[Federal Register Volume 74, Number 176 (Monday, September 14, 2009)]
[Notices]
[Pages 46973-46975]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-22020]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-942]


Certain Kitchen Appliance Shelving and Racks From the People's 
Republic of China: Countervailing Duty Order

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

SUMMARY: On September 2, 2009, the U.S. International Trade Commission 
(``ITC'') notified the Department of Commerce (``Department'') of its 
affirmative determinations of material injury to the U.S. refrigeration 
shelving industry and threat of material injury to the U.S. oven racks 
industry. See Certain Kitchen Appliance Shelving and Racks from China, 
USITC Pub. 4098, Investigation 701-TA-458 and 731-TA-1154 (Final) 
(August 2009). Based on affirmative final determinations by the 
Department and the ITC, the Department is issuing this countervailing 
duty order on certain kitchen appliance shelving and racks from the 
People's Republic of China (``PRC'').

DATES: Effective Date: September 14, 2009.

FOR FURTHER INFORMATION CONTACT: Yasmin Nair or Scott Holland, AD/CVD 
Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
3813 and (202) 482-1279, respectively.

Background

    On July 27, 2009, the Department published its final determination 
in the countervailing duty investigation of certain kitchen appliance 
shelving and racks from the PRC. See Certain Kitchen Shelving and Racks 
from the People's Republic of China: Final Affirmative

[[Page 46974]]

Countervailing Duty Determination, 74 FR 37012 (July 27, 2009).
    On August 18, 2009, the ITC found in its final vote that there are 
two separate like products, refrigeration shelving and oven racks, and 
thus two separate domestic industries. The ITC further found that the 
U.S. industry producing refrigeration shelving is materially injured or 
threatened with material injury by imports of kitchen appliance 
shelving and racks from the PRC. For oven racks, the ITC found a threat 
of material injury. On September 2, 2009, the ITC notified the 
Department of its final determination pursuant to section 
705(b)(1)(A)(i) of the Tariff Act of 1930, as amended (``the Act''). 
See Certain Kitchen Appliance Shelving and Racks from China, USITC Pub. 
4098, Investigation 701-TA-458 and 731-TA-1154 (Final) (August 2009).

Scope of the Order

    The scope of this order consists of shelving and racks for 
refrigerators, freezers, combined refrigerator-freezers, other 
refrigerating or freezing equipment, cooking stoves, ranges, and ovens 
(``certain kitchen appliance shelving and racks'' or ``the subject 
merchandise''). Certain kitchen appliance shelving and racks are 
defined as shelving, baskets, racks (with or without extension slides, 
which are carbon or stainless steel hardware devices that are connected 
to shelving, baskets, or racks to enable sliding), side racks (which 
are welded wire support structures for oven racks that attach to the 
interior walls of an oven cavity that does not include support ribs as 
a design feature), and subframes (which are welded wire support 
structures that interface with formed support ribs inside an oven 
cavity to support oven rack assemblies utilizing extension slides) with 
the following dimensions:
    <bullet> Shelving and racks with dimensions ranging from 3 inches 
by 5 inches by 0.10 inch to 28 inches by 34 inches by 6 inches; or
    <bullet> Baskets with dimensions ranging from 2 inches by 4 inches 
by 3 inches to 28 inches by 34 inches by 16 inches; or
    <bullet> Side racks from 6 inches by 8 inches by 0.10 inch to 16 
inches by 30 inches by 4 inches; or
    <bullet> Subframes from 6 inches by 10 inches by 0.10 inch to 28 
inches by 34 inches by 6 inches.
    The subject merchandise is comprised of carbon or stainless steel 
wire ranging in thickness from 0.050 inch to 0.500 inch and may include 
sheet metal of either carbon or stainless steel ranging in thickness 
from 0.020 inch to 0.20 inch. The subject merchandise may be coated or 
uncoated and may be formed and/or welded. Excluded from the scope of 
this order is shelving in which the support surface is glass.
    The merchandise subject to this order is currently classifiable in 
the Harmonized Tariff Schedule of the United States (``HTSUS'') 
statistical reporting numbers 8418.99.80.50, 7321.90.50.00, 
7321.90.60.90, 8418.99.80.60, and 8516.90.80.00. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of this order is dispositive.

Countervailing Duty Order

    On September 2, 2009, in accordance with section 735(d) of the Act, 
the ITC notified the Department of its final determination in this 
investigation. In its determination, the ITC found two domestic like 
products: (1) Refrigeration shelving; and (2) oven racks, covering the 
scope of subject merchandise subject to the investigation. The ITC 
determined that imports of refrigeration shelving from the PRC caused 
material injury to a domestic industry, and oven racks from the PRC 
threaten material injury to a domestic industry. Since the ITC made 
different affirmative injury determinations for both domestic like 
products, the Department must instruct U.S. Customs and Border 
protection to assess countervailing duties on entries of oven racks 
separately from refrigerator shelves. When we make a determination, 
either for one or more than one class or kind of merchandise, our 
determination that there is dumping or subsidization is specific to 
each class or kind of merchandise. In this case, we calculated final 
determination countervailing duty margins for a single class or kind of 
merchandise.

Refrigeration Shelving

    Countervailing duties will be assessed on all unliquidated entries 
of certain refrigeration shelving from the PRC entered, or withdrawn 
from warehouse, for consumption on or after January 7, 2009, the date 
on which the Department published its preliminary affirmative 
countervailing duty determination in the Federal Register,\1\ and 
before May 7, 2009, the date the Department instructed CBP to 
discontinue the suspension of liquidation in accordance with section 
703(d) of the Act. Section 703(d) of the Act states that the suspension 
of liquidation pursuant to a preliminary determination may not remain 
in effect for more than four months. Therefore, entries of certain 
refrigeration shelving made on or after May 7, 2009, and prior to the 
date of publication of the ITC's final determination in the Federal 
Register are not liable for the assessment of countervailing duties due 
to the Department's discontinuation, effective May 7, 2009, of the 
suspension of liquidation.
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    \1\ See Certain Kitchen Appliance Shelving and Racks From the 
People's Republic of China: Preliminary Affirmative Countervailing 
Duty Determination and Alignment of Final Countervailing Duty 
Determination With Final Antidumping Duty Determination, 74 FR 683 
(January 7, 2009) (``Shelving and Racks Preliminary Results'').
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    In accordance with section 706 of the Act, the Department will 
direct CBP to reinstitute the suspension of liquidation for certain 
refrigeration shelving from the PRC, effective the date of publication 
of the ITC's notice of final determination in the Federal Register and 
to assess, upon further advice by the Department pursuant to section 
706(a)(1) of the Act, countervailing duties for each entry of certain 
refrigeration shelving in an amount based on the net countervailable 
subsidy rates for the subject merchandise as noted below.

Oven Racks

    According to section 706(b)(2) of the Act, duties shall be assessed 
on subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of the ITC's notice of 
final determination if that determination is based upon the threat of 
material injury. Section 706(b)(1) of the Act states,

    If the Commission, in its final determination under section 
705(b), finds material injury or threat of material injury which, 
but for the suspension of liquidation under section 703(d)(2), would 
have led to a finding of material injury, then entries of the 
merchandise subject to the countervailing duty order, the 
liquidation of which has been suspended under section 703(d)(2), 
shall be subject to the imposition of countervailing duties under 
section 701(a).

In addition, section 706(b)(2) of the Act requires CBP to refund any 
cash deposits or bonds of estimated countervailing duties posted since 
the Department's preliminary countervailing duty determination, if the 
ITC's final determination is threat-based.
    Because the ITC's final determination in this case is based on the 
threat of material injury to the oven racks industry and is not 
accompanied by a finding that injury would have resulted but for the 
imposition of suspension of liquidation of entries since the 
Department's preliminary determination

[[Page 46975]]

was published in the Federal Register,\2\ section 706(b)(2) of the Act 
is applicable.
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    \2\ See Shelving and Racks Preliminary Results.
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    Therefore, the Department will direct CBP to reinstitute suspension 
of liquidation,\3\ and to assess, upon further instruction from the 
Department, countervailing duties in an amount based on the net 
countervailable subsidy rates for the subject merchandise as noted 
below, on all unliquidated entries of certain oven racks from the PRC 
entered, or withdrawn from warehouse, for consumption on or after the 
date of publication of the ITC's notice of final determination in the 
Federal Register.
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    \3\ The Department instructed CBP to discontinue the suspension 
of liquidation on May 7, 2009, in accordance with section 703(a) of 
the Act. Section 703(d) states that the suspension of liquidation 
pursuant to a preliminary determination may not remain in effect for 
more than four months.

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                                                           Net subsidy
                 Exporter/manufacturer                         rate
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Guangdong Wire King Co., Ltd. (formerly known as Foshan            13.30
 Shunde Wireking Housewares & Hardware)................
Asber Enterprises Co., Ltd. (China)....................           170.82
Changzhou Yixiong Metal Products Co., Ltd..............           149.91
Foshan Winleader Metal Products Co., Ltd...............           149.91
Kingsun Enterprises Group Co, Ltd......................           149.91
Yuyao Hanjun Metal Work Co./Yuyao Hanjun Metal Products           149.91
 Co., Ltd..............................................
Zhongshan Iwatani Co., Ltd.............................           149.91
All-Others.............................................            13.30
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    This notice constitutes the countervailing duty order with respect 
to certain kitchen appliance shelving and racks from the PRC, pursuant 
to section 706(a) of the Act. Interested parties may contact the 
Department's Central Records Unit, Room 1117 of the main Commerce 
Building, for copies of an updated list of countervailing duty orders 
currently in effect.
    This order is issued and published in accordance with section 
706(a) of the Act and 19 CFR 351.211(b).

    Dated: September 8, 2009.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.
[FR Doc. E9-22020 Filed 9-9-09; 4:15 pm]
BILLING CODE 3510-DS-P