Commerce determines that there is a subsidy, i.e., a financial 
contribution by an ``authority'' that gives rise to a benefit to the 
recipient, and that the subsidy is specific.\6\ For a full description 
of the methodology underlying our final determination, see the Issues 
and Decision Memorandum.
---------------------------------------------------------------------------

    \6\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
---------------------------------------------------------------------------

Changes Since the Preliminary Determination

    Based on our review and analysis of the comments received from 
parties, we made certain changes to the subsidy rate calculations for 
Hindalco Industries Limited (Hindalco) and Manaksia Aluminium Company 
Limited (MALCO). For a discussion of these changes, see the Issues and 
Decision Memorandum.

All-Others Rate

    Section 705(c)(5)(A) of the Act provides that in the final 
determination, Commerce shall determine an estimated all-others rate 
for companies not individually examined. This rate shall be an amount 
equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
rates that are zero, de minimis, or based entirely under section 776 of 
the Act.
    In this investigation, we continue to calculate the all-others rate 
using the weighted-average of the individual subsidy rates calculated 
for Hindalco and MALCO.\7\
---------------------------------------------------------------------------

    \7\ Both companies reported their respective sales values as 
public information.
---------------------------------------------------------------------------

Final Negative Determination of Critical Circumstances

    Commerce determines that critical circumstances do not exist within 
the meaning of 703(e)(1) of the Act. For further information, see 
Issues and Decision Memorandum.

Final Determination

    Commerce determines that the following countervailable subsidy 
rates exist:

------------------------------------------------------------------------
                                                                Subsidy
                      Producer/exporter                          rate
                                                               (percent)
------------------------------------------------------------------------
Hindalco Industries Limited \8\.............................       35.25
Manaksia Aluminium Company Limited..........................        4.89
All Others..................................................       30.15
------------------------------------------------------------------------

Disclosure

    Commerce intends to disclose to interested parties its calculations 
and analysis performed in this final determination within five days of 
its public announcement, or if there is no public announcement, within 
five days of the date of publication of this notice in accordance with 
19 CFR 351.224(b).
---------------------------------------------------------------------------

    \8\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following company to be cross-owned with 
Hindalco: Utkal Alumina International Limited.
---------------------------------------------------------------------------

Continuation of Suspension of Liquidation

    As a result of our Preliminary Determination and pursuant to 
sections 703(d)(1)(B) and (d)(2) of the Act, Commerce instructed U.S. 
Customs and Border Protection (CBP) to suspend liquidation of entries 
of subject merchandise as described in the scope of the investigation 
section entered, or withdrawn from warehouse, for consumption on or 
after August 14, 2020, the date of publication of the Preliminary 
Determination in the Federal Register. In accordance with section 
703(d) of the Act, effective December 12, 2020, we instructed CBP to 
discontinue the suspension of liquidation of all entries at that time, 
but to continue the suspension of liquidation of all entries from 
August 14, 2020, through December 11, 2020.
    If the U.S. International Trade Commission (ITC) issues a final 
affirmative injury determination, we will issue a CVD order and require 
a cash deposit of estimated countervailing duties for such entries of 
subject merchandise in the amounts indicated above, in accordance with 
section 706(a) of the Act. If the ITC determines that material injury, 
or threat of material injury, does not exist, this proceeding will be 
terminated, and all estimated duties deposited or securities posted as 
a result of the suspension of liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, Commerce will notify 
the ITC of its final affirmative determination that countervailable 
subsidies are being provided to producers and exporters of aluminum 
sheet from India. As Commerce's final determination is affirmative, in 
accordance with section 705(b) of the Act, the ITC will determine, 
within 45 days, whether the domestic industry in the United States is 
materially injured or threatened with material injury. In addition, we 
are making available to the ITC all non-privileged and nonproprietary 
information related to this 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 (APO), 
without the written consent of the Assistant Secretary for Enforcement 
and Compliance.

Notification Regarding APO

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to the APO of their responsibility concerning the destruction 
of proprietary information disclosed under APO in accordance with 19 
CFR 351.305(a)(3). Timely written notification of the return/
destruction of APO materials or conversion to judicial protective order 
is hereby requested. Failure to comply with the regulations and terms 
of an APO is a violation which is subject to sanction.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
705(d) and 771(i) of the Act, and 19 CFR 351.210(c).

    Dated: March 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The product covered by this investigation is common alloy 
aluminum sheet, which is a flat-rolled aluminum product having a 
thickness of 6.3 mm or less, but greater than 0.2 mm, in coils or 
cut- to-length, regardless of width. Common alloy sheet within the 
scope of this investigation includes both not clad aluminum sheet, 
as well as multi-alloy, clad aluminum sheet. With respect to not 
clad aluminum sheet, common alloy sheet is manufactured from a 1XXX-
, 3XXX-, or 5XXX-series alloy as designated by the Aluminum 
Association. With respect to multi-alloy, clad aluminum sheet, 
common alloy sheet is produced from a 3XXX-series core, to which 
cladding layers are applied to either one or both sides of the core. 
The use of a proprietary alloy or non-proprietary alloy

[[Page 13287]]

that is not specifically registered by the Aluminum Association as a 
discrete 1XXX-, 3XXX-, or 5XXX-series alloy, but that otherwise has 
a chemistry that is consistent with these designations, does not 
remove an otherwise in-scope product from the scope.
    Common alloy sheet may be made to ASTM specification B209-14 but 
can also be made to other specifications. Regardless of 
specification, however, all common alloy sheet meeting the scope 
description is included in the scope. Subject merchandise includes 
common alloy sheet that has been further processed in a third 
country, including but not limited to annealing, tempering, 
painting, varnishing, trimming, cutting, punching, and/or slitting, 
or any other processing that would not otherwise remove the 
merchandise from the scope of the investigation if performed in the 
country of manufacture of the common alloy sheet.
    Excluded from the scope of this investigation is aluminum can 
stock, which is suitable for use in the manufacture of aluminum 
beverage cans, lids of such cans, or tabs used to open such cans. 
Aluminum can stock is produced to gauges that range from 0.200 mm to 
0.292 mm, and has an H-l9, H-41, H-48, or H-391 temper. In addition, 
aluminum can stock has a lubricant applied to the flat surfaces of 
the can stock to facilitate its movement through machines used in 
the manufacture of beverage cans. Aluminum can stock is properly 
classified under Harmonized Tariff Schedule of the United States 
(HTSUS) subheadings 7606.12.3045 and 7606.12.3055.
    Where the nominal and actual measurements vary, a product is 
within the scope if application of either the nominal or actual 
measurement would place it within the scope based on the definitions 
set for the above.
    Common alloy sheet is currently classifiable under HTSUS 
subheadings 7606.11.3060, 7606.11.6000, 7606.12.3096, 7606.12.6000, 
7606.91.3095, 7606.91.6095, 7606.92.3035, and 7606.92.6095. Further, 
merchandise that falls within the scope of this investigation may 
also be entered into the United States under HTSUS subheadings 
7606.11.3030, 7606.12.3015, 7606.12.3025, 7606.12.3035, 
7606.12.3091, 7606.91.3055, 7606.91.6055, 7606.92.3025, 
7606.92.6055, 7607.11.9090. Although the HTSUS subheadings are 
provided for convenience and customs purposes, the written 
description of the scope of this investigation is dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Final Negative Determination of Critical Circumstances
V. Subsidies Valuation
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Analysis of Programs
VIII. Discussion of the Issues
    Comment 1: Whether To Exclude the Subsidy Rate for the Provision 
of Coal for Less Than Adequate Remuneration (LTAR) From the All-
Others Rate
    Comment 2: Whether To Reconsider Initiation of New Subsidy 
Allegations (NSAs)
    Comment 3: Whether Commerce Appropriately Initiated the 
Investigation After the Government of India (GOI) Withdrew From 
Consultations
    Comment 4: Whether Commerce Conducted a Selective/Incomplete 
Investigation
    Comment 5: Whether the GOI has an Effective System in Place To 
Confirm Input Consumption
    Comment 6: Whether the Provision of Coal for LTAR<INF>Is</INF> 
Countervailable
    Comment 7: Whether Water for LTAR and Land for LTAR in the State 
of Gujarat Are Countervailable
    Comment 8: Whether To Correct the Consumer Price Index (CPI) 
Rate Used in the Land for LTAR Benefit Calculation
    Comment 9: Whether To Exclude Certain Rebates From the Duty 
Drawback Benefit Calculation
    Comment 10: Whether To Correct the Duty Exemption Rate Used in 
the State Government of Madhya Pradesh (SGMP) Electricity Duty 
Exemption
    Comment 11: Whether To Correct the Benefit Calculation Relating 
to the Export Promotion of Capital Goods Scheme (EPCGS)
    Comment 12: Whether To Adjust the Inland Freight Benchmark Used 
in the Coal for LTAR Benefit Calculation
    Comment 13: Whether To Apply Adverse Facts Available (AFA) to 
MALCO's EPCGS Usage
    Comment 14: Whether To Correct the Discount Rate Used in the 
Export-Oriented Unit (EOU) Scheme Benefit Calculation
IX. Recommendation

[FR Doc. 2021-04728 Filed 3-5-21; 8:45 am]
BILLING CODE 3510-DS-P