2018-04501. Certain Lined Paper Products From India and the People's Republic of China; Continuation of Antidumping Duty Orders and Countervailing Duty Order

AGENCY:

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

SUMMARY:

As a result of determinations by the Department of Commerce (Commerce) and the International Trade Commission (ITC) that revocation of the countervailing duty (CVD) order on certain lined paper products (lined paper) from India and the antidumping duty (AD) orders on lined paper from India and the People's Republic of China (China) would likely lead to continuation or recurrence of dumping and countervailable subsidies and material injury to an industry in the United States, Commerce is publishing a notice of the continuation of the AD orders and the CVD order.

DATES:

Applicable March 6, 2018.

FOR FURTHER INFORMATION CONTACT:

John Conniff, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: [phone].

SUPPLEMENTARY INFORMATION:

 

Background

On September 28, 2006, Commerce published in the Federal Register the AD orders on lined paper from India, Indonesia, and China, and the CVD orders on lined paper from India and Indonesia.^[1]

On August 1, 2011, Commerce and the ITC initiated the first sunset reviews of the Orders pursuant to section 751(c) of the Tariff Act of 1930, as amended (the Act).^[2] On August 24, 2012, pursuant to sections 751(c) and 752(a) of the Act, the ITC determined that revocation of the AD orders on lined paper from India and China and the CVD order on lined paper from India, but not the AD and CVD orders on lined paper from Indonesia, would likely lead to continuation or recurrence of material injury to an industry in the United States within a reasonably foreseeable time.^[3] Accordingly, on August 31, 2012, Commerce published a notice of the continuation of the CVD order on line paper from India and the AD orders on lined paper from India and China, and revoked the AD and CVD orders on lined paper from Indonesia.^[4]

On July 3, 2017, Commerce initiated and the ITC instituted second sunset reviews of the CVD order on lined paper from India and the AD orders on lined paper from India and China pursuant to section 751(c) of the Act.^[5] As a result of the second sunset reviews, Commerce found that revocation of the AD orders on lined paper from India and China would likely lead to continuation or recurrence of dumping, and that revocation of the CVD order on lined paper from India would likely lead to continuation or recurrence of countervailable subsidies.^[6] Commerce, therefore, notified the ITC of the magnitude of the dumping margins and net countervailable subsidy rates likely to prevail should the AD orders and CVD order be revoked.

On February 2, 2018, pursuant to sections 751(c) and 752(a) of the Act, the ITC published its determination that revocation of the AD orders on lined paper from India and China and revocation of the CVD order on lined paper from India would likely lead to continuation or recurrence of material injury to an industry in the United States within a reasonably foreseeable time.^[7]

Scope of the Orders

The scope of these orders includes certain lined paper products, typically school supplies (for purposes of this scope definition, the actual use of or labeling these products as school supplies or non-school supplies is not a defining characteristic) composed of or including paper that incorporates straight horizontal and/or vertical lines on ten or more paper sheets (there shall be no minimum page requirement for loose leaf filler paper), including but not limited to such products as single- and multi-subject notebooks, composition books, wireless notebooks, loose leaf or glued filler paper, graph paper, and laboratory notebooks, and with the smaller dimension of the paper measuring 6 inches to 15 inches (inclusive) and the larger dimension of the paper measuring 8-3/4 inches to 15 inches (inclusive). Page dimensions are measured size (not advertised, stated, or “tear-out” size), and are measured as they appear in the product (i.e., stitched and folded pages in a notebook are measured by the size of the page as it appears in the notebook page, not the size of the unfolded paper). However, for measurement purposes, pages with tapered or rounded edges shall be measured at their longest and widest points. Subject lined paper products may be loose, packaged or bound using any binding method (other than case bound through the inclusion of binders board, a spine strip, and cover wrap). Subject merchandise may or may not contain any combination of a front cover, a rear cover, and/or backing of any composition, regardless of the inclusion of images or graphics on the cover, backing, or paper. Subject merchandise is within the scope of these orders whether or not the lined paper and/or cover are hole punched, drilled, perforated, and/or reinforced. Subject merchandise may contain accessory or informational items including but not limited to pockets, tabs, dividers, closure devices, index cards, stencils, protractors, writing implements, reference materials such as mathematical tables, or printed items such as sticker sheets or miniature calendars, if such items are physically incorporated, included with, or attached to the product, cover and/or backing thereto.

Specifically excluded from the scope of these orders are:

• Unlined copy machine paper;
• writing pads with a backing (including but not limited to products commonly known as “tablets,” “note pads,” “legal pads,” and “quadrille pads”), provided that they do not have a front cover (whether permanent or removable). This exclusion does not apply to such writing pads if they consist of hole-punched or drilled filler paper;
• three-ring or multiple-ring binders, or notebook organizers incorporating such a ring binder provided that they do not include subject paper;
• index cards;
• printed books and other books that are case bound through the inclusion of binders board, a spine strip, and cover wrap;
• newspapers;
• pictures and photographs;
• desk and wall calendars and organizers (including but not limited to such products generally known as “office planners,” “time books,” and “appointment books”);
• telephone logs;
• address books;
• columnar pads & tablets, with or without covers, primarily suited for the recording of written numerical business data;
• lined business or office forms, including but not limited to: pre-printed business forms, lined invoice pads and paper, mailing and address labels, manifests, and shipping log books;
• lined continuous computer paper;
• boxed or packaged writing stationary (including but not limited to products commonly known as “fine business paper,” “parchment paper,” and “letterhead”), whether or not containing a lined header or decorative lines;
• Stenographic pads (“steno pads”), Gregg ruled (“Gregg ruling” consists of a single- or double-margin vertical ruling line down the center of the page. For a six-inch by nine-inch stenographic pad, the ruling would be located approximately three inches from the left of the book), measuring 6 inches by 9 inches;

Also excluded from the scope of these orders are the following trademarked products:

• Fly^TM lined paper products: A notebook, notebook organizer, loose or glued note paper, with papers that are printed with infrared reflective inks and readable only by a Fly^TM pen-top computer. The product must bear the valid trademark Fly^TM (products found to be bearing an invalidly licensed or used trademark are not excluded from the scope).
• Zwipes^TM: A notebook or notebook organizer made with a blended polyolefin writing surface as the cover and pocket surfaces of the notebook, suitable for writing using a specially-developed permanent marker and erase system (known as a Zwipes^TM pen). This system allows the marker portion to mark the writing surface with a permanent ink. The eraser portion of the marker dispenses a solvent capable of solubilizing the permanent ink allowing the ink to be removed. The product must bear the valid trademark Zwipes^TM (products found to be bearing an invalidly licensed or used trademark are not excluded from the scope).
• FiveStar®Advance^TM: A notebook or notebook organizer bound by a continuous spiral, or helical, wire and with plastic front and rear covers made of a blended polyolefin plastic material joined by 300 denier polyester, coated on the backside with PVC (poly vinyl chloride) coating, and extending the entire length of the spiral or helical wire. The polyolefin plastic covers are of specific thickness; front cover is 0.019 inches (within normal manufacturing tolerances) and rear cover is 0.028 inches (within normal manufacturing tolerances). Integral with the stitching that attaches the polyester spine covering, is captured both ends of a 1″ wide elastic fabric band. This band is located 23/8″ from the top of the front plastic cover and provides pen or pencil storage. Both ends of the spiral wire are cut and then bent backwards to overlap with the previous coil but specifically outside the coil diameter but inside the polyester covering. During construction, the polyester covering is sewn to the front and rear covers face to face (outside to outside) so that when the book is closed, the stitching is concealed from the outside. Both free ends (the ends not sewn to the cover and back) are stitched with a turned edge construction. The flexible polyester material forms a covering over the spiral wire to protect it and provide a comfortable grip on the product. The product must bear the valid trademarks FiveStar®Advance^TM (products found to be bearing an invalidly licensed or used trademark are not excluded from the scope).
• FiveStar Flex^TM: A notebook, a notebook organizer, or binder with plastic polyolefin front and rear covers joined by 300 denier polyester spine cover extending the entire length of the spine and bound by a 3-ring plastic fixture. The polyolefin plastic covers are of a specific thickness; front cover is 0.019 inches (within normal manufacturing tolerances) and rear cover is 0.028 inches (within normal manufacturing tolerances). During construction, the polyester covering is sewn to the front cover face to face (outside to outside) so that when the book is closed, the stitching is concealed from the outside. During construction, the polyester cover is sewn to the back cover with the outside of the polyester spine cover to the inside back cover. Both free ends (the ends not sewn to the cover and back) are stitched with a turned edge construction. Each ring within the fixture is comprised of a flexible strap portion that snaps into a stationary post which forms a closed binding ring. The ring fixture is riveted with six metal rivets and sewn to the back plastic cover and is specifically positioned on the outside back cover. The product must bear the valid trademark FiveStar Flex^TM (products found to be bearing an invalidly licensed or used trademark are not excluded from the scope).

Merchandise subject to these orders is typically imported under headings 4810.22.5044, 4811.90.9050, 4811.90.9090, 4820.10.2010, 4820.10.2020, 4820.10.2030, 4820.10.2040, 4820.10.2050, 4820.10.2060, and 4820.10.4000 of the Harmonized Tariff Schedule of the United States (HTSUS). The HTSUS headings are provided for convenience and customs purposes; however, the written description of the scope of the order is dispositive.

Continuation of the Orders

As a result of the determinations by Commerce and the ITC that revocation of the AD orders and the CVD order would likely lead to continuation or recurrence of dumping and countervailable subsidies and material injury to an industry in the United States, pursuant to section 751(d)(2) of the Act and 19 CFR 351.218(a), Commerce hereby orders the continuation of the AD orders on lined paper from India and China and the CVD order on lined paper from India.

U.S. Customs and Border Protection will continue to collect AD and CVD cash deposits at the rates in effect at the time of entry for all imports of subject merchandise. The effective date of continuation of these orders will be the date of publication in the Federal Register of this notice of continuation. Pursuant to section 751(c)(2) of the Act, Commerce intends to initiate the next five-year reviews of these orders not later than 30 days prior to the fifth anniversary of the effective date of continuation.

These five-year (sunset) reviews and this notice are in accordance with sections 751(c) of the Act and published pursuant to section 777(i)(1) of the Act and 19 CFR 351.218(f)(4).

Dated: February 14, 2018.

Christian Marsh,

Deputy Assistant Secretary for Enforcement and Compliance.

Footnotes

1.  See Notice of Amended Final Determination of Sales at Less Than Fair Value: Certain Lined Paper Products from the People's Republic of China; Notice of Antidumping Duty Orders: Certain Lined Paper Products from India, Indonesia and the People's Republic of China; and Notice of Countervailing Duty Orders: Certain Lined Paper Products from India and Indonesia, 71 FR 56949 (September 28, 2006) (Orders).

2.  See Initiation of Five-Year (Sunset) Review, 76 FR 45778 (August 1, 2011), and Certain Lined Paper School Supplies from China, India, and Indonesia-Institution of Five-Year Reviews Concerning the Countervailing Duty Orders on Certain Lined Paper School Supplies from India and Indonesia and the Antidumping Duty Orders on Certain Lined Paper School Supplies from China, India, and Indonesia, 76 FR 45851 (August 1, 2011).

3.  See Certain Lined Paper School Supplies from China, India, and Indonesia, 77 FR 51570 (August 24, 2012). See also Certain Lined Paper School Supplies from China, India, and Indonesia, Inv. Nos. 701-TA-442-443 and 731-TA-1095-1097 (Review), USITC Publication 4344 (August 2012).

4.  See Certain Lined Paper Products from Indonesia: Revocation of Antidumping and Countervailing Duty Orders, 77 FR 53174 (August 31, 2012), and Certain Lined Paper Products from India and the People's Republic of China: Continuation of Antidumping and Countervailing Duty Orders, 77 FR 53172 (August 31, 2012).

5.  See Initiation of Five-Year (Sunset) Reviews, 82 FR 30844 (July 3, 2017) (CLPP Sunset 2017), and Lined Paper School Supplies from China and India; Institution of Five-Year Reviews; 82 FR 30902 (July 3, 2017).

6.  See Certain Lined Paper Products from India: Final Results of Expedited Second Sunset Review of Countervailing Duty Order, 82 FR 51390 (November 6, 2017), and Certain Lined Paper Products from India and the People's Republic of China: Final Results of Expedited Second Sunset Reviews of Antidumping Duty Orders, 82 FR 51812 (November 8, 2017).

7.  See Lined Paper School Supplies from China and India; Determinations, 83 FR 5646 (February 8, 2018).