[Federal Register Volume 89, Number 2 (Wednesday, January 3, 2024)]
[Notices]
[Pages 333-335]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-28941]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-557-825]


Certain Paper Shopping Bags From Malaysia: Preliminary 
Affirmative Determination of Sales at Less-Than-Fair-Value

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that certain paper shopping bags (paper bags) from Malaysia 
are being, or are likely to be, sold in the United States at less than 
fair value (LTFV). The period of investigation (POI) is April 1, 2022, 
through March 31, 2023. Interested parties are invited to comment on 
this preliminary determination.

DATES: Applicable January 3, 2024.

FOR FURTHER INFORMATION CONTACT: Dan Alexander, AD/CVD Operations, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-4313.

SUPPLEMENTARY INFORMATION:

[[Page 334]]

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation in the Federal 
Register on June 27, 2023.\1\ On October 3, 2023, Commerce postponed 
the preliminary determination of this investigation until December 27, 
2023.\2\
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    \1\ See Certain Paper Shopping Bags From Cambodia, the People's 
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the 
Republic of Turkey, and the Socialist Republic of Vietnam: 
Initiation of Less-Than-Fair-Value Investigations, 88 FR 41589, 
(June 27, 2023) (Initiation Notice).
    \2\ See Certain Paper Shopping Bags from Cambodia, the People's 
Republic of China, Colombia, India, Malaysia, Portugal, Taiwan, the 
Republic of Turkey, and the Socialist Republic of Vietnam: 
Postponement of Preliminary Determinations in the Less-Than-Fair-
Value Investigations, 88 FR 68097, (October 3, 2023).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics discussed in the Preliminary Decision 
Memorandum is included as Appendix II to this notice. The Preliminary 
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 https://access.trade.gov. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination of Sales at Less Than Fair Value in the 
Investigation of Certain Paper Shopping Bags from Malaysia,'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are paper bags from 
Malaysia. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the Preamble to Commerce's regulations,\4\ the 
Initiation Notice, Commerce set aside a period of time for parties to 
raise issues regarding product coverage (i.e., scope).\5\ Certain 
interested parties commented on the scope of the investigation as it 
appeared in the Initiation Notice. For a summary of the product 
coverage comments and rebuttal responses submitted to the record for 
this investigation and accompanying discussion and analysis of all 
comments timely received, see the Preliminary Scope Decision 
Memorandum.\6\ As discussed in the Preliminary Scope Decision 
Memorandum, Commerce preliminarily modified the scope language as it 
appeared in the Initiation Notice. In the Preliminary Scope Decision 
Memorandum, Commerce established the deadlines for parties to submit 
scope case and rebuttal briefs.
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    \4\ See Antidumping Duties; Countervailing Duties: Final Rule, 
62 FR 27296 (May 19, 1997) (Preamble).
    \5\ See Initiation Notice, 88 FR at 41590.
    \6\ See Memorandum, ``Preliminary Scope Decision Memorandum,'' 
dated December 27, 2023 (Preliminary Scope Decision Memorandum).
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Constructed export price is calculated in 
accordance with section 772 of the Act. Normal value is calculated in 
accordance with section 773 of the Act. Furthermore, pursuant to 
sections 776(a) and (b) of the Act, Commerce preliminarily has relied 
upon facts otherwise available, with adverse inferences (AFA), to 
assign a dumping margin for Kooka Paper Manufacturing Sdn. Bhd. 
(Kooka). For a full description of the methodology underlying the 
preliminary determination, see the Preliminary Decision Memorandum.

All-Others Rate

    Sections 733(d)(1)(A)(ii) and 735(c)(5)(A) of the Act provide that 
in the preliminary determination Commerce shall determine an estimated 
all-others rate for all exporters and producers not individually 
examined. This rate shall be an amount equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters and producers individually investigated, excluding any zero 
and de minimis margins, and any margins determined entirely under 
section 776 of the Act.
    In this investigation, Commerce has preliminarily determined the 
estimated weighted-average dumping margin for Kooka under section 776 
of the Act. Commerce calculated estimated weighted-average dumping 
margins that are above de minimis for the mandatory respondents, 
Nanwang and Hexachase. Therefore, Commerce calculated the all-others 
rate by weight-averaging the estimated weighted-average dumping margins 
that it calculated for the individually examined respondents. Commerce 
weight-averaged these dumping margins using the publicly ranged total 
quantities of each respondent's sales of subject merchandise to the 
United States during the POI.\7\
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    \7\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated weighted-average 
dumping margins calculated for the examined respondents; (B) a 
simple average of the estimated weighted-average dumping margins 
calculated for the examined respondents; and (C) a weighted-average 
of the estimated weighted-average dumping margins calculated for the 
examined respondents using each company's publicly ranged U.S. sale 
quantities for the merchandise under consideration. Commerce then 
compares (B) and (C) to (A) and selects the rate closer to (A) as 
the most appropriate rate for all other producers and exporters. 
See, e.g., Ball Bearings and Parts Thereof from France, Germany, 
Italy, Japan, and the United Kingdom: Final Results of Antidumping 
Duty Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010), and accompanying Issues and Decision Memorandum 
at Comment 1; see also Memorandum, ``All-Others Rate Calculation,'' 
dated concurrently with this notice.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
------------------------------------------------------------------------
Hexachase Packaging Sdn. Bhd................................        3.10
Nanwang Pack (M) Sdn. Bhd...................................       67.94
Kooka Paper Manufacturing Sdn. Bhd..........................    * 112.22
All others..................................................       35.52
------------------------------------------------------------------------
* Rate based on AFA.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed in connection with this preliminary determination to 
interested parties within five days of any 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).

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register.
    Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR 
351.205(d), Commerce will instruct CBP to require a cash deposit equal 
to the estimated weighted-average dumping margin or the estimated all-
others rate, as follows: (1) the cash deposit rate for the respondents 
listed above will be equal to the company-specific estimated

[[Page 335]]

weighted-average dumping margin determined in this preliminary 
determination; (2) if the exporter is not a respondent identified 
above, but the producer is, then the cash deposit rate will be equal to 
the company-specific estimated weighted-average dumping margin 
established for that producer of the subject merchandise; and (3) the 
cash deposit rate for all other producers and exporters will be equal 
to the all-others estimated weighted-average dumping margin.

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in case 
briefs, may be submitted not later than five days after the date for 
filing case briefs.\8\ Interested parties who submit case or rebuttal 
briefs in this proceeding must submit: (1) a table of contents listing 
each issue; and (2) a table of authorities.\9\
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    \8\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Service Final Rule).
    \9\ See 19 351.309(c)(2) and (d)(2).
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    As provided under 19 CFR 351.309(c)(2) and d(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this investigation, we instead request 
that interested parties provide at the beginning of their briefs a 
public, executive summary for each issue raised in their briefs.\10\ 
Further, we request that interested parties limit their executive 
summary of each issue to no more than 450 words, not including 
citations. We intend to use the executive summaries as the basis of the 
comment summaries included in the issues and decision memorandum that 
will accompany the final determination in this investigation. We 
request that interested parties include footnotes for relevant 
citations in the executive summary of each issue. Note that Commerce 
has amended certain of its requirements pertaining to the service of 
documents in 19 CFR 351.303(f).\11\
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    \10\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \11\ See APO and Service Final Rule.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at a time and date to be 
determined. Parties should confirm the date and time of the hearing two 
days before the scheduled date.

U.S. International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its preliminary 
determination of sales at LTFV. If the final determination is 
affirmative, the ITC will determine before the later of 120 days after 
the date of this preliminary determination or 45 days after the final 
determination whether imports of the subject merchandise are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act, and 19 CFR 351.205(c).

    Dated: December 27, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products within the scope of this investigation are paper 
shopping bags with handles of any type, regardless of whether there 
is any printing, regardless of how the top edges are finished (e.g., 
folded, serrated, or otherwise finished), regardless of color, and 
regardless of whether the top edges contain adhesive or other 
material for sealing closed. Subject paper shopping bags have a 
width of at least 4.5 inches and depth of at least 2.5 inches.
    Paper shopping bags typically are made of kraft paper but can be 
made from any type of cellulose fiber, paperboard, or pressboard 
with a basis weight less than 300 grams per square meter (GSM).
    A non-exhaustive illustrative list of the types of handles on 
shopping bags covered by the scope include handles made from any 
materials such as twisted paper, flat paper, yarn, ribbon, rope, 
string, or plastic, as well as die-cut handles (whether the punchout 
is fully removed or partially attached as a flap).
    Excluded from the scope are:
    <bullet> Paper sacks or bags that are of a \1/6\ or \1/7\ barrel 
size (i.e., 11.5-12.5 inches in width, 6.5-7.5 inches in depth, and 
13.5-17.5 inches in height) with flat paper handles or die-cut 
handles;
    <bullet> Paper sacks or bags with die-cut handles, a grams per 
square meter paper weight of less than 86 GSM, and a height of less 
than 11.5 inches; and
    <bullet> Paper sacks or bags (i) with non-paper handles made 
wholly of woven ribbon or other similar woven fabric \12\ and (ii) 
that are finished with folded tops or for which tied knots or t-bar 
aglets (made of wood, metal, or plastic) are used to secure the 
handles to the bags.
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    \12\ Paper sacks or bags with handles made of braided or twisted 
materials, such as rope or cord, do not qualify for this exclusion.
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    The above-referenced dimensions are provided for paper bags in 
the opened position. The height of the bag is the distance from the 
bottom fold edge to the top edge (i.e., excluding the height of 
handles that extend above the top edge). The depth of the bag is the 
distance from the front of the bag edge to the back of the bag edge 
(typically measured at the bottom of the bag). The width of the bag 
is measured from the left to the right edges of the front and back 
panels (upon which the handles typically are located).
    This merchandise is currently classifiable under Harmonized 
Tariff Schedule of the United States (HTSUS) subheadings 
4819.30.0040 and 4819.40.0040. The HTSUS subheadings are provided 
for convenience and customs purposes only; the written description 
of the scope is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Application of Facts Available and Use of Adverse Inferences
V. Discussion of the Methodology
VI. Currency Conversion
VII. Recommendation

[FR Doc. 2023-28941 Filed 1-2-24; 8:45 am]
BILLING CODE 3510-DS-P