[Federal Register Volume 79, Number 231 (Tuesday, December 2, 2014)]
[Notices]
[Pages 71385-71387]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-28415]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-933]
Frontseating Service Valves From the People's Republic of China;
Final Results of Antidumping Duty Administrative Review; 2012-2013
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: On May 27, 2014, the Department of Commerce (``the
Department'') published the preliminary results of the administrative
review of the antidumping duty on frontseating service valves from the
People's Republic of China (``PRC'').\1\ The period of review (``POR'')
is April 1, 2012, through March 31, 2013. The review covers two
exporters of subject merchandise, Zhejiang DunAn Hetian Metal Co., Ltd.
(``DunAn'') and Zhejiang Sanhua Co., Ltd. (``Sanhua''). The Department
continues to find that DunAn did not have reviewable entries during the
POR. Additionally, we find that Sanhua made no sales in the United
States at prices below normal value (``NV''). Based on our analysis of
the comments received, we made changes to our margin calculations for
Sanhua. The final weighted-average dumping margin for this review is
listed below in the section entitled ``Final Results of the Review.''
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\1\ See Frontseating Service Valves From the People's Republic
of China: Preliminary Results of Antidumping Duty Administrative
Review; Review; Preliminary Determination of No Shipments; 2012-
2013, 79 FR 30081 (May 27, 2014) (``Preliminary Results'').
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DATES: Effective Date: December 2, 2014.
FOR FURTHER INFORMATION CONTACT: Laurel LaCivita, AD/CVD Operations,
Office III, Enforcement and Compliance, U.S. Department of Commerce,
14th Street and Constitution Avenue NW., Washington, DC 20230;
telephone: (202) 482-4243.
Background
On May 27, 2014, the Department published the preliminary results
of the subject administrative review of the order.\2\ At that time, we
invited interested parties to comment on our preliminary results.
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\2\ Id.
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Subsequent to the Preliminary Results, the following events
occurred. On June 2, 2014, Sanhua provided comments on new factual
information contained in the Preliminary Results.\3\ On June 25, 2014,
Sanhua requested a hearing.\4\ On June 26, 2014, Sanhua filed a case
brief.\5\
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\3\ See letter from Sanhua, ``Frontseating Service Valves from
the People's Republic of China; A-570-933; Rebuttal, Clarification
or Correction of Factual Information by Zhejiang Sanhua Co., Ltd.,''
dated June 2, 2014.
\4\ See letter from Sanhua, ``Frontseating Service Valves from
the People's Republic of China; A-570-933; Request for a Hearing by
Zhejiang Sanhua Co., Ltd.,'' dated June 25, 2014.
\5\ See letter from Sanhua, ``Frontseating Service Valves from
the People's Republic of China; A-570-933; Case Brief by Zhejiang
Sanhua Co., Ltd.,'' dated June 26, 2014.
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On October 14, 2014, we rejected Sanhua's post-preliminary
submissions referenced above.\6\ On the same date, the Department
placed additional Bulgarian surrogate value (``SV'') data on the
record, and set the briefing and hearing schedule for the case.\7\ On
October 25, 2014, Sanhua filed its case brief.\8\ Sanhua was the only
party to file a case or rebuttal brief in this segment of the
proceeding. Sanhua withdrew its hearing request on October 28, 2014.\9\
On August 13, 2014, we extended the deadline for completing the final
results until November 24, 2014, in accordance with section
751(a)(3)(A) of the Tariff Act of 1930, as amended (``the Act'').\10\
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\6\ See letter to Sanhua, ``Frontseating Service Valves from the
People's Republic of China: Rejection of Zhejiang Sanhua Co., Ltd.
(``Sanhua'')'s Submissions of June 2, 2014, and June 26, 2014,''
dated October 14, 2014.
\7\ See Memorandum to the File, ``2012-2013 Administrative
Review of the Antidumping Duty Order on Frontseating Service Valves
from the People's Republic of China: Placing Additional Surrogate
Value Information on the Record After the Preliminary Results,''
dated October 14, 2014.
\8\ See letter from Sanhua, ``Frontseating Service Valves from
the People's Republic of China; A-570-933; Case Brief of Zhejiang
Sanhua Co., Ltd.,'' dated October 25, 2014.
\9\ See letter from Sanhua, ``Frontseating Service Valves from
the People's Republic of China; A-570-933; Withdrawal of Hearing
Request,'' dated October 28, 2014.
\10\ See Memorandum to Christian Marsh, ``Frontseating Service
Valves from the People's Republic of China: Extension of Deadline
for Final Results of Antidumping Duty Administrative Review,'' dated
August 13, 2014.
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Scope of the Order
The merchandise covered by this order is frontseating service
valves, assembled or unassembled, complete or incomplete, and certain
parts thereof. Frontseating service valves are classified under
subheading 8481.80.1095, and also have been classified under subheading
8415.90.80.85, of the
[[Page 71386]]
Harmonized Tariff Schedule of the United States (``HTSUS''). It is
possible for frontseating service valves to be manufactured out of
primary materials other than copper and brass, in which case they would
be classified under HTSUS subheadings 8481.80.3040, 8481.80.3090, or
8481.80.5090. In addition, if unassembled or incomplete frontseating
service valves are imported, the various parts or components would be
classified under HTSUS subheadings 8481.90.1000, 8481.90.3000, or
8481.90.5000. The HTSUS subheadings are provided for convenience and
customs purposes.\11\ The written description is dispositive.
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\11\ A full written description of the scope of the order is
contained in the memorandum from Christian Marsh, Deputy Assistant
Secretary for Antidumping and Countervailing Duty Operations, to
Paul Piquado, Assistant Secretary for Enforcement and Compliance,
``Frontseating Service Valves from the People's Republic of China:
Issues and Decision Memorandum for the Final Results of the 2012-
2013 Administrative Review'' (``Issues and Decision Memorandum''),
which is hereby adopted by this notice and incorporated herein by
reference.
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Final Determination of No Reviewable Entries
As noted in the Preliminary Results, we received a no-shipment
certification from DunAn.\12\ The company reported that it made no
shipments of subject merchandise to the United States during the POR.
U.S. Customs and Border Protection (``CBP'') confirmed that it did not
identify evidence of shipments from DunAn. Following publication of the
Preliminary Results, we received no comments from interested parties
regarding DunAn. As a consequence, and because the record contains no
evidence to the contrary, we continue to find that DunAn did not make
reviewable entries during the POR. Accordingly, consistent with the
Department's refinement to its assessment practice in nonmarket economy
(``NME'') cases, the Department finds that it is appropriate not to
rescind the review in these circumstances, but rather to complete the
review with respect to DunAn and issue appropriate instructions to CBP
based on the final results of the review.\13\
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\12\ See Preliminary Results, 79 FR at 30081.
\13\ See Non-Market Economy Antidumping Proceedings: Assessment
of Antidumping Duties, 76 FR 65694 (October 24, 2011) (``NME
Antidumping Proceedings'').
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Analysis of Comments Received
All issues raised in the single case brief filed in this review 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 follows as an appendix 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'').\14\ ACCESS is available to registered users at http://access.trade.gov and 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 on the internet
at http://www.trade.gov/enforcement/. The signed Issues and Decision
Memorandum and the electronic version of the Issues and Decision
Memorandum are identical in content.
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\14\ ``On November 24, 2014, Enforcement and Compliance changed
the name of Enforcement and Compliance's AD and CVD Centralized
Electronic Service System (``IA ACCESS'') to AD and CVD Centralized
Electronic Service System (``ACCESS''). The Web site location was
changed from http://iaaccess.trade.gov to http://access.trade.gov.
The Final Rule changing the references to the Regulations can be
found at 79 FR 69046 (November 20, 2014).''
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Changes Since the Preliminary Results
Based on an analysis of the comments received from interested
parties and a review of the record, the Department has made the
following changes in the margin calculation:
We derived the SVs for all factors of production, with the
exception of surrogate financial ratios, using Bulgaria as the
surrogate country.\15\ Specifically, we made the following adjustments:
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\15\ See Memorandum to the File, ``Antidumping Duty
Administrative Review of Frontseating Service Valves from the
People's Republic of China: Factor Valuation for the Final Results
of Review,'' dated concurrent with this notice.
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[cir] We based the SVs for direct materials and packing materials
on Bulgarian import statistics recorded in the Global Trade Atlas
(``GTA''). We made inflation adjustments, as appropriate;
[cir] We based the SV for electricity on data derived from the
National Institute of Statistics (Bulgaria) Electricity Prices covering
the POR. We valued water using the average water rates for industrial
consumers reported by the Bulgarian State Energy Regulatory Commission
for the POR.
[cir] We based the SV for direct, indirect and packing labor on the
Chapter 6A, industry-specific ILO data for Bulgaria from 2007, for Sub-
Classification 28, which is described as ``Manufacture of Fabricated
Metal Products, except Machinery and Equipment. We made adjustments for
inflation as appropriate.
[cir] We valued international freight using International freight
price quotes from the Descartes Web site covering industrial plumbing
supplies, valves, and valve parts, brass, iron, & copper, N.O.S., and
valves and valve parts, N.O.S., available at http://rates.descartes.com.
[cir] We valued brokerage and handling expenses and truck freight
using information u published in the World Bank's Doing Business 2014,
Economy Profile: Bulgaria.
See Comment 1 of the accompanying Issues and Decision Memorandum.
We revised the determination of the value-added tax
(``VAT'') adjustment as a percentage of entered value (``ENTVALUE'').
See Comment 5 of the accompanying Issues and Decision Memorandum.
Final Results of the Review
As a result of this review, we determine that the following
weighted-average dumping margin exists for the period April 1, 2012,
through March 31, 2013:
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Weighted- Average
Exporter Margin (percentage)
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Zhejiang Sanhua Co., Ltd........................... 0.00%
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Disclosure
We intend to 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).
Assessment Rates
The Department shall determine, and CBP shall assess, antidumping
duties on all appropriate entries covered by this review pursuant to
section 751(a)(2)(C) of the Act and 19 CFR 351.212(b).\16\ 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. The Department intends to issue assessment
instructions to CBP 15 days after the date of publication of these
final results of review.
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\16\ See Antidumping Proceeding: Calculation of the Weighted-
Average Dumping Margin and Assessment Rate in Certain Antidumping
Duty Proceedings; Final Modification, 77 FR 8103 (February 14,
2012).
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We will instruct CBP to assess antidumping duties on all
appropriate entries covered by this review for each individual
assessment rate calculated in the final results of this review that is
above de minimis (i.e., at or above 0.50 percent). Pursuant to 19 CFR
[[Page 71387]]
351.106(c)(2), we will instruct CBP to liquidate without regard to
antidumping duties any entries for which the assessment rate is de
minimis (i.e., less than 0.50 percent).
The Department recently announced a refinement to its assessment
practice in NME cases. Pursuant to this refinement in practice, for
entries that were not reported in the U.S. sales databases submitted by
companies individually examined during this review, the Department will
instruct CBP to liquidate such entries at the NME-wide rate. In
addition, if the Department determines that an exporter under review
had no shipments of subject merchandise, any suspended entries that
entered under that exporter's case number (i.e., at that exporter's
rate) will be liquidated at the NME-wide rate. For a full discussion of
this practice, see NME Antidumping Proceedings.
Cash Deposit Requirements
Because the antidumping duty order on frontseating service valves
from the PRC has been revoked,\17\ the Department will not issue cash
deposit instructions at the conclusion of this administrative review.
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\17\ See Frontseating Service Valves from the People's Republic
of China: Final Results of Sunset Review and Revocation of
Antidumping Duty Order, 79 FR 27573 (May 14, 2014).
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Notification to Importers
This notice also 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 this review period. Failure to comply
with this requirement could result in the Secretary's presumption that
reimbursement of the antidumping duties occurred and the subsequent
assessment of double antidumping duties.
Notification to Interested Parties
In accordance with 19 CFR 351.305(a)(3), this notice serves as a
reminder to parties subject to administrative protective order
(``APO'') of their responsibility concerning the disposition of
proprietary information disclosed under the APO. 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 sanctionable
violation.
These final results of review and notice are published in
accordance with sections 751(a)(1) and 777(i)(1) of the Act.
Dated: November 24, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
Appendix
List of Topics Discussed in the Issues and Decision Memorandum
1. Summary
2. Background
3. Scope of the Order
4. Discussion of the Issues
Comment 1: The Use of SV Data from the Primary Surrogate Country
Comment 2: The Department's Adjustments to Sanhua's Scrap Offset
Comment 3: Removal from the Record of Rebuttal Factual
Information Regarding the Use of Differential Pricing in the
Preliminary Results
Comment 4: Use of the Differential Pricing Analysis in the
Preliminary Results
Comment 5: Treatment of Value-Added Tax (``VAT'') for U.S. Sales
5. Recommendation
[FR Doc. 2014-28415 Filed 12-1-14; 8:45 am]
BILLING CODE 3510-DS-P