[Federal Register Volume 78, Number 136 (Tuesday, July 16, 2013)]
[Notices]
[Pages 42491-42492]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-17041]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-967; C-570-968]


Aluminum Extrusions from the People's Republic of China: Notice 
of Court Decision Not in Harmony With Final Scope Ruling and Notice of 
Amended Final Scope Ruling Pursuant to Court Decision

SUMMARY: On June 20, 2013, the United States Court of International 
Trade (``CIT'' or ``Court'') sustained the Department of Commerce's 
(``Department'') final results of remand redetermination, in which it 
determined that T-Series and M-Series components for automotive 
heating/cooling systems (``components for automotive heating/cooling 
systems'') imported by Valeo, Inc., Valeo Engine Cooling Inc., and 
Valeo Climate Control Corp. (collectively, ``Valeo'') are subassemblies 
that meet the description of excluded ``finished goods'' and are not 
covered by the scope of the

[[Page 42492]]

antidumping and countervailing duty orders on aluminum extrusions from 
the People's Republic of China,\1\ pursuant to the CIT's remand order 
in Valeo, Inc., Valeo Engine Cooling, Inc., and Valeo Climate Control 
Corp. v. United States, Court No. 12-00381 (CIT February 13, 2013).\2\
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    \1\ See Aluminum Extrusions from the People's Republic of China: 
Antidumping Duty Order, 76 FR 30650 (May 26, 2011) and Aluminum 
Extrusions from the People's Republic of China: Countervailing Duty 
Order, 76 FR 30653 (May 26, 2011) (``Orders'').
    \2\ See Final Results of Redetermination Pursuant to Court 
Remand, Valeo, Inc., Valeo Engine Cooling, Inc., and Valeo Climate 
Control Corp. v. United States, Court No. 12-00381 (May 13, 2013) 
(``Remand Results'').
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    Consistent with the decision of the United States Court of Appeals 
for the Federal Circuit (``CAFC'') in Timken Co. v. United States, 893 
F.2d 337 (Fed. Cir. 1990) (``Timken''), as clarified by Diamond 
Sawblades Mfrs. Coalition v. United States, 626 F.3d 1374 (Fed. Cir. 
2010) (``Diamond Sawblades''), the Department is notifying the public 
that the final CIT judgment in this case is not in harmony with the 
Department's Final Scope Ruling on Automotive Heating and Cooling 
Systems \3\ and is amending its final scope ruling.
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    \3\ See the Department's memorandum regarding: Antidumping and 
Countervailing Duty Orders on Aluminum Extrusions from the People's 
Republic of China--Final Scope Ruling on Valeo's Automotive Heating 
and Cooling Systems, dated October 31, 2012 (``Final Scope Ruling on 
Automotive Heating and Cooling Systems'').

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DATES: Effective Date: July 1, 2013.

FOR FURTHER INFORMATION CONTACT: Brooke Kennedy, Office 8, AD/CVD 
Operations, Import Administration, International Trade Administration, 
U.S. Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-3818.

SUPPLEMENTARY INFORMATION:

Background

    On May 16, 2012, Valeo submitted a scope request claiming that two 
distinct types of automotive heating and cooling components are outside 
the scope of the Orders. The Department issued its Final Scope Ruling 
on Automotive Heating and Cooling Systems on October 31, 2012. In that 
ruling, the Department determined that Valeo's components for 
automotive heating/cooling systems are covered by the scope of the 
Orders.
    On November 26, 2012, Valeo filed a complaint with the CIT. On 
February 12, 2013, the Department asked that the Court grant a 
voluntary remand to allow the Department to re-examine its 
determination in the Final Scope Ruling on Automotive Heating and 
Cooling Systems. On February 13, 2013, the Court granted the 
Department's request for a voluntary remand. In the Remand Results, the 
Department determined that Valeo's components for automotive heating/
cooling systems, at the time of importation, contain all of the 
necessary parts required for integration into a larger system. The 
Department applied the ``subassemblies test'' developed in the Side 
Mount Valve Controls Scope Ruling,\4\ and determined that Valeo's 
components for automotive heating/cooling systems are subassemblies 
that constitute excluded ``finished goods,'' as described in the 
Orders, and are not covered by the scope. On June 20, 2013, the CIT 
sustained the Department's Remand Results.\5\
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    \4\ See the Department's memorandum regarding: Final Scope 
Ruling on Side Mount Valve Controls, dated October 26, 2012 (``SMVCs 
Scope Ruling''); see also the Department's memorandum regarding: 
Antidumping Duty (AD) and Countervailing Duty (CVD) Orders: Aluminum 
Extrusions from the People's Republic of China (PRC), Initiation and 
Preliminary Scope Ruling on Side Mount Valve Controls, dated 
September 24, 2012.
    \5\ See Valeo Inc., et al. v. United States, Court No. 12-00381 
(CIT June 20, 2013) (judgment sustaining Remand Results).
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Timken Notice

    In its decision in Timken, as clarified by Diamond Sawblades, the 
CAFC has held that, pursuant to section 516A(c) of the Tariff Act of 
1930, as amended (``the Act''), the Department must publish a notice of 
a court decision that is not ``in harmony'' with a Department 
determination and must suspend liquidation of entries pending a 
``conclusive'' court decision. The CIT's June 20, 2013, judgment in 
this case constitutes a final decision of that court that is not in 
harmony with the Department's Final Scope Ruling on Automotive Heating 
and Cooling Systems. This notice is published in fulfillment of the 
publication requirements of Timken. Accordingly, the Department will 
continue the suspension of liquidation of components for automotive 
heating/cooling systems pending expiration of the period of appeal or, 
if appealed, pending a final and conclusive court decision.

Amended Final Scope Ruling

    Because there is now a final court decision with respect to this 
case, the Department is amending its final scope ruling and finds that 
the scope of the Orders does not cover Valeo's components for 
automotive heating/cooling systems. The Department will instruct U.S. 
Customs and Border Protection (``CBP'') that the cash deposit rate will 
be zero percent for Valeo's components for automotive heating/cooling 
systems. In the event that the CIT's ruling is not appealed, or if 
appealed, upheld by the CAFC, the Department will instruct CBP to 
liquidate entries of Valeo's components for automotive heating/cooling 
system without regard to antidumping and/or countervailing duties, and 
to lift suspension of liquidation of such entries.
    This notice is issued and published in accordance with section 
516A(c)(1) of the Act.

    Dated: July 10, 2013.
Paul Piquado,
Assistant Secretary for Import Administration.
[FR Doc. 2013-17041 Filed 7-15-13; 8:45 am]
BILLING CODE 3510-DS-P