[Federal Register Volume 79, Number 39 (Thursday, February 27, 2014)]
[Notices]
[Pages 11083-11085]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-04340]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-985]


Xanthan Gum From the People's Republic of China: Initiation of 
Antidumping Duty New Shipper Review

AGENCY: Enforcement and Compliance, formerly Import Administration, 
International Trade Administration, Department of Commerce.

DATES: Effective Date: February 27, 2014.

SUMMARY: The Department of Commerce (``Department'') determined that 
the request described below for a new shipper review of the antidumping 
duty order on xanthan gum from the People's Republic of China (``PRC'') 
meets the statutory and regulatory requirements for initiation. The 
period of review (``POR'') for the new shipper review is July 19, 2013, 
through December 31, 2013.

FOR FURTHER INFORMATION CONTACT: Brandon Farlander, AD/CVD Operations, 
Office IV, Enforcement and

[[Page 11084]]

Compliance, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue NW., Washington, DC 
20230; telephone: (202) 482-0182.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the antidumping duty order on xanthan gum 
from the PRC on July 19, 2013.\1\ On January 10, 2014, pursuant to 
section 751(a)(2)(B)(i) of the Tariff Act of 1930, as amended (the 
``Act''), and 19 CFR 351.214(c), the Department received a timely 
request for a new shipper review from Meihua Group International 
Trading (Hong Kong) Limited (``Meihua Hong Kong''), Langfang Meihua 
Bio-Technology Co., Ltd. (``Meihua Bio-Technology'') and Xinjiang 
Meihua Amino Acid Co., Ltd. (``Meihua Amino Acid'') (collectively 
``Meihua'').\2\ On January 23, 2014, the Department received entry data 
from U.S Customs and Border Protection (``CBP'') relating to this 
request for a new shipper review.\3\ In addition, the Department 
requested that CBP provide entry documents pertaining to the entry that 
is subject to this new shipper review in order to confirm certain 
information reported in the Initiation Request.\4\ The continuation of 
the new shipper review will be contingent upon confirmation of the 
information reported in the Initiation Request.
---------------------------------------------------------------------------

    \1\ See Xanthan Gum From the People's Republic of China: Amended 
Final Determination of Sales at Less Than Fair Value and Antidumping 
Duty Order, 78 FR 43143 (July 19, 2013) (``Order'').
    \2\ See Letter to the Secretary of Commerce ``Re: Xanthan Gum 
from the People's Republic of China Entry of Appearance and Request 
for New Shipper Review,'' dated January 10, 2014 (``Initiation 
Request'').
    \3\ See Memorandum to the File from Howard Smith, Program 
Manager, AD/CVD Operations, Office IV regarding ``U.S. Customs and 
Border Protection Data; Customs Query Results for Meihua Group 
International Trading (Hong Kong) Limited, Langfang Meihua Bio-
Technology Co., Ltd., and Xinjiang Meihua Amino Acid Co., Ltd.,'' 
dated concurrently with this notice.
    \4\ See Memorandum to Michael Walsh, Director, AD/CVD/Revenue 
Policy & Programs, Office of International Trade, U.S. Customs and 
Border Protection, from Abdelali Elouaradia, Director Office IV, AD/
CVD Operations, Enforcement and Compliance, ``Request for U.S. Entry 
Documents--Xanthan Gum from the People's Republic of China (A-570-
985),'' dated January 31, 2014.
---------------------------------------------------------------------------

    Meihua reported that the sale of subject merchandise upon which the 
request for the new shipper review is based, was made through Meihua 
Hong Kong and the subject merchandise was produced by Meihua Amino 
Acid.\5\ Meihua did not state that Meihua Bio-Technology either sold or 
produced the subject merchandise on which the request for a new shipper 
review is based.\6\ However, Meihua requests that the Department review 
the affiliation of the three companies named above, find them to be a 
single entity, and initiate a new shipper review of the collapsed 
entity. Because it is not the Department's practice to consider 
collapsing producers or treating two or more parties as a single entity 
at the initiation stage of a new shipper review, we have not treated 
the three companies as a single entity for purposes of this initiation. 
Affiliation and collapsing issues can be raised and considered during 
the course of the new shipper review.
---------------------------------------------------------------------------

    \5\ See Initiation Request at 2.
    \6\ Id.
---------------------------------------------------------------------------

    Pursuant to section 751(a)(2)(B)(i)(I) of the Act and 19 CFR 
351.214(b)(2)(i), Meihua Hong Kong and Meihua Amino Acid certified that 
they did not export xanthan gum to the United States during the period 
of investigation (``POI'').\7\ In addition, pursuant to section 
751(a)(2)(B)(i)(II) of the Act and 19 CFR 351.214(b)(2)(iii)(A), Meihua 
Hong Kong and Meihua Amino Acid certified that, since the initiation of 
the investigation, they have never been affiliated with an exporter or 
producer that exported xanthan gum to the United States during the POI, 
including those not individually examined during the investigation.\8\ 
As required by 19 CFR 351.214(b)(2)(iii)(B), Meihua Hong Kong and 
Meihua Amino Acid also certified that their export activities were not 
controlled by the government of the PRC.\9\
---------------------------------------------------------------------------

    \7\ Id. at 3.
    \8\ Id. at 3.
    \9\ Id. at 3.
---------------------------------------------------------------------------

    In addition to the certifications described above, pursuant to 19 
CFR 351.214(b)(2)(iv), Meihua Hong Kong submitted documentation 
establishing the following: (1) The date on which it first shipped 
xanthan gum for export to the United States and the date on which the 
xanthan gum was first entered, or withdrawn from warehouse, for 
consumption; (2) the volume of its first shipment; and (3) the date of 
its first sale to an unaffiliated customer in the United States.\10\
---------------------------------------------------------------------------

    \10\ Id. at Exhibit 2.
---------------------------------------------------------------------------

    The Department conducted a CBP database query and confirmed by 
examining the results of the CBP data query that Meihua Amino Acid's 
subject merchandise entered the United States during the POR specified 
by the Department's regulations.\11\
---------------------------------------------------------------------------

    \11\ See 19 CFR 351.214(g)(1)(i)(A).
---------------------------------------------------------------------------

Initiation of New Shipper Review

    Pursuant to section 751(a)(2)(B) of the Act, 19 CFR 351.214(b), and 
based on the information on the record, the Department finds that 
Meihua Hong Kong meets the threshold requirements for initiation of a 
new shipper review of its shipment of xanthan gum from the PRC.\12\ 
However, if the information supplied by Meihua Hong Kong is later found 
to be incorrect or insufficient during the course of this proceeding, 
the Department may rescind the review or apply facts available pursuant 
to section 776 of the Act, depending upon the facts on the record. The 
POR for the new shipper review of Meihua Hong Kong is July 19, 2013, 
through December 31, 2013.\13\ Pursuant to 19 CFR 351.221(c)(1)(i), the 
Department will publish the notice of initiation of a new shipper 
review no later than the last day of the month following the 
anniversary month or semiannual anniversary month of the order. The 
Department intends to issue the preliminary results of this review no 
later than 180 days from the date of initiation, and the final results 
of this review no later than 90 days after the date the preliminary 
results are issued.\14\
---------------------------------------------------------------------------

    \12\ See, generally, Memorandum to the File through Abdelali 
Elouaradia, Director, AD/CVD Operations, Office IV ``Initiation of 
Antidumping New Shipper Review of Xanthan Gum from the People's 
Republic of China: Meihua Group International Trading (Hong Kong) 
Limited Initiation Checklist,'' dated concurrently with this notice.
    \13\ See 19 CFR 351.214(g)(1)(ii)(B).
    \14\ See section 751(a)(2)(B)(iv) of the Act; 19 CFR 351.214(i).
---------------------------------------------------------------------------

    It is the Department's usual practice, in cases involving non-
market economies (``NME''), to require that a company seeking to 
establish eligibility for an antidumping duty rate separate from the 
NME-wide entity to provide evidence of the absence of de jure and de 
facto government control over the company's export activities. 
Accordingly, the Department will issue a questionnaire to Meihua Hong 
Kong which will include a section requesting information with regard to 
its export activities for the purpose of establishing Meihua Hong 
Kong's eligibility for a separate rate. The review of Meihua Hong Kong 
will proceed if the response provides sufficient indication that Meihua 
Hong Kong is not subject to either de jure or de facto government 
control with respect to its exports of subject merchandise.
    The Department will instruct CBP to allow, at the option of the 
importer, the posting, until the completion of the review, of a bond or 
security in lieu of a cash deposit for entries of subject

[[Page 11085]]

merchandise from Meihua Hong Kong in accordance with section 
751(a)(2)(B)(iii) of the Act and 19 CFR 351.214(e). Because Meihua Hong 
Kong certified that it exported the subject merchandise that was 
produced by Meihua Amino Acid and that such merchandise is the subject 
of this new shipper review, the Department will apply the bonding 
privilege only for subject merchandise produced by Meihua Amino Acid 
and exported by Meihua Hong Kong.
    Interested parties requiring access to proprietary information in 
this new shipper review should submit applications for disclosure under 
administrative protective order in accordance with 19 CFR 351.305 and 
351.306.
    This initiation and notice are published in accordance with section 
751(a)(2)(B) of the Act and 19 CFR 351.214 and 351.221(c)(1)(i).

    Dated: February 21, 2014.
Christian Marsh,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations.
[FR Doc. 2014-04340 Filed 2-26-14; 8:45 am]
BILLING CODE 3510-DS-P