[Federal Register Volume 78, Number 107 (Tuesday, June 4, 2013)]
[Notices]
[Pages 33354-33356]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-13218]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-433-811]


Xanthan Gum From Austria: Final Determination of Sales at Less 
Than Fair Value

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

DATES: Effective Date: June 4, 2013.

SUMMARY: On January 10, 2013, the Department of Commerce 
(``Department'') published its preliminary determination of sales at 
less than fair value (``LTFV'') and postponement of final determination 
in the antidumping (``AD'') investigation of xanthan gum from 
Austria.\1\ On March 4, 2013, the Department released its post-
preliminary differential pricing analysis.\2\ The Department invited 
interested parties to comment on the Preliminary Determination and 
Post-Preliminary Analysis and Calculation Memorandum. Based on an 
analysis of the comments received, the Department has made changes from 
the Preliminary Determination. The Department has determined that 
xanthan gum from Austria is being, or is likely to be, sold in the 
United States at LTFV, as provided in section 735 of the Tariff Act of 
1930, as amended (the ``Act''). The final weighted-average dumping 
margins for this investigation are listed in the ``Final 
Determination'' section below.
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    \1\ See Xanthan Gum from Austria: Preliminary Determination of 
Sales at Less Than Fair Value and Postponement of Final 
Determination, 78 FR 2251 (January 10, 2013) (``Preliminary 
Determination'').
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary Antidumping and Countervailing Duty Operations, to Paul 
Piquado, Assistant Secretary for Import Administration, concerning, 
Less Than Fair Value Investigation of Xanthan Gum from Austria: 
Post-Preliminary Analysis and Calculation Memorandum, dated March 4, 
2013 (``Post-Preliminary Analysis and Calculation Memorandum'').

FOR FURTHER INFORMATION CONTACT: Drew Jackson or Karine Gziryan, AD/CVD 
Operations, Office 4, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
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4406 or (202) 482-4081, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published its Preliminary Determination on January 
10, 2013.\3\ On March 4, 2013, the Department issued its Post-
Preliminary Analysis and Calculation Memorandum to determine whether an 
alternative comparison methodology should be used. Based on this 
analysis, the Department determined that application of an alternative 
calculation methodology was not appropriate for Jungbunzlauer Austria 
AG (``JBL Austria'') and, accordingly, continued to apply the average-
to-average method.\4\
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    \3\ The Department postponed the deadline for the final 
determination to not later than 135 days after publication of the 
Preliminary Determination (i.e., January 10, 2013). See Preliminary 
Determination, 78 FR at 2254. However, because May 25, 2013, falls 
on a non-business day, the revised deadline for this final 
determination is now May 28, 2013. See Notice of Clarification: 
Application of ``Next Business Day'' Rule for Administrative 
Determination Deadlines Pursuant to the Tariff Act of 1930, As 
Amended, 70 FR 24533 (May 10, 2005).
    \4\ See id.
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    On March 12, 2013, JBL Austria and Petitioner \5\ submitted case 
briefs. On March 18, 2013, JBL Austria and Petitioner submitted 
rebuttal briefs. Subsequently, the Department rejected JBL Austria's 
March 18, 2013 rebuttal brief because it contained new factual 
information.\6\ On April 9, 2013, JBL

[[Page 33355]]

Austria resubmitted a redacted version of its rebuttal brief.
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    \5\ Petitioner in this investigation is CP Kelco U.S.
    \6\ See Letter from Abdelali Elouaradia, Director, AD/CVD 
Operations Office 4, to JBL Austria, concerning, Antidumping 
Investigation of Xanthan Gum from Austria: New Factual Information 
in Jungbunzlauer Austria Rebuttal Brief, dated April 15, 2013.
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    On April 10, 2013, the Department held a hearing, which was 
requested by Petitioner and JBL Austria.

Period of Investigation

    The period of investigation is April 1, 2011, through March 31, 
2012. This period corresponds to the four most recent fiscal quarters 
prior to the month of the filing of the petition, which was June 2012.

Verification

    As provided in section 782(i) of the Act, between January 14, 2013, 
and February 7, 2013, the Department verified the information submitted 
by JBL Austria for use in the final determination.\7\ Verification 
reports were issued between February 21, 2013, and March 4, 2013. The 
Department used standard verification procedures, including examination 
of relevant accounting and production records and original source 
documents provided by these respondents.
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    \7\ See Memorandum to the File through Neal Halper, Director, 
Office of Accounting, concerning, Verification of the Cost Response 
of Jungbunzlauer Austria in the Antidumping Duty Investigation of 
Xanthan Gum from Austria, dated February 20, 2013. See also 
Memorandum to the File through Robert Bolling, Program Manager, AD/
CVD Operations, Office 4, concerning, Verification of the 
Questionnaire Responses of Jungbunzlauer Austria AG, dated February 
19, 2013. See also Memorandum to the File through Robert Bolling, 
Program Manager, AD/CVD Operations, Office 4, concerning, 
Verification of the Questionnaire Responses of Jungbunzlauer 
Ladenburg GmbH, dated February 19, 2013. See also Memorandum to the 
File through Robert Bolling, Program Manager, AD/CVD Operations, 
Office 4, concerning, Verification of the Sales Response of 
Jungbunzlauer Inc. in the Antidumping Investigation of Xanthan Gum 
from Austria, dated March 4, 2013 (``CEP Sales Verification 
Report'').
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Issues and Decision 
Memorandum.\8\ A list of the issues which the parties raised and to 
which the Department responded in the Issues and Decision Memorandum is 
attached to this notice as an Appendix. The Issues and Decision 
Memorandum is a public document and is on file electronically via 
Import Administration's Antidumping and Countervailing Duty Centralized 
Electronic Service System (``IA ACCESS''). Access to IA ACCESS is 
available to registered users at http://iaaccess.trade.gov, and is 
available to all parties in the Central Records Unit, which is in room 
7046 of the main Department of Commerce building. In addition, a 
complete version of the Issues and Decision Memorandum can be accessed 
directly on the Internet at www.trade.gov/ia. The signed Issues and 
Decision Memorandum and the electronic versions of the Issues and 
Decision Memorandum are identical in content.
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    \8\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Ronald K. Lorentzen, Acting Assistant Secretary for Import 
Administration, ``Issues and Decision Memorandum for the Final 
Determination in the Antidumping Duty Investigation of Xanthan Gum 
from Austria'' (May 28, 2013) (``Issues and Decision Memorandum'').
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Changes Since the Preliminary Determination

     We applied partial adverse facts available with respect to 
the material codes for which JBL Austria did not report its grade 
characteristic in accordance with the Department's reporting 
requirements.\9\
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    \9\ See Issues and Decision Memorandum at Comment 1.
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     We applied partial adverse facts available to the reported 
inland freight expense from warehouse to the customer in the United 
States according to the Department's findings at the sales 
verification.\10\
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    \10\ See Memorandum to the File, concerning ``Final 
Determination Margin Calculation for Jungbunzlauer Austria AG'' 
dated May 28, 2013; see also CEP Sales Verification Report at 2. See 
Issues and Decision Memorandum at Comment 2.
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     We adjusted the reported freight expense incurred on 
transporting xanthan gum to and from the further manufacturing 
locations according to the Department's findings at the sales 
verification.\11\
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    \11\ See Issues and Decision Memorandum at Comment 3.
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     We applied a differential pricing analysis to determine 
the appropriate comparison method, rather than the targeted dumping 
test. See Issues and Decision Memorandum.

Scope of the Investigation

    The scope of this investigation covers dry xanthan gum, whether or 
not coated or blended with other products. Further, xanthan gum is 
included in this investigation regardless of physical form, including, 
but not limited to, solutions, slurries, dry powders of any particle 
size, or unground fiber.
    Xanthan gum that has been blended with other product(s) is included 
in this scope when the resulting mix contains 15 percent or more of 
xanthan gum by dry weight. Other products with which xanthan gum may be 
blended include, but are not limited to, sugars, minerals, and salts.
    Xanthan gum is a polysaccharide produced by aerobic fermentation of 
Xanthomonas campestris. The chemical structure of the repeating 
pentasaccharide monomer unit consists of a backbone of two P-1,4-D-
Glucose monosaccharide units, the second with a trisaccharide side 
chain consisting of P-D-Mannose-(1,4)-P-DGlucuronic acid-(1,2)-a-D-
Mannose monosaccharide units. The terminal mannose may be pyruvylated 
and the internal mannose unit may be acetylated.
    Merchandise covered by the scope of this investigation is 
classified in the Harmonized Tariff Schedule of the United States at 
subheading 3913.90.20. This tariff classification is provided for 
convenience and customs purposes; however, the written description of 
the scope is dispositive.

Final Determination

    The Department determines that the following weighted-average 
dumping margins exist for the period April 1, 2011, through March 31, 
2012:

------------------------------------------------------------------------
                                                            Weighted-
                 Exporter/manufacturer                   average dumping
                                                        margin (percent)
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Jungbunzlauer Austria AG..............................             29.98
All Others............................................             29.98
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    The ``All Others'' rate is based on the weighted-average dumping 
margin calculated for JBL Austria, the only company for which the 
Department calculated a rate.\12\
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    \12\ See section 735(c)(5)(A) of the Act.
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Disclosure

    In accordance with 19 CFR 351.224(b), the Department will disclose 
the calculations performed in this investigation to parties within five 
days of the date of publication of this notice in the Federal Register.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, the Department 
will instruct U.S. Customs and Border Protection (``CBP'') to continue 
to suspend liquidation of all appropriate entries of xanthan gum from 
Austria as described in the ``Scope of the Investigation'' section, 
which were entered, or withdrawn from warehouse, for consumption on or 
after January 10, 2013, the date of publication of the Preliminary 
Determination in the Federal Register. CBP shall require a cash deposit 
equal to the estimated amount by which the normal value exceeds the 
U.S. price as shown above. These instructions suspending

[[Page 33356]]

liquidation will remain in effect until further notice.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, the Department has 
notified the International Trade Commission (``ITC'') of the final 
affirmative determination of sales at LTFV. In accordance with section 
735(b)(2) of the Act, the ITC will determine, within 45 days, whether 
the domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports, or sales (or the 
likelihood of sales) for importation, of the merchandise under 
consideration. If the ITC determines that material injury or threat of 
material injury does not exist, the proceeding will be terminated and 
all securities posted will be refunded. If the ITC determines that such 
injury does exist, the Department will issue an antidumping duty order 
directing CBP to assess, upon further instruction by the Department, 
antidumping duties on all imports of the subject merchandise entered, 
or withdrawn from warehouse, for consumption on or after the effective 
date of the suspension of liquidation.

Notification Regarding Administrative Protective Orders

    This notice also serves as a reminder to the parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of propriety information disclosed under APO 
in accordance with 19 CFR 351.305. Timely written notification of 
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 sanctionable violation.
    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act.

     Dated: May 28, 2013.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.

Appendix

Issues for the Final Determination

Comment 1: Whether the Department should apply total adverse facts 
available (``AFA'') to JBL Austria because it misreported the grade 
for the majority of its U.S. and comparison market sales
Comment 2: Whether the Department should apply AFA because JBL 
Austria withheld information regarding its possible affiliations
Comment 3: Repacking Costs

[FR Doc. 2013-13218 Filed 6-3-13; 8:45 am]
BILLING CODE 3510-DS-P