[Federal Register Volume 76, Number 210 (Monday, October 31, 2011)]
[Notices]
[Pages 67146-67148]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-28184]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-851]


Certain Preserved Mushrooms From the People's Republic of China: 
Final Results of Antidumping Duty New Shipper Reviews

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

SUMMARY: On August 2, 2011, the Department of Commerce (the Department) 
published in the Federal Register the preliminary results of the new 
shipper reviews (NSRs) of the antidumping duty order on certain 
preserved mushrooms from the People's Republic of China (PRC) for 
Guangxi Hengyong Industrial & Commercial Dev., Ltd. (Hengyong) and 
Zhangzhou Hongda Import & Export Trading Co., Ltd. (Co.) (Hongda).\1\ 
See Certain Preserved Mushrooms From the People's Republic of China: 
Preliminary Results of Antidumping Duty New Shipper Reviews, 76 FR 
46270 (August 2, 2011) (Preliminary Results). We gave interested 
parties an opportunity to comment on the preliminary results. We 
received a case brief from Hongda on August 31, 2011. We received no 
rebuttal briefs from any parties. Furthermore, as described further 
below, we also received various comments/responses from the parties on

[[Page 67147]]

the Department's preliminary results, supplemental questionnaire, and 
letter on August 4, 2011, August 10, 2011, and September 19, 2011, 
respectively.
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    \1\ In its request for review, Hengyong certified that it was 
the exporter and Hengyong Industrial & Commercial Dev. Ltd. Hengxian 
Food Division (Hengxian) was the manufacturer. See September 24, 
2010, submission from Hengyong. In its request for NSR, Hongda 
certified it was the exporter and Fujian Haishan Foods Co., Ltd. 
(Haishan) was the manufacturer. See September 24, 2010, submission 
from Hongda.
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    Based on the comments received, we have made changes to the 
preliminary results for these final results.

DATES: Effective Date: October 31, 2011.

FOR FURTHER INFORMATION CONTACT: Scott Hoefke, Fred Baker or Robert 
James, AD/CVD Operations, Office 7, Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue NW., Washington, DC 20230; telephone: 
(202) 482-4947, (202) 482-2924, or (202) 482-0649, respectively.

SUPPLEMENTARY INFORMATION: We published the preliminary results for 
these NSRs on August 2, 2011. In the preliminary results, the 
Department stated that interested parties were to submit case briefs 
within 30 days of publication of the preliminary results and rebuttal 
briefs within five days after the due date for filing case briefs. See 
Preliminary Results, 76 FR at 46276. We received two submissions from 
Hongda--comments on the preliminary results, filed on August 4, 2011, 
and a formal case brief, submitted on August 31, 2011.
    On August 2, 2011, we also issued a supplemental questionnaire to 
Hengyong and Hongda, and received the responses on August 10, 2011.
    On September 8, 2011, we issued a letter to interested parties 
soliciting comments on the correct surrogate value to use for the input 
cow manure. We received comments from Hengyong, Hongda, and Monterey 
Mushrooms, Inc. (petitioners) on September 19, 2011.

Analysis of Comments Received

    As indicated above, we received a case brief from Hongda on August 
31, 2011. Hongda alleged that there were two computational errors in 
the final results calculations. One was an error caused by Hongda 
having reported some factor values in its factors of production 
database on a basis different from that reported for other factors. 
Hongda argued this error can be easily corrected with information 
already on the record. No other party submitted rebuttal comments on 
Hongda's argument. Upon review of the record and our calculations, we 
have determined that worksheets already on the record substantiate that 
Hongda made an error in how it reported some of the factor values, and 
that this error can indeed be easily corrected. We have corrected it 
for these final results of review. The second error was one in which 
the Department used an incorrect variable name in one line of the SAS 
calculations. Again, no party submitted rebuttal comments on Hongda's 
argument. A review of the record confirms that the Department used an 
incorrect variable name in the SAS calculations. We have corrected this 
error in the final results. For details, see Memorandum from Fred Baker 
to the File, Subject: ``Analysis of Data Submitted by Zhangzhou Hongda 
Import & Export Trading Co., Ltd. (Hongda) in the Final Results of New 
Shipper Review of the Antidumping Duty Order on Preserved Mushrooms 
from the People's Republic of China (PRC),'' dated October 24, 2011 
(Hongda Final Results Analysis Memorandum).
    In addition to the case brief, Hengyong, Hongda, and petitioners 
submitted comments on September 19, 2011, in response to the 
Department's September 8, 2011, letter to parties soliciting comments 
on the correct valuation of the input cow manure. Our September 8, 
2011, letter included eight exhibits each consisting of a valuation 
source for cow manure different from the source we used in the 
preliminary results. In their September 19, 2011, comments, no party 
recommended our using any of the eight alternative possible sources in 
the final results. Furthermore, no party has suggested that we deviate 
from the source used in the preliminary results. Therefore, in these 
final results we have used the same source to value cow manure as we 
used in the preliminary results because we continue to find the source 
the most reliable on the record for valuation of the input.

Period of Review

    The period of review (POR) is February 1, 2010, through July 31, 
2010.

Scope of the Order

    The products covered by this order are certain preserved mushrooms, 
whether imported whole, sliced, diced, or as stems and pieces. The 
certain preserved mushrooms covered under this order are the species 
Agaricus bisporus and Agaricus bitorquis. ``Certain Preserved 
Mushrooms'' refers to mushrooms that have been prepared or preserved by 
cleaning, blanching, and sometimes slicing or cutting. These mushrooms 
are then packed and heated in containers including, but not limited to, 
cans or glass jars in a suitable liquid medium, including, but not 
limited to, water, brine, butter or butter sauce. Certain preserved 
mushrooms may be imported whole, sliced, diced, or as stems and pieces. 
Included within the scope of this order are ``brined'' mushrooms, which 
are presalted and packed in a heavy salt solution to provisionally 
preserve them for further processing.\2\
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    \2\ On June 19, 2000, the Department affirmed that 
``marinated,'' ``acidified,'' or ``pickled'' mushrooms containing 
less than 0.5 percent acetic acid are within the scope of the 
antidumping duty order. See Recommendation Memorandum--Final Ruling 
of Request by Tak Fat, et al. for Exclusion of Certain Marinated, 
Acidified Mushrooms from the Scope of the Antidumping Duty Order on 
Certain Preserved Mushrooms from the People's Republic of China,'' 
dated June 19, 2000. On February 9, 2005, this decision was upheld 
by the United States Court of Appeals for the Federal Circuit. See 
Tak Fat Trading Co. v. United States, 396 F.3d 1378 (Fed. Cir. 
2005).
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    Excluded from the scope of this order are the following: (1) All 
other species of mushroom, including straw mushrooms; (2) all fresh and 
chilled mushrooms, including ``refrigerated'' or ``quick blanched 
mushrooms'' (3) dried mushrooms; (4) frozen mushrooms; and (5) 
``marinated,'' ``acidified,'' or ``pickled'' mushrooms, which are 
prepared or preserved by means of vinegar or acetic acid, but may 
contain oil or other additives.
    The merchandise subject to this order is classifiable under 
subheadings: 2003.10.0127, 2003.10.0131, 2003.10.0137, 2003.10.0143, 
2003.10.0147, 2003.10.0153 and 0711.51.0000 of the Harmonized Tariff 
Schedule of the United States (HTSUS). Although the HTSUS subheadings 
are provided for convenience and customs purposes, the written 
description of the scope of the order is dispositive.

Separate Rates

    In proceedings involving non-market economy (NME) countries, the 
Department begins with a rebuttable presumption that all companies 
within the country are subject to government control and, thus, should 
be assigned a single antidumping duty deposit rate. See, e.g., Notice 
of Final Determination of Sales at Less Than Fair Value, and 
Affirmative Critical Circumstances, In Part: Certain Lined Paper 
Products From the People's Republic of China, 71 FR 53079 (September 8, 
2006), and Final Determination of Sales at Less Than Fair Value and 
Final Partial Affirmative Determination of Critical Circumstances: 
Diamond Sawblades and Parts Thereof From the People's Republic of 
China, 71 FR 29303 (May 22, 2006). It is the Department's policy to 
assign all exporters of merchandise subject to review in an NME country 
this single rate unless an exporter can demonstrate that it is 
sufficiently independent so as to be entitled to a separate rate. See, 
e.g., Certain Coated Paper Suitable for High-Quality Print

[[Page 67148]]

Graphics Using Sheet-Fed Presses From the People's Republic of China: 
Notice of Preliminary Determination of Sales at Less Than Fair Value 
and Postponement of Final Determination, 75 FR 24892, 24899 (May 6, 
2010) (unchanged in Certain Coated Paper Suitable for High-Quality 
Print Graphics Using Sheet-Fed Presses From the People's Republic of 
China: Final Determination of Sales at Less Than Fair Value, 75 FR 
59217 (September 27, 2010)).
    In the preliminary results, we found that Hengyong and Hongda 
demonstrated their eligibility for separate rate status. We received no 
comments from interested parties regarding this determination. In these 
final results of review, we continue to find the evidence Hengyong and 
Hongda placed on the record demonstrates an absence of government 
control, both in law and in fact, with respect to Hengyong and Hongda's 
exports of the merchandise under review. Thus, we have determined that 
Hengyong and Hongda are eligible to receive a separate rate.

Changes Since the Preliminary Results

    Based on a review of the record and comments received from 
interested parties regarding our preliminary results, we have made 
revisions to the margin calculation for Hongda. These changes are 
discussed in the Hongda Final Results Analysis Memorandum. We made no 
changes to the calculations for Hengyong.

Final Results of Review

    The Department has determined that the following margins exist for 
the period February 1, 2010, through July 31, 2010:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Exporter/Manufacturer                       margin
                                                               (percent)
------------------------------------------------------------------------
Hengyong (exporter)/Hengxian (manufacturer).................        0.00
Hongda (exporter)/Haishan (manufacturer)....................        0.00
------------------------------------------------------------------------

Assessment Rates

    Pursuant to these final results, the Department determined, and CBP 
shall assess, antidumping duties on all appropriate entries. The 
Department intends to issue assessment instructions for Hengyong and 
Hongda to CBP 15 days after the date of publication of these final 
results of NSRs. Pursuant to 19 CFR 351.212(b)(1), we calculated 
importer-specific (or customer-specific) ad valorem duty assessment 
rates based on the ratio of the total amount of the dumping margins 
calculated for the examined sales to the total entered value of those 
same sales. We will instruct CBP to assess antidumping duties on all 
appropriate entries covered by these reviews if any importer-specific 
(or customer-specific) assessment rate calculated in the final results 
of these reviews is above de minimis.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of these final results of NSRs for all shipments of subject 
merchandise by Hengyong and Hongda entered, or withdrawn from 
warehouse, for consumption on or after the publication date, as 
provided by section 751(a)(2)(C) of the Tariff Act of 1930, as amended 
(the Act): (1) For subject merchandise produced by Hengxian and 
exported by Hengyong, or produced by Haishan and exported by Hongda, 
the cash deposit rate will be zero; (2) for subject merchandise 
exported by Hengyong, but not manufactured by Hengxian, or exported by 
Hongda, but not manufactured by Haishan, the cash deposit rate will 
continue to be the PRC-wide rate (i.e., 198.63 percent); and; (3) for 
subject merchandise manufactured by Hengxian or Haishan, but exported 
by any party other than Hengyong or Hongda, respectively, the cash 
deposit rate will be the rate applicable to the exporter. These cash 
deposit requirements will remain in effect until further notice.

Reimbursement of Duties

    This notice also serves as a final 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 POR. Failure to comply with this 
requirement could result in the Secretary's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of doubled antidumping duties.

Administrative Protective Orders

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305, which continues 
to govern business proprietary information in this segment of the 
proceeding. Timely written notification of the return/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 violation which is subject to sanction.
    These NSRs and notice are in accordance with sections 751(a)(2)(B) 
and 777(i)(1) of the Act.

    Dated: October 24, 2011.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 2011-28184 Filed 10-28-11; 8:45 am]
BILLING CODE 3510-DS-P