[Federal Register Volume 86, Number 168 (Thursday, September 2, 2021)]
[Notices]
[Pages 49299-49302]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-18969]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-899]


Granular Polytetrafluoroethylene Resin From India: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value, Preliminary 
Affirmative Determination of Critical Circumstances, Postponement of 
Final Determination, and Extension of Provisional Measures

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that granular polytetrafluoroethylene (PTFE) resin from India is being, 
or is likely to be, sold in the United States at less than fair value 
(LTFV). The period of investigation (POI) is January 1, 2020,

[[Page 49300]]

through December 31, 2020. Interested parties are invited to comment on 
this preliminary determination.

DATES: Applicable September 2, 2021.

FOR FURTHER INFORMATION CONTACT: Alexis Cherry or Katherine Johnson, 
AD/CVD Operations, Office VIII, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-0607 
or (202) 482-4929, respectively.

SUPPLEMENTARY INFORMATION:

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 on February 
23, 2021.\1\ On June 11, 2021, Commerce postponed the preliminary 
determination of this investigation and the deadline is now August 25, 
2021.\2\ For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics included 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 http://enforcement.trade.gov/frn/.
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    \1\ See Granular Polytetrafluoroethylene Resin from India and 
the Russian Federation: Initiation of Less-Than-Fair-Value 
Investigations, 86 FR 10926 (February 23, 2021) (Initiation Notice).
    \2\ See Granular Polytetrafluoroethylene Resin from India and 
the Russian Federation: Postponement of Preliminary Determinations 
in the Less-Than-Fair-Value Investigations, 86 FR 31276 (June 11, 
2021).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Granular 
Polytetrafluoroethylene Resin from India,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Scope of the Investigation

    The product covered by this investigation is granular PTFE resin 
from India. 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 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 this investigation, as published in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttals submitted to the record for this investigation, and 
accompanying discussion of all comments timely received, see the 
Preliminary Scope Decision Memorandum.\6\ As discussed in the 
Preliminary Scope Decision Memorandum, Commerce is not preliminarily 
modifying the scope language as it appeared in the Initiation Notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \5\ See Initiation Notice.
    \6\ See Memorandum, ``Granular Polytetrafluoroethylene Resin 
from India and the Russian Federation: Comments on Scope of 
Investigations,'' dated June 28, 2021 (Preliminary Scope Decision 
Memorandum).
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    No scope case briefs were received prior to the deadline 
established in the Preliminary Scope Decision Memorandum.\7\ There will 
be no further opportunity for comments on scope-related issues.\8\
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    \7\ Id. at 1.
    \8\ Case briefs, other written comments, and rebuttal briefs 
submitted in response to this preliminary LTFV determination should 
not include scope-related issues. See Preliminary Scope Decision 
Memorandum; see also ``Public Comment'' section of this notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce has calculated export prices in 
accordance with section 772(a) of the Act. Constructed export prices 
have been calculated in accordance with section 772(b) of the Act. 
Normal value (NV) is calculated in accordance with section 773 of the 
Act. For a full description of the methodology underlying the 
preliminary determination, see the Preliminary Decision Memorandum.

Preliminary Affirmative Determination of Critical Circumstances

    On June 8, 2021, the petitioner \9\ timely filed a critical 
circumstances allegation, pursuant to section 733(e)(1) of the Act and 
19 CFR 351.206(c)(1), alleging that critical circumstances exist with 
respect to imports of granular PTFE resin from India.\10\ In accordance 
with section 733(e) of the Act and 19 CFR 351.206, Commerce 
preliminarily determines that critical circumstances exist with respect 
to imports of granular PTFE resin from India produced and exported by 
Gujarat Fluorochemicals Limited (GFCL). Furthermore, we preliminarily 
determine that critical circumstances exist with respect to imports of 
granular PTFE resin from India produced and exported by all other 
producers and exporters. For a full description of Commerce's 
preliminary critical circumstances determination, see the Preliminary 
Decision Memorandum.
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    \9\ The petitioner is Daikin America, Inc.
    \10\ See Petitioner's Letter, ``Allegation of the Existence of 
Critical Circumstances,'' dated June 8, 2021; see also Petitioner's 
Letter, ``Critical Circumstances Addendum,'' dated June 16, 2021.
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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 calculated an individual estimated 
weighted-average dumping margin for GFCL, the only individually 
examined exporter/producer in this investigation. Because the only 
individually calculated dumping margin is not zero, de minimis, or 
based entirely on facts otherwise available, the estimated weighted-
average dumping margin calculated for GFCL is the margin assigned to 
all other producers and exporters, pursuant to section 735(c)(5)(A) of 
the Act.

Preliminary Determination

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

[[Page 49301]]



------------------------------------------------------------------------
                                             Estimated     Cash deposit
                                             weighted-    rate (adjusted
            Exporter/producer                 average       for subsidy
                                          dumping margin    offset(s))
                                             (percent)       (percent)
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Gujarat Fluorochemicals Limited.........           13.09           10.01
All Others..............................           13.09           10.01
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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 respondent 
listed above will be equal to the company-specific estimated 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.
    Section 733(e)(2) of the Act provides that, given an affirmative 
determination of critical circumstances, any suspension of liquidation 
shall apply to unliquidated entries of subject merchandise entered, or 
withdrawn from warehouse, for consumption on or after the later of (a) 
the date which is 90 days before the date on which the suspension of 
liquidation was first ordered, or (b) the date on which notice of 
initiation of the investigation was published. As noted above, Commerce 
preliminarily finds that critical circumstances exist for imports of 
subject merchandise produced or exported by GFCL and all other 
producers or exporters. In accordance with section 733(e)(2)(A) of the 
Act, the suspension of liquidation shall apply to unliquidated entries 
of shipments of subject merchandise from the producers or exporters 
identified in this paragraph that were entered, or withdrawn from 
warehouse, for consumption on or after the date which is 90 days before 
the publication of this notice.
    Commerce normally adjusts cash deposits for estimated antidumping 
duties by the amount of export subsidies countervailed in a companion 
countervailing duty (CVD) proceeding, when CVD provisional measures are 
in effect. Accordingly, where Commerce preliminarily made an 
affirmative determination for countervailable export subsidies, 
Commerce has offset the estimated weighted-average dumping margin by 
the appropriate CVD rate(s).\11\ Any such adjusted cash deposit rate 
may be found in the ``Preliminary Determination'' section above.\12\
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    \11\ See, e.g., Polyester Textured Yarn from India: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value and 
Postponement of Final Determination and Extension of Provisional 
Measures, 84 FR 31301 (July 1, 2019), unchanged in Polyester 
Textured Yarn from India: Final Determination of Sales at Less Than 
Fair Value, 84 FR 63843 (November 19, 2019).
    \12\ See Preliminary Decision Memorandum for further discussion.
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    Should provisional measures in the companion CVD investigation 
expire prior to the expiration of provisional measures in this LTFV 
investigation, Commerce will direct CBP to begin collecting estimated 
antidumping duty cash deposits unadjusted for countervailed export 
subsidies at the time that the provisional CVD measures expire. These 
suspension of liquidation instructions will remain in effect until 
further notice.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
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).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination. 
Normally, Commerce verifies information using standard procedures, 
including an on-site examination of original accounting, financial, and 
sales documentation. However, due to current travel restrictions in 
response to the global COVID-19 pandemic, Commerce is unable to conduct 
on-site verification in this investigation. Accordingly, we intend to 
verify the information relied upon in making the final determination 
through alternative means in lieu of an on-site verification.

Public Comment

    Case briefs or other written comments on non-scope issues may be 
submitted to the Assistant Secretary for Enforcement and Compliance. 
Interested parties will be notified of the timeline for the submission 
of such case briefs and written comments at a later date. Rebuttal 
briefs, limited to issues raised in these case briefs, may be submitted 
no later than seven days after the deadline date for case briefs.\13\ 
Note that Commerce has modified certain of its requirements for serving 
documents containing business proprietary information until further 
notice.\14\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who 
submit case briefs or rebuttal briefs in this investigation are 
encouraged to submit with each argument: (1) A statement of the issue; 
(2) a brief summary of the argument; and (3) a table of authorities.
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    \13\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \14\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 17006 (March 26, 2020); and Temporary Rule 
Modifying AD/CVD Service Requirements Due to COVID-19; Extension of 
Effective Period, 85 FR 41363 (July 10, 2020) (collectively, 
Temporary 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 by telephone the date, time, and

[[Page 49302]]

location of the hearing two days before the scheduled date.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioner. Section 351.210(e)(2) of Commerce's regulations 
requires that a request by exporters for postponement of the final 
determination be accompanied by a request for extension of provisional 
measures from a four-month period to a period not more than six months 
in duration.
    On August 5, 2021, pursuant to 19 CFR 351.210(e), GFCL requested 
that Commerce postpone the final determination and that provisional 
measures be extended to a period not to exceed six months.\15\ In 
accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii) and (e)(2), because: (1) The preliminary 
determination is affirmative; (2) the requesting exporter accounts for 
a significant proportion of exports of the subject merchandise; and (3) 
no compelling reasons for denial exist, Commerce is postponing the 
final determination and extending the provisional measures from a four-
month period to a period not greater than six months. Accordingly, 
Commerce will make its final determination no later than 135 days after 
the date of publication of this preliminary determination.
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    \15\ See GFCL's Letter, ``Gujarat Fluorochemicals Limited's 
Request to Postpone Final Determination,'' dated August 5, 2021.
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International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its preliminary 
determination. 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 these imports 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) and 19 
CFR 351.210(g).

    Dated: August 25, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The product covered by this investigation is granular 
polytetrafluoroethylene (PTFE) resin. PTFE is covered by the scope 
of this investigation whether filled or unfilled, whether or not 
modified, and whether or not containing co-polymer, additives, 
pigments, or other materials. Also included is PTFE wet raw polymer. 
The chemical formula for PTFE is C2F4, and the Chemical Abstracts 
Service Registry number is 9002-84-0.
    Subject merchandise includes material matching the above 
description that has been finished, packaged, or otherwise processed 
in a third country, including by filling, modifying, compounding, 
packaging with another product, or performing any other finishing, 
packaging, or processing that would not otherwise remove the 
merchandise from the scope of the investigation if performed in the 
country of manufacture of the granular PTFE.
    The product covered by this investigation does not include 
dispersion or coagulated dispersion (also known as fine powder) 
PTFE.
    PTFE further processed into micropowder, having particle size 
typically ranging from 1 to 25 microns, and a melt-flow rate no less 
than 0.1 gram/10 minutes, is excluded from the scope of this 
investigation.
    Granular PTFE is classified in the Harmonized Tariff Schedule of 
the United States (HTSUS) under subheading 3904.61.0010. Subject 
merchandise may also be classified under HTSUS subheading 
3904.69.5000. Although the HTSUS subheadings and CAS Number are 
provided for convenience and Customs purposes, 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. Discussion of the Methodology
V. Adjustment to Cash Deposit Rate for Export Subsidies
VI. Affirmative Preliminary Determination of Critical Circumstances
VII. Currency Conversion
VIII. Recommendation

[FR Doc. 2021-18969 Filed 9-1-21; 8:45 am]
BILLING CODE 3510-DS-P