Notice of Final Determination of Sales at Less Than Fair Value: Bottle-Grade Polyethylene Terephthalate (PET) Resin From Indonesia, 13456-13458 [E5-1222]

Download as PDF 13456 Federal Register / Vol. 70, No. 53 / Monday, March 21, 2005 / Notices Dated: March 14, 2005. Joseph A. Spetrini, Acting Assistant Secretary for Import Administration. Appendix I—List of Comments in the Issues and Decision Memorandum General Comments Comment 1: Re-Allocation of Additive Costs Comment 2: Unreported U.S. Sale Comment 3: Home Market Rebates Comment 4: Domestic Inland Freight Comment 5: Indirect Selling Expense Comment 6: U.S. Packing Expenses Comment 7: General and Administrative and Financial Expense Ratios Comment 8: Major Input Valuation Comment 9: Nitrogen Gas From an Affiliate Comment 10: Sales Reconciliation [FR Doc. E5–1220 Filed 3–18–05; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–560–817] Notice of Final Determination of Sales at Less Than Fair Value: Bottle-Grade Polyethylene Terephthalate (PET) Resin From Indonesia Import Administration, International Trade Administration, Department of Commerce. Final Determination: The Department of Commerce (‘‘the Department’’) determines that PET resin from Indonesia is being, or is likely to be, sold in the United States at less than fair value, as provided in section 735 of the Tariff Act of 1930, as amended (‘‘the Act’’). The final weighted-average dumping margins are listed below in the section entitled ‘‘Continuation of Suspension of Liquidation.’’ DATES: Effective Date: March 21, 2005. FOR FURTHER INFORMATION CONTACT: Andrew McAllister or Scott Holland, AD/CVD Operations, Office 1, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 20230; telephone (202) 482–1174 and (202) 482–1279, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background Since the publication of the preliminary results of this review (see Notice of Preliminary Determination of Sales at Less Than Fair Value: BottleGrade Polyethylene Terephthalate (PET) Resin from Indonesia, 69 FR 62861 (October 28, 2004) (‘‘Preliminary Determination’’)), the following events have occurred: VerDate jul<14>2003 18:36 Mar 18, 2005 Jkt 205001 On November 3, 2004, the Department published in the Federal Register an extension of the time limit for the final determination in the antidumping duty investigation to no later than March 14, 2005, in accordance with the Act. See Notice of Postponement of Final Antidumping Duty Determination: Bottle-Grade Polyethylene Terephthalate (PET) Resin from Indonesia, 69 FR 64026 (November 3, 2004). In October and November 2004, we conducted verifications of the sales and cost of production (‘‘COP’’) questionnaire responses submitted by P.T. Indorama Synthetics Tbk (‘‘Indorama’’). The sales and cost verification reports were issued on January 6 and 7, 2005, respectively. See Memoranda to the File, ‘‘Verification of the Sales Responses of P.T. Indorama Synthetics, Tbk in the Antidumping Duty Investigation of Bottle-Grade Polyethylene Terephthalate (‘‘PET’’) Resin from Indonesia,’’ (‘‘Indorama SVR’’) dated January 6, 2005; and ‘‘Verification Report on the Cost of Production and Constructed Value Data Submitted by P.T. Indorama Synthetics, Tbk,’’ (‘‘Indorama CVR’’) dated January 7, 2005. These reports are on file in the Central Records Unit, Room B–099 of the main Department building (‘‘CRU’’). On January 25, 2005, we received case briefs from the United States PET Resin Producers Coalition (‘‘the petitioner’’) and Indorama. On January 31, 2005, we received rebuttal briefs from the petitioner and Indorama. At the request of interested parties, the Department held a public hearing on February 3, 2005. Scope of Investigation The merchandise covered by this investigation is polyethylene terephthalate (‘‘PET’’) bottle-grade resin, defined as having an intrinsic viscosity of at least 0.68 deciliters per gram but not more than 0.86 deciliters per gram. The scope includes bottle-grade PET resin that contains various additives introduced in the manufacturing process. The scope does not include post-consumer recycle (‘‘PCR’’) or postindustrial recycle (‘‘PIR’’) PET resin; however, included in the scope is any bottle-grade PET resin blend of virgin PET bottle-grade resin and recycled PET (‘‘RPET’’). Waste and scrap PET are outside the scope of the investigation. Fiber-grade PET resin, which has an intrinsic viscosity of less than 0.68 deciliters per gram, is also outside the scope of the investigations. The merchandise subject to this investigation is properly classified under subheading 3907.60.0010 of the PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 Harmonized Tariff Schedule of the United States (‘‘HTSUS’’); however, merchandise classified under HTSUS subheading 3907.60.0050 that otherwise meets the written description of the scope is also subject to these investigations. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the merchandise under investigation is dispositive. Period of Investigation The period of investigation (‘‘POI’’) is January 1, 2003, through December 31, 2003. This period corresponds to the four most recent fiscal quarters prior to the filing of the petition on March 24, 2004. Verification As provided in section 782(i) of the Act, we conducted verification of the sales and cost information submitted by Indorama. We used standard verification procedures, including examination of the relevant sales, cost, and financial records. Analysis of Comments Received All issues raised in the case and rebuttal briefs by parties to this review are addressed in the ‘‘Issues and Decision Memorandum for the Final Determination in the Antidumping Duty Investigation of Bottle-Grade Polyethylene Terephthalate (PET) Resin from Indonesia’’ from Barbara E. Tillman, Acting Deputy Assistant Secretary for Import Administration, to Joseph A. Spetrini, Acting Assistant Secretary for Import Administration, dated March 14, 2005 (‘‘Decision Memorandum’’), which is hereby adopted by this notice. Attached to this notice as an appendix is a list of the issues which parties have raised and to which we have responded in the Decision Memorandum. Parties can find a complete discussion of all issues raised in this investigation and the corresponding recommendations in this public memorandum which is on file in the Department’s CRU. In addition, a complete version of the Decision Memorandum can be accessed directly on the Web at https://ia.ita.doc.gov/frn/ index.html. The paper copy and electronic version of the Decision Memorandum are identical in content. Facts Otherwise Available For the final determination, the Department continues to find that P.T. SK Keris (‘‘SK Keris’’) and P.T. Polypet Karyapersada (‘‘Polypet’’), both producers/exporters of PET resin from Indonesia, and mandatory respondents in these proceedings, did not act to the E:\FR\FM\21MRN1.SGM 21MRN1 Federal Register / Vol. 70, No. 53 / Monday, March 21, 2005 / Notices best of their abilities by failing to provide information requested by the Department. Thus, the Department continues to find that the use of adverse facts available (‘‘AFA’’) is warranted under section 776(a)(2) of the Act. See Preliminary Determination at 62861– 62863. Fair Value Comparisons We calculated export price (‘‘EP’’), constructed export price (‘‘CEP’’), normal value (‘‘NV’’), COP, and constructed value (‘‘CV’’) based on the same methodologies used in the Preliminary Determination with the following exception(s): Indorama • We made changes based on information in the minor corrections presented at the sales verification. See Indorama SVR. • We revised the calculation of CEP profit. See Decision Memorandum at Comment 3. • We revised the ratio for indirect selling expenses incurred in Indonesia for home market and U.S. sales. See Decision Memorandum at Comments 4 and 5; see also Memorandum to File, ‘‘Final Determination Calculation Memorandum for P.T. Indorama Synthetics Tbk,’’ dated March 14, 2005. • We adjusted the cost for inputs obtained from an affiliated supplier at less than arm’s length prices. As a result, Indorama’s cost of manufacture has increased. See Memorandum to Neal Halper, ‘‘Cost of Production and Constructed Value Calculation Adjustments for the Final Determination—P.T. Indorama Synthetics, Tbk’’ (March 14, 2004) (‘‘Cost Calculation Memorandum’’), page 1. • We revised Indorama’s general and administrative expense (‘‘G&A’’) ratio by including scrap revenue as an offset to cost of goods sold (‘‘COGS’’). See Cost Calculation Memorandum, pages 1–2. • We recalculated Indorama’s financial expense ratio. We deducted the short-term interest income from total interest expenses and included a scrap revenue offset in the COGS. See Cost Memorandum, page 2. Results of the COP Test Pursuant to section 773(b)(1), where less than 20 percent of the respondent’s sales of a given product are at prices less than the COP, we do not disregard any below-cost sales of that product, because we determine that in such instances the below-cost sales were not made in ‘‘substantial quantities.’’ Where 20 percent or more of a respondent’s sales of a given product are at prices less VerDate jul<14>2003 18:36 Mar 18, 2005 Jkt 205001 than the COP, we determine that the below-cost sales represent ‘‘substantial quantities’’ within an extended period of time, in accordance with section 773(b)(1)(A) of the Act. In such cases, we also determine whether such sales were made at prices which would not permit recovery of all costs within a reasonable period of time, in accordance with section 773(b)(1)(B) of the Act. If so, we disregard the below-cost sales. Because less than 20 percent of Indorama’s home market sales within an extended period of time were made at prices below the COP, we are not excluding any sales as the basis for determining NV, in accordance with section 773(b)(1) of the Act. Currency Conversions We made currency conversions into U.S. dollars in accordance with section 773A(a) of the Act based on the exchange rates in effect on the dates of the U.S. sales as certified by the Federal Reserve. Continuation of Suspension of Liquidation In accordance with section 735(c)(1)(B) of the Act, we are directing U.S. Customs and Border Protection (‘‘CBP’’) to continue to suspend liquidation of all imports of subject merchandise from Indonesia, except imports of subject merchandise produced and exported by Indorama, that are entered, or withdrawn from warehouse, for consumption on or after October 28, 2004, the date of publication of the Preliminary Determination in the Federal Register. CBP shall continue to require a cash deposit or the posting of a bond equal to the weighted-average amount by which the NV exceeds the EP or CEP, as indicated in the chart below. These suspension-of-liquidation instructions will remain in effect until further notice. The weighted-average dumping margins are as follows: Exporter/manufacturer P.T. Indorama Synthetics Tbk .. P.T. Polypet Karyapersada ...... P.T. SK Keris ............................ All Others .................................. Weightedaverage margin percentage 0.00 27.61 27.61 18.41 All Others All companies that we examined have either a zero margin or rates based on total AFA. Therefore, for purposes of determining the all-others rate and pursuant to section 735(c)(5)(B) of the Act, we have calculated a simple PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 13457 average of the three margin rates we have determined in the investigation. ITC Notification In accordance with section 735(d) of the Act, we have notified the International Trade Commission (‘‘ITC’’) of our determination. As our final determination is affirmative, the ITC will, within 45 days, determine whether these imports are materially injuring, or threatening material injury to, the U.S. industry. If the ITC determines that material injury, or threat of material injury, does not exist, the proceeding will be terminated and all securities posted will be refunded or canceled. If the ITC determines that such injury does exist, the Department will issue an antidumping duty order pursuant to section 736(a) of the Act. Notification Regarding APOs This notice also serves as the only reminder to parties subject to the administrative protective order (‘‘APO’’) of their responsibility concerning the disposition of proprietary information disclosed under APO in accordance with 19 CFR 351.305(a)(3), which continues to govern business proprietary information in this segment of the proceeding. Timely written notification of return/destruction of APO material or conversion to judicial protective order is hereby requested. Failure to comply with the regulation and the terms of an APO is a sanctionable violation. This determination is issued and published in accordance with sections 735(d) and 777(i)(1) of the Act. Dated: March 14, 2005. Joseph A. Spetrini, Acting Assistant Secretary for Import Administration. Appendix I—List of Comments in the Issues and Decision Memorandum Comment 1: Date of Sale for U.S. DDP Sales Comment 2: Classification of U.S. Sales Comment 3: Calculation of CEP Profit Comment 4: Allocation of Indirect Selling Expenses for Home Market and Export Sales Comment 5: Indirect Selling Expenses Incurred by Indorama’s Billing Entity Comment 6: Indirect Selling Expenses Incurred in the United States by Indorama and its Billing Entity Comment 7: Inclusion of Bank Charges as a Direct Selling Expense Comment 8: Treatment of Sample Sales Comment 9: Inclusion of Negative Imputed Credit Expenses Comment 10: Untimely Sales Reconciliation Submission Comment 11: Home Market Viability Test Comment 12: Affiliated Input Purchases Comment 13: Gains on Sale of Assets and Miscellaneous Revenue E:\FR\FM\21MRN1.SGM 21MRN1 13458 Federal Register / Vol. 70, No. 53 / Monday, March 21, 2005 / Notices Comment 14: Scrap Revenue Offset Comment 15: Divisional G&A and Net Interest Expense Comment 16: Short-Term Interest Income [FR Doc. E5–1222 Filed 3–18–05; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–122–822] Certain Corrosion-Resistant Carbon Steel Flat Products From Canada: Final Results of Antidumping Duty Administrative Review Import Administration, International Trade Administration, U.S. Department of Commerce. SUMMARY: On September 13, 2004, the Department of Commerce (Department) published the preliminary results of its administrative review of the antidumping duty order on certain corrosion-resistant carbon steel flat products (CORE) from Canada. See Certain Corrosion-Resistant Carbon Steel Flat Products From Canada: Preliminary Results of Antidumping Duty Administrative Review, 69 FR 55138 (September 13, 2004) (Preliminary Results). The review covers shipments of this merchandise to the United States for the period August 1, 2002, through July 31, 2003, by Stelco Inc. (‘‘Stelco’’) and the group of Dofasco Inc., Sorevco Inc., and Do Sol Galva Ltd. (‘‘Dofasco’’). We gave interested parties an opportunity to comment on our preliminary results. Based on our analysis of comments, we have made changes to the preliminary results. For the final dumping margins see the ‘‘Final Results of Review’’ section below. EFFECTIVE DATE: March 21, 2005. FOR FURTHER INFORMATION CONTACT: Sean Carey or Candice Kenney Weck, AD/CVD Operations, Office 6, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482–3964 or (202) 482– 0938, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background On September 13, 2004, the Department published the Preliminary Results. On October 8, 2004, the Department requested additional cost information regarding its model match characteristic regarding surface type. Dofasco submitted its response to this questionnaire on October 22, 2004. VerDate jul<14>2003 18:36 Mar 18, 2005 Jkt 205001 We gave interested parties an opportunity to comment on our Preliminary Results. On November 9, 2004 we received case briefs from Russel Metals Export (‘‘Russel’’) and Parkdale International (‘‘Parkdale’’), both are resellers and interested parties. On November 9, 2004, we received case briefs from Dofasco and United States Steel Corporation (‘‘Petitioner’’). On November 15, 2004, Dofasco withdrew Argument III from its case brief. On November 15, 2004, Petitioner filed two rebuttal briefs addressing comments submitted by Dofasco, Russel, and Parkdale. Stelco did not submit any briefs, and none of the parties requested a hearing. The Department has now completed this review in accordance with section 751 of the Tariff Act of 1930, as amended (the Act). Scope of the Review The product covered by this antidumping duty order is certain corrosion-resistant steel, and includes flat-rolled carbon steel products, of rectangular shape, either clad, plated, or coated with corrosion-resistant metals such as zinc, aluminum, or zinc-, aluminum-, nickel-or iron-based alloys, whether or not corrugated or painted, varnished or coated with plastics or other nonmetallic substances in addition to the metallic coating, in coils (whether or not in successively superimposed layers) and of a width of 0.5 inch or greater, or in straight lengths which, if of a thickness less than 4.75 millimeters, are of a width of 0.5 inch or greater and which measures at least 10 times the thickness or if of a thickness of 4.75 millimeters or more are of a width which exceeds 150 millimeters and measures at least twice the thickness, as currently classifiable in the Harmonized Tariff Schedule (HTS) under item numbers 7210.30.0030, 7210.30.0060, 7210.41.0000, 7210.49.0030, 7210.49.0090, 7210.61.0000, 7210.69.0000, 7210.70.6030, 7210.70.6060, 7210.70.6090, 7210.90.1000, 7210.90.6000, 7210.90.9000, 7212.20.0000, 7212.30.1030, 7212.30.1090, 7212.30.3000, 7212.30.5000, 7212.40.1000, 7212.40.5000, 7212.50.0000, 7212.60.0000, 7215.90.1000, 7215.90.3000, 7215.90.5000, 7217.20.1500, 7217.30.1530, 7217.30.1560, 7217.90.1000, 7217.90.5030, 7217.90.5060, and 7217.90.5090. Included in this order are corrosion-resistant flat-rolled products of non-rectangular cross-section where such cross-section is achieved subsequent to the rolling process (i.e., products which have been ‘‘worked PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 after rolling’’)— for example, products which have been beveled or rounded at the edges. Excluded from this order are flat-rolled steel products either plated or coated with tin, lead, chromium, chromium oxides, both tin and lead (‘‘terne plate’’), or both chromium and chromium oxides (‘‘tin-free steel’’), whether or not painted, varnished or coated with plastics or other nonmetallic substances in addition to the metallic coating. Also excluded from this order are clad products in straight lengths of 0.1875 inch or more in composite thickness and of a width which exceeds 150 millimeters and measures at least twice the thickness. Also excluded from this order are certain clad stainless flat-rolled products, which are three-layered corrosion-resistant carbon steel flatrolled products less than 4.75 millimeters in composite thickness that consist of a carbon steel flat-rolled product clad on both sides with stainless steel in a 20%–60%–20% ratio. Analysis of Comments Received All issues raised in the case and rebuttal briefs by parties to this administrative review are addressed in the Issues and Decision Memorandum for the Final Results of the Administrative Review of the Antidumping Duty Order on Certain Corrosion-Resistant Carbon Steel Flat Products From Canada, from Barbara E. Tillman to Joseph A. Spetrini, dated March 14, 2004 (Decision Memo), which is hereby adopted by this notice. A list of the issues which parties have raised and to which we have responded, all of which are in the Decision Memo, is attached to this notice as an appendix. Parties can find a complete discussion of all issues raised in this review and the corresponding recommendations in this public memorandum, which is on file in the Central Records Unit, room B–099 of the main Commerce Building. In addition, a complete version of the Decision Memo can be accessed directly on the Web at https://ia.ita.doc.gov. The paper copy and electronic version of the Decision Memo are identical in content. Changes Since the Preliminary Results Based on our analysis of comments received, we have made certain changes in the margin calculations for Dofasco. Any alleged programming or ministerial errors are discussed in the relevant section of the Decision Memo, accessible in room B–099 and on the Web at https://ia.ita.doc.gov. As a result of these changes, Dofasco’s rate is no longer de E:\FR\FM\21MRN1.SGM 21MRN1

Agencies

[Federal Register Volume 70, Number 53 (Monday, March 21, 2005)]
[Notices]
[Pages 13456-13458]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-1222]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-560-817]


Notice of Final Determination of Sales at Less Than Fair Value: 
Bottle-Grade Polyethylene Terephthalate (PET) Resin From Indonesia

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
    Final Determination: The Department of Commerce (``the 
Department'') determines that PET resin from Indonesia is being, or is 
likely to be, sold in the United States at less than fair value, as 
provided in section 735 of the Tariff Act of 1930, as amended (``the 
Act''). The final weighted-average dumping margins are listed below in 
the section entitled ``Continuation of Suspension of Liquidation.''

DATES: Effective Date: March 21, 2005.

FOR FURTHER INFORMATION CONTACT: Andrew McAllister or Scott Holland, 
AD/CVD Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone (202) 482-
1174 and (202) 482-1279, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Since the publication of the preliminary results of this review 
(see Notice of Preliminary Determination of Sales at Less Than Fair 
Value: Bottle-Grade Polyethylene Terephthalate (PET) Resin from 
Indonesia, 69 FR 62861 (October 28, 2004) (``Preliminary 
Determination'')), the following events have occurred:
    On November 3, 2004, the Department published in the Federal 
Register an extension of the time limit for the final determination in 
the antidumping duty investigation to no later than March 14, 2005, in 
accordance with the Act. See Notice of Postponement of Final 
Antidumping Duty Determination: Bottle-Grade Polyethylene Terephthalate 
(PET) Resin from Indonesia, 69 FR 64026 (November 3, 2004).
    In October and November 2004, we conducted verifications of the 
sales and cost of production (``COP'') questionnaire responses 
submitted by P.T. Indorama Synthetics Tbk (``Indorama''). The sales and 
cost verification reports were issued on January 6 and 7, 2005, 
respectively. See Memoranda to the File, ``Verification of the Sales 
Responses of P.T. Indorama Synthetics, Tbk in the Antidumping Duty 
Investigation of Bottle-Grade Polyethylene Terephthalate (``PET'') 
Resin from Indonesia,'' (``Indorama SVR'') dated January 6, 2005; and 
``Verification Report on the Cost of Production and Constructed Value 
Data Submitted by P.T. Indorama Synthetics, Tbk,'' (``Indorama CVR'') 
dated January 7, 2005. These reports are on file in the Central Records 
Unit, Room B-099 of the main Department building (``CRU'').
    On January 25, 2005, we received case briefs from the United States 
PET Resin Producers Coalition (``the petitioner'') and Indorama. On 
January 31, 2005, we received rebuttal briefs from the petitioner and 
Indorama. At the request of interested parties, the Department held a 
public hearing on February 3, 2005.

Scope of Investigation

    The merchandise covered by this investigation is polyethylene 
terephthalate (``PET'') bottle-grade resin, defined as having an 
intrinsic viscosity of at least 0.68 deciliters per gram but not more 
than 0.86 deciliters per gram. The scope includes bottle-grade PET 
resin that contains various additives introduced in the manufacturing 
process. The scope does not include post-consumer recycle (``PCR'') or 
post-industrial recycle (``PIR'') PET resin; however, included in the 
scope is any bottle-grade PET resin blend of virgin PET bottle-grade 
resin and recycled PET (``RPET''). Waste and scrap PET are outside the 
scope of the investigation. Fiber-grade PET resin, which has an 
intrinsic viscosity of less than 0.68 deciliters per gram, is also 
outside the scope of the investigations.
    The merchandise subject to this investigation is properly 
classified under subheading 3907.60.0010 of the Harmonized Tariff 
Schedule of the United States (``HTSUS''); however, merchandise 
classified under HTSUS subheading 3907.60.0050 that otherwise meets the 
written description of the scope is also subject to these 
investigations. Although the HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
merchandise under investigation is dispositive.

Period of Investigation

    The period of investigation (``POI'') is January 1, 2003, through 
December 31, 2003. This period corresponds to the four most recent 
fiscal quarters prior to the filing of the petition on March 24, 2004.

Verification

    As provided in section 782(i) of the Act, we conducted verification 
of the sales and cost information submitted by Indorama. We used 
standard verification procedures, including examination of the relevant 
sales, cost, and financial records.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this review are addressed in the ``Issues and Decision Memorandum for 
the Final Determination in the Antidumping Duty Investigation of 
Bottle-Grade Polyethylene Terephthalate (PET) Resin from Indonesia'' 
from Barbara E. Tillman, Acting Deputy Assistant Secretary for Import 
Administration, to Joseph A. Spetrini, Acting Assistant Secretary for 
Import Administration, dated March 14, 2005 (``Decision Memorandum''), 
which is hereby adopted by this notice. Attached to this notice as an 
appendix is a list of the issues which parties have raised and to which 
we have responded in the Decision Memorandum. Parties can find a 
complete discussion of all issues raised in this investigation and the 
corresponding recommendations in this public memorandum which is on 
file in the Department's CRU. In addition, a complete version of the 
Decision Memorandum can be accessed directly on the Web at https://
ia.ita.doc.gov/frn/. The paper copy and electronic version of 
the Decision Memorandum are identical in content.

Facts Otherwise Available

    For the final determination, the Department continues to find that 
P.T. SK Keris (``SK Keris'') and P.T. Polypet Karyapersada 
(``Polypet''), both producers/exporters of PET resin from Indonesia, 
and mandatory respondents in these proceedings, did not act to the

[[Page 13457]]

best of their abilities by failing to provide information requested by 
the Department. Thus, the Department continues to find that the use of 
adverse facts available (``AFA'') is warranted under section 776(a)(2) 
of the Act. See Preliminary Determination at 62861-62863.

Fair Value Comparisons

    We calculated export price (``EP''), constructed export price 
(``CEP''), normal value (``NV''), COP, and constructed value (``CV'') 
based on the same methodologies used in the Preliminary Determination 
with the following exception(s):

Indorama

     We made changes based on information in the minor 
corrections presented at the sales verification. See Indorama SVR.
     We revised the calculation of CEP profit. See Decision 
Memorandum at Comment 3.
     We revised the ratio for indirect selling expenses 
incurred in Indonesia for home market and U.S. sales. See Decision 
Memorandum at Comments 4 and 5; see also Memorandum to File, ``Final 
Determination Calculation Memorandum for P.T. Indorama Synthetics 
Tbk,'' dated March 14, 2005.
     We adjusted the cost for inputs obtained from an 
affiliated supplier at less than arm's length prices. As a result, 
Indorama's cost of manufacture has increased. See Memorandum to Neal 
Halper, ``Cost of Production and Constructed Value Calculation 
Adjustments for the Final Determination--P.T. Indorama Synthetics, 
Tbk'' (March 14, 2004) (``Cost Calculation Memorandum''), page 1.
     We revised Indorama's general and administrative expense 
(``G&A'') ratio by including scrap revenue as an offset to cost of 
goods sold (``COGS''). See Cost Calculation Memorandum, pages 1-2.
     We recalculated Indorama's financial expense ratio. We 
deducted the short-term interest income from total interest expenses 
and included a scrap revenue offset in the COGS. See Cost Memorandum, 
page 2.

Results of the COP Test

    Pursuant to section 773(b)(1), where less than 20 percent of the 
respondent's sales of a given product are at prices less than the COP, 
we do not disregard any below-cost sales of that product, because we 
determine that in such instances the below-cost sales were not made in 
``substantial quantities.'' Where 20 percent or more of a respondent's 
sales of a given product are at prices less than the COP, we determine 
that the below-cost sales represent ``substantial quantities'' within 
an extended period of time, in accordance with section 773(b)(1)(A) of 
the Act. In such cases, we also determine whether such sales were made 
at prices which would not permit recovery of all costs within a 
reasonable period of time, in accordance with section 773(b)(1)(B) of 
the Act. If so, we disregard the below-cost sales.
    Because less than 20 percent of Indorama's home market sales within 
an extended period of time were made at prices below the COP, we are 
not excluding any sales as the basis for determining NV, in accordance 
with section 773(b)(1) of the Act.

Currency Conversions

    We made currency conversions into U.S. dollars in accordance with 
section 773A(a) of the Act based on the exchange rates in effect on the 
dates of the U.S. sales as certified by the Federal Reserve.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we are 
directing U.S. Customs and Border Protection (``CBP'') to continue to 
suspend liquidation of all imports of subject merchandise from 
Indonesia, except imports of subject merchandise produced and exported 
by Indorama, that are entered, or withdrawn from warehouse, for 
consumption on or after October 28, 2004, the date of publication of 
the Preliminary Determination in the Federal Register. CBP shall 
continue to require a cash deposit or the posting of a bond equal to 
the weighted-average amount by which the NV exceeds the EP or CEP, as 
indicated in the chart below. These suspension-of-liquidation 
instructions will remain in effect until further notice. The weighted-
average dumping margins are as follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                   Exporter/manufacturer                        margin
                                                              percentage
------------------------------------------------------------------------
P.T. Indorama Synthetics Tbk...............................         0.00
P.T. Polypet Karyapersada..................................        27.61
P.T. SK Keris..............................................        27.61
All Others.................................................        18.41
------------------------------------------------------------------------

All Others

    All companies that we examined have either a zero margin or rates 
based on total AFA. Therefore, for purposes of determining the all-
others rate and pursuant to section 735(c)(5)(B) of the Act, we have 
calculated a simple average of the three margin rates we have 
determined in the investigation.

ITC Notification

    In accordance with section 735(d) of the Act, we have notified the 
International Trade Commission (``ITC'') of our determination. As our 
final determination is affirmative, the ITC will, within 45 days, 
determine whether these imports are materially injuring, or threatening 
material injury to, the U.S. industry. If the ITC determines that 
material injury, or threat of material injury, does not exist, the 
proceeding will be terminated and all securities posted will be 
refunded or canceled. If the ITC determines that such injury does 
exist, the Department will issue an antidumping duty order pursuant to 
section 736(a) of the Act.

Notification Regarding APOs

    This notice also serves as the only reminder to parties subject to 
the administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3), which continues to govern 
business proprietary information in this segment of the proceeding. 
Timely written notification of return/destruction of APO material or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulation and the terms of an APO is a sanctionable 
violation.
    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act.

    Dated: March 14, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.

Appendix I--List of Comments in the Issues and Decision Memorandum

Comment 1: Date of Sale for U.S. DDP Sales
Comment 2: Classification of U.S. Sales
Comment 3: Calculation of CEP Profit
Comment 4: Allocation of Indirect Selling Expenses for Home Market 
and Export Sales
Comment 5: Indirect Selling Expenses Incurred by Indorama's Billing 
Entity
Comment 6: Indirect Selling Expenses Incurred in the United States 
by Indorama and its Billing Entity
Comment 7: Inclusion of Bank Charges as a Direct Selling Expense
Comment 8: Treatment of Sample Sales
Comment 9: Inclusion of Negative Imputed Credit Expenses
Comment 10: Untimely Sales Reconciliation Submission
Comment 11: Home Market Viability Test
Comment 12: Affiliated Input Purchases
Comment 13: Gains on Sale of Assets and Miscellaneous Revenue

[[Page 13458]]

Comment 14: Scrap Revenue Offset
Comment 15: Divisional G&A and Net Interest Expense
Comment 16: Short-Term Interest Income

[FR Doc. E5-1222 Filed 3-18-05; 8:45 am]
BILLING CODE 3510-DS-P
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