[Federal Register Volume 81, Number 135 (Thursday, July 14, 2016)]
[Notices]
[Pages 45455-45458]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-16467]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-601]
Tapered Roller Bearings and Parts Thereof, Finished and
Unfinished, From the People's Republic of China: Preliminary Results,
Partial Rescission of Antidumping Duty Administrative Review, and
Preliminary Rescission of New Shipper Review; 2014-2015
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Department) is conducting an
administrative review (AR) and a new shipper review (NSR) of the
antidumping duty order on tapered roller bearings and parts thereof,
finished and unfinished (TRBs), from the People's Republic of China
(PRC). The AR covers four \1\ exporters, of which
[[Page 45456]]
the Department selected two mandatory respondents for individual
examination (i.e., Changshan Peer Bearing Co. Ltd. (CPZ/SKF); and
Yantai CMC Bearing Co., Ltd. (Yantai CMC)). The NSR covers Shandong
Bolong Bearing Co., Ltd. (Bolong). The period of review (POR) is June
1, 2014, through May 31, 2015.
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\1\ This figure does not include one exporter for which the
Department is preliminarily rescinding the administrative review.
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We preliminarily determine that sales of subject merchandise have
been made below normal value (NV). In addition, we preliminarily
determine that Bolong's sale to the United States is not bona fide, as
required by section 751(a)(2)(B)(iv) of the Tariff Act of 1930, as
amended (the Act).\2\ Therefore, we are preliminarily rescinding this
NSR. If these preliminary results are adopted in the final results of
this review, we will instruct U.S. Customs and Border Protection (CBP)
to assess antidumping duties on all appropriate entries. Interested
parties are invited to comment on these preliminary results.
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\2\ On February 24, 2016, the President of the United States
signed into law the Trade Facilitation and Trade Enforcement Act of
2015, Public Law 114-125 (February 24, 2016), which made amendments
to section 751(a)(2)(B) of the Act. These amendments apply to this
determination.
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DATES: Effective Date: July 14, 2016.
FOR FURTHER INFORMATION CONTACT: Blaine Wiltse or Manuel Rey,
Enforcement and Compliance, International Trade Administration, U.S.
Department of Commerce, 14th Street and Constitution Avenue NW.,
Washington, DC 20230; telephone: (202) 482-6345 or (202) 482-5518,
respectively.
SUPPLEMENTARY INFORMATION:
Scope of the Order
The merchandise covered by the order includes tapered roller
bearings and parts thereof. The subject merchandise is currently
classifiable under Harmonized Tariff Schedule of the United States
(HTSUS) subheadings: 8482.20.00, 8482.91.00.50, 8482.99.15, 8482.99.45,
8483.20.40, 8483.20.80, 8483.30.80, 8483.90.20, 8483.90.30, 8483.90.80,
8708.70.6060, 8708.99.2300, 8708.99.4850, 8708.99.6890, 8708.99.8115,
and 8708.99.8180. The HTSUS subheadings are provided for convenience
and customs purposes only; the written description of the scope of the
order is dispositive.\3\
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\3\ For a complete description of the scope of the order, see
memorandum from Gary Taverman, Associate Deputy Assistant Secretary
for Antidumping and Countervailing Duty Operations, to Ronald K.
Lorentzen, Acting Assistant Secretary for Enforcement and
Compliance, entitled ``Decision Memorandum for the Preliminary
Results of the 2014-2015 Antidumping Duty Administrative Review and
New Shipper Review of Tapered Roller Bearings and Parts Thereof,
Finished and Unfinished, from the People's Republic of China''
(Preliminary Decision Memorandum), issued concurrently with and
hereby adopted by this notice.
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Tolling of Deadlines for Preliminary Results
As explained in the memorandum from the Acting Assistant Secretary
for Enforcement and Compliance, the Department exercised its discretion
to toll all administrative deadlines for the duration of the closure of
the Federal Government during Snowstorm ``Jonas.'' \4\ Therefore, all
deadlines in this segment of the proceeding have been extended by four
days. The revised deadline for the preliminary results of this review
is now July 5, 2016.
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\4\ See Memorandum to the Record from Ron Lorentzen, Acting
Assistant Secretary for Enforcement and Compliance, regarding
``Tolling of Administrative Deadlines As a Result of the Government
Closure During Snowstorm Jonas,'' dated January 27, 2016.
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Partial Rescission of the Administrative Review
Pursuant to 19 CFR 351.213(d)(1), the Secretary will rescind an
administrative review, in whole or in part, if a party who requested
the review withdraws the request within 90 days of the date of
publication of notice of initiation of the requested review. On October
27, 2015, GGB Bearing Technology (Suzhou) Co., Ltd. (GGB) timely
withdrew its request for an administrative review.\5\ No other party
had requested a review of GGB. Based on the timely withdrawal of the
request for review and because GGB established its entitlement to a
separate rate from a prior segment, the Department is rescinding this
administrative review with respect to GGB, in accordance with 19 CR
351.213(d)(1).
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\5\ See Letter to the Department from GGB, ``Withdrawal of
Administrative Review Request in the Antidumping Duty Order on
Tapered Roller Bearings from the People's Republic of China (POR:
06/01/14-5/31/15),'' dated October 27, 2015.
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Preliminary Rescission of the NSR
As discussed in the Bona Fides Analysis Memorandum,\6\ the
Department preliminarily finds that the single sale made by Bolong to
the United States during the POR is not a bona fide sale. The
Department reached this conclusion based on the totality of the
circumstances surrounding the reported sale, including:
(I) the prices of such sales; (II) whether such sales were made
in commercial quantities; (III) the timing of such sales; (IV) the
expenses arising from such sales; (V) whether the subject
merchandise involved in such sales was resold in the United States
at a profit; (VI) whether such sales were made on an arms-length
basis; and (VII) any other factor {it{time} determines to be
relevant as to whether such sales are, or are not, likely to be
typical of those the exporter or producer will make after completion
of the review.\7\
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\6\ See Memorandum from Manuel Rey, International Trade Analyst,
to Melissa Skinner, Director of AD/CVD Operations, dated July 5,
2016 entitled, ``New Shipper Review of Tapered Roller Bearings and
Parts Thereof from the People's Republic of China--Bona Fides Sales
Analysis'' (Bona Fides Analysis Memorandum), issued concurrently
with and hereby adopted by this notice.
\7\ See section 751(a)(2)(B)(iv) of the Act.
Because the non-bona fide sale was the only reported sale of subject
merchandise during the POR, and thus there are no reviewable
transactions on this record, we are preliminarily rescinding the NSR.
Because much of the factual information used in our analysis of
Bolong's sale involves business proprietary information, a full
discussion of the basis for our preliminary determination is set forth
in the Bona Fides Analysis Memorandum.
We further note that Bolong's NSR request did not conform to the
Department's regulations at 19 CFR 351.214(b)(2)(ii). 19 CFR
351.214(b)(2)(ii) requires that, in order to qualify for a NSR, the
requestor must provide certifications from both itself and any company
that supplied it with subject merchandise that neither party exported
the subject merchandise to the United States during the period of
investigation. In this case, Bolong purchased in-scope components from
unaffiliated producers, and it failed to provide the certifications
required by 19 CFR 351.214(b)(2)(ii) from those producers. The
Department requires appropriate certifications from any company
requesting a NSR that sources in-scope merchandise, whether finished or
unfinished, from its suppliers. In conjunction with any arguments that
its reported sale is bona fide, Bolong shall submit the requisite
certifications from the suppliers of the subject merchandise.
Methodology
The Department is conducting this review in accordance with section
751(a)(1)(B) of the Act. As noted above, there are two mandatory
respondents in this administrative review: CPZ/SKF and Yantai CMC. For
CPZ/SKF, we calculated constructed export prices in accordance with
section 772 of the Act. Because the PRC is a non-market economy (NME)
within the meaning of section 771(18) of the Act, NV has been
calculated in accordance with section 773(c) of the Act.
For Yantai CMC, we preliminarily find that this respondent is
ineligible for a separate rate because it has failed to demonstrate an
absence of de facto
[[Page 45457]]
government control in this administrative review. Therefore, we did not
calculate a separate margin for Yantai CMC.
For a full description of the methodology underlying our
conclusions, see the Preliminary Decision Memorandum. The Preliminary
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). ACCESS is available to
registered users at https://access.trade.gov, and to all parties in the
Central Records Unit, Room B8024 of the main Department of Commerce
building. In addition, a complete version of the Preliminary Decision
Memorandum can be found at http://enforcement.trade.gov/frn/. The
signed Preliminary Decision Memorandum and the electronic version of
the Preliminary Decision Memorandum are identical in content. A list of
the topics discussed in the Preliminary Decision Memorandum is attached
as the Appendix to this notice.
Rate for Non-Examined Companies Which Are Eligible for a Separate Rate
As indicated in the ``Preliminary Results of Review'' section
below, we preliminarily determine that a margin of zero percent applies
to the two firms not selected for individual review but determined to
be eligible for a separate rate. For further information, see the
Preliminary Decision Memorandum at ``Rate for Non-Examined Companies
Which Are Eligible for a Separate Rate.''
Preliminary Results of Review
Because Yantai CMC did not demonstrate that it was entitled to a
separate rate, the Department preliminarily finds Yantai CMC to be part
of the PRC-wide entity.\8\ The rate previously established for the PRC-
wide entity is 92.84 percent.
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\8\ See Preliminary Decision Memorandum, at 8-10. Pursuant to
the Department's change in practice, the Department no longer
considers the NME entity as an exporter conditionally subject to
administrative reviews. See Antidumping Proceedings: Announcement of
Change in Department Practice for Respondent Selection in
Antidumping Duty Proceedings and Conditional Review of the Nonmarket
Economy Entity in NME Antidumping Duty Proceedings, 78 FR 65963,
65970 (November 4, 2013). Under this practice, the NME entity will
not be under review unless a party specifically requests, or the
Department self-initiates, a review of the entity. Because no party
requested a review of the entity, the entity is not under review and
the entity's rate is not subject to change.
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The Department preliminarily determines that the following
weighted-average dumping margins exist for the period June 1, 2014,
through May 31, 2015:
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Weighted-
average
Exporters percent
margin
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Changshan Peer Bearing Co., Ltd............................. 0.00
Haining Nice Flourish Auto Parts Co., Ltd *................. 0.00
Roci International (HK) Limited *........................... 0.00
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* This company demonstrated that it qualified for a separate rate in
this administrative review.
Disclosure and Public Comment
The Department will disclose calculations performed for these
preliminary results to the parties within five days of the date of
publication of this notice in accordance with 19 CFR 351.224(b).
Interested parties may submit case briefs no later than 30 days after
the date of publication of these preliminary results of review.\9\
Rebuttals to case briefs may be filed no later than five days after
case briefs are filed and all rebuttal briefs must be limited to
comments raised in the case briefs.\10\ Parties who submit comments are
requested to submit with the argument: (1) A statement of the issue;
(2) a brief summary of the argument; and (3) a table of
authorities.\11\
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\9\ See 19 CFR 351.309(c)(1)(ii).
\10\ See 19 CFR 351.309(d).
\11\ See 19 CFR 351.309(c)(2).
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Any interested party may request a hearing within 30 days of
publication of this notice.\12\ Hearing requests should contain the
following information: (1) The party's name, address, and telephone
number; (2) the number of participants; and (3) a list of the issues to
be discussed. Oral presentations will be limited to issues raised in
the briefs.\13\ If a request for a hearing is made, parties will be
notified of the time and date for the hearing to be held at the U.S.
Department of Commerce, 14th Street and Constitution Avenue NW.,
Washington, DC 20230.\14\
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\12\ See 19 CFR 351.310(c).
\13\ Id.
\14\ See 19 CFR 351.310(d).
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All submissions, with limited exceptions, must be filed
electronically using ACCESS. An electronically filed document must be
received successfully in its entirety by 5 p.m. Eastern Time (ET) on
the due date. Documents excepted from the electronic submission
requirements must be filed manually (i.e., in paper form) with the APO/
Dockets Unit in Room 18022 and stamped with the date and time of
receipt by 5 p.m. ET on the due date.
Unless otherwise extended, the Department intends to issue the
final results of this administrative review, which will include the
results of its analysis of all issues raised in the case briefs, within
120 days of publication of these preliminary results, pursuant to
section 751(a)(3)(A) of the Act.
Assessment Rates
Upon issuance of the final results of the administrative review,
the Department will determine, and CBP shall assess, antidumping duties
on all appropriate entries covered by this review.\15\ If the
preliminary results are unchanged for the final results we will
instruct CBP to apply an ad valorem assessment rate of zero percent to
all entries of subject merchandise during the zero percent to all
entries of subject merchandise during the POR which were produced and/
or exported by CPZ/SKF and the two aforementioned companies which were
not selected for individual examination but were found to be eligible
for a separate rate.
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\15\ See 19 CFR 351.212(b)(1).
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If we determine in the final results that an individually-examined
respondent in the administrative review (e.g., CPZ/SKF) has a weighted-
average dumping margin which is not zero or de minimis (i.e., less than
0.5 percent), then we will calculate importer-specific assessment rates
based on the ratio of the total amount of dumping calculated for the
importer's examined sales to the total entered value of those sales, in
accordance with 19 CFR 351.212(b)(1).\16\
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\16\ In these preliminary results, the Department applied the
assessment rate calculation method adopted in Antidumping
Proceedings: Calculation of the Weighted-Average Dumping Margin and
Assessment Rate in Certain Antidumping Proceedings: Final
Modification, 77 FR 8101 (February 14, 2012).
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For the final results, if we continue to treat Yantai CMC as part
of the PRC-wide entity, we will instruct CBP to apply an ad valorem
assessment rate of 92.84 percent to all entries of subject merchandise
during the POR which were exported by Yantai CMC.
We intend to issue assessment instructions to CBP 15 days after the
publication of the final results of this review.
For entries that were not reported in the U.S. sales databases
submitted by companies individually examined during the administrative
review, the Department will instruct CBP to liquidate such entries at
the PRC-wide rate. In addition, if the Department determines that an
exporter under review had no shipments of the subject merchandise, any
suspended entries that entered under that exporter's case
[[Page 45458]]
number (i.e., at that exporter's rate) will be liquidated at the PRC-
wide rate.\17\
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\17\ For a full discussion of this practice, see Non-Market
Economy Antidumping Proceedings: Assessment of Antidumping Duties,
76 FR 65694 (October 24, 2011).
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If we proceed to a final rescission of the NSR, Bolong's entries
will be assessed at the rate entered.\18\ If we do not proceed to a
final rescission of the NSR, pursuant to 19 CFR 351.212(b)(1), we will
calculate an importer-specific assessment rate for Bolong. We will
instruct CBP to assess antidumping duties on all appropriate entries
covered by this NSR if the importer-specific assessment rate calculated
in the final results of this NSR is above de minimis.\19\
Cash Deposit Requirements
The following cash deposit requirements will be effective upon
publication of the final results of this administrative review for all
shipments of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the publication date, as
provided for by section 751(a)(2)(C) of the Act: (1) For the exporters
listed above which have a separate rate, the cash deposit rate will be
the rate established in the final results of this review (except, if
the rate is zero or de minimis, then a cash deposit rate of zero will
be established for that company); (2) for previously investigated or
reviewed PRC and non-PRC exporters not listed above that have separate
rates, the cash deposit rate will continue to be the exporter-specific
rate published for the most recently completed segment of this
proceeding; (3) for all PRC exporters of subject merchandise that have
not been found to be entitled to a separate rate, the cash deposit rate
will be the rate for the PRC-wide entity, 92.84 percent; and (4) for
all non-PRC exporters of subject merchandise which have not received
their own rate, the cash deposit rate will be the rate applicable to
the PRC exporter(s) that supplied that non-PRC exporter. These deposit
requirements, when imposed, shall remain in effect until further
notice.
Effective upon publication of the final rescission or the final
results of the NSR, pursuant to section 751(a)(2)(B)(iii) of the Act
and 19 CFR 351.214(e), the Department will instruct CBP to discontinue
the option of posting a bond or security in lieu of a cash deposit for
entries of subject merchandise by Bolong. If the Department proceeds to
a final rescission of the NSR, the cash deposit rate will continue to
be the PRC-wide rate for Bolong because the Department will not have
determined an individual margin of dumping for this company. If the
Department issues final results for the NSR, the Department will
instruct CBP to collect a cash deposit, effective upon the publication
of the final results, at the rate established therein.
Notification to Importers
This notice also serves as a preliminary reminder to importers of
their responsibility under 19 CFR 351.402(f) 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 antidumping duties occurred and the subsequent
assessment of double antidumping duties.
We are issuing and publishing these preliminary results of reviews
in accordance with sections 751(a)(l), 751(a)(2)(B) and 777(i)(l) of
the Act, and 19 CFR 351.221(b)(4).
Dated: July 5, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix--List of Topics Discussed in the Preliminary Decision
Memorandum
1. Summary
2. Background
3. Scope of the Order
4. Bona Fides Analysis
5. Discussion of the Methodology for the Administrative Review
a. Non-Market Economy Country
b. Separate Rates
c. Separate Rate Assigned to Non-Selected Companies
d. The PRC-Wide Entity
e. Collapsing of CPZ/SKF With Another Producer of TRBs
f. Surrogate Country
g. Date of Sale
h. Comparisons to Normal Value
i. Determination of Comparison Method
j. Constructed Export Price
k. Value-Added Tax (VAT)
l. Normal Value
m. Currency Conversion
6. Conclusion
[FR Doc. 2016-16467 Filed 7-13-16; 8:45 am]
BILLING CODE 3510-DS-P