ITC Investigation 701-TA-3815 is a U.S. International Trade Commission antidumping (AD) proceeding on Polypropylene Corrugated Boxes from China and Vietnam; Inv. No. 701-TA-757 and 731-TA-1737-1738 (Preliminary) from Vietnam and China. It's in the preliminary phase and currently in completed status. Commerce initiated the underlying investigation on April 14, 2025. No AD/CVD order has been issued from this investigation yet — the case will appear here once Commerce publishes a final determination.
Phase, parties, documents, and full text from USITC IDS
Polypropylene Corrugated Boxes from China and Vietnam; Inv. No. 701-TA-757 and 731-TA-1737-1738 (Preliminary)
Pending ITC investigation (preliminary/completed) on "Polypropylene Corrugated Boxes".
Parties
Documents
Full text (722,860 chars)
=== Publication 5622 === Polypropylene Corrugated Boxes from China and Vietnam Investigation Nos. 701-TA-757 and 731-TA-1737–1738 (Preliminary) Publication 5622 May 2025 U.S. International Trade Commission Washington, DC 20436 COMMISSIONERS Amy A. Karpel, Chair David S. Johanson Jason E. Kearns Catherine DeFilippo Director of Operations Staff assigned Calvin Chang, Investigator Elizabeth Howlett, Industry Analyst Sarah Krulikowski, Economist Christopher S. Robinson, Accountant Ann Marie Carton, Statistician Brian Stuart, Attorney Mary Beth Jones, Supervisory Investigator U.S. International Trade Commission Address all communications to Secretary to the Commission United States International Trade Commission Washington, DC 20436 Washington, DC 20436 www.usitc.gov Polypropylene Corrugated Boxes from China and Vietnam Investigation Nos. 701-TA-757 and 731-TA-1737–1738 (Preliminary) U.S. International Trade Commission Publication 5622 May 2025 CONTENTS Page i Determinations ............................................................................................................................... 1 Views of the Commission ............................................................................................................... 3 Introduction ........................................................................................................ 1.1 Background............................................................................................................................... 1.1 Statutory criteria ...................................................................................................................... 1.2 Organization of report.............................................................................................................. 1.3 Market summary ...................................................................................................................... 1.3 Summary data and data sources .............................................................................................. 1.4 Previous and related investigations ......................................................................................... 1.4 Nature and extent of alleged subsidies and sales at LTFV ....................................................... 1.4 Alleged subsidies .................................................................................................................. 1.4 Alleged sales at LTFV ............................................................................................................ 1.5 The subject merchandise ......................................................................................................... 1.5 Commerce’s scope ............................................................................................................... 1.5 Tariff treatment .................................................................................................................... 1.6 The product .............................................................................................................................. 1.7 Description and applications ................................................................................................ 1.7 Manufacturing processes ..................................................................................................... 1.9 Domestic like product issues.................................................................................................. 1.10 Part 2: Conditions of competition in the U.S. market ....................................................... 2.1 U.S. market characteristics....................................................................................................... 2.1 Impact of section 301 tariffs .................................................................................................... 2.2 Channels of distribution ........................................................................................................... 2.2 Geographic distribution ........................................................................................................... 2.3 Supply and demand considerations ......................................................................................... 2.4 U.S. supply ............................................................................................................................ 2.4 U.S. demand ......................................................................................................................... 2.6 CONTENTS Page ii Part 2: Conditions of competition in the U.S. market ............................................ Continued Substitutability issues............................................................................................................. 2.10 Factors affecting purchasing decisions............................................................................... 2.11 Comparison of U.S.-produced and imported PC boxes...................................................... 2.12 Part 3: U.S. producers’ production, shipments, and employment .................................... 3.1 U.S. producers .......................................................................................................................... 3.1 U.S. production, capacity, and capacity utilization .................................................................. 3.3 Alternative products ............................................................................................................. 3.6 U.S. producers’ U.S. shipments and exports ............................................................................ 3.7 U.S. producers’ inventories ...................................................................................................... 3.8 U.S. producers’ imports from subject sources ......................................................................... 3.9 U.S. producers' purchases of imports from subject sources ................................................... 3.9 U.S. employment, wages, and productivity ............................................................................. 3.9 Part 4: U.S. imports, apparent U.S. consumption, and market shares .............................. 4.1 U.S. importers........................................................................................................................... 4.1 U.S. imports .............................................................................................................................. 4.2 Negligibility ............................................................................................................................... 4.6 Cumulation considerations ...................................................................................................... 4.7 Fungibility ............................................................................................................................. 4.7 Geographical markets ........................................................................................................ 4.11 Presence in the market ...................................................................................................... 4.12 Apparent U.S. consumption and market shares .................................................................... 4.16 Quantity .............................................................................................................................. 4.16 Value ................................................................................................................................... 4.18 CONTENTS Page iii Part 5: Pricing data ......................................................................................................... 5.1 Factors affecting prices ............................................................................................................ 5.1 Raw material costs ............................................................................................................... 5.1 Transportation costs to the U.S. market .............................................................................. 5.5 U.S. inland transportation costs ........................................................................................... 5.5 Pricing practices ....................................................................................................................... 5.6 Pricing methods .................................................................................................................... 5.6 Sales terms and discounts .................................................................................................... 5.6 Price and purchase cost data ................................................................................................... 5.6 Price trends......................................................................................................................... 5.16 Price comparisons .............................................................................................................. 5.17 Lost sales and lost revenue .................................................................................................... 5.19 Part 6: Financial experience of U.S. producers ................................................................. 6.1 Background............................................................................................................................... 6.1 Operations on PC boxes ........................................................................................................... 6.2 Net sales ............................................................................................................................. 6.13 Cost of goods sold and gross profit or loss......................................................................... 6.13 SG&A expenses and operating income or loss................................................................... 6.15 All other expenses and net income or loss ........................................................................ 6.16 Variance analysis .................................................................................................................... 6.16 Capital expenditures and research and development expenses ........................................... 6.18 Assets and return on assets ................................................................................................... 6.19 Capital and investment .......................................................................................................... 6.20 Threat considerations and information on nonsubject countries .......................... 7.1 Subject countries ...................................................................................................................... 7.3 Changes in operations .......................................................................................................... 7.5 Installed and practical overall capacity ................................................................................ 7.5 Constraints on capacity ........................................................................................................ 7.6 CONTENTS Page iv Threat considerations and information on nonsubject countries ............... Continued Operations on PC boxes ....................................................................................................... 7.6 Alternative products ............................................................................................................. 7.8 Exports .................................................................................................................................. 7.9 U.S. inventories of imported merchandise ............................................................................ 7.10 U.S. importers’ outstanding orders........................................................................................ 7.11 Third-country trade actions ................................................................................................... 7.12 Information on nonsubject countries .................................................................................... 7.12 Appendixes A. Federal Register notices ................................................................................................. A.1 B. List of staff conference witnesses .................................................................................. B.1 C. Summary data ................................................................................................................ C.1 Note.—Information that would reveal confidential operations of individual firms may not be published. Such information is identified by brackets ([ ]) in confidential reports and is deleted and replaced with asterisks (***) in public reports. Zeroes, null values, and undefined calculations are suppressed and shown as em dashes (—) in tables. If using a screen reader, we recommend increasing the verbosity setting. UNITED STATES INTERNATIONAL TRADE COMMISSION Investigation Nos. 701-TA-757 and 731-TA-1737-1738 (Preliminary) Polypropylene Corrugated Boxes from China and Vietnam DETERMINATIONS On the basis of the record1 developed in the subject investigations, the United States International Trade Commission (“Commission”) determines, pursuant to the Tariff Act of 1930 (“the Act”), that there is a reasonable indication that an industry in the United States is materially injured by reason of imports of polypropylene corrugated boxes from China and Vietnam, provided for in subheading 3923.10.90 of the Harmonized Tariff Schedule of the United States, that are alleged to be sold in the United States at less than fair value (“LTFV”) and imports of the subject merchandise from China that are alleged to be subsidized by the government of China.2 COMMENCEMENT OF FINAL PHASE INVESTIGATIONS Pursuant to section 207.18 of the Commission’s rules, the Commission also gives notice of the commencement of the final phase of its investigations. The Commission will issue a final phase notice of scheduling, which will be published in the Federal Register as provided in § 207.21 of the Commission’s rules, upon notice from the U.S. Department of Commerce (“Commerce”) of affirmative preliminary determinations in the investigations under §§ 703(b) or 733(b) of the Act, or, if the preliminary determinations are negative, upon notice of affirmative final determinations in those investigations under §§ 705(a) or 735(a) of the Act. Parties that filed entries of appearance in the preliminary phase of the investigations need not enter a separate appearance for the final phase of the investigations. Any other party may file an entry of appearance for the final phase of the investigations after publication of the final phase notice of scheduling. Industrial users, and, if the merchandise under investigation is sold at the retail level, representative consumer organizations have the right to appear as parties in Commission antidumping and countervailing duty investigations. The Secretary will prepare a 1 The record is defined in § 207.2(f) of the Commission’s Rules of Practice and Procedure (19 CFR 207.2(f)). 2 90 FR 15544 and 90 FR 15555, April 14, 2025. public service list containing the names and addresses of all persons, or their representatives, who are parties to the investigations. As provided in section 207.20 of the Commission’s rules, the Director of the Office of Investigations will circulate draft questionnaires for the final phase of the investigations to parties to the investigations, placing copies on the Commission’s Electronic Document Information System (EDIS, https://edis.usitc.gov), for comment. BACKGROUND On March 18, 2025, CoolSeal USA Inc., Perrysburg, Ohio; Inteplast Group Corporation, Livingston, New Jersey; SeaCa Plastic Packaging, Kent, Washington; and Technology Container Corp., Desoto, Texas, filed petitions with the Commission and Commerce, alleging that an industry in the United States is materially injured or threatened with material injury by reason of subsidized imports of polypropylene corrugated boxes from China and LTFV imports of polypropylene corrugated boxes from China and Vietnam. Accordingly, effective March 18, 2025, the Commission instituted countervailing duty investigation No. 701-TA-757 and antidumping duty investigation Nos. 731-TA-1737-1738 (Preliminary). Notice of the institution of the Commission’s investigations and of a public conference to be held in connection therewith was given by posting copies of the notice in the Office of the Secretary, U.S. International Trade Commission, Washington, DC, and by publishing the notice in the Federal Register of March 24, 2025 (90 FR 13497). The Commission conducted its conference on April 8, 2025. All persons who requested the opportunity were permitted to participate. 3 Views of the Commission Based on the record in the preliminary phase of these investigations, we determine that there is a reasonable indication that an industry in the United States is materially injured by reason of imports of polypropylene corrugated boxes (“PC boxes”) from China and Vietnam that are allegedly sold in the United States at less than fair value (“LTFV”) and imports of PC boxes from China that are allegedly subsidized by the government of China. The Legal Standard for Preliminary Determinations The legal standard for preliminary antidumping and countervailing duty determinations requires the Commission to determine, based upon the information available at the time of the preliminary determinations, whether there is a reasonable indication that a domestic industry is materially injured or threatened with material injury, or that the establishment of an industry is materially retarded, by reason of the allegedly unfairly traded imports.1 In applying this standard, the Commission weighs the evidence before it and determines whether “(1) the record as a whole contains clear and convincing evidence that there is no material injury or threat of such injury; and (2) no likelihood exists that contrary evidence will arise in a final investigation.”2 1 19 U.S.C. §§ 1671b(a), 1673b(a) (2000); see also American Lamb Co. v. United States, 785 F.2d 994, 1001–04 (Fed. Cir. 1986); Aristech Chem. Corp. v. United States, 20 CIT 353, 354–55 (1996). No party argues that the establishment of an industry in the United States is materially retarded by the allegedly unfairly traded imports. 2 American Lamb Co., 785 F.2d at 1001; see also Texas Crushed Stone Co. v. United States, 35 F.3d 1535, 1543 (Fed. Cir. 1994). 4 Background CoolSeal USA Inc. (“CoolSeal”), Inteplast Group Corporation (“Inteplast”), SeaCa Plastic Packaging (“SeaCa”), and Technology Container Corp. (“Tech Container”) (collectively, “Petitioners”), domestic producers of PC boxes, filed the petitions in these investigations on March 18, 2025.3 Petitioners participated in the staff conference accompanied by counsel and submitted a postconference brief.4 No respondent entities participated in the investigations. U.S. industry data are based on the questionnaire responses of six domestic producers, which accounted for the vast majority of U.S. production of PC boxes in 2024.5 The Commission received responses to its questionnaires from eight U.S. importers, which reported importing PC boxes from China and nonsubject sources during the 2022–2024 period of investigation (“POI”).6 Due to the large quantity of out-of-scope merchandise included in official import statistics from Commerce and the low coverage of subject imports afforded by importers’ questionnaire responses, particularly with respect to Vietnam, for preliminary phase purposes U.S. import data in these investigations are based upon ocean freight shipment manifest data from a third-party provider submitted by Petitioners as adjusted by Commission staff, unless 3 See Petitions for the Imposition of Antidumping and Countervailing Duties, EDIS Doc. 846078 (Mar. 18, 2025) (“Petitions”); Confidential Report, Memorandum INV-XX-051 (Apr. 25, 2025) (“CR”) at 1.1; Public Report, Polypropylene Corrugated Boxes from China and Vietnam, Inv. Nos. 701-TA-757 & 731-TA-1737–1738 (Preliminary), USITC Pub. 5622 (May 2025) (“PR”) at 1.1. 4 See Transcript of Preliminary Conference, EDIS Doc. 848201 (Apr. 8, 2025) (“Conf. Tr.”); Petitioners’ Postconference Brief, EDIS Doc. 848527 (Apr. 11, 2025) (“Petitioners’ Postconf. Br.”). 5 CR/PR at 1.4 & 3.1. 6 CR/PR at 4.1. None of the responding U.S. importers reported any imports of subject merchandise from Vietnam during the POI. Id. 5 otherwise stated.7 8 Using this shipment manifest data, the responding U.S. importers are estimated to have accounted for *** percent of subject imports from China and zero percent of subject imports from Vietnam in 2024.9 The Commission received responses to its questionnaires from two Chinese producers or exporters of subject merchandise, which accounted for approximately *** percent of production of PC boxes in China in 2024 and whose exports accounted for *** percent of subject imports from China in 2024.10 Domestic Like Product In determining whether there is a reasonable indication that an industry in the United States is materially injured or threatened with material injury by reason of imports of the subject merchandise, the Commission first defines the “domestic like product” and the 7 CR/PR at 4.1 n.2 & Table 4.2 note; see also Petitioners’ Postconf. Br. at 17–19. PC boxes are imported under Harmonized Tariff Schedule (“HTS”) statistical reporting number 3923.10.9000, which is a basket category containing both PC boxes and out-of-scope merchandise. CR/PR at 4.1 n.2. Using official import statistics, responding U.S. importers are estimated to have accounted for *** percent of subject imports from China in 2024. Id. at 4.1. Commission staff adjusted the shipment manifest data by removing shipments from U.S. importers and foreign exporters in subject countries that certified in response to the Commission’s questionnaires that they did not import or export subject merchandise during the POI. Id. at Table 4.2 note. 8 We will endeavor to improve the data coverage of imports from all sources in any final phase of the investigations. 9 Derived from U.S. Importers’ Questionnaires at II-5a; CR/PR at Table 4.2. 10 CR/PR at Table 7.1. The Commission received only one questionnaire response from a foreign producer or exporter of subject merchandise from Vietnam, which certified that it did not produce or export subject merchandise during the POI. Id. at 7.3; ***’s Foreign Producers’/Exporters’ Questionnaire. The responding foreign producers’ approximate share of production reflects the responding firms’ estimates of their shares of the total production of PC boxes in China during 2024. CR/PR at Table 7.1 note. Commission staff calculated the responding foreign producers’ exports as a share of total U.S. imports of PC boxes from China by dividing the export totals reported in questionnaire responses by the shipment manifest data submitted by Petitioners, as adjusted by staff. Id. 6 “industry.”11 Section 771(4)(A) of the Tariff Act of 1930, as amended (“the Tariff Act”), defines the relevant domestic industry as the “producers as a whole of a domestic like product, or those producers whose collective output of a domestic like product constitutes a major proportion of the total domestic production of the product.”12 In turn, the Tariff Act defines “domestic like product” as “a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation.”13 By statute, the Commission’s “domestic like product” analysis begins with the “article subject to an investigation,” i.e., the subject merchandise as determined by the U.S. Department of Commerce (“Commerce”).14 Therefore, Commerce’s determination as to the scope of the imported merchandise that is subsidized and/or sold at less than fair value is “necessarily the starting point of the Commission’s like product analysis.”15 The Commission then defines the domestic like product in light of the imported articles Commerce has identified.16 The decision regarding the appropriate domestic like product(s) in an investigation 11 19 U.S.C. § 1677(4)(A). 12 19 U.S.C. § 1677(4)(A). 13 19 U.S.C. § 1677(10). 14 19 U.S.C. § 1677(10). The Commission must accept Commerce’s determination as to the scope of the imported merchandise that is subsidized and/or sold at less than fair value. See, e.g., USEC, Inc. v. United States, 34 F. App’x 725, 730 (Fed. Cir. 2002) (“The ITC may not modify the class or kind of imported merchandise examined by Commerce.”); Algoma Steel Corp. v. United States, 688 F. Supp. 639, 644 (Ct. Int’l Trade 1988), aff’d, 865 F.3d 240 (Fed. Cir.), cert. denied, 492 U.S. 919 (1989). 15 Cleo Inc. v. United States, 501 F.3d 1291, 1298 (Fed. Cir. 2007); see also Hitachi Metals, Ltd. v. United States, 949 F.3d 710, 717 (Fed. Cir. 2020) (the statute requires the Commission to start with Commerce’s subject merchandise in reaching its own like product determination). 16 Cleo, 501 F.3d at 1298 n.1 (“Commerce’s {scope} finding does not control the Commission’s {like product} determination.”); Hosiden Corp. v. Advanced Display Mfrs., 85 F.3d 1561, 1568 (Fed. Cir. 1996) (the Commission may find a single like product corresponding to several different classes or kinds defined by Commerce); Torrington Co. v. United States, 747 F. Supp. 744, 748–52 (Ct. Int’l Trade 1990), aff’d, 938 F.2d 1278 (Fed. Cir. 1991) (affirming the Commission’s determination defining six like products in investigations where Commerce found five classes or kinds). 7 is a factual determination, and the Commission has applied the statutory standard of “like” or “most similar in characteristics and uses” on a case-by-case basis.17 No single factor is dispositive, and the Commission may consider other factors it deems relevant based on the facts of a particular investigation.18 The Commission looks for clear dividing lines among possible like products and disregards minor variations.19 The Commission may, where appropriate, include domestic articles in the domestic like product in addition to those described in the scope.20 A. Scope Definition In its notices of initiation, Commerce defined the imported merchandise within the scope of the investigations as follows: The merchandise covered by these investigations is polypropylene corrugated boxes. Polypropylene corrugated boxes are boxes, bins, totes, or other load-bearing containers made for holding goods, that are made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene fluted sheets, polypropylene twin wall sheets, 17 See, e.g., Cleo, 501 F.3d at 1299; NEC Corp. v. Dep’t of Commerce, 36 F. Supp. 2d 380, 383 (Ct. Int’l Trade 1998); Nippon Steel Corp. v. United States, 19 CIT 450, 455 (1995); Torrington Co. v. United States, 747 F. Supp. 744, 749 n.3 (Ct. Int’l Trade 1990), aff’d, 938 F.2d 1278 (Fed. Cir. 1991) (“every like product determination ‘must be made on the particular record at issue’ and the ‘unique facts of each case’”). The Commission generally considers a number of factors including the following: (1) physical characteristics and uses; (2) interchangeability; (3) channels of distribution; (4) customer and producer perceptions of the products; (5) common manufacturing facilities, production processes, and production employees; and, where appropriate, (6) price. See Nippon, 19 CIT at 455 n.4; Timken Co. v. United States, 913 F. Supp. 580, 584 (Ct. Int’l Trade 1996). 18 See, e.g., S. Rep. No. 96-249 at 90–91 (1979). 19 See, e.g., Nippon, 19 CIT at 455; Torrington, 747 F. Supp. at 748–49; see also S. Rep. No. 96- 249 at 90–91 (Congress has indicated that the like product standard should not be interpreted in “such a narrow fashion as to permit minor differences in physical characteristics or uses to lead to the conclusion that the product and article are not ‘like’ each other, nor should the definition of ‘like product’ be interpreted in such a fashion as to prevent consideration of an industry adversely affected by the imports under consideration.”). 20 See, e.g., Pure Magnesium from China and Israel, Inv. Nos. 701-TA-403 & 731-TA-895–896 (Final), USITC Pub. 3467 (Nov. 2001) at 8 n.34; Torrington, 747 F. Supp. at 748–49 (holding that the Commission is not legally required to limit the domestic like product to the product advocated by the petitioner, co-extensive with the scope). 8 or multi wall sheets. Such polypropylene sheets are ‘‘corrugated,’’ ‘‘fluted,’’ or ‘‘hollow core,’’ meaning the inside of the sheet contains channels or pockets of air which make the sheets lightweight, while retaining strength and durability. Polypropylene corrugated boxes are typically produced from a plastic resin consisting of 50 percent or more polypropylene. Polypropylene corrugated boxes are covered by the scope irrespective of the particular mix of polypropylene homo-polymer, polypropylene co-polymer, recycled or virgin polypropylene, or ancillary chemicals such as electrostatic agents or flame retardants. Polypropylene corrugated boxes are formed by corrugated polypropylene sheets cut to length, die-cut into specific box shapes, and may be cut or scored to allow each side of the box to be folded into shape. Polypropylene corrugated boxes may include a tab or attached portion of polypropylene corrugated sheet (commonly referred to as a ‘‘manufacturer’s joint’’) that has been cut, slotted, or scored to facilitate the formation of the box by stapling, gluing, welding, or taping the sides together to form a tight seal. One-piece polypropylene corrugated boxes are die-cut or otherwise formed so that the top, bottom, and sides form a single, contiguous unit. Two-piece polypropylene corrugated boxes are those with a folded bottom and a folded top as separate pieces. Multi- piece polypropylene corrugated boxes are those with separate bottoms and tops that are fitted to a single folded piece comprising the sides of the box. Polypropylene corrugated boxes may be printed with ink or digital designs. The subject merchandise includes polypropylene corrugated boxes with or without handles, with or without lids or tops, with or without reinforcing wire, whether in a one-piece, two-piece, or multi-piece configuration, and whether folded into shape or in an unfolded form. The subject merchandise includes all polypropylene corrugated boxes regardless of size, shape, or dimension. The subject merchandise also includes polypropylene corrugated box lids or tops when imported separately from polypropylene corrugated boxes. The products subject to these investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under statistical reporting number 3923.10.9000. Although the HTSUS statistical reporting number is provided for convenience and customs purposes, the written description of the merchandise is dispositive.21 21 Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations, 90 Fed. Reg. 15544 (Apr. 14, 2025); Polypropylene Corrugated Boxes from the People’s Republic of China: Initiation of Countervailing Duty Investigation, 90 Fed. Reg. 15555 (Apr. 14, 2025). 9 PC boxes are containers used to pack, store, or transport goods, primarily in the agriculture, seafood, and construction industries.22 They are produced from corrugated polypropylene sheets, which makes them strong, lightweight, waterproof, and recyclable.23 PC boxes are highly customizable and may include elements such as handles, lids, tops, wire reinforcement, manufacturers’ joints, and printed designs, depending on customer preference.24 B. Arguments of the Parties Petitioners argue that the Commission’s traditional domestic like product factors support defining a single domestic like product consisting of all PC boxes, coextensive with the scope.25 C. Analysis Based on the record in these preliminary phase investigations, we define a single domestic like product consisting of all PC boxes, coextensive with Commerce’s scope. Physical Characteristics and Uses. All PC boxes generally share the same physical characteristics and uses, although they may differ to a degree in size, shape, and finish according to their specific end-use application and customer preference.26 PC boxes typically have a square or rectangular bottom, four sides, and a lid or partially enclosed top wall.27 They are customizable and may include handles, wire reinforcement, and printed designs, depending 22 CR/PR at 1.7. 23 CR/PR at 1.7; Petitioners’ Postconf. Br. at 4–5. 24 CR/PR at 1.8. 25 Petitioners’ Postconf. Br. at 4–7. In contrast, Petitioners argue that PC boxes and non-PC boxes differ for most of these factors. Id. 26 CR/PR at 1.7–1.8; Petitioners’ Postconf. Br. at 4. 27 CR/PR at 1.7; Petitioners’ Postconf. Br. at 4. 10 on customer preference.28 PC boxes have a polypropylene content of at least 50 percent, and typically between 90 and 95 percent, with the remainder consisting of chemical additives such as talc, calcium carbonate, and colorants.29 They are made of corrugated (i.e., hollow core) polypropylene sheet.30 As a result of their polypropylene composition and corrugated wall structure, PC boxes are strong, lightweight, waterproof, and recyclable.31 With respect to use, all PC boxes are containers used to pack, store, or transport goods, primarily in the agriculture, seafood, and construction industries.32 In most applications, industry participants identify PC boxes by the products they are intended to store or transport (e.g., “asparagus boxes,” “oyster boxes,” or “cultured stone boxes”) rather than by dimensions.33 Most PC boxes are single-use, and they are often subject to food safety standards.34 In contrast, containers made of different materials or wall construction, such as waxed corrugated cardboard packaging, high density polyethylene (“HDPE”) boxes, and returnable or reusable plastic crates (“RPCs”), have physical characteristics and end uses that are distinguishable from those for PC boxes.35 Waxed corrugated cardboard packaging may have a corrugated wall structure like PC boxes, but it is composed of natural fibers, as opposed to 28 CR/PR at 1.8; Petitioners’ Postconf. Br. at 4. 29 CR/PR at 1.7; Petitioners’ Postconf. Br. at 4. 30 Petitioners’ Postconf. Br. at 4. 31 CR/PR at 1.7; Petitioners’ Postconf. Br. at 4–5. 32 CR/PR at 1.7; Petitioners’ Postconf. Br. at 4. 33 CR/PR at 1.7; Petitions, vol. I, at 8–9. 34 CR/PR at 2.1. The corrugated wall construction makes cleaning food-grade PC boxes impractical, so they must be recycled rather than reused. Conf. Tr. at 82, 83–84 (Nist). 35 Although commonly referred to as RPCs, Petitioners also describe these containers as “vented agricultural plastic boxes.” Petitioners’ Postconf. Br., Answers to Staff Questions at 5, Exhibit 3 at 1, Exhibit 4 at 1. 11 plastic, and cannot be recycled.36 Waxed corrugated cardboard packaging is water resistant but eventually deteriorates with prolonged exposure to moisture, unlike PC boxes.37 Although HDPE boxes and RPCs are made of plastic, like PC boxes, they usually have solid-core instead of corrugated walls, which makes them much heavier and weaker than PC boxes.38 According to Petitioners, HDPE boxes are not typically used in the agriculture, seafood, and construction industries, and their customer bases do not overlap with those of PC boxes.39 Rather, large retailers typically sell HDPE boxes to consumers as storage totes.40 RPCs come in a limited range of sizes, and suppliers do not customize RPCs to a customer’s specific use, like PC boxes.41 Suppliers rent RPCs to customers in the agriculture industry on a per-use basis to transport merchandise to retailers in a closed loop system.42 After use, the retailers send the RPCs to a washing system, where they are cleaned, sanitized, and then returned to a storage and dispatch facility for reuse.43 Because of the system’s complexity, retailers must register with an RPC program and only a few large retailers use such containers.44 36 CR/PR at 2.1; Petitioners’ Postconf. Br. at 5; Brown Packaging, The Manufacturing Process of Corrugated Boxes, EDIS Doc. 849795 (Jan. 30, 2025), https://brownpackaging.com/the-manufacturing- process-of-corrugated-boxes/. 37 CR/PR at 2.9; Petitioners’ Postconf. Br. at 5–6. 38 CR/PR at 2.10; Petitioners’ Postconf. Br. at 4–5. Taber H. Hinkle, president and general manager of petitioner CoolSeal, stated, “The vast majority (I estimate around 98 percent) of plastic corrugated boxes are made from polypropylene, whereas a very small percentage are made from polyethylene.” Petitioners’ Postconf. Br., Exhibit 4 at 1. He also observed that different plastics such as polypropylene and polyethylene are made from different monomers and possess different attributes. Id. According to Mr. Hinkle, neither CoolSeal nor its parent company, fellow petitioner Inteplast, produce plastic corrugated boxes made of polyethylene. Id. 39 Petitioners’ Postconf. Br. at 5. 40 Petitioners’ Postconf. Br. at 5. 41 Petitioners’ Postconf. Br., Exhibit 4 at 1; Conf. Tr. at 93 (Dowd). 42 Petitioners’ Postconf. Br. at 5, Exhibit 3 at 1; Conf. Tr. at 93 (Dowd). 43 Petitioners’ Postconf. Br. at 5, Exhibit 3 at 1. 44 Petitioners’ Postconf. Br. at 5, Exhibit 3 at 1–2. 12 Manufacturing Facilities, Production Processes, and Production Employees. All PC boxes are reportedly produced in the same manufacturing facilities, using the same production processes and employees, although their finishing operations may differ to some extent.45 PC boxes are produced through the extrusion of polypropylene resin into corrugated sheets, which then go through a variety of finishing operations depending on customer specifications.46 PC boxes are usually printed with designs and finishes per customer request using a rotary, digital, or silkscreen printing process.47 The sheets are then perforated and cut to customer specification and palletized.48 From there, some sheets may be formed into finished boxes, while other sheets may be shipped for customer assembly.49 Manufacturers may join sheets to form boxes by applying liquid adhesives or through a sonic welding procedure.50 Despite its corrugated wall structure, the production of waxed corrugated cardboard packaging is markedly different than that of PC boxes, although the finishing operations are similar. Waxed corrugated cardboard sheets are made of two outer layers of smooth linerboard with a layer of fluted medium in between, which are glued together with a starch- based adhesive.51 Like PC boxes, the cardboard sheets are then cut, perforated, printed, and glued, depending on customer preference, but when those steps occur can vary depending on 45 CR/PR at 1.9–1.10; Petitioners’ Postconf. Br. at 7; Petitions, vol. I, at 9–11. 46 CR/PR at 1.9–1.10; Petitioners’ Postconf. Br. at 7; Petitions, vol. I, at 9–11. 47 CR/PR at 1.9; Petitioners’ Postconf. Br. at 7; Petitions, vol. I, at 10. 48 CR/PR at 1.10; Petitioners’ Postconf. Br. at 7; Petitions, vol. I, at 10. 49 CR/PR at 1.8 & 1.10; Petitioners’ Postconf. Br. at 7; Petitions, vol. I, at 10. 50 CR/PR at 1.10; Petitions, vol. I, at 10–11. 51 Packing Corp. of Am., How Corrugated Boxes Are Made, EDIS Doc. 849795, https://www.packagingcorp.com/resource-hub/beyond-the-box/how-corrugated-boxes-are-made/ (last visited Apr. 28, 2025). 13 the equipment used.52 The boxes are printed using a flexographic printing process, and a wax coating is applied.53 The boxes can be shipped to customers fully assembled or in sheets for customer assembly.54 The entire production process may occur in multiple facilities.55 HDPE boxes and RPCs are produced through an injection molding process and cannot be folded like PC boxes.56 In their responses to the Commission’s questionnaires, four of six U.S. producers reported that they were unable to switch production between PC boxes and out-of-scope products using the same equipment and labor.57 Channels of Distribution. During the POI, domestic producers made U.S. shipments of PC boxes primarily to end users in the agriculture industry, with most of the balance sold to other end users and a minority to distributors.58 Petitioners contend that non-polypropylene corrugated boxes such as HDPE boxes and RPCs are not typically used by the same customers as 52 Packing Corp. of Am., How Corrugated Boxes Are Made, EDIS Doc. 849795, https://www.packagingcorp.com/resource-hub/beyond-the-box/how-corrugated-boxes-are-made/ (last visited Apr. 28, 2025). 53 Packing Corp. of Am., How Corrugated Boxes Are Made, EDIS Doc. 849795, https://www.packagingcorp.com/resource-hub/beyond-the-box/how-corrugated-boxes-are-made/ (last visited Apr. 28, 2025). 54 Packing Corp. of Am., How Corrugated Boxes Are Made, EDIS Doc. 849795, https://www.packagingcorp.com/resource-hub/beyond-the-box/how-corrugated-boxes-are-made/ (last visited Apr. 28, 2025). 55 Packing Corp. of Am., How Corrugated Boxes Are Made, EDIS Doc. 849795, https://www.packagingcorp.com/resource-hub/beyond-the-box/how-corrugated-boxes-are-made/ (last visited Apr. 28, 2025). 56 Petitioners’ Postconf. Br. at 4–5. 57 CR/PR at 2.4–2.5. The remaining two firms reported producing out-of-scope products on the same machinery used to produce PC boxes, although only one firm reported producing out-of-scope packaging. Id. at 3.6; ***’s U.S. Producers’ Questionnaire at II-4(a) (reporting the ability to produce, inter alia, “{p}harmaceutical and automotive returnable packaging”). 58 Domestic producers sold between *** and *** percent of the domestic like product to agricultural end users, between *** and *** percent to other end users, and between *** and *** percent to distributors on an annual basis during the POI. CR/PR at Table 2.2. 14 PC boxes.59 Although they acknowledge that PC boxes and waxed corrugated cardboard packaging have overlapping customer bases, Petitioners claim that customers that previously used waxed corrugated cardboard packaging are shifting to PC boxes because of the superior qualities of the latter.60 Interchangeability. The current record indicates that all PC boxes are reasonably interchangeable in that they are used as containers to pack, transport, and store goods, primarily in the agriculture, seafood, and construction industries. All PC boxes share unique physical characteristics imparted by their polypropylene content and corrugated wall structure that make them suitable for such uses. Although there may be differences between PC boxes designated for particular end uses that limit their interchangeability, there is no indication that such differences create any clear dividing lines within the spectrum of PC boxes, and some limitations on the interchangeability among types of products within such a grouping is not unexpected.61 Petitioners argue that PC boxes are commodity products and are thus interchangeable regardless of source.62 The differences in physical attributes discussed above limit the interchangeability of PC boxes and out-of-scope products such as waxed corrugated cardboard packaging, HDPE boxes, and RPCs in most applications. Although waxed corrugated cardboard packaging is used in the 59 Petitioners’ Postconf. Br. at 5. 60 Petitioners’ Postconf. Br. at 13. 61 See, e.g., Citric Acid and Certain Citrate Salts from Belgium, Colombia, and Thailand, Inv. Nos. 701-TA-581 & 731-TA-1374–1376 (Preliminary), USITC Pub. 4710 (July 2017) at 10–11 (“{A}s the Commission has indicated in other investigations where the scope encompasses a variety of products, a lack of interchangeability among types of products along the spectrum or included in a grouping of similar products is not unexpected. In those cases, the Commission considers the spectrum or grouping itself to constitute the domestic like product, and it disregards minor variations, absent a clear dividing line between particular products.”). 62 Petitioners’ Postconf. Br. at 6. 15 agriculture industry, it is not recyclable or waterproof, like PC boxes.63 While also used in the agriculture industry, RPCs are heavy due to their solid-core wall structure, limited in size availability, and not customized to customer preference, unlike PC boxes, and suppliers rent RPCs in a complex, closed-loop system requiring retailer registration.64 Like RPCs, HDPE boxes are heavier than PC boxes due to their solid-core walls, and they are not used in the agriculture, seafood, and construction industries.65 Producer and Customer Perceptions. According to Petitioners, producers and customers view all PC boxes as a single product category used to pack, store, and transport goods.66 The available evidence indicates that customers and producers would perceive non-polypropylene corrugated containers like waxed corrugated cardboard packaging, HDPE boxes, and RPCs to be separate products from PC boxes due to their different physical characteristics and end uses.67 Price. The pricing data indicate that prices for different PC boxes generally fell within a similar range and followed somewhat similar trends during the POI.68 Petitioners claim that PC boxes are commodity products sold on a per-pound basis, with larger boxes generally commanding higher prices.69 There is no information on the record concerning the relative prices of waxed corrugated cardboard packaging, HDPE boxes, and RPCs. 63 CR/PR at 2.1 & 2.9; Petitioners’ Postconf. Br. at 5–6. 64 Petitioners’ Postconf. Br. at 4–5, Exhibit 3 at 1–2, Exhibit 4 at 1; Conf. Tr. at 93 (Dowd). According to Petitioners, because of RPCs’ heavier weight and lack of customization, they are used in different applications within the agriculture industry than PC boxes. Petitioners’ Postconf. Br., Answers to Staff Questions at 5. 65 Petitioners’ Postconf. Br. at 4–5. 66 Petitioners’ Postconf. Br. at 6. 67 Petitioners’ Postconf. Br. at 6. 68 CR/PR at Tables 5.7–5.10 & Figures 5.3–5.6; Petitioners’ Postconf. Br. at 7. 69 Petitioners’ Postconf. Br. at 7. 16 Conclusion. The record of the preliminary phase of the investigations indicates that because all PC boxes share similar physical characteristics and uses, there is some degree of interchangeability between different types of PC boxes and that customers and producers view them as a single product category. The record also indicates that all PC boxes are made in the same manufacturing facilities using the same employees and largely the same production processes, sold through the same channels of distribution, and priced within a similar range, depending on weight. By contrast, waxed corrugated cardboard packaging, HDPE boxes, and RPCs have differing physical characteristics that dictate largely different end uses as compared to PC boxes. These differences would limit their interchangeability with PC boxes and correspond to differing customer and producer perceptions, although PC boxes and waxed corrugated cardboard packaging may be purchased by some of the same customers for similar uses. Other types of boxes are also produced in different facilities than PC boxes using different production processes and employees. Based on the preponderance of similarities between all types of PC boxes, and more than minor differences separating them from out-of-scope boxes, we define a single domestic like product consisting of all PC boxes, coextensive with Commerce’s scope.70 Domestic Industry The domestic industry is defined as the domestic “producers as a whole of a domestic like product, or those producers whose collective output of a domestic like product constitutes 70 In any final phase of the investigations, parties wishing to raise domestic like product issues must do so in their comments on the draft questionnaires. 19 C.F.R. § 207.20(b). Parties must clearly identify and explain the bases for the proposed domestic like product definitions and indicate the new information that would need to be collected for consideration of the proposed definitions. 17 a major proportion of the total domestic production of the product.”71 In defining the domestic industry, the Commission’s general practice has been to include in the industry producers of all domestic production of the like product, whether toll-produced, captively consumed, or sold in the domestic merchant market. Petitioners argue that the Commission should define the domestic industry as all domestic producers of PC boxes.72 There are no related parties issues, as no domestic producer reported importing subject merchandise during the POI, and no domestic producer is related to an importer or exporter of subject merchandise.73 Accordingly, consistent with our definition of the domestic like product, we define the domestic industry as all domestic producers of PC boxes. Negligible Imports Pursuant to section 771(24) of the Tariff Act, imports from a subject country of merchandise corresponding to a domestic like product that account for less than three percent of all such merchandise imported into the United States during the most recent 12 months for which data are available preceding the filing of the petition shall be deemed negligible.74 During the 12-month period preceding filing of the petitions (March 2024–February 2025), subject imports from China accounted for *** percent of total imports of PC boxes, and subject imports from Vietnam accounted for *** percent of total imports of PC boxes, based on 71 19 U.S.C. § 1677(4)(A). 72 Petitioners’ Postconf. Br. at 8–9. 73 CR/PR at 3.2 & 3.9; Petitioners’ Postconf. Br. at 9. 74 19 U.S.C. §§ 1671b(a), 1673b(a), 1677(24)(A)(i). The exceptions to the general three percent rule are not applicable to these investigations. 18 the best available data.75 Because subject imports from each subject country exceed the three percent negligibility threshold, we find that imports from both China and Vietnam subject to the antidumping duty investigations and imports from China subject to the countervailing duty investigation are not negligible. Cumulation For purposes of evaluating the volume and effects for a determination of reasonable indication of material injury by reason of subject imports, section 771(7)(G)(i) of the Tariff Act requires the Commission to cumulate subject imports from all countries as to which petitions were filed and/or investigations self-initiated by Commerce on the same day, if such imports compete with each other and with the domestic like product in the U.S. market. In assessing whether subject imports compete with each other and with the domestic like product, the Commission generally has considered four factors: (1) the degree of fungibility between subject imports from different countries and between subject imports and the domestic like product, including consideration of specific customer requirements and other quality related questions; (2) the presence of sales or offers to sell in the same geographic markets of subject imports from different countries and the domestic like product; (3) the existence of common or similar channels of distribution for subject imports from different countries and the domestic like product; and (4) whether the subject imports are simultaneously present in the market.76 75 CR/PR at Table 4.4. The volumes of imports from China subject to the antidumping and countervailing duty investigations are the same. 76 See Certain Cast-Iron Pipe Fittings from Brazil, the Republic of Korea, and Taiwan, Inv. Nos. 731-TA-278-80 (Final), USITC Pub. 1845 (May 1986), aff’d, Fundicao Tupy, S.A. v. United States, 678 F. Supp. 898 (Ct. Int’l Trade), aff’d, 859 F.2d 915 (Fed. Cir. 1988). 19 While no single factor is necessarily determinative, and the list of factors is not exhaustive, these factors are intended to provide the Commission with a framework for determining whether the subject imports compete with each other and with the domestic like product.77 Only a “reasonable overlap” of competition is required.78 A. Arguments of the Parties Petitioner’s Arguments. Petitioners argue that cumulation is mandatory in these investigations.79 As support, they assert that the petitions for both China and Vietnam were filed on the same day, and that all subject imports are fungible with each other and the domestic like product, sold through similar distribution channels in overlapping geographic markets, and simultaneously present in the U.S. market.80 For these reasons, they argue, the Commission should find that there is a reasonable overlap in competition between and among subject imports from China and Vietnam and the domestic like product.81 B. Analysis We consider subject imports from China and Vietnam on a cumulated basis because the statutory criteria for cumulation are satisfied. As an initial matter, Petitioners filed the antidumping duty petitions with respect to both countries and countervailing duty petition with 77 See, e.g., Wieland Werke, AG v. United States, 718 F. Supp. 50 (Ct. Int’l Trade 1989). 78 The Statement of Administrative Action (SAA) to the Uruguay Round Agreements Act (URAA), expressly states that “the new section will not affect current Commission practice under which the statutory requirement is satisfied if there is a reasonable overlap of competition.” H.R. Rep. No. 103- 316, vol. I at 848 (1994) (citing Fundicao Tupy, 678 F. Supp. at 902); see Goss Graphic Sys., Inc. v. United States, 33 F. Supp. 2d 1082, 1087 (Ct. Int’l Trade 1998) (“cumulation does not require two products to be highly fungible”); Wieland Werke, AG, 718 F. Supp. at 52 (“Completely overlapping markets are not required.”). 79 Petitioners’ Postconf. Br. at 12–13. 80 Petitioners’ Postconf. Br. at 9–12. 81 Petitioners’ Postconf. Br. at 12–13. 20 respect to China on the same day, March 18, 2025.82 The record indicates that there is a reasonable overlap of competition between subject imports from both countries, and between subject imports from each source and the domestic like product, for the reasons discussed below. Fungibility. The record indicates that domestically produced PC boxes and imports of PC boxes from China and Vietnam are generally fungible. Nearly all responding domestic producers reported that subject imports from each subject country were always interchangeable with each other as well as with domestically produced PC boxes.83 Most responding U.S. importers likewise reported that subject imports from each subject country were always or frequently interchangeable with each other and the domestic like product.84 The record also shows that responding U.S. producers and importers of subject merchandise from China sold substantial quantities of PC boxes of the same or similar dimensions and 82 CR/PR at 1.1. None of the statutory exceptions to cumulation applies. We observe that these investigations involve dumping allegations regarding PC boxes from China and Vietnam and subsidy allegations regarding PC boxes from China. Consequently, any decision to cumulate imports from all subject sources in these investigations will involve “cross-cumulating” dumped imports with subsidized imports. We have previously explained why we are continuing our longstanding practice of cross- cumulating. See Polyethylene Terephthalate (PET) Resin from Canada, China, India, and Oman, Inv. Nos. 701-TA-531–532 and 731-TA-1270–1273 (Final), USITC Pub. 4604 at 9–11 (Apr. 2016). 83 CR/PR at Table 2.8. Specifically, five producers provided interchangeability ratings of “always” for each country pair, while one producer provided a rating of “sometimes” for domestically produced PC boxes and subject imports from China. Id. 84 CR/PR at Table 2.9. Specifically, for domestically produced PC boxes and subject imports from China, four importers rated the products as always interchangeable, two importers rated the products as frequently interchangeable, and one importer rated the products as sometimes interchangeable. Id. For domestically produced PC boxes and subject imports from Vietnam, two importers rated the products as always interchangeable, and one importer rated the products as sometimes interchangeable. Id. For subject imports from China and Vietnam, two importers rated the products as always interchangeable, and one importer rated the products as sometimes interchangeable. Id. 21 polypropylene content to U.S. customers.85 Relatedly, responding domestic producers and U.S. importers of subject merchandise from China reported sales of all four pricing products during the POI.86 Channels of Distribution. During the POI, domestic producers made U.S. shipments of PC boxes primarily to agricultural end users, with most of the balance sold to other end users and a minority to distributors.87 During the same period, responding U.S. importers made an even larger proportion of their U.S. shipments of PC boxes to agricultural end users, with small shares of their shipments made to other end users and distributors.88 Geographic Overlap. U.S. producers reported shipping the domestic like product to all regions in the United States during the POI.89 Responding U.S. importers reported shipping imports from China to all regions in the contiguous United States during the POI.90 According to 85 Specifically, responding U.S. producers reported that *** percent of their U.S. shipments of the domestic like product were 19 to 20 inches long by 12 to 13 inches wide, *** percent were 19 to 20 inches long by 10 to 11 inches wide, and *** percent were all other dimensions. CR/PR at Table 4.5. They also reported that *** percent of their shipments had a polypropylene content greater than 50 but less than 90 percent, and *** percent of shipments had a polypropylene content greater than or equal to 90 percent. Id. at Table 4.6. Responding U.S. importers reported that *** percent of their U.S. shipments of PC boxes from China were 19 to 20 inches long by 12 to 13 inches wide, *** percent were 19 to 20 inches long by 10 to 11 inches wide, and *** percent were all other dimensions. Id. at Table 4.5. They also reported that *** percent of their shipments had a polypropylene content greater than 50 but less than 90 percent, and *** percent of shipments had a polypropylene content greater than or equal to 90 percent. Id. at Table 4.6. 86 CR/PR at 5.7 & Tables 5.7–5.10. As discussed further below, the four pricing products consist of two types of corn PC boxes, asparagus PC boxes, and vegetable/broccoli PC boxes. Id. at 5.7. 87 Domestic producers sold between *** and *** percent of the domestic like product to agricultural end users, between *** and *** percent to other end users, and between *** and *** percent to distributors on an annual basis during the POI. CR/PR at Table 2.2. 88 U.S. importers sold between *** and *** percent of PC boxes from China to agricultural end users, between *** and *** percent to other end users, and between *** and *** percent to distributors on an annual basis during the POI. CR/PR at Table 2.2. 89 CR/PR at Table 2.3. 90 CR/PR at Table 2.3. Unlike the domestic producers, no U.S. importers reported shipping subject imports from China to Alaska, Hawaii, Puerto Rico, or the U.S. Virgin Islands. Id. 22 official U.S. import statistics, in 2024, the majority of imports of boxes, cases, crates, and other articles of plastic from China under HTS number 3923.10.9000, which includes PC boxes and out-of-scope products, entered through ports located in the West, while substantial quantities also entered through ports located in the North, South, and East.91 The majority of such imports from Vietnam entered through ports located in the East and West in 2024, while substantial quantities also entered through ports located in the North and South.92 Simultaneous Presence in Market. Domestically produced PC boxes were sold in the U.S. market throughout the POI, based on pricing data, and imports of boxes, cases, crates, and other articles of plastic from each subject country under HTS number 3923.10.9000, which includes PC boxes and out-of-scope products, were present in the U.S. market during every month of the POI, based on official U.S. import statistics.93 Conclusion. The record indicates that subject imports from China and Vietnam are generally fungible with the domestic like product and each other. It also shows that subject imports from both countries and the domestic like product were sold in overlapping channels of distribution and geographic markets and were simultaneously present in the U.S. market throughout the POI. Because there appears to be a reasonable overlap of competition between and among subject imports from China and Vietnam and the domestic like product, we analyze 91 CR/PR at Table 4.7. We recognize that official import statistics include PC boxes and out-of- scope products, but rely on these data as the best information available on the current record concerning the ports of entry of subject imports from China and Vietnam. 92 CR/PR at Table 4.7. 93 CR/PR at Tables 4.8 & 5.7–5.10. We recognize that official import statistics include PC boxes and out-of-scope products, but rely on these data as the best information available on the current record concerning the simultaneous presence of subject imports from China and Vietnam in the U.S. market. 23 subject imports from China and Vietnam on a cumulated basis in determining whether there is a reasonable indication of material injury by reason of subject imports. Reasonable Indication of Material Injury by Reason of Subject Imports A. Legal Standard In the preliminary phase of antidumping and countervailing duty investigations, the Commission determines whether there is a reasonable indication that an industry in the United States is materially injured or threatened with material injury by reason of the imports under investigation.94 In making this determination, the Commission must consider the volume of subject imports, their effect on prices for the domestic like product, and their impact on domestic producers of the domestic like product, but only in the context of U.S. production operations.95 The statute defines “material injury” as “harm which is not inconsequential, immaterial, or unimportant.”96 In assessing whether there is a reasonable indication that the domestic industry is materially injured by reason of subject imports, we consider all relevant economic factors that bear on the state of the industry in the United States.97 No single factor is dispositive, and all relevant factors are considered “within the context of the business cycle and conditions of competition that are distinctive to the affected industry.”98 Although the statute requires the Commission to determine whether there is a reasonable indication that the domestic industry is “materially injured or threatened with 94 19 U.S.C. §§ 1671b(a), 1673b(a). 95 19 U.S.C. § 1677(7)(B). The Commission “may consider such other economic factors as are relevant to the determination” but shall “identify each {such} factor … and explain in full its relevance to the determination.” 19 U.S.C. § 1677(7)(B). 96 19 U.S.C. § 1677(7)(A). 97 19 U.S.C. § 1677(7)(C)(iii). 98 19 U.S.C. § 1677(7)(C)(iii). 24 material injury by reason of” unfairly traded imports,99 it does not define the phrase “by reason of,” indicating that this aspect of the injury analysis is left to the Commission’s reasonable exercise of its discretion.100 In identifying a causal link, if any, between subject imports and material injury to the domestic industry, the Commission examines the facts of record that relate to the significance of the volume and price effects of the subject imports and any impact of those imports on the condition of the domestic industry. This evaluation under the “by reason of” standard must ensure that subject imports are more than a minimal or tangential cause of injury and that there is a sufficient causal, not merely a temporal, nexus between subject imports and material injury.101 In many investigations, there are other economic factors at work, some or all of which may also be having adverse effects on the domestic industry. Such economic factors might include nonsubject imports; changes in technology, demand, or consumer tastes; competition among domestic producers; or management decisions by domestic producers. The legislative history explains that the Commission must examine factors other than subject imports to ensure that it is not attributing injury from other factors to the subject imports, thereby 99 19 U.S.C. §§ 1671b(a), 1673b(a). 100 Angus Chemical Co. v. United States, 140 F.3d 1478, 1484–85 (Fed. Cir. 1998) (“{T}he statute does not ‘compel the commissioners’ to employ {a particular methodology}.”), aff’g 944 F. Supp. 943, 951 (Ct. Int’l Trade 1996). 101 The Federal Circuit, in addressing the causation standard of the statute, observed that “{a}s long as its effects are not merely incidental, tangential, or trivial, the foreign product sold at less than fair value meets the causation requirement.” Nippon Steel Corp. v. USITC, 345 F.3d 1379, 1384 (Fed. Cir. 2003). This was further ratified in Mittal Steel Point Lisas Ltd. v. United States, 542 F.3d 867, 873 (Fed. Cir. 2008), where the Federal Circuit, quoting Gerald Metals, Inc. v. United States, 132 F.3d 716, 722 (Fed. Cir. 1997), stated that “this court requires evidence in the record ‘to show that the harm occurred “by reason of” the LTFV imports, not by reason of a minimal or tangential contribution to material harm caused by LTFV goods.’” See also Nippon Steel Corp. v. United States, 458 F.3d 1345, 1357 (Fed. Cir. 2006); Taiwan Semiconductor Industry Ass’n v. USITC, 266 F.3d 1339, 1345 (Fed. Cir. 2001). 25 inflating an otherwise tangential cause of injury into one that satisfies the statutory material injury threshold.102 In performing its examination, however, the Commission need not isolate the injury caused by other factors from injury caused by unfairly traded imports.103 Nor does the “by reason of” standard require that unfairly traded imports be the “principal” cause of injury or contemplate that injury from unfairly traded imports be weighed against other factors, such as nonsubject imports, which may be contributing to overall injury to an industry.104 It is 102 SAA at 851–52 (“{T}he Commission must examine other factors to ensure that it is not attributing injury from other sources to the subject imports.”); S. Rep. No. 96-249 at 75 (1979) (the Commission “will consider information which indicates that harm is caused by factors other than less- than-fair-value imports.”); H.R. Rep. No. 96-317 at 47 (1979) (“in examining the overall injury being experienced by a domestic industry, the ITC will take into account evidence presented to it which demonstrates that the harm attributed by the petitioner to the subsidized or dumped imports is attributable to such other factors”; those factors include “the volume and prices of nonsubsidized imports or imports sold at fair value, contraction in demand or changes in patterns of consumption, trade restrictive practices of and competition between the foreign and domestic producers, developments in technology and the export performance and productivity of the domestic industry”); accord Mittal Steel, 542 F.3d at 877. 103 SAA at 851–52 (“{T}he Commission need not isolate the injury caused by other factors from injury caused by unfair imports.”); Taiwan Semiconductor Industry Ass’n, 266 F.3d at 1345 (“{T}he Commission need not isolate the injury caused by other factors from injury caused by unfair imports . . . Rather, the Commission must examine other factors to ensure that it is not attributing injury from other sources to the subject imports.” (emphasis in original)); Asociacion de Productores de Salmon y Trucha de Chile AG v. United States, 180 F. Supp. 2d 1360, 1375 (Ct. Int’l Trade 2002) (“{T}he Commission is not required to isolate the effects of subject imports from other factors contributing to injury” or make “bright-line distinctions” between the effects of subject imports and other causes.); see also Softwood Lumber from Canada, Inv. Nos. 701-TA-414 & 731-TA-928 (Remand), USITC Pub. 3658 at 100–01 (Dec. 2003) (Commission recognized that “{i}f an alleged other factor is found not to have or threaten to have injurious effects to the domestic industry, i.e., it is not an ‘other causal factor,’ then there is nothing to further examine regarding attribution to injury” (citing Gerald Metals, 132 F.3d at 722 (the statute “does not suggest that an importer of LTFV goods can escape countervailing duties by finding some tangential or minor cause unrelated to the LTFV goods that contributed to the harmful effects on domestic market prices.”))). 104 S. Rep. No. 96-249 at 74–75; H.R. Rep. No. 96-317 at 47. 26 clear that the existence of injury caused by other factors does not compel a negative determination.105 Assessment of whether material injury to the domestic industry is “by reason of” subject imports “does not require the Commission to address the causation issue in any particular way” as long as “the injury to the domestic industry can reasonably be attributed to the subject imports.”106 The Commission ensures that it has “evidence in the record” to “show that the harm occurred ‘by reason of’ the LTFV imports,” and that it is “not attributing injury from other sources to the subject imports.”107 The Federal Circuit has examined and affirmed various Commission methodologies and has disavowed “rigid adherence to a specific formula.”108 The question of whether the material injury threshold for subject imports is satisfied notwithstanding any injury from other factors is factual, subject to review under the substantial 105 See Nippon Steel Corp., 345 F.3d at 1381 (“{A}n affirmative material-injury determination under the statute requires no more than a substantial-factor showing. That is, the ‘dumping’ need not be the sole or principal cause of injury.”). 106 Mittal Steel, 542 F.3d at 876, 878; see also id. at 873 (“While the Commission may not enter an affirmative determination unless it finds that a domestic industry is materially injured ‘by reason of’ subject imports, the Commission is not required to follow a single methodology for making that determination . . . {and has} broad discretion with respect to its choice of methodology.” (citing U.S. Steel Group v. United States, 96 F.3d 1352, 1362 (Fed. Cir. 1996); S. Rep. No. 96-249 at 75)). In its decision in Swiff-Train v. United States, 793 F.3d 1355 (Fed. Cir. 2015), the Federal Circuit affirmed the Commission’s causation analysis as comporting with the Court’s guidance in Mittal. 107 Mittal Steel, 542 F.3d at 873, 877–79 (quoting Gerald Metals, 132 F.3d at 722). One relevant “other factor” may involve the presence of significant volumes of price-competitive nonsubject imports in the U.S. market, particularly when a commodity product is at issue. In appropriate cases, the Commission collects information regarding nonsubject imports and producers in nonsubject countries in order to conduct its analysis. 108 Nucor Corp. v. United States, 414 F.3d 1331, 1336, 1341 (Fed. Cir. 2005); see also Mittal Steel, 542 F.3d at 879 (“Bratsk did not read into the antidumping statute a Procrustean formula for determining whether a domestic injury was ‘by reason’ of subject imports.”). 27 evidence standard.109 Congress has delegated this factual finding to the Commission because of the agency’s institutional expertise in resolving injury issues.110 B. Conditions of Competition and the Business Cycle The following conditions of competition inform our analysis of whether there is a reasonable indication of material injury by reason of subject imports. 1. Demand Conditions Domestic demand for PC boxes is largely driven by the packaging needs of customers in the agriculture, seafood, and construction industries, as well as by the increasing emphasis that such customers have placed on eco-sustainability.111 All responding domestic producers reported that overall U.S. demand for PC boxes has increased since January 1, 2022, while most U.S. importers reported that demand has fluctuated.112 During the POI, the U.S. real gross output for the farming and construction sectors grew overall by 1.8 and 7.0 percent, respectively, compared to growth of 6.5 percent for all industry sectors combined.113 Petitioners claim that demand for PC boxes increased rapidly over the POI and is currently “booming.”114 They argue that they “designed and created PC Boxes to fill a 109 We provide in our discussion below a full analysis of other factors alleged to have caused any material injury experienced by the domestic industry. 110 Mittal Steel, 542 F.3d at 873; Nippon Steel Corp., 458 F.3d at 1350 (citing U.S. Steel Group, 96 F.3d at 1357); S. Rep. No. 96-249 at 75 (“The determination of the ITC with respect to causation is . . . complex and difficult, and is a matter for the judgment of the ITC.”). 111 CR/PR at 2.8; Petitioners’ Postconf. Br. at 13. Petitioners claim that the needs of the agriculture industry in particular drive domestic demand for PC boxes. Petitioners’ Postconf. Br. at 13. 112 CR/PR at Table 2.5. Specifically, six domestic producers and one U.S. importer reported that overall demand increased during the POI, while four importers reported that demand fluctuated, and two importers reported no change in demand. Id. 113 CR/PR at Table 2.6 & Figure 2.1. Disaggregated data for the fishing sector were not available. Id. at Table 2.6 note & Figure 2.1 note. 114 Petitioners’ Postconf. Br. at 13. 28 particular customer need and foresaw that demand would grow rapidly as a result.”115 While their marketing efforts were instrumental in increasing demand for PC boxes over the POI, they argue, domestic producers have been unable to fully benefit from increased demand because of underselling by subject imports.116 Five of six domestic producers and three of seven responding U.S. importers reported that demand for PC boxes is not subject to business cycles.117 The remaining producer and importers reported that the U.S. market experiences some seasonality stemming from holidays and harvest seasons, with peak seasons occurring in the summer and autumn.118 Apparent U.S. consumption of PC boxes increased from *** pounds in 2022 to *** pounds in 2023 and *** pounds in 2024, for an overall increase of *** percent during the POI.119 2. Supply Conditions The domestic industry was the largest supply source for the U.S. market during the POI.120 The industry’s share of apparent U.S. consumption declined from *** percent in 2022 to *** percent in 2023 and *** percent in 2024, for an overall decline of *** percentage points.121 115 Petitioners’ Postconf. Br. at 13. 116 Conf. Tr. at 97 (Rosenthal). 117 CR/PR at 2.7. 118 CR/PR at 2.7. According to one domestic producer, there is very little seasonality in U.S. demand for PC boxes in the agriculture industry because regions of the country harvest various fruits and vegetables at different times throughout each year. Id.; Conf. Tr. at 79 (Hinkle). 119 CR/PR at Tables 4.9 & C.1. 120 CR/PR at Tables 4.9 & C.1. 121 CR/PR at Tables 4.9 & C.1. 29 Domestic producers reported excess capacity during the POI, primarily due to the loss of sales to low-priced subject imports.122 Several U.S. producers also announced expansions and new equipment installations during the period, including SeaCa, MDI, and ***.123 At the end of 2024, Inteplast acquired fellow petitioner CoolSeal, although CoolSeal will continue operating as its subsidiary.124 All six responding domestic producers reported that they did not experience supply constraints during the POI.125 The domestic industry’s practical PC boxes capacity increased from 86.4 million pounds in 2022 to 99.7 million pounds in 2023 and 104.9 million pounds in 2024, for an overall increase of 21.4 percent.126 Its practical capacity utilization rate decreased from 49.4 percent in 2022 to 45.0 percent in 2023 and 44.3 percent in 2024, for an overall decrease of 5.1 percentage points.127 Cumulated subject imports were the smallest supply source for the U.S. market in 2022 before growing to the second-largest source for the remainder of the POI.128 Subject imports’ share of apparent U.S. consumption increased from *** percent in 2022 to *** percent in 2023 and *** percent in 2024, for an overall increase of *** percentage points.129 Nonsubject imports were the second-largest supply source for the U.S. market in 2022 before falling to the smallest source for the remainder of the POI.130 Their share of apparent 122 CR/PR at Table 3.6. Specifically, three producers, ***, ***, and ***, reported that they had excess capacity after losing orders to low-priced subject imports. Id. 123 CR/PR at Tables 3.3–3.4. 124 CR/PR at Table 3.3. 125 CR/PR at 2.6. 126 CR/PR at Tables 3.5 & C.1. 127 CR/PR at Tables 3.5 & C.1. 128 CR/PR at Tables 4.9 & C.1. 129 CR/PR at Tables 4.9 & C.1. 130 CR/PR at Tables 4.9 & C.1. 30 U.S. consumption decreased from *** percent in 2022 to *** percent in 2023, and then increased to *** percent in 2024, for an overall decrease of *** percentage points.131 According to responding U.S. importers, the largest sources of nonsubject imports over the POI were Peru and India, which together accounted for *** percent of reported nonsubject imports in 2024.132 Of the responding U.S. importers, three of six reported that they had not experienced supply constraints during the POI.133 The three importers that did experience supply constraints attributed those issues to the COVID-19 pandemic, exceedingly high ocean freight costs, and port issues in 2022.134 3. Substitutability and Other Conditions Based on the record in the preliminary phase of these investigations, we find that there is at least a moderate-to-high degree of substitutability between cumulated subject imports and domestically produced PC boxes. As discussed above, nearly all responding domestic producers and U.S. importers reported that PC boxes from each subject country were always or frequently interchangeable with the domestic like product.135 Other factors contributing to this level of substitutability are similar quality and availability, replicability of design elements, and 131 CR/PR at Tables 4.9 & C.1. 132 CR/PR at 2.6. 133 CR/PR at 2.6. 134 CR/PR at 2.6. 135 CR/PR at Tables 2.8–2.9. 31 limited significant purchase factors other than price.136 Differences in some factors, such as lead times, may limit substitutability to some extent.137 We also find that price is an important factor in purchasing decisions for PC boxes, among other important factors.138 Of the eight purchasers that responded to the Commission’s lost sales/lost revenue survey, six ranked price/cost as among their top three purchasing factors, while seven purchasers ranked quality and four purchasers ranked service/reliability as among their top three purchasing factors.139 All responding domestic producers reported that differences other than price were never significant between the domestic like product and PC boxes from both subject countries, while U.S. importers were divided.140 Responding importers reported that factors such as product quality, availability, reliability of supplier or service, and transportation networks factor into their sales of PC boxes.141 During the POI, domestic producers and U.S. importers primarily sold PC boxes through short-term contracts and the remainder via spot sales.142 Domestic producers and importers reported setting prices using transaction-by-transaction negotiations, contracts, set price lists, 136 CR/PR at 2.10 & Tables 2.8–2.9. 137 CR/PR at 2.10. We intend to investigate further in any final phase of these investigations the extent to which factors such as lead times may limit substitutability and whether a finding of a higher degree of substitutability is appropriate. 138 CR/PR at Table 2.7. 139 CR/PR at Table 2.7. 140 CR/PR at Tables 2.10–2.11. Specifically, of seven responding U.S. importers, one reported that differences other than price were always significant between the domestic like product and PC boxes from China, two reported that differences other than price were frequently significant, two reported that differences other than price were sometimes significant, and two reported that differences other than price were never significant. Id. at Table 2.11. Of three responding U.S. importers, two reported that differences other than price were frequently significant between the domestic like product and PC boxes from Vietnam, while one reported that differences other than price were sometimes significant. Id. 141 CR/PR at 2.13. 142 CR/PR at Table 5.6. 32 and other methods.143 Most domestic producers and U.S. importers reported that they quote prices on a delivered basis and do not offer discounts.144 Domestic producers reported that 82.7 percent of their commercial shipments were produced to order and the remaining 17.3 percent sold from inventory, with lead times averaging 18.9 and 1.8 days, respectively.145 Importers of subject merchandise reported that 62.5 percent of their commercial shipments were produced to order and 37.5 percent sold from U.S. inventories, with lead times averaging 66.3 and 3.3 days, respectively.146 The primary raw material used in the production of PC boxes is plastic resin consisting of 50 percent or more of polypropylene.147 Polypropylene is produced through the polymerization of propylene, which is derived from crude oil, propane, or coal.148 Other raw materials include talc, calcium carbonate, and coloring.149 According to data from Krungsri Research, worldwide prices for polypropylene and propylene fluctuated but decreased overall by 23.2 percent and 17.3 percent, respectively, between January 2022 and October 2024.150 Over the POI, data from the U.S. Energy Information Administration show that global crude oil 143 CR/PR at Table 5.5. 144 CR/PR at 5.6. 145 CR/PR at 2.11. 146 CR/PR at 2.11. 147 CR/PR at 5.1. Domestic producers report primarily using virgin polypropylene, although some also recycle scrap or post-consumer polypropylene. Id. at 5.1 & 6.14. 148 CR/PR at 5.1 & 5.3. Propane is a byproduct of natural gas processing and crude oil refining. Id. at 5.3. The method of deriving propylene from coal is used primarily in China. Id. 149 CR/PR at 6.14. 150 CR/PR at Tables 5.1–5.2 & Figure 5.1. Prices of polypropylene and propylene were not available for the last two months of 2024. 33 prices fluctuated but declined overall by 15.7 percent, while data from the World Bank similarly show that global energy prices fluctuated but declined overall by 20.5 percent.151 Raw material costs represent the largest component of the domestic industry’s cost of goods sold (“COGS”), with raw materials’ share of COGS declining irregularly from *** percent in 2022 to *** percent in 2024.152 One domestic producer reported indexing annual contracts to raw material prices.153 One U.S. importer reported indexing short-term contracts to raw material prices, but clarified that its price quotations are based on the price of raw materials.154 No other domestic producer or U.S. importer reported indexing contracts to raw material prices, regardless of contract length.155 One of six responding domestic producers and six of eight U.S. importers identified one or more substitutes for PC boxes.156 Reported substitutes include waxed or plain corrugated cardboard boxes, wood crates, RPCs, wire-bound crates, dry boxes, and cascade wax boxes.157 PC boxes from China are currently subject to an additional 25 percent ad valorem duty under section 301 of the Trade Act of 1974 and additional ad valorem duties of 20 and 125 151 CR/PR at Tables 5.3–5.4 & Figure 5.2. For its global energy price index, the World Bank allocates a weight of 84.6 percent to crude oil prices, 10.8 percent to natural gas prices, and 4.7 percent to coal prices. Id. at 5.3 n.5. 152 CR/PR at Table 6.1. 153 ***’s U.S. Producers’ Questionnaire at IV-7. The producer did not identify the indexes it uses. Id. 154 ***’s U.S. Importers’ Questionnaire at III-8. 155 See U.S. Producers’ Questionnaires at IV-7; U.S. Importers’ Questionnaires at III-8. 156 CR/PR at 2.9. 157 CR/PR at 2.9. 34 percent under the International Emergency Economic Powers Act (“IEEPA”).158 PC boxes from Vietnam are currently subject to an additional 10 percent ad valorem duty under IEEPA.159 C. Volume of Subject Imports Section 771(7)(C)(i) of the Tariff Act provides that the “Commission shall consider whether the volume of imports of the merchandise, or any increase in that volume, either in absolute terms or relative to production or consumption in the United States, is significant.”160 The volume of cumulated subject imports increased from *** pounds in 2022 to *** pounds in 2023 and *** pounds in 2024, for an overall increase of *** percent over the POI.161 Subject imports as a share of apparent U.S. consumption increased from *** percent in 2022 to *** percent in 2023 and *** percent in 2024, for an overall increase of *** percentage points over the period.162 158 CR/PR at 1.6–1.7. Effective September 24, 2018, PC boxes from China became subject to an additional 10 percent ad valorem duty under section 301, which increased to 25 percent on May 10, 2019. Id. at 1.6. No responding domestic producer and one of seven responding U.S. importers reported that section 301 tariffs on Chinese-origin products had an impact on the domestic PC boxes market. Id. at 2.2. The lone importer answering in the affirmative reported that “pricing has considerably changed to the end user and allows domestic suppliers to produce cheaper than importing.” Id. Effective February 4, 2025, PC boxes from China became subject to an additional 10 percent ad valorem duty under IEEPA, which increased to 20 percent on March 4, 2025. Id. at 1.6. Effective April 5, 2025, PC boxes from China became subject to a second additional 10 percent ad valorem duty under IEEPA, which rose to 84 percent on April 9, 2025, and to 125 percent on April 10, 2025. Id. at 1.7. 159 CR/PR at 1.7. Effective April 5, 2025, PC boxes from Vietnam became subject to an additional 10 percent ad valorem duty under IEEPA, which increased to 46 percent on April 9, 2025, and returned to 10 percent on April 10, 2025. Id. 160 19 U.S.C. § 1677(7)(C)(i). 161 CR/PR at Tables 4.2–4.3 & C.1. The volume of cumulated subject imports increased by *** percent from 2022 to 2023 and *** percent from 2023 to 2024. Id. 162 CR/PR at Tables 4.9 & C.1. From 2022 to 2023, the increase in the volume of subject imports of *** pounds outpaced the increase in apparent U.S. consumption of *** pounds. Id. 35 Accordingly, based on the record in the preliminary phase of these investigations, we find that the volume of cumulated subject imports and the increase in that volume are significant, both in absolute terms and relative to U.S. consumption. D. Price Effects of the Subject Imports Section 771(7)(C)(ii) of the Tariff Act provides that, in evaluating the price effects of subject imports, the Commission shall consider whether – (I) there has been significant price underselling by the imported merchandise as compared with the price of domestic like products of the United States, and (II) the effect of imports of such merchandise otherwise depresses prices to a significant degree or prevents price increases, which otherwise would have occurred, to a significant degree.163 As discussed above, we find that there is at least a moderate-to-high degree of substitutability between subject imports and domestically produced PC boxes and that price is an important factor in purchasing decisions, among other important factors. The Commission collected quarterly pricing data from the responding domestic producers and U.S. importers for the total quantity and f.o.b. value of four pricing products shipped to unrelated customers during the POI.164 Four domestic producers and two U.S. 163 19 U.S.C. § 1677(7)(C)(ii). 164 The four pricing products are as follows: Product 1.-- Eastern corn box, 19-20 inches long, 12-13 inches wide, 10.5-11.5 inches deep; sheet thickness of 4 millimeters, printed Product 2.-- Western corn box, 19-20 inches long, 12-13 inches wide, 11.6-13 inches deep; sheet thickness of 4 millimeters, printed Product 3.-- 5-kilogram asparagus box, of various dimensions, printed Product 4.-- 60-count vegetable/broccoli box, 19-20 inches long, 11-12 inches wide, 10.5-11.5 inches deep, sheet thickness of 4 millimeters, printed CR/PR at 5.7. 36 importers provided usable pricing data for sales of the requested products, although not all firms reported pricing for all products for all quarters.165 Pricing data reported by these firms accounted for 32.8 percent of U.S. shipments of domestically produced PC boxes and 27.0 percent of U.S. shipments of subject imports from China.166 Subject imports undersold the domestic like product in 13 of 17 quarterly comparisons, or 76.5 percent of the time, at margins ranging from *** to *** percent and averaging *** percent.167 There were *** pounds of reported subject import sales in quarters of underselling, equivalent to *** percent of the total volume of reported sales of subject imports covered by the Commission’s pricing data during the POI.168 Subject imports oversold domestically produced PC boxes in 4 of 17 quarterly comparisons, or 23.5 percent of the time, at margins ranging from *** to *** percent and averaging *** percent.169 There were *** pounds of subject import sales in quarters of overselling, equivalent to *** percent of the total volume of reported sales of subject imports.170 165 CR/PR at 5.7. 166 CR/PR at 5.7. Pricing coverage is based on U.S. shipments reported in responses to the Commission’s questionnaires. Id. at 5.7 n.8. No responding U.S. importer reported sales of PC boxes from Vietnam during the POI. Id. at 5.7. We will endeavor to improve the pricing coverage of imports from both China and Vietnam in any final phase of the investigations. 167 CR/PR at Table 5.12. 168 CR/PR at Table 5.12. On an annual basis, subject imports undersold domestically produced PC boxes in 3 of 4 quarterly comparisons (75.0 percent) in 2022, 5 of 6 quarterly comparisons (83.3 percent) in 2023, and 5 of 7 quarterly comparisons (71.4 percent) in 2024. Id. at Table 5.14. There were *** pounds of subject import sales (*** percent of total volume) in quarters of underselling during 2022, *** pounds of subject import sales (*** percent of total volume) in quarters of underselling during 2023, and *** pounds of subject import sales (*** percent of total volume) in quarters of underselling during 2024. Id. 169 CR/PR at Table 5.12. 170 CR/PR at Table 5.12. 37 We have also considered purchasers’ responses to the Commission’s lost sales/lost revenue survey. Commission staff contacted 34 purchasers identified by domestic producers and received responses to the survey from 8, who reported purchasing *** pounds of PC boxes during the POI, including *** pounds of subject imports.171 Six responding purchasers reported that they had purchased subject imports instead of domestically produced PC boxes, and five of those purchasers reported that the price of subject imports was lower than the price of the domestic product.172 Of those five purchasers, four reported that price was a primary reason for their decision to purchase subject imports rather than domestically produced PC boxes, and three estimated purchasing *** pounds of subject imports rather than the domestic like product, equivalent to *** percent of reported purchases of subject imports and *** percent of apparent U.S. consumption during the POI.173 Given the at least moderate-to-high degree of substitutability between cumulated subject imports and the domestic like product, the importance of price in purchasing decisions, the pricing data in terms of both quarterly comparisons and reported sales volume, and the purchasers’ lost sales responses, we find that there has been significant underselling by cumulated subject imports. We find that the significant underselling caused a shift in market share from the domestic industry to cumulated subject imports during the POI.174 171 CR/PR at 5.19 & Table 5.15. 172 CR/PR at 5.19 & Table 5.16. The six purchasers purchased subject imports from China instead of the domestic like product. Id. at 5.19. No purchaser reported purchasing subject imports from Vietnam rather than the domestic like product. Id. 173 CR/PR at Tables 4.9, 5.15–5.16 & C.1. 174 Cumulated subject imports gained *** percentage points of market share from 2022 to 2023 and *** percentage points from 2023 to 2024, for an overall increase of *** percentage points, with *** percentage points at the direct expense of the domestic industry. CR/PR at Tables 4.9 & C.1. 38 We have also examined price trends during the POI. Between the first and last quarters of the POI, domestic prices declined *** percent for product 1, *** percent for product 2, and *** percent for product 3, but increased *** percent for product 4.175 Prices for imports of product 1 from China, where subject import competition was concentrated, also declined *** percent between the second quarter of 2022 and the fourth quarter of 2024.176 The decline in domestic prices occurred as apparent U.S. consumption increased by *** percent.177 Additionally, two of eight responding purchasers reported that domestic producers had reduced prices to compete with lower-priced subject imports, with estimated price reductions ranging from *** to *** percent and averaging *** percent.178 Further, as domestic sales prices declined by more than the decline in the domestic industry’s per-unit COGS from 2022 to 2024, the industry experienced a cost-price squeeze.179 The domestic industry’s ratio of COGS to net sales decreased from 81.2 percent in 2022 to 80.0 percent in 2023, and then increased to 175 CR/PR at Tables 5.7–5.11 & Figures 5.3– 5.6. The products for which domestic prices declined over the POI, products 1, 2, and 3, accounted for *** percent of the domestic producers’ reported sales during the period. Id. at Table 5.11. 176 CR/PR at Table 5.7 & Figure 5.3. Price trends are not available for imports of products 2, 3, and 4 from China due to insufficient data. Id. at Tables 5.8–5.10 & Figures 5.4–5.6. 177 CR/PR at Tables 4.9 & C.1. 178 CR/PR at 5.20 & Tables 5.18–5.19. These two purchasers reported that domestic producers had reduced prices to compete with subject imports from China. Id. at 5.20 & Table 5.19. No purchaser reported domestic producers lowering prices to compete with subject imports from Vietnam. Id. at Table 5.19. Two other purchasers reported that domestic producers had not reduced prices, and four reported that they did not know. Id. at Table 5.18. 179 Between 2022 and 2023, the average unit values (“AUVs”) of the domestic industry’s net sales and U.S. shipments declined by $0.23 per pound, or by 10.8 and 11.3 percent, respectively, compared to the $0.21-per-pound, or 12.2 percent, decline in its unit COGS. CR/PR at Tables 3.9, 6.2 & C.1. As the industry’s unit COGS increased by $0.09 per pound, or 6.1 percent, between 2023 and 2024, the AUVs of its net sales and U.S. shipments declined by $0.02 per pound, or by 1.1 and 0.9 percent, respectively. Id. Overall, the $0.25-per-pound, or 11.8 and 12.1 percent, decline in the AUVs of the industry’s net sales and U.S. shipments over the POI exceeded the $0.12-per-pound, or 6.9 percent, decrease in its unit COGS. Id. 39 85.8 percent in 2024, for an overall increase of 4.6 percentage points.180 Accordingly, we conclude that cumulated subject imports depressed prices for the domestic like product to a significant degree. We have also examined whether subject imports prevented price increases which otherwise would have occurred to a significant degree. As discussed above, the domestic industry’s ratio of COGS to net sales increased irregularly during the POI as the industry’s net sales AUVs declined by more than the industry’s unit COGS. The irregular decline in the industry’s unit COGS was driven by its unit cost of raw materials, which decreased by $0.23 per pound (22.2 percent) from 2022 to 2023 and increased by $0.07 per pound (8.6 percent) from 2023 to 2024, for an overall decrease of $0.16 per pound (15.5 percent).181 In sum, based on the record of the preliminary phase of these investigations, we find that subject imports significantly undersold the domestic like product, leading to lost sales and a shift in market share from the domestic industry to subject imports, and depressed prices for the domestic like product to a significant degree. We therefore find that cumulated subject imports had significant adverse price effects. 180 CR/PR at Tables 6.1 & C.1. 181 CR/PR at Table 6.2. In contrast, the domestic industry’s direct labor costs increased by $0.02 per pound (7.8 percent) from 2022 to 2023 and $0.01 per pound (5.3 percent) from 2023 to 2024, for an overall increase of $0.03 per pound (13.5 percent). Id. Similarly, the industry’s other factory costs increased by $0.01 per pound (2.3 percent) from 2022 to 2023 and $0.01 per pound (1.6 percent) from 2023 to 2024, for an overall increase of $0.02 per pound (4.0 percent). Id. 40 E. Impact of the Subject Imports182 Section 771(7)(C)(iii) of the Tariff Act provides that the Commission, in examining the impact of the subject imports on the domestic industry, “shall evaluate all relevant economic factors which have a bearing on the state of the industry.” These factors include output, sales, inventories, capacity utilization, market share, employment, wages, productivity, gross profits, net profits, operating profits, cash flow, return on investment, return on capital, ability to raise capital, ability to service debt, research and development (“R&D”), and factors affecting domestic prices. No single factor is dispositive, and all relevant factors are considered “within the context of the business cycle and conditions of competition that are distinctive to the affected industry.”183 As apparent U.S. consumption increased by *** percent over the POI, the domestic industry’s output and employment indicia generally increased by most measures, while its capacity utilization and financial performance declined as low-priced cumulated subject imports captured market share from the industry and depressed domestic prices.184 The domestic industry’s practical capacity and production increased over the POI, but its capacity utilization decreased.185 182 Commerce initiated antidumping duty investigations based on estimated dumping margins ranging from 74.98 to 83.64 percent for subject imports from China and 52.07 percent for subject imports from Vietnam. Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations, 90 Fed. Reg. 15544 (Apr. 14, 2025). 183 19 U.S.C. § 1677(7)(C)(iii). 184 CR/PR at Tables 4.9 & C.1. 185 The domestic industry’s practical capacity increased from 86.4 million pounds in 2022 to 99.7 million pounds in 2023 and 104.9 million pounds in 2024. CR/PR at Tables 3.5 & C.1. The industry’s production increased from 42.7 million pounds in 2022 to 44.9 million pounds in 2023 and 46.5 million pounds in 2024. Id. Its capacity utilization decreased from 49.4 percent in 2022 to 45.0 percent in 2023 (Continued…) 41 Most of the domestic industry’s employment indicia also increased over the POI, including the number of production and related workers (“PRWs”), total hours worked, hours worked per PRW, wages paid, hourly wages, and unit labor costs.186 The industry’s productivity decreased overall during the period.187 The domestic industry’s total U.S. shipments also increased over the period, even as the industry lost *** percentage points in market share to subject imports.188 The domestic industry’s end-of-period inventories and its ratio of end-of-period inventories to total shipments increased overall during the POI.189 In contrast to its output (aside from capacity utilization) and employment metrics, most of the domestic industry’s financial performance indicia declined over the POI. The industry’s net sales value and gross profits decreased irregularly over the period, while operating and net and 44.3 percent in 2024. Id. That the domestic industry’s capacity utilization rate remained below 50.0 percent throughout the POI indicates that it could have produced and shipped substantially more PC boxes had it not lost sales and market share to cumulated subject imports. 186 The domestic industry’s number of PRWs increased from 376 in 2022 to 394 in 2023 and 420 in 2024. CR/PR at Tables 3.11 & C.1. The industry’s total hours worked increased from 767,000 in 2022 to 806,000 in 2023 and 859,000 in 2024. Id. Its hours worked per PRW increased from 2,040 in 2022 to 2,046 in 2023, and then decreased to 2,045 in 2024. Id. Its wages paid increased from $19.4 million in 2022 to $20.7 million in 2023 and $22.5 million in 2024. Id. The industry’s hourly wages increased from $25.24 in 2022 to $25.65 in 2023 and $26.22 in 2024. Id. Its unit labor costs increased from $0.45 per pound in 2022 to $0.46 per pound in 2023 and $0.48 per pound in 2024. Id. 187 The domestic industry’s productivity was 55.7 pounds per hour in 2022 and 2023, then decreased to 54.1 pounds per hour in 2024. CR/PR at Tables 3.11 & C.1. 188 The domestic industry’s total U.S. shipments increased from 41.0 million pounds in 2022 to 42.9 million pounds in 2023 and 45.9 million pounds in 2024, for an overall increase of 12.0 percent. CR/PR at Tables 3.9 & C.1. Nonetheless, the industry lost *** percentage points of market share over the POI, with its share of apparent U.S. consumption decreasing from *** percent in 2022 to *** percent in 2023 and *** percent in 2024. Id. at Tables 4.9 & C.1. 189 The domestic industry’s end-of-period inventories increased from 2.7 million pounds in 2022 to 3.7 million pounds in 2023, and then remained at 3.7 million pounds in 2024. CR/PR at Tables 3.10 & C.1. As a ratio to total shipments, the industry’s end-of-period inventories increased from *** percent in 2022 to *** percent in 2023, and then decreased to *** percent in 2024. Id. 42 income declined steadily.190 The industry’s operating and net income margins likewise declined overall during the POI.191 The industry’s capital expenditures increased over the POI, while R&D expenses were flat.192 The industry’s total assets increased steadily during the POI, while its operating return on assets (“ROA”) decreased steadily over the same period.193 Responding domestic producers also reported actual and anticipated negative effects on investment, growth, and development due to subject imports.194 As discussed above, cumulated subject imports increased significantly during the POI, driven by underselling, thereby capturing sales and market share from the domestic industry. Consequently, the domestic industry was unable to fully capitalize on the *** percent increase in apparent U.S. consumption over the period, and instead suffered declining capacity utilization and lower sales revenue than it otherwise would have. Moreover, subject import underselling depressed domestic producer prices to a significant degree, reducing the domestic 190 The domestic industry’s net sales value decreased from $*** in 2022 to $*** in 2023, and then increased to $*** in 2024, for an overall decrease of *** percent. CR/PR at Tables 6.1 & C.1. The industry’s gross profits increased from $*** in 2022 to $*** in 2023, and then decreased to $*** in 2024, for an overall decrease of *** percent. Id. Its operating income decreased from $*** in 2022 to $*** in 2023 and $*** in 2024, for an overall decrease of *** percent. Id. Its net income decreased from $*** in 2022 to $*** in 2023 and $*** in 2024, for an overall decrease of *** percent. Id. 191 The domestic industry’s operating income as a share of net sales increased from 9.3 percent in 2022 to 9.4 percent in 2023, and then declined to 3.1 percent in 2024, for an overall decrease of 6.2 percentage points. CR/PR at Tables 6.1 & C.1. The industry’s net income as a share of net sales declined from 7.8 percent in 2022 to 7.4 percent in 2023 and 1.6 percent in 2024, for an overall decrease of 6.2 percentage points. Id. 192 The domestic industry’s capital expenditures increased from $*** in 2022 to $*** in 2023 and $*** in 2024. CR/PR at Tables 6.6 & C.1. *** was the only domestic producer to report R&D expenses, which were in the amount of $*** each year of the POI. Id. at 6.18 n.13 & Table C.1. 193 The domestic industry’s total net assets increased from $66.4 million in 2022 to $71.5 million in 2023 and $74.9 million in 2024. CR/PR at Tables 6.8 & C.1. The industry’s ROA declined from *** percent in 2022 to *** percent in 2023 and *** percent in 2024. Id. at Table 6.9. 194 CR/PR at Tables 6.11–6.12. 43 industry’s financial performance over the POI. Accordingly, we find that subject imports had a significant adverse impact on the domestic industry. We have also considered whether there are other factors that may have had an impact on the domestic industry, including nonsubject imports, to ensure that we are not attributing injury from such other factors to subject imports. Nonsubject imports were the second-largest source of supply to the U.S. market in 2022 but the smallest source in 2023 and 2024.195 Their share of apparent U.S. consumption declined from *** percent in 2022 to *** percent in 2023, before increasing to *** percent in 2024, for an overall decrease of *** percentage points.196 Although the volume of nonsubject imports increased overall during the POI, that increase was substantially smaller than the increase in subject imports and apparent U.S. consumption.197 Moreover, the AUVs of nonsubject imports were higher than those of subject imports throughout the POI.198 Thus, nonsubject imports cannot explain the injury to the domestic industry that we have attributed to cumulated subject imports. Conclusion For the reasons stated above, we determine that there is a reasonable indication that an industry in the United States is materially injured by reason of imports of PC boxes from China and Vietnam that are allegedly sold in the United States at LTFV and imports of PC boxes from China that are allegedly subsidized by the government of China. 195 CR/PR at Tables 4.9 & C.1. 196 CR/PR at Tables 4.9 & C.1. 197 The volume of nonsubject imports decreased from *** pounds in 2022 to *** pounds in 2023, and then increased to *** pounds in 2024, for an overall increase of *** pounds. CR/PR at Tables 4.9 & C.1. By comparison, cumulated subject imports increased by *** pounds over the POI. Id. 198 CR/PR at Tables 4.9 & C.1. We recognize that AUV comparisons may be influenced by differences in product mix and changes in product mix over time. 1.1 Introduction Background These investigations result from petitions filed with the U.S. Department of Commerce (“Commerce”) and the U.S. International Trade Commission (“USITC” or “Commission”) by CoolSeal USA Inc. (“CoolSeal”), Perrysburg, Ohio; Inteplast Group Corporation (“Inteplast”), Livingston, New Jersey; SeaCa Plastic Packaging (“SeaCa”), Kent, Washington; and Technology Container Corp. (“Tech Container”), Desoto, Texas, alleging that an industry in the United States is materially injured and threatened with material injury by reason of subsidized imports of polypropylene corrugated boxes (“PC boxes”)1 from China and less-than-fair-value (“LTFV”) imports of PC boxes from China and Vietnam. Table 1.1 presents information relating to the background of these investigations.2 3 Table 1.1 PC boxes: Information relating to the background and schedule of this proceeding Effective date Action March 18, 2025 Petitions filed with Commerce and the Commission; institution of the Commission investigations (90 FR 13497, March 24, 2025) April 7, 2025 Commerce’s notices of initiation of its countervailing duty investigation with respect to China (90 FR 15555, April 14, 2025) and its LTFV investigations with respect to China and Vietnam (90 FR 15544, April 14, 2025) April 8, 2025 Commission’s conference May 1, 2025 Commission’s vote May 2, 2025 Commission’s determinations May 9, 2025 Commission’s views 1 See the section entitled “The subject merchandise” in Part 1 of this report for a complete description of the merchandise subject in this proceeding. 2 Pertinent Federal Register notices are referenced in appendix A and may be found at the Commission’s website (www.usitc.gov). 3 A list of witnesses appearing at the conference is presented in appendix B of this report. 1.2 Statutory criteria Section 771(7)(B) of the Tariff Act of 1930 (the “Act”) (19 U.S.C. § 1677(7)(B)) provides that in making its determinations of injury to an industry in the United States, the Commission-- shall consider (Ⅰ) the volume of imports of the subject merchandise, (Ⅱ) the effect of imports of that merchandise on prices in the United States for domestic like products, and (Ⅲ) the impact of imports of such merchandise on domestic producers of domestic like products, but only in the context of production operations within the United States; and. . . may consider such other economic factors as are relevant to the determination regarding whether there is material injury by reason of imports. Section 771(7)(C) of the Act (19 U.S.C. § 1677(7)(C)) further provides that--4 In evaluating the volume of imports of merchandise, the Commission shall consider whether the volume of imports of the merchandise, or any increase in that volume, either in absolute terms or relative to production or consumption in the United States is significant.. . .In evaluating the effect of imports of such merchandise on prices, the Commission shall consider whether. . .(Ⅰ) there has been significant price underselling by the imported merchandise as compared with the price of domestic like products of the United States, and (Ⅱ) the effect of imports of such merchandise otherwise depresses prices to a significant degree or prevents price increases, which otherwise would have occurred, to a significant degree.. . . In examining the impact required to be considered under subparagraph (B)(ⅰ)(Ⅲ), the Commission shall evaluate (within the context of the business cycle and conditions of competition that are distinctive to the affected industry) all relevant economic factors which have a bearing on the state of the industry in the United States, including, but not limited to. . . (Ⅰ) actual and potential decline in output, sales, market share, gross profits, operating profits, net profits, ability to service debt, productivity, return on investments, return on assets, and utilization of capacity, (Ⅱ) factors affecting domestic prices, (Ⅲ) actual and potential negative effects on cash flow, inventories, employment, wages, growth, ability to raise capital, and investment, (Ⅳ) actual and potential negative effects on the existing development and production efforts of the domestic industry, including efforts to develop a derivative or more advanced version of the domestic like product, and (Ⅴ) in {an antidumping investigation}, the magnitude of the margin of dumping. 4 Amended by PL 114-27 (as signed, June 29, 2015), Trade Preferences Extension Act of 2015. 1.3 In addition, Section 771(7)(J) of the Act (19 U.S.C. § 1677(7)(J)) provides that—5 (J) EFFECT OF PROFITABILITY.—The Commission may not determine that there is no material injury or threat of material injury to an industry in the United States merely because that industry is profitable or because the performance of that industry has recently improved. Organization of report Part 1 of this report presents information on the subject merchandise, alleged subsidy rates/dumping margins, and domestic like product. Part 2 of this report presents information on conditions of competition and other relevant economic factors. Part 3 presents information on the condition of the U.S. industry, including data on capacity, production, shipments, inventories, and employment. Parts 4 and 5 present the volume of subject imports and pricing of domestic and imported products, respectively. Part 6 presents information on the financial experience of U.S. producers. Part 7 presents the statutory requirements and information obtained for use in the Commission’s consideration of the question of threat of material injury as well as information regarding nonsubject countries. Market summary PC boxes are generally used for the packaging, storage, conveyance, and transportation of agricultural goods, building products, seafood, and other consumer merchandise.6 The leading U.S. producers of PC boxes are SeaCa and Inteplast, while leading producers of PC boxes outside the United States include *** and *** of China. The leading U.S. importers of PC boxes from China and nonsubject sources (primarily Peru) are ***. Responding U.S. importers did not report any imports of PC boxes from Vietnam. U.S. purchasers of PC boxes are mainly agricultural farms and suppliers of packing products; leading purchasers include ***. 5 Amended by PL 114-27 (as signed, June 29, 2015), Trade Preferences Extension Act of 2015. 6 Petition, p. 9. 1.4 Apparent U.S. consumption of PC boxes totaled approximately *** pounds ($***) in 2024. Currently, six firms are known to produce PC boxes in the United States.7 U.S. producers’ U.S. shipments of PC boxes totaled 45.9 million pounds ($82.7 million) in 2024 and accounted for *** percent of apparent U.S. consumption by quantity and *** percent by value. U.S. imports from subject sources totaled *** pounds ($***) in 2024 and accounted for *** percent of apparent U.S. consumption by quantity and *** percent by value. U.S. imports from nonsubject sources totaled *** pounds ($***) in 2024 and accounted for *** percent of apparent U.S. consumption by quantity and *** percent by value. Summary data and data sources A summary of data collected in these investigations is presented in appendix C, table C.1. The Commission’s questionnaires collected data for the years 2022 to 2024. Except as noted, U.S. industry data are based on questionnaire responses of six firms that accounted for the vast majority of U.S. production of PC boxes during 2024. U.S. imports are based on questionnaire responses and information submitted in the petitions.8 Previous and related investigations PC boxes have not been the subject of prior countervailing or antidumping duty investigations in the United States. Nature and extent of alleged subsidies and sales at LTFV Alleged subsidies On April 14, 2025, Commerce published a notice in the Federal Register of the initiation of its countervailing duty investigation on PC boxes from China.9 7 In addition to the six responding U.S. producers, the petitioners identified two other firms that may have produced PC boxes in the United States. Petition, pp. 3 to 4. 8 For more detailed information on the sources for data on U.S. imports see Part 4. 9 For further information on the alleged subsidy programs see Commerce’s notice of initiation and related CVD Initiation Checklist. 1.5 Alleged sales at LTFV On April 14, 2025, Commerce published a notice in the Federal Register of the initiation of its antidumping duty investigations on PC boxes from China and Vietnam.10 Commerce has initiated antidumping duty investigations based on estimated dumping margins ranging from 74.98 percent to 83.64 percent for PC boxes from China and 52.07 percent for PC boxes from Vietnam. The subject merchandise Commerce’s scope In the current proceeding, Commerce has defined the scope as follows:11 The merchandise covered by these investigations is polypropylene corrugated boxes. Polypropylene corrugated boxes are boxes, bins, totes, or other load-bearing containers made for holding goods, that are made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene fluted sheets, polypropylene twin wall sheets, or multi wall sheets. Such polypropylene sheets are “corrugated,” “fluted,” or “hollow core,” meaning the inside of the sheet contains channels or pockets of air which make the sheets lightweight, while retaining strength and durability. Polypropylene corrugated boxes are typically produced from a plastic resin consisting of 50 percent or more polypropylene. Polypropylene corrugated boxes are covered by the scope irrespective of the particular mix of polypropylene homo-polymer, polypropylene co-polymer, recycled or virgin polypropylene, or ancillary chemicals such as electrostatic agents or flame retardants. Polypropylene corrugated boxes are formed by corrugated polypropylene sheets cut to length, die-cut into specific box shapes, and may be cut or scored to allow each side of the box to be folded into shape. Polypropylene corrugated boxes may include a tab or attached portion of polypropylene corrugated sheet (commonly referred to as a “manufacturer's joint”) that has been cut, slotted, or scored to facilitate the formation of the box by stapling, gluing, welding, or taping the sides together to form a tight seal. One- piece polypropylene corrugated boxes are die-cut or otherwise formed so that the top, bottom, and sides form a single, contiguous unit. Two-piece polypropylene corrugated boxes are those with a folded bottom and a folded top as separate pieces. Multi-piece polypropylene corrugated boxes are those with separate bottoms and tops that are fitted to a single 10 90 FR 15544, April 14, 2025. 11 90 FR 15544 and 90 FR 15555, April 14, 2025. 1.6 folded piece comprising the sides of the box. Polypropylene corrugated boxes may be printed with ink or digital designs. The subject merchandise includes polypropylene corrugated boxes with or without handles, with or without lids or tops, with or without reinforcing wire, whether in a one-piece, two-piece, or multi-piece configuration, and whether folded into shape or in an unfolded form. The subject merchandise includes all polypropylene corrugated boxes regardless of size, shape, or dimension. The subject merchandise also includes polypropylene corrugated box lids or tops when imported separately from polypropylene corrugated boxes. Tariff treatment Based upon the scope set forth by Commerce, information available to the Commission indicates that the merchandise subject to these investigations is provided for in HTS subheading 3923.10.90 of the Harmonized Tariff Schedule of the United States (“HTS”).12 The 2025 general rate of duty is 3.0 percent ad valorem. Decisions on the tariff classification and treatment of imported goods are within the authority of U.S. Customs and Border Protection. Effective September 24, 2018, PC boxes originating in China were subject to an additional 10 percent ad valorem duty under section 301 of the Trade Act of 1974. Effective May 10, 2019, the section 301 duty for PC boxes was increased to 25 percent.13 Effective February 4, 2025, PC boxes originating in China were subject to an additional 10 percent ad valorem duty under the International Emergency Economic Powers Act (“IEEPA”), and on March 4, 2025, that additional duty increased to 20 percent ad valorem.14 12 USITC, HTS (2025) Revision 8, Publication 5613, April 2025, p. 39.7.31. 13 83 FR 47974, September 21, 2018; 84 FR 20459, May 9, 2019. See also HTS provision 9903.88.03 U.S. notes 20(e), 20(f), and 20(g) to subchapter III of chapter 99 and related tariff provisions for this duty treatment. USITC, HTS (2025) Revision 8, USITC Publication 5613, April 2025, pp. 99.3.46 to 99.3.71, 99.3.352. Goods exported from China to the United States prior to May 10, 2019, and entering the United States prior to June 1, 2019, were not subject to the escalated 25 percent duty (84 FR 21892, May 15, 2019). 14 90 FR 9121, February 7, 2025; 90 FR 11426, March 6, 2025; 90 FR 11463, March 7, 2025. See also HTS provision 9903.01.20 and U.S. note 2(s) and HTS provision 9903.01.24 and U.S. note 2(u) to subchapter III of chapter 99 and related tariff provisions for this duty treatment. USITC, HTS (2025) Revision 8, Publication 5613, April 2025, pp. 99.3.3, 99.3.4, 99.3.297 to 99.3.298. 1.7 Effective April 5, 2025, PC boxes originating in China were subject to an additional 10 percent ad valorem reciprocal duty under IEEPA. That reciprocal duty rose to 84 percent ad valorem effective April 9, 2025, and rose again to 125 percent effective April 10, 2025.15 Effective April 5, 2025, PC boxes originating in Vietnam were subject to an additional 10 percent ad valorem reciprocal duty under IEEPA. Effective April 9, 2025, Vietnam was instead assigned an individualized country reciprocal duty of 46 percent ad valorem. However, effective April 10, 2025, individualized country reciprocal duties were suspended and the reciprocal duty rate for PC boxes originating in Vietnam was returned to 10 percent.16 The product Description and applications PC boxes are containers, including boxes, crates, and totes, that are composed of corrugated polypropylene sheets.17 These containers are primarily used to pack, store, or transport goods, most commonly in the agricultural, seafood, and construction industries. Industry often identifies PC boxes by the products that they are intended to contain, such as “asparagus boxes” or “oyster boxes” (figure 1.1). Due to their corrugated polypropylene construction, PC boxes are a strong, lightweight, water resistant, and recyclable packaging option.18 The product composition is typically 90 to 95 percent polypropylene, with the remainder including other chemical additives such as talc or calcium carbonate (for stiffening) and colorants.19 They often have a square or rectangular bottom, four sides, and a full or partial top. They may vary in dimensions, shape (e.g., sides may 15 The reciprocal duty is in addition to the 20 percent ad valorem duty under IEEPA that went into effect on March 4, 2025, for China. 90 FR 15041, April 7, 2025; 90 FR 15509, April 14, 2025; 90 FR 15625, April 15, 2025. See also HTS heading 9903.01.25 and 9903.01.63 and U.S. note 2(v) to subchapter III of chapter 99 and related tariff provisions for this duty treatment. USITC, HTS (2025) Revision 8, Publication 5613, April 2025, pp. 99.3.4, 99.3.5, 99.3.298, 99.3.304. 16 Individualized country reciprocal duties for all countries other than China were suspended until July 9, 2025. 90 FR 15041, April 7, 2025. 90 FR 15625, April 15, 2025. See also HTS heading 9903.01.25 and 9903.01.72 and U.S. note 2(v) to subchapter III of chapter 99 and related tariff provisions for this duty treatment. USITC, HTS (2025) Revision 8, Publication 5613, April 2025, pp. 99.3.4, 99.3.5, 99.3.306. 17 Petition, vol. 1, pp. 7 to 9. Corrugated polypropylene sheets may also be referred to as hollow core, twin wall, or multi wall polypropylene sheets. Petition, vol. 1, p. 7. 18 Polyreflex, “Some Common Types of PP Corrugated Boxes,” https://www.polyreflex.com/n1900634/Some-Common-Types-of-PP-Corrugated-Boxes.htm, accessed April 11, 2025; conference transcript, p. 20 (Herrmann). Corrugated sheets of polypropylene have two flat walls connected by narrow hollow channels. Petition, vol. 1, p. 9. 19 Conference transcript, pp. 44, 90 to 91 (Nist). 1.8 not be perpendicular to the base), and number of pieces.20 U.S. producers report that these containers are highly customizable and may include elements such as handles, lids, tops, wire reinforcement, manufacturers’ joints, and printed designs, according to customer specifications.21 End users purchase PC boxes either directly from manufacturers or from distributors, and the product may ship folded (i.e., formed as a box) or unfolded (i.e., flat, such that it needs to be folded to form a finished box).22 Domestic and imported PC boxes are reported to be interchangeable.23 Figure 1.1 PC boxes: Examples of PC boxes Source: Petition, vol. 1, p. 8. 20 Petition, vol. 1, p. 8. 21 Petition, vol. 1, p. 8. 22 Petition, vol. 1, p. 8. 23 Conference transcript, p. 6 (Herrmann). 1.9 Manufacturing processes Production of PC boxes has two stages: the formation of polypropylene corrugated sheets through extrusion, and die cutting and other finishing processes that transform the sheets into boxes.24 First, polypropylene pellets are heated to their melting point.25 The liquified polypropylene is then sent through an extruder, where it is pushed through a die that shapes the corrugated sheets (figure 1.2).26 Due to the waste generated and cleaning required by a stoppage, as well as the time required to start an extruder (up to six hours), producers prioritize continuous operation of extruders.27 After extrusion, the sheets are cooled and then coated (e.g., with fire retardant) and printed with logos or other graphics according to end user specifications.28 Figure 1.2 PC boxes: Polypropylene extrusion line Source: Petition, vol. 1, p. 10. 24 Petition, vol. 1, pp. 9 to 11. 25 Some producers operate a closed-loop system, where trimmings from the extruded sheets and scraps from the die cutting process are recycled and mixed with virgin resin. Conference transcript, p.58 (Nist). 26 Industrial Quick Search, “Plastic Extrusion: Machines, Uses and Processes,” https://www.iqsdirectory.com/articles/plastic-extrusion.html, accessed March 25, 2025; conference transcript, pp. 8 to 9 (Nist). 27 Conference transcript, pp. 43 to 44 (Hinkle and Rosenthal). 28 Petition, vol. 1, pp. 10 to 11. 1.10 Next, a die cutting machine cuts and scores the polypropylene corrugated sheets such that they can be folded into boxes of a particular size and shape.29 To offer a range of customized containers, manufacturers may have hundreds of dies—likened to cookie cutters— that can be switched out of the die cutting machine to achieve specific dimensions and features.30 Some producers then join the sides of the boxes with glue or sonic welding, depending on end use. Finally, the boxes may be folded by the producer, or they may be shipped flat to be folded by the customer.31 The machinery used to produce PC boxes is capital intensive and cannot be used to manufacture other products.32 The petitioners stated that all PC boxes are made with the same production methods, type of equipment, and workers.33 In the United States, the box finishing steps described above (die cutting, joining, and folding) are automated and typically occur on separate equipment located in the same production facility.34 Petitioners state that they believe some foreign producers may complete certain finishing processes by hand, and they may occur across multiple operations.35 Domestic like product issues The petitioners contend that there is a single domestic like product that mirrors the scope of these investigations, which includes all PC boxes.36 There is no assertion of an alternative definition of the domestic like product. 29 Conference transcript, p. 9 (Nist). 30 Conference transcript, pp. 37, 49 (Nist). 31 Petition, vol. 1, pp. 10 to 11; conference transcript, pp. 9, 39 (Nist), p. 36 (Herrmann). 32 Conference transcript, p. 9 (Nist) and p. 20 (Herrmann). 33 Conference transcript, p. 20 (Herrmann). 34 Conference transcript, p. 39 (Nist). However, one U.S. producer reports that it cuts, prints, glues, and folds its PC boxes in one manufacturing step. Conference transcript, pp. 71 to 72 (Dowd). 35 Conference transcript, p. 73 (Dowd). 36 Petitioners’ postconference brief, pp. 3 to 7. 2.1 Part 2: Conditions of competition in the U.S. market U.S. market characteristics PC boxes are boxes, totes, or other containers made of corrugated polypropylene sheets (also known as polypropylene hollow core sheets, polypropylene twin wall sheets, or multi wall sheets). Most PC boxes include an enclosed bottom wall, four side walls, and a partially enclosed top wall. PC boxes commonly come in square or rectangular cross sections, which may be tapered such that their length or width becomes narrower from base to peak. PC boxes may be printed with ink or digital designs such as printed name or image of the commodity the box is intended for, or printed name of customers or end-users (for example an agricultural farm or decorative stones manufacturer). PC boxes may be shipped in folded or unfolded form.1 PC boxes are recyclable, providing a more ecologically-friendly and desirable alternative to some customers than traditional waxed corrugated cardboard packaging products that cannot be recycled.2 Presently, the vast majority of PC boxes produced in the United States are single-use, food-grade PC boxes. These are predominantly used for storage and/or shipping of foodstuffs (for example, various vegetables and seafood) and subject to food safety standards and restrictions on re-use.3 The multi-use PC boxes are less prevalent in the U.S. market; these are mostly used in retail and construction sectors.4 None of 6 responding U.S. producers indicated that the market was subject to distinctive conditions of competition. However, according to the U.S. producer testimonies, some foreign producers have engaged in duplicating or “reverse engineering” PC boxes developed by the U.S. producers (including any time-consuming design elements developed by the U.S. producers) and then selling those boxes to the U.S. producers’ customers via importing U.S. firms.5 For example, the General Manager of CoolSeal stated, “I have even seen our foreign competitors posting our box designs on their websites, as if they developed the product.”6 The 1 AD/CVD Petition (BPI), Volume I, General Issues Petition Narrative, pp. 6-7 2 Petitioners’ post conference brief, p. 5. 3 Conference transcript, pp. 61, 89 (Nist). 4 Conference transcript, pp.84 (Nist), 87-89 (Nist); Technology Container Corp, Techno Box: Reusable Corrugated Plastic Boxes, https://techcontainer.com/products/techno-boxes-reusable-corrugated- plastic-boxes/, accessed April 8, 2025. 5 Conference transcript, pp.16 (Hinkle), 45-46, 91(Nist). 6 Conference transcript, p. 16 (Hinkle). 2.2 President of SeaCa stated, “{T}he box just gets picked up, shipped overseas, and knocked off and reproduced at a significantly lower cost.”7 On the other hand, 2 of 7 responding importers indicated that the PC boxes market was subject to distinctive conditions of competition. Specifically, *** reported, “there are other ways to package produce such as bags, bulk, cardboard, wire-bound crates etc.” From January 2022 to December 2024, apparent U.S. consumption of PC boxes increased in terms of both quantity and value, primarily driven by growth from 2023 to 2024. Overall, apparent U.S. consumption in 2024 was *** percent higher in terms of quantity and *** percent higher in terms of value than in 2022. Impact of section 301 tariffs U.S. producers and importers were asked to report whether section 301 tariffs on Chinese-origin products had an impact on overall demand, supply, prices, or raw material costs of PC boxes since January 1, 2022 (table 2.1). No U.S. producers and one of 7 responding U.S. importers reported that they were impacted. U.S. importer *** stated, “pricing has considerably changed to the end user and allows domestic suppliers to produce cheaper than importing.” Three of 6 U.S. producers and 3 of 7 responding U.S. importers reported that the section 301 tariffs had no impact on the U.S. market. U.S. producer *** stated, “people go around it; we did not hear of much price increasing.” Table 2.1 PC boxes: Count of firms' responses regarding the impact of the 301 tariffs on Chinese origin products Firm type Yes No Don't Know U.S. producers 0 3 3 Importers 1 3 3 Source: Compiled from data submitted in response to Commission questionnaires. Channels of distribution U.S. producers and U.S. importers from China sold mainly to agricultural end users over the period of investigation (table 2.2). U.S. importers from nonsubject sources sold mainly to agricultural end users over the period of investigation, although the distribution between agricultural and other end users was initially almost even in 2022. U.S. importers and purchasers identified Peru and India as nonsubject sources. 7 Conference transcript, pp. 47-48 (Nist). 2.3 Table 2.2 PC boxes: Share of U.S. shipments by source, channel of distribution, and period Shares in percent Source Channel 2022 2023 2024 United States Distributors *** *** *** United States Agricultural end users *** *** *** United States Other end users *** *** *** China Distributors *** *** *** China Agricultural end users *** *** *** China Other end users *** *** *** Vietnam Distributors — — — Vietnam Agricultural end users — — — Vietnam Other end users — — — Subject sources Distributors *** *** *** Subject sources Agricultural end users *** *** *** Subject sources Other end users *** *** *** Nonsubject sources Distributors *** *** *** Nonsubject sources Agricultural end users *** *** *** Nonsubject sources Other end users *** *** *** All import sources Distributors *** *** *** All import sources Agricultural end users *** *** *** All import sources Other end users *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. Geographic distribution U.S. producers and importers reported selling PC boxes to all regions in the contiguous United States (table 2.3). For U.S. producers, 1.7 percent of sales were within 100 miles of their production facility, 53.2 percent were between 101 and 1,000 miles, and 45.1 percent were over 1,000 miles. Importers sold 76.9 percent within 100 miles of their U.S. point of shipment and the remaining 23.1 percent between 101 and 1,000 miles. Table 2.3 PC boxes: Count of U.S. producers’ and U.S. importers’ geographic markets Region U.S. producers China Vietnam Subject sources Northeast 6 3 0 3 Midwest 6 4 0 4 Southeast 6 4 0 4 Central Southwest 5 1 0 1 Mountains 5 1 0 1 Pacific Coast 5 3 0 3 Other 2 0 0 0 All regions (except Other) 5 0 0 0 Reporting firms 6 6 0 6 Source: Compiled from data submitted in response to Commission questionnaires. Note: Other U.S. markets include AK, HI, PR, and VI. 2.4 Supply and demand considerations U.S. supply Table 2.4 provides a summary of the supply factors regarding PC boxes from U.S. producers and from subject countries. U.S. producers’ capacity utilization was 49.4 percent in 2022 and decreased to 44.3 percent in 2024, compared to foreign producers’ capacity utilization rate of *** percent in 2022 and *** percent in 2024. U.S. producers’ inventories to total shipments ratio was *** percent in 2024, up from *** percent in 2022, compared to the same ratio of foreign producers at *** percent in 2024 and *** percent in 2024. Table 2.4 PC boxes: Supply factors that affect the ability to increase shipments to the U.S. market, by country Quantity in 1,000 pounds; ratio and share in percent; count in number of firms reporting Factor Measure United States China Vietnam Capacity 2022 Quantity 86,395 *** — Capacity 2024 Quantity 104,866 *** — Capacity utilization 2022 Ratio 49.4 *** — Capacity utilization 2024 Ratio 44.3 *** — Inventories to total shipments 2022 Ratio *** *** — Inventories to total shipments 2024 Ratio *** *** — Home market shipments 2024 Share *** *** — Non-US export market shipments 2024 Share *** *** — Ability to shift production Count *** *** 0 of 0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Responding U.S. producers accounted for the vast majority of U.S. production of PC boxes in 2024. Responding foreign producer/exporter firms from China accounted for less than half of U.S. imports of PC boxes. No foreign producer/exporter firms from Vietnam provided responses to the survey questionnaire. The Commission’s questionnaire surveys of U.S. importers and purchasers did not return any data on U.S. imports of PC boxes from Vietnam during the POI. For additional data on the number of responding firms and their share of U.S. production and of U.S. imports from each subject country, please refer to Parts 3 and 7. Domestic production Based on available information, U.S. producers of PC boxes have the ability to respond to changes in demand with large changes in the quantity of shipments of U.S.-produced PC boxes to the U.S. market. The primary contributing factor to this degree of responsiveness of supply is the availability of unused capacity, and, to a lesser degree, availability of inventories. Factors mitigating responsiveness of supply include limited ability to shift shipments from alternate markets. Additionally, 4 of 6 U.S. producers indicated that their firm is not able to 2.5 switch production between PC boxes and other products using the same equipment and/or labor. For example, *** stated, “Our plant was designed and built to run PC boxes only.” On the other hand, 2 of 6 U.S. producers stated they can switch production between PC boxes and other products using the same equipment. For example, *** stated it can switch production between PC boxes and other types of “packaging in addition to signage for printing.”8 Regarding other production constraints, producer *** stated that extrusion capacity may present a practical constraint to production. Producer *** also reported a few potential production bottlenecks, including “die cutting equipment, printers, and conversion equipment.” Producer *** reported inability to operate all equipment full-time “due to lack of orders caused by low-priced imports from China and Vietnam.” SeaCa reported that it is running only three to four of six existing extruders, and, sometimes, only two during a given week.9 U.S. Producers *** reported they have sufficient capacity to increase production, however, they have not been able to utilize it due to competition against low-priced imports from China and Vietnam. Subject imports from China Based on available information, producers of PC boxes from China have the ability to respond to changes in demand with large changes in the quantity of shipments of PC boxes to the U.S. market. The main contributing factors to this degree of responsiveness of supply are the availability of unused capacity (table 2.4), ability to shift shipments from alternate markets, and ability to shift production to or from alternate products. Factors mitigating responsiveness of supply include limited availability of inventories. The major export markets of Chinese producers during the POI included Australia, Europe, and South America. Responding foreign producers *** indicated they use the same machinery for production of PC boxes and other products, such as “corrugated plastic interlayer sheets” or “bottle holders.” *** stated the firm “can shift production capacity smoothly between products without additional cost.” Subject imports from Vietnam None of the responding U.S. importers reported imports of PC boxes from Vietnam. 8 Data submitted in response to Commission questionnaires. 9 Conference transcript, p. 41 (Nist). 2.6 Imports from nonsubject sources Nonsubject imports accounted for *** percent of total U.S. imports of PC boxes in 2024 in terms of quantity, and *** percent in terms of value.10 The largest sources of nonsubject imports during January 2022 to December 2024 were Peru and India, based on the Commission’s questionnaire survey of U.S. importers. Combined, these countries accounted for *** percent of nonsubject imports in 2024. Supply constraints All 6 responding U.S. producers and 3 of 6 importers reported that they had not experienced supply constraints since January 1, 2022. Of those importers that reported experiencing supply constraints, 3 reported that the constraints occurred during 2022, 1 reported they occurred during 2023, and 1 during 2024. In particular, importers reported production constraints related to the COVID-19 pandemic, extremely high ocean freight, and port issues faced in 2022. U.S. demand Based on available information, the overall demand for PC boxes is likely to experience moderate-to-large changes in response to changes in price. The main contributing factors are (i) the relatively limited range of substitute products; (ii) increasing shift of consumer preferences towards recyclable products; (iii) some special features of PC boxes (for example, sturdiness, durability, cushioning, waterproofness, exterior design customization options) that are not available as “all-in-one” in alternative packaging solutions; and (iv) a potential to expand to other sectors of the economy (for example, pharmaceuticals, automotive, industrial, and household storage solutions). End uses and cost share According to the U.S. producers’ reports, the end uses of PC boxes mostly include packaging used in agriculture (for packing and/or storage of fruits and vegetables), seafood, 10 Compiled from data submitted in response to Commission questionnaires and from information submitted as part of the petition. The petition's imports estimates were developed through a review of shipment manifests available to the petitioners via a third-party service provider. 2.7 and, to a lesser extent, construction industries, as well as services sectors such as distribution and retail.11 Presently, PC boxes are mostly used by the agricultural and seafood industries, which utilize single-use boxes for “cold-chain” shipping and storage of perishable foodstuffs. PC boxes are also used by construction and retail industries, which utilize multi-use boxes. Based on U.S. producers’ and importers’ reports, PC boxes account for 2 to 6 percent share of the cost of the end-use products for which they are used (for example, agricultural produce, seafood, or construction materials). For example, U.S. importer *** reported that the share of PC boxes in the cost of packaged manufactured stone veneer was 6 percent. Business cycles Five of 6 U.S. producers and 3 of 7 reporting importers indicated that the market was not subject to business cycles. The remaining U.S. producers (1 of 6) and importers (4 of 7) stated otherwise and explained that seasonality may stem from holidays and harvest seasons, with peak season in summer and autumn. CoolSeal reported producers generally see “very little” seasonality, although sales peaks can occur during certain times of year, for example, around holidays. Nonetheless, overall, the demand for PC boxes stays steady over the course of the year, as different regions of the country grow different fruits and vegetables at any given time.12 Demand trends Most U.S. producer firms reported an increase in the domestic and foreign demand for PC boxes since January 1, 2022 (table 2.5). Most U.S. importer firms reported that the domestic demand fluctuated; one U.S. importer also reported that the foreign demand fluctuated. Table 2.5 PC boxes: Count of firms’ responses regarding overall domestic and foreign demand, by firm type Market Firm type Increase No change Decrease Fluctuate Domestic demand U.S. producers 6 0 0 0 Domestic demand Importers 1 2 0 4 Foreign demand U.S. producers 4 1 0 0 Foreign demand Importers 0 0 0 1 Source: Compiled from data submitted in response to Commission questionnaires. 11 Conference transcript, pp.84, 87-89 (Nist); Technology Container Corp, Techno Box: Reusable Corrugated Plastic Boxes, https://techcontainer.com/products/techno-boxes-reusable-corrugated- plastic-boxes/, accessed April 8, 2025. 12 Conference transcript, p. 79 (Hinkle). 2.8 U.S. demand for PC boxes primarily depends on trends in agriculture, fishing, and construction sectors of the economy, as well as general economic conditions in the United States. As shown in figure 2.1 and table 2.6, the U.S. real gross output grew by 6.5 percent from the first quarter of 2022 to the fourth quarter of 2024. During the same period, farming and construction sectors grew by 1.8 and 7.0 percent, respectively. Figure 2.1 U.S. Real gross output: Indexed value in 2017 chain dollars, seasonally adjusted at annual rates, by quarter and selected industries Source: U.S. Bureau of Economic Analysis, Real Gross Output by Industry; https://apps.bea.gov/iTable/?reqid=150&step=2&isuri=1&categories=gdpxind, accessed April 7, 2025. Notes: Disaggregated data for “fishing” sector are not available. “All industries” data are the entirety of all U.S. industries combined. 94.0 96.0 98.0 100.0 102.0 104.0 106.0 108.0 2022 Q1 2022 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 2023 Q3 2023 Q4 2024 Q1 2024 Q2 2024 Q3 2024 Q4 Indexed prices (2022 Q1= 100.0 percent) Farms Construction All industries 2.9 Table 2.6 U.S. Real gross output: Indexed value in 2017 chain dollars, seasonally adjusted at annual rates, by quarter and selected industries Quarter Farms Construction All industries 2022 Q1 100.0 100.0 100.0 2022 Q2 99.6 98.9 100.5 2022 Q3 99.6 96.5 101.1 2022 Q4 100.1 95.6 101.4 2023 Q1 102.0 95.9 102.3 2023 Q2 102.2 98.2 102.7 2023 Q3 102.1 100.9 103.5 2023 Q4 102.6 103.7 104.0 2024 Q1 102.9 105.6 104.7 2024 Q2 103.0 106.0 105.2 2024 Q3 102.1 106.0 106.1 2024 Q4 101.8 107.0 106.5 Source: U.S. Bureau of Economic Analysis, Real Gross Output by Industry; https://apps.bea.gov/iTable/?reqid=150&step=2&isuri=1&categories=gdpxind, accessed April 7, 2025. Notes: Disaggregated data for “fishing” sector are not available. “All industries” data are the entirety of all U.S. industries combined. Substitute products *** U.S. producers indicated there are no substitute products to PC boxes; 1 producer *** stated that “cardboard” boxes could be substitutes. Six of 8 U.S. importers reported that the following packaging products are substitutes: cardboard (wax or plain) boxes, corrugated cardboard boxes, wood crates, reusable plastic crates (RPCs), wire-bound crates, dry boxes, and cascade wax boxes. There are several differences between PC boxes and cardboard alternatives, which render the latter to be an imperfect substitute to PC boxes. Polypropylene resin material makes PC boxes lightweight yet more robust than cardboard, while the corrugated structure provides more strength and cushioning compared to cardboard boxes or similar alternative products.13 Ultimately, as a more recent invention than traditional cardboard boxes, PC boxes are designed to offer a sturdier, more durable, waterproof, re-usable (in certain industries), and recyclable solution for product storage and shipping needs in selected sectors of the economy.14 In some industries, for example, seafood distribution, cardboard boxes may not be suitable for use at all. 13 Conference transcript, pp. 20 (Herrmann), 67 (Nist, Dowd). 14 Petitioners’ postconference brief, pp. 4-5. 2.10 PC boxes are also distinct from other apparent imperfect substitute products, such as generic storage or shipping boxes, solid-sheet or rigid wall plastic container boxes, high density polyethylene (HDPE) boxes, or RPCs. Specifically, the sidewalls of solid sheet boxes are weaker than a corrugated sheet, because a corrugated sheet has an internal structure that provides for a better stacking strength and better rigidity.15 Further, PC boxes are more versatile than the aforementioned alternatives in terms of customization options, such as varying levels of sturdiness to adapt to diverse customer needs and customized exterior design. Product customization typically involves a significant amount of product development and design work to appropriately reflect client needs and preferences, making the final packaging product a tailored solution for a specific customer.16 Substitutability issues This section assesses the degree to which U.S.-produced PC boxes and imports of PC boxes from subject countries can be substituted for one another by examining the importance of certain purchasing factors and the comparability of PC boxes from domestic and imported sources based on those factors. Based on available data, staff believes that there is a moderate- to-high degree of substitutability between domestically produced PC boxes and PC boxes imported from subject sources.17 Factors contributing to this level of substitutability include similar quality and availability of PC boxes (produced-to-order or supplied from inventories), replicability of design elements of PC boxes from domestic/subject sources, interchangeability between domestic and subject sources, and limited significant factors other than price. Mitigating factors include different lead times for PC boxes produced-to-order from domestic/subject sources. U.S. purchaser *** stated, “Pricing is a factor, but having boxes available and not requiring several weeks of lead time and offering on hand availability is a big advantage.” Another purchaser *** reported a one-time-only purchase of PC boxes from China in 2024; because delivery times were not met, the firm did not purchase from China again. 15 Conference transcript, p. 60 (Dowd). 16 Conference transcript, pp. 67-69 (Dowd, Nist). 17 The degree of substitution between domestic and imported PC boxes depends upon the extent of product differentiation between the domestic and imported products and reflects how easily purchasers can switch from domestically produced PC boxes to the PC boxes imported from subject countries (or vice versa) when prices change. The degree of substitution may include such factors as quality differences (e.g., grade standards, defect rates, etc.), and differences in sales conditions (e.g., lead times between order and delivery dates, reliability of supply, product services, etc.). 2.11 Factors affecting purchasing decisions Most important purchase factors Purchasers responding to lost sales lost revenue allegations18 were asked to identify the main purchasing factors their firm considered in their purchasing decisions for PC boxes. The responding firms mainly comprised agricultural farms and suppliers of packaging products. The most often cited top three factors purchasers consider in their purchasing decisions for PC boxes were quality (7 firms), price/cost (6 firms), and service/reliability (4 firms) as shown in table 2.7. Quality was the most frequently cited first-most important factor (cited by 4 firms), followed by price/cost, lead time/delivery, and service/reliability factors (cited by 1 firm per each). One purchaser (***) stated, “China has better graphics + better welds compared to U.S. suppliers.” Quality and service/reliability were also the most frequently reported second-most important factors (cited by 3 firms each); and price/cost was the most frequently reported third-most important factor (3 firms). Table 2.7 PC boxes: Count of ranking of factors used in purchasing decisions as reported by purchasers, by factor Factor First Second Third Total Price / Cost 1 2 3 6 Quality 4 3 0 7 Availability / Supply 0 0 1 1 Lead time / delivery 1 0 1 2 Service / Reliability 1 3 0 4 All other factors 1 0 1 NA Source: Compiled from data submitted in response to Commission questionnaires. Note: Other factors include warehousing and/or storage assistance. Lead times PC boxes are primarily produced-to-order; U.S. producers and importers reported, respectively, 82.7 and 62.5 percent of their commercial shipments were produced-to-order with lead times averaging 18.9 and 66.3 days, respectively in 2024. The remaining 17.3 and 37.5 percent of their commercial shipments came from U.S. inventories, with lead times averaging 1.8 and 3.3 days, respectively. 18 This information is compiled from responses by purchasers identified by petitioners in the lost sales lost revenue allegations. See Part 5 for additional information. 2.12 Comparison of U.S.-produced and imported PC boxes In order to determine whether U.S.-produced PC boxes can generally be used in the same applications as imports from China, Vietnam, and nonsubject countries, U.S. producers and importers were asked whether these products can always, frequently, sometimes, or never be used interchangeably. As shown in tables 2.8 to 2.9, 5 of 6 U.S. producers and 6 of 7 responding importers indicated that PC boxes produced in the United States and China can “always” or “frequently” be used interchangeably. One U.S. producer *** and one importer *** indicated subject United States vs. Chinese origin products can be used interchangeably only “sometimes.” Producer *** reported that some end users have selected PC boxes from China made of the same material as U.S.- produced boxes and that China-sourced boxes were “cheaper” and had “the same form, fit, and function” as the PC boxes produced in the United States. Regarding comparisons of PC boxes produced in the United States and Vietnam, all 5 responding U.S. producers and 2 of 3 responding importers indicated that these products can “always” be used interchangeably. Regarding comparisons of PC boxes produced in the United States and other countries, all 5 responding U.S. producers and 4 of 6 responding importers indicated that these products can “always” or “frequently” be used interchangeably. Table 2.8 PC boxes: Count of U.S. producers reporting the interchangeability between product produced in the United States and in other countries, by country pair Country pair Always Frequently Sometimes Never United States vs. China 5 0 1 0 United States vs. Vietnam 5 0 0 0 China vs. Vietnam 5 0 0 0 United States vs. Other 5 0 0 0 Vietnam vs. Other 5 0 0 0 China vs. Other 5 0 0 0 Source: Compiled from data submitted in response to Commission questionnaires. Table 2.9 PC boxes: Count of importers reporting the interchangeability between product produced in the United States and in other countries, by country pair Country pair Always Frequently Sometimes Never United States vs. China 4 2 1 0 United States vs. Vietnam 2 0 1 0 China vs. Vietnam 2 0 1 0 United States vs. Other 3 1 1 1 Vietnam vs. Other 2 0 1 0 China vs. Other 3 1 1 0 Source: Compiled from data submitted in response to Commission questionnaires. 2.13 In addition, U.S. producers and importers were asked to assess how often differences other than price were significant in sales of PC boxes from the United States, subject, or nonsubject countries. As seen in tables 2.10 to 2.11, all 5 responding U.S. producers indicated that differences other than price between PC boxes produced in the United States and in any other country are “never” significant. Four of 7 responding U.S. importers indicated that differences other than price between PC boxes produced in the United States and China are “never” or only “sometimes” significant. Three of 7 responding importers indicated that differences other than price are “always” or “frequently” significant, when PC boxes produced in the United States and China are compared. Two of 3 responding importers indicated that differences other than price are “frequently” significant when PC boxes produced in the United States and Vietnam are compared. In particular, importers cited the following significant factors other than price: product quality, availability, reliability of supplier or service, relationship, and transportation networks. 2.14 Table 2.10 PC boxes: Count of U.S. producers reporting the significance of differences other than price between product produced in the United States and in other countries, by country pair Country pair Always Frequently Sometimes Never United States vs. China 0 0 0 5 United States vs. Vietnam 0 0 0 5 China vs. Vietnam 0 0 0 5 United States vs. Other 0 0 0 5 Vietnam vs. Other 0 0 0 5 China vs. Other 0 0 0 5 Source: Compiled from data submitted in response to Commission questionnaires. Table 2.11 PC boxes: Count of importers reporting the significance of differences between product produced in the United States and in other countries, by country pair Country pair Always Frequently Sometimes Never United States vs. China 1 2 2 2 United States vs. Vietnam 0 2 1 0 China vs. Vietnam 0 1 2 0 United States vs. Other 2 2 2 0 Vietnam vs. Other 0 1 2 0 China vs. Other 1 1 2 1 Source: Compiled from data submitted in response to Commission questionnaires. 3.1 Part 3: U.S. producers’ production, shipments, and employment The Commission analyzes a number of factors in making injury determinations (see 19 U.S.C. §§ 1677(7)(B) and 1677(7)(C)). Information on the subsidies and dumping margins was presented in Part 1 of this report and information on the volume and pricing of imports of the subject merchandise is presented in Part 4 and Part 5. Information on the other factors specified is presented in this section and/or Part 6 and (except as noted) is based on the questionnaire responses of six firms that accounted for the vast majority of U.S. production of PC boxes during 2024. U.S. producers The Commission issued a U.S. producer questionnaire to eight firms based on information contained in the petitions. Six firms provided usable data on their operations. Table 3.1 lists U.S. producers of PC boxes, their production locations, positions on the petitions, and shares of total production. Table 3.1 PC boxes: U.S. producers, their positions on the petitions, production locations, and shares of reported production, 2024 Share in percent Firm Position on petitions Production location(s) Share of production CoolSeal Petitioner Perrysburg, Ohio *** Inteplast Petitioner Lolita, Texas *** MDI *** Minneapolis, Minnesota Grand Rapids, Minnesota Hibbing, Minnesota Cohasset, Minnesota *** Plastpac *** Kenilworth, New Jersey *** SeaCa Petitioner Surprise, Arizona *** Tech Container Petitioner Desoto, Texas *** All firms Various Various 100.0 Source: Compiled from data submitted in response to Commission questionnaires. 3.2 Table 3.2 presents information on U.S. producers’ ownership, related and/or affiliated firms. No responding U.S. producer is related to a producer of PC boxes in the subject countries or to a U.S. importer of the subject merchandise. Table 3.2 PC boxes: U.S. producers’ ownership, related and/or affiliated firms Reporting firm Relationship type and related firm Details of relationship *** *** *** *** *** *** *** *** *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Table 3.3 presents events in the U.S. industry since January 1, 2022. Table 3.3 PC boxes: Important industry events since 2022 Item Firm Event Acquisitions Inteplast Inteplast acquired CoolSeal on December 6, 2024. Acquisitions CoolSeal CoolSeal was sold to Inteplast on December 6, 2024, although it still operates under the CoolSeal name. Expansions SeaCa SeaCa installed new extruder equipment in 2023 and 2024. Expansions MDI MDI began installation of a new $3.2 million polypropylene extruder at its Grand Rapids plant in December 2022. Source: Inteplast press release, “Inteplast Group Acquires CoolSeal USA,” https://www.inteplast.com/news-media/inteplast-group-acquires-coolseal-usa/, December 6, 2024; Inteplast website, “Our Affiliates,” https://www.inteplast.com/our-affiliates/, accessed April 12, 2025; conference transcript, p. 41 (Nist); MDI press release, “MDI State-of-the-Art Extruder,” https://www.mdi.org/blog/post/material-handling-24-7-polypropylene-extruder-grows-jobs/, December 20, 2022. Producers in the United States were asked to report any change in the character of their operations or organization relating to the production of PC boxes since 2022. Five U.S. producers indicated in their questionnaires that they had experienced such changes. Table 3.4 presents the changes identified by these producers. Table 3.4 PC boxes: U.S. producers’ reported changes in operations, since January 1, 2022 Item Firm name and narrative response on changes in operations Expansions *** Expansions *** Acquisitions *** Acquisitions *** Acquisitions *** Other *** Source: Compiled from data submitted in response to Commission questionnaires. 3.3 U.S. production, capacity, and capacity utilization Table 3.5 presents U.S. producers’ installed and practical overall capacity and production on the same equipment. U.S. producers’ installed and practical overall capacity increased yearly from 2022 to 2024, ending 12.1 percent higher and 9.0 percent higher, respectively. Four firms reported higher installed and practical overall capacity in 2024 than in 2022, while two firms did not report any change in their installed or practical overall capacity from 2022 to 2024. Installed and practical overall capacity utilization decreased by 4.3 percentage points and 4.2 percentage points, respectively, from 2022 to 2024. Table 3.5 PC boxes: U.S. producers’ installed and practical capacity and production on the same equipment as in-scope production, by period Capacity and production in 1,000 pounds; utilization in percent Item Measure 2022 2023 2024 Installed overall Capacity 217,810 240,284 244,084 Installed overall Production 93,828 88,994 94,650 Installed overall Utilization 43.1 37.0 38.8 Practical overall Capacity 169,735 182,086 185,086 Practical overall Production 93,828 88,994 94,650 Practical overall Utilization 55.3 48.9 51.1 Practical PC boxes Capacity 86,395 99,706 104,866 Practical PC boxes Production 42,692 44,884 46,499 Practical PC boxes Utilization 49.4 45.0 44.3 Source: Compiled from data submitted in response to Commission questionnaires. Table 3.6 presents U.S. producers’ reported narratives regarding practical capacity constraints. Table 3.6 PC boxes: U.S. producers’ reported capacity constraints since January 1, 2022 Item Firm name and narrative response on constraints to practical overall capacity Production bottlenecks *** Existing labor force *** Other constraints *** Other constraints *** Other constraints *** Other constraints *** Source: Compiled from data submitted in response to Commission questionnaires. 3.4 Table 3.7 and figure 3.1 present U.S. producers’ production, practical capacity, and capacity utilization. U.S. producers’ practical capacity increased in every year from 2022 to 2024, most noticeably from 2022 to 2023, ending 21.4 percent higher. Five firms reported an increase in their practical capacity from 2022 to 2024, while one firm did not report any change in its practical capacity.1 U.S. producers’ production also increased yearly from 2022 to 2024, but at lower rate than their practical capacity, ending 8.9 percent higher. Five firms reported an increase in their production from 2022 to 2024, while one reported a modest decrease.2 U.S. producers’ capacity utilization, consequently, decreased yearly from 2022 to 2024, ending 5.1 percentage points lower. Four firms reported a decrease in their capacity utilization from 2022 to 2024, while two firms reported an increase. Table 3.7 PC boxes: U.S. producers’ output, by firm and period Practical capacity Capacity in 1,000 pounds Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 86,395 99,706 104,866 Table continued. Table 3.7 (Continued) PC boxes: U.S. producers’ output, by firm and period Production Production in 1,000 pounds Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 42,692 44,884 46,499 Table continued. 1 The increase in practical capacity is largely driven by changes in *** operations from 2022 to 2023, which include the installation of a new extruder in 2022 and an additional production line in 2023. 2 *** accounted for *** of the increase in production during this period. According to company representatives, the increase in production was due to ***. Email from ***, April 4, 2025. 3.5 Table 3.7 (Continued) PC boxes: U.S. producers’ output, by firm and period Capacity utilization Capacity utilization in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 49.4 45.0 44.3 Note: Capacity utilization ratio represents the ratio of the U.S. producer’s production to its production capacity. Table continued. Table 3.7 (Continued) PC boxes: U.S. producers’ output, by firm and period Share of production Share of production in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. 3.6 Figure 3.1 PC boxes: U.S. producers’ output, by period Source: Compiled from data submitted in response to Commission questionnaires. Alternative products As shown in table 3.8, PC boxes represented a slight minority of production of all products by U.S. producers in 2022 and 2024 (*** percent and *** percent) and a slight majority in 2023 (*** percent). Two firms reported producing other products on the same machinery used to produce PC boxes, which include ***. Table 3.8 PC boxes: U.S. producers’ overall production on the same equipment as in-scope production, by product type and period Quantity in 1,000 pounds; share in percent Product type Measure 2022 2023 2024 PC boxes Quantity 42,692 44,884 46,499 Other products Quantity *** *** *** All products Quantity *** *** *** PC boxes Share *** *** *** Other products Share *** *** *** All products Share 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0 0 20 40 60 80 100 120 2022 2023 2024 Calendar year Ratio (percent) Quantity (million pounds) Capacity (left-axis) Production (left-axis) Capacity utilization (right-axis) 3.7 U.S. producers’ U.S. shipments and exports Table 3.9 presents U.S. producers’ U.S. shipments, export shipments, and total shipments. U.S. shipments, all of which were commercial shipments, accounted for nearly all of U.S. producers’ total shipments from 2022 to 2024. The quantity of their U.S. shipments increased yearly from 2022 to 2024, ending 12.0 percent higher. All six firms reported an increase in their U.S. shipments during this period, with *** accounting for more than half of the increase.3 The value of U.S. producers’ U.S. shipments fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending 1.5 percent lower overall. The average unit value of U.S. producers’ U.S. shipments decreased yearly from 2022 to 2024, most noticeably from 2022 to 2023, ending 12.1 percent lower. *** of six U.S. producers reported a decrease in the unit value of their U.S. shipments during this period.4 By quantity, export shipments accounted for a small share of U.S. producers’ total shipments from 2022 to 2024. The quantity of their export shipments fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percent lower overall. Three firms reported export shipments during this period, with one firm’s (***) reported decrease offsetting the two other firms’ (***) reported increase. The value of U.S. producers’ export shipments fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percent higher overall. The unit value of their export shipments fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percent higher overall. 3 Representatives from *** noted that its commercial U.S. shipments increased ***. Email from ***, April 4, 2025. 4 The decrease in the average unit value of U.S. shipments largely reflects *** operations as these firms accounted for the majority of U.S. shipments from 2022 to 2024, and each firm reported a decrease in their unit values during this period. Representatives from *** noted that the decrease in the unit value of their shipments reflected ***. Emails from ***, April 3, 2025 and April 4, 2025. Two firms (***) reported larger unit values for their U.S. shipments from 2022 to 2024. Representatives from *** noted that ***. Email from ***, April 4, 2025. Representatives from *** attribute the higher unit value of its products to ***. Email from ***, April 4, 2025. 3.8 Table 3.9 PC boxes: U.S. producers’ shipments, by destination and period Quantity in 1,000 pounds; value in 1,000 dollars; unit value in dollars per pound; share in percent Item Measure 2022 2023 2024 U.S. shipments Quantity 40,957 42,928 45,874 Export shipments Quantity *** *** *** Total shipments Quantity *** *** *** U.S. shipments Value 83,979 78,116 82,684 Export shipments Value *** *** *** Total shipments Value *** *** *** U.S. shipments Unit value 2.05 1.82 1.80 Export shipments Unit value *** *** *** Total shipments Unit value *** *** *** U.S. shipments Share of quantity *** *** *** Export shipments Share of quantity *** *** *** Total shipments Share of quantity 100.0 100.0 100.0 U.S. shipments Share of value *** *** *** Export shipments Share of value *** *** *** Total shipments Share of value 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. U.S. producers’ inventories Table 3.10 presents U.S. producers’ end-of-period inventories and the ratio of these inventories to U.S. producers’ production, U.S. shipments, and total shipments. U.S. producers’ end-of-period inventories fluctuated, increasing from 2022 to 2023, then decreasing more modestly from 2023 to 2024, ending 36.8 percent higher overall. The ratios of U.S. producers’ end-of-period inventories to their U.S. production, U.S. shipments, and total shipments also fluctuated, increasing from 2022 to 2023, then decreasing more modestly from 2023 to 2024, ending 1.6 percentage points, 1.4 percentage points, and *** percentage points higher overall, respectively. Table 3.10 PC boxes: U.S. producers’ inventories and their ratio to select items, by period Quantity in 1,000 pounds; ratio in percent Item 2022 2023 2024 End-of-period inventory quantity 2,687 3,745 3,677 Inventory ratio to U.S. production 6.3 8.3 7.9 Inventory ratio to U.S. shipments 6.6 8.7 8.0 Inventory ratio to total shipments *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. 3.9 U.S. producers’ imports from subject sources No responding U.S. producer reported imports of PC boxes from 2022 to 2024. U.S. producers' purchases of imports from subject sources No responding U.S. producer reported purchases of PC boxes from 2022 to 2024. U.S. employment, wages, and productivity Table 3.11 shows U.S. producers’ employment-related data. The number of production- related workers (“PRWs”) increased yearly from 2022 to 2024, ending 11.7 percent higher. Productivity remained largely unchanged from 2022 to 2023 but decreased by 2.8 percent from 2023 to 2024. Total hours worked, wages paid, hourly wages, and unit labor costs each increased from 2022 to 2024, while hours worked per PRW was roughly the same during that period. Table 3.11 PC boxes: U.S. producers’ employment related information, by period Item 2022 2023 2024 Production and related workers (PRWs) (number) 376 394 420 Total hours worked (1,000 hours) 767 806 859 Hours worked per PRW (hours) 2,040 2,046 2,045 Wages paid ($1,000) 19,358 20,673 22,523 Hourly wages (dollars per hour) $25.24 $25.65 $26.22 Productivity (pounds per hour) 55.7 55.7 54.1 Unit labor costs (dollars per pound) $0.45 $0.46 $0.48 Source: Compiled from data submitted in response to Commission questionnaires. 4.1 Part 4: U.S. imports, apparent U.S. consumption, and market shares U.S. importers The Commission issued importer questionnaires to 80 firms believed to be importers of PC boxes, and to all U.S. producers of PC boxes.1 Usable questionnaire responses were received from eight companies, representing *** percent of U.S. imports from China, zero percent of U.S. imports from Vietnam, and *** percent of imports from nonsubject sources in 2024 under HTS statistical reporting number 3923.10.9000, a “basket” category.2 3 Table 4.1 lists all responding U.S. importers of PC boxes from China, Vietnam and other sources, their locations, and their shares of reported U.S. imports in 2024. 1 The Commission issued questionnaires to firms identified in the petitions; staff research; and proprietary, Census-edited Customs’ import records. 2 Due to the large presence of out-of-scope merchandise in HTS statistical reporting number 3923.10.9000 and the limited share of total imports from each source that is represented by the responding U.S. importers, the most accurate estimate of total imports of PC boxes from China and Vietnam available to staff at time of the drafting of this staff report is data submitted by the petitioners. The petitioners’ estimates for imports from China, Vietnam, and nonsubject sources were developed through a review of ocean freight shipment manifest data that they accessed through a third-party provider. Coverage estimates were calculated by dividing the import quantity reported by U.S. importers by the import quantity from official U.S. import statistics of the U.S. Department of Commerce Census Bureau using HTS statistical reporting number 3923.10.9000. 3 The Commission received a partial response to its questionnaire from ***. In 2024, *** imported *** pounds of PC boxes from China and *** pounds of PC boxes from Peru. Eight firms that were identified as possible importers of PC boxes reported that they did not import PC boxes from any source since January 1, 2022. 4.2 Table 4.1 PC boxes: U.S. importers, their headquarters, and share of imports within each source, 2024 Share in percent Firm Headquarters China Vietnam Subject sources Nonsubject sources All import sources Elberta Bainbridge, GA *** — *** *** *** Expressions Global San Diego, CA *** — *** *** *** GA Crate Thomasville, GA *** — *** *** *** Green Circles Bainbridge, GA *** — *** *** *** IBS Supplies Fresno, CA *** — *** *** *** J&N Stone Wakarusa, IN *** — *** *** *** Monte Riverside, MI *** — *** *** *** Westlake Houston, TX *** — *** *** *** All firms Various 100.0 — 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. U.S. imports Table 4.2 and figure 4.1 present data for U.S. imports of PC boxes from China, Vietnam, and all other sources. Subject imports, by quantity, accounted for a minority share of total imports in 2022 but a majority in 2023 and 2024, with China accounting for the largest share in those latter years. From 2022 to 2024, the quantity of subject imports increased yearly, most noticeably from 2023 to 2024, ending *** higher. Imports from China increased yearly from 2022 to 2024, ending *** higher. Imports from Vietnam began in small quantities in 2023 and increased noticeably from 2023 to 2024, resulting in its share of total imports increasing from *** percent to *** percent. The quantity of imports from nonsubject sources fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percent higher overall. The value of imports from China increased yearly from 2022 to 2024, ending *** higher. The value of imports from Vietnam increased noticeably from 2023 to 2024, but at a slower rate than quantity. The value of nonsubject imports fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percent higher overall. The unit value of subject imports fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percent higher overall. The unit value of nonsubject imports fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percent higher overall. The unit value of nonsubject imports was higher than the unit value of subject imports throughout the period for which data were collected. 4.3 Table 4.2 PC boxes: U.S. imports by source and period Quantity in 1,000 pounds; value in 1,000 dollars; unit value in dollars per pound; share and ratio in percent; ratio represents the ratio to U.S. production Source Measure 2022 2023 2024 China Quantity *** *** *** Vietnam Quantity *** *** *** Subject sources Quantity *** *** *** Nonsubject sources Quantity *** *** *** All import sources Quantity *** *** *** China Value *** *** *** Vietnam Value *** *** *** Subject sources Value *** *** *** Nonsubject sources Value *** *** *** All import sources Value *** *** *** China Unit value *** *** *** Vietnam Unit value *** *** *** Subject sources Unit value *** *** *** Nonsubject sources Unit value *** *** *** All import sources Unit value *** *** *** China Share of quantity *** *** *** Vietnam Share of quantity *** *** *** Subject sources Share of quantity *** *** *** Nonsubject sources Share of quantity *** *** *** All import sources Share of quantity 100.0 100.0 100.0 China Share of value *** *** *** Vietnam Share of value *** *** *** Subject sources Share of value *** *** *** Nonsubject sources Share of value *** *** *** All import sources Share of value 100.0 100.0 100.0 China Ratio *** *** *** Vietnam Ratio *** *** *** Subject sources Ratio *** *** *** Nonsubject sources Ratio *** *** *** All import sources Ratio *** *** *** Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity of imports from China, Vietnam, and nonsubject sources were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. The average unit value of imports was compiled from data submitted in response to the Commission’s questionnaires. The value of imports from China, Vietnam, and nonsubject sources were calculated by multiplying the quantity data from the manifest shipment data by the average unit value of imports from each source compiled from data submitted in response to the Commission’s questionnaires. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.4 Figure 4.1 PC boxes: U.S. import quantities and average unit values, by source and period * * * * * * * Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity of subject and nonsubject imports were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. The average unit value of imports was derived from data submitted in response to the Commission’s questionnaires. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Table 4.3 presents data on the changes in import quantity, value, and unit value between comparison periods. 4.5 Table 4.3 PC boxes: Changes in U.S. import data, by source and period Changes in quantity, value, and unit value (%Δ) in percent; changes in share of quantity and value and ratio to U.S. production (ppt Δ) in percentage points Source Measure 2022 to 2024 2022 to 2023 2023 to 2024 China %Δ Quantity ▲*** ▲*** ▲*** Vietnam %Δ Quantity ▲*** ▲*** ▲*** Subject sources %Δ Quantity ▲*** ▲*** ▲*** Nonsubject sources %Δ Quantity ▲*** ▼*** ▲*** All import sources %Δ Quantity ▲*** ▲*** ▲*** China %Δ Value ▲*** ▲*** ▲*** Vietnam %Δ Value ▲*** ▲*** ▲*** Subject sources %Δ Value ▲*** ▲*** ▲*** Nonsubject sources %Δ Value ▲*** ▼*** ▲*** All import sources %Δ Value ▲*** ▼*** ▲*** China %Δ Unit value ▲*** ▲*** ▼*** Vietnam %Δ Unit value ▲*** ▲*** ▼*** Subject sources %Δ Unit value ▲*** ▲*** ▼*** Nonsubject sources %Δ Unit value ▲*** ▼*** ▲*** All import sources %Δ Unit value ▼*** ▼*** ▼*** China ppt Δ Quantity ▲*** ▲*** ▼*** Vietnam ppt Δ Quantity ▲*** ▲*** ▲*** Subject sources ppt Δ Quantity ▲*** ▲*** ▲*** Nonsubject sources ppt Δ Quantity ▼*** ▼*** ▼*** All import sources ppt Δ Quantity *** *** *** China ppt Δ Value ▲*** ▲*** ▼*** Vietnam ppt Δ Value ▲*** ▲*** ▲*** Subject sources ppt Δ Value ▲*** ▲*** ▲*** Nonsubject sources ppt Δ Value ▼*** ▼*** ▼*** All import sources ppt Δ Value *** *** *** China ppt Δ Ratio ▲*** ▲*** ▲*** Vietnam ppt Δ Ratio ▲*** ▲*** ▲*** Subject sources ppt Δ Ratio ▲*** ▲*** ▲*** Nonsubject sources ppt Δ Ratio ▲*** ▼*** ▲*** All import sources ppt Δ Ratio ▲*** ▲*** ▲*** Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity of imports from China, Vietnam, and nonsubject sources were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. The average unit value of imports was compiled from data submitted in response to the Commission’s questionnaires. The value of imports from China, Vietnam, and nonsubject sources were calculated by multiplying the quantity data from the manifest shipment data by the average unit value of imports from each source compiled from data submitted in response to the Commission’s questionnaires. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.6 Negligibility The statute requires that an investigation be terminated without an injury determination if imports of the subject merchandise are found to be negligible.4 Negligible imports are generally defined in the Act, as amended, as imports from a country of merchandise corresponding to a domestic like product where such imports account for less than 3 percent of the volume of all such merchandise imported into the United States in the most recent 12-month period for which data are available that precedes the filing of the petition or the initiation of the investigation. However, if there are imports of such merchandise from a number of countries subject to investigations initiated on the same day that individually account for less than 3 percent of the total volume of the subject merchandise, and if the imports from those countries collectively account for more than 7 percent of the volume of all such merchandise imported into the United States during the applicable 12-month period, then imports from such countries are deemed not to be negligible.5 As presented in table 4.4, imports from China and Vietnam accounted for *** percent and *** percent of total imports of PC boxes by quantity, respectively, from March 2024 through February 2025. Table 4.4 PC boxes: U.S. imports in the twelve-month period preceding the filing of the petitions, March 2024 through February 2025 Quantity in 1,000 pounds; share in percent Source of imports Quantity Share of quantity China *** *** Vietnam *** *** All other sources *** *** All import sources *** 100.0 Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity of imports from China, Vietnam, and all other sources were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. 4 Sections 703(a)(1), 705(b)(1), 733(a)(1), and 735(b)(1) of the Act (19 U.S.C. §§ 1671b(a)(1), 1671d(b)(1), 1673b(a)(1), and 1673d(b)(1)). 5 Section 771 (24) of the Act (19 U.S.C § 1677(24)). 4.7 Cumulation considerations In assessing whether imports should be cumulated, the Commission determines whether U.S. imports from the subject countries compete with each other and with the domestic like product and has generally considered four factors: (1) fungibility, (2) presence of sales or offers to sell in the same geographical markets, (3) common or similar channels of distribution, and (4) simultaneous presence in the market. Information regarding channels of distribution, market areas, and interchangeability appear in Part 2. Additional information concerning fungibility, geographical markets, and simultaneous presence in the market is presented below. Fungibility Table 4.5 and figure 4.2 present data on U.S. producers’ and U.S. importers’ U.S. shipments of PC boxes by dimension in 2024. The majority of U.S. producers’ U.S. shipments were boxes in other dimensions, followed by boxes that are 19 to 20 inches long by 12 to 13 inches wide.6 The majority of U.S. shipments of imports from China were boxes that are 19 to 20 inches long by 12 to 13 inches wide, followed by boxes in other dimensions. There were no reported U.S. shipments of imports from Vietnam as none of the responding U.S. importers reported imports of PC boxes from Vietnam. The majority of U.S. shipments of nonsubject imports were also boxes that are 19 to 20 inches long by 12 to 13 inches wide. Table 4.5 PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and box dimension, 2024 Quantity in 1,000 pounds Source 19 to 20 inches long by 12 to 13 inches wide 19 to 20 inches long by 10 to 11 inches wide All other dimensions All box dimensions U.S. producers *** *** *** 45,873 China *** *** *** 7,746 Vietnam — — — — Subject sources *** *** *** 7,746 Nonsubject sources *** *** *** 3,780 All import sources *** *** *** 11,526 All sources *** *** *** 57,399 Table continued. 6 A representative from SeaCa confirmed that the firm produces PC boxes based on its customers’ specifications. Conference transcript, p. 91 (Nist). 4.8 Table 4.5 (Continued) PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and box dimension, 2024 Share across in percent Source 19 to 20 inches long by 12 to 13 inches wide 19 to 20 inches long by 10 to 11 inches wide All other dimensions All box dimensions U.S. producers *** *** *** 100.0 China *** *** *** 100.0 Vietnam — — — — Subject sources *** *** *** 100.0 Nonsubject sources *** *** *** 100.0 All import sources *** *** *** 100.0 All sources *** *** *** 100.0 Table continued. Table 4.5 (Continued) PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and box dimension, 2024 Share down in percent Source 19 to 20 inches long by 12 to 13 inches wide 19 to 20 inches long by 10 to 11 inches wide All other dimensions All box dimensions U.S. producers *** *** *** *** China *** *** *** *** Vietnam — — — — Subject sources *** *** *** *** Nonsubject sources *** *** *** *** All import sources *** *** *** *** All sources 100.0 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.9 Figure 4.2 PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and box dimension, 2024 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Table 4.6 and figure 4.3 present data on U.S. producers’ and U.S. importers’ U.S. shipments of PC boxes by polypropylene content. The vast majority of U.S. producers’ U.S. shipments and nearly all U.S. shipments of imports from China were PC boxes with 90 percent or more polypropylene content. PC boxes with between 50 percent and 90 percent polypropylene content accounted for a small share of U.S. producers’ U.S. shipments and U.S. shipments of imports from China. There were no reported U.S. shipments of PC boxes with less than 50 percent polypropylene content. 4.10 Table 4.6 PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and polypropylene content, 2024 Quantity in 1,000 pounds Source <=50 percent >50 percent and <90 percent >= 90 percent All polypropylene contents U.S. producers — *** *** 45,873 China — *** *** 7,746 Vietnam — — — — Subject sources — *** *** 7,746 Nonsubject sources — *** *** 3,780 All import sources — *** *** 11,526 All sources — *** *** 57,399 Table continued. Table 4.6 (Continued) PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and polypropylene content, 2024 Share across in percent Source <=50 percent >50 percent and <90 percent >= 90 percent All polypropylene contents U.S. producers — *** *** 100.0 China — *** *** 100.0 Vietnam — — — — Subject sources — *** *** 100.0 Nonsubject sources — *** *** 100.0 All import sources — *** *** 100.0 All sources — *** *** 100.0 Table continued. Table 4.6 (Continued) PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and polypropylene content, 2024 Share down in percent Source <=50 percent >50 percent and <90 percent >= 90 percent All polypropylene contents U.S. producers — *** *** *** China — *** *** *** Vietnam — — — — Subject sources — *** *** *** Nonsubject sources — *** *** *** All import sources — *** *** *** All sources — 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.11 Figure 4.3 PC boxes: U.S. producers’ and U.S. importers’ U.S. shipments, by source and polypropylene content, 2024 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Geographical markets Table 4.7 presents data on U.S. imports of boxes, cases, crates, and other articles of plastic, a broader category that includes PC boxes, by source and border of entry, in 2024. According to official import statistics, imports of boxes, cases, crates, and other articles of plastic entered the United States through ports in every region. Imports of such products from China entered the United States primarily through ports located in the West. Imports of boxes, cases, crates, and other articles of plastic from Vietnam entered the United States primarily through ports located either in the East or West. Table 4.7 Boxes, cases, crates, and other articles of plastic: U.S. imports by source and border of entry, 2024 Quantity in 1,000 pounds Source East North South West All borders China 25,351 11,368 13,694 58,951 109,364 Vietnam 4,001 721 1,868 3,524 10,113 Subject sources 29,352 12,088 15,562 62,475 119,477 Nonsubject sources 156,540 117,712 204,877 222,668 701,797 All import sources 185,892 129,800 220,440 285,143 821,275 Table continued. 4.12 Table 4.7 (Continued) Boxes, cases, crates, and other articles of plastic: U.S. imports by source and border of entry, 2024 Share across in percent Source East North South West All borders China 23.2 10.4 12.5 53.9 100.0 Vietnam 39.6 7.1 18.5 34.8 100.0 Subject sources 24.6 10.1 13.0 52.3 100.0 Nonsubject sources 22.3 16.8 29.2 31.7 100.0 All import sources 22.6 15.8 26.8 34.7 100.0 Table continued. Table 4.7 (Continued) Boxes, cases, crates, and other articles of plastic: U.S. imports by source and border of entry, 2024 Share down in percent Source East North South West All borders China 13.6 8.8 6.2 20.7 13.3 Vietnam 2.2 0.6 0.8 1.2 1.2 Subject sources 15.8 9.3 7.1 21.9 14.5 Nonsubject sources 84.2 90.7 92.9 78.1 85.5 All import sources 100.0 100.0 100.0 100.0 100.0 Source: Compiled from official U.S. import statistics of the U.S. Department of Commerce Census Bureau using HTS statistical reporting number 3923.10.9000, accessed April 3, 2025. Import area based on imports for consumption data series. Note: HTS statistical reporting number 3923.10.9000 is a basket category that includes products that are outside the scope of these investigations. Presence in the market U.S. imports of boxes, cases, crates, and other articles of plastic from China and Vietnam were present in every month during the period of investigation (January 2022 through December 2024). Table 4.8 and figures 4.4 and 4.5 present monthly data of U.S. imports of boxes, cases, crates, and other articles of plastic from January 2022 through December 2024. 4.13 Table 4.8 Boxes, cases, crates, and other plastic articles: Quantity of U.S. imports, by source and month Quantity in 1,000 pounds Year Month China Vietnam Subject sources Nonsubject sources All import sources 2022 January 7,486 338 7,824 52,297 60,122 2022 February 7,048 424 7,472 50,787 58,259 2022 March 8,756 670 9,426 63,936 73,362 2022 April 8,410 729 9,139 59,769 68,907 2022 May 8,683 793 9,476 63,294 72,770 2022 June 9,319 689 10,008 62,368 72,376 2022 July 7,880 408 8,288 58,666 66,954 2022 August 7,663 455 8,118 62,496 70,615 2022 September 6,827 402 7,229 54,931 62,159 2022 October 6,105 662 6,767 59,599 66,366 2022 November 5,595 431 6,026 50,492 56,518 2022 December 5,208 431 5,639 48,239 53,878 2023 January 5,203 586 5,789 56,233 62,022 2023 February 4,193 353 4,546 47,343 51,889 2023 March 5,369 499 5,867 55,181 61,048 2023 April 6,420 468 6,888 53,853 60,741 2023 May 6,981 592 7,574 57,879 65,453 2023 June 6,988 706 7,694 59,281 66,974 2023 July 8,008 594 8,602 54,404 63,006 2023 August 8,085 688 8,773 56,178 64,951 2023 September 6,729 762 7,491 50,845 58,337 2023 October 7,479 602 8,081 53,617 61,698 2023 November 7,713 481 8,195 51,393 59,588 2023 December 6,606 503 7,109 47,658 54,768 2024 January 7,639 167 7,806 53,379 61,185 2024 February 7,203 217 7,420 52,415 59,835 2024 March 6,971 220 7,191 54,952 62,144 2024 April 8,489 407 8,896 61,822 70,718 2024 May 10,768 583 11,352 64,100 75,451 2024 June 10,987 901 11,888 60,605 72,493 2024 July 11,753 1,139 12,893 65,806 78,699 2024 August 9,779 1,235 11,014 62,568 73,582 2024 September 8,026 1,191 9,217 58,000 67,216 2024 October 9,720 1,429 11,149 58,061 69,210 2024 November 8,996 1,767 10,763 57,593 68,356 2024 December 9,032 856 9,888 52,496 62,385 Source: Compiled from official U.S. import statistics of the U.S. Department of Commerce Census Bureau using HTS statistical reporting number 3923.10.9000, accessed April 3, 2025. Import area based on imports for consumption data series. Note: HTS statistical reporting number 3923.10.9000 is a basket category that includes products that are outside the scope of these investigations. 4.14 Figure 4.4 Boxes, cases, crates, and other articles of plastic: U.S. imports from individual subject sources, by month Source: Compiled from official U.S. import statistics of the U.S. Department of Commerce Census Bureau using HTS statistical reporting number 3923.10.9000, accessed April 3, 2025. Import area based on imports for consumption data series. Note: HTS statistical reporting number 3923.10.9000 is a basket category that includes products that are outside the scope of these investigations. 0 2 4 6 8 10 12 14 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2022 2023 2024 Quantity (million pounds) China Vietnam 4.15 Figure 4.5 Boxes, cases, crates, and other articles of plastic: U.S. imports from aggregated subject and nonsubject sources, by month Source: Compiled from official U.S. import statistics of the U.S. Department of Commerce Census Bureau using HTS statistical reporting number 3923.10.9000, accessed April 3, 2025. Import area based on imports for consumption data series. Note: HTS statistical reporting number 3923.10.9000 is a basket category that includes products that are outside the scope of these investigations. 0 10 20 30 40 50 60 70 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2022 2023 2024 Quantity (million pounds) Subject Nonsubject 4.16 Apparent U.S. consumption and market shares Quantity Table 4.9 and figure 4.6 present data on apparent U.S. consumption and U.S. market shares for PC boxes, by quantity. Apparent U.S. consumption increased yearly from 2022 to 2024, most noticeably from 2023 to 2024, ending *** percent higher. The increase in apparent U.S. consumption during this period largely reflects the yearly increases in subject imports, which were larger, on an aggregate and percentage basis, than the increase in U.S. producers’ U.S. shipments.7 U.S. producers’ market share decreased yearly from 2022 to 2024, most noticeably from 2023 to 2024, ending *** percentage points lower. The market share of imports from China increased yearly from 2022 to 2024, ending *** percentage points higher. The market share of imports from Vietnam increased by *** percentage points from 2023 to 2024. Overall, the market share of subject imports increased yearly from 2022 to 2024, ending *** percent higher. The market share of nonsubject imports fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percentage points lower overall. 7 For more detailed discussion on the trends in U.S. producers’ U.S. shipments, see Part 3 and for more detailed discussion on trends in subject and nonsubject imports, see the section entitled “U.S. imports.” 4.17 Table 4.9 PC boxes: Apparent U.S. consumption and market shares based on quantity, by source and period Quantity in 1,000 pounds; share in percent Source Measure 2022 2023 2024 U.S. producers Quantity 40,957 42,928 45,874 China Quantity *** *** *** Vietnam Quantity *** *** *** Subject sources Quantity *** *** *** Nonsubject sources Quantity *** *** *** All import sources Quantity *** *** *** All sources Quantity *** *** *** U.S. producers Share *** *** *** China Share *** *** *** Vietnam Share *** *** *** Subject sources Share *** *** *** Nonsubject sources Share *** *** *** All import sources Share *** *** *** All sources Share 100.0 100.0 100.0 Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity of imports from China, Vietnam, and nonsubject sources were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.18 Figure 4.6 PC boxes: Apparent U.S. consumption based on quantity, by source and period * * * * * * * Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The quantity data for imports from China, Vietnam, and nonsubject sources were derived from a review of ocean freight shipment manifest data accessed by the petitioners through a third-party source. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Value Table 4.10 and figure 4.7 present data on apparent U.S. consumption and U.S. market shares for PC boxes, by value. Apparent U.S. consumption fluctuated, decreasing from 2022 to 2023, then increasing more noticeably from 2023 to 2024, ending *** percent higher overall. The increase in the value of apparent U.S. consumption largely reflects the changes in subject and nonsubject imports. 4.19 Table 4.10 PC boxes: Apparent U.S. consumption and market shares based on value, by source and period Value in 1,000 dollars; share in percent Source Measure 2022 2023 2024 U.S. producers Value 83,979 78,116 82,684 China Value *** *** *** Vietnam Value *** *** *** Subject sources Value *** *** *** Nonsubject sources Value *** *** *** All import sources Value *** *** *** All sources Value *** *** *** U.S. producers Share *** *** *** China Share *** *** *** Vietnam Share *** *** *** Subject sources Share *** *** *** Nonsubject sources Share *** *** *** All import sources Share *** *** *** All sources Share 100.0 100.0 100.0 Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The value of imports from China, Vietnam, and nonsubject sources were calculated by multiplying the quantity data from the manifest shipment data by the average unit value of imports from each source compiled from data submitted in response to the Commission’s questionnaires. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 4.20 Figure 4.7 PC boxes: Apparent U.S. consumption based on value, by source and period * * * * * * * Source: Compiled from data submitted in response to the Commission’s questionnaire and from manifest shipment data submitted in the petitions. The values of subject and nonsubject imports were calculated by multiplying the quantity data from the manifest shipment data by the average unit value of imports from each source compiled from data submitted in response to the Commission’s questionnaires. Note: The shipment manifest data submitted by the petitioners were further adjusted to remove shipments by foreign producers/exporters in the subject countries that responded “No” to the Commission’s foreign producer questionnaire and shipments by U.S. importers that responded “No” to the Commission’s U.S. importers’ questionnaire. U.S. producers’ market share fluctuated, increasing modestly from 2022 to 2023, then decreasing more noticeably from 2023 to 2024, ending *** percentage points lower overall. The market share of U.S. imports from China increased yearly from 2022 to 2024, ending *** percentage points higher. The market share of U.S. imports from Vietnam increased by *** percentage points from 2023 to 2024. Overall, the market share of subject imports increased yearly from 2022 to 2024, ending *** percentage points higher. The market share of nonsubject imports fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending *** percentage points higher overall. 5.1 Part 5: Pricing data Factors affecting prices Raw material costs PC boxes are boxes, totes, or other containers made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene twin wall sheets, or multi wall sheets. Because it can be remelted and reformed into plastic pellets, polypropylene is completely recyclable.1 Typically, polypropylene sheets are produced using a continuous extrusion process from a plastic resin consisting of 50 percent or more polypropylene, which is a synthetic resin built up by the polymerization of propylene.2 3 Based on U.S. producers’ reports, virgin polypropylene (i.e., polypropylene that has not been previously used or recycled) accounts for 82.9 percent of total raw materials cost of PC boxes. The primary feedstock for polypropylene is propylene; thus, the price of propylene has an impact on the cost of polypropylene. Related raw material costs that are publicly available include polypropylene and propylene (figure 5.1 and tables 5.1 and 5.2). The global price of polypropylene increased by 13.1 percent between January 2022 to March 2022, then fluctuated and declined by 35.4 percent through July 2023. Polypropylene prices fluctuated between July 2023 and October 2024, with an overall increase by 5.2 percent during this period. The global price of propylene increased by 35.4 between January 2022 to March 2022, then fluctuated and declined by 43.1 percent through July 2023. Propylene prices fluctuated between July 2023 and October 2024, with an overall increase by 7.3 percent during this period. 1 AdvanTechPlasticsLLC, Why Polypropylene is the Second Most Popular Plastic; https://advantechplastics.com/blog/polypropylene-number-2-popular-plastic-coming-strong, May 30, 2019. 2 Petition, Volume I. General Issues Narrative, p. 6. 3 Britannica, Polypropylene Chemical Compound; https://www.britannica.com/science/polypropylene, accessed April 2, 2025. 5.2 Figure 5.1 PC boxes: Raw materials: Indexed worldwide polypropylene and propylene prices, monthly, January 2022 to October 2024 Source: Krungsri Research, Petrochemical Prices and Spreads; https://www.krungsri.com/getmedia/261859be-57eb-447f-a6de- 7e8ecb7cf1c1/II_Petrochemicals_EN.pdf.aspx, accessed April 7, 2025. Table 5.1 PC boxes: Raw materials: Indexed worldwide polypropylene prices, monthly, January 2022 to October 2024 Price index, January 2022=100 Month 2022 2023 2024 January 100.0 82.4 78.7 February 106.4 89.8 80.7 March 113.1 86.1 81.4 April 106.4 84.4 81.1 May 105.8 82.5 81.1 June 100.3 73.4 81.1 July 91.9 73.0 79.7 August 81.1 77.9 77.5 September 85.1 79.9 76.8 October 83.2 79.7 76.8 November 75.3 75.9 NA December 77.1 76.2 NA Source: Krungsri Research, Petrochemical Prices and Spreads; https://www.krungsri.com/getmedia/261859be-57eb-447f-a6de- 7e8ecb7cf1c1/II_Petrochemicals_EN.pdf.aspx, accessed April 7, 2025. 70.00 80.00 90.00 100.00 110.00 120.00 130.00 140.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct 2022 2023 2024 Indexed prices (2022 Jan = 100.0 percent) Polypropylene Propylene 5.3 Table 5.2 PC boxes: Raw materials: Indexed worldwide propylene prices, monthly, January 2022 to October 2024 Price index, January 2022=100 Month 2022 2023 2024 January 100.0 91.8 93.8 February 110.5 101.0 93.6 March 135.4 96.3 87.9 April 118.2 96.5 86.1 May 115.5 90.2 83.7 June 104.4 96.5 83.8 July 96.6 77.1 91.8 August 91.0 85.3 92.3 September 91.5 85.2 82.7 October 91.4 82.2 82.7 November 85.9 82.3 NA December 89.4 82.4 NA Source: Krungsri Research, Petrochemical Prices and Spreads; https://www.krungsri.com/getmedia/261859be-57eb-447f-a6de- 7e8ecb7cf1c1/II_Petrochemicals_EN.pdf.aspx, accessed April 7, 2025. Propylene can be derived from (i) crude oil, (ii) propane (a byproduct of natural gas processing and crude oil refining), and (iii) coal (mostly in China).4 Trends in these related raw material costs can be assessed using global crude oil and global energy price indices (figure 5.2 and tables 5.3 and 5.4).5 The global price of crude oil increased by 38.0 percent between January 2022 to June 2022, then fluctuated and declined by 38.8 percent through June 2023. Crude oil prices fluctuated between June 2023 and December 2024, with an overall decline by 0.2 percent during this period. The global energy prices, measured by the energy price index increased by 43.0 percent between January 2022 to June 2022, then fluctuated and declined by 45.1 percent through June 2023. The global energy prices fluctuated between June 2023 and December 2024, with an overall increase by 1.4 percent during this period. 4 IHS Markit, North American Propylene Market: Six Key Trends to Watch; https://cdn.ihs.com/www/pdf/NAPS-6Trends.pdf, accessed April 7, 2025; Thanh Khoa Phung, Thong Le Minh Pham, Khanh B. Vu, Guido Busca, (Bio)Propylene Production Processes: a critical review, Journal of Environmental Chemical Engineering (9), 2021. 5 The World Bank’s energy price index uses the following weights: coal prices 4.7 percent, crude oil prices 84.6 percent, and natural gas 10.8 percent. 5.4 Figure 5.2 PC boxes: Raw materials: Global crude oil and energy price indices, monthly, January 2022 to December 2024 Source: U.S. Energy Information Administration, Cushing, OK WTI Spot Price FOB; https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RWTC&f=M, accessed April 7, 2025; World Bank, Commodity Price Data; https://www.worldbank.org/en/research/commodity-markets, accessed April 7, 2025 Table 5.3 Raw materials: Global crude oil price index, monthly, January 2022 to December 2024 Price index, January 2022=100 Month 2022 2023 2024 January 100.0 93.9 89.1 February 110.1 92.3 92.8 March 130.4 88.1 97.7 April 122.3 95.5 102.6 May 131.6 86.0 96.2 June 138.0 84.4 95.9 July 122.1 91.4 98.3 August 112.6 97.8 92.1 September 101.2 107.5 84.4 October 105.2 102.9 86.5 November 101.4 93.4 84.1 December 91.9 86.4 84.3 Source: U.S. Energy Information Administration, Cushing, OK WTI Spot Price FOB; https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RWTC&f=M, accessed April 7, 2025 70.00 80.00 90.00 100.00 110.00 120.00 130.00 140.00 150.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2022 2023 2024 Indexed prices (2022 Jan = 100.0 percent) Energy Crude oil 5.5 Table 5.4 Raw materials: Global energy price index, monthly, January 2022 to December 2024 Price index, January 2022=100 Month 2022 2023 2024 January 100.0 98.3 83.4 February 109.9 91.1 84.3 March 137.4 85.3 85.9 April 126.3 90.1 90.3 May 134.9 79.9 84.6 June 143.0 78.5 85.5 July 141.6 83.1 87.4 August 142.4 89.6 84.6 September 130.4 97.0 78.6 October 120.5 95.4 80.5 November 114.9 87.5 79.6 December 107.9 82.1 79.5 Source: World Bank, Commodity Price Data; https://www.worldbank.org/en/research/commodity-markets, accessed April 7, 2025 Transportation costs to the U.S. market Transportation costs for PC boxes shipped from subject countries to the United States averaged 13.3 percent for China and 3.4 percent for Vietnam during 2024. These estimates were derived from official import data and represent the transportation and other charges on imports.6 U.S. inland transportation costs Four of 6 U.S. producers and all 5 responding importers reported that they typically arrange transportation to their customers. U.S. producers reported that their U.S. inland transportation costs ranged from 5.0 to 9.0 percent (averaging 6.5 percent), while importers reported costs of 5.0 to 12.0 percent (averaging 8.0 percent). 6 The estimated transportation costs were obtained by subtracting the customs value from the c.i.f. value of the imports for 2024 and then dividing by the customs value based on the HTS statistical reporting number 3923.10.9000. 5.6 Pricing practices Pricing methods U.S. producers and importers reported setting prices using transaction-by-transaction negotiations, contracts, price lists, and other methods (table 5.5). Table 5.5 PC boxes: Count of U.S. producers’ and importers’ reported price setting methods Method U.S. producers Importers Transaction-by-transaction 4 3 Contract 2 3 Set price list 4 3 Other 1 5 Responding firms 6 8 Source: Compiled from data submitted in response to Commission questionnaires. Note: The sum of responses down may not add up to the total number of responding firms as each firm was instructed to check all applicable price setting methods employed. U.S. producers and importers reported selling the vast majority of their PC boxes under short-term contracts (table 5.6). Table 5.6 PC boxes: U.S. producers’ and importers’ shares of commercial U.S. shipments by type of sale, 2024 Share in percent Type of sale U.S. producers Subject importers Long-term contracts *** *** Annual contracts *** *** Short-term contracts *** *** Spot sales *** *** Total 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Because of rounding, figures may not add to the totals shown. Sales terms and discounts Most U.S. producers and importers reported quoting prices on a delivered basis and do not offer discounts. Price and purchase cost data The Commission requested U.S. producers and importers to provide quarterly data for the total quantity and f.o.b. value of the following four PC boxes products shipped to unrelated 5.7 U.S. customers during January 2022 to December 2024. The Commission also requested U.S. importers to provide import purchase cost data as part of the Commission’s survey of U.S. importers. Because none of the 8 responding importers had imported subject product for internal use during the period of investigation, purchase cost data are not available. Product 1.-- Eastern corn box, 19-20 inches long, 12-13 inches wide, 10.5-11.5 inches deep; sheet thickness of 4 millimeters, printed Product 2.-- Western corn box, 19-20 inches long, 12-13 inches wide, 11.6-13 inches deep; sheet thickness of 4 millimeters, printed Product 3.-- 5-kilogram asparagus box, of various dimensions, printed Product 4.-- 60-count vegetable/broccoli box, 19-20 inches long, 11-12 inches wide, 10.5-11.5 inches deep, sheet thickness of 4 millimeters, printed Four of 6 U.S. producers and 2 of 8 importers provided usable pricing data for sales of the four requested products, although not all firms reported pricing for all products for all quarters.7 Pricing data reported by these firms accounted for approximately 32.8 percent of U.S. producers’ U.S. shipments of PC boxes and 27.0 percent of U.S. shipments of subject imports from China.8 None of the responding U.S. importers reported having any subject product imports from Vietnam during the period of investigation. Price data for products 1 to 4 are presented in tables 5.7 to 5.10 and figures 5.3 to 5.6. 7 Per-unit pricing data are calculated from total quantity and total value data provided by U.S. producers and importers. The precision and variation of these figures may be affected by rounding, limited quantities, and producer or importer estimates. 8 Pricing coverage is based on U.S. shipments reported in questionnaires. 5.8 Table 5.7 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 1 and margins of underselling/(overselling), by source and quarter Price in dollars per pound, quantity in pounds, margin in percent. Period U.S. price U.S. quantity China price China quantity China margin Vietnam price Vietnam quantity Vietnam margin 2022 Q1 *** *** *** *** *** — — — 2022 Q2 *** *** *** *** *** — — — 2022 Q3 *** *** *** *** *** — — — 2022 Q4 *** *** *** *** *** — — — 2023 Q1 *** *** *** *** *** — — — 2023 Q2 *** *** *** *** *** — — — 2023 Q3 *** *** *** *** *** — — — 2023 Q4 *** *** *** *** *** — — — 2024 Q1 *** *** *** *** *** — — — 2024 Q2 *** *** *** *** *** — — — 2024 Q3 *** *** *** *** *** — — — 2024 Q4 *** *** *** *** *** — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 1: Eastern corn box, 19-20 inches long, 12-13 inches wide, 10.5-11.5 inches deep; sheet thickness of 4 millimeters, printed 5.9 Figure 5.3 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 1, by source and quarter Price of product 1 * * * * * * * Volume of product 1 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 1: Eastern corn box, 19-20 inches long, 12-13 inches wide, 10.5-11.5 inches deep; sheet thickness of 4 millimeters, printed. 5.10 Table 5.8 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 2 and margins of underselling/(overselling), by source and quarter Price in dollars per pound, quantity in pounds, margin in percent. Period U.S. price U.S. quantity China price China quantity China margin Vietnam price Vietnam quantity Vietnam margin 2022 Q1 *** *** *** *** *** — — — 2022 Q2 *** *** *** *** *** — — — 2022 Q3 *** *** *** *** *** — — — 2022 Q4 *** *** *** *** *** — — — 2023 Q1 *** *** *** *** *** — — — 2023 Q2 *** *** *** *** *** — — — 2023 Q3 *** *** *** *** *** — — — 2023 Q4 *** *** *** *** *** — — — 2024 Q1 *** *** *** *** *** — — — 2024 Q2 *** *** *** *** *** — — — 2024 Q3 *** *** *** *** *** — — — 2024 Q4 *** *** *** *** *** — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 2: Western corn box, 19-20 inches long, 12-13 inches wide, 11.6-13 inches deep; sheet thickness of 4 millimeters, printed. 5.11 Figure 5.4 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 2, by source and quarter Price of product 2 * * * * * * * Volume of product 2 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 2: Western corn box, 19-20 inches long, 12-13 inches wide, 11.6-13 inches deep; sheet thickness of 4 millimeters, printed. 5.12 Table 5.9 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 3 and margins of underselling/(overselling), by source and quarter Price in dollars per pound, quantity in pounds, margin in percent. Period U.S. price U.S. quantity China price China quantity China margin Vietnam price Vietnam quantity Vietnam margin 2022 Q1 *** *** *** *** *** — — — 2022 Q2 *** *** *** *** *** — — — 2022 Q3 *** *** *** *** *** — — — 2022 Q4 *** *** *** *** *** — — — 2023 Q1 *** *** *** *** *** — — — 2023 Q2 *** *** *** *** *** — — — 2023 Q3 *** *** *** *** *** — — — 2023 Q4 *** *** *** *** *** — — — 2024 Q1 *** *** *** *** *** — — — 2024 Q2 *** *** *** *** *** — — — 2024 Q3 *** *** *** *** *** — — — 2024 Q4 *** *** *** *** *** — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 3: 5-kilogram asparagus box, of various dimensions, printed. 5.13 Figure 5.5 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 3, by source and quarter Price of product 3 * * * * * * * Volume of product 3 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 3: 5-kilogram asparagus box, of various dimensions, printed. 5.14 Table 5.10 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 4 and margins of underselling/(overselling), by source and quarter Price in dollars per pound, quantity in pounds, margin in percent. Period U.S. price U.S. quantity China price China quantity China margin Vietnam price Vietnam quantity Vietnam margin 2022 Q1 *** *** *** *** *** — — — 2022 Q2 *** *** *** *** *** — — — 2022 Q3 *** *** *** *** *** — — — 2022 Q4 *** *** *** *** *** — — — 2023 Q1 *** *** *** *** *** — — — 2023 Q2 *** *** *** *** *** — — — 2023 Q3 *** *** *** *** *** — — — 2023 Q4 *** *** *** *** *** — — — 2024 Q1 *** *** *** *** *** — — — 2024 Q2 *** *** *** *** *** — — — 2024 Q3 *** *** *** *** *** — — — 2024 Q4 *** *** *** *** *** — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 4: 60-count vegetable/broccoli box, 19-20 inches long, 11-12 inches wide, 10.5-11.5 inches deep, sheet thickness of 4 millimeters, printed. 5.15 Figure 5.6 PC boxes: Weighted-average f.o.b. prices and quantities of domestic and imported product 4, by source and quarter Price of product 4 * * * * * * * Volume of product 4 * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Note: Product 4: 60-count vegetable/broccoli box, 19-20 inches long, 11-12 inches wide, 10.5-11.5 inches deep, sheet thickness of 4 millimeters, printed. 5.16 Price trends In general, prices decreased during January 2022 to December 2024. Table 5.11 summarizes the price trends, by country and by product. As shown in the table, domestic price decreases for product 1 to 3 ranged from *** to *** percent during January 2022 to December 2024, while import (from China) price changes ranged from a decrease of *** percent (product 3) to an increase of *** percent (product 4).9 Table 5.11 PC boxes: Summary of price data, by product and source, January 2022 to December 2024 Quantity in pounds, price in dollars per pound Product Source Number of quarters Quantity of shipments Low price High price First quarter price Last quarter price Percent change in price over period Product 1 United States 12 *** *** *** *** *** *** Product 1 China 11 *** *** *** *** *** *** Product 1 Vietnam — — — — — — — Product 2 United States 12 *** *** *** *** *** *** Product 2 China 1 *** *** *** *** *** *** Product 2 Vietnam — — — — — — — Product 3 United States 12 *** *** *** *** *** *** Product 3 China 2 *** *** *** *** *** *** Product 3 Vietnam — — — — — — — Product 4 United States 12 *** *** *** *** *** *** Product 4 China 3 *** *** *** *** *** *** Product 4 Vietnam — — — — — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: Percent change column is percentage change from the first quarter 2022 to the last quarter in 2024. 9 When the data for the first/last quarter were not available, the first subsequent/preceding available data point was used for calculations of price changes over period. 5.17 Price comparisons As shown in table 5.12, prices for product imported from China were below those for U.S.-produced product in 13 of 17 instances (*** million pounds); margins of underselling ranged from *** to *** percent. In the remaining 4 instances (*** thousand pounds), prices for product from China were between *** and *** percent above prices for the domestic product. Table 5.12 PC boxes: Instances of underselling and overselling and the range and average of margins, by product Quantity in pounds; margin in percent Product Type Number of quarters Quantity Average margin Min margin Max margin Product 1 Underselling 10 *** *** *** *** Product 2 Underselling — *** *** *** *** Product 3 Underselling — *** *** *** *** Product 4 Underselling 3 *** *** *** *** All products Underselling 13 *** *** *** *** Product 1 Overselling 1 *** *** *** *** Product 2 Overselling 1 *** *** *** *** Product 3 Overselling 2 *** *** *** *** Product 4 Overselling — *** *** *** *** All products Overselling 4 *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: These data include only quarters in which there is a comparison between the U.S. and subject product. Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 5.18 Table 5.13 PC boxes: Instances of underselling and overselling and the range and average of margins, by source Quantity in pounds; margin in percent Source Type Number of quarters Quantity Average margin Min margin Max margin China Underselling 13 *** *** *** *** Vietnam Underselling — *** *** *** *** All subject sources Underselling 13 *** *** *** *** China Overselling 4 *** *** *** *** Vietnam Overselling — *** *** *** *** All subject sources Overselling 4 *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: These data include only quarters in which there is a comparison between the U.S. and subject product. Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. Table 5.14 PC boxes: Instances of underselling and overselling and the range and average of margins, by year Quantity in pounds; margin in percent Year Type Number of quarters Quantity Average margin Min margin Max margin 2022 Underselling 3 *** *** *** *** 2023 Underselling 5 *** *** *** *** 2024 Underselling 5 *** *** *** *** All periods Underselling 13 *** *** *** *** 2022 Overselling 1 *** *** *** *** 2023 Overselling 1 *** *** *** *** 2024 Overselling 2 *** *** *** *** All periods Overselling 4 *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: These data include only quarters in which there is a comparison between the U.S. and subject product. Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 5.19 Lost sales and lost revenue The Commission requested that U.S. producers of PC boxes report purchasers with which they experienced instances of lost sales or revenue due to competition from imports of PC boxes from China and Vietnam during January 2022 to December 2024. Of the 6 responding U.S. producers, 5 reported that they had to reduce prices, 4 reported that they had to roll back announced price increases, and 5 firms reported that they had lost sales. Three U.S. producers *** submitted lost sales and lost revenue allegations, identifying 34 firms with which they lost sales or revenue. Staff contacted 34 purchasers and received responses from 8 purchasers. Responding purchasers reported purchasing 22.4 million pounds of PC boxes during January 2022 to December 2024 (table 5.15). During 2024, responding purchasers purchased 7.0 percent from U.S. producers, 57.1 percent from China, 29.1 percent from nonsubject countries, and 6.8 percent from “unknown source” countries. Purchasers were asked about changes in their purchasing patterns from different sources since 2022. Of the responding purchasers, 2 reported decreasing purchases from domestic producers, 1 reported increasing purchases, 2 reported no change, 1 reported fluctuating purchases, and 2 did not purchase any domestic product.10 Explanations for decreasing purchases of domestic product included: - “Lost customer, which used USA PC Box made by domestic manufacturer.” - “Growers began sourcing & paying for boxes after 2021 & 2022 price increase on wood crate & eco boxes developed.” Of the 8 responding purchasers, 6 reported that, since 2022, they had purchased imported PC boxes from China instead of U.S.-produced product (tables 5.16 and 5.17). Five of these purchasers reported that subject import prices were lower than U.S.-produced product, and 4 of these purchasers reported that price was a primary reason for the decision to purchase imported product rather than U.S.-produced product. Three purchasers estimated the quantity of PC boxes from China purchased instead of domestic product; quantities ranged from *** pounds to *** pounds (table 5.16). Purchasers identified quality, service, and “negotiation” as non-price reasons for purchasing imported rather than U.S.-produced product. 10 Of the 8 responding purchasers, 2 purchasers indicated that they did not know the source of the PC boxes they purchased. 5.20 Of the 8 responding purchasers, 2 reported that U.S. producers had reduced prices in order to compete with lower-priced imports from China and 2 reported U.S. producers had not (tables 5.18 and 5.19). Reported estimated price reductions ranged from *** to *** percent. Table 5.15 PC boxes: Purchasers’ reported purchases and imports, by firm and source Quantity in 1,000 pounds, share in percent Purchaser Domestic quantity Subject quantity All other quantity Change in domestic share Change in subject country share *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** All firms *** *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: All other includes all other sources and unknown sources. Change is the percentage point change in the share of the firm’s total purchases of domestic and/or subject country imports between first and last years. Table 5.16 PC boxes: Purchasers’ responses to purchasing subject imports instead of domestic product, by firm Quantity in 1,000 pounds Purchaser Purchased subject imports instead of domestic Imports priced lower Choice based on price Quantity Explanation *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** All firms Yes: 6; No: 2 Yes: 5; No: 1 Yes: 4; No: 2 *** NA Source: Compiled from data submitted in response to Commission questionnaires. 5.21 Table 5.17 PC boxes: Purchasers’ responses to purchasing subject imports instead of domestic product, by source Quantity in 1,000 pounds Source Count of purchasers reporting subject instead of domestic Count of purchasers reporting that imports were priced lower Count of purchasers reporting that price was a primary reason for shift Quantity China 6 5 4 *** Vietnam 0 0 0 — Subject sources 6 5 4 *** Source: Compiled from data submitted in response to Commission questionnaires. Table 5.18 PC boxes: Purchasers’ responses to U.S. producer price reductions, by firm Purchaser Reported producers lowered prices Estimated percent of U.S. price reduction Explanation *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** *** All firms Yes: 2; No: 2 *** NA Source: Compiled from data submitted in response to Commission questionnaires. Table 5.19 PC boxes: Purchasers’ responses to U.S. producer price reductions, by source Source Count of purchasers reporting U.S. producers reduced prices Average percent of estimated U.S. price reduction Range of percent of estimated U.S. price reductions China 2 *** *** Vietnam 0 *** *** Subject sources 2 *** *** Source: Compiled from data submitted in response to Commission questionnaires. In responding to the lost sales lost revenue survey, some purchasers provided additional information on purchases and market dynamics. • *** reported “pricing quotes from domestic suppliers in years past was more an equation of commodity prices. However, these pricing drops from 2022 to 2023 may have been Global competitive in nature…” • *** reported “there are a lot of plastic boxes coming out of Peru that are priced under what normal US market prices would go for. This is another country that should be examined.” 5.22 • *** reported “pricing is a factor, but having boxes available and not requiring several weeks of lead time and offering on hand availability is a big advantage.” • *** reported “in our opinion, the pricing that the domestic suppliers quote are the same prices and/or not cheaper than what we are currently selling at. With the additional tariffs and duty, we a{r}e already paying 48 percent. Therefore, the pricing from overseas suppliers are more expensive than domestic suppliers. We as a company have taken market share not because of a lower price. We have long lasting relationships with our customers and they would prefer to purchase from us because of service, quality and relationships… if an anti-dump{ing duty} was passed on PC {boxes}, the end customer will be severely damaged and the only party that will benefit is the domestic suppliers by price gouging. The US grower, packers and shippers are having tough economical times currently and this could force some of them to go out of business...” 6.1 Part 6: Financial experience of U.S. producers Background1 Six U.S. producers (CoolSeal, Inteplast, MDI, Plastpac, SeaCa, and Tech Container) provided usable financial results on their PC box operations.2 All U.S. producers reported financial data on a calendar year basis, and *** reported data on the basis of GAAP.3 No producer reported transfers to related firms. Figure 6.1 presents each responding firm’s share of the total reported net sales quantity in 2024. 1 The following abbreviations are used in the tables and/or text of this section: generally accepted accounting principles (“GAAP”), fiscal year (“FY”), net sales (“NS”), cost of goods sold (“COGS”), selling, general, and administrative expenses (“SG&A expenses”), average unit values (“AUVs”), research and development expenses (“R&D expenses”), and return on assets (“ROA”). 2 Inteplast acquired CoolSeal in December 2024; CoolSeal continues to operate as a separate entity. Conference transcript, p. 13 (Hinkle). Both CoolSeal and Inteplast submitted a response to the U.S. producer questionnaires. 3 ***. *** U.S. producer questionnaire response, section 3.2. 6.2 Figure 6.1 PC boxes: U.S. producers’ share of net sales quantity in 2024, by firm * * * * * * * Source: Compiled from data submitted in response to Commission questionnaires. Operations on PC boxes Table 6.1 presents aggregated data on U.S. producers’ operations in relation to PC boxes, while table 6.2 presents corresponding changes in AUVs. Table 6.3 presents selected company-specific financial data. 6.3 Table 6.1 PC boxes: U.S. producers’ results of operations, by item and period Quantity in 1,000 pounds; value in 1,000 dollars; ratios in percent Item Measure 2022 2023 2024 Total net sales Quantity *** *** *** Total net sales Value *** *** *** COGS: Raw materials Value *** *** *** COGS: Direct labor Value *** *** *** COGS: Other factory Value *** *** *** COGS: Total Value *** *** *** Gross profit or (loss) Value *** *** *** SG&A expenses Value *** *** *** Operating income or (loss) Value *** *** *** Other expense/(income) Value *** *** *** Net income or (loss) Value *** *** *** Depreciation/amortization Value *** *** *** Cash flow Value *** *** *** COGS: Raw materials Ratio to NS 50.8 44.3 48.7 COGS: Direct labor Ratio to NS 11.5 13.9 14.9 COGS: Other factory Ratio to NS 18.9 21.7 22.3 COGS: Total Ratio to NS 81.2 80.0 85.8 Gross profit Ratio to NS 18.8 20.0 14.2 SG&A expense Ratio to NS 9.4 10.7 11.0 Operating income or (loss) Ratio to NS 9.3 9.4 3.1 Net income or (loss) Ratio to NS 7.8 7.4 1.6 Table continued 6.4 Table 6.1 (Continued) PC boxes: U.S. producers’ results of operations, by item and period Shares in percent; unit values in dollars per pound; count in number of firms reporting Item Measure 2022 2023 2024 COGS: Raw materials Share *** *** *** COGS: Direct labor Share *** *** *** COGS: Other factory Share *** *** *** COGS: Total Share 100.0 100.0 100.0 Total net sales Unit value 2.08 1.85 1.83 COGS: Raw materials Unit value 1.06 0.82 0.89 COGS: Direct labor Unit value 0.24 0.26 0.27 COGS: Other factory Unit value 0.39 0.40 0.41 COGS: Total Unit value 1.69 1.48 1.57 Gross profit or (loss) Unit value 0.39 0.37 0.26 SG&A expenses Unit value 0.20 0.20 0.20 Operating income or (loss) Unit value 0.19 0.17 0.06 Net income or (loss) Unit value 0.16 0.14 0.03 Operating losses Count 1 1 2 Net losses Count 1 2 2 Data Count 6 6 6 Source: Compiled from data submitted in response to Commission questionnaires. Note: Shares represent the share of COGS. Zeroes, null values, and undefined calculations are suppressed and shown as “—”. 6.5 Table 6.2 PC boxes: Changes in AUVs between comparison periods Changes in percent Item 2022–24 2022–23 2023–24 Total net sales ▼(11.8) ▼(10.8) ▼(1.1) COGS: Raw materials ▼(15.5) ▼(22.2) ▲8.6 COGS: Direct labor ▲13.5 ▲7.8 ▲5.3 COGS: Other factory ▲4.0 ▲2.3 ▲1.6 COGS: Total ▼(6.9) ▼(12.2) ▲6.1 Table continued. Table 6.2 (Continued) PC boxes: Changes in AUVs between comparison periods Changes in dollars per pound Item 2022–24 2022–23 2023–24 Total net sales ▼(0.25) ▼(0.23) ▼(0.02) COGS: Raw materials ▼(0.16) ▼(0.23) ▲0.07 COGS: Direct labor ▲0.03 ▲0.02 ▲0.01 COGS: Other factory ▲0.02 ▲0.01 ▲0.01 COGS: Total ▼(0.12) ▼(0.21) ▲0.09 Gross profit or (loss) ▼(0.13) ▼(0.02) ▼(0.11) SG&A expense ▲0.01 ▲0.00 ▲0.00 Operating income or (loss) ▼(0.14) ▼(0.02) ▼(0.12) Net income or (loss) ▼(0.13) ▼(0.03) ▼(0.11) Source: Compiled from data submitted in response to Commission questionnaires. Note: Shares and ratios shown as "0.00" represent values greater than zero, but less than "0.005" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. Period changes preceded by a “▲” represent an increase, while period changes preceded by a “▼” represent a decrease. 6.6 Table 6.3 PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Net sales quantity Quantity in 1,000 pounds Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. Table 6.3 (Continued) PC boxes: U.S. sales, costs/expenses, and profitability, by firm and period Net sales value Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period COGS Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. 6.7 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Gross profit or (loss) Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period SG&A expenses Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Operating income or (loss) Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. 6.8 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Net income or (loss) Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period COGS to net sales ratio Ratios in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 81.2 80.0 85.8 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Gross profit or (loss) to net sales ratio Ratios in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 18.8 20.0 14.2 Table continued. 6.9 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period SG&A expenses to net sales ratio Ratios in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 9.4 10.7 11.0 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Operating income or (loss) to net sales ratio Ratios in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 9.3 9.4 3.1 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Net income or (loss) to net sales ratio Ratios in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 7.8 7.4 1.6 Table continued. 6.10 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit net sales value Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 2.08 1.85 1.83 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit raw material costs Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 1.06 0.82 0.89 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit direct labor costs Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.24 0.26 0.27 Table continued. 6.11 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit other factory costs Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.39 0.40 0.41 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit COGS Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 1.69 1.48 1.57 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit gross profit or (loss) Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.39 0.37 0.26 Table continued. 6.12 Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit SG&A expenses Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.20 0.20 0.20 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit operating income or (loss) Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.19 0.17 0.06 Table continued. Table 6.3 (Continued) PC boxes: U.S. producers’ sales, costs/expenses, and profitability, by firm and period Unit net income or (loss) Unit values in dollars per pound Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 0.16 0.14 0.03 Source: Compiled from data submitted in response to Commission questionnaires. 6.13 Net sales Total revenue consists solely of commercial sales. As shown in table 6.1, from 2022 to 2023, total net sales quantity increased by *** percent, while total net sales value decreased by *** percent. From 2023 to 2024, total net sales quantity and total net sales value both increased by *** percent, respectively. Overall, total net sales quantity increased by *** percent, while total net sales value decreased by *** percent from 2022 to 2024. As shown in table 6.3, *** U.S. producers showed an increase in sales volume, while only *** showed an increase in sales value, from 2022 to 2024.4 5 On an average per pound basis, total net sales value decreased from $2.08 in 2022 to $1.85 in 2023, and $1.83 in 2024. As shown in table 6.3, *** reported a decrease in their average per pound sales values from 2022 to 2024.6 Cost of goods sold and gross profit or loss Raw material costs, direct labor, and other factory costs accounted for *** percent of total COGS, respectively, in 2024. As shown in table 6.1, raw material costs, the largest component of COGS in all years in which data were collected, decreased by *** percent from 2022 to 2023, then increased by *** percent from 2023 to 2024, and decreased overall by *** percent from 2022 to 2024. On an average per pound basis, raw material costs decreased irregularly from $1.06 in 2022 to $0.89 in 2024. As shown in table 6.3, *** firms reported an overall decrease in average per pound values from 2022 to 2024. *** producers reported a decrease from 2022 to 2023 4 ***. (table 6.3). 5 ***. Email from ***, April 9, 2025. *** Email from ***, April 7, 2025 6 *** U.S. producers reported offering customer-specific customization. The share of customized PC boxes ranged between ***. U.S. producer questionnaire response, section 3.9g. 6.14 followed by an increase from 2023 to 2024. As a ratio to net sales, raw material costs decreased irregularly from 50.8 percent in 2022 to 48.7 percent in 2024. Table 6.4 shows details on specific raw material inputs as a share of raw material costs in 2024. Virgin polypropylene accounted for *** percent of primary raw material input for PC boxes in 2024. The remaining *** percent was accounted for by post-consumer recycled polypropylene, talc, and other material inputs.7 8 Table 6.4 PC boxes: U.S. producers’ raw material costs in 2024 Value in 1,000 dollars; share of value in percent Item Value Share of value Virgin polypropylene *** *** Post-consumer recycled polypropylene *** *** Talc *** *** Other material inputs *** *** All raw materials *** 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Direct labor costs, the smallest component of COGS in all years in which data were collected, increased *** percent from 2022 to 2024 in absolute value, as a percentage of net sales, and on a per pound basis (table 6.3). Other factory costs, the second largest component of COGS in all years in which data were collected, also increased from 2022 to 2024 in absolute value, and increased at a lower rate as a percentage of net sales, and on a per pound basis (table 6.3).9 As shown in table 6.1, total COGS increased irregularly by *** percent from 2022 to 2024, decreasing by *** percent from 2022 to 2023, then increasing by *** percent from 2023 to 2024. From 2022 to 2024, total COGS on an average per pound basis decreased 6.0 percent, from $1.69 to $1.57. Table 6.3 shows that total COGS increased for *** U.S. producers from 2022 to 2024. As a ratio to net sales, total COGS increased overall from 81.2 percent in 2022 to 85.8 percent in 2024. 7 Other raw material inputs include recycled raw materials, calcium carbonate, which like talc helps stiffen PC boxes, and coloring. U.S. producer questionnaire response, section 3.9c and transcript p. 50 (Hinkle) and pp. 68, 90, 91 (Nist). 8 U.S. producers also recycle scrap polypropylene which, depending on where in the process it is scrapped, may be considered virgin polypropylene or production scrap. Transcript, p. 58 (Nist). At least one U.S. producer uses recycled post-consumer PC boxes as a raw material but describes the scale as a “very small percentage.” Transcript, pp. 58, 59 (Nist). 9 ***. Email from ***, April 7, 2025. 6.15 As shown in table 6.1, gross profit increased by *** percent from 2022 to 2023, then decreased by *** percent from 2023 to 2024. Gross profit decreased overall by *** percent from 2022 to 2024. As a ratio to net sales value, gross profit increased by 1.3 percentage points from 2022 to 2023, then decreased by 5.9 percentage points from 2023 to 2024, and decreased overall by 4.6 percentage points from 2022 to 2024. As shown in table 6.3, from 2022 to 2023, gross profit decreased for *** U.S. producers with ***. From 2023 to 2024, *** U.S. producers showed a decrease in gross profits, with ***. From 2022 to 2024, ***, showed a decrease of *** percent in gross profits. Overall, *** U.S. producers reported a decrease in gross profits from 2022 to 2024. SG&A expenses and operating income or loss U.S. producers’ SG&A expenses increased overall by *** percent from 2022 to 2024. The SG&A expense ratio (SG&A expenses divided by total net sales) increased from 9.4 percent in 2022 to 11.0 percent in 2024. As shown in table 6.3, from 2022 to 2024, *** U.S producers had an increase in SG&A expenses. 10 As shown in table 6.3, U.S. producers’ operating income decreased by *** percent from 2022 to 2023, and further decreased by *** percent from 2023 to 2024. From 2022 to 2024, operating income decreased overall by *** percent. As a ratio of net sales, operating income decreased irregularly from 9.3 percent in 2022 to 3.1 percent in 2024. As shown in table 6.3, from 2022 to 2023, *** U.S. producers showed a decrease in operating income or worsening losses. From 2023 to 2024, *** U.S. producers showed a decrease in operating income. From 2022 to 2024, *** U.S. producers showed a decrease in operating income. Operating losses were reported by *** firm in 2022 and 2023, and *** firms in 2024. 10 ***. Email from ***, April 9, 2025. 6.16 All other expenses and net income or loss Classified below the operating income level in table 6.1 are interest expenses, other expenses, and other income. Interest expense, other expense, and other income were combined and only the net amount is shown. Total net other expenses/income increased by *** percent from 2022 to 2024. Interest expense drove most of the change, increasing by *** percent from 2022 to 2023, then decreasing by *** percent from 2023 to 2024. From 2022 to 2024, net income decreased overall by *** percent. As a ratio to net sales, net income decreased from 7.8 percent in 2022 to 1.6 percent in 2024. As shown in table 6.3, from 2022 to 2023, *** U.S. producers showed a decrease in net income or worsening losses. From 2023 to 2024, *** U.S. producers reported a decrease in net income or worsening losses. From 2022 to 2024, *** producers reported a decrease in net income or worsening losses. Variance analysis A variance analysis for the operations of U.S. producers of PC boxes is presented in table 6.5.11 The information for this variance analysis is derived from table 6.1. The decrease in operating income from 2022 to 2024 was due to an unfavorable price variance that was greater than the favorable cost and volume variance (i.e., sales AUVs decreased more than cost/expense AUVs decreased and more than volume increased). 11 The Commission’s variance analysis is calculated in three parts: Net sales variance, COGS variance, and SG&A expense variance. Each part consists of a price variance (in the case of the net sales variance) or a cost or expense variance (in the case of the COGS and SG&A expense variance), and a volume variance. The sales or cost/expense variances are calculated as the change in unit price or per-unit cost/expense, respectively, times the new volume, while the volume variance is calculated as the change in volume times the old unit price or per-unit cost/expense. Summarized at the bottom of the table, the operating income price variance is from sales; the operating income cost/expense variance is the sum of the cost components in the COGS and SG&A expense variances, and the operating income volume variance is the sum of the volume components of the net sales, COGS, and SG&A expense variances. 6.17 Table 6.5 PC boxes: Variance analysis on the operations of U.S. producers between comparison periods Value in 1,000 dollars Item 2022-24 2022-23 2023-24 Net sales price variance *** *** *** Net sales volume variance *** *** *** Net sales total variance *** *** *** COGS cost variance *** *** *** COGS volume variance *** *** *** COGS total variance *** *** *** Gross profit variance *** *** *** SG&A cost variance *** *** *** SG&A volume variance *** *** *** SG&A total variance *** *** *** Operating income price variance *** *** *** Operating income cost variance *** *** *** Operating income volume variance *** *** *** Operating income total variance *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: These data are derived from the data in table 6.1. Unfavorable variances (which are negative) are shown in parentheses, all others are favorable (positive). 6.18 Capital expenditures and research and development expenses Table 6.6 presents capital expenditures, by firm, and table 6.7 presents the firms’ narrative explanations of the nature, focus, and significance of their capital expenditures. Capital expenditures increased from $*** million in 2022 to $*** million in 2024. For the three- year period, *** reported the highest total level of capital expenditures.12 13 Table 6.6 PC boxes: U.S. producers’ capital expenditures, by firm and period Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Table 6.7 PC boxes: U.S. producers’ narrative descriptions of their capital expenditures, by firm Firm Narrative on capital expenditures CoolSeal *** Inteplast *** MDI *** Plastpac *** SeaCa *** Tech Container *** Source: Compiled from data submitted in response to Commission questionnaires. 12 ***. Email from ***, April 7, 2025. 13 ***. *** U.S. producer questionnaire response, section 3.13a. 6.19 Assets and return on assets Table 6.8 presents data on the U.S. producers’ total assets while table 6.9 presents their operating ROA.14 Table 6.10 presents U.S. producers’ narrative responses explaining their major asset categories and any significant changes in asset levels over time. From 2022 to 2024, total net assets increased by 12.7 percent, from $66.4 million to $74.9 million. ROA decreased from *** percent in 2022 to *** percent in 2024. Table 6.8 PC boxes: U.S. producers’ total net assets, by firm and period Value in 1,000 dollars Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms 66,440 71,491 74,894 Source: Compiled from data submitted in response to Commission questionnaires. Table 6.9 PC boxes: U.S. producers’ ROA, by firm and period Ratio in percent Firm 2022 2023 2024 CoolSeal *** *** *** Inteplast *** *** *** MDI *** *** *** Plastpac *** *** *** SeaCa *** *** *** Tech Container *** *** *** All firms *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. 14 The operating ROA is calculated as operating income divided by total assets. With respect to a firm’s overall operations, the total asset value reflects an aggregation of a number of assets which are generally not product specific. Thus, high-level allocations are generally required in order to report a total asset value on a product-specific basis. 6.20 Table 6.10 PC boxes: U.S. producers’ narrative descriptions of their total net assets, by firm Firm Narrative on assets CoolSeal *** Inteplast *** MDI *** Plastpac *** SeaCa *** Tech Container *** Source: Compiled from data submitted in response to Commission questionnaires. Capital and investment The Commission requested U.S. producers of PC boxes to describe any actual or potential negative effects of imports of PC boxes from China and Vietnam on their firms’ growth, investment, ability to raise capital, development and production efforts, or the scale of capital investments. Table 6.11 presents the number of firms reporting an impact in each category and table 6.12 provides the U.S. producers’ narrative responses. 6.21 Table 6.11 PC boxes: Count of firms indicating actual and anticipated negative effects of imports from subject sources on investment, growth, and development since January 1, 2022, by effect Number of firms reporting Effect Category Count Cancellation, postponement, or rejection of expansion projects Investment 2 Denial or rejection of investment proposal Investment 0 Reduction in the size of capital investments Investment 1 Return on specific investments negatively impacted Investment 2 Other investment effects Investment 3 Any negative effects on investment Investment 5 Rejection of bank loans Growth 0 Lowering of credit rating Growth 0 Problem related to the issue of stocks or bonds Growth 0 Ability to service debt Growth 0 Other growth and development effects Growth 5 Any negative effects on growth and development Growth 5 Anticipated negative effects of imports Future 5 Source: Compiled from data submitted in response to Commission questionnaires. Note: *** reported no actual or anticipated negative effects of imports from subject countries on investment, growth, and development since January 1, 2022. Table 6.12 PC boxes: U.S. producers’ narratives relating to actual and anticipated negative effects of imports on investment, growth, and development, since January 1, 2022, by firm and effect Item Firm name and narrative on impact of imports Cancellation, postponement, or rejection of expansion projects *** Cancellation, postponement, or rejection of expansion projects *** Reduction in the size of capital investments *** Return on specific investments negatively impacted *** Return on specific investments negatively impacted *** Other negative effects on investments *** Other negative effects on investments *** Other negative effects on investments *** Other effects on growth and development *** Other effects on growth and development *** 6.22 Other effects on growth and development *** Other effects on growth and development *** Other effects on growth and development *** Anticipated effects of imports *** Anticipated effects of imports *** Anticipated effects of imports *** Anticipated effects of imports *** Anticipated effects of imports *** Source: Compiled from data submitted in response to Commission questionnaires. 7.1 Threat considerations and information on nonsubject countries Section 771(7)(F)(ⅰ) of the Act (19 U.S.C. § 1677(7)(F)(ⅰ)) provides that— In determining whether an industry in the United States is threatened with material injury by reason of imports (or sales for importation) of the subject merchandise, the Commission shall consider, among other relevant economic factors1-- (I) if a countervailable subsidy is involved, such information as may be presented to it by the administering authority as to the nature of the subsidy (particularly as to whether the countervailable subsidy is a subsidy described in Article 3 or 6.1 of the Subsidies Agreement), and whether imports of the subject merchandise are likely to increase, (II) any existing unused production capacity or imminent, substantial increase in production capacity in the exporting country indicating the likelihood of substantially increased imports of the subject merchandise into the United States, taking into account the availability of other export markets to absorb any additional exports, (III) a significant rate of increase of the volume or market penetration of imports of the subject merchandise indicating the likelihood of substantially increased imports, (IV) whether imports of the subject merchandise are entering at prices that are likely to have a significant depressing or suppressing effect on domestic prices, and are likely to increase demand for further imports, (V) inventories of the subject merchandise, 1 Section 771(7)(F)(ⅱ) of the Act (19 U.S.C. § 1677(7)(F)(ⅱ)) provides that “The Commission shall consider {these factors} . . . as a whole in making a determination of whether further dumped or subsidized imports are imminent and whether material injury by reason of imports would occur unless an order is issued or a suspension agreement is accepted under this title. The presence or absence of any factor which the Commission is required to consider . . . shall not necessarily give decisive guidance with respect to the determination. Such a determination may not be made on the basis of mere conjecture or supposition.” 7.2 (VI) the potential for product-shifting if production facilities in the foreign country, which can be used to produce the subject merchandise, are currently being used to produce other products, (VII) in any investigation under this title which involves imports of both a raw agricultural product (within the meaning of paragraph (4)(E)(ⅳ)) and any product processed from such raw agricultural product, the likelihood that there will be increased imports, by reason of product shifting, if there is an affirmative determination by the Commission under section 705(b)(1) or 735(b)(1) with respect to either the raw agricultural product or the processed agricultural product (but not both), (VIII) the actual and potential negative effects on the existing development and production efforts of the domestic industry, including efforts to develop a derivative or more advanced version of the domestic like product, and (IX) any other demonstrable adverse trends that indicate the probability that there is likely to be material injury by reason of imports (or sale for importation) of the subject merchandise (whether or not it is actually being imported at the time).2 Information on the nature of the alleged subsidies was presented earlier in this report; information on the volume and pricing of imports of the subject merchandise is presented in Parts 4 and 5; and information on the effects of imports of the subject merchandise on U.S. producers’ existing development and production efforts is presented in Part 6. Information on inventories of the subject merchandise; foreign producers’ operations, including the potential for “product-shifting;” any other threat indicators, if applicable; and any dumping in third- country markets, follows. Also presented in this section of the report is information obtained for consideration by the Commission on nonsubject countries. 2 Section 771(7)(F)(iii) of the Act (19 U.S.C. § 1677(7)(F)(iii)) further provides that, in antidumping investigations, “. . . the Commission shall consider whether dumping in the markets of foreign countries (as evidenced by dumping findings or antidumping remedies in other WTO member markets against the same class or kind of merchandise manufactured or exported by the same party as under investigation) suggests a threat of material injury to the domestic industry.” 7.3 Subject countries The Commission issued foreign producers’ or exporters’ questionnaires to 33 firms believed to produce and/or export PC boxes from China and Vietnam.3 Usable responses to the Commission’s questionnaire were received from two firms in China. The Commission did not receive a response to its questionnaire from producers in Vietnam. Table 7.1 presents the number of producers/exporters that responded to the Commission’s questionnaire, their estimated share of total production of PC boxes, and their exports to the United States as a share of U.S. imports, by each subject country, in 2024. Table 7.1 PC boxes: Number of responding producers/exporters, approximate share of production, and exports to the United States as a share of U.S. imports, by subject foreign industry, 2024 Subject foreign industry Number of responding firms Approximate share of production (percent) Exports as a share of U.S. imports from subject country (percent) China 2 *** *** Vietnam — — — Source: Compiled from data submitted in response to Commission questionnaires. Note: “Approximate share of production” reflects the responding firms’ estimates of their production as a share of total country production of PC boxes in 2024. Since not all firms have perfect knowledge of the industry in their home market, different firms might use different denominators in estimating their firm's share of the total requested. For countries in which more than one firm responded, the average denominator for reasonably reported estimates is used in the share presented. Approximate shares are rounded to the nearest whole number. Note: “Exports as a share of U.S. imports” reflects a comparison of export data reported by firms in response to the Commission’s foreign producer/exporter questionnaire with shipment manifest data submitted by petitioners that were adjusted to remove companies that responded “No” to the Commission’s U.S. importers’ questionnaire. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—”. 3 These firms were identified through a review of information submitted in the petition and presented in third-party sources. 7.4 Table 7.2 presents information on the PC boxes operations of the responding producers on firm-by-firm basis, while table 7.3 presents information on the PC boxes operations by subject country. Table 7.2 PC boxes: Summary data on responding subject foreign producers in 2024, by firm Subject foreign industry: Firm name Production (1,000 pounds) Share of reported production (percent) Exports to the United States (1,000 pounds) Share of reported exports to the United States (percent) Total shipments (1,000 pounds) Share of firm's total shipments exported to the United States (percent) China: Jinjia *** *** *** *** *** *** China: Sinocoroplast *** *** *** *** *** *** All firms *** *** *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Table 7.3 PC boxes: Summary data on subject foreign industries in 2024, by source Subject foreign industry Production (1,000 pounds) Share of reported production (percent) Exports to the United States (1,000 pounds) Share of reported exports to the United States (percent) Total shipments (1,000 pounds) Share of firm's total shipments exported to the United States (percent) China *** 100.0 *** 100.0 *** *** Vietnam — — — — — — All subject foreign industries *** 100.0 *** 100.0 *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—”. 7.5 Based on available public information, no important events in the subject countries’ industries since 2022 have been identified. Changes in operations Subject producers were asked to report any change in the character of their operations or organization relating to the production of PC boxes since January 1, 2022. One producer indicated in their questionnaires that they had experienced changes in its operations. Table 7.4 presents the changes identified by the producer. Table 7.4 PC boxes: Reported changes in operations in the subject countries since January 1, 2022, by change, subject foreign industry, and firm Type of change Subject foreign industry, firm name, and narrative response regarding changes in operations Expansions *** Source: Compiled from data submitted in response to Commission questionnaires. Installed and practical overall capacity Table 7.5 presents data on subject producers’ installed capacity, practical overall capacity, and practical PC boxes capacity and production on the same equipment. Responding producers’ installed and practical overall capacity increased yearly from 2022 to 2024, ending *** percent and *** percent higher, respectively. Installed and practical overall capacity utilization decreased by *** percentage points and *** percentage points, respectively, from 2022 to 2024 as production increased at a lower rate than capacity. Table 7.5 PC boxes: Subject producers’ installed and practical capacity and production on the same equipment as in-scope production, by period Capacity and production in 1,000 pounds; utilization in percent Item Measure 2022 2023 2024 Installed overall Capacity *** *** *** Installed overall Production *** *** *** Installed overall Utilization *** *** *** Practical overall Capacity *** *** *** Practical overall Production *** *** *** Practical overall Utilization *** *** *** Practical PC boxes Capacity *** *** *** Practical PC boxes Production *** *** *** Practical PC boxes Utilization *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. 7.6 Constraints on capacity Table 7.6 presents subject producers’ reported production and capacity constraints since January 1, 2022. Table 7.6 PC boxes: Subject producers’ reported practical overall capacity constraints since January 1, 2022, by constraint and firm Type of constraint Subject foreign industry, firm name, and narrative response on constraints to practical overall capacity Existing labor force *** Fuel or energy *** Logistics/transportation *** Other constraints *** Source: Compiled from data submitted in response to Commission questionnaires. Operations on PC boxes Aggregate PC boxes operations in the subject countries Table 7.7 presents information on the PC boxes operations of the responding producers/exporters in China.4 Responding producers’ practical capacity fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percent higher overall. Their practical capacity is projected to decrease by *** percent from 2024 to 2025, and by *** percent from 2025 to 2026. Responding producers’ production was largely unchanged from 2022 to 2023 but decreased by *** percent from 2023 to 2024. It is projected to decrease by *** percent from 2024 to 2025 and by *** percent from 2025 to 2026. Responding producers’ capacity utilization decreased yearly from 2022 to 2024, ending *** percentage points lower. It is projected to decrease by *** percentage points from 2024 to 2025 and by *** percentage points from 2025 to 2026. 4 As discussed previously, the Commission did not receive any responses to the foreign producers’ questionnaire from producers in Vietnam. 7.7 Table 7.7 PC boxes: Data on subject foreign industries, by item and period Quantity in 1,000 pounds; share and ratio in percent Item 2022 2023 2024 Projection 2025 Projection 2026 Capacity *** *** *** *** *** Production *** *** *** *** *** End-of-period inventories *** *** *** *** *** Internal consumption *** *** *** *** *** Commercial home market shipments *** *** *** *** *** Home market shipments *** *** *** *** *** Exports to the United States *** *** *** *** *** Exports to all other markets *** *** *** *** *** Export shipments *** *** *** *** *** Total shipments *** *** *** *** *** Capacity utilization ratio *** *** *** *** *** Inventory ratio to production *** *** *** *** *** Inventory ratio to total shipments *** *** *** *** *** Internal consumption share *** *** *** *** *** Commercial home market shipments share *** *** *** *** *** Home market shipments share *** *** *** *** *** Exports to the United States share *** *** *** *** *** Exports to all other markets share *** *** *** *** *** Export shipments share *** *** *** *** *** Total shipments share 100.0 100.0 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. Note: Shares and ratios shown as "0.0" represent values greater than zero, but less than "0.05" percent. Zeroes, null values, and undefined calculations are suppressed and shown as “—“. Export shipments accounted for the majority of responding producers’ total shipments from 2022 to 2024, with the majority of those shipments going to the United States. Their export shipments to the United States, however, decreased yearly from 2022 to 2024, ending *** percent lower. They are projected to decrease by *** percent from 2024 to 2025 and by *** percent from 2025 to 2026. Responding producers’ export shipments to non-U.S. markets fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percent lower overall. They are projected to increase by *** percent from 2024 to 2025 and by *** percent from 2025 to 2026. 7.8 Home market shipments, all of which were commercial shipments, accounted for the minority of responding producers’ total shipments from 2022 to 2024. They increased yearly during this period, ending *** percent higher. Responding producers’ home market shipments are projected to increase by *** percent from 2024 to 2025 and by *** percent from 2025 to 2026. Home market shipments are projected to represent a higher share of total shipments in 2025 and 2026 than in 2024. Responding producers reported small quantities of inventories at the end of each year. Alternative products As shown in table 7.8, responding producers produced other products on the same equipment and machinery used to produce PC boxes. Products other than PC boxes accounted for the majority of responding producers’ production on shared equipment from 2022 to 2024. Production of products other than PC boxes increased yearly from 2022 to 2024, ending *** percent higher. Responding producers reported producing ***. Table 7.8 PC boxes: Subject foreign industries’ overall production on the same equipment as in- scope production, by product type and period Quantity in 1,000 pounds; share in percent Product type Measure 2022 2023 2024 PC boxes Quantity *** *** *** Other products Quantity *** *** *** All products Quantity *** *** *** PC boxes Share *** *** *** Other products Share *** *** *** All products Share 100.0 100.0 100.0 Source: Compiled from data submitted in response to Commission questionnaires. 7.9 Exports Table 7.9 presents Global Trade Atlas (“GTA”) data for exports of boxes, cases, crates, and other articles of plastic, a broader category which include PC boxes, from the subject countries to the United States and to all destination markets. By value, exports from China and Vietnam to the United States fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending 8.0 percent and 31.0 percent lower overall, respectively. The value of exports of boxes, cases, crates, and other articles of plastic from China to all destination markets fluctuated, decreasing from 2022 to 2023, then increasing from 2023 to 2024, ending 4.7 percent lower overall. The value of exports from Vietnam to all destinations markets was largely unchanged from 2022 to 2023 but increased by 2.8 percent from 2023 to 2024. Table 7.9 Boxes, cases, crates, and other articles of plastic: Global exports from subject foreign industries: Exports to the United States, by exporter and period Value in 1,000 dollars Exporter Measure 2022 2023 2024 China Value 536,354 545,798 493,320 Vietnam Value 16,183 20,132 11,159 Subject exporters Value 552,537 565,930 504,478 Table continued. Table 7.9 (Continued) Boxes, cases, crates, and other articles of plastic: Global exports from subject foreign industries: Exports to all destination markets, by subject foreign country and period Value in 1,000 dollars Exporter Measure 2022 2023 2024 China Value 2,345,271 2,225,770 2,235,683 Vietnam Value 144,877 144,623 148,653 Subject exporters Value 2,490,149 2,370,393 2,384,336 Table continued. Table 7.9 (Continued) Boxes, cases, crates, and other articles of plastic: Global exports from subject foreign industries: Share of total exports exported to the United States, by subject foreign country and period Share in percent Exporter Measure 2022 2023 2024 China Share 22.9 24.5 22.1 Vietnam Share 11.2 13.9 7.5 Subject exporters Share 22.2 23.9 21.2 Source: Official exports statistics and official global imports statistics from Vietnam (constructed exports) under HS subheading 3923.10 as reported by various national statistical authorities in the Global Trade Atlas Suite database, accessed April 3, 2025. 7.10 U.S. inventories of imported merchandise Table 7.10 presents data on U.S. importers’ reported end-of-period inventories of PC boxes. Subject imports’ share of end-of-period inventories increased from *** percent to *** percent between 2022 and 2024. End-of-period inventories of imports from China increased yearly from 2022 to 2024, ending *** higher. The ratio of end-of-period inventories to imports from China increased by *** percentage points from 2022 to 2023 and was largely unchanged from 2023 to 2024. There were no reported end-of-period inventories of imports from Vietnam since no responding U.S. importer reported imports from Vietnam during the period for which data were collected. Table 7.10 PC boxes: U.S. importers’ inventories and their ratio to select items, by source and period Quantity in 1,000 pounds; ratio in percent Measure Source 2022 2023 2024 Inventories quantity China *** *** *** Ratio to imports China *** *** *** Ratio to U.S. shipments of imports China *** *** *** Ratio to total Shipments of imports China *** *** *** Inventories quantity Vietnam — — — Ratio to imports Vietnam — — — Ratio to U.S. shipments of imports Vietnam — — — Ratio to total Shipments of imports Vietnam — — — Inventories quantity Subject sources *** *** *** Ratio to imports Subject sources *** *** *** Ratio to U.S. shipments of imports Subject sources *** *** *** Ratio to total Shipments of imports Subject sources *** *** *** Inventories quantity Nonsubject sources *** *** *** Ratio to imports Nonsubject sources *** *** *** Ratio to U.S. shipments of imports Nonsubject sources *** *** *** Ratio to total Shipments of imports Nonsubject sources *** *** *** Inventories quantity All import sources *** *** *** Ratio to imports All import sources *** *** *** Ratio to U.S. shipments of imports All import sources *** *** *** Ratio to total Shipments of imports All import sources *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 7.11 End-of-period inventories of nonsubject imports decreased yearly from 2022 to 2024, ending *** percent lower. The ratio of end-of-period inventories to nonsubject imports fluctuated, increasing from 2022 to 2023, then decreasing from 2023 to 2024, ending *** percentage points lower overall. The ratio of end-of-period inventories to nonsubject imports was higher than the ratio of end-of-period inventories to subject imports throughout the period for which data were collected. U.S. importers’ outstanding orders The Commission requested importers to indicate whether they imported or arranged for the importation of PC boxes after December 31, 2024. Their reported data are presented in table 7.11. Four importers reported that they arranged for such imports, three of which reported arranging imports from subject sources. Subject sources accounted for the majority of U.S. importers’ arranged imports of PC boxes. Table 7.11 PC boxes: U.S. importers’ arranged imports, by source and period Quantity in 1,000 pounds Source Q1 2025 Q2 2025 Q3 2025 Q4 2025 Total China *** *** *** *** *** Vietnam *** *** *** *** *** Subject sources *** *** *** *** *** Nonsubject sources *** *** *** *** *** All import sources *** *** *** *** *** Source: Compiled from data submitted in response to Commission questionnaires. Note: Zeroes, null values, and undefined calculations are suppressed and shown as “—“. 7.12 Third-country trade actions Based on available information, PC boxes from China and Vietnam have not been subject to other antidumping or countervailing duty investigations outside the United States. Information on nonsubject countries In 2024, China ($2.2 billion), the United States ($2.1 billion), and Germany ($1.3 billion) were the largest global exporters of products provided for in HS 3923.10 (“Boxes, cases, crates and other articles of plastic”), a category that includes PC boxes and other goods (table 7.12). In the same year, Germany led nonsubject exporters with 8.6 percent share of total exports in the category, followed by Mexico (7.1 percent share) and France (5.1 percent share). Among these top three nonsubject countries, only exports from Mexico increased over the period of investigation, growing by $106 million (10.6 percent). Although conference testimony indicated that Peru exports PC boxes to the United States, the country is not among the top global exporters for the basket of products entering under HS 3923.10, as reported on table 7.12.5 5 Conference transcript, pp. 33 to 34 (Herrmann). 7.13 Table 7.12 Boxes, cases, crates and other articles of plastic: Global exports, by reporting country and period, 2024 Value in 1,000 dollars; share of value in percent Exporting country Measure 2022 2023 2024 United States Value 1,804,913 2,102,717 2,145,473 China Value 2,345,271 2,225,770 2,235,683 Vietnam Value 144,877 144,623 148,653 Subject exporters Value 2,490,149 2,370,393 2,384,336 Germany Value 1,357,509 1,391,887 1,341,618 Mexico Value 1,008,548 1,076,056 1,115,030 France Value 835,833 812,656 790,277 Netherlands Value 753,995 754,804 771,692 Poland Value 678,030 683,686 649,982 South Korea Value 628,504 572,165 598,545 Spain Value 426,769 441,955 455,029 United Kingdom Value 451,979 394,262 393,909 Taiwan Value 389,638 352,037 368,935 All other exporters Value 4,595,141 4,681,681 4,618,263 Nonsubject exporters Value 11,125,947 11,161,191 11,103,280 All reporting exporters Value 15,421,008 15,634,300 15,633,090 United States Share 11.7 13.4 13.7 China Share 15.2 14.2 14.3 Vietnam Share 0.9 0.9 1.0 Subject exporters Share 16.1 15.2 15.3 Germany Share 8.8 8.9 8.6 Mexico Share 6.5 6.9 7.1 France Share 5.4 5.2 5.1 Netherlands Share 4.9 4.8 4.9 Poland Share 4.4 4.4 4.2 South Korea Share 4.1 3.7 3.8 Spain Share 2.8 2.8 2.9 United Kingdom Share 2.9 2.5 2.5 Taiwan Share 2.5 2.3 2.4 All other exporters Share 29.8 29.9 29.5 Nonsubject exporters Share 72.1 71.4 71.0 All reporting exporters Share 100.0 100.0 100.0 Source: Official exports statistics and official global imports statistics from Vietnam (constructed exports) under HS subheading 3923.10 as reported by various national statistical authorities in the Global Trade Atlas Suite database, accessed April 3, 2025. Note: United States is shown at the top followed by the subject countries, all remaining exporting countries are presented in descending order of 2024 data. These data may be overstated as HS subheading 3923.10 may contain products outside the scope of these investigations. A.1 APPENDIX A FEDERAL REGISTER NOTICES A.3 The Commission makes available notices relevant to its investigations and reviews on its website, www.usitc.gov. In addition, the following tabulation presents, in chronological order, Federal Register notices issued by the Commission and Commerce during the current proceeding. Citation Title Link 90 FR 13497, March 24, 2025 Polypropylene Corrugated Boxes from China and Vietnam; Institution of Antidumping and Countervailing Duty Investigations and Scheduling of Preliminary Phase Investigations https://www.govinfo.gov/content/pkg/FR- 2025-03-24/pdf/2025-04909.pdf 90 FR 15544, April 14, 2025 Polypropylene Corrugated Boxes from the People's Republic of China and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations https://www.govinfo.gov/content/pkg/FR- 2025-04-14/pdf/2025-06285.pdf 90 FR 15555, April 14, 2025 Polypropylene Corrugated Boxes from the People's Republic of China: Initiation of Countervailing Duty Investigation https://www.govinfo.gov/content/pkg/FR- 2025-04-14/pdf/2025-06284.pdf B.1 APPENDIX B LIST OF STAFF CONFERENCE WITNESSES B.3 CALENDAR OF PUBLIC PRELIMINARY CONFERENCE Those listed below appeared as witnesses at the United States International Trade Commission’s preliminary conference: Subject: Polypropylene Corrugated Boxes from China and Vietnam Inv. Nos.: 701-TA-757 and 731-TA-1737-1738 (Preliminary) Date and Time: April 8, 2025 – 9:30 a.m. Sessions were held in connection with these preliminary phase investigations in the Main Hearing Room (Room 101), 500 E Street, SW., Washington, DC. OPENING REMARKS: In Support of Imposition (John Herrmann, Kelley Drye & Warren LLP) In Support of the Imposition of the Antidumping and Countervailing Duty Orders: Kelley Drye & Warren LLP Washington, DC on behalf of CoolSeal USA Inc. Inteplast Group Corporation SeaCa Plastic Packaging Technology Container Corp. Rob Nist, President, SeaCa Plastic Packaging Tab Hinkle, President & General Manager, CoolSeal USA Inc. Fred Dowd, President, Technology Container Corp. William B. Hudgens, Economic Consultant, Georgetown Economic, Services, LLC B.4 In Support of the Imposition of the Antidumping and Countervailing Duty Orders (continued): Jacob T. Jones, Economic Consultant, Georgetown Economic, Services, LLC John M. Herrmann ) Paul C. Rosenthal ) ) – OF COUNSEL Elizabeth C. Johnson ) Melissa M. Brewer ) CLOSING REMARKS: In Support of Imposition (Paul Rosenthal, Kelley Drye & Warren LLP) C.1 APPENDIX C SUMMARY DATA Table C.1 PC boxes: Summary data concerning the U.S. market, by item and period Item 2022 2023 2024 2022–24 2022–23 2023–24 U.S. consumption quantity: Amount......................................................... *** *** *** ▲*** ▲*** ▲*** Producers' share (fn1).................................. *** *** *** ▼*** ▼*** ▼*** Importers' share (fn1): China......................................................... *** *** *** ▲*** ▲*** ▲*** Vietnam..................................................... *** *** *** ▲*** ▲*** ▲*** Subject sources....................................... *** *** *** ▲*** ▲*** ▲*** Nonsubject sources................................ *** *** *** ▼*** ▼*** ▲*** All import sources................................ *** *** *** ▲*** ▲*** ▲*** U.S. consumption value: Amount......................................................... *** *** *** ▲*** ▼*** ▲*** Producers' share (fn1).................................. *** *** *** ▼*** ▲*** ▼*** Importers' share (fn1): China......................................................... *** *** *** ▲*** ▲*** ▲*** Vietnam..................................................... *** *** *** ▲*** ▲*** ▲*** Subject sources....................................... *** *** *** ▲*** ▲*** ▲*** Nonsubject sources................................ *** *** *** ▲*** ▼*** ▲*** All import sources................................ *** *** *** ▲*** ▼*** ▲*** U.S. imports from: China: Quantity..................................................... *** *** *** ▲*** ▲*** ▲*** Value......................................................... *** *** *** ▲*** ▲*** ▲*** Unit value.................................................. *** *** *** ▲*** ▲*** ▼*** Ending inventory quantity........................... *** *** *** ▲*** ▲*** ▲*** Vietnam: Quantity..................................................... *** *** *** ▲*** ▲*** ▲*** Value......................................................... *** *** *** ▲*** ▲*** ▲*** Unit value.................................................. *** *** *** ▲*** ▲*** ▼*** Ending inventory quantity........................... *** *** *** *** *** *** Subject sources: Quantity..................................................... *** *** *** ▲*** ▲*** ▲*** Value......................................................... *** *** *** ▲*** ▲*** ▲*** Unit value.................................................. *** *** *** ▲*** ▲*** ▼*** Ending inventory quantity........................... *** *** *** ▲*** ▲*** ▲*** Nonsubject sources: Quantity..................................................... *** *** *** ▲*** ▼*** ▲*** Value......................................................... *** *** *** ▲*** ▼*** ▲*** Unit value.................................................. *** *** *** ▲*** ▼*** ▲*** Ending inventory quantity........................... *** *** *** ▼*** ▼*** ▼*** All import sources: Quantity..................................................... *** *** *** ▲*** ▲*** ▲*** Value......................................................... *** *** *** ▲*** ▼*** ▲*** Unit value.................................................. *** *** *** ▼*** ▼*** ▼*** Ending inventory quantity........................... *** *** *** ▼*** ▲*** ▼*** Table continued. C.3 Quantity=1,000 pounds; Value=1,000 dollars; Unit values, unit labor costs, and unit expenses=dollars per pound; Ratios and percentages in percent; Period changes=percent--exceptions noted Reported data Period change comparisons Calendar year Calendar year Table C.1 Continued PC boxes: Summary data concerning the U.S. market, by item and period Item 2022 2023 2024 2022–24 2022–23 2023–24 U.S. producers': Practical capacity quantity............................ 86,395 99,706 104,866 ▲21.4 ▲15.4 ▲5.2 Production quantity...................................... 42,692 44,884 46,499 ▲8.9 ▲5.1 ▲3.6 Capacity utilization (fn1)................................ 49.4 45.0 44.3 ▼(5.1) ▼(4.4) ▼(0.7) U.S. shipments: Quantity..................................................... 40,957 42,928 45,874 ▲12.0 ▲4.8 ▲6.9 Value......................................................... 83,979 78,116 82,684 ▼(1.5) ▼(7.0) ▲5.8 Unit value.................................................. $2.05 $1.82 $1.80 ▼(12.1) ▼(11.3) ▼(0.9) Export shipments: Quantity..................................................... *** *** *** ▼*** ▲*** ▼*** Value......................................................... *** *** *** ▲*** ▲*** ▼*** Unit value.................................................. *** *** *** ▲*** ▼*** ▲*** Ending inventory quantity.............................. 2,687 3,745 3,677 ▲36.8 ▲39.4 ▼(1.8) Inventories/total shipments (fn1).................. *** *** *** ▲*** ▲*** ▼*** Production workers....................................... 376 394 420 ▲11.7 ▲4.8 ▲6.6 Hours worked (1,000s).................................. 767 806 859 ▲12.0 ▲5.1 ▲6.6 Wages paid ($1,000).................................... 19,358 20,673 22,523 ▲16.3 ▲6.8 ▲8.9 Hourly wages (dollars per hour)................... $25.24 $25.65 $26.22 ▲3.9 ▲1.6 ▲2.2 Productivity (pounds per hour)...................... 55.7 55.7 54.1 ▼(2.7) ▲0.0 ▼(2.8) Unit labor costs............................................ $0.45 $0.46 $0.48 ▲6.8 ▲1.6 ▲5.2 Net sales: Quantity..................................................... *** *** *** ▲*** ▲*** ▲*** Value......................................................... *** *** *** ▼*** ▼*** ▲*** Unit value.................................................. $2.08 $1.85 $1.83 ▼(11.8) ▼(10.8) ▼(1.1) Cost of goods sold (COGS).......................... *** *** *** ▲*** ▼*** ▲*** Gross profit or (loss) (fn2)............................. *** *** *** ▼*** ▲*** ▼*** SG&A expenses........................................... *** *** *** ▲*** ▲*** ▲*** Operating income or (loss) (fn2)................... *** *** *** ▼*** ▼*** ▼*** Net income or (loss) (fn2)............................. *** *** *** ▼*** ▼*** ▼*** Unit COGS................................................... $1.69 $1.48 $1.57 ▼(6.9) ▼(12.2) ▲6.1 Unit SG&A expenses.................................... $0.20 $0.20 $0.20 ▲3.1 ▲0.8 ▲2.3 Unit operating income or (loss) (fn2)............ $0.19 $0.17 $0.06 ▼(70.2) ▼(10.3) ▼(66.8) Unit net income or (loss) (fn2)...................... $0.16 $0.14 $0.03 ▼(82.1) ▼(15.7) ▼(78.7) COGS/sales (fn1)......................................... 81.2 80.0 85.8 ▲4.6 ▼(1.3) ▲5.9 Operating income or (loss)/sales (fn1)......... 9.3 9.4 3.1 ▼(6.2) ▲0.1 ▼(6.2) Net income or (loss)/sales (fn1).................... 7.8 7.4 1.6 ▼(6.2) ▼(0.4) ▼(5.8) Capital expenditures..................................... *** *** *** ▲*** ▲*** ▲*** Research and development expenses......... *** *** *** *** *** *** Total assets.................................................. 66,440 71,491 74,894 ▲12.7 ▲7.6 ▲4.8 fn1.--Reported data are in percent and period changes are in percentage points. Source: Compiled from data submitted in response to Commission questionnaires and from information submitted as part of the petition. The petition's imports estimates were developed through a review of shipment manifests available to the petioner via a third party service provider. 508-compliant tables for these data are contained in parts 3, 4, 6, and 7 of this report. Note.--Shares and ratios shown as “0.0” percent represent non-zero values less than “0.05” percent (if positive) and greater than “ (0.05)” percent (if negative). Zeroes, null values, and undefined calculations are suppressed and shown as “—“. Period changes preceded by a “ ▲” represent an increase, while period changes preceded by a “▼” represent a decrease. fn2.--Percent changes only calculated when both comparison values represent profits; The directional change in profitability provided when one or both comparison values represent a loss. 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�J�d��)����`;tR���W�T�q�+ ^:�i��.!�^ͳُ��U6��������>ie����ӥ([[|[dz!�5ѐ�[�3�=x~|Z������CTHQ�����A74':���] 5@q��l�ǣ�)�qO�c?z�����PK!�t�% docProps/app.xml �(��W[o�0~�����+ B@�]G7uҺV#m���خ�pٯ�IR�0:)�4����9>:AG�4��Ti&��n�\ۢ����`�u��j �S�ֶ%�ی�k��qo�v��� �dN~��j����.�����G{��J ����D60��o���,W�0��H9X)c�t��l'�_u����ݓ���|P�=�;6��w�#w �E�v ���d*���yB1��ߪ�� �k�����PK-!18��� [Content_Types].xmlPK-!�U~���_rels/.relsPK-!:�[��um )word/document.xmlPK-!��� �word/_rels/document.xml.relsPK-!�X��i�word/footnotes.xmlPK-!J���.�word/endnotes.xmlPK-!O�Jn���word/header1.xmlPK-!s�{�K���word/header2.xmlPK-!j,��C�word/header3.xmlPK-!Dm����#�word/header4.xmlPK- !g_7B��)�word/media/image1.pngPK- !�P��+�+�{�word/media/image2.pngPK-!��R��� �wword/theme/theme1.xmlPK-!���S�~word/settings.xmlPK-!4�"���word/_rels/settings.xml.relsPK-!��$�w�customXml/item1.xmlPK-!Z2���U�customXml/itemProps1.xmlPK-!�,~�bW��word/numbering.xmlPK-!<�����word/styles.xmlPK-!v��n�Q�word/webSettings.xmlPK-!X�M�� �word/fontTable.xmlPK-!$��U\3�docProps/core.xmlPK-!�t�% ��docProps/app.xmlPK-!H� ����docProps/custom.xmlPK-!t?9z�(��customXml/_rels/item1.xml.relsPK\�� ──────────────────────────────────────────────────────────── === USITC Determination - Preliminary === 19528 Federal Register / Vol. 90, No. 88 / Thursday, May 8, 2025 / Notices 1 The record is defined in § 207.2(f) of the Commission’s Rules of Practice and Procedure (19 CFR 207.2(f)). 2 90 FR 15544 and 90 FR 15555, April 14, 2025. DEPARTMENT OF THE INTERIOR National Park Service [NPS–WASO–NAGPRA–NPS0040085; PPWOCRADN0–PCU00RP14.R50000] Notice of Intent To Repatriate Cultural Items: California State University, Sacramento, Sacramento, CA and East Bay Municipal Utility District, Oakland, CA AGENCY : National Park Service, Interior. ACTION : Notice. SUMMARY : In accordance with the Native American Graves Protection and Repatriation Act (NAGPRA), the California State University, Sacramento and East Bay Municipal Utility District (EBMUD) intend to repatriate certain cultural items that meet the definition of objects of cultural patrimony and that have a cultural affiliation with the Indian Tribes or Native Hawaiian organizations in this notice. DATES : Repatriation of the cultural items in this notice may occur on or after June 9, 2025. ADDRESSES : Dr. Mark Wheeler, Chief of Staff to President Luke Wood, California State University, Sacramento, 6000 J Street Sacramento, CA 95819, telephone (916) 460–0490, email mark.wheeler@ csus.edu and Charles Beckman, Manager of Watershed and Recreation, East Bay Municipal Utility District, 15083 Camanche Parkway South, Valley Springs, CA 95252, telephone (209) 772–8203, email charles.beckman@ ebmud.com. SUPPLEMENTARY INFORMATION : This notice is published as part of the National Park Service’s administrative responsibilities under NAGPRA. The determinations in this notice are the sole responsibility of the California State University, Sacramento and EBMUD, and additional information on the determinations in this notice, including the results of consultation, can be found in the summary or related records. The National Park Service is not responsible for the determinations in this notice. Abstract of Information Available The 1,092 cultural items have been requested for repatriation. The 1,092 objects of cultural patrimony include flaked and ground stones; faunal and flora remains; unmodified stones; historic objects; modified shell, bone, stone and wood objects; thermally altered rocks; soil samples; and unidentified materials. Of this number, at least three objects are currently missing from the collections. California State University, Sacramento continues to look for any missing objects. These objects were removed from several sites in Calaveras County, CA in the 1950s and 1960s as a result of various survey and excavation projects caried out under the direction of California State University, Sacramento faculty and students William Beeson, Jerald Johnson, Louis Payen, William Hansen, and David Boloyan prior to the inundation of Camanche Reservoir. These sites include CAL–105, CAL–186 (also known as Hidden Cave), CAL–188 (also known as Big Cave), CAL–194 (also known as Hole in Rock Cave), CAL–218 (also known as Cemetery One Cave), CAL–219 (also known as Pipe Line #1), CAL–231 (also known as two by four Cave), CAL-Little Creek, and unknown locations. The objects have since been housed at the California State University, Sacramento under accessions 81–427, 81–366, 81–367, 81– 196, 81–198, 81–426, 81–428, 81–430, and 1974–30–82e. Determinations The California State University, Sacramento and EBMUD have determined that: • The 1,092 objects of cultural patrimony described in this notice have ongoing historical, traditional, or cultural importance central to the Native American group, including any constituent sub-group (such as a band, clan, lineage, ceremonial society, or other subdivision), according to the Native American traditional knowledge of an Indian Tribe or Native Hawaiian organization. • There is a relationship of shared group identity that can be reasonably traced between the cultural items and the California Valley Miwok Tribe, California. Requests for Repatriation Additional, written requests for repatriation of the cultural items in this notice must be sent to the authorized representative identified in this notice under ADDRESSES. Requests for repatriation may be submitted by any lineal descendant, Indian Tribe, or Native Hawaiian organization not identified in this notice who shows, by a preponderance of the evidence, that the requestor is a lineal descendant or a culturally affiliated Indian Tribe or Native Hawaiian organization. Repatriation of the cultural items in this notice to a requestor may occur on or after June 9, 2025. If competing requests for repatriation are received, the California State University, Sacramento and EBMUD must determine the most appropriate requestor prior to repatriation. Requests for joint repatriation of the cultural items are considered a single request and not competing requests. The California State University, Sacramento and EBMUD are responsible for sending a copy of this notice to the Indian Tribes and Native Hawaiian organizations identified in this notice and to any other consulting parties. Authority: Native American Graves Protection and Repatriation Act, 25 U.S.C. 3004 and the implementing regulations, 43 CFR 10.9. Dated: April 22, 2025. Melanie O’Brien, Manager, National NAGPRA Program. [FR Doc. 2025–08034 Filed 5–7–25; 8:45 am] BILLING CODE 4312–52–P INTERNATIONAL TRADE COMMISSION [Investigation Nos. 701–TA–757 and 731– TA–1737–1738 (Preliminary)] Polypropylene Corrugated Boxes From China and Vietnam Determinations On the basis of the record 1 developed in the subject investigations, the United States International Trade Commission (‘‘Commission’’) determines, pursuant to the Tariff Act of 1930 (‘‘the Act’’), that there is a reasonable indication that an industry in the United States is materially injured by reason of imports of polypropylene corrugated boxes from China and Vietnam, provided for in subheading 3923.10.90 of the Harmonized Tariff Schedule of the United States, that are alleged to be sold in the United States at less than fair value (‘‘LTFV’’) and imports of the subject merchandise from China that are alleged to be subsidized by the government of China. 2 Commencement of Final Phase Investigations Pursuant to section 207.18 of the Commission’s rules, the Commission also gives notice of the commencement of the final phase of its investigations. The Commission will issue a final phase notice of scheduling, which will be published in the Federal Register as provided in § 207.21 of the Commission’s rules, upon notice from the U.S. Department of Commerce (‘‘Commerce’’) of affirmative preliminary determinations in the VerDate Sep<11>2014 18:48 May 07, 2025 Jkt 265001 PO 00000 Frm 00066 Fmt 4703 Sfmt 4703 U:\08MYN1.SGM 08MYN1 ddrumheller on DSK120RN23PROD with NOTICES1 19529Federal Register / Vol. 90, No. 88 / Thursday, May 8, 2025 / Notices 1 For Commerce’s complete scope see 90 FR 15330, 15333, 15337, 15340, 15343, 15347, 15349, 15352, 15355, and 15359, April 10, 2025. investigations under §§ 703(b) or 733(b) of the Act, or, if the preliminary determinations are negative, upon notice of affirmative final determinations in those investigations under §§ 705(a) or 735(a) of the Act. Parties that filed entries of appearance in the preliminary phase of the investigations need not enter a separate appearance for the final phase of the investigations. Any other party may file an entry of appearance for the final phase of the investigations after publication of the final phase notice of scheduling. Industrial users, and, if the merchandise under investigation is sold at the retail level, representative consumer organizations have the right to appear as parties in Commission antidumping and countervailing duty investigations. The Secretary will prepare a public service list containing the names and addresses of all persons, or their representatives, who are parties to the investigations. As provided in section 207.20 of the Commission’s rules, the Director of the Office of Investigations will circulate draft questionnaires for the final phase of the investigations to parties to the investigations, placing copies on the Commission’s Electronic Document Information System (EDIS, https:// edis.usitc.gov), for comment. Background On March 18, 2025, CoolSeal USA Inc., Perrysburg, Ohio; Inteplast Group Corporation, Livingston, New Jersey; SeaCa Plastic Packaging, Kent, Washington; and Technology Container Corp., Desoto, Texas, filed petitions with the Commission and Commerce, alleging that an industry in the United States is materially injured or threatened with material injury by reason of subsidized imports of polypropylene corrugated boxes from China and LTFV imports of polypropylene corrugated boxes from China and Vietnam. Accordingly, effective March 18, 2025, the Commission instituted countervailing duty investigation No. 701–TA–757 and antidumping duty investigation Nos. 731–TA–1737–1738 (Preliminary). Notice of the institution of the Commission’s investigations and of a public conference to be held in connection therewith was given by posting copies of the notice in the Office of the Secretary, U.S. International Trade Commission, Washington, DC, and by publishing the notice in the Federal Register of March 24, 2025 (90 FR 13497). The Commission conducted its conference on April 8, 2025. All persons who requested the opportunity were permitted to participate. The Commission made these determinations pursuant to §§ 703(a) and 733(a) of the Act (19 U.S.C. 1671b(a) and 1673b(a)). It completed and filed its determinations in these investigations on May 2, 2025. The views of the Commission are contained in USITC Publication 5622 (May 2025), entitled Polypropylene Corrugated Boxes from China and Vietnam: Investigation Nos. 701–TA–757 and 731–TA–1737–1738 (Preliminary). By order of the Commission. Issued: May 2, 2025. Susan Orndoff, Supervisory Attorney. [FR Doc. 2025–07993 Filed 5–7–25; 8:45 am] BILLING CODE 7020–02–P INTERNATIONAL TRADE COMMISSION [Investigation Nos. 701–TA–733–736 and 731–TA–1702–1711 (Final)] Corrosion-Resistant Steel Products From Australia, Brazil, Canada, Mexico, Netherlands, South Africa, Taiwan, Turkey, United Arab Emirates, and Vietnam; Scheduling of the Final Phase of Countervailing Duty and Antidumping Duty Investigations AGENCY : United States International Trade Commission. ACTION : Notice. SUMMARY : The Commission hereby gives notice of the scheduling of the final phase of countervailing duty and antidumping and duty investigation Nos. 701–TA–733–736 and 731–TA– 1702–1711 (Final) pursuant to the Tariff Act of 1930 (‘‘the Act’’) to determine whether an industry in the United States is materially injured or threatened with material injury, or the establishment of an industry in the United States is materially retarded, by reason of imports of corrosion-resistant steel products from Australia, Brazil, Canada, Mexico, Netherlands, South Africa, Taiwan, Turkey, United Arab Emirates, and Vietnam, provided for in subheadings 7210.30.00, 7210.41.00, 7210.49.00, 7210.61.00, 7210.69.00, 7210.70.60, 7210.90.10, 7210.90.60, 7210.90.90, 7212.20.00, 7212.30.10, 7212.30.30, 7212.30.50, 7212.40.10, 7212.40.50, 7212.50.00, 7212.60.00, 7215.90.10, 7215.90.30, 7215.90.50, 7217.20.15, 7217.30.15, 7217.90.10, 7217.90.50, 7225.91.00, 7225.92.00, 7225.99.00, 7226.99.01, 7228.60.60, 7228.60.80, and 7229.90.10 of the Harmonized Tariff Schedule of the United States, preliminarily determined by the Department of Commerce (‘‘Commerce’’) to be sold at less-than- fair-value and subsidized by the Governments of Brazil, Canada, Mexico, and Vietnam. DATES : April 10, 2025. FOR FURTHER INFORMATION CONTACT : Alejandro Orozco (202–205–3177), Office of Investigations, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. Hearing-impaired persons can obtain information on this matter by contacting the Commission’s TDD terminal on 202– 205–1810. Persons with mobility impairments who will need special assistance in gaining access to the Commission should contact the Office of the Secretary at 202–205–2000. General information concerning the Commission may also be obtained by accessing its internet server (https:// www.usitc.gov). The public record for these investigations may be viewed on the Commission’s electronic docket (EDIS) at https://edis.usitc.gov. SUPPLEMENTARY INFORMATION : Scope.—For purposes of these investigations, Commerce has defined the subject merchandise as ‘‘certain flat- rolled steel products, either clad, plated, or coated with corrosion-resistant metals such as zinc, aluminum, or zinc- , aluminum-, nickel- or iron-based alloys, whether or not corrugated or painted, varnished, laminated, or coated with plastics or other non-metallic substances in addition to the metallic coating.’’ 1 Background.—The final phase of these investigations is being scheduled pursuant to sections 705(b) and 731(b) of the Tariff Act of 1930 (19 U.S.C. 1671d(b) and 1673d(b)), as a result of affirmative preliminary determinations by Commerce that certain benefits which constitute subsidies within the meaning of § 703 of the Act (19 U.S.C. 1671b) are being provided to manufacturers, producers, or exporters in Brazil, Canada, Mexico, and Vietnam of corrosion-resistant steel products, and that such products from Australia, Brazil, Canada, Mexico, Netherlands, South Africa, Taiwan, Turkey, United Arab Emirates, and Vietnam are being sold in the United States at less than fair value within the meaning of § 733 of the Act (19 U.S.C. 1673b). The investigations were requested in petitions filed on September 5, 2024, by Steel Dynamics, Inc., Fort Wayne, Indiana; Nucor Corporation, Charlotte, North Carolina; United States Steel Corporation, Pittsburgh, Pennsylvania; Wheeling-Nippon Steel, Follansbee, VerDate Sep<11>2014 18:48 May 07, 2025 Jkt 265001 PO 00000 Frm 00067 Fmt 4703 Sfmt 4703 U:\08MYN1.SGM 08MYN1 ddrumheller on DSK120RN23PROD with NOTICES1 ──────────────────────────────────────────────────────────── === C-570-208 - China - CVD === Federal Register :: Request Access { "imports": { "application": "/assets/application-cc464116.js", "@hotwired/turbo-rails": "/assets/turbo.min-86bf8853.js", "@hotwired/stimulus": "/assets/stimulus.min-7ea3d58b.js", "@hotwired/stimulus-loading": "/assets/stimulus-loading-25917588.js", "controllers/application": "/assets/controllers/application-e5a449db.js", "controllers/site_feedback_controller": "/assets/controllers/site_feedback_controller-a99fc93f.js", "controllers/unblock_controller": "/assets/controllers/unblock_controller-9520f896.js" } } import "application" Request Access Due to aggressive automated scraping of FederalRegister.gov and eCFR.gov, programmatic access to these sites is limited to access to our extensive developer APIs. 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����D60��o���,W�0��H9X)c�t��l'�_u����ݓ���|P�=�;6��w�#w �E�v ���d*���yB1��ߪ�� �k�����PK-!&pB�� [Content_Types].xmlPK-!�U~���_rels/.relsPK-!�Tzno�qword/document.xmlPK-!�D��<�vword/_rels/document.xml.relsPK-!����yword/footnotes.xmlPK-!g֕�|word/endnotes.xmlPK-!�|�u6�word/header1.xmlPK-!{CzW�&�word/header2.xmlPK-!���bg�word/header3.xmlPK-!���X��word/header4.xmlPK-!��R��� z�word/theme/theme1.xmlPK-!�+����g��word/settings.xmlPK-!C���C�word/_rels/settings.xml.relsPK-!��$���customXml/item1.xmlPK-!�x��U��customXml/itemProps1.xmlPK-!�~A�� �}۰word/numbering.xmlPK-!�E���word/styles.xmlPK-!����a�r�word/webSettings.xmlPK-!X�M�� �word/fontTable.xmlPK-!3��*[3�docProps/core.xmlPK-!�D���y ��docProps/app.xmlPK-!I���l��docProps/custom.xmlPK-!t?9z�(��customXml/_rels/item1.xml.relsPK��� ──────────────────────────────────────────────────────────── === USITC Institution === 13497Federal Register / Vol. 90, No. 55 / Monday, March 24, 2025 / Notices endangered species, captive-bred wildlife registrations, and permits for any activity otherwise prohibited by the ESA with respect to any endangered species are available in title 50 of the Code of Federal Regulations in part 17. III. Permit Applications We invite comments on the following applications. Applicant: East Coast Zoological Society of Florida, Inc dba Brevard Zoo, Melbourne, FL; Permit No. PER15020210 The applicant requests to renew a captive-bred wildlife registration under 50 CFR 17.21(g) for the following species, to enhance the propagation or survival of the species. This notification covers activities to be conducted by the applicant over a 5-year period. Common name Scientific name Cheetah ..................... Acinonyx jubatus. Siamang .................... Symphalangus syndactylus. Ring-tailed lemur ....... Lemur catta. Cotton-top tamarin .... Saguinus oedipus. Baird’s tapir ............... Tapirus bairdii. Radiated tortoise ....... Astrochelys radiata. Grevy’s zebra ............ Equus grevyi. Applicant: Jacksonville Zoo and Gardens, Jacksonville, FL; Permit No. PER12792731 On November 8, 2024, we published a Federal Register notice inviting the public to comment on an application to a renew a permit to conduct certain activities with endangered species (89 FR 88804). We are now reopening the comment period to allow the public the opportunity to review additional information submitted for a renewal request for a captive-bred wildlife registration under 50 CFR 17.21(g) for the following species, to enhance the propagation or survival of the species. This notification covers activities to be conducted by the applicant over a 5- year period. Common name Scientific name Pygmy chimpanzee ... Pan paniscus. Gorilla ........................ Gorilla gorilla. Tiger .......................... Panthera tigris. Southern white rhi- noceros. Ceratotherium simum simum. Komodo Island mon- itor. Varanus komodoensis. Applicant: City of San Jose dba Happy Hollow Park & Zoo, San Jose, CA; Permit No. PER16035616 The applicant requests a captive-bred wildlife registration under 50 CFR 17.21(g) for the following species, to enhance the propagation or survival of the species. This notification covers activities to be conducted by the applicant over a 5-year period. Common name Scientific name Black-and-white ruffed lemur. Varecia variegata. Red ruffed lemur ....... Varecia rubra. Parma wallaby .......... Macropus parma. Applicant: Lake Superior Zoo, Duluth, MN; Permit No. PER17273062 The applicant requests a captive-bred wildlife registration under 50 CFR 17.21(g) for ring-tailed lemur (Lemur catta) and cotton-top marmoset (Saguinus oedipus), to enhance the propagation or survival of the species. This notification covers activities to be conducted by the applicant over a 5- year period. Multiple Trophy Applicants The following applicants request permits to import sport-hunted trophies of male bontebok (Damaliscus pygargus pygargus) culled from a captive herd maintained under the management program of the Republic of South Africa, for the purpose of enhancing the propagation or survival of the species. • Travis Wade Arledge, Novice, TX; Permit No. PER15796329 • David Lee Ristau, Wamego, KS; Permit No. PER15798029 • Jesse D. Palmer, Spring Branch, TX; Permit No. PER13800404 • Lance Craig Brewer, Snohomish, WA; Permit No. PER17449908 IV. Next Steps After the comment period closes, we will make decisions regarding permit issuance. If we issue permits to any of the applicants listed in this notice, we will publish a notice in the Federal Register. You may locate the notice announcing the permit issuance by searching https://www.regulations.gov for the permit number listed above in this document. For example, to find information about the potential issuance of Permit No. 12345A, you would go to regulations.gov and search for ‘‘12345A’’. V. Authority We issue this notice under the authority of the Endangered Species Act of 1973, as amended (16 U.S.C. 1531 et seq.), and its implementing regulations. Brenda Tapia, Supervisory Program Analyst/Data Administrator, Branch of Permits, Division of Management Authority. [FR Doc. 2025–04925 Filed 3–21–25; 8:45 am] BILLING CODE 4333–15–P INTERNATIONAL TRADE COMMISSION [Investigation Nos. 701–TA–757 and 731– TA–1737–1738 (Preliminary)] Polypropylene Corrugated Boxes From China and Vietnam; Institution of Antidumping and Countervailing Duty Investigations and Scheduling of Preliminary Phase Investigations AGENCY : United States International Trade Commission. ACTION : Notice. SUMMARY : The Commission hereby gives notice of the institution of investigations and commencement of preliminary phase antidumping and countervailing duty investigation Nos. 701–TA–757 and 731–TA–1737–1738 (Preliminary) pursuant to the Tariff Act of 1930 (‘‘the Act’’) to determine whether there is a reasonable indication that an industry in the United States is materially injured or threatened with material injury, or the establishment of an industry in the United States is materially retarded, by reason of imports of polypropylene corrugated boxes (‘‘PC boxes’’) from China and Vietnam, provided for in subheading 3923.10.90 of the Harmonized Tariff Schedule of the United States, that are alleged to be sold in the United States at less than fair value and imports of PC boxes alleged to be subsidized by the Government of China. Unless the Department of Commerce (‘‘Commerce’’) extends the time for initiation, the Commission must reach preliminary determinations in antidumping and countervailing duty investigations in 45 days, or in this case by May 2, 2025. The Commission’s views must be transmitted to Commerce within five business days thereafter, or by May 9, 2025. DATES : March 18, 2025. FOR FURTHER INFORMATION CONTACT : Calvin Chang (202–205–3602), Office of Investigations, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. Hearing- impaired persons can obtain information on this matter by contacting the Commission’s TDD terminal on 202– 205–1810. Persons with mobility impairments who will need special assistance in gaining access to the Commission should contact the Office of the Secretary at 202–205–2000. General information concerning the Commission may also be obtained by accessing its internet server (https:// www.usitc.gov). The public record for these investigations may be viewed on VerDate Sep<11>2014 17:28 Mar 21, 2025 Jkt 265001 PO 00000 Frm 00049 Fmt 4703 Sfmt 4703 E:\FR\FM\24MRN1.SGM 24MRN1 lotter on DSK11XQN23PROD with NOTICES1 13498 Federal Register / Vol. 90, No. 55 / Monday, March 24, 2025 / Notices the Commission’s electronic docket (EDIS) at https://edis.usitc.gov. SUPPLEMENTARY INFORMATION : Background.—These investigations are being instituted, pursuant to sections 703(a) and 733(a) of the Tariff Act of 1930 (19 U.S.C. 1671b(a) and 1673b(a)), in response to petitions filed on March 18, 2025, by CoolSeal USA Inc., Perrysburg, Ohio; Inteplast Group Corporation, Livingston, New Jersey; SeaCa Plastic Packaging, Kent, Washington; and Technology Container Corp., Desoto, Texas. For further information concerning the conduct of these investigations and rules of general application, consult the Commission’s Rules of Practice and Procedure, part 201, subparts A and B (19 CFR part 201), and part 207, subparts A and B (19 CFR part 207). Participation in the investigations and public service list.—Persons (other than petitioners) wishing to participate in the investigations as parties must file an entry of appearance with the Secretary to the Commission, as provided in §§ 201.11 and 207.10 of the Commission’s rules, not later than seven days after publication of this notice in the Federal Register. Industrial users and (if the merchandise under investigation is sold at the retail level) representative consumer organizations have the right to appear as parties in Commission antidumping duty and countervailing duty investigations. The Secretary will prepare a public service list containing the names and addresses of all persons, or their representatives, who are parties to these investigations upon the expiration of the period for filing entries of appearance. Limited disclosure of business proprietary information (BPI) under an administrative protective order (APO) and BPI service list.—Pursuant to § 207.7(a) of the Commission’s rules, the Secretary will make BPI gathered in these investigations available to authorized applicants representing interested parties (as defined in 19 U.S.C. 1677(9)) who are parties to the investigations under the APO issued in the investigations, provided that the application is made not later than seven days after the publication of this notice in the Federal Register. A separate service list will be maintained by the Secretary for those parties authorized to receive BPI under the APO. Conference.— The Office of Investigations will hold a staff conference in connection with the preliminary phase of these investigations beginning at 9:30 a.m. on Tuesday, April 8, 2025. Requests to appear at the conference should be emailed to preliminaryconferences@ usitc.gov (DO NOT FILE ON EDIS) on or before noon on Friday, April 4, 2025. Please provide an email address for each conference participant in the email. Information on conference procedures, format, and participation, including guidance for requests to appear as a witness via videoconference, will be available on the Commission’s Public Calendar (Calendar (USITC) | United States International Trade Commission). A nonparty who has testimony that may aid the Commission’s deliberations may request permission to participate by submitting a short statement. Please note the Secretary’s Office will accept only electronic filings during this time. Filings must be made through the Commission’s Electronic Document Information System (EDIS, https:// edis.usitc.gov). No in-person paper- based filings or paper copies of any electronic filings will be accepted until further notice. Written submissions.—As provided in §§ 201.8 and 207.15 of the Commission’s rules, any person may submit to the Commission on or before 5:15 p.m. on April 11, 2025, a written brief containing information and arguments pertinent to the subject matter of the investigations. Parties shall file written testimony and supplementary material in connection with their presentation at the conference no later than 4:00 p.m. on April 7, 2025. All written submissions must conform with the provisions of § 201.8 of the Commission’s rules; any submissions that contain BPI must also conform with the requirements of §§ 201.6, 207.3, and 207.7 of the Commission’s rules. The Commission’s Handbook on Filing Procedures, available on the Commission’s website at https:// www.usitc.gov/documents/handbook_ on_filing_procedures.pdf, elaborates upon the Commission’s procedures with respect to filings. In accordance with §§ 201.16(c) and 207.3 of the rules, each document filed by a party to the investigations must be served on all other parties to the investigations (as identified by either the public or BPI service list), and a certificate of service must be timely filed. The Secretary will not accept a document for filing without a certificate of service. Certification.—Pursuant to § 207.3 of the Commission’s rules, any person submitting information to the Commission in connection with these investigations must certify that the information is accurate and complete to the best of the submitter’s knowledge. In making the certification, the submitter will acknowledge that any information that it submits to the Commission during these investigations may be disclosed to and used: (i) by the Commission, its employees and Offices, and contract personnel (a) for developing or maintaining the records of these or related investigations or reviews, or (b) in internal investigations, audits, reviews, and evaluations relating to the programs, personnel, and operations of the Commission including under 5 U.S.C. appendix 3; or (ii) by U.S. Government employees and contract personnel, solely for cybersecurity purposes. All contract personnel will sign appropriate nondisclosure agreements. Authority: These investigations are being conducted under authority of title VII of the Tariff Act of 1930; this notice is published pursuant to § 207.12 of the Commission’s rules. By order of the Commission. Issued: March 18, 2025. Lisa Barton, Secretary to the Commission. [FR Doc. 2025–04909 Filed 3–21–25; 8:45 am] BILLING CODE 7020–02–P DEPARTMENT OF JUSTICE [OMB Number 1105–0030] Agency Information Collection Activities; Proposed eCollection eComments Requested; Revision of a Previously Approved Collection; Electronic Applications for the Attorney General’s Honors Program and the Summer Law Intern Program (HP/SLIP) AGENCY : Office of Attorney Recruitment and Management, Justice Management Division, Department of Justice. ACTION : 60-Day notice. SUMMARY : The Office of Attorney Recruitment and Management, Department of Justice (DOJ), will be submitting the following information collection request to the Office of Management and Budget (OMB) for review and approval in accordance with the Paperwork Reduction Act of 1995. DATES : Comments are encouraged and will be accepted for 60 days until May 23, 2025. FOR FURTHER INFORMATION CONTACT : If you have additional comments especially on the estimated public burden or associated response time, suggestions, or need a copy of the proposed information collection instrument with instructions or additional information, please contact Deana Willis, Assistant Director, Office of Attorney Recruitment and VerDate Sep<11>2014 17:28 Mar 21, 2025 Jkt 265001 PO 00000 Frm 00050 Fmt 4703 Sfmt 4703 E:\FR\FM\24MRN1.SGM 24MRN1 lotter on DSK11XQN23PROD with NOTICES1 ──────────────────────────────────────────────────────────── === A-552-850 - Vietnam AD === Federal Register :: Request Access { "imports": { "application": "/assets/application-cc464116.js", "@hotwired/turbo-rails": "/assets/turbo.min-86bf8853.js", "@hotwired/stimulus": "/assets/stimulus.min-7ea3d58b.js", "@hotwired/stimulus-loading": "/assets/stimulus-loading-25917588.js", "controllers/application": "/assets/controllers/application-e5a449db.js", "controllers/site_feedback_controller": "/assets/controllers/site_feedback_controller-a99fc93f.js", "controllers/unblock_controller": "/assets/controllers/unblock_controller-9520f896.js" } } import "application" Request Access Due to aggressive automated scraping of FederalRegister.gov and eCFR.gov, programmatic access to these sites is limited to access to our extensive developer APIs. Please visit FederalRegister.gov API documentation or eCFR.gov API documentation to learn more about how to access the API. Your request has been flagged as potentially automated. If you are human user receiving this message, please complete the CAPTCHA (bot test) below and click "Request Access". You may occassionally be asked to complete the CAPTCHA again, this is normal and part of our security measures. unblock#handleSubmit"> Request Access An official website of the United States government. If you experiencing issues with the CAPTCHA or want to request a wider IP range, you can use the "Site Help" button found in the lower, right of this page to make a request. × IP Access Help This contact form is only for IP Access help. Please do not provide confidential information or personal data. * Your Name * Email * How can we help you? Upload Attachment * I am requesting technical help. site-feedback#openModal" aria-label="Open site help form"> Site Help ──────────────────────────────────────────────────────────── === Initiation – CVD === 15555Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 1 See Petitioners’ Letter, ‘‘Petition for the Imposition of Antidumping and Countervailing Duties,’’ dated March 18, 2025 (Petition). 2 Id. 3 See Commerce’s Letters, ‘‘Supplemental Questions,’’ dated March 20, 2025 (First General Issues Questionnaire) and ‘‘Supplemental Questions,’’ dated March 21, 2025; see also Memorandum, ‘‘Phone Call with Counsel to the Petitioners,’’ dated March 28, 2025 (March 28, 2025, Memorandum); and Memorandum, ‘‘Phone Call with Counsel to the Petitioners,’’ dated April 1, 2025. 4 See Petitioners’ Letters, ‘‘Petitioners’ Supplement to Volume I of the Petition for the Imposition of Antidumping and Countervailing Duties,’’ dated March 25, 2025 (First General Issues Supplement); ‘‘Petitioners’ Supplement to Volume Continued the POR will be liquidated at the dumping margin assigned to the Vietnam-wide entity. In accordance with section 751(a)(2)(C) of the Act, the final results of this review shall be the basis for the assessment of antidumping duties on entries of merchandise covered by the final results of this review and for future deposits of estimated antidumping duties, where applicable. Cash Deposit Requirements The following cash deposit requirements will be effective for all shipments of the subject merchandise entered, or withdrawn from warehouse, for consumption on or after the publication date of the final results of this administrative review, as provided by section 751(a)(2)(C) of the Act: (1) for the exporters listed above, the cash deposit rate will be equal to the weighted-average dumping margins established in the final results of this review, except if the rate is de minimis, in which case the cash deposit rate will be zero; (2) for previously-examined Vietnamese and non-Vietnamese exporters not listed above that at the time of entry are eligible for a separate rate base on a prior completed segment of this proceeding, the cash deposit rate will continue to the be the existing exporter-specific cash deposit rate; (3) for all Vietnam exporters of subject merchandise that have not been found to be entitled to a separate rate, the cash deposit rate will be the rate previously established for the Vietnam-wide entity (60.03 percent); and (4) for all non- Vietnamese exporters of subject merchandise which at the time of entry do not have a separate rate, the cash deposit rate will be the rate applicable to the Vietnamese exporter that supplied the non-Vietnamese exporter. These cash deposit requirements, when imposed, shall remain in effect until further notice. Notification of Importers This notice serves as a final reminder to importers of their responsibility under 19 CFR 351.402(f)(2) to file a certificate regarding the reimbursement of antidumping duties prior to liquidation of the relevant entries during the POR. Failure to comply with this requirement could result in Commerce’s presumption that reimbursement of antidumping duties has occurred and the subsequent assessment of double antidumping duties. Administrative Protective Order (APO) This notice also serves as a final reminder to parties subject to an APO of their responsibility to return or destroy proprietary information disclosed under an APO in accordance with 19 CFR 351.305(a)(3), which continues to govern business proprietary information in this segment of the proceeding. Timely written notification of the return or destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and terms of an APO is a violation subject to sanction. Notification to Interested Parties Commerce is issuing and publishing the final results of this review in accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(5). Dated: April 7, 2025. Christopher Abbott, Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix List of Topics Discussed in the Issues and Decision Memorandum I. Summary II. Background III. Scope of the Order IV. Changes Since the Preliminary Results V. Discussion of the Issues Comment 1: Whether Commerce Should Apply Partial Adverse Facts Available (AFA) to Account for DakLak Honeybee Joint Stock Company (DakHoney)’s Failure To Report Drum Yield Loss Comment 2: Whether Commerce Should Apply Partial AFA To Account for DakHoney’s Failure To Submit a Revised Factors of Production (FOP) Database Using Actual Weight Comment 3: Whether Commerce Should Apply Partial AFA To Address Certain Errors Found at Verification for DakHoney Comment 4: Whether Egypt is a Significant Producer of Raw Honey Comment 5: Selection of Surrogate Country Comment 6: Surrogate Value (SV) for Raw Honey Comment 7: SV for Drums Comment 8: Selection of Surrogate Financial Statements VI. Recommendation [FR Doc. 2025–06287 Filed 4–11–25; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [C–570–204] Polypropylene Corrugated Boxes From the People’s Republic of China: Initiation of Countervailing Duty Investigation AGENCY : Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES : Applicable April 7, 2025. FOR FURTHER INFORMATION CONTACT : Shane Subler or Rachel Accorsi, Office VIII, AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–6241 or (202) 482–3149, respectively. SUPPLEMENTARY INFORMATION : The Petition On March 18, 2025, the U.S. Department of Commerce (Commerce) received a countervailing duty (CVD) petition concerning imports of polypropylene corrugated boxes from the People’s Republic of China (China), filed in proper form on behalf of CoolSeal USA Inc., Inteplast Group Corporation, SeaCa Plastic Packaging, and Technology Container Corp. (the petitioners), domestic producers of polypropylene corrugated boxes. 1 The CVD Petition was accompanied by antidumping duty (AD) petitions concerning imports of polypropylene corrugated boxes from China and the Socialist Republic of Vietnam.2 Between March 20 and April 1, 2025, Commerce requested supplemental information pertaining to certain aspects of the Petition in supplemental questionnaires.3 Between March 25 and April 2, 2025, the petitioners filed timely responses to these requests for additional information. 4 VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00021 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15556 Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices IV of the Petition for the Imposition of Countervailing Duties,’’ dated March 25, 2025 (China CVD Supplement); ‘‘Petitioners’ Second Supplement to Volume I of the Petition for the Imposition of Antidumping and Countervailing Duties,’’ dated March 31, 2025 (Second General Issues Supplement); and ‘‘Petitioners’ Submission of Certifications,’’ dated April 2, 2025. 5 See section on ‘‘Determination of Industry Support for the Petition,’’ infra. 6 See 19 CFR 351.204(b)(2). 7 See First General Issues Questionnaire; see also March 28, 2025, Memorandum. 8 See First General Issues Supplement at 4–11 and Exhibit GEN–SUPP–1; see also Second General Issues Supplement at 2–5. 9 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997) (Preamble); see also 19 CFR 351.312. 10 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 11 See 19 CFR 351.303(b)(1). The deadline for scope comments falls on April 27, 2025, which is a Sunday. In accordance with 19 CFR 351.303(b)(1), Commerce will accept comments filed by 5:00 p.m. ET on April 28, 2025 (‘‘For both electronically filed and manually filed documents, if the applicable due date falls on a non-business day, the Secretary will accept documents that are filed on the next business day.’’). 12 See Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance; Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014), for details of Commerce’s electronic filing requirements, effective August 5, 2011. Information on using ACCESS can be found at https://access.trade.gov/ help.aspx and a handbook can be found at https:// access.trade.gov/help/Handbook_on_Electronic_ Filing_Procedures.pdf. 13 See Commerce’s Letter, ‘‘Invitation for Consultations to Discuss the Countervailing Duty Petition,’’ dated March 18, 2025. 14 See section 771(10) of the Act. In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), the petitioners allege that the Government of China (GOC) is providing countervailable subsidies, within the meaning of sections 701 and 771(5) of the Act, to producers of polypropylene corrugated boxes in China, and that such imports are materially injuring, or threatening material injury to, the domestic industry producing polypropylene corrugated boxes in the United States. Consistent with section 702(b)(1) of the Act and 19 CFR 351.202(b), for those alleged programs on which we are initiating a CVD investigation, the Petition was accompanied by information reasonably available to the petitioners supporting their allegations. Commerce finds that the petitioners filed the Petition on behalf of the domestic industry, because the petitioners are interested parties, as defined in section 771(9)(C) of the Act. Commerce also finds that the petitioners demonstrated sufficient industry support with respect to the initiation of the requested CVD investigation. 5 Period of Investigation (POI) Because the Petition was filed on March 18, 2025, the POI is January 1, 2024, through December 31, 2024.6 Scope of the Investigation The product covered by this investigation is polypropylene corrugated boxes from China. For a full description of the scope of this investigation, see the appendix to this notice. Comments on the Scope of the Investigation On March 20 and 28, 2025, Commerce requested information and clarification from the petitioners regarding the proposed scope to ensure that the scope language in the Petition is an accurate reflection of the products for which the domestic industry is seeking relief.7 On March 25 and 31, 2025, the petitioners provided clarifications and revised the scope.8 The description of merchandise covered by this investigation, as described in the appendix to this notice, reflects these clarifications. As discussed in the Preamble to Commerce’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (i.e., scope).9 Commerce will consider all scope comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determination. If scope comments include factual information, all such factual information should be limited to public information. 10 To facilitate preparation of its questionnaires, Commerce requests that scope comments be submitted by 5:00 p.m. Eastern Time (ET) on April 28, 2025, which is the next business day after 20 calendar days from the signature date of this notice.11 Any rebuttal comments, which may include factual information, and should also be limited to public information, must be filed by 5:00 p.m. ET on May 8, 2025, which is 10 calendar days from the initial comment deadline. Commerce requests that any factual information that parties consider relevant to the scope of this investigation be submitted during that period. However, if a party subsequently finds that additional factual information pertaining to the scope of the investigation may be relevant, the party must contact Commerce and request permission to submit the additional information. All scope comments must be filed simultaneously on the records of the concurrent AD and CVD investigations. Filing Requirements All submissions to Commerce must be filed electronically via Enforcement and Compliance’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), unless an exception applies.12 An electronically filed document must be received successfully in its entirety by the time and date it is due. Consultations Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce notified the GOC of the receipt of the Petition and provided an opportunity for consultations with respect to the Petition. 13 The GOC did not request consultations. Determination of Industry Support for the Petition Section 702(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 702(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) at least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, Commerce shall: (i) poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support using a statistically valid sampling method to poll the ‘‘industry.’’ Section 771(4)(A) of the Act defines the ‘‘industry’’ as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs Commerce to look to producers and workers who produce the domestic like product. The U.S. International Trade Commission (ITC), which is responsible for determining whether ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both Commerce and the ITC apply the same statutory definition regarding the domestic like product, 14 they do so for different purposes and pursuant to a separate and distinct authority. In VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00022 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15557Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 15 See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d Algoma Steel Corp., Ltd. v. United States, 865 F.2d 240 (Fed. Cir. 1989)). 16 See Petition at Volume I (pages 13–15); see also First General Issues Supplement at 13–17. 17 For a discussion of the domestic like product analysis as applied to this case and information regarding industry support, see Checklist, ‘‘Countervailing Duty Investigation Initiation Checklist: Polypropylene Corrugated Boxes from the People’s Republic of China,’’ dated concurrently with, and hereby adopted by, this notice (China CVD Initiation Checklist), at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petitions Covering Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam (Attachment II). This checklist is on file electronically via ACCESS. 18 For further discussion, see Attachment II of the China CVD Initiation Checklist. 19 Id. 20 Id. 21 Id.; see also section 702(c)(4)(D) of the Act. 22 See Attachment II of the China CVD Initiation Checklist. 23 Id. 24 Id. 25 For further information regarding negligibility and the injury allegation, see China CVD Initiation Checklist at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping Duty and Countervailing Duty Petitions Covering Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam (Attachment III). 26 Id. 27 Id. 28 See Petition at Volume I (page 12 and Exhibit GEN–5); see also First General Issues Supplement at 2–4. addition, Commerce’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law. 15 Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the petition). With regard to the domestic like product, the petitioners do not offer a definition of the domestic like product distinct from the scope of the investigation.16 Based on our analysis of the information submitted on the record, we have determined that polypropylene corrugated boxes, as defined in the scope, constitute a single domestic like product, and we have analyzed industry support in terms of that domestic like product.17 In determining whether the petitioners have standing under section 702(c)(4)(A) of the Act, we considered the industry support data contained in the Petition with reference to the domestic like product as defined in the ‘‘Scope of the Investigation,’’ in the appendix to this notice. To establish industry support, the petitioners provided their own 2024 production of the domestic like product and compared this to the estimated total production of the domestic like product in 2024 by the entire domestic industry. 18 We relied on data provided by the petitioners for purposes of measuring industry support. 19 Our review of the data provided in the Petition, the First General Issues Supplement, Second General Issues Supplement, and other information readily available to Commerce indicates that the petitioners have established industry support for the Petition.20 First, the Petition established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (e.g., polling). 21 Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petition account for at least 25 percent of the total production of the domestic like product. 22 Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petition account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petition.23 Accordingly, Commerce determines that the Petition was filed on behalf of the domestic industry within the meaning of section 702(b)(1) of the Act.24 Injury Test Because China is a ‘‘Subsidies Agreement Country’’ within the meaning of section 701(b) of the Act, section 701(a)(2) of the Act applies to this investigation. Accordingly, the ITC must determine whether imports of the subject merchandise from China materially injure, or threaten material injury to, a U.S. industry. Allegations and Evidence of Material Injury and Causation The petitioners allege that imports of the subject merchandise are benefiting from countervailable subsidies and that such imports are causing, or threaten to cause, material injury to the U.S. industry producing the domestic like product. In addition, the petitioners allege that subject imports from China exceed the negligibility threshold provided for under section 771(24)(A) of the Act.25 The petitioners contend that the industry’s injured condition is illustrated by a significant increase in the volume of subject imports; reduced market share; underselling and price depression and/or suppression; low capacity utilization rates; declines in profitability and operating income; and lost sales and revenues. 26 We assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, cumulation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence and meet the statutory requirements for initiation.27 Initiation of CVD Investigation Based upon the examination of the Petition and supplemental responses, we find that they meet the requirements of section 702 of the Act. Therefore, we are initiating a CVD investigation to determine whether imports of polypropylene corrugated boxes from China benefit from countervailable subsidies conferred by the GOC. In accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determination no later than 65 days after the date of this initiation. Based on our review of the Petition, we find that there is sufficient information to initiate a CVD investigation on 18 of the 18 programs alleged by the petitioners. For a full discussion of the basis for our decision to initiate on each program, see the China CVD Initiation Checklist. A public version of the initiation checklist for this investigation is available on ACCESS. Respondent Selection In the Petition, the petitioners identified 26 Companies in China as producers/exporters of polypropylene corrugated boxes.28 Commerce intends to follow its standard practice in CVD investigations and calculate company- specific subsidy rates in this investigation. In the event that Commerce determines that the number VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00023 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15558 Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 29 See Memorandum, ‘‘Release of U.S. Customs and Border Protection Entry Data,’’ dated April 2, 2025. 30 See section 703(a)(1) of the Act. 31 Id. 32 See 19 CFR 351.301(b). 33 See 19 CFR 351.301(b)(2). 34 See 19 CFR 351.302. 35 See 19 CFR 351.301; see also Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final Rule), available at https:// www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013- 22853.htm. 36 See section 782(b) of the Act. 37 See Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also frequently asked of companies is large and it cannot individually examine each company based on Commerce’s resources, Commerce intends to select mandatory respondents based on quantity and value (Q&V) questionnaires issued to the potential respondents. Commerce normally selects mandatory respondents in CVD investigations using U.S. Customs and Border Protection (CBP) entry data for U.S. imports under the appropriate Harmonized Tariff Schedule of the United States (HTSUS) subheading(s) listed in the ‘‘Scope of the Investigation’’ in the appendix. However, for this investigation, the main HTSUS subheading under which the subject merchandise would enter (3923.10.9000) is a basket category under which non-subject merchandise may also enter. Therefore, we cannot rely on CBP entry data in selecting respondents. Notwithstanding the decision to rely on Q&V questionnaires for respondent selection, due to the large number of Chinese producers and/ or exporters identified in the Petition, Commerce has determined to limit the number of Q&V questionnaires that it will issue to Chinese producers and/or exporters based on CBP data for polypropylene corrugated boxes from China during the POI under the appropriate HTSUS subheading listed in the ‘‘Scope of the Investigation,’’ in the appendix. 29 Accordingly, Commerce will issue Q&V questionnaires to the largest producers and/or exporters that are identified in the CBP entry data for which there is complete address information on the record. Commerce will post the Q&V questionnaires along with filing instructions on Commerce’s website at https://www.trade.gov/ec-adcvd-case- announcements. Producers/exporters of polypropylene corrugated boxes from China that do not receive Q&V questionnaires may still submit a response to the Q&V questionnaire and can obtain a copy of the Q&V questionnaire from Commerce’s website. Responses to the Q&V questionnaire must be submitted by the relevant producers/exporters no later than 5:00 p.m. ET on April 21, 2025, which is two weeks from the signature date of this notice. All Q&V questionnaire responses must be filed electronically via ACCESS. An electronically filed document must be received successfully, in its entirety, by ACCESS no later than 5:00 p.m. ET on the deadline noted above. Interested parties must submit applications for disclosure under administrative protective order (APO) in accordance with 19 CFR 351.305(b). Instructions for filing such applications may be found on Commerce’s website at https://www.trade.gov/administrative- protective-orders. Distribution of a Copy of the Petition In accordance with section 702(b)(4)(A) of the Act and 19 CFR 351.202(f), a copy of the public version of the Petition has been provided to the GOC via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petition to each exporter named in the Petition, as provided under 19 CFR 351.203(c)(2). ITC Notification Commerce will notify the ITC of its initiation, as required by section 702(d) of the Act. Preliminary Determination by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petition was filed, whether there is a reasonable indication that imports of polypropylene corrugated boxes from China are materially injuring, or threatening material injury to, a U.S. industry. 30 A negative ITC determination will result in the investigation being terminated.31 Otherwise, this CVD investigation will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors of production under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) evidence other than factual information described in (i)–(iv). Section 351.301(b) of Commerce’s regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 32 and, if the information is submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct.33 Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to submitting factual information in this investigation. Extensions of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by Commerce. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301, or as otherwise specified by Commerce.34 For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, Commerce may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in a letter or memorandum of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, standalone submission; under limited circumstances we will grant untimely filed requests for the extension of time limits, where we determine, based on 19 CFR 351.302, that extraordinary circumstances exist. Parties should review Commerce’s regulations concerning the extension of time limits and the Time Limits Final Rule prior to submitting factual information in this investigation.35 Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.36 Parties must use the certification formats provided in 19 CFR 351.303(g). 37 Commerce intends to VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00024 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15559Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices questions regarding the Final Rule, available at https://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 38 See Administrative Protective Order, Service, and Other Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR 67069 (September 29, 2023). 1 See Raw Honey from Brazil: Preliminary Results and Partial Recission of Antidumping Duty Administrative Review; 2021–2023, 89 FR 55582 (July 5, 2024) (Preliminary Results), and accompanying Preliminary Decision Memorandum. 2 See Preliminary Results at Appendices II and III. 3 See Memorandum, ‘‘Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,’’ dated July 22, 2024. 4 See Memorandum, ‘‘Extension of Deadline for Final Results of Antidumping Duty Administrative Review,’’ dated October 23, 2024. 5 See Memorandum, ‘‘Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,’’ dated December 9, 2024. 6 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Results of the Antidumping Duty Administrative Review of Raw Honey from Brazil; 2021–2023,’’ dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum). 7 See Raw Honey from Argentina, Brazil, India, and the Socialist Republic of Vietnam: Antidumping Duty Orders, 87 FR 35501 (June 10, 2022) (Order), as amended by See Raw Honey from Brazil: Notice of Court Decision Not in Harmony With the Final Determination of Antidumping Duty Investigation; Notice of Amended Final Determination; Notice of Amended Antidumping Duty Order, 90 FR 9225 (February 10, 2025) (Amended Final). reject factual submissions if the submitting party does not comply with the applicable certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. Parties wishing to participate in this investigation should ensure that they meet the requirements of 19 CFR 351.103(d) (e.g., by filing the required letters of appearance). Note that Commerce has amended certain of its requirements pertaining to the service of documents in 19 CFR 351.303(f).38 This notice is issued and published pursuant to sections 702 and 777(i) of the Act, and 19 CFR 351.203(c). Dated: April 7, 2025. Christopher Abbott, Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix Scope of the Investigation The merchandise covered by this investigation is polypropylene corrugated boxes. Polypropylene corrugated boxes are boxes, bins, totes, or other load-bearing containers made for holding goods, that are made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene fluted sheets, polypropylene twin wall sheets, or multi wall sheets. Such polypropylene sheets are ‘‘corrugated,’’ ‘‘fluted,’’ or ‘‘hollow core,’’ meaning the inside of the sheet contains channels or pockets of air which make the sheets lightweight, while retaining strength and durability. Polypropylene corrugated boxes are typically produced from a plastic resin consisting of 50 percent or more polypropylene. Polypropylene corrugated boxes are covered by the scope irrespective of the particular mix of polypropylene homo- polymer, polypropylene co-polymer, recycled or virgin polypropylene, or ancillary chemicals such as electrostatic agents or flame retardants. Polypropylene corrugated boxes are formed by corrugated polypropylene sheets cut to length, die-cut into specific box shapes, and may be cut or scored to allow each side of the box to be folded into shape. Polypropylene corrugated boxes may include a tab or attached portion of polypropylene corrugated sheet (commonly referred to as a ‘‘manufacturer’s joint’’) that has been cut, slotted, or scored to facilitate the formation of the box by stapling, gluing, welding, or taping the sides together to form a tight seal. One-piece polypropylene corrugated boxes are die-cut or otherwise formed so that the top, bottom, and sides form a single, contiguous unit. Two-piece polypropylene corrugated boxes are those with a folded bottom and a folded top as separate pieces. Multi-piece polypropylene corrugated boxes are those with separate bottoms and tops that are fitted to a single folded piece comprising the sides of the box. Polypropylene corrugated boxes may be printed with ink or digital designs. The subject merchandise includes polypropylene corrugated boxes with or without handles, with or without lids or tops, with or without reinforcing wire, whether in a one-piece, two-piece, or multi-piece configuration, and whether folded into shape or in an unfolded form. The subject merchandise includes all polypropylene corrugated boxes regardless of size, shape, or dimension. The subject merchandise also includes polypropylene corrugated box lids or tops when imported separately from polypropylene corrugated boxes. The products subject to this investigation are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under statistical reporting number 3923.10.9000. Although the HTSUS statistical reporting number is provided for convenience and customs purposes, the written description of the merchandise is dispositive. [FR Doc. 2025–06284 Filed 4–11–25; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–351–857] Raw Honey From Brazil: Final Results of Antidumping Duty Administrative Review, 2021–2023 AGENCY : Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY : The U.S. Department of Commerce (Commerce) determines that raw honey from Brazil was sold in the United States at prices below normal value. The period of review (POR) is November 23, 2021, through May 31, 2023. DATES : Applicable April 14, 2025. FOR FURTHER INFORMATION CONTACT : Rachel Jennings or John Frye, AD/CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–1110 or (202) 482–3035, respectively. SUPPLEMENTARY INFORMATION : Background On July 5, 2024, Commerce published the preliminary results of this review and invited parties to comment. 1 This administrative review covers 18 producers/exporters of raw honey from Brazil.2 Commerce selected two respondents for individual examination, Apis Nativa Agroindustrial Exportadora Ltda. (Apis Nativa) and Melbras Importadora E Exportadora Agroindustrial Ltda. (Melbras). On July 22, 2024, Commerce tolled certain deadlines in this administrative proceeding by seven days. 3 On October 23, 2024, Commerce extended the final results of this review by 60 days. 4 On December 9, 2024, Commerce tolled the deadline to issue the final results in this administrative review by an additional 90 days, to April 8, 2025.5 For a complete description the events that occurred since the Preliminary Results, see the Issues and Decision Memorandum. 6 Commerce conducted this review in accordance with section 751 of the Tariff Act of 1930, as amended (the Act). Scope of the Order 7 The merchandise covered this Order is raw honey from Brazil. For a complete description of the scope of the Order, see the Issues and Decision Memorandum. Analysis of Comments Received All issues raised in the case and rebuttal briefs are addressed in the Issues and Decision Memorandum. A list of the issues that parties raised, and to which we responded in the Issues and Decision Memorandum, is provided in Appendix I. The Issues and Decision Memorandum is a public document and VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00025 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 ──────────────────────────────────────────────────────────── === Initiation – AD === 15544 Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 1 See Petitioners’ Letter, ‘‘Petition for the Imposition of Antidumping and Countervailing Duties,’’ dated March 18, 2025 (Petitions). 2 Id. 3 See Commerce’s Letters, ‘‘Supplemental Questions,’’ dated March 20, 2025 (First General Issues Questionnaire) and Country-Specific Supplemental Questionnaires: China Supplemental and Vietnam Supplemental, dated March 20, 2025; see also Memoranda, ‘‘Phone Call with Counsel to the Petitioners,’’ dated March 28, 2025 (March 28 General Issues and China AD Memorandum); ‘‘Phone Call with Counsel to the Petitioners,’’ dated March 28, 2025; and Memorandum, ‘‘Phone Call with Counsel to the Petitioners,’’ dated April 1, 2025. 4 See Petitioners’ Letters, ‘‘Petitioners’ Supplement to Volume I of the Petition for the Imposition of Antidumping and Countervailing Duties,’’ dated March 25, 2025 (First General Issues Supplement); see also ‘‘Country-Specific AD Supplemental Response: First China AD Supplement,’’ dated March 25, 2025; ‘‘Country- Specific AD Supplemental Response: First Vietnam AD Supplement,’’ dated March 26, 2025; ‘‘Petitioners’ Second Supplement to Volume I of the Petition for the Imposition of Antidumping Duties,’’ dated March 31, 2025 (Second General Issues Supplement); ‘‘Petitioners’ Second Supplement to Volume III of the Petition for the Imposition of Antidumping Duties,’’ dated March 31, 2025, and ‘‘Petitioners’ Submission of Certifications,’’ dated April 2, 2025. 5 See section on ‘‘Determination of Industry Support for the Petitions,’’ infra. 6 See First General Issues Questionnaire; see also March 28 General Issues and China AD Memorandum. 7 See First General Issues Supplement at 4–11 and Exhibit GEN–SUPP–1; see also Second General Issues Supplement at 2–5. 8 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997) (Preamble); see also 19 CFR 351.312. 9 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). 10 See 19 CFR 351.303(b)(1). The deadline for scope comments falls on April 27, 2025, which is a Sunday. In accordance with 19 CFR 351.303(b)(1), Commerce will accept comments filed by 5:00 p.m. ET on April 28, 2025 (‘‘For both electronically filed and manually filed documents, if the applicable due date falls on a non-business day, the Secretary will accept documents that are filed on the next business day.’’). DEPARTMENT OF COMMERCE International Trade Administration [A–570–203, A–552–850] Polypropylene Corrugated Boxes From the People’s Republic of China and the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-Value Investigations AGENCY : Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES : Applicable April 7, 2025. FOR FURTHER INFORMATION CONTACT : Brian Warnes (the People’s Republic of China (China)) and Alexander Cipolla (the Socialist Republic of Vietnam (Vietnam)), AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0028 and (202) 482–4956, respectively. SUPPLEMENTARY INFORMATION : The Petitions On March 18, 2025, the U.S. Department of Commerce (Commerce) received antidumping duty (AD) petitions concerning imports of polypropylene corrugated boxes from China and Vietnam filed in proper form on behalf of CoolSeal USA Inc., Inteplast Group Corporation, SeaCa Plastic Packaging, and Technology Container Corp. (the petitioners), domestic producers of polypropylene corrugated boxes. 1 The AD Petitions were accompanied by a countervailing duty (CVD) petition concerning imports of polypropylene corrugated boxes from China. 2 On March 20 and 28, 2025, Commerce requested supplemental information pertaining to certain aspects of the Petitions in supplemental questionnaires. 3 On March 25, 26, and 31, 2025, the petitioners filed timely responses to these requests for additional information. 4 In accordance with section 732(b) of the Tariff Act of 1930, as amended (the Act), the petitioners allege that imports of polypropylene corrugated boxes from China and Vietnam are being, or are likely to be, sold in the United States at less than fair value (LTFV) within the meaning of section 731 of the Act, and that imports of such products are materially injuring, or threatening material injury to, the polypropylene corrugated boxes industry in the United States. Consistent with section 732(b)(1) of the Act, the Petitions were accompanied by information reasonably available to the petitioners supporting their allegations. Commerce finds that the petitioners filed the Petitions on behalf of the domestic industry, because the petitioners are interested parties, as defined in section 771(9)(C) of the Act. Commerce also finds that the petitioners demonstrated sufficient industry support for the initiation of the requested LTFV investigations. 5 Period of Investigation (POI) Because the Petitions were filed on March 18, 2025, and because China and Vietnam are non-market economy (NME) countries, pursuant to 19 CFR 351.204(b)(1), the POI for the China and Vietnam LTFV investigations is July 1, 2024, through December 31, 2024. Scope of the Investigations The products covered by these investigations are polypropylene corrugated boxes from China and Vietnam. For a full description of the scope of these investigations, see the appendix to this notice. Comments on the Scope of the Investigations On March 20 and 28, 2025, Commerce requested information and clarification from the petitioners regarding the proposed scope to ensure that the scope language in the Petitions is an accurate reflection of the products for which the domestic industry is seeking relief.6 On March 25 and 31, 2025, the petitioners provided clarifications and revised the scope.7 The description of merchandise covered by these investigations, as described in the appendix to this notice, reflects these clarifications. As discussed in the Preamble to Commerce’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (i.e., scope).8 Commerce will consider all scope comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determinations. If scope comments include factual information, 9 all such factual information should be limited to public information. To facilitate preparation of its questionnaires, Commerce requests that scope comments be submitted by 5:00 p.m. Eastern Time (ET) on April 28, 2025, which is the next business day after 20 calendar days from the signature date of this notice.10 Any rebuttal comments, which may include factual information, and should also be limited to public information, must be filed by 5:00 p.m. ET on May 8, 2025, which is 10 calendar days from the initial comment deadline. Commerce requests that any factual information that parties consider relevant to the scope of these investigations be submitted during that period. However, if a party subsequently finds that additional factual information pertaining to the scope of the investigations may be relevant, the party must contact Commerce and request permission to submit the additional information. All scope comments must be filed simultaneously on the records of the concurrent LTFV and CVD investigations. Filing Requirements All submissions to Commerce must be filed electronically via Enforcement and VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00010 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15545Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 11 See Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance: Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014) for details of Commerce’s electronic filing requirements, effective August 5, 2011. Information on using ACCESS can be found at https://access.trade.gov/ help.aspx and a handbook can be found at https:// access.trade.gov/help/Handbook_on_Electronic_ Filing_Procedures.pdf. 12 See 19 CFR 351.303(b)(1). The deadline for product characteristics comments falls on April 27, 2025, which is a Sunday. In accordance with 19 CFR 351.303(b)(1), Commerce will accept comments filed by 5:00 p.m. ET on April 28, 2025 (‘‘For both electronically filed and manually filed documents, if the applicable due date falls on a non-business day, the Secretary will accept documents that are filed on the next business day.’’). 13 See section 771(10) of the Act. 14 See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d 865 F.2d 240 (Fed. Cir. 1989)). 15 See Petitions at Volume I (pages 13–15); see also First General Issues Supplement at 13–17. 16 For a discussion of the domestic like product analysis as applied to these cases and information regarding industry support, see Checklists, ‘‘Antidumping Duty Investigation Initiation Checklists: Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam,’’ dated concurrently with, and hereby adopted by, this notice (Country-Specific AD Initiation Checklists), at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petitions Covering Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam (Attachment II). These checklists are on file electronically via ACCESS. 17 For further discussion, see Attachment II of the Country-Specific AD Initiation Checklists. 18 Id. 19 Id. 20 Id.; see also section 732(c)(4)(D) of the Act. Compliance’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), unless an exception applies.11 An electronically filed document must be received successfully in its entirety by the time and date it is due. Comments on Product Characteristics Commerce is providing interested parties an opportunity to comment on the appropriate physical characteristics of polypropylene corrugated boxes to be reported in response to Commerce’s AD questionnaires. This information will be used to identify the key physical characteristics of the subject merchandise in order to report the relevant factors of production (FOPs) accurately, as well as to develop appropriate product comparison criteria. Interested parties may provide any information or comments that they feel are relevant to the development of an accurate list of physical characteristics. In order to consider the suggestions of interested parties in developing and issuing the AD questionnaires, all product characteristics comments must be filed by 5:00 p.m. ET on April 28, 2025, which is the next business day after 20 calendar days from the signature date of this notice.12 Any rebuttal comments, which may include factual information, and should also be limited to public information, must be filed by 5:00 p.m. ET on May 8, 2025, which is 10 calendar days from the initial comment deadline. All comments and submissions to Commerce must be filed electronically using ACCESS, as explained above, on the record of the each of the LTFV investigations. Determination of Industry Support for the Petitions Section 732(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 732(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) at least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, Commerce shall: (i) poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support using a statistically valid sampling method to poll the ‘‘industry.’’ Section 771(4)(A) of the Act defines the ‘‘industry’’ as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs Commerce to look to producers and workers who produce the domestic like product. The U.S. International Trade Commission (ITC), which is responsible for determining whether ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both Commerce and the ITC must apply the same statutory definition regarding the domestic like product,13 they do so for different purposes and pursuant to a separate and distinct authority. In addition, Commerce’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law. 14 Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the petition). With regard to the domestic like product, the petitioners do not offer a definition of the domestic like product distinct from the scope of the investigations.15 Based on our analysis of the information submitted on the record, we have determined that polypropylene corrugated boxes, as defined in the scope, constitute a single domestic like product, and we have analyzed industry support in terms of that domestic like product.16 In determining whether the petitioners have standing under section 732(c)(4)(A) of the Act, we considered the industry support data contained in the Petitions with reference to the domestic like product as defined in the ‘‘Scope of the Investigations,’’ in the appendix to this notice. To establish industry support, the petitioners provided their own 2024 production and compared this to the estimated total production of the domestic like product for the entire domestic industry. 17 We relied on data provided by the petitioners for purposes of measuring industry support. 18 Our review of the data provided in the Petitions, the First General Issues Supplement, Second General Issues Supplement, and other information readily available to Commerce indicates that the petitioners have established industry support for the Petitions. 19 First, the Petitions established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (e.g., polling).20 Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 732(c)(4)(A)(i) of the Act VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00011 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15546 Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 21 See Attachment II of the Country-Specific AD Initiation Checklists. 22 Id. 23 Id. 24 For further discussion, see Country-Specific AD Initiation Checklists at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and Countervailing Duty Petitions Covering Polypropylene Corrugated Boxes from the People’s Republic of China and the Socialist Republic of Vietnam. 25 Id. 26 Id. 27 See Country-Specific AD Initiation Checklists. 28 Id. 29 See, e.g., Certain Freight Rail Couplers and Parts Thereof from the People’s Republic of China: Preliminary Affirmative Determination of Sales at Less Than Fair Value and Preliminary Affirmative Determination of Critical Circumstances, 88 FR 15372 (March 13, 2023), and accompanying Preliminary Decision Memorandum at 5, unchanged in Certain Freight Rail Couplers and Parts Thereof from the People’s Republic of China: Final Affirmative Determination of Sales at Less- Than-Fair Value and Final Affirmative Determination of Critical Circumstances, 88 FR 34485 (May 30, 2023); see also, e.g., Raw Honey from the Socialist Republic of Vietnam: Final Results of Antidumping Duty Changed Circumstances Review, 89 FR 64411 (August 7, 2024), and accompanying NME Analysis Memorandum at 5. 30 See China AD Initiation Checklist. 31 Id. 32 See, e.g., Certain Collated Steel Staples from the People’s Republic of China: Final Results of Antidumping Duty Administrative Review; and Final Determination of No Shipments; 2021–2022, 88 FR 85242 (December 7, 2023), and accompanying Issues and Decision Memorandum (IDM) at Comment 2; and Light-Walled Rectangular Pipe and Tube from the People’s Republic of China: Final Results of Antidumping Duty Administrative Review, 88 FR 15671 (March 14, 2023), and accompanying IDM at Comment 2. 33 See China AD Initiation Checklist. 34 See Vietnam AD Initiation Checklist. 35 Id. 36 See Country-Specific AD Initiation Checklists. 37 Id. because the domestic producers (or workers) who support the Petitions account for at least 25 percent of the total production of the domestic like product. 21 Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 732(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petitions account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petitions.22 Accordingly, Commerce determines that the Petitions were filed on behalf of the domestic industry within the meaning of section 732(b)(1) of the Act.23 Allegations and Evidence of Material Injury and Causation The petitioners allege that the U.S. industry producing the domestic like product is being materially injured, or is threatened with material injury, by reason of the imports of the subject merchandise sold at LTFV. In addition, the petitioners allege that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.24 The petitioners contend that the industry’s injured condition is illustrated by a significant increase in the volume of subject imports; reduced market share; underselling and price depression and/or suppression; low capacity utilization rates; declines in profitability and operating income; and lost sales and revenues. 25 We assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.26 Allegations of Sales at LTFV The following is a description of the allegations of sales at LTFV upon which Commerce based its decision to initiate LTFV investigations of imports of polypropylene corrugated boxes from China and Vietnam. The sources of data for the deductions and adjustments relating to U.S. price and normal value (NV) are discussed in greater detail in the Country-Specific AD Initiation Checklists. U.S. Price For China and Vietnam, the petitioners based export price (EP) on pricing information for polypropylene corrugated boxes produced in each country and sold or offered for sale in the U.S. market during the POI.27 For each country, the petitioners made certain adjustments to U.S. price to calculate a net ex-factory U.S. price, where applicable.28 Normal Value Commerce considers China and Vietnam to be NME countries. 29 In accordance with section 771(18)(C)(i) of the Act, any determination that a foreign country is an NME country shall remain in effect until revoked by Commerce. Therefore, we continue to treat China and Vietnam as NME countries for purposes of the initiation of these LTFV investigations. Accordingly, we base NV on FOPs valued in surrogate market economy countries in accordance with section 773(c) of the Act. The petitioners claim that Malaysia is an appropriate surrogate country for China because it is a market economy that is at a level of economic development comparable to that of China and is a significant producer of comparable merchandise. 30 The petitioners provided publicly available information from Malaysia to value all FOPs except labor.31 Consistent with Commerce’s recent practice in cases involving Malaysia as a surrogate country, 32 to value labor, the petitioners provided data from another surrogate country, the Republic of Tu¨ rkiye (Tu¨ rkiye). 33 Based on the information provided by the petitioners, we believe it is appropriate to use Malaysia as a surrogate country for China to value all FOPs except labor and Tu¨ rkiye to value labor for initiation purposes. The petitioners claim that Indonesia is an appropriate surrogate country for Vietnam because it is a market economy that is at a level of economic development comparable to that of Vietnam and is a significant producer of comparable merchandise.34 The petitioners provided publicly available information from Indonesia to value all FOPs.35 Based on the information provided by the petitioners, we believe it is appropriate to use Indonesia as a surrogate country for Vietnam to value all FOPs for initiation purposes. Interested parties will have the opportunity to submit comments regarding surrogate country selection and, pursuant to 19 CFR 351.301(c)(3)(i), will be provided an opportunity to submit publicly available information to value FOPs within 30 days before the scheduled date of the preliminary determinations. Factors of Production Because information regarding the volume of inputs consumed by Chinese and Vietnamese producers/exporters was not reasonably available, the petitioners used the production experience and product-specific consumption rates of a U.S. producer of polypropylene corrugated boxes as a surrogate to value Chinese and Vietnamese manufacturers’ FOPs. 36 Additionally, the petitioners calculated factory overhead, selling, general, and administrative expenses, and profit based on the experience of Malaysian and Indonesian producers of identical and comparable merchandise, respectively.37 Fair Value Comparisons Based on the data provided by the petitioners, there is reason to believe that imports of polypropylene corrugated boxes from China and Vietnam are being, or are likely to be, sold in the United States at LTFV. Based on comparisons of EP to NV in VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00012 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15547Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 38 Id. 39 See Petitions at Volume I (page 12 and Exhibit GEN–5); see also First General Issues Supplement at 2–4. 40 See Memorandum, ‘‘Release of U.S. Customs and Border Protection Entry Data,’’ dated April 2, 2025. 41 See Regulations Enhancing the Administration of the Antidumping and Countervailing Duty Trade Remedy Laws, 89 FR 101694, 101759–60 (December 16, 2024). 42 See 19 CFR 351.108(d)(1). 43 See 19 CFR 351.108(e). 44 See Enforcement and Compliance’s Policy Bulletin No. 05.1, regarding, ‘‘Separate-Rates Practice and Application of Combination Rates in Antidumping Investigation involving NME Countries,’’ (April 5, 2005), at 6 (emphasis added), available on Commerce’s website at https:// access.trade.gov/Resources/policy/bull05-1.pdf. accordance with sections 772 and 773 of the Act, the estimated dumping margins for polypropylene corrugated boxes from each of the countries covered by this initiation are as follows: (1) China— 74.98 to 83.64 percent; (2) and Vietnam—52.07 percent. 38 Initiation of LTFV Investigations Based upon the examination of the Petitions and supplemental responses, we find that they meet the requirements of section 732 of the Act. Therefore, we are initiating LTFV investigations to determine whether imports of polypropylene corrugated boxes from China and Vietnam are being, or are likely to be, sold in the United States at LTFV. In accordance with section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determinations no later than 140 days after the date of these initiations. Respondent Selection In the Petitions, the petitioner identified 26 companies in China and seven companies in Vietnam as producers and/or exporters of polypropylene corrugated boxes. 39 Our standard practice for respondent selection in AD investigations involving NME countries is to select respondents based on quantity and value (Q&V) questionnaires in cases where Commerce has determined that the number of companies is large, and it cannot individually examine each company based upon its resources. Therefore, considering the number of producers and/or exporters identified in the Petition, Commerce will solicit Q&V information that can serve as a basis for selecting exporters for individual examination in the event that Commerce determines that the number is large and decides to limit the number of respondents individually examined pursuant to section 777A(c)(2) of the Act. Because there are 26 Chinese producers and/or exporters identified in the Petitions, Commerce has determined that it will issue Q&V questionnaires to the largest producers and/or exporters in China that are identified in the U.S. Customs and Border Protection POI entry data for which there is complete address information on the record. 40 For Vietnam, because there are seven producers and/or exporters identified in the Petitions, Commerce will issue a Q&V questionnaire to each potential respondent in Vietnam for which there is complete address information on the record. Commerce will post the Q&V questionnaires along with filing instructions on Commerce’s website at https://www.trade.gov/ec-adcvd-case- announcements. Producers/exporters of polypropylene corrugated boxes from China and Vietnam that do not receive Q&V questionnaires may still submit a response to the Q&V questionnaire and can obtain a copy of the Q&V questionnaire from Commerce’s website. Responses to the Q&V questionnaire must be submitted by the relevant Chinese and Vietnamese producers/ exporters no later than 5:00 p.m. ET on April 21, 2025, which is two weeks from the signature date of this notice. All Q&V questionnaire responses must be filed electronically via ACCESS. An electronically filed document must be received successfully, in its entirety, by ACCESS no later than 5:00 p.m. ET on the deadline noted above. Interested parties must submit applications for disclosure under administrative protective order (APO) in accordance with 19 CFR 351.305(b). As stated above, instructions for filing such applications may be found on Commerce’s website at https:// www.trade.gov/administrative- protective-orders. Separate Rates In order to obtain separate rate status in an NME investigation, exporters and producers must submit a separate rate application. The specific requirements for submitting a separate rate application in an NME investigation are outlined in detail in the application itself, which is available on Commerce’s website at https://access.trade.gov/ Resources/nme/nme-sep-rate.html. Note that Commerce recently promulgated new regulations pertaining to separate rates, including the separate rate application deadline and eligibility for separate rate status, in 19 CFR 351.108.41 Pursuant to 19 CFR 351.108(d)(1), the separate rate application will be due 21 days after publication of this initiation notice.42 Exporters and producers must file a timely separate rate application if they want to be considered for individual examination. In addition, pursuant to 19 CFR 351.108(e), exporters and producers who submit a separate rate application and have been selected as mandatory respondents will be eligible for consideration for separate rate status only if they fully respond to all parts of Commerce’s AD questionnaire and participate in the LTFV proceeding as mandatory respondents.43 Commerce requires that companies from Vietnam submit a response both to the Q&V questionnaire and to the separate rate application by the respective deadlines to receive consideration for separate rate status. Companies not filing a timely Q&V questionnaire response will not receive separate rate consideration. Use of Combination Rates Commerce will calculate combination rates for certain respondents that are eligible for a separate rate in an NME investigation. The Separate Rates and Combination Rates Bulletin states: {w}hile continuing the practice of assigning separate rates only to exporters, all separate rates that {Commerce} will now assign in its NME investigation will be specific to those producers that supplied the exporter during the period of investigation. Note, however, that one rate is calculated for the exporter and all of the producers which supplied subject merchandise to it during the period of investigation. This practice applies both to mandatory respondents receiving an individually calculated separate rate as well as the pool of non-investigated firms receiving the {weighted average} of the individually calculated rates. This practice is referred to as the application of ‘‘combination rates’’ because such rates apply to specific combinations of exporters and one or more producers. The cash-deposit rate assigned to an exporter will apply only to merchandise both exported by the firm in question and produced by a firm that supplied the exporter during the period of investigation.44 Distribution of Copies of the Petitions In accordance with section 732(b)(3)(A) of the Act and 19 CFR 351.202(f), a copy of the public version of the Petitions has been provided to the governments of China and Vietnam via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petitions to each exporter named in the Petitions, as provided under 19 CFR 351.203(c)(2). ITC Notification Commerce will notify the ITC of our initiation, as required by section 732(d) of the Act. VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15548 Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 45 See section 733(a) of the Act. 46 Id. 47 See 19 CFR 351.301(b). 48 See 19 CFR 351.301(b)(2). 49 See 19 CFR 351.301; see also Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final Rule), available at https:// www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013- 22853.htm. 50 See 19 CFR 351.302; see also, e.g., Time Limits Final Rule. 51 See section 782(b) of the Act. 52 See Certification of Factual Information to Import Administration During Antidumping and Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Additional information regarding the Final Rule is available at https:// access.trade.gov/Resources/filing/index.html. 53 See Administrative Protective Order, Service, and Other Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR 67069 (September 29, 2023). Preliminary Determinations by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petitions were filed, whether there is a reasonable indication that imports of polypropylene corrugated boxes from China and/or Vietnam are materially injuring, or threatening material injury to, a U.S. industry.45 A negative ITC determination for any country will result in the investigation being terminated with respect to that country.46 Otherwise, these LTFV investigations will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) evidence other than factual information described in (i)–(iv). Section 351.301(b) of Commerce’s regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 47 and, if the information is submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct. 48 Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to submitting factual information in these investigations. Extensions of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by Commerce. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301, or as otherwise specified by Commerce.49 For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, Commerce may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in a letter or memorandum of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, standalone submission; under limited circumstances we will grant untimely filed requests for the extension of time limits, where we determine, based on 19 CFR 351.302, that extraordinary circumstances exist. Parties should review Commerce’s regulations concerning the extension of time limits and the Time Limits Final Rule prior to submitting factual information in these investigations.50 Certification Requirements Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.51 Parties must use the certification formats provided in 19 CFR 351.303(g). 52 Commerce intends to reject factual submissions if the submitting party does not comply with the applicable certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. Parties wishing to participate in these investigations should ensure that they meet the requirements of 19 CFR 351.103(d) (e.g., by filing the required letter of appearance). Note that Commerce has amended certain of its requirements pertaining to the service of documents in 19 CFR 351.303(f). 53 This notice is issued and published pursuant to sections 732(c)(2) and 777(i) of the Act, and 19 CFR 351.203(c). Dated: April 7, 2025. Christopher Abbott, Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance. Appendix Scope of the Investigations The merchandise covered by these investigations is polypropylene corrugated boxes. Polypropylene corrugated boxes are boxes, bins, totes, or other load-bearing containers made for holding goods, that are made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene fluted sheets, polypropylene twin wall sheets, or multi wall sheets. Such polypropylene sheets are ‘‘corrugated,’’ ‘‘fluted,’’ or ‘‘hollow core,’’ meaning the inside of the sheet contains channels or pockets of air which make the sheets lightweight, while retaining strength and durability. Polypropylene corrugated boxes are typically produced from a plastic resin consisting of 50 percent or more polypropylene. Polypropylene corrugated boxes are covered by the scope irrespective of the particular mix of polypropylene homo- polymer, polypropylene co-polymer, recycled or virgin polypropylene, or ancillary chemicals such as electrostatic agents or flame retardants. Polypropylene corrugated boxes are formed by corrugated polypropylene sheets cut to length, die-cut into specific box shapes, and may be cut or scored to allow each side of the box to be folded into shape. Polypropylene corrugated boxes may include a tab or attached portion of polypropylene corrugated sheet (commonly referred to as a ‘‘manufacturer’s joint’’) that has been cut, slotted, or scored to facilitate the formation of the box by stapling, gluing, welding, or taping the sides together to form a tight seal. One-piece polypropylene corrugated boxes are die-cut or otherwise formed so that the top, bottom, and sides form a single, contiguous unit. Two-piece polypropylene corrugated boxes are those with a folded bottom and a folded top as separate pieces. Multi-piece polypropylene corrugated boxes are those with separate bottoms and tops that are fitted to a single folded piece comprising the sides of the box. Polypropylene corrugated boxes may be printed with ink or digital designs. VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1 15549Federal Register / Vol. 90, No. 70 / Monday, April 14, 2025 / Notices 1 See Raw Honey from Argentina, Brazil, India, and the Socialist Republic of Vietnam: Antidumping Duty Orders, 87 FR 35501 (June 10, 2022) (Order). 2 See Raw Honey from Argentina: Preliminary Results and Rescission, in Part, of Antidumping Duty Administrative Review; 2021–2023, 89 FR 55915 (July 8, 2024) (Preliminary Results). 3 See Memorandum, ‘‘Respondent Selection,’’ dated August 29, 2023. 4 See Preliminary Results, 89 FR at 55915. 5 See Memorandum, ‘‘Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,’’ dated July 22, 2024. 6 See Memorandum, ‘‘Extension of Deadline for Final Results of Antidumping Duty Administrative Review,’’ dated October 28, 2024. 7 See Memorandum, ‘‘Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,’’ dated December 9, 2024. 8 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Results of the Antidumping Duty Administrative Review of Raw Honey from Argentina; 2021–2023,’’ dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum). The subject merchandise includes polypropylene corrugated boxes with or without handles, with or without lids or tops, with or without reinforcing wire, whether in a one-piece, two-piece, or multi-piece configuration, and whether folded into shape or in an unfolded form. The subject merchandise includes all polypropylene corrugated boxes regardless of size, shape, or dimension. The subject merchandise also includes polypropylene corrugated box lids or tops when imported separately from polypropylene corrugated boxes. The products subject to these investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under statistical reporting number 3923.10.9000. Although the HTSUS statistical reporting number is provided for convenience and customs purposes, the written description of the merchandise is dispositive. [FR Doc. 2025–06285 Filed 4–11–25; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–357–823] Raw Honey From Argentina: Final Results of Antidumping Duty Administrative Review; 2021–2023 AGENCY : Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY : The U.S. Department of Commerce (Commerce) determines that producers and exporters subject to this administrative review made sales of subject merchandise at less than normal value during the period of review (POR), November 23, 2021, through May 31, 2023. DATES : Applicable April 14, 2025. FOR FURTHER INFORMATION CONTACT : Thomas Martin or Zachary Shaykin, AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–3936 or (202) 482–2638, respectively. SUPPLEMENTARY INFORMATION : Background On July 8, 2024, Commerce published the preliminary results of the 2022–2023 administrative review of the antidumping duty (AD) order on raw honey from Argentina 1 and invited interested parties to Comment. 2 The review covers 24 producers or exporters of the subject merchandise. Commerce selected two exporters, Asociacio´ n De Cooperativas Argentinas Cooperativa Limitada (ACA) and NEXCO S.A. (NEXCO), for individual examination.3 Commerce rescinded this review with respect to five exporters in the Preliminary Results.4 The remaining companies not selected for individual examination are listed in Appendix II of this notice. On July 22, 2024, Commerce tolled certain deadlines in this administrative review by seven days. 5 On October 28, 2024, we extended the deadline for the final results of this review by 60 days. 6 On December 9, 2024, Commerce tolled certain deadlines in this administrative proceeding by an additional 90 days. 7 Accordingly, the deadline for these final results is now April 8, 2025. A summary of events that occurred since publication of the Preliminary Results, as well as a full discussion of the issues raised by interested parties for these final results, are included in the Issues and Decision Memorandum.8 Commerce conducted this administrative review in accordance with section 751(a)(1)(B) of the Tariff Act of 1930, as amended (the Act). Scope of the Order The merchandise covered by the Order is raw honey from Argentina. For a complete description of the scope of the Order, see the Issues and Decision Memorandum. Analysis of Comments Received All issues raised in case and rebuttal briefs are addressed in the Issues and Decision Memorandum and are listed in 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 https:// access.trade.gov. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at https://access.trade/gov/public/ FRNoticesListLayout.aspx. Changes Since the Preliminary Results We made certain changes to the calculation of constructed value and inventory carrying costs from the Preliminary Results. The Issues and Decision Memorandum contains a description of these changes. For further discussion of Commerce’s analysis regarding these changes, see Issues and Decision Memorandum at Comments 1 and 4. Rate for Non-Examined Companies For the weighted-average dumping margin assigned to companies not selected for individual examination in an administrative review, Commerce, generally, looks to section 735(c)(5) of the Act which provides instructions for calculating the estimated weighted- average dumping margin for all other producers and exporters, i.e., the all- others rate, in an investigation. Under section 735(c)(5)(A) of the Act, the all- others rate is normally ‘‘an amount equal to the weighted average of the estimated weighted-average dumping margins established for exporters and producers individually investigated, excluding any zero or de minimis margins, and any margins determined entirely {on the basis of facts available}.’’ Under section 735(c)(5)(B) of the Act, if the estimated weighted- average dumping margins established for all exporters and producers individually investigated are zero or de minimis, or are determined entirely based on facts otherwise available, then Commerce may use any reasonable method to establish the estimated all- others rate for exporters and producers not individually investigated, including averaging the estimated weighted- average dumping margins determined for the exporters and producers individually investigated. In this administrative review, we calculated weighted-average dumping margins for ACA and NEXCO that are not zero, de minimis (i.e., less than 0.5 percent), or determined entirely on the facts available. Accordingly, consistent with section 735(c)(5)(A) of the Act, Commerce is assigning to the companies not individually examined a margin of 4.70 percent, which is the weighted average of ACA and NEXCO’s margin VerDate Sep<11>2014 18:10 Apr 11, 2025 Jkt 265001 PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 E:\FR\FM\14APN1.SGM 14APN1 ddrumheller on DSK120RN23PROD with NOTICES1
Investigation 701-TA-3815 is a U.S. International Trade Commission antidumping (AD) proceeding on Polypropylene Corrugated Boxes from China and Vietnam; Inv. No. 701-TA-757 and 731-TA-1737-1738 (Preliminary) from Vietnam, China. The ITC determines whether U.S. industry is materially injured (or threatened) by imports under investigation; Commerce determines whether dumping or subsidization is occurring. Both findings are required for an AD/CVD order to be issued.
701-TA-3815 is in the preliminary phase, with status completed. Preliminary phase — the ITC's initial 45-day determination on whether there's a reasonable indication of injury. A negative preliminary terminates the investigation; an affirmative one moves it forward.
Not yet. 701-TA-3815 has not produced an AD/CVD order in Tandom's catalog. If both Commerce and the ITC issue affirmative final determinations, an order would issue and link to this investigation. Until then, no cash deposits apply.
Tandom guides relevant to AD/CVD investigations
Cash deposit cascade, separate rates, all-others, and PRC-wide rates. Worked example on case A-570-910 (galvanized welded steel pipe from China) with three exporter-specific rates.
Open resource
Scope text is authoritative; the HTS list is illustrative. Read scope, find past rulings, and file a 19 CFR 351.225 inquiry. Worked example on case A-570-106 (wooden cabinets from China).
Open resource
The USITC publishes investigation determinations and milestones on its Investigations Data Service (IDS) at ids.usitc.gov. Tandom's catalog re-syncs from IDS daily; new phases, votes, and determinations appear here within 24 hours of USITC publication.
A practical workflow for checking antidumping and countervailing duty exposure on a US entry. For brokers and ops teams who need the answer before filing.
Open resource