[Federal Register Volume 75, Number 104 (Tuesday, June 1, 2010)]
[Notices]
[Pages 30370-30371]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-13068]



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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-959]


Certain Coated Paper Suitable For High-Quality Print Graphics 
Using Sheet-Fed Presses from the People's Republic of China: Amended 
Affirmative Preliminary Countervailing Duty Determination

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The purpose of this amended affirmative preliminary 
determination is to correct significant ministerial errors in the 
preliminary determination, published on March 9, 2010, that 
countervailable subsidies are being provided to producers and exporters 
of certain coated paper suitable for high-quality print graphics using 
sheet-fed presses from the People's Republic of China (``PRC'').

EFFECTIVE DATE: June 1, 2010.

FOR FURTHER INFORMATION CONTACT: David Neubacher, AD/CVD Operations, 
Office 1, Import Administration, International Trade Administration, 
U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, 
Washington, DC 20230; telephone: (202) 482-5823.

SUPPLEMENTARY INFORMATION:

Background

    On March 9, 2010, we published our preliminary determination 
stating that countervailable subsidies are being provided to producers 
and exporters of coated paper from the PRC. See Certain Coated Paper 
Suitable For High-Quality Print Graphics Using Sheet-Fed Presses from 
the People's Republic of China: Preliminary Affirmative Countervailing 
Duty Determination and Alignment of Final Countervailing Duty 
Determination with Final Antidumping Duty Determination, 75 FR 10774 
(March 9, 2010) (``Preliminary Determination''). On March 23, 2010, 
Appleton Coated LLC, NewPage Corporation, S.D. Warren Company d/b/a 
Sappi Fine Paper North America, and the United Steel, Paper and 
Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service 
Workers International Union (collectively, ``Petitioners'') filed a 
timely allegation of significant ministerial errors contained in the 
Department's Preliminary Determination. No rebuttal comments were 
received. After reviewing the allegation, we have determined that the 
Preliminary Determination included significant ministerial errors. 
Therefore, in accordance with 19 CFR 351.224(e), we have made changes, 
as described below, to the Preliminary Determination.

Scope of the Investigation

    The scope of this investigation consists of Coated Paper, which are 
certain coated paper and paperboard\1\ in sheets suitable for high 
quality print graphics using sheet-fed presses; coated on one or both 
sides with kaolin (China or other clay), calcium carbonate, titanium 
dioxide, and/or other inorganic substances; with or without a binder; 
having a GE brightness level of 80 or higher;\2\ weighing not more than 
340 grams per square meter; whether gloss grade, satin grade, matte 
grade, dull grade, or any other grade of finish; whether or not 
surface-colored, surface-decorated, printed (except as described 
below), embossed, or perforated; and irrespective of dimensions.
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    \1\ ``[revaps]Paperboard' refers to Coated Paper that is 
heavier, thicker and more rigid than coated paper which otherwise 
meets the product description. In the context of Coated Paper, 
paperboard typically is referred to as [revaps]cover,' to 
distinguish it from [revaps]text.'''
    \2\ One of the key measurements of any grade of paper is 
brightness. Generally speaking, the brighter the paper the better 
the contrast between the paper and the ink. Brightness is measured 
using a GE Reflectance Scale, which measures the reflection of light 
off of a grade of paper. One is the lowest reflection, or what would 
be given to a totally black grade, and 100 is the brightest measured 
grade.
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    Coated Paper includes: (a) coated free sheet paper and paperboard 
that meets this scope definition; (b) coated groundwood paper and 
paperboard produced from bleached chemi-thermo-mechanical pulp 
(``BCTMP'') that meets this scope definition; and (c) any other coated 
paper and paperboard that meets this scope definition.
    Coated Paper is typically (but not exclusively) used for printing 
multi-colored graphics for catalogues, books, magazines, envelopes, 
labels and wraps, greeting cards, and other commercial printing 
applications requiring high quality print graphics.
    Specifically excluded from the scope are imports of paper and 
paperboard printed with final content printed text or graphics.
    As of 2009, imports of the subject merchandise are provided for 
under the following categories of the Harmonized Tariff Schedule of the 
United States (``HTSUS''): 4810.14.11, 4810.14.1900, 4810.14.2010, 
4810.14.2090, 4810.14.5000, 4810.14.6000, 4810.14.70, 4810.19.1100, 
4810.19.1900, 4810.19.2010, 4810.19.2090, 4810.22.1000, 4810.22.50, 
4810.22.6000, 4810.22.70, 4810.29.1000, 4810.29.5000, 4810.29.6000, 
4810.29.70. While HTSUS subheadings are provided for convenience and 
customs purposes, the written description of the scope of this 
investigation is dispositive.

Analysis of Alleged Significant Ministerial Error

    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.'' With respect to preliminary determinations, 19 CFR 
351.224(e) provides that the Department ``will analyze any comments 
received and, if appropriate, correct any significant ministerial error 
by amending the preliminary determination. . .'' A significant 
ministerial error is defined as an 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 countervailable subsidy rate calculated in the 
original (erroneous) preliminary determination; or (2) a difference 
between a countervailable subsidy rate of zero (or de minimis) and a 
countervailable subsidy rate of greater than de minimis or vice versa. 
See 19 CFR 351.224(g).
    We have determined that the Preliminary Determination contained 
ministerial errors with respect to Gold East Trading (Hong Kong) 
Company Limited, Gold East Paper (Jiangsu) Co., Ltd. and Gold Huasheng 
Paper Co., Ltd. (collectively, ``Gold companies''). Correction of these 
ministerial errors results in the Gold companies' subsidy rate changing 
by more than five absolute points and not less than 25 percent of the 
originally calculated margin. Thus, the ministerial errors are 
significant pursuant to 19 CFR 351.224(g). See Memorandum to Susan 
Kuhbach, Director, Office 1, AD/CVD Operations, entitled, ``Ministerial 
Error Allegations'' (May 24, 2010) for the analysis performed. This 
memorandum is on file in the Department's Central Records Unit in Room 
1117 of the main Department building.

Amended Preliminary Determination

    Because the errors alleged by Petitioners regarding the 
countervailable subsidy rate calculation for the Gold companies are 
significant, we are amending the preliminary countervailing duty rate 
calculation for them pursuant to 19 CFR 351.224(e). In addition, the 
calculated All Others' rate in the Preliminary Determination was

[[Page 30371]]

based on the simple average of the Gold companies' and Shandong Sun 
Paper Industry Joint Stock Co., Ltd.'s and its affiliate's, Yanzhou 
Tianzhang Paper Industry Co., Ltd., (collectively, ``Sun Paper 
companies'') subsidy rates. Thus, we have also amended the All Others' 
rate to account for the change in the Gold companies' subsidy rate. To 
that end, we calculated the simple average of the Gold companies' 
revised subsidy rate and the Sun Paper companies' subsidy rate, 
unchanged from the Preliminary Determination.
    As a result of corrections of ministerial errors, the amended 
preliminary net countervailable subsidy rates are as follows:

------------------------------------------------------------------------
                                                       Original  Amended
                Exporter/Manufacturer                   Subsidy  Subsidy
                                                         Rate      Rate
------------------------------------------------------------------------
Gold East Paper (Jiangsu) Co., Ltd, Gold Huasheng         12.83    20.07
 Paper Co., Ltd., Gold East Trading (Hong Kong)
 Company Ltd., Ningbo Zhonghua Paper Co., Ltd., and
 Ningbo Asia Pulp & Paper Co., Ltd...................
Shandong Sun Paper Industry Joint Stock Co., Ltd. and      3.92     3.92
 Yanzhou Tianzhang Paper Industry Co., Ltd...........
All Others...........................................      8.38    12.00
------------------------------------------------------------------------

Suspension of Liquidation

    The collection of bonds or cash deposits and suspension of 
liquidation will be revised, in accordance with section 703(d) and (f) 
of the Act. Specifically, we will instruct U.S. Customs and Border 
Protection (``CBP'') to continue to suspend liquidation and to require 
a cash deposit or bond in the amounts indicated above, on all entries 
of coated paper from the PRC that are entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, we have notified the 
U.S. International Trade Commission (``ITC'') of our amended 
affirmative preliminary determination. If our final countervailing duty 
determination is affirmative, the ITC will determine whether the 
imports covered by that determination are materially injuring, or 
threatening material injury to, the U.S. industry.
    This determination is issued and published pursuant to sections 
703(f) and 777(i)(1) of the Act and 19 CFR 351.224(e).

    Dated: May 21, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 2010-13068 Filed 5-28-10; 8:45 am]
BILLING CODE 3510-DS-S