• Effective Date: May 16, 2018
  • Period of Review: Jan 01, 2016 to Dec 31, 2016

1. In keeping with the World Trade Organization agreement on subsidies and countervailing measures, Commerce is instructing CBP to discontinue the suspension of liquidation of entries concerning the countervailing duty investigation of certain uncoated groundwood paper from Canada effective 05/16/2018, which is 120 days after the date of publication of Commerce's preliminary determination.

2. The merchandise covered by this investigation includes certain paper that has not been coated on either side and with 50 percent or more of the cellulose fiber content consisting of groundwood pulp, including groundwood pulp made from recycled paper, weighing not more than 90 grams per square meter. Groundwood pulp includes all forms of pulp produced from a mechanical pulping process, such as thermo-mechanical process (TMP), chemi-thermo mechanical process (CTMP), bleached chemi-thermo mechanical process (BCTMP) or any other mechanical pulping process. The scope includes paper shipped in any form, including but not limited to both rolls and sheets.

Certain uncoated groundwood paper includes but is not limited to standard newsprint, high bright newsprint, book publishing, and printing and writing papers. The scope includes paper that is white, off-white, cream, or colored.

Specifically excluded from the scope are imports of certain uncoated groundwood paper printed with final content of printed text or graphic. Also excluded are papers that otherwise meet this definition, but which have undergone a supercalendering process (see footnote 1). Additionally, excluded are papers that otherwise meet this definition, but which have undergone a creping process over the entire surface area of the paper.

Also excluded are uncoated groundwood construction paper and uncoated groundwood manila drawing paper in sheet or roll format. Excluded uncoated groundwood construction paper and uncoated groundwood manila drawing paper: (a) have a weight greater than 61 grams per square meter; (b) have a thickness greater than 6.1 caliper, i.e., greater than .0061” or 155 microns; (c) are produced using at least 50 percent thermomechanical pulp; and (d) have a shade, as measured by CIELAB, as follows: L* less than or 75.0 or b* greater than or equal to 25.0.

Also excluded is uncoated groundwood directory paper that: (a) has a basis weight of 34 grams per square meter or less; and (b) has a thickness of 2.6 caliper mils or 66 microns or less.

Certain uncoated groundwood paper is classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) in several subheadings, including 4801.00.0120, 4801.00.0140, 4802.61.1000, 4802.61.2000, 4802.61.3110, 4802.61.3191, 4802.61.6040, 4802.62.1000, 4802.62.2000, 4802.62.3000, 4802.62.6140, 4802.69.1000, 4802.69.2000, and 4802.69.3000. Subject merchandise may also be imported under several additional subheadings including 4805.91.5000, 4805.91.7000, and 4805.91.9000 (see footnote 2). Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the merchandise is dispositive.

Footnotes

(1) Supercalendering imparts a glossy finish produced by the movement of the paper web through a supercalender which is a stack of alternating rollers of metal and cotton (or other softer material). The supercalender runs at high speed and applies pressure, heat, and friction which glazes the surface of the paper, imparting gloss to the surface and increasing the paper's smoothness and density.

(2) The following HTSUS numbers are no longer active as of January 1, 2017: 4801.00.0020, 4801.00.0040, 4802.61.3010, 4802.61.3091, and 4802.62.6040.

3. This investigation has been assigned investigation number C-122-862.

4. CBP shall discontinue the suspension of liquidation for countervailing duty purposes on all shipments of subject merchandise entered, or withdrawn from warehouse, for consumption on or after 05/16/2018. The suspension of liquidation will not be resumed unless and until the final affirmative determination on this case is published in the Federal Register by the ITC. CBP shall continue to suspend liquidation on all shipments entered, or withdrawn from warehouse, for consumption made during the period 01/16/2018 through 05/15/2018 until the conclusion of the countervailing duty investigation.

5. These discontinuation instructions do not affect the requirements of a cash deposit or bond on entries subject to the suspension of liquidation announced in Commerce's preliminary determination in the companion antidumping duty investigation of certain uncoated groundwood paper from Canada.

6. If there are any questions by the importing public regarding this message, please contact the Call Center for the Office of AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce at (202) 482-0984. CBP ports should submit their inquiries through authorized CBP channels only. (This message was generated by OII:WH.)

7. There are no restrictions on the release of this information.

Alexander Amdur