Certain Softwood Lumber Products From Canada: Final Results and Rescission, in Part, of the Countervailing Duty Administrative Review; 2023

<NOTICE> DEPARTMENT OF COMMERCE <SUBAGY>International Trade Administration</SUBAGY> <DEPDOC>[C-122-858]</DEPDOC> <SUBJECT>Certain Softwood Lumber Products From Canada: Final Results and Rescission, in Part, of the Countervailing Duty Administrative Review; 2023</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, 2023, through December 31, 2023. In addition, Commerce is rescinding this review, in part, with respect to one company. </SUM> <DATES> <HD SOURCE="HED">DATES:</HD> Applicable August 12, 2025. </DATES> <FURINF> <HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD> Samuel Brummitt, Kristen Johnson, and T.J. Worthington, 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, (202) 482-4793, and (202) 482-4567, respectively. </FURINF> <SUPLINF> <HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD> <HD SOURCE="HD1">Background</HD> On April 9, 2025, 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/> For a complete description of the events that occurred since the <E T="03">Preliminary Results, see</E> the Issues and Decision Memorandum. <SU>2</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>1</SU>   <E T="03">See Certain Softwood Lumber Products from Canada: Preliminary Results and Prtial Rescission of Countervailing Duty Administrative Review; 2023,</E> 90 FR 15224 (April 9, 2025) ( <E T="03">Preliminary Results</E> ). </FTNT> <FTNT> <SU>2</SU>   <E T="03">See</E> Memorandum, “Issues and Decision Memorandum for the Final Results of the Administative Review of the Countervailing Duty Order on Certain Softwood Lumber Products from Canada; 2023,” dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum). </FTNT> <HD SOURCE="HD1"> Scope of the Order  <E T="51">3</E> <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 <E T="03">Order, see</E> the Issues and Decision Memorandum. <HD SOURCE="HD1">Rescission of Administrative Review, in Part</HD> Fontaine Inc. and its cross-owned companies  <SU>4</SU> <FTREF/> (collectively, Fontaine) were listed as a non-selected company in the <E T="03">Preliminary Results.</E> <SU>5</SU> <FTREF/> On January 21, 2025, the U.S. Court of International Trade (CIT) sustained Commerce's remand redetermination calculating a <E T="03">de minimis</E> subsidy rate for Fontaine in the expedited review and determination to exclude subject merchandise produced and exported by Fontaine from the <E T="03">Order.</E> <SU>6</SU> <FTREF/> On May 5, 2025, Commerce published a notice of amended final results of expedited review and exclusion from the <E T="03">Order</E> excluding subject merchandise produced and exported by Fontaine from the <E T="03">Order,</E> effective April 28, 2017. <SU>7</SU> <FTREF/> Because Fontaine is now excluded from the <E T="03">Order,</E> we are rescinding the company's administrative review with respect to subject merchandise that was produced and exported by Fontaine. However, any entries of subject merchandise produced by any other entity and exported by Fontaine or produced by Fontaine and exported any other entity remain covered by this administrative review. For further information, <E T="03">see</E> “Rescission of Administrative Review, in Part” in the Issues and Decision Memorandum. <FTNT> <SU>4</SU>  Fontaine's cross-owned companies are Gestion Natanis Inc.; Les Placements Jean-Paul Fontaine Ltee; and Placements Nicolas Fontaine Inc. </FTNT> <FTNT> <SU>5</SU>   <E T="03">See Preliminary Results,</E> 90 FR at 15227. </FTNT> <FTNT> <SU>6</SU>   <E T="03">See Committee Overseeing Action for Lumber International Trade Investigations or Negotiations, et al.</E> v. <E T="03">United States, et al.,</E> Consol. Ct. No. 19-00122 (Slip Op. 25-8) (CIT 2025). </FTNT> <FTNT> <SU>7</SU>   <E T="03">See Certain Softwood Lumber Products from Canada: Notice of Amended Final Results of Countervailing Duty Expedited Review; Notice of Exclusion from Countervailing Duty Order,</E> 90 FR 18957 (May 5, 2025). </FTNT> <HD SOURCE="HD1">Analysis of 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>8</SU> <FTREF/> For a description of the methodology underlying Commerce's conclusions, see the Issues and Decision Memorandum. <FTNT> <SU>8</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 the 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, 2023, through December 31, 2023: <FTREF/> <FTNT> <SU>9</SU>  Commerce finds the following companies to be cross-owned with Canfor Corporation: Canadian Forest Products, Ltd. and Canfor Wood Products Marketing, 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., Spray Lake Sawmills (1980) Ltd., Sundre Forest Products Inc., 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> <GPOTABLE COLS="2" OPTS="L2,nj,tp0,p7,7/8,i1" CDEF="s100,20"> <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>9</SU> </ENT> <ENT>12.12</ENT> </ROW> <ROW> <ENT I="01"> West Fraser Mills Ltd. and its cross-owned affiliates  <SU>10</SU> </ENT> <ENT>16.82</ENT> </ROW> <ROW> <ENT I="01"> Non-Selected Companies  <ENT>14.63</ENT> </ROW> </GPOTABLE> <HD SOURCE="HD1">Disclosure</HD> Commerce intends to disclose the calculations and analysis performed for these final results of review within five days after 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> , in accordance with 19 CFR 356.8(a). <HD SOURCE="HD1">Cash Deposit Requirements</HD> In ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 36k characters. Full document text is stored and available for version comparison. ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━