FR 2021-01166

Overview

Title

Certain Magnesia Carbon Bricks From the People's Republic of China: Final Results of Antidumping Duty Administrative Review and Final Determination of No Shipments; 2018-2019

Agencies

ELI5 AI

The government checked if a company named Fedmet sent any special bricks from China to the USA and found out they didn't during a specific time. Sixteen other companies didn't follow the rules to prove where they sent their bricks, so they still face a big penalty rate.

Summary AI

The Department of Commerce determined that Fedmet Resources Corporation did not ship any magnesia carbon bricks from China to the United States during the review period of September 1, 2018, to August 31, 2019. Additionally, sixteen other companies involved in the review are considered part of the China-wide entity because they failed to submit necessary documents but were not reviewed as such. The current rate for the China-wide entity is 236.00 percent, which remains unchanged. The required cash deposit rates for future shipments from Chinese exporters will be based on this rate and other specific conditions mentioned.

Abstract

The Department of Commerce (Commerce) continues to determine that Fedmet Resources Corporation (Fedmet) had no shipments of certain magnesia carbon bricks (magnesia carbon bricks) from the People's Republic of China (China) to the United States during the period of review (POR) September 1, 2018 through August 31, 2019. We also continue to find that the 16 remaining companies subject to this review are part of the China-wide entity because they did not file no shipment statements, separate rate applications (SRAs), or separate rate certifications (SRCs).

Type: Notice
Citation: 86 FR 6300
Document #: 2021-01166
Date:
Volume: 86
Pages: 6300-6301

AnalysisAI

The document issued by the Department of Commerce, as published in the Federal Register, is a final notice regarding an administrative review of antidumping duties on magnesia carbon bricks imported from China. It covers shipments made during the period from September 1, 2018, through August 31, 2019. Notably, it confirms that Fedmet Resources Corporation did not send any of these bricks to the United States in that time. Meanwhile, sixteen other Chinese companies are lumped into what is referred to as the "China-wide entity," which means they are treated collectively under U.S. trade law due to their failure to submit necessary documentation.

General Summary

The document primarily confirms earlier findings that Fedmet had no shipments during the period reviewed, while asserting that the other companies are subject to a high antidumping duty rate of 236%. This rate applies because these companies failed to meet procedural requirements, like filing no-shipment statements or requests for separate rates. The result remains unchanged from prior preliminary findings.

Significant Issues

Several issues arise from this document. First, it lacks transparency regarding the actual magnitude of the China-wide entity's shipments, which could help contextualize the scale of non-compliance. Second, the document does not propose new measures or penalties that might encourage the non-compliant companies to comply with documentation requirements in the future. Further, the technical language, particularly referencing specific CFR regulations, may not be easily understood by all stakeholders, potentially leading to errors or non-compliance due to misunderstanding.

Broad Public Impact

For the general public, particularly those with an interest in international trade and its implications, this document enforces the notion that significant measures are in place to curtail unfair trade practices such as dumping, which is when companies export goods at an unfairly low price. The enforcement of these duties serves as a reminder of the U.S. commitment to protecting domestic industries.

Impact on Specific Stakeholders

Chinese Exporters: The document affirms a severe penalty – a 236% rate – which acts as a significant barrier for these companies to effectively compete in the U.S. market unless they meet compliance standards. This may discourage similar companies from overlooking documentation in future trade reviews.

U.S. Importers: Importers are reminded of their obligation under U.S. trade law to ensure compliance with duty reimbursement issues. Given the complexity of the regulatory language, importers that are not specialists might inadvertently face penalties due to misinterpretation. This regulatory clarity is crucial for businesses to plan effectively.

Fedmet Resources Corporation: By confirming Fedmet had no shipments during the mentioned period, the document frees the company from potential penalties. This positive determination allows Fedmet to avoid the financial burden associated with high duties.

Conclusion

Overall, the notice underscores crucial regulatory practices meant to ensure fair competition in international trade. While it reinforces serious penalties to deter non-compliance, it also highlights areas where communication could be improved to facilitate better understanding among all stakeholders. The document ensures protectionism while presenting a rigorous administrative framework that companies must adhere to when engaging in international business with the U.S.

Issues

  • • The document does not provide specific details on the total number of shipments by the China-wide entity, limiting transparency into the scale of imports from the companies flagged for non-compliance.

  • • There is no indication of potential steps Commerce might take to improve compliance among companies that did not file required documents, which could aid in better enforcement in the future.

  • • The language regarding the responsibilities of importers under 19 CFR 351.402(f)(2) is somewhat technical and might be difficult for non-specialists to understand, potentially leading to non-compliance due to misunderstanding.

  • • The document assumes familiarity with specific regulations and prior results (e.g., references to previous FR notices and Preliminary Decision Memorandum) without providing summaries, which could make it inaccessible to general readers.

  • • There is no discussion on the potential economic impact of liquidating entries at the China-wide rate of 236.00 percent, which might be useful for stakeholders to understand the financial implications.

Statistics

Size

Pages: 2
Words: 1,403
Sentences: 45
Entities: 132

Language

Nouns: 497
Verbs: 85
Adjectives: 82
Adverbs: 21
Numbers: 68

Complexity

Average Token Length:
4.93
Average Sentence Length:
31.18
Token Entropy:
5.32
Readability (ARI):
20.87

Reading Time

about 5 minutes