[Federal Register Volume 79, Number 147 (Thursday, July 31, 2014)]
[Notices]
[Pages 44397-44399]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-18061]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-307-824]
Ferrosilicon From Venezuela: Final Determination of Sales at Less
Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (``the Department'') determines
that ferrosilicon from Venezuela is being, or is likely to be, sold in
the United States at less than fair value (``LTFV''), as provided in
section 735 of the Tariff Act of 1930, as amended (``the Act''). The
final weighted-average dumping margin is listed below in the section
entitled ``Final Determination Margins.''
DATES: Effective Date: July 31, 2014.
FOR FURTHER INFORMATION: Kabir Archuletta, AD/CVD Operations, Office V,
Enforcement and Compliance, International Trade Administration, U.S.
Department of Commerce, 14th Street and Constitution Avenue NW.,
Washington, DC 20230; telephone: (202) 482-2593.
SUPPLEMENTARY INFORMATION:
Background
On March 11, 2014, the Department published in the Federal Register
the preliminary determination of sales at LTFV in the antidumping duty
(``AD'') investigation of ferrosilicon from Venezuela.\1\ The following
events occurred since we issued the Preliminary Determination.
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\1\ See Ferrosilicon From Venezuela: Preliminary Determination
of Sales at Less Than Fair Value and Postponement of the Final
Determination, 79 FR 13619 (March 11, 2014) (``Preliminary
Determination'') and accompanying Preliminary Decision Memorandum
(``Preliminary Decision Memorandum'').
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On February 24, 2014, FerroVen submitted comments regarding the
security situation in Venezuela, explaining the risks posed to FerroVen
staff and Department representatives by an on-site verification in
Venezuela.\2\ FerroVen included in its comments news articles and the
U.S. State Department's travel warnings regarding Venezuela, noting
that the unrest was not limited to Caracas, but was also occurring in
Puerto Ordaz, the location of FerroVen's facility.\3\ On March 7, 2014,
we issued a letter to the mandatory respondent in this investigation,
FerroAtlantica de Venezuela (``FerroVen''), in which we accepted its
proposal to conduct the verification which would normally occur in
Venezuela in Medina, Ohio, the location of FerroVen's U.S. affiliate,
FerroAtlantica North America.\4\ Specifically, we stated that ``in
light of the evolving security threat to an on-site verification
conducted in a country in the midst of civil unrest, the Department has
decided that such a threat would not be conducive to the efficient
completion of an on-site verification or the safety of all persons
involved.'' \5\
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\2\ See Letter to the Secretary of Commerce from FerroVen
``Letter Regarding Situation in Venezuela'' (February 24, 2014).
\3\ Id.
\4\ See Letter to FerroVen from Catherine Bertrand, Program
Manager, Office V, regarding security situation in Venezuela (March
7, 2014).
\5\ Id.
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On April 9, 2014, CC Metals and Alloys, LLC and Globe Specialty
Metals, Inc. (``Petitioners'') filed pre-verification comments for the
U.S. sales verification that occurred from April 21, 2014, through
April 23, 2014.\6\ The Department conducted the home market sales
verification from April 24, 2014, through April 30, 2014.\7\ On May 9,
2014, Petitioners filed pre-verification comments \8\ for the cost
verification that occurred from May 12, 2014, through May 16, 2014, in
Madrid, Spain.\9\
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\6\ See Letter from Petitioners ``Ferrosilicon From Venezuela;
CC Metals and Alloys, LLC and Globe Specialty Metals, Inc. U.S.
Sales Verification Comments'' (April 9, 2014); Letter to FerroVen
from Catherine Bertrand, Program Manager, Office V ``CEP
Verification Agenda'' (April 7, 2014).
\7\ See Letter to FerroVen from Catherine Bertrand, Program
Manager, Office V ``Verification Agenda'' (April 7, 2014).
\8\ See Letter from Petitioners ``Ferrosilicon From Venezuela;
CC Metals and Alloys, LLC and Globe Specialty Metals, Inc. Cost
Verification Comments'' (May 9, 2014).
\9\ See Letter to FerroVen from Michael Martin, Lead Accountant,
Office of Accounting ``Antidumping Duty Investigation of
Ferrosilicon from Venezuela'' (April 25, 2014).
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On April 10, 2014, Petitioners and FerroVen requested that the
Department hold a hearing in this investigation.\10\
[[Page 44398]]
On June 30, 2014, Petitioners and FerroVen withdrew their requests for
a hearing.\11\
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\10\ See Letter from Petitioners ``Ferrosilicon From Venezuela;
Investigation; CC Metals and Alloys, LLC and Globe Specialty Metals,
Inc. Request for Hearing'' (April 10, 2014); Letter to the Secretary
of Commerce from FerroVen ``Ferrosilicon from Venezuela. Case No. A-
307-824: Request for Hearing'' (April 10, 2014).
\11\ See Letter Commerce from Petitioners ``Ferrosilicon From
Venezuela; Investigation; Withdrawal of Request for Hearing'' (June
30, 2014); Letter from FerroVen ``Ferrosilicon from Venezuela. Case
No. A-307-824: Withdrawal of Hearing Request'' (June 30, 2014).
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The Department issued the home market and U.S. sales verification
reports on June 4, 2014,\12\ and the cost verification report on June
17, 2014.\13\ On June 26, 2014, Petitioners and FerroVen filed case
briefs.\14\ On July 3, 2014, Petitioners and FerroVen filed rebuttal
briefs.\15\
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\12\ See Memorandum to the File from Kabir Archuletta, Senior
International Trade Analyst, Office V, and Irene Gorelik, Senior
International Trade Analyst, Office V, through Catherine Bertrand,
Program Manager, Office V ``Verification of Home Market Sales of
FerroAtlantica de Venezuela (`FerroVen') in the Antidumping Duty
Investigation of Ferrosilicon from Venezuela'' (June 4, 2014) (``HM
Verification Report''); Memorandum to the File from Kabir
Archuletta, Senior International Trade Analyst, Office V, and Irene
Gorelik, Senior International Trade Analyst, Office V, through
Catherine Bertrand, Program Manager, Office V ``Verification of
FerroAtlantica North America in the Antidumping Duty Investigation
of Ferrosilicon from Venezuela'' (June 4, 2014) (``CEP Verification
Report'').
\13\ See Memorandum to the File from Laurens van Houten, Senior
Accountant, through Michael Martin, Lead Accountant, and Neal
Halper, Office Director ``Verification of the Cost Response Ferro
Atlantica de Venezuela in the Antidumping Duty Investigation of
Ferrosilicon from Venezuela'' (June 17, 2014) (``Cost Verification
Report'').
\14\ See Letter from Petitioners ``Ferrosilicon From Venezuela;
Investigation; Case Brief of CC Metals and Alloys, LLC and Globe
Specialty Metals, Inc.'' (June 26, 2014); Letter from FerroVen
``Ferrosilicon from Venezuela, Case No. A-307-824: Case Brief''
(June 26, 2014).
\15\ See Letter from Petitioners ``Ferrosilicon From Venezuela;
Investigation; Rebuttal Brief of CC Metals and Alloys, LLC and Globe
Specialty Metals, Inc.'' (June 26, 2014); Letter from FerroVen
``Ferrosilicon from Venezuela, Case No. A-307-824: Rebuttal Brief''
(June 26, 2014).
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Period of Investigation
The period of investigation (``POI'') is July 1, 2012, through June
30, 2013.
Scope of the Investigation
The merchandise covered by this investigation is all forms and
sizes of ferrosilicon, regardless of grade, including ferrosilicon
briquettes. Ferrosilicon is a ferroalloy containing by weight four
percent or more iron, more than eight percent but not more than 96
percent silicon, three percent or less phosphorus, 30 percent or less
manganese, less than three percent magnesium, and 10 percent or less
any other element. The merchandise covered also includes product
described as slag, if the product meets these specifications.
Ferrosilicon is currently classified under U.S. Harmonized Tariff
Schedule (``HTSUS'') subheadings 7202.21.1000, 7202.21.5000,
7202.21.7500, 7202.21.9000, 7202.29.0010, and 7202.29.0050. Although
the HTSUS subheadings are provided for convenience and customs
purposes, the written description of the merchandise is dispositive.
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
\16\ which is hereby adopted by this notice. A list of the issues
raised is attached to this notice as Appendix I. 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 (``IA ACCESS''). IA ACCESS is
available to registered users at http://iaaccess.trade.gov and it is
available to all parties in the Central Records Unit, room 7046 of the
main Department of Commerce building. In addition, a complete version
of the Issues and Decision Memorandum can be accessed directly at
http://enforcement.trade.gov/frn/. The signed and electronic versions
of the Issues and Decision Memorandum are identical in content.
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\16\ See Memorandum to Paul Piquado, Assistant Secretary for
Enforcement and Compliance, from Christian Marsh, Deputy Assistant
Secretary for Antidumping and Countervailing Duty Operations
``Issues and Decision Memorandum for the Antidumping Duty
Investigation of Ferrosilicon from Venezuela'' dated concurrently
with this notice (``Issues and Decision Memorandum'').
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Changes Since the Preliminary Determination
Based on our analysis of the comments received and our findings at
verification, we made certain changes to the margin calculations. For a
discussion of these changes, see the ``Margin Calculations'' section of
the Issues and Decision Memorandum.
Verification
As provided in section 782(i) of the Act, in April and May 2014, we
verified the sales and cost information submitted by FerroVen for use
in our final determination. We used standard verification procedures
including an examination of relevant accounting and production records,
and original source documents provided by FerroVen.\17\
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\17\ See HM Verification Report; CEP Verification Report; Cost
Verification Report.
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Final Determination
The weighted-average dumping margins are as follows:
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Weighted-
average
Producer or exporter dumping
margin
(percent)
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FerroAtlantica de Venezuela \18\............................ 22.84
All Others.................................................. 22.84
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All Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated ``all
others'' rate shall be an amount equal to the weighted average of the
weighted-average dumping margins calculated for the producers or
exporters individually examined, excluding rates that are zero, de
minimis or determined entirely under section 776 of the Act. Since we
calculated a weighted-average dumping margin for only one respondent
that was not zero, de minimis, or determined entirely under section 776
of the Act, we assigned to all other producers and exporters the rate
calculated for FerroVen, 22.84 percent.
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\18\ In this final determination, we determine that
FerroAtlantica de Venezuela and FerroAtlantica, S.A., constitute a
single entity. See Issues and Decision Memorandum at Comment 1, and
Memorandum to the File from Kabir Archuletta, Senior International
Trade Analyst, Office V, through Catherine Bertrand, Program
Manager, Office V ``Calculations Performed for FerroAtlantica de
Venezuela for the Final Determination in the Antidumping Duty
Investigation of Ferrosilicon from Venezuela'' (July 24, 2014), at
2-3.
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Disclosure
We will disclose the calculations performed within five days of the
date of publication of this notice to parties in this proceeding in
accordance with 19 CFR 351.224(b).
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 ferrosilicon from
Venezuela as described in the ``Scope of the Investigation'' section,
which was entered, or withdrawn from warehouse, for consumption on or
after March 11, 2014, the date of publication of the Preliminary
Determination. CBP shall require a cash deposit equal to the estimated
amount by which the normal value exceeds the U.S. price as follows: (1)
The rate for FerroVen will be the rate we have determined in this final
determination; (2) if the exporter is not a firm identified in this
investigation but the producer is, the rate will be the rate
established for the producer of the merchandise under consideration;
(3) the rate for all other producers or
[[Page 44399]]
exporters will be 22.84 percent, as discussed in the ``All Others
Rate'' section, above. These instructions suspending liquidation will
remain in effect until further notice.
U.S. International Trade Commission (``ITC'') Notification
In accordance with section 735(d) of the Act, we notified the U.S.
International Trade Commission (``ITC'') of our final determination. As
our final determination is affirmative, 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 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.
Return or Destruction of Proprietary Information
This notice will serve as the only reminder to parties subject to
administrative protective order (``APO'') of their responsibility
concerning the destruction of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of return/destruction of APO materials or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and the terms of an APO is a sanctionable violation.
We are issuing and publishing this determination and notice in
accordance with sections 735(d) and 777(i) of the Act.
Dated: July 24, 2014.
Paul Piquado,
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 Investigation
IV. Margin Calculations
V. Discussion of the Issues
1. Whether FerroVen and FASA Should Be Treated as a Single
Entity
2. FerroVen's Purchases of Quartz
3. FerroVen's HM Interest Rate
4. U.S. Import Duties
5. Tax Adjustment to Certain HM Sales Based on Verification
Observations
6. CEP Offset
7. General and Administrative Expense
8. Depreciation
9. Financial Expense Ratio
10. FASA's G&A Rate
VI. Recommendation
[FR Doc. 2014-18061 Filed 7-30-14; 8:45 am]
BILLING CODE 3510-DS-P