89 FR 236 pgs. 97593-97596 - Melamine From Qatar: Final Affirmative Countervailing Duty Determination and Final Negative Critical Circumstances Determination
Type: NOTICEVolume: 89Number: 236Pages: 97593 - 97596
Pages: 97593, 97594, 97595, 97596Docket number: [C-518-002]
FR document: [FR Doc. 2024-28797 Filed 12-6-24; 8:45 am]
Agency: Commerce Department
Sub Agency: International Trade Administration
Official PDF Version: PDF Version
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-518-002]
Melamine From Qatar: Final Affirmative Countervailing Duty Determination and Final Negative Critical Circumstances Determination
AGENCY:
Enforcement and Compliance, International Trade Administration, Department of Commerce.
SUMMARY:
The U.S. Department of Commerce (Commerce) determines that countervailable subsidies are being provided to producers and exporters of melamine from Qatar. The period of investigation (POI) is January 1, 2023, through December 31, 2023.
DATES:
Applicable December 9, 2024.
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FOR FURTHER INFORMATION CONTACT:
Samantha Kinney and Sofia Pedrelli, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-2285 and (202)-482-4310, respectively.
SUPPLEMENTARY INFORMATION:
Background
On July 22, 2024, Commerce published in the Federal Register its preliminary determination in the countervailing duty (CVD) investigation of melamine from Qatar and invited interested parties to comment. 1 In the Preliminary Determination, and in accordance with section 705(a)(1) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.210(b)(4), Commerce aligned the final CVD determination with the final antidumping duty determination of melamine from Qater. 2 On July 22, 2024, Commerce tolled certain deadlines in this administrative proceeding by seven days. 3 The deadline for the final determination is now December 2, 2024. On September 12, 2024, Commerce released its Post-Preliminary Decision. 4
Footnotes:
1 ? See Melamine from Qatar: Preliminary Affirmative Countervailable Duty Determination, Preliminary Negative Determination of Critical Circumstances, and Alignment of Final Determination With the Final Antidumping Duty Determination, 89 FR 59045 (July 22, 2024) ( Preliminary Determination ), and accompanying Preliminary Decision Memorandum (PDM).
2 ? See Preliminary Determination, 89 FR 59046.
3 ? See Memorandum, "Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings," dated July 22, 2024.
4 ? See Memorandum, "Post Preliminary Analysis Memorandum for the Countervailing Duty Investigation of Melamine from Qatar," dated September 12, 2024 (Post-Preliminary Analysis Memorandum).
For a complete description of the events that followed the Preliminary Determination, see the Issues and Decision Memorandum. 5 The Issues and 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 Issues and Decision Memorandum can be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.
Footnotes:
5 ? See Memorandum, "Issues and Decision Memorandum for the Final Affirmative Determination of the Countervailing Duty Investigation of Melamine from Qatar," dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum).
Scope of the Investigation
The product covered by this investigation is melamine from Qatar. For a complete description of the scope of the investigation, see Appendix I.
Scope Comments
We received no comments from interested parties on the scope of the investigation as it appeared in the Preliminary Determination. Therefore, we made no changes to the scope of the investigation.
Verification
As provided in section 782(i) of the Act, in September 2024, Commerce verified all information reported by Qatar Melamine Company (QMC), Qatar Chemical and Petrochemical Marketing and Distribution Company (Muntajat) Q.P.J.S.C (Muntajat), and its cross-owned affiliates, QAFCO, Industries Qatar, and QatarEnergy (collectively, QMC/Muntajat), 6 and the Government of Qatar (GOQ). We used standard verification procedures, including an examination of relevant account records and original source documents provided by QMC/Muntajat. 7
Footnotes:
6 ?Commerce continues to determine that QMC is cross owned with Muntajat, Qatar Fertiliser Company (P.S.C.) (QAFCO), Industries Qatar Q.P.S.C. (Industries Qatar) and QatarEnergy. See Preliminary Determination PDM at 7-9; see also Post-Preliminary Analysis Memorandum at 3.
7 ? See Memoranda, "Verification of the Questionnaire Responses of Qatar Melamine Company and Muntajat," dated October 30, 2024; and "Verification of the Questionnaire Responses of the Government of Qatar," dated October 30, 2024.
Analysis of Subsidy Programs and Comments Received
The subsidy programs under investigation, and the issues raised in the case and rebuttal briefs by interested parties in this investigation, are discussed in the Issues and Decision Memorandum. For a list of the issues raised by parties, and to which we responded in the Issues and Decision Memorandum, see Appendix II.
Methodology
Commerce conducted this investigation in accordance with section 701 of the Act. For each of the subsidy programs found to be countervailable, Commerce determines 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 Commerce notes that, in making these findings, it relied, in part, on facts available and, because it finds that QMC/Muntajat did not act to the best of its 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 the "Use of Facts Otherwise Available and Adverse Inferences" section in the Preliminary Decision Memorandum. For a full description of the methodology underlying our final determination, see the Issues and Decision Memorandum.
Footnotes:
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.
9 ? See sections 776(a) and (b) of the Act.
Final Negative Determination of Critical Circumstances
Commerce determines that critical circumstances do not exist within the meaning of 703(e)(1) of the Act. For further information, see the Issues and Decision Memorandum.
Changes Since the Preliminary Determination and Post-Preliminary Analysis
Based on our review and analysis of the information received during verification and comments received from interested parties, for this final determination, we made certain changes to the countervailable subsidy rate calculations for QMC/Muntajat, and for all other producers/exporters. For a discussion of these changes, see the Issues and Decision Memorandum.
All-Others Rate
In accordance with section 705(c)(1)(B)(i) of the Act, we calculated an individual estimated countervailable subsidy rate for the mandatory respondent, QMC/Muntajat. Section 705(c)(5)(A)(i) of the Act states that, for companies not individually investigated, Commerce will determine an all-others rate equal to the weighted-average countervailable subsidy rates established for exporters and/or producers individually investigated, excluding any zero and de minimis countervailable subsidy rates, and any rates determined entirely under section 776 of the Act.
[top] In this investigation, we continue to calculate an individual total net countervailable subsidy rate for QMC/Muntajat that is not zero, de minimis, or based entirely on facts otherwise available. Because QMC/Muntajat's individual total net countervailable subsidy rate is the only rate calculated in this investigation, the all-others rate is the individual estimated subsidy rate calculated for the examined respondent (QMC/Muntajat), in accordance with section 705(c)(5)(A)(i) of the Act.
Final Determination
Commerce determines that the following estimated net countervailable subsidy rates exist for the period January 1, 2023, through December 31, 2023:
| Company | Subsidy rate (percent ad valorem ) |
|---|---|
| Qatar Melamine Company; Qatar Chemical and Petrochemical Marketing and Distribution Company (Muntajat) Q.P.J.S.C.; Qatar Fertiliser Company (P.S.C.); Industries Qatar Q.P.S.C.; QatarEnergy | 41.91 |
| All Others | 41.91 |
Disclosure
Commerce intends to disclose its calculations performed to interested parties in this final determination within five days of its public announcement or, if there is no public announcement, within five days of the date of the publication of this notice in the Federal Register , in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination, and pursuant to sections 703(d)(1)(B) and (d)(2) of the Act, Commerce instructed U.S. Customs and Border Protection (CBP) to collect cash deposits and suspend liquidation of entries of subject merchandise as described in the scope of the investigation section entered, or withdrawn from warehouse, for consumption on or after July 22, 2024, the date of publication of the Preliminary Determination in the Federal Register . In accordance with section 703(d) of the Act, we instructed CBP to discontinue the suspension of liquidation of all entries of subject merchandise entered or withdrawn from warehouse, on or after November 19, 2024, but to continue the suspension of liquidation of all entries of subject merchandise on or before November 18, 2024.
If the U.S. International Trade Commission (ITC) issues a final affirmative injury determination, we will issue a countervailing duty order, reinstate the suspension of liquidation under section 706(a) of the Act, and require a cash deposit of estimated countervailing duties for entries of subject merchandise in the amounts indicated above. Pursuant to section 705(c)(2) of the Act, if the ITC determines that material injury, or threat of material injury, does not exist, this proceeding will be terminated, and all estimated duties deposited or securities posted as a result of the suspension of liquidation will be refunded or cancelled.
ITC Notification
In accordance with section 705(d) of the Act, Commerce will notify the ITC of its final affirmative determination that countervailable subsidies are being provided to producers and exporters of melamine from Qatar. As Commerce's final determination is affirmative, in accordance with section 705(b) of the Act, the ITC will determine, within 45 days of our final determination, whether the domestic industry in the United States is materially injured, or threated with material injury, by reason of imports of melamine from Qatar. In addition, we are making available to the ITC all non-privileged and non-proprietary information in our files, provided the ITC confirms that it will not disclose such information, either publicly or under administrative protective order (APO), without the written consent of the Assistant Secretary for Enforcement and Compliance.
If the ITC determines that material injury or threat of material injury does not exist, this proceeding will be terminated and all cash deposits will be refunded. If the ITC determines that such injury does exist, Commerce will issue a countervailing duty order directing CBP to assess, upon further instruction by Commerce, countervailing duties on all imports of the subject merchandise that are entered, or withdrawn, for consumption on or after the effective date of the suspension of liquidation, as discussed above in the "Continuation of Suspension of Liquidation" section.
Administrative Protective Order
This notice will serve as the only reminder to parties subject to the APO of their responsibility concerning the destruction 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 an APO is a violation which is subject to sanction.
Notification to Interested Parties
This determination is issued and published pursuant to sections 705(d) and 777(i) of the Act, and 19 CFR 351.210(c).
Dated: December 2, 2024.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise subject to this investigation is melamine (Chemical Abstracts Service (CAS) registry number 108-78-01, molecular formula C 3 H 6 N 6 ). Melamine is also known as 2,4,6-triamino-s-triazine; 1,3,5-Triazine-2,4,6- triamine; Cyanurotriamide; Cyanurotriamine; Cyanuramide; and by various brand names. Melamine is a crystalline powder or granule. All melamine is covered by the scope of this investigation irrespective of purity, particle size, or physical form. Melamine that has been blended with other products is included within this scope when such blends include constituent parts that have been intermingled, but that have not been chemically reacted with each other to produce a different product. For such blends, only the melamine component of the mixture is covered by the scope of this investigation. Melamine that is otherwise subject to this investigation is not excluded when commingled with melamine from sources not subject to this investigation. Only the subject component of such commingled products is covered by the scope of this investigation.
The subject merchandise is provided for in subheading 2933.61.0000 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS subheading and CAS registry number are provided for convenience and customs purposes, the written description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Critical Circumstances
IV. Use of Facts Available
[top] V. Subsidies Valuation
VI. Changes Since the Preliminary Determination
VII. Analysis of Programs
VIII. Discussion of the Issues
Comment 1: Whether Commerce Should Countervail the Provision of Natural Gas for Less Than Adequate Remuneration (LTAR)
Comment 2: Whether Commerce Should Revise its Preliminary Analysis of Income Tax Exemptions
Comment 3: Whether Commerce Should Revise its Preliminary Analysis of the Provision of Management, Usage, and Usufruct Rights over Industrial Areas
Comment 4: Whether Commerce Should Revise its Preliminary Analysis Regarding the Provision of Electricity and Water for LTAR
IX. Recommendation
[FR Doc. 2024-28797 Filed 12-6-24; 8:45 am]
BILLING CODE 3510-DS-P