Crystalline Silicon Photovoltaic Cells, Whether or Not Assembled Into Modules, From Malaysia: Amended Preliminary Determination of Countervailing Duty Investigation

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Federal RegisterNov 7, 2024
89 Fed. Reg. 88232 (Nov. 7, 2024)
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    Department of Commerce International Trade Administration
  • [C-557-831]
  • AGENCY:

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

    SUMMARY:

    The U.S. Department of Commerce (Commerce) is amending the preliminary affirmative countervailing duty determination on crystalline silicon photovoltaic cells, whether or not assembled into modules (solar cells), from Malaysia to correct for significant ministerial errors.

    DATES:

    Applicable November 7, 2024.

    FOR FURTHER INFORMATION CONTACT:

    Preston Cox or Scarlet Jaldin, 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) 482-5041 or (202) 482-4275, respectively.

    SUPPLEMENTARY INFORMATION:

    Background

    In accordance with section 703(b) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.205(b), on October 4, 2024, Commerce published its preliminary affirmative countervailing duty determination on solar cells from Malaysia. On October 8, 2024, we received timely ministerial error allegations from the American Alliance for Solar Manufacturing Trade Committee (the petitioner) and Jinko Solar Technology Sdn. Bhd. (Jinko Solar Technology) that Commerce made significant ministerial errors in the Preliminary Determination with respect to the subsidy rate calculated for Jinko Solar Technology (JST) and its affiliates Jinko Solar (Malaysia) Sdn. Bhd. and Omega Solar Sdn. Bhd. (Omega) (collectively, Jinko Solar).

    See Crystalline Silicon Photovoltaic Cells, Whether or Not Assembled into Modules, from Malaysia: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination with Final Antidumping Duty Determination, 89 FR 80861 (October 4, 2024) ( Preliminary Determination), and accompanying Preliminary Decision Memorandum.

    See Petitioner's Letter, “Ministerial Error Comments Regarding the Preliminary Determination,” dated October 8, 2024 (Petitioner's Ministerial Error Allegation); see also Jinko Solar's Letter, “Jinko Ministerial Error Allegation,” dated October 8, 2024 (Jinko Solar's Ministerial Error Allegation).

    Period of Investigation

    The period of investigation (POI) is January 1, 2023, through December 31, 2023.

    Scope of the Investigation

    The product covered by this investigation is solar cells from Malaysia. For a complete description of the scope of this investigation, see the appendix to this notice.

    Analysis of Significant Ministerial Error Allegations

    According to 19 CFR 351.224(e), Commerce will analyze any comments received and, if appropriate, correct any significant ministerial error by amending the preliminary determination. A ministerial error is defined in 19 CFR 351.224(f) as “an error in addition, subtraction, or other arithmetic function, clerical error resulting from inaccurate copying, duplication, or the like, and any other similar type of unintentional error which the Secretary considers ministerial.” A significant ministerial error is defined as a ministerial error, the correction of which, singly or in combination with other errors, would result in: (1) a change of at least five absolute percentage points in, but not less than 25 percent of, the countervailing duty (CVD) rate calculated in the original preliminary determination; or (2) a difference between a CVD rate of zero (or de minimis) and a CVD rate greater than de minimis, or vice versa.

    See section 705(e) of the Act.

    See19 CFR 351.224(g).

    Amended Preliminary Determination

    Consistent with 19 CFR 351.224(e), Commerce is amending the Preliminary Determination to reflect the correction of two ministerial errors made in the calculation of the countervailable subsidy rate for Jinko Solar. First, when calculating Jinko Solar's countervailable subsidy rate, we incorrectly calculated one of Jinko Solar's denominators, used for the purposes of calculating the ad valorem subsidy rate. Commerce finds that correction of this error submitted by the petitioner results in a change that is both at least five absolute percentage points in, and not less than 25 percent of, the subsidy rate calculated for Jinko Solar in the Preliminary Determination. As such, we find that there is a significant ministerial error within the meaning of sections 705(e) of the Act, and 19 CFR 351.224(f) and (g)(1). Therefore, we are correcting for this error by amending the Preliminary Determination, consistent with 19 CFR 351.224(e), and revising the calculations with regard to Jinko Solar's subsidy rate, the all-others rate, and the adverse facts available (AFA) rate. Additionally, when calculating the countervailable subsidy rate attributable to Jinko Solar under the Exemption of Import Duties and Sales Taxes for Raw Materials, Machinery, Equipment, and Spare Parts/Accessories through Licensed Manufacturing Warehouses (LMWs) program, we inadvertently summed the benefits for both the LMW program and the Free Trade Zone (FTZ) program to calculate the raw materials LMW benefit, resulting in double-counting of the benefits from the FTZ program for raw materials imports. We find that this allegation constitutes a ministerial error within the meaning of 19 CFR 351.224(f). Although by itself, this error is not “significant” within the meaning of 19 CFR 351.224(g), because correcting for this error in combination with the error alleged by the petitioner satisfies the requirements of 19 CFR 351.224(g)(1), we are correcting for both errors by amending the Preliminary Determination, consistent with 19 CFR 351.224(e).

    See Memorandum, “Countervailing Duty Investigation of Crystalline Silicon Photovoltaic Cells, Whether or Not Assembled into Modules, from Malaysia: Ministerial Error Allegations in the Preliminary Determination,” dated concurrently with, and hereby adopted by, this notice (Preliminary Ministerial Error Memorandum).

    For a complete discussion of these ministerial errors, see the Preliminary Ministerial Error Memorandum.

    Amended Preliminary Determination

    As a result of correcting the ministerial errors described above, we determine the following amended preliminary net countervailable subsidy rates for Jinko Solar and all other producers/exporters, and the AFA subsidy rate:

    Company Subsidy rate (percent ad valorem)
    Hanwha Q CELLS Malaysia Sdn. Bhd * 14.72
    Jinko Solar Technology Sdn Bhd and its cross-owned companies: Jinko Solar (Malaysia) Sdn. Bhd. and Omega Solar Sdn. Bhd 9.92
    Baojia New Energy ** 124.78
    Pax Union Resources SDN BHD ** 124.78
    SunMax Energy SDN BHD ** 124.78
    All Others 12.32
    * Rate unchanged from the Preliminary Determination.
    ** Rate based on AFA.