[Federal Register Volume 86, Number 104 (Wednesday, June 2, 2021)]
[Notices]
[Pages 29562-29565]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-11539]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-051; C-570-052]


Certain Hardwood Plywood Products From the People's Republic of 
China: Final Results of Changed Circumstances Reviews, and Revocation 
of the Antidumping and Countervailing Duty Orders in Part

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

SUMMARY: The Department of Commerce (Commerce) is revoking, in part, 
the antidumping duty (AD) and countervailing duty (CVD) orders on 
certain hardwood plywood products (hardwood plywood) from the People's 
Republic of China (China) with respect to certain finished laminated 
veneer lumber (LVL) door stiles and rails.

DATES: Applicable June 2, 2021.

FOR FURTHER INFORMATION CONTACT: Nicolas Mayora, 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) 482-3053.

SUPPLEMENTARY INFORMATION:

Background

    On January 4, 2018, Commerce published the AD and CVD orders on 
hardwood plywood from China.\1\ On April 6, 2021, Commerce published 
the preliminary results of changed circumstances reviews (CCRs) and 
revocation, in part, of the Orders, pursuant to section 751(b)(1) of 
the Tariff Act of 1930, as amended (the Act) and 19 CFR 351.216(b), 
with respect to LVL door stiles and rails.\2\ We invited interested 
parties to comment on the Preliminary Results.
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    \1\ See Certain Hardwood Plywood Products from the People's 
Republic of China: Amended Final Determination of Sales at Less Than 
Fair Value, and Antidumping Duty Order, 83 FR 504 (January 4, 2018) 
(AD Order); and Certain Hardwood Plywood Products from the People's 
Republic of China: Countervailing Duty Order, 83 FR 513 (January 4, 
2018) (CVD Order) (collectively, the Orders).
    \2\ See Certain Hardwood Plywood Products from the People's 
Republic of China: Preliminary Results of Changed Circumstances 
Reviews, and Consideration of Revocation of the Antidumping and 
Countervailing Duty Orders in Part, 86 FR 17774 (April 6, 2021) 
(Preliminary Results).
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    On April 14, 2021, we received new factual information from MJB 
Wood Group LLC (MJB), a U.S. importer of the subject merchandise, which 
was placed on the record by MJB at Commerce's request.\3\ On April 20, 
2021, Commerce received comments from MJB and the petitioner \4\ in 
response to the Preliminary Results.\5\ On April 27, 2020, we received 
rebuttal comments from the petitioner.\6\
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    \3\ See MJB's Letter, ``Changed Circumstances Reviews of 
Hardwood Plywood Products from the People's Republic of China: New 
Factual Information,'' dated April 14, 2021 (MJB's NFI Letter).
    \4\ The petitioner is the Coalition for Fair Trade in Hardwood 
Plywood.
    \5\ See MJB's Letter, ``Changed Circumstances Reviews of 
Hardwood Plywood Products from the People's Republic of China: Case 
Brief on Preliminary Results,'' dated April 20, 2021 (MJB's 
Comments); see also Petitioner's Letter, ``Hardwood Plywood Products 
from the People's Republic of China: Comments in Response to the 
Department's Preliminary Results,'' dated April 20, 2021 
(Petitioner's Comments).
    \6\ See Petitioner's Letter, ``Hardwood Plywood Products from 
the People's Republic of China: Rebuttal Comments,'' dated April 27, 
2021.
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Final Results of Changed Circumstances Reviews, and Revocation of the 
Orders, in Part

    Because no party submitted comments opposing the Preliminary 
Results of these CCRs, and the record contains no further information 
or evidence that weighs against the proposed partial revocations, 
Commerce has determined, pursuant to sections 751(d)(1) and 782(h) of 
the Act, and 19 CFR 351.222(g), that there are changed circumstances 
that warrant revocation of the Orders, in part. Specifically, in light 
of the petitioner's statement of lack of interest, and the absence of 
comments from any interested party addressing the issue of domestic 
industry support, we find that producers accounting for substantially 
all of the production of the domestic like product to which the Orders 
pertain lack interest in the relief provided by the Orders with respect 
to LVL door stiles and rails. Accordingly, we are revoking the Orders, 
in part, with respect to certain door stiles and rails made of LVL that 
have a width not to exceed 50 millimeters, a thickness not to exceed 50 
millimeters, and a length of less than 2,450 millimeters. The scope 
description below includes this exclusion language.

Scope of the Orders

    The merchandise subject to these Orders is hardwood and decorative 
plywood, and certain veneered panels as described below. For purposes 
of this proceeding, hardwood and decorative plywood is defined as a 
generally flat, multilayered plywood or other veneered panel, 
consisting of two or more layers or plies of wood veneers and a core, 
with the face and/or back veneer made of non-coniferous wood (hardwood) 
or bamboo. The veneers, along with the core may be glued or otherwise 
bonded together. Hardwood and decorative plywood may include products 
that meet the American National Standard for Hardwood and Decorative 
Plywood, ANSI/HPVA HP-1-2016 (including any revisions to that 
standard).
    For purposes of this proceeding a ``veneer'' is a slice of wood 
regardless of thickness which is cut, sliced or sawed from a log, bolt, 
or flitch. The face and back veneers are the outermost veneer of wood 
on either side of the core irrespective of additional surface coatings 
or covers as described below.
    The core of hardwood and decorative plywood consists of the layer 
or layers of one or more material(s) that are situated between the face 
and back veneers. The core may be composed of a range of materials, 
including but not limited to hardwood, softwood, particleboard, or 
medium-density fiberboard (MDF).
    All hardwood plywood is included within the scope of these Orders 
regardless of whether or not the face and/or back veneers are surface 
coated or covered and whether or not such surface coating(s) or covers 
obscures the grain, textures, or markings of the wood. Examples of 
surface coatings and covers include, but are not limited to: Ultra 
violet light cured polyurethanes; oil or oil-modified or water based 
polyurethanes; wax; epoxy-ester finishes; moisture-cured urethanes; 
paints; stains; paper; aluminum; high pressure laminate; MDF; medium 
density overlay (MDO); and phenolic film. Additionally, the face veneer 
of hardwood plywood may be sanded; smoothed or given a ``distressed''

[[Page 29563]]

appearance through such methods as hand-scraping or wire brushing. All 
hardwood plywood is included within the scope even if it is trimmed; 
cut-to-size; notched; punched; drilled; or has underwent other forms of 
minor processing.
    All hardwood and decorative plywood is included within the scope of 
these Orders, without regard to dimension (overall thickness, thickness 
of face veneer, thickness of back veneer, thickness of core, thickness 
of inner veneers, width, or length). However, the most common panel 
sizes of hardwood and decorative plywood are 1219 x 1829 mm (48 x 72 
inches), 1219 x 2438 mm (48 x 96 inches), and 1219 x 3048 mm (48 x 120 
inches).
    Subject merchandise also includes hardwood and decorative plywood 
that has been further processed in a third country, including but not 
limited to trimming, cutting, notching, punching, drilling, or any 
other processing that would not otherwise remove the merchandise from 
the scope of the Orders if performed in the country of manufacture of 
the in-scope product.
    The scope of the Orders excludes the following items: (1) 
Structural plywood (also known as ``industrial plywood'' or 
``industrial panels'') that is manufactured to meet U.S. Products 
Standard PS 1-09, PS 2-09, or PS 2-10 for Structural Plywood (including 
any revisions to that standard or any substantially equivalent 
international standard intended for structural plywood), and which has 
both a face and a back veneer of coniferous wood; (2) products which 
have a face and back veneer of cork; (3) multilayered wood flooring, as 
described in the antidumping duty and countervailing duty orders on 
Multilayered Wood Flooring from the People's Republic of China, Import 
Administration, International Trade Administration. See Multilayered 
Wood Flooring from the People's Republic of China, 76 FR 76690 
(December 8, 2011) (amended final determination of sales at less than 
fair value and antidumping duty order), and Multilayered Wood Flooring 
from the People's Republic of China, 76 FR 76693 (December 8, 2011) 
(countervailing duty order), as amended by Multilayered Wood Flooring 
from the People's Republic of China: Amended Antidumping and 
Countervailing Duty Orders, 77 FR 5484 (February 3, 2012); (4) 
multilayered wood flooring with a face veneer of bamboo or composed 
entirely of bamboo; (5) plywood which has a shape or design other than 
a flat panel, with the exception of any minor processing described 
above; (6) products made entirely from bamboo and adhesives (also known 
as ``solid bamboo''); and (7) Phenolic Film Faced Plyform (PFF), also 
known as Phenolic Surface Film Plywood (PSF), defined as a panel with 
an ``Exterior'' or ``Exposure 1'' bond classification as is defined by 
The Engineered Wood Association, having an opaque phenolic film layer 
with a weight equal to or greater than 90g/m3 permanently bonded on 
both the face and back veneers and an opaque, moisture resistant 
coating applied to the edges.
    Excluded from the scope of these Orders are wooden furniture goods 
that, at the time of importation, are fully assembled and are ready for 
their intended uses. Also excluded from the scope of these Orders is 
``ready to assemble'' (RTA) furniture. RTA furniture is defined as (A) 
furniture packaged for sale for ultimate purchase by an end-user that, 
at the time of importation, includes (1) all wooden components (in 
finished form) required to assemble a finished unit of furniture, (2) 
all accessory parts (e.g., screws, washers, dowels, nails, handles, 
knobs, adhesive glues) required to assemble a finished unit of 
furniture, and (3) instructions providing guidance on the assembly of a 
finished unit of furniture; (B) unassembled bathroom vanity cabinets, 
having a space for one or more sinks, that are imported with all 
unassembled hardwood and hardwood plywood components that have been 
cut-to-final dimensional component shape/size, painted or stained prior 
to importation, and stacked within a singled shipping package, except 
for furniture feet which may be packed and shipped separately; or (C) 
unassembled bathroom vanity linen closets that are imported with all 
unassembled hardwood and hardwood plywood components that have been 
cut-to-final dimensional shape/size, painted or stained prior to 
importation, and stacked within a single shipping package, except for 
furniture feet which may be packed and shipped separately.
    Excluded from the scope of these Orders are kitchen cabinets that, 
at the time of importation, are fully assembled and are ready for their 
intended uses. Also excluded from the scope of these Orders are RTA 
kitchen cabinets. RTA kitchen cabinets are defined as kitchen cabinets 
packaged for sale for ultimate purchase by an end-user that, at the 
time of importation, includes (1) all wooden components (in finished 
form) required to assemble a finished unit of cabinetry, (2) all 
accessory parts (e.g., screws, washers, dowels, nails, handles, knobs, 
hooks, adhesive glues) required to assemble a finished unit of 
cabinetry, and (3) instructions providing guidance on the assembly of a 
finished unit of cabinetry.
    Excluded from the scope of these Orders are finished table tops, 
which are table tops imported in finished form with pre-cut or drilled 
openings to attach the underframe or legs. The table tops are ready for 
use at the time of import and require no further finishing or 
processing.
    Excluded from the scope of these Orders are finished countertops 
that are imported in finished form and require no further finishing or 
manufacturing.
    Excluded from the scope of these Orders are laminated veneer lumber 
(LVL) door and window components with (1) a maximum width of 44 
millimeters, a thickness from 30 millimeters to 72 millimeters, and a 
length of less than 2413 millimeters (2) water boiling point exterior 
adhesive, (3) a modulus of elasticity of 1,500,000 pounds per square 
inch or higher, (4) finger-jointed or lap-jointed core veneer with all 
layers oriented so that the grain is running parallel or with no more 
than 3 dispersed layers of veneer oriented with the grain running 
perpendicular to the other layers; and (5) top layer machined with a 
curved edge and one or more profile channels throughout.
    Excluded from the scope of these Orders are certain door stiles and 
rails made of LVL that have a width not to exceed 50 millimeters, a 
thickness not to exceed 50 millimeters, and a length of less than 2,450 
millimeters.
    Imports of hardwood plywood are primarily entered under the 
following Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings: 4412.10.0500; 4412.31.0520; 4412.31.0540; 4412.31.0560; 
4412.31.0620; 4412.31.0640; 4412.31.0660; 4412.31.2510; 4412.31.2520; 
4412.31.2610; 4412.31.2620; 4412.31.4040; 4412.31.4050; 4412.31.4060; 
4412.31.4075; 4412.31.4080; 4412.31.4140; 4412.31.4150; 4412.31.4160; 
4412.31.4180; 4412.31.5125; 4412.31.5135; 4412.31.5155; 4412.31.5165; 
4412.31.5175; 4412.31.5235; 4412.31.5255; 4412.31.5265; 4412.31.5275; 
4412.31.6000; 4412.31.6100; 4412.31.9100; 4412.31.9200; 4412.32.0520; 
4412.32.0540; 4412.32.0565; 4412.32.0570; 4412.32.0620; 4412.32.0640; 
4412.32.0670; 4412.32.2510; 4412.32.2525; 4412.32.2530; 4412.32.2610; 
4412.32.2630; 4412.32.3125; 4412.32.3135; 4412.32.3155; 4412.32.3165; 
4412.32.3175; 4412.32.3185; 4412.32.3235; 4412.32.3255; 4412.32.3265;

[[Page 29564]]

4412.32.3275; 4412.32.3285; 4412.32.5600; 4412.32.3235; 4412.32.3255; 
4412.32.3265; 4412.32.3275; 4412.32.3285; 4412.32.5700; 4412.94.1030; 
4412.94.1050; 4412.94.3105; 4412.94.3111; 4412.94.3121; 4412.94.3141; 
4412.94.3161; 4412.94.3175; 4412.94.4100; 4412.99.0600; 4412.99.1020; 
4412.99.1030; 4412.99.1040; 4412.99.3110; 4412.99.3120; 4412.99.3130; 
4412.99.3140; 4412.99.3150; 4412.99.3160; 4412.99.3170; 4412.99.4100; 
4412.99.5115; and 4412.99.5710.
    Imports of hardwood plywood may also enter under HTSUS subheadings 
4412.99.6000; 4412.99.7000; 4412.99.8000; 4412.99.9000; 4412.10.9000; 
4412.94.5100; 4412.94.9500; and 4412.99.9500. While the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of these Orders is dispositive.

Application of the Final Results of These Reviews

    MJB and the petitioner have requested retroactive application of 
the final results of these reviews starting April 25, 2017, for the 
purposes of the CVD Order, and June 23, 2017, for purposes of the AD 
Order,\7\ i.e., the dates that the preliminary determinations in the AD 
and CVD investigations published in the Federal Register. Section 
751(d)(3) of the Act provides that ``{a{time}  determination under this 
section to revoke an order . . . shall apply with respect to 
unliquidated entries of the subject merchandise which are entered, or 
withdrawn from warehouse, for consumption on or after the date 
determined by the administering authority.'' Consistently, Commerce's 
general practice is to instruct the U.S. Customs and Border Protection 
(CBP) to liquidate without regard to AD and CVD duties, and to refund 
any estimated deposits of those duties, on all unliquidated entries of 
the merchandise covered by a revocation that are not covered by the 
final results of an administrative review or automatic liquidation.\8\
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    \7\ See MJB's Comments at 2 and Petitioner's Comments at 2.
    \8\ See, e.g., Certain Pasta from Italy: Final Results of 
Countervailing Duty Changed Circumstances Review and Revocation, In 
Part, 76 FR 27634 (May 12, 2011); Stainless Steel Bar from the 
United Kingdom: Notice of Final Results of Changed Circumstances 
Review and Revocation of Order, in Part, 72 FR 65706 (November 23, 
2007); Notice of Final Results of Antidumping Duty Changed 
Circumstances Review and Revocation of Order In Part: Certain 
Corrosion-Resistant Carbon Steel Flat Products from Germany, 71 FR 
66163 (November 13, 2006); Notice of Final Results of Antidumping 
Duty Changed Circumstances Reviews and Revocation of Orders in Part: 
Certain Corrosion-Resistant Carbon Steel Flat Products from Canada 
and Germany, 71 FR 14498 (March 22, 2006); and Notice of Final 
Results of Antidumping Duty Changed Circumstances Review, and 
Determination to Revoke Order in Part: Certain Cased Pencils from 
the People's Republic of China, 68 FR 62428 (November 4, 2003).
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    However, Commerce has exercised its discretion and deviated from 
this general practice if the particular facts of the case have 
implications for the effective date of the partial revocation selected 
by Commerce.\9\ Specifically, when selecting the effective date for the 
partial revocation, Commerce has considered factors such as the 
effective date proposed by the petitioner (and/or the effective date 
agreed to by all parties),\10\ the existence of unliquidated entries 
dating back to the requested effective date,\11\ whether an interested 
party requested the effective date of the revocation,\12\ and whether 
the requested effective date creates potential administrability issues 
(e.g., the products covered by the partial revocation are in the sales 
database used in the dumping margin calculations for a completed 
administrative review with a period of review that overlaps with date 
requested).\13\
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    \9\ See section 751(d)(3) of the Act; and Itochu Building 
Products v. United States, 2014 WL 1363999, at *6 (CIT April 8, 
2014) (Itochu Bldg. Prod) (``The statutory provision, as discussed 
above, provides Commerce with discretion in the selection of the 
effective date for a partial revocation following a changed 
circumstances review, but that discretion may not be exercised 
arbitrarily so as to decide the question presented without 
considering the relevant and competing considerations'').
    \10\ See, e.g., Carbon and Certain Alloy Steel Wire Rod from 
Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, and 
Ukraine: Final Results of Changed Circumstances Review, 68 FR 64079 
(November 12, 2003); and Stainless Steel Hollow Products from 
Sweden; Termination of Antidumping Duty Administrative Reviews, 
Final Results of Changed Circumstances Antidumping Duty 
Administrative Review, and Revocation In Part of Antidumping Duty 
Order, 60 FR 42529 (August 16, 1995).
    \11\ See Steel Wire Garment Hangers from the People's Republic 
of China: Final Results of Changed Circumstances Review, and 
Revocation in Part of Antidumping Duty Order, 74 FR 50956 (October 
2, 2009); Notice of Final Results of Antidumping Duty Changed 
Circumstances Review, and Determination To Revoke Order in Part; 
Certain Cased Pencils from the People's Republic of China, 71 FR 
13352 (March 15, 2006); and Stainless Steel Sheet and Strip in Coils 
from Japan: Final Results of Changed Circumstance Antidumping Duty 
Review, and Determination To Revoke Order in Part), 65 FR 77578 
(December 12, 2000).
    \12\ See Large Newspaper Printing Presses and Components 
Thereof, Whether Assembled or Unassembled, from Japan: Final Results 
of Changed Circumstances Antidumping Duty Administrative Review and 
Intent To Revoke Antidumping Duty Order, In Part, 64 FR 72315 
(December 27, 1999).
    \13\ See Itochu Bldg. Prods., 2014 WL 1363999, at *6.
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    The petitioner and MJB requested retroactive application of the 
final results of these reviews starting April 25, 2017, for purposes of 
the CVD Order, and June 23, 2017, for purposes of the AD Order.\14\ 
Both parties note that they are not aware of any unliquidated entries 
or pending administrative reviews that would complicate Commerce's 
implementation of the revocations.\15\ The petitioner also states that 
it is not aware of any policy or legal considerations that would bar 
Commerce from selecting the full revocation dates, as requested.\16\ 
The petitioner and MJB further claim that not implementing the 
effective dates of the CCRs as requested would cause unnecessary harm 
to MJB.\17\ No other parties commented in response to the request for 
public comment on the effective revocation dates in the Initiation 
Notice or in our Preliminary Results.\18\
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    \14\ See Petitioner's Comments at 1 and MJB's Comments at 2.
    \15\ See Petitioner's Comments at 2; see also MJB's Comments at 
4; and MJB's NFI Letter at 4.
    \16\ See Petitioner's Comments at 3.
    \17\ See Petitioner's Comments at 2; see also MJB's Comments at 
4; and MJB's NFI Letter at 4.
    \18\ See Certain Hardwood Plywood Products from the People's 
Republic of China: Initiation of Antidumping Duty and Countervailing 
Duty Changed Circumstances Reviews, 86 FR 8766 (February 9, 2021) 
(Initiation Notice) (requesting interested parties to comment on 
these CCRs, including ``comments on industry support, the proposed 
partial revocation language, and whether any of their entries are 
covered by this revocation request but enjoined from liquidation due 
to an injunction issued in ongoing litigation''); see also 
Preliminary Results, 86 FR at 17775-76 (stating, inter alia, that no 
interested party notified Commerce of any unliquidated entries that 
are covered by the revocation request but enjoined from liquidation 
due to an injunction issued in ongoing litigation).
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    We find, based on the facts in this case, that it is appropriate to 
apply these partial revocations retroactively to unliquidated entries 
that were entered or withdrawn from warehouse, for consumption, on or 
after April 25, 2017, for the CVD Order, and June 23, 2017, for the AD 
Order, i.e., the effective dates of the preliminary determinations in 
the AD and CVD investigations. We have determined based on the 
available information that there are no administrability concerns with 
using the effective dates as requested by the petitioner and MJB. 
Commerce is also not currently aware of any unliquidated entries that 
would complicate Commerce's implementation of these revocations. 
Accordingly, we are exercising our discretion, based on the particular 
circumstances in these CCRs, to make the effective dates of these CCRs 
April 25, 2017, for the purposes of the CVD Order and June 23, 2017, 
for the purposes of the AD Order.

[[Page 29565]]

Instructions to CBP

    Because we determine that there are changed circumstances that 
warrant the revocation of the Orders, in part, we will instruct CBP to 
liquidate without regard to AD and CVD duties, and to refund any 
estimated AD and CVD duties, on all unliquidated entries of the 
merchandise covered by these partial revocations effective April 25, 
2017, for purposes of the CVD Order and June 23, 2017, for purposes of 
the AD Order. Consistent with its recent notice,\19\ Commerce intends 
to issue assessment instructions to CBP no earlier than 35 days after 
the date of publication of these final results in the Federal Register. 
If a timely summons is filed at the U.S. Court of International Trade, 
the assessment instructions will direct CBP not to liquidate relevant 
entries until the time for parties to file a request for a statutory 
injunction has expired (i.e., within 90 days of publication).
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    \19\ See Notice of Discontinuation of Policy to Issue 
Liquidation Instructions After 15 Days in Applicable Antidumping and 
Countervailing Duly Administrative Proceedings, 86 FR 3995 (January 
15, 2021).
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Notification to Interested Parties

    This notice serves as a final reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition 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 the APO is a sanctionable violation.
    We are issuing and publishing these final results and revocation, 
in part, and notice in accordance with sections 751(b) and 777(i) of 
the Act and 19 CFR 351.216, 19 CFR 351.222(c)(3), and 19 CFR 351.222.

    Dated: May 25, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2021-11539 Filed 6-1-21; 8:45 am]
BILLING CODE 3510-DS-P