Certain Softwood Lumber Products From Canada: Final Results of the Countervailing Duty Administrative Review; 2022

<NOTICE> DEPARTMENT OF COMMERCE <SUBAGY>International Trade Administration</SUBAGY> <DEPDOC>[C-122-858]</DEPDOC> <SUBJECT>Certain Softwood Lumber Products From Canada: Final Results of the Countervailing Duty Administrative Review; 2022</SUBJECT> <HD SOURCE="HED">AGENCY:</HD> Enforcement and Compliance, International Trade Administration, Department of Commerce. <SUM> <HD SOURCE="HED">SUMMARY:</HD> The U.S. Department of Commerce (Commerce) determines that producers and exporters of certain softwood lumber products (softwood lumber) from Canada received countervailable subsidies during the period of review (POR), January 1, 2022, through December 31, 2022. </SUM> <DATES> <HD SOURCE="HED">DATES:</HD> Applicable August 19, 2024. </DATES> <FURINF> <HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD> Samuel Brummitt or Kristen Johnson, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-7851 or (202) 482-4793, respectively. </FURINF> <SUPLINF> <HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD> <HD SOURCE="HD1">Background</HD> On February 6, 2024, Commerce published the preliminary results of this administrative review in the <E T="04">Federal Register</E> and invited interested parties to comment. <SU>1</SU> <FTREF/> On April 25, 2024, Commerce extended the deadline for issuing the final results of this review until August 2, 2024, which was tolled by seven days until August 9, 2024. <SU>2</SU> <FTREF/> On August 7, 2024, Commerce extended the deadline for the final results of this review until August 12, 2024. <SU>3</SU> <FTREF/> <FTNT> <SU>1</SU>   <E T="03">See Certain Softwood Lumber Products from Canada: Preliminary Results and Partial Rescission of Countervailing Duty Administrative Review;</E> 2022, 89 FR 8147 (February 6, 2024) ( <E T="03">Preliminary Results</E> ). </FTNT> <FTNT> <SU>2</SU>   <E T="03">See</E> Memorandum, “Extension of Deadline for Final Results of Countervailing Duty Administrative Review; 2022,” dated April 25, 2024; <E T="03">see also</E> Memorandum, “Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,” dated July 22, 2024. </FTNT> <FTNT> <SU>3</SU>   <E T="03">See</E> Memorandum, “Second Extension of Deadline for Final Results of Countervailing Duty Administrative Review; 2022,” dated August 7, 2024. </FTNT> For a complete description of the events that occurred since the <E T="03">Preliminary Results, see</E> the Issues and Decision Memorandum. <SU>4</SU> <FTREF/> A list of topics discussed in the Issues and Decision Memorandum is included as Appendix I 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 Service System (ACCESS). ACCESS is available to registered users at <E T="03">https://access.trade.gov.</E> In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at <E T="03">https://access.trade.gov/public/FRNoticesListLayout.aspx.</E> <FTNT> <SU>4</SU>   <E T="03">See</E> Memorandum, “Decision Memorandum for the Final Results of Countervailing Duty Administrative Review of the Countervailing Duty Order on Certain Softwood Lumber Products from Canada; 2022,” dated concurrently with, and herby adopted by, this notice (Issues and Decision Memorandum). </FTNT> <HD SOURCE="HD1"> Scope of the Order  <E T="03">See Certain Softwood Lumber Products from Canada: Amended Final Affirmative Countervailing Duty Determination and Countervailing Duty Order,</E> 83 FR 347 (January 3, 2018) ( <E T="03">Order</E> ). </FTNT> The product covered by this <E T="03">Order</E> is certain softwood lumber products from Canada. For a complete description of the scope of the order, <E T="03">see</E> the Issues and Decision Memorandum. <HD SOURCE="HD1">Analysis of Subsidy Programs and Comments Received</HD> 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 find that there is a subsidy, <E T="03">i.e.,</E> a government-provided financial contribution that gives rise to a benefit to the recipient, and that the subsidy is specific. <SU>6</SU> <FTREF/> <FTNT> <SU>6</SU>   <E T="03">See</E> 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. </FTNT> <HD SOURCE="HD1">Changes Since the Preliminary Results</HD> The subsidy programs under review, and the issues raised in case and rebuttal briefs submitted by the interested parties, are discussed in the Issues and Decision Memorandum. Based on our analysis of the comments received from the interested parties, we made changes to the subsidy rates calculated for certain respondents. For a discussion of these changes, <E T="03">see</E> the Issues and Decision Memorandum. <HD SOURCE="HD1">Rate for Non-Selected Companies Under Review</HD> Because the rates calculated for the companies selected for individual review are above <E T="03">de minimis</E> and not based entirely on facts available, we applied a subsidy rate based on a weighted average of the subsidy rates calculated for the reviewed companies using sales data submitted by those companies to calculate a rate for the companies not selected for review. This is consistent with the methodology that we would use in an investigation to establish the all-others rate, pursuant to section 705(c)(5)(A) of the Act. For further information on the calculation of the non-selected rate, <E T="03">see</E> the section titled “Final <E T="03">Ad Valorem</E> Rate for Non-Selected Companies under Review” in the Issues and Decision Memorandum. For a list of the non-selected companies, <E T="03">see</E> Appendix II to this notice. <HD SOURCE="HD1">Final Results of Review</HD> In accordance with section 751(a)(1)(A) and of the Act and 19 CFR 351.221(b)(5), we determine that the following total net countervailable subsidy rates exist for the period January 1, 2022, through December 31, 2022: <GPOTABLE COLS="2" OPTS="L2,tp0,i1" CDEF="s150,12"> <TTITLE> </TTITLE> <CHED H="1">Company</CHED> <CHED H="1"> Subsidy rate (percent <E T="03">ad valorem</E> Canfor Corporation and its cross-owned affiliates  <SU>7</SU> </ENT> <ENT>6.14</ENT> </ROW> <ROW> <ENT I="01"> J.D. Irving, Limited and its cross-owned affiliates  <SU>8</SU> </ENT> <ENT>3.88</ENT> </ROW> <ROW> <ENT I="01"> Tolko Marketing and Sales Ltd. and Tolko Industries Ltd. <SU>9</SU> </ENT> <ENT>9.61</ENT> </ROW> <ROW> <ENT I="01"> West Fraser Mills Ltd. and its cross-owned affiliates  <SU>10</SU> </ENT> <ENT>6.85</ENT> </ROW> <ROW> <ENT I="01"> Non-Selected Companies  <ENT>6.74</ENT> </ROW> </GPOTABLE> <HD SOURCE="HD1">  Commerce finds the following companies to be cross-owned with Canfor Corporation: Canadian Forest Products; Ltd. and Canfor Wood Products Marketing, Ltd. <SU>8</SU>  Commerce finds the following companies to be cross-owned with J.D. Irving, Limited: Miramichi Timber Holdings Limited; The New Brunswick Railway Company; Rothesay Paper Holdings Ltd.; and St. George Pulp & Paper Limited. <SU>9</SU>  Commerce finds Meadow Lake OSB Mill Corp. and several holding companies, the identities of which are business proprietary information, to be cross-owned with Tolko Marketing and Sales Ltd. and Tolko Industries Ltd. <SU>10</SU>  Commerce finds the following companies to be cross-owned with West Fraser Mills Ltd.: Blue Ridge Lumber Inc.; Manning Forest Products, Ltd.; Sundre Forest Products Inc.; Sunpine Inc.; and West Fraser Alberta Holdings, Ltd.; and West Fraser Timber Co., Ltd. <SU>11</SU>  For a list of these companies, <E T="03">see</E> Appendix II. </FTNT> Commerce intends to disclose the calculations performed for these final results of review within five days of any public announcement or, if there is no public announcement, within five days of the date of publication of this notice in the <E T="04">Federal Register</E> , in accordance with 19 CFR 351.224(b). <HD SOURCE="HD1">Assessment Rates</HD> Pursuant to section 751(a)(2)(C) of the Act and 19 CFR 351.212(b)(2), Commerce has determined, and U.S. Customs and Border Protection (CBP) shall assess, countervailing duties on all appropriate entries of subject merchandise covered by this review. Commerce intends to issue assessment instructions to CBP no earlier than 41 days after the date of publication of the final results of this review in the <E T="04">Federal Register</E> <E T="03">,</E> in accordance with 19 CFR 356.8(a). If a timely summons is filed at the U.S. Court of International Trade, the assessment instructions will direct CBP not to liquidate relevant entries until the time for parties to file a request for a statutory injunction has expired ( <E T="03">i.e.,</E> within 90 days of publication). <HD SOURCE="HD1">Cash Deposit Requirements</HD> In accordance with section 751(a)(2)(C) of the Act, Commerce intends to instruct CBP to collect cash deposits of estimated countervailing duties in the amounts shown for the companies subject to this review for shipments of subject merchandise entered, or withdrawn from warehouse, for consumption on or after the date of publication of the final results of this administrative review. For all non-reviewed companies, we will instruct CBP to continue to collect cash deposits of estimated countervailing duties at the most recent company-specific or all-others rate applicable to the company ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 34k characters. Full document text is stored and available for version comparison. ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━