Common Alloy Aluminum Sheet From the People's Republic of China: Final Results of Countervailing Duty Administrative Review; 2022

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Federal RegisterSep 4, 2024
89 Fed. Reg. 71881 (Sep. 4, 2024)
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    Department of Commerce International Trade Administration
  • [C-570-074]
  • AGENCY:

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

    SUMMARY:

    The U.S. Department of Commerce (Commerce) determines that countervailable subsidies were provided to producers and exporters of common alloy aluminum sheet (CAAS) from the People's Republic of China (China) during the period of review (POR), January 1, 2022, through December 31, 2022.

    DATES:

    Applicable September 4, 2024.

    FOR FURTHER INFORMATION CONTACT:

    Scarlet K. Jaldin or Amber Hodak, AD/CVD Operations, Office VI, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4275 or (202) 482-8034, respectively.

    SUPPLEMENTARY INFORMATION:

    Background

    On March 5, 2024, Commerce published the Preliminary Results of this administrative review in the Federal Register . On June 6, 2024, Commerce extended the deadline for issuing these final results to August 21, 2024. On July 12, 2024, Commerce released its Post-Preliminary Analysis. On July 12, 2024, we invited parties to comment on both the Preliminary Results and the Post-Preliminary Results. We received timely filed case and rebuttal briefs from Aluminum Association Common Alloy Aluminum Sheet Trade Enforcement Working Group and its individual members (collectively, the domestic industry), Jiangsu Alcha Aluminum Co., Ltd. (Jiangsu Alcha), Yinbang Clad Material Co., Ltd. (Yinbang). On July 22, 2024, Commerce tolled certain deadlines in this administrative proceeding by seven days. The deadline for the final results is now August 28, 2024. For a detailed description of the events that followed the Preliminary Results, see the Issues and Decision Memorandum.

    See Common Alloy Aluminum Sheet from the People's Republic of China: Preliminary Results of Countervailing Duty Administrative Review and Rescission of Review, in Part; 2022, 89 FR 15819 (March 5, 2024) ( Preliminary Results), and accompanying Preliminary Decision Memorandum (PDM).

    See Memorandum, “Extension of Deadline for Final Results of Countervailing Duty Administrative Review,” dated June 6, 2024.

    See Memorandum, “Post-Preliminary Analysis,” dated July 12, 2024 (Post Preliminary Results).

    See Memorandum, “Briefing Schedule,” dated July 12, 2024.

    The individual members of the Aluminum Association Common Alloy Aluminum Sheet Trade Enforcement Working Group are: Arconic Corporation; Commonwealth Rolled Products, Inc; Constellium Rolled Products Ravenswood, LLC; Jupiter Aluminum Corporation; JW Aluminum Company; and Novelis Corporation.

    See Jiangsu Alcha and Yinbang's Letter, “Case Brief,” dated April 4, 2024; see also Domestic Industry's Letter, “Domestic Industry's Affirmative Case Brief,” dated July 22, 2024; Domestic Industry's Letter, “Domestic Industry's Rebuttal Case Brief,” dated July 29, 2024 (Domestic Industry's Rebuttal Brief); and Alcha Group's Letter, “Rebuttal Case Brief,” dated July 29, 2024 (Alcha Group's Rebuttal Brief).

    See Memorandum, “Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,” dated July 22, 2024.

    See Memorandum, “Decision Memorandum for the Final Results of the Countervailing Duty Administrative Review of Common Alloy Aluminum Sheet from the People's Republic of China; 2022,” dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum).

    Scope of the Order

    See Common Alloy Aluminum Sheet from the People's Republic of China: Countervailing Duty Order,84 FR 2157 (February 6, 2019) ( Order).

    The product covered by the Order is CAAS from China. For a complete description of the scope of the of the Order, see the Issues and Decision Memorandum.

    Analysis of Comments Received

    All issues raised by the interested parties in their case briefs are addressed in the Issues and Decision Memorandum. A list of the issues raised is attached as an appendix to this notice. 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 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.

    Changes Since the Preliminary Results

    Based on arguments raised and a review of the record and all supporting documentation, we made certain changes to the Preliminary Results with respect to the subsidy rate calculations for the provision of primary aluminum for less than adequate remuneration (LTAR), the provision of electricity for LTAR, and Alcha Group's 2022 equity infusion. For a discussion of the issues and changes, see Issues and Decision Memorandum.

    Methodology

    Commerce conducted this administrative review in accordance with section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each of the subsidy programs found to be countervailable, we determine that there is a subsidy, i.e., a financial contribution from a government or public entity that gives rise to a benefit to the recipient, and that the subsidy is specific. For a full description of the methodology underlying Commerce's conclusions, including our reliance, in part, on facts otherwise available with adverse inferences pursuant to sections 776(a) and (b) of the Act, see the Issues and Decision Memorandum.

    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.

    Final Results of Administrative Review

    In accordance with 19 CFR 351.221(b)(5), Commerce calculated the following net countervailable subsidy rates for the period January 1, 2022, through December 31, 2022:

    Company Subsidy rate (percent ad valorem)
    Jiangsu Alcha Aluminium Group Co., Ltd., and Jiangsu Alcha Aluminum Group Co., Ltd. (both formerly known as Jiangsu Alcha Aluminum Co., Ltd., Jiangsu Alcha Aluminium Co., Ltd.); Alcha International Holdings Limited; Baotou Alcha Aluminium Co., Ltd., Baotou Alcha Aluminum Co., Ltd., Baotou Alcha North Aluminum Co., Ltd., and Baotou Changlv Northern Aluminium Industry Co., Ltd.; and Jiangsu Alcha New Energy Materials Co., Ltd. 21.41
    Yinbang Clad Material Co., Ltd 22.76
    Zhengzhou Mingtai Industry Co., Ltd. 373.06

    See Initiation of Antidumping and Countervailing Duty Administrative Reviews, 88 FR 21609, 21624 (April 11, 2023) ( Initiation Notice). In the Initiation Notice, Commerce also initiated a review on Jiangsu Alcha Aluminium Group., Ltd. and Jiangsu Alcha Aluminum Group Co., Ltd. The respondent reported that Jiangsu Alcha Aluminium Group Co., Ltd. is the current legal name of the company, but is used interchangeably with Jiangsu Alcha Aluminum Group Co., Ltd. The respondent also reported that due to the recent change, Jiangsu Alcha Aluminum Group Co., Ltd. and Jiangsu Alcha Aluminium Group Co., Ltd. refer to the same entity.

    It was reported that although the legal name for one of Jiangsu Alcha's subsidiaries is “Baotou Alcha Aluminium Co., Ltd.,” other names ( i.e., “Baotou Alcha Aluminum Co., Ltd.,” “Baotou Alcha North Aluminum Co., Ltd.,” and “Baotou Changlv Northern Aluminium Industry Co., Ltd.”) also refer to the same entity due to different English translations of its Chinese-language name. Accordingly, we have treated “Baotou Alcha Aluminium Co., Ltd.,” “Baotou Alcha Aluminum Co., Ltd.,” “Baotou Alcha North Aluminum Co., Ltd.,” and “Baotou Changlv Northern Aluminium Industry Co., Ltd.” as one entity (Baotou Alcha). For further discussion, see supra, n.11; see also Preliminary Results PDM.

    See Preliminary Results PDM at Section II, “Background.”

    We calculated this company's rate based entirely on AFA, in accordance with section 776 of the Act. See Preliminary Results PDM at 19-25.