Common Alloy Aluminum Sheet From The Republic of Turkey: Preliminary Affirmative Countervailing Duty Determination, Preliminary Affirmative Determination of Critical Circumstances in Part, and Alignment of Final Determination With Final Antidumping Duty Determination

Published date14 August 2020
Citation85 FR 49629
Record Number2020-17810
SectionNotices
CourtInternational Trade Administration
Federal Register, Volume 85 Issue 158 (Friday, August 14, 2020)
[Federal Register Volume 85, Number 158 (Friday, August 14, 2020)]
                [Notices]
                [Pages 49629-49631]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2020-17810]
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                DEPARTMENT OF COMMERCE
                International Trade Administration
                [C-489-840]
                Common Alloy Aluminum Sheet From The Republic of Turkey:
                Preliminary Affirmative Countervailing Duty Determination, Preliminary
                Affirmative Determination of Critical Circumstances in Part, and
                Alignment of Final Determination With Final Antidumping Duty
                Determination
                AGENCY: Enforcement and Compliance, International Trade Administration,
                Department of Commerce.
                SUMMARY: The Department of Commerce (Commerce) preliminarily determines
                that countervailable subsidies are being provided to producers and
                exporters of common alloy aluminum sheet (aluminum sheet) from The
                Republic of Turkey (Turkey). The period of investigation is January 1,
                2019 through December 31, 2019. Interested parties are invited to
                comment on this preliminary determination.
                DATES: Applicable August 14, 2020.
                FOR FURTHER INFORMATION CONTACT: Gene H. Calvert, AD/CVD Operations,
                Office VII, Enforcement and Compliance, International Trade
                Administration, U.S. Department of Commerce, 1401 Constitution Avenue
                NW, Washington, DC 20230; telephone: (202) 482-3586.
                SUPPLEMENTARY INFORMATION:
                Background
                 This preliminary determination is made in accordance with section
                703(b) of the Tariff Act of 1930, as amended (the Act). Commerce
                published the notice of initiation of this investigation on April 7,
                2020.\1\ On May 19, 2020, Commerce postponed the preliminary
                determination of this investigation and the revised deadline is now
                August 7, 2020.\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 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 http://access.trade.gov. In
                addition, a complete version of the Preliminary Decision Memorandum can
                be accessed directly at http://enforcement.trade.gov/frn/. The signed
                and electronic versions of the Preliminary Decision Memorandum are
                identical in content.
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                 \1\ See Common Alloy Aluminum Sheet from Bahrain, Brazil, India,
                and the Republic of Turkey: Initiation of Countervailing Duty
                Investigations, 85 FR 19449 (April 7, 2020) (Initiation Notice).
                 \2\ See Common Alloy Aluminum Sheet from Bahrain, Brazil, India,
                and the Republic of Turkey: Postponement of Preliminary
                Determinations in the Countervailing Duty Investigations, 85 FR
                29930 (May 19, 2020).
                 \3\ See Memorandum, ``Decision Memorandum for the Preliminary
                Affirmative Determination in the Countervailing Duty Investigation
                of Common Alloy Aluminum Sheet from the Republic of Turkey,'' 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 common alloy aluminum
                sheet from Turkey. 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\ we
                set aside a period of time, as stated in the Initiation Notice, for
                parties to raise issues regarding product coverage (i.e., scope).\5\ We
                received several comments concerning the scope of the antidumping duty
                (AD) and countervailing duty (CVD) investigations of aluminum sheet as
                it appeared in the Initiation Notice. We are currently evaluating the
                scope comments filed by the interested parties. We intend to issue our
                preliminary decision regarding the scope of the AD and CVD
                investigations in the preliminary determinations of the companion AD
                investigations, the deadline for which is October 6, 2020.\6\ We will
                incorporate the scope decisions from the AD investigations into the
                scope of the final CVD determination for this investigation after
                considering any relevant comments submitted in scope case and rebuttal
                briefs.\7\
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                 \4\ See Antidumping Duties; Countervailing Duties, Final Rule,
                62 FR 27296, 27323 (May 19, 1997) (Preamble).
                 \5\ See Initiation Notice, 85 FR at 19450.
                 \6\ See 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 the Republic of Turkey: Postponement of Preliminary
                Determinations in the Less-Than-Fair-Value Investigations, 85 FR
                45576, 45577 (July 29, 2020).
                 \7\ The deadline for interested parties to submit scope case and
                rebuttal briefs will be established in the preliminary scope
                decision memorandum.
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                Methodology
                 Commerce is conducting this investigation in accordance with
                section 701 of the Act. For each of the subsidy programs found
                countervailable, Commerce preliminarily determines
                [[Page 49630]]
                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.\8\
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                 \8\ 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.
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                 Commerce notes that, in making these findings, it relied, in part,
                on facts available and, because Commerce finds that one or more
                respondents did not act to the best of their ability to respond to
                Commerce's requests for information, Commerce drew an adverse inference
                where appropriate in selecting from among the facts otherwise
                available.\9\ For further information, see ``Use of Facts Otherwise
                Available and Application of Adverse Inferences'' in the Preliminary
                Decision Memorandum.
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                 \9\ See sections 776(a) and (b) of the Act.
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                Alignment
                 As noted in the Preliminary Decision Memorandum, in accordance with
                section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is
                aligning the final CVD determination in this investigation with the
                final determination in the companion AD investigation of aluminum sheet
                from Turkey based on a request made by the Aluminum Association Common
                Alloy Aluminum Sheet Trade Enforcement Working Group and its individual
                members, Aleris Rolled Products, Inc., Arconic, Inc., Constellium
                Rolled Products Ravenswood, LLC, JW Aluminum Company, Novelis
                Corporation, and Texarkana Aluminum, Inc. (the petitioners).\10\
                Consequently, the final CVD determination will be issued on the same
                date as the final AD determination, which is currently scheduled to be
                issued no later than December 21, 2020, unless postponed.
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                 \10\ See Petitioners' Letter, ``Countervailing Duty
                Investigations of Common Alloy Aluminum Sheet from Bahrain, Brazil,
                India, and the Republic of Turkey--Petitioners' Request to Align
                Final Countervailing Duty Determinations with the Companion
                Antidumping Duty Final Determinations,'' dated July 17, 2020.
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                Preliminary Affirmative Determination of Critical Circumstances, in
                Part
                 In accordance with section 703(e)(1) of the Act, Commerce
                preliminarily determines that critical circumstances exist with respect
                to imports of aluminum sheet from Turkey for Assan Aluminyum Sanayi ve
                Ticaret A.S. (Assan), but do not exist with respect to Teknik Aluminyum
                Sanayi A.S. (Teknik) or for all other exporters or producers not
                individually examined. For a full description of the methodology and
                results of Commerce's analysis, see the Preliminary Decision
                Memorandum.
                All-Others Rate
                 Sections 703(d) and 705(c)(5)(A) of the Act provide that in the
                preliminary 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
                zero and de minimis rates and any rates based entirely under section
                776 of the Act.
                 In this investigation, Commerce preliminarily found a de minimis
                rate for Teknik. Therefore, the only rate that is not zero, de minimis,
                or based entirely on facts otherwise available is the rate calculated
                for Assan. Consequently, the rate calculated for Assan is also assigned
                as the rate for all other producers and exporters.
                Preliminary Determination
                 Consistent with section 703(b)(4)(A) of the Act, Commerce has
                disregarded Teknik's de minimis rate. Commerce preliminarily determines
                that the following estimated countervailable subsidy rates exist:
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                 \11\ As discussed in the Preliminary Decision Memorandum,
                Commerce has preliminarily found Kibar Dis Ticaret A.S. (Kibar Dis)
                and Kibar Holding to be cross-owned, pursuant to 19 CFR
                351.525(b)(6)(vi), with Assan Aluminyum Sanayi ve Ticaret A.S.
                 \12\ Commerce has preliminarily found TAC Metal Ticaret A.S.
                (TAC Metal) to be cross-owned with Teknik Aluminyum Sanayi A.S. See
                the Preliminary Decision Memorandum.
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                 Subsidy rate
                 Company (ad valorem)
                 (percent)
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                Assan Aluminyum Sanayi ve Ticaret A.S.\11\.............. 3.15
                Teknik Aluminyum Sanayi A.S.\12\........................ 0.07
                All Others.............................................. 3.15
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                (de minimis).
                Suspension of Liquidation
                 In accordance with section 703(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 the scope of the
                investigation 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 703(d)(1)(B) of the Act and 19
                CFR 351.205(d), Commerce will instruct CBP to require a cash deposit
                equal to the rates indicated above. Because the subsidy rate for Teknik
                is de minimis, Commerce intends to direct CBP not to suspend
                liquidation of entries of the merchandise produced by Teknik and
                exported by either Teknik or by TAC Metal. However, entries of subject
                merchandise in any other producer/exporter combination, e.g.,
                merchandise produced by a third party and exported by either Teknik or
                by TAC Metal, are subject to cash deposit requirements at the all-
                others rate.
                 Section 703(e)(2) of the Act provides that, given an affirmative
                determination of critical circumstances, any suspension of liquidation
                shall apply to unliquidated entries of 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 the notice of
                initiation of the investigation was published. Commerce preliminarily
                finds that critical circumstances exist for imports of aluminum sheet
                from Turkey for Assan. In accordance with section 703(e)(2)(A) of the
                Act, the suspension of liquidation shall apply to unliquidated entries
                of subject merchandise from Assan that were entered, or withdrawn from
                warehouse, for consumption on or after the date which is 90 days before
                the publication of this notice.
                Disclosure
                 Commerce intends to disclose its calculations and analysis
                performed to interested parties in this preliminary determination
                within five days of its public announcement, or if there is no public
                announcement, within five days of the date 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.
                Public Comment
                 All interested parties will have the opportunity to submit case and
                rebuttal briefs on the preliminary scope determination. The deadline to
                submit these comments will be established in the preliminary scope
                decision memorandum. Scope rebuttal briefs (which are limited to issues
                raised in the scope briefs) may be submitted no later than seven days
                after the deadline for the scope briefs. These deadlines apply to the
                AD and CVD aluminum sheet investigations, regardless of the deadlines
                of the preliminary determinations in the AD investigations.
                [[Page 49631]]
                For all scope briefs and rebuttals thereto, parties must file identical
                documents simultaneously on the records of all the ongoing AD and CVD
                aluminum sheet investigations. No new factual information or business
                proprietary information may be included in either scope briefs or
                rebuttal scope briefs.
                 Case briefs or other written comments on non-scope matters 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 no later than seven days
                after the deadline date for case briefs.\13\ 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; Extension of Effective Period, 85 FR 41363 (July
                10, 2020).
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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 date and time to be
                determined. Parties should confirm by telephone the date, time, and
                location of the hearing two days before the scheduled date.
                International Trade Commission Notification
                 In accordance with section 703(f) of the Act, Commerce will notify
                the International Trade Commission (ITC) of its 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.
                Notification to Interested Parties
                 This determination is issued and published pursuant to sections
                703(f) and 777(i) of the Act and 19 CFR 351.205(c).
                 Dated: August 7, 2020.
                Jeffrey I. Kessler,
                Assistant Secretary for Enforcement and Compliance.
                Appendix I
                Scope of the Investigation
                 The merchandise covered by this investigation is common alloy
                aluminum sheet (common alloy 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.
                 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 this 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-19, 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 Preliminary Decision Memorandum
                I. Summary
                II. Background
                III. Scope Comments
                IV. Scope of the Investigation
                V. Preliminary Affirmative Determination of Critical Circumstances,
                In Part
                VI. Subsidies Valuation
                VII. Benchmarks and Interest Rates
                VIII. Use of Facts Otherwise Available and Application of Adverse
                Inferences
                IX. Analysis of Programs
                X. Conclusion
                [FR Doc. 2020-17810 Filed 8-13-20; 8:45 am]
                BILLING CODE 3510-DS-P
                

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