Stainless Steel Bar from India: Preliminary Results of Antidumping Duty New Shipper Review, 40113-40117 [E7-14159]
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Federal Register / Vol. 72, No. 140 / Monday, July 23, 2007 / Notices
Determination Act of 2000 (Pub. L. 106–
393) for expenditure of Payments to
States Fresno County Title II funds.
DATES: The meeting will be held on
September 11, 2007 from 6:30 p.m. to 9
p.m.
ADDRESSES: The meeting will be held at
the High Sierra Ranger district, 29688
Auberry Road, Prather, California
93651. Send written comments to
Robbin Ekman, Fresno County Resource
Advisory Committee Coordinator, c/o
Sierra National Forest, High Sierra
Ranger District, 29688 Auberry Road,
Prather, CA 93651 or electronically to
rekman@fs.fed.us.
FOR FURTHER INFORMATION CONTACT:
Robbin Ekman, Fresno County Resource
Advisory Committee Coordinator, (559)
855–5355 ext. 3341.
SUPPLEMENTARY INFORMATION: The
meeting is open to the public.
Committee discussion is limited to
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members. However, persons who wish
to bring Payments to States Fresno
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staff before or after the meeting. Public
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individuals who made written requests
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those sessions. Agenda items to be
covered include: (1) Call for new
projects and (2) Public comment.
Dated: July 11, 2007.
Ray Porter,
District Ranger.
[FR Doc. 07–3529 Filed 7–20–07; 8:45 am]
BILLING CODE 3410–11–M
DEPARTMENT OF AGRICULTURE
Rural Housing Service
Request for Proposals (RFP):
Demonstration Program for
Agriculture, Aquaculture, and Seafood
Processing and/or Fishery Worker
Housing Grants
Rural Housing Service, USDA.
Notice; correction.
AGENCY:
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ACTION:
SUMMARY: The Rural Housing Service
published a document in the Federal
Register on July 17, 2007, requesting
proposals for housing demonstration
program for agriculture, aquaculture,
and seafood processing and/or fishery
workers grant funds. The deadline date
for the submission of applications was
inadvertently omitted from the notice.
FOR FURTHER INFORMATION CONTACT:
Henry Searcy, Jr., Senior Loan
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17:09 Jul 20, 2007
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Specialist, USDA, Rural Housing
Service, Multi-Family Housing
Processing Division, Stop 0781, Room
1263, 1400 Independence Avenue, SW.,
Washington, DC 20250–0781, telephone
(202) 720–1753. (This is not a toll-free
number.).
Correction
Dated: July 17, 2007.
Russell T. Davis,
Administrator, Rural Housing Service.
[FR Doc. E7–14183 Filed 7–20–07; 8:45 am]
BILLING CODE 3410–XV–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–588–804]
Ball Bearings and Parts Thereof from
Japan: Rescission of Amended Final
Results of Antidumping Duty
Administrative Review
Import Administration,
International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: July 11, 2007.
FOR FURTHER INFORMATION CONTACT:
Catherine Cartsos or Richard Rimlinger,
AD/CVD Operations, Office 5, Import
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue, NW, Washington, DC 20230;
telephone: (202) 482–1757 or (202) 482–
4477, respectively.
AGENCY:
Rescission of Amended Final Results
On July 11, 2007, the Department of
Commerce (the Department) published
amended final results of the
administrative review of the
antidumping duty order on ball bearings
and parts thereof from Japan for the
period May 1, 2000, through April 30,
2001. See Ball Bearings and Parts
Thereof from Japan: Amended Final
Results of Antidumping Duty
Administrative Review, 72 FR 37702
(July 11, 2007) (Amended Final Results).
We published the Amended Final
Results, which reflected a court
decision, mistakenly before that
decision became final and conclusive.
Therefore, the Department is rescinding
those Amended Final Results.
Frm 00004
Dated: July 16, 2007.
Stephen J. Claeys,
Deputy Assistant Secretary for Import
Administration.
[FR Doc. E7–14160 Filed 7–20–07; 8:45 am]
BILLING CODE 3510–DS–S
DEPARTMENT OF COMMERCE
In the Federal Register of July 17,
2007, in FR Doc. E7–13763, on page
39045, in the second column, the
‘‘DATES’’ caption should read:
DATES: The deadline for receipt of all
applications in response to this RFP is
5 p.m., eastern time, on August 31,
2007.
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International Trade Administration
[A–533–810]
Stainless Steel Bar from India:
Preliminary Results of Antidumping
Duty New Shipper Review
Import Administration,
International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: July 23, 2007.
SUMMARY: The Department of Commerce
is conducting a new shipper review of
the antidumping duty order on stainless
steel bar from India manufactured and
exported by Ambica Steels Limited
(‘‘Ambica’’). In these preliminary
results, we find that Ambica made sales
of subject merchandise below normal
value. Interested parties are invited to
comment on these preliminary results.
EFFECTIVE DATE: July 23, 2007.
FOR FURTHER INFORMATION CONTACT:
Devta Ohri or Brandon Farlander, 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) 482–3853 and (202)
482–0182, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On February 21, 1995, the Department
of Commerce (‘‘Department’’) published
in the Federal Register the antidumping
duty order on stainless steel bar (‘‘SSB’’)
from India. See Antidumping Duty
Orders: Stainless Steel Bar form Brazil,
India and Japan, 60 FR 9661 (February
21, 1995).
On August 31, 2006, the Department
received a request from Ambica to
conduct a new shipper review of the
antidumping duty order on stainless
steel bar from India. On September 26,
2006, the Department published in the
Federal Register, a notice of initiation of
a new shipper review of Ambica
covering the period February 1, 2006,
through July 31, 2006. See Stainless
Steel Bar from India: Notice of Initiation
of Antidumping Duty New Shipper
Review, 71 FR 56105 (September 26,
2006).
On September 26, 2006, the
Department issued an antidumping
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questionnaire to Ambica. We received
responses on October 26, 2006, and
November 29, 2006.
On December 19, 2006, the
petitioners1 alleged that Ambica made
sales below the cost of production
(‘‘COP’’). We found that the petitioners’
allegation provided a reasonable basis to
believe or suspect that sales by Ambica
in the home market had been made at
prices below the cost of production and
initiated a sales below cost investigation
on January 23, 2007. See Memorandum
from Devta Ohri, International Trade
Compliance Analyst, to Susan Kuhbach,
Senior Office Director, Office 1, AD/
CVD Operations, ‘‘Petitioners’
Allegation of Sales Below the Cost of
Production for Ambica Steels Limited,’’
dated January 23, 2007 (‘‘Sales Below
Cost Memorandum’’). On January 24,
2006, we requested that Ambica
respond to the Section D cost of
production section of the Department’s
original questionnaire. Ambica filed its
response to Section D on February 15,
2007.
On March 5, 2007, the Department
published an extension of the time limit
for the preliminary results of this new
shipper review to no later than July 17,
2007. See Stainless Steel Bar from India:
Notice of Extension of Time Limit for
the Preliminary Results of the 2006 New
Shipper Review, 72 FR 9732 (March 5,
2007).
We issued supplemental
questionnaires to Ambica in December
2006, March 2007, and April 2007.
Ambica responded in December 2006
and May 2007.
Scope of the Order
Imports covered by the order are
shipments of SSB. SSB means articles of
stainless steel in straight lengths that
have been either hot–rolled, forged,
turned, cold–drawn, cold–rolled or
otherwise cold–finished, or ground,
having a uniform solid cross section
along their whole length in the shape of
circles, segments of circles, ovals,
rectangles (including squares), triangles,
hexagons, octagons, or other convex
polygons. SSB includes cold–finished
SSBs that are turned or ground in
straight lengths, whether produced from
hot–rolled bar or from straightened and
cut rod or wire, and reinforcing bars that
have indentations, ribs, grooves, or
other deformations produced during the
rolling process.
Except as specified above, the term
does not include stainless steel semi–
finished products, cut–to-length flat–
1 Carpenter Technology Corporation, Valbruna
Slater Stainless, Inc., Electralloy Corporation, a
Division of G.O. Carlson, Inc.
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rolled products (i.e., cut–to-length
rolled products which if less than 4.75
mm in thickness have a width
measuring at least 10 times the
thickness, or if 4.75 mm or more in
thickness having a width which exceeds
150 mm and measures at least twice the
thickness), wire (i.e., cold–formed
products in coils, of any uniform solid
cross section along their whole length,
which do not conform to the definition
of flat–rolled products), and angles,
shapes, and sections.
The SSB subject to these reviews is
currently classifiable under subheadings
7222.11.00.05, 7222.11.00.50,
7222.19.00.05, 7222.19.00.50,
7222.20.00.05, 7222.20.00.45,
7222.20.00.75, and 7222.30.00.00 of the
Harmonized Tariff Schedule of the
United States (HTSUS). Although the
HTSUS subheadings are provided for
convenience and customs purposes, our
written description of the scope of the
order is dispositive.
On May 23, 2005, the Department
issued a final scope ruling that SSB
manufactured in the United Arab
Emirates out of stainless steel wire rod
from India is not subject to the scope of
this order. See Memorandum from Team
to Barbara E. Tillman, ‘‘Antidumping
Duty Orders on Stainless Steel Bar from
India and Stainless Steel Wire Rod from
India: Final Scope Ruling,’’ dated May
23, 2005, which is on file in the CRU in
room B–099 of the main Department
building. See also Notice of Scope
Rulings, 70 FR 55110 (September 20,
2005).
Verification
As provided in section 782(i)(3) of the
Tariff Act of 1930, as amended (‘‘the
Act’’), we intend to verify the
information provided by Ambica in
September or October 2007.
Period of Review
The period of review (‘‘POR’’) is
February 1, 2006, through July 31, 2006.
bona fide Analysis
Consistent with the Department’s
practice, we investigated whether the
U.S. transaction reported by Ambica
during the POR was a bona fide sale.
Among the factors examined was the
relationship between Ambica and its
reported U.S. customer. Based on our
investigation, we preliminarily
determine that Ambica’s sale was made
on a bona fide basis. For our complete
analysis, see Memorandum from Devta
Ohri, International Trade Compliance
Analyst to the File entitled, ‘‘bona fide
Nature of Ambica Steels Limited’s Sales
in the New Shipper Review for Stainless
Steel Bar from India,’’ dated July 17,
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2007, on file in room B–099 of the main
Department of Commerce building.
Applicable Statute
Unless otherwise indicated, all
citations to the Tariff Act of 1930, as
amended (‘‘the Act’’), are references to
the provisions effective January 1, 1995,
the effective date of the amendments
made to the Act by the Uruguay Round
Agreements Act. In addition, all
references to the Department of
Commerce’s regulations are to 19 CFR
Part 351 (2007).
Fair Value Comparisons
To determine whether Ambica’s sales
of SSB to the United States were made
at less than normal value (‘‘NV’’), we
compared export price (‘‘EP’’) to NV, as
described in the ‘‘Export Price’’ and
‘‘Normal Value’’ sections of this notice.
Pursuant to section 777A(d)(2) of the
Act, we compared the EP of individual
U.S. transactions to the weighted–
average NV of the foreign–like product,
where there were sales made in the
ordinary course of trade, as discussed in
the ‘‘Cost of Production Analysis’’
section, below.
Product Comparisons
In accordance with section 771(16) of
the Act, we considered all products
produced and sold by the respondent in
the home market covered by the
description in the ‘‘Scope of the Order’’
section, above, to be foreign–like
products for purposes of determining
appropriate product comparisons to
U.S. sales. In accordance with sections
773(a)(1)(B) and (C) of the Act, in order
to determine whether there was a
sufficient volume of sales in the home
market to serve as a viable basis for
calculating NV, we compared the
respondent’s volume of home market
sales of the foreign–like product to the
volume of its U.S. sales of the subject
merchandise. For further details, see the
‘‘Normal Value’’ section, below.
We compared U.S. sales to monthly
weighted–average prices of
contemporaneous sales made in the
home market based on the following
criteria: (1) General type of finish, (2)
Grade, (3) Remelting, (4) Type of final
finishing operation, (5) Shape, and (6)
Size. Where there were no home market
sales of foreign like product that were
identical in these respects to the
merchandise sold in the United States,
we compared U.S. products with the
most similar merchandise sold in the
home market based on the
characteristics listed above, in that order
of priority.
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Federal Register / Vol. 72, No. 140 / Monday, July 23, 2007 / Notices
Export Price
In accordance with section 772(a) of
the Act, EP is defined as the price at
which the subject merchandise is first
sold (or agreed to be sold) before the
date of importation by the producer or
exporter of the subject merchandise
outside of the United States to an
unaffiliated purchaser in the United
States, or to an unaffiliated purchaser
for exportation to the United States. In
accordance with section 772(b) of the
Act, constructed export price (‘‘CEP’’) is
the price at which the subject
merchandise is first sold (or agreed to be
sold) in the United States before or after
the date of importation by or for the
account of the producer or exporter of
such merchandise or by a seller
affiliated with the producer or exporter,
to a purchaser not affiliated with the
producer or exporter, as adjusted under
subsections (c) and (d).
For Ambica’s sales to the United
States, we used EP in accordance with
section 772(a) of the Act because
Ambica’s merchandise was sold directly
to the first unaffiliated purchaser prior
to importation, and CEP was not
otherwise warranted based on the facts
of record. We calculated EP based on
the packed cost, insurance, and freight
(‘‘CIF’’), or delivered duty paid (‘‘DDP’’)
price to the first unaffiliated purchaser
in the United States. We made
deductions for movement expenses in
accordance with section 772(c)(2)(A) of
the Act, including domestic inland
freight (plant/warehouse to port of exit),
international freight, marine insurance,
U.S. customs duty, brokerage and
handling, and clearing house agent
(‘‘CHA’’) expenses.
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Duty Drawback
Section 772(c)(1)(B) of the Tariff Act
provides that EP or CEP shall be
increased by among other things, ‘‘the
amount of any import duties imposed
by the country of exportation which
have been rebated, or which have not
been collected, by reason of the
exportation of the subject merchandise
to the United States.’’ The Department
determines that an adjustment to U.S.
price for claimed duty drawback is
appropriate when a company can
demonstrate: (1) that the ‘‘import duty
and rebate are directly linked to, and
dependent upon, one another;’’ and (2)
‘‘the company claiming the adjustment
can show that there were sufficient
imports of the imported raw materials to
account for the drawback received on
the exported product.’’ Rajinder Pipes,
Ltd. v. United States, 70 F. Supp. 2d
1350, 1358 (Ct. Int’l Trade 1999).
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Ambica claimed a duty drawback
adjustment based on its participation in
the Indian government’s Duty
Entitlement Passbook Program. The
Department finds that Ambica has not
provided substantial evidence on the
record to meet the requirement for the
first prong of the two–prong test, by
establishing the necessary link between
the import duty and the reported duty
drawback. Therefore, because Ambica
has failed to meet the Department’s
requirements, we are denying Ambica’s
request for a duty drawback adjustment
for the preliminary results. See
Memorandum from Team to the File
‘‘Preliminary Results Calculation
Memorandum for Ambica Steels
Limited,’’ dated July 17, 2007
(‘‘Preliminary Results Calculation
Memorandum’’).
Normal Value
A. Home Market Viability
In order to determine whether there is
a sufficient volume of sales in the home
market to serve as a viable basis for
calculating NV (i.e., the aggregate
volume of home market sales of the
foreign–like product during the POR is
equal to or greater than five percent of
the aggregate volume of U.S. sales of
subject merchandise during the POR),
we compared Ambica’s volume of home
market sales of the foreign–like product
to the volume of U.S. sales of subject
merchandise, in accordance with
773(a)(1)(C) of the Act. Based on
Ambica’s reported home market and
U.S. sales quantities, we determine that
the volume of aggregate home market
sales during the POR is equal to or
greater than five percent of the aggregate
volume of U.S. sales of subject
merchandise during the POR.
Accordingly, we find that Ambica had
a viable home market. Therefore, we
based NV on home market sales to
unaffiliated purchasers made in the
usual quantities and in the ordinary
course of trade.
B. Level of Trade
Section 773(a)(1)(B)(i) of the Act
states that, to the extent practicable, the
Department will calculate NV based on
sales at the same level of trade (‘‘LOT’’)
as the EP. Sales are made at different
LOTs if they are made at different
marketing stages (or their equivalent).
See 19 CFR 351.412(c)(2). Substantial
differences in selling activities are a
necessary, but not sufficient, condition
for determining that there is a difference
in the stages of marketing. See 19 CFR
351.412(c)(2); see also Notice of Final
Determination of Sales at Less Than
Fair Value: Certain Cut–to-Length
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40115
Carbon Steel Plate From South Africa,
62 FR 61731, 61732 (November 19,
1997). In order to determine whether the
comparison market sales were made at
different stages in the marketing process
than the U.S. sales, we reviewed the
distribution system in each market (i.e.,
the ‘‘chain of distribution’’),2 including
selling functions,3 class of customer
(‘‘customer category’’), and the level of
selling expenses for each type of sale.
Pursuant to section 773(a)(7)(A) of the
Act, in identifying levels of trade for EP
and comparison market sales (i.e., NV
based on either home market or third
country prices),4 we consider the
starting prices before any adjustments.
See Micron Technology, Inc. v. United
States, et al., 243 F.3d 1301, 1314–1315
(Fed. Cir. 2001) (affirming this
methodology).
When the Department is unable to
match U.S. sales to sales of the foreign–
like product in the comparison market
at the same LOT as the EP, the
Department may compare the U.S. sale
to sales at a different LOT in the
comparison market. In comparing EP
sales at a different LOT in the
comparison market, where available
data show that the difference in LOT
affects price comparability, we make a
LOT adjustment under section
773(a)(7)(A) of the Act.
Ambica reported that its customer
base in the home market consists of
processors, and in the U.S. market, it
consists of distributors. See December
28, 2006 supplemental questionnaire
response (‘‘SQR’’) at Annexure C
(‘‘Selling Functions Chart’’). In addition,
Ambica has reported two channels of
distribution in the home market and one
channel distribution in the U.S. market.
See December 28, 2006 SQR at 6. In the
first channel of distribution in the home
market, Ambica made sales directly to
its home market customers from the
factory. In the second channel of
distribution in the home market,
Ambica made sales directly to its home
2 The marketing process in the United States and
comparison markets begins with the producer and
extends to the sale to the final user or customer.
The chain of distribution between the two may have
many or few links, and the respondent’s sales occur
somewhere along this chain. In performing this
evaluation, we considered the narrative responses
of the respondent to properly determine where in
the chain of distribution the sale appears to occur.
3 Selling functions associated with a particular
chain of distribution help us to evaluate the level(s)
of trade in a particular market. For purposes of
these preliminary results, we have organized the
common selling functions into four major
categories: sales process and marketing support,
freight and delivery, inventory and warehousing,
and quality assurance/warranty services.
4 Where NV is based on CV, we determine the NV
LOT based on the LOT of the sales from which we
derive selling expenses, general and administrative
expenses, and profit for CV, where possible.
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market customers via Ambica’s
distribution warehouses. In Ambica’s
single channel of distribution to the U.S.
market, Ambica made sales directly to
its customer.
Ambica reported a single LOT in both
the home market and the U.S. market,
and has not requested an LOT
adjustment. Ambica stated that an LOT
adjustment is not applicable because
Ambica does not make any additional
efforts for sales to either export markets
or in the domestic market. See
November 29, 2006 section B
questionnaire response at 21, November
29, 2006 section C questionnaire
response at 22; see also May 11, 2007
section A, B, C and D SQR at 17–18.
We examined the information
reported by Ambica regarding the type
and level of selling functions performed,
and customer categories. Specifically,
we considered the extent to which, for
instance, sales process/marketing
support, freight/delivery, inventory
maintenance, and quality assurance/
warranty service varied with respect to
the different customer categories and
channels of distribution (i.e.,
distributors and processors) across the
markets.
We preliminary find the LOTs for the
home market channels of distribution
similar with regard to sales and
marketing, and quality assurance/
warranty service. We note some
differences with regard to freight and
warehousing in the home market
channels of distribution and intend to
issue a supplemental questionnaire to
Ambica to further clarify the extent of
the selling activities in these particular
selling functions. However, based on the
current record of this proceeding, for
purposes of these preliminary results,
we consider the home market to
constitute a single LOT. We compared
the U.S. LOT to the LOT reported for
sales in the home market. We found the
LOT in the United States to be similar
to the LOT in the home market. Thus,
we preliminarily have compared U.S.
sales to home market sales at the same
LOT.
C. Cost of Production Analysis
As discussed above, the petitioners
provided a reasonable basis to believe or
suspect that sales by Ambica in the
home market had been made at prices
below the cost of production (‘‘COP’’)
within the meaning of section 773(b) of
the Act and we initiated a sales below
cost investigation on January 23, 2007.
See Sales Below Cost Memorandum.
1. Calculation of COP
We calculated the COP on a product–
specific basis, based on the sum of the
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respondent’s cost of materials and
fabrication for the foreign–like product,
plus amounts for general and
administrative (‘‘G&A’’) expenses,
interest expenses, and the cost of all
expenses incidental to placing the
foreign–like product packed and in a
condition ready for shipment, in
accordance with section 773(b)(3) of the
Act.
Ambica reported its costs based on
the period January through June 2006,
rather than the POR (February 1, 2006
through July 31, 2006). We have relied
on Ambica’s submission for these
preliminary results, but we intend to
seek Ambica’s POR costs in a
supplemental questionnaire.
We made the following adjustment to
Ambica’s reported cost:
• We adjusted Ambica’s straightening
and finishing costs for cold–rolled
products to include the actual
conversion costs of Unit II incurred
during the cost reporting period.
See Preliminary Results Calculation
Memorandum.
2. Test of Home Market Prices
On a product–specific basis, we
compared the adjusted weighted–
average COP figures for the POR to the
home market sales of the foreign–like
product, as required under section
773(b) of the Act, to determine whether
these sales were made at prices below
the COP. The prices were exclusive of
any applicable movement charges and
indirect selling expenses. In
determining whether to disregard home
market sales made at prices less than
their COP, we examined, in accordance
with sections 773(b)(1)(A) and (B) of the
Act, whether such sales were made: (1)
within an extended period of time in
substantial quantities; and (2) at prices
which permitted the recovery of all
costs within a reasonable period of time.
3. Results of the COP Test
Pursuant to section 773(b)(1) of the
Act, where less than 20 percent of a
respondent’s sales of a given product are
made at prices below 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 in such instances 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
are made at prices which would not
permit recovery of all costs within a
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reasonable period of time, in accordance
with section 773(b)(1)(B) of the Act. If
so, we disregard the below–cost sales.
We found that, for certain products,
more than 20 percent of Ambica’s home
market sales were at prices less than the
COP. Further, the prices at which the
merchandise under review was sold did
not provide for the recovery of costs
within a reasonable period of time. See
sections 773 (b)(2)(B), (C), and (D).
Therefore, we disregarded these below–
cost sales and used the remaining sales
as the basis for determining NV, in
accordance with section 773(b)(1) of the
Act.
D. Calculation of Normal Value Based
on Home Market Prices
We relied on Ambica’s submitted
home market sales information, except
for the following adjustment:
• We excluded from the home market
sales database those sales which
Ambica made to domestic
customers which were ultimately
destined for export.
See Preliminary Results Calculation
Memorandum.
We are not making any adjustment for
discounting charges, bank commissions,
and postal charges that Ambica may
have paid on letter of credit sales in the
home market. Ambica has not requested
an adjustment for these expenses for the
preliminary results and the supporting
documentation provided by Ambica at
Annexure E of the May 2, 2007 SQR
does not tie to the home market sales
database. We will address this issue
further in a supplemental questionnaire.
We calculated NV based on ex–factory
prices to unaffiliated customers in the
home market. We made adjustments for
packing expenses in accordance with
sections 773(a)(6)(A) of the Act. We also
made adjustments, consistent with
section 773(a)(6)(B)(ii) of the Act, for
inland freight from plant to the
distribution warehouse, warehouse
expenses, inland freight from the plant/
warehouse to the customer, and inland
insurance. In addition, we made
adjustments for differences in
circumstances of sale (‘‘COS’’), in
accordance with section 773(a)(6)(C)(iii)
of the Act and 19 CFR 351.410. We
made COS adjustments, where
appropriate, by deducting direct selling
expenses incurred on home market sales
(i.e., imputed credit expenses (offset by
the addition of interest revenue), and
commissions) and adding U.S. direct
selling expenses (i.e., imputed credit
expenses, commissions, and fumigation
expenses). See Preliminary Results
Calculation Memorandum.
E:\FR\FM\23JYN1.SGM
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Federal Register / Vol. 72, No. 140 / Monday, July 23, 2007 / Notices
40117
Preliminary Results of Review
Cash Deposit Requirements
DEPARTMENT OF COMMERCE
We find that the following dumping
margin exists for the period February 1,
2006 through July 31, 2006:
The following cash deposit
requirements will be effective upon
publication of the final results of this
new shipper review for all shipments of
SSB from India entered, or withdrawn
from warehouse, for consumption on or
after the publication date, as provided
for by section 751(a)(1) of the Act: (1)
the cash deposit rate for Ambica will be
the rate established in the final results
of this new shipper review (except no
cash deposit will be required if its
weighted–average margin is de minimis,
i.e., less than 0.5 percent); (2) if the
exporter is not a firm covered in this
review, but was covered in a previous
review or the original less than fair
value (‘‘LTFV’’) investigation, the cash
deposit rate will continue to be the
company–specific rate published for the
most recent period; (3) if the exporter is
not a firm covered in this review, a
previous review, or the original LTFV
investigation, but the manufacturer is,
the cash deposit rate will be the rate
established for the most recent period
for the manufacturer of the
merchandise; and (4) the cash deposit
rate for all other manufacturers and/or
exporters of this merchandise, shall be
12.45 percent, the ‘‘all others’’ rate
established in the LTFV investigation.
See Notice of Final Determination of
Sales at Less Than Fair Value: Stainless
Steel Bar from India, 59 FR 66915,
(December 28, 1994). These
requirements, when imposed, shall
remain in effect until further notice.
International Trade Administration
Exporter/manufacturer
Weighted–average
margin percentage
Ambica Steels Limited ..
22.63
Public Comment
The Department will disclose to
parties the calculations performed in
connection with these preliminary
results within five days of the date of
publication of this notice. Interested
parties may request a hearing within 30
days of publication of this notice. Any
hearing, if requested, will be held two
days after the date rebuttal briefs are
filed. Pursuant to 19 CFR 351.309(c),
interested parties may submit cases
briefs not later than 30 days after the
date of publication of this notice. Parties
who submit briefs in these proceedings
should provide a summary of the
arguments not to exceed five pages and
a table of statutes, regulations, and cases
cited. Rebuttal briefs, limited to issues
raised in the case briefs, may be filed
not later than 37 days after the date of
publication of this notice. See 19 CFR
351.309(d). Copies of case briefs and
rebuttal briefs must be served on
interested parties in accordance with 19
CFR 351.303(f)(3). The Department will
issue the final results of this new
shipper review within 90 days from the
issuance of these preliminary results.
sroberts on PROD1PC70 with NOTICES
Assessment Rates
If these preliminary results are
adopted in the final results, we will
instruct U.S. Customs and Border
Protection (CBP) to assess antidumping
duties on all appropriate entries.
The Department clarified its
‘‘automatic assessment’’ regulation on
May 6, 2003. See Antidumping and
Countervailing Duty Proceedings:
Assessment of Antidumping Duties, 68
FR 23954 (May 6, 2003). This
clarification will apply to entries of
subject merchandise during the period
of review produced by the respondent
for which it did not know its
merchandise was destined for the
United States. In such instances, we will
instruct CBP to liquidate unreviewed
entries at the all–others rate if there is
no rate for the intermediate
company(ies) involved in the
transaction. For a full discussion of this
clarification, see Antidumping and
Countervailing Duty Proceedings:
Assessment of Antidumping Duties, 68
FR 23954 (May 6, 2003).
VerDate Aug<31>2005
17:09 Jul 20, 2007
Jkt 211001
Notification to Interested Parties
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 this
notice in accordance with sections
751(a)(1) and 777(i)(1) of the Act.
Dated: July 17, 2007.
Joseph A. Spetrini,
Deputy Assistant Secretary for Import
Administration.
[FR Doc. E7–14159 Filed 7–20–07; 8:45 am]
BILLING CODE 3510–DS–S
PO 00000
Frm 00008
Fmt 4703
Sfmt 4703
Export Trade Certificate of Review
Notice of application for an
Export Trade Certificate of Review from
East International Holdings, LLC.
ACTION:
SUMMARY: Export Trading Company
Affairs (‘‘ETCA’’), International Trade
Administration, Department of
Commerce, has received an application
for an Export Trade Certificate of
Review (‘‘Certificate’’). This notice
summarizes the conduct for which
certification is sought and requests
comments relevant to whether the
Certificate should be issued.
FOR FURTHER INFORMATION CONTACT:
Jeffrey Anspacher, Director, Export
Trading Company Affairs, International
Trade Administration, by telephone at
(202) 482–5131 (this is not a toll-free
number) or e-mail at oetca@ita.doc.gov.
SUPPLEMENTARY INFORMATION: Title III of
the Export Trading Company Act of
1982 (15 U.S.C. 4001–21) authorizes the
Secretary of Commerce to issue Export
Trade Certificates of Review. An Export
Trade Certificate of Review protects the
holder and the members identified in
the Certificate from state and federal
government antitrust actions and from
private treble damage antitrust actions
for the export conduct specified in the
Certificate and carried out in
compliance with its terms and
conditions. Section 302(b)(1) of the
Export Trading Company Act of 1982
and 15 CFR 325.6(a) require the
Secretary to publish a notice in the
Federal Register identifying the
applicant and summarizing its proposed
export conduct.
Request for Public Comments
Interested parties may submit written
comments relevant to the determination
whether a Certificate should be issued.
If the comments include any privileged
or confidential business information, it
must be clearly marked and a
nonconfidential version of the
comments (identified as such) should be
included. Any comments not marked
privileged or confidential business
information will be deemed to be
nonconfidential. An original and five (5)
copies, plus two (2) copies of the
nonconfidential version, should be
submitted no later than 20 days after the
date of this notice to: Export Trading
Company Affairs, International Trade
Administration, U.S. Department of
Commerce, Room 702–B H, Washington,
DC 20230. Information submitted by any
person is exempt from disclosure under
E:\FR\FM\23JYN1.SGM
23JYN1
Agencies
[Federal Register Volume 72, Number 140 (Monday, July 23, 2007)]
[Notices]
[Pages 40113-40117]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-14159]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-533-810]
Stainless Steel Bar from India: Preliminary Results of
Antidumping Duty New Shipper Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: July 23, 2007.
SUMMARY: The Department of Commerce is conducting a new shipper review
of the antidumping duty order on stainless steel bar from India
manufactured and exported by Ambica Steels Limited (``Ambica''). In
these preliminary results, we find that Ambica made sales of subject
merchandise below normal value. Interested parties are invited to
comment on these preliminary results.
EFFECTIVE DATE: July 23, 2007.
FOR FURTHER INFORMATION CONTACT: Devta Ohri or Brandon Farlander, 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) 482-3853
and (202) 482-0182, respectively.
SUPPLEMENTARY INFORMATION:
Background
On February 21, 1995, the Department of Commerce (``Department'')
published in the Federal Register the antidumping duty order on
stainless steel bar (``SSB'') from India. See Antidumping Duty Orders:
Stainless Steel Bar form Brazil, India and Japan, 60 FR 9661 (February
21, 1995).
On August 31, 2006, the Department received a request from Ambica
to conduct a new shipper review of the antidumping duty order on
stainless steel bar from India. On September 26, 2006, the Department
published in the Federal Register, a notice of initiation of a new
shipper review of Ambica covering the period February 1, 2006, through
July 31, 2006. See Stainless Steel Bar from India: Notice of Initiation
of Antidumping Duty New Shipper Review, 71 FR 56105 (September 26,
2006).
On September 26, 2006, the Department issued an antidumping
[[Page 40114]]
questionnaire to Ambica. We received responses on October 26, 2006, and
November 29, 2006.
On December 19, 2006, the petitioners\1\ alleged that Ambica made
sales below the cost of production (``COP''). We found that the
petitioners' allegation provided a reasonable basis to believe or
suspect that sales by Ambica in the home market had been made at prices
below the cost of production and initiated a sales below cost
investigation on January 23, 2007. See Memorandum from Devta Ohri,
International Trade Compliance Analyst, to Susan Kuhbach, Senior Office
Director, Office 1, AD/CVD Operations, ``Petitioners' Allegation of
Sales Below the Cost of Production for Ambica Steels Limited,'' dated
January 23, 2007 (``Sales Below Cost Memorandum''). On January 24,
2006, we requested that Ambica respond to the Section D cost of
production section of the Department's original questionnaire. Ambica
filed its response to Section D on February 15, 2007.
---------------------------------------------------------------------------
\1\ Carpenter Technology Corporation, Valbruna Slater Stainless,
Inc., Electralloy Corporation, a Division of G.O. Carlson, Inc.
---------------------------------------------------------------------------
On March 5, 2007, the Department published an extension of the time
limit for the preliminary results of this new shipper review to no
later than July 17, 2007. See Stainless Steel Bar from India: Notice of
Extension of Time Limit for the Preliminary Results of the 2006 New
Shipper Review, 72 FR 9732 (March 5, 2007).
We issued supplemental questionnaires to Ambica in December 2006,
March 2007, and April 2007. Ambica responded in December 2006 and May
2007.
Scope of the Order
Imports covered by the order are shipments of SSB. SSB means
articles of stainless steel in straight lengths that have been either
hot-rolled, forged, turned, cold-drawn, cold-rolled or otherwise cold-
finished, or ground, having a uniform solid cross section along their
whole length in the shape of circles, segments of circles, ovals,
rectangles (including squares), triangles, hexagons, octagons, or other
convex polygons. SSB includes cold-finished SSBs that are turned or
ground in straight lengths, whether produced from hot-rolled bar or
from straightened and cut rod or wire, and reinforcing bars that have
indentations, ribs, grooves, or other deformations produced during the
rolling process.
Except as specified above, the term does not include stainless
steel semi-finished products, cut-to-length flat-rolled products (i.e.,
cut-to-length rolled products which if less than 4.75 mm in thickness
have a width measuring at least 10 times the thickness, or if 4.75 mm
or more in thickness having a width which exceeds 150 mm and measures
at least twice the thickness), wire (i.e., cold-formed products in
coils, of any uniform solid cross section along their whole length,
which do not conform to the definition of flat-rolled products), and
angles, shapes, and sections.
The SSB subject to these reviews is currently classifiable under
subheadings 7222.11.00.05, 7222.11.00.50, 7222.19.00.05, 7222.19.00.50,
7222.20.00.05, 7222.20.00.45, 7222.20.00.75, and 7222.30.00.00 of the
Harmonized Tariff Schedule of the United States (HTSUS). Although the
HTSUS subheadings are provided for convenience and customs purposes,
our written description of the scope of the order is dispositive.
On May 23, 2005, the Department issued a final scope ruling that
SSB manufactured in the United Arab Emirates out of stainless steel
wire rod from India is not subject to the scope of this order. See
Memorandum from Team to Barbara E. Tillman, ``Antidumping Duty Orders
on Stainless Steel Bar from India and Stainless Steel Wire Rod from
India: Final Scope Ruling,'' dated May 23, 2005, which is on file in
the CRU in room B-099 of the main Department building. See also Notice
of Scope Rulings, 70 FR 55110 (September 20, 2005).
Verification
As provided in section 782(i)(3) of the Tariff Act of 1930, as
amended (``the Act''), we intend to verify the information provided by
Ambica in September or October 2007.
Period of Review
The period of review (``POR'') is February 1, 2006, through July
31, 2006.
bona fide Analysis
Consistent with the Department's practice, we investigated whether
the U.S. transaction reported by Ambica during the POR was a bona fide
sale. Among the factors examined was the relationship between Ambica
and its reported U.S. customer. Based on our investigation, we
preliminarily determine that Ambica's sale was made on a bona fide
basis. For our complete analysis, see Memorandum from Devta Ohri,
International Trade Compliance Analyst to the File entitled, ``bona
fide Nature of Ambica Steels Limited's Sales in the New Shipper Review
for Stainless Steel Bar from India,'' dated July 17, 2007, on file in
room B-099 of the main Department of Commerce building.
Applicable Statute
Unless otherwise indicated, all citations to the Tariff Act of
1930, as amended (``the Act''), are references to the provisions
effective January 1, 1995, the effective date of the amendments made to
the Act by the Uruguay Round Agreements Act. In addition, all
references to the Department of Commerce's regulations are to 19 CFR
Part 351 (2007).
Fair Value Comparisons
To determine whether Ambica's sales of SSB to the United States
were made at less than normal value (``NV''), we compared export price
(``EP'') to NV, as described in the ``Export Price'' and ``Normal
Value'' sections of this notice.
Pursuant to section 777A(d)(2) of the Act, we compared the EP of
individual U.S. transactions to the weighted-average NV of the foreign-
like product, where there were sales made in the ordinary course of
trade, as discussed in the ``Cost of Production Analysis'' section,
below.
Product Comparisons
In accordance with section 771(16) of the Act, we considered all
products produced and sold by the respondent in the home market covered
by the description in the ``Scope of the Order'' section, above, to be
foreign-like products for purposes of determining appropriate product
comparisons to U.S. sales. In accordance with sections 773(a)(1)(B) and
(C) of the Act, in order to determine whether there was a sufficient
volume of sales in the home market to serve as a viable basis for
calculating NV, we compared the respondent's volume of home market
sales of the foreign-like product to the volume of its U.S. sales of
the subject merchandise. For further details, see the ``Normal Value''
section, below.
We compared U.S. sales to monthly weighted-average prices of
contemporaneous sales made in the home market based on the following
criteria: (1) General type of finish, (2) Grade, (3) Remelting, (4)
Type of final finishing operation, (5) Shape, and (6) Size. Where there
were no home market sales of foreign like product that were identical
in these respects to the merchandise sold in the United States, we
compared U.S. products with the most similar merchandise sold in the
home market based on the characteristics listed above, in that order of
priority.
[[Page 40115]]
Export Price
In accordance with section 772(a) of the Act, EP is defined as the
price at which the subject merchandise is first sold (or agreed to be
sold) before the date of importation by the producer or exporter of the
subject merchandise outside of the United States to an unaffiliated
purchaser in the United States, or to an unaffiliated purchaser for
exportation to the United States. In accordance with section 772(b) of
the Act, constructed export price (``CEP'') is the price at which the
subject merchandise is first sold (or agreed to be sold) in the United
States before or after the date of importation by or for the account of
the producer or exporter of such merchandise or by a seller affiliated
with the producer or exporter, to a purchaser not affiliated with the
producer or exporter, as adjusted under subsections (c) and (d).
For Ambica's sales to the United States, we used EP in accordance
with section 772(a) of the Act because Ambica's merchandise was sold
directly to the first unaffiliated purchaser prior to importation, and
CEP was not otherwise warranted based on the facts of record. We
calculated EP based on the packed cost, insurance, and freight
(``CIF''), or delivered duty paid (``DDP'') price to the first
unaffiliated purchaser in the United States. We made deductions for
movement expenses in accordance with section 772(c)(2)(A) of the Act,
including domestic inland freight (plant/warehouse to port of exit),
international freight, marine insurance, U.S. customs duty, brokerage
and handling, and clearing house agent (``CHA'') expenses.
Duty Drawback
Section 772(c)(1)(B) of the Tariff Act provides that EP or CEP
shall be increased by among other things, ``the amount of any import
duties imposed by the country of exportation which have been rebated,
or which have not been collected, by reason of the exportation of the
subject merchandise to the United States.'' The Department determines
that an adjustment to U.S. price for claimed duty drawback is
appropriate when a company can demonstrate: (1) that the ``import duty
and rebate are directly linked to, and dependent upon, one another;''
and (2) ``the company claiming the adjustment can show that there were
sufficient imports of the imported raw materials to account for the
drawback received on the exported product.'' Rajinder Pipes, Ltd. v.
United States, 70 F. Supp. 2d 1350, 1358 (Ct. Int'l Trade 1999).
Ambica claimed a duty drawback adjustment based on its
participation in the Indian government's Duty Entitlement Passbook
Program. The Department finds that Ambica has not provided substantial
evidence on the record to meet the requirement for the first prong of
the two-prong test, by establishing the necessary link between the
import duty and the reported duty drawback. Therefore, because Ambica
has failed to meet the Department's requirements, we are denying
Ambica's request for a duty drawback adjustment for the preliminary
results. See Memorandum from Team to the File ``Preliminary Results
Calculation Memorandum for Ambica Steels Limited,'' dated July 17, 2007
(``Preliminary Results Calculation Memorandum'').
Normal Value
A. Home Market Viability
In order to determine whether there is a sufficient volume of sales
in the home market to serve as a viable basis for calculating NV (i.e.,
the aggregate volume of home market sales of the foreign-like product
during the POR is equal to or greater than five percent of the
aggregate volume of U.S. sales of subject merchandise during the POR),
we compared Ambica's volume of home market sales of the foreign-like
product to the volume of U.S. sales of subject merchandise, in
accordance with 773(a)(1)(C) of the Act. Based on Ambica's reported
home market and U.S. sales quantities, we determine that the volume of
aggregate home market sales during the POR is equal to or greater than
five percent of the aggregate volume of U.S. sales of subject
merchandise during the POR. Accordingly, we find that Ambica had a
viable home market. Therefore, we based NV on home market sales to
unaffiliated purchasers made in the usual quantities and in the
ordinary course of trade.
B. Level of Trade
Section 773(a)(1)(B)(i) of the Act states that, to the extent
practicable, the Department will calculate NV based on sales at the
same level of trade (``LOT'') as the EP. Sales are made at different
LOTs if they are made at different marketing stages (or their
equivalent). See 19 CFR 351.412(c)(2). Substantial differences in
selling activities are a necessary, but not sufficient, condition for
determining that there is a difference in the stages of marketing. See
19 CFR 351.412(c)(2); see also Notice of Final Determination of Sales
at Less Than Fair Value: Certain Cut-to-Length Carbon Steel Plate From
South Africa, 62 FR 61731, 61732 (November 19, 1997). In order to
determine whether the comparison market sales were made at different
stages in the marketing process than the U.S. sales, we reviewed the
distribution system in each market (i.e., the ``chain of
distribution''),\2\ including selling functions,\3\ class of customer
(``customer category''), and the level of selling expenses for each
type of sale.
---------------------------------------------------------------------------
\2\ The marketing process in the United States and comparison
markets begins with the producer and extends to the sale to the
final user or customer. The chain of distribution between the two
may have many or few links, and the respondent's sales occur
somewhere along this chain. In performing this evaluation, we
considered the narrative responses of the respondent to properly
determine where in the chain of distribution the sale appears to
occur.
\3\ Selling functions associated with a particular chain of
distribution help us to evaluate the level(s) of trade in a
particular market. For purposes of these preliminary results, we
have organized the common selling functions into four major
categories: sales process and marketing support, freight and
delivery, inventory and warehousing, and quality assurance/warranty
services.
---------------------------------------------------------------------------
Pursuant to section 773(a)(7)(A) of the Act, in identifying levels
of trade for EP and comparison market sales (i.e., NV based on either
home market or third country prices),\4\ we consider the starting
prices before any adjustments. See Micron Technology, Inc. v. United
States, et al., 243 F.3d 1301, 1314-1315 (Fed. Cir. 2001) (affirming
this methodology).
---------------------------------------------------------------------------
\4\ Where NV is based on CV, we determine the NV LOT based on
the LOT of the sales from which we derive selling expenses, general
and administrative expenses, and profit for CV, where possible.
---------------------------------------------------------------------------
When the Department is unable to match U.S. sales to sales of the
foreign-like product in the comparison market at the same LOT as the
EP, the Department may compare the U.S. sale to sales at a different
LOT in the comparison market. In comparing EP sales at a different LOT
in the comparison market, where available data show that the difference
in LOT affects price comparability, we make a LOT adjustment under
section 773(a)(7)(A) of the Act.
Ambica reported that its customer base in the home market consists
of processors, and in the U.S. market, it consists of distributors. See
December 28, 2006 supplemental questionnaire response (``SQR'') at
Annexure C (``Selling Functions Chart''). In addition, Ambica has
reported two channels of distribution in the home market and one
channel distribution in the U.S. market. See December 28, 2006 SQR at
6. In the first channel of distribution in the home market, Ambica made
sales directly to its home market customers from the factory. In the
second channel of distribution in the home market, Ambica made sales
directly to its home
[[Page 40116]]
market customers via Ambica's distribution warehouses. In Ambica's
single channel of distribution to the U.S. market, Ambica made sales
directly to its customer.
Ambica reported a single LOT in both the home market and the U.S.
market, and has not requested an LOT adjustment. Ambica stated that an
LOT adjustment is not applicable because Ambica does not make any
additional efforts for sales to either export markets or in the
domestic market. See November 29, 2006 section B questionnaire response
at 21, November 29, 2006 section C questionnaire response at 22; see
also May 11, 2007 section A, B, C and D SQR at 17-18.
We examined the information reported by Ambica regarding the type
and level of selling functions performed, and customer categories.
Specifically, we considered the extent to which, for instance, sales
process/marketing support, freight/delivery, inventory maintenance, and
quality assurance/warranty service varied with respect to the different
customer categories and channels of distribution (i.e., distributors
and processors) across the markets.
We preliminary find the LOTs for the home market channels of
distribution similar with regard to sales and marketing, and quality
assurance/warranty service. We note some differences with regard to
freight and warehousing in the home market channels of distribution and
intend to issue a supplemental questionnaire to Ambica to further
clarify the extent of the selling activities in these particular
selling functions. However, based on the current record of this
proceeding, for purposes of these preliminary results, we consider the
home market to constitute a single LOT. We compared the U.S. LOT to the
LOT reported for sales in the home market. We found the LOT in the
United States to be similar to the LOT in the home market. Thus, we
preliminarily have compared U.S. sales to home market sales at the same
LOT.
C. Cost of Production Analysis
As discussed above, the petitioners provided a reasonable basis to
believe or suspect that sales by Ambica in the home market had been
made at prices below the cost of production (``COP'') within the
meaning of section 773(b) of the Act and we initiated a sales below
cost investigation on January 23, 2007. See Sales Below Cost
Memorandum.
1. Calculation of COP
We calculated the COP on a product-specific basis, based on the sum
of the respondent's cost of materials and fabrication for the foreign-
like product, plus amounts for general and administrative (``G&A'')
expenses, interest expenses, and the cost of all expenses incidental to
placing the foreign-like product packed and in a condition ready for
shipment, in accordance with section 773(b)(3) of the Act.
Ambica reported its costs based on the period January through June
2006, rather than the POR (February 1, 2006 through July 31, 2006). We
have relied on Ambica's submission for these preliminary results, but
we intend to seek Ambica's POR costs in a supplemental questionnaire.
We made the following adjustment to Ambica's reported cost:
We adjusted Ambica's straightening and finishing costs for
cold-rolled products to include the actual conversion costs of Unit II
incurred during the cost reporting period.
See Preliminary Results Calculation Memorandum.
2. Test of Home Market Prices
On a product-specific basis, we compared the adjusted weighted-
average COP figures for the POR to the home market sales of the
foreign-like product, as required under section 773(b) of the Act, to
determine whether these sales were made at prices below the COP. The
prices were exclusive of any applicable movement charges and indirect
selling expenses. In determining whether to disregard home market sales
made at prices less than their COP, we examined, in accordance with
sections 773(b)(1)(A) and (B) of the Act, whether such sales were made:
(1) within an extended period of time in substantial quantities; and
(2) at prices which permitted the recovery of all costs within a
reasonable period of time.
3. Results of the COP Test
Pursuant to section 773(b)(1) of the Act, where less than 20
percent of a respondent's sales of a given product are made at prices
below 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 in such instances 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 are 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.
We found that, for certain products, more than 20 percent of
Ambica's home market sales were at prices less than the COP. Further,
the prices at which the merchandise under review was sold did not
provide for the recovery of costs within a reasonable period of time.
See sections 773 (b)(2)(B), (C), and (D). Therefore, we disregarded
these below-cost sales and used the remaining sales as the basis for
determining NV, in accordance with section 773(b)(1) of the Act.
D. Calculation of Normal Value Based on Home Market Prices
We relied on Ambica's submitted home market sales information,
except for the following adjustment:
We excluded from the home market sales database those
sales which Ambica made to domestic customers which were ultimately
destined for export.
See Preliminary Results Calculation Memorandum.
We are not making any adjustment for discounting charges, bank
commissions, and postal charges that Ambica may have paid on letter of
credit sales in the home market. Ambica has not requested an adjustment
for these expenses for the preliminary results and the supporting
documentation provided by Ambica at Annexure E of the May 2, 2007 SQR
does not tie to the home market sales database. We will address this
issue further in a supplemental questionnaire.
We calculated NV based on ex-factory prices to unaffiliated
customers in the home market. We made adjustments for packing expenses
in accordance with sections 773(a)(6)(A) of the Act. We also made
adjustments, consistent with section 773(a)(6)(B)(ii) of the Act, for
inland freight from plant to the distribution warehouse, warehouse
expenses, inland freight from the plant/warehouse to the customer, and
inland insurance. In addition, we made adjustments for differences in
circumstances of sale (``COS''), in accordance with section
773(a)(6)(C)(iii) of the Act and 19 CFR 351.410. We made COS
adjustments, where appropriate, by deducting direct selling expenses
incurred on home market sales (i.e., imputed credit expenses (offset by
the addition of interest revenue), and commissions) and adding U.S.
direct selling expenses (i.e., imputed credit expenses, commissions,
and fumigation expenses). See Preliminary Results Calculation
Memorandum.
[[Page 40117]]
Preliminary Results of Review
We find that the following dumping margin exists for the period
February 1, 2006 through July 31, 2006:
------------------------------------------------------------------------
Weighted-average
Exporter/manufacturer margin percentage
------------------------------------------------------------------------
Ambica Steels Limited............................... 22.63
------------------------------------------------------------------------
Public Comment
The Department will disclose to parties the calculations performed
in connection with these preliminary results within five days of the
date of publication of this notice. Interested parties may request a
hearing within 30 days of publication of this notice. Any hearing, if
requested, will be held two days after the date rebuttal briefs are
filed. Pursuant to 19 CFR 351.309(c), interested parties may submit
cases briefs not later than 30 days after the date of publication of
this notice. Parties who submit briefs in these proceedings should
provide a summary of the arguments not to exceed five pages and a table
of statutes, regulations, and cases cited. Rebuttal briefs, limited to
issues raised in the case briefs, may be filed not later than 37 days
after the date of publication of this notice. See 19 CFR 351.309(d).
Copies of case briefs and rebuttal briefs must be served on interested
parties in accordance with 19 CFR 351.303(f)(3). The Department will
issue the final results of this new shipper review within 90 days from
the issuance of these preliminary results.
Assessment Rates
If these preliminary results are adopted in the final results, we
will instruct U.S. Customs and Border Protection (CBP) to assess
antidumping duties on all appropriate entries.
The Department clarified its ``automatic assessment'' regulation on
May 6, 2003. See Antidumping and Countervailing Duty Proceedings:
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). This
clarification will apply to entries of subject merchandise during the
period of review produced by the respondent for which it did not know
its merchandise was destined for the United States. In such instances,
we will instruct CBP to liquidate unreviewed entries at the all-others
rate if there is no rate for the intermediate company(ies) involved in
the transaction. For a full discussion of this clarification, see
Antidumping and Countervailing Duty Proceedings: Assessment of
Antidumping Duties, 68 FR 23954 (May 6, 2003).
Cash Deposit Requirements
The following cash deposit requirements will be effective upon
publication of the final results of this new shipper review for all
shipments of SSB from India entered, or withdrawn from warehouse, for
consumption on or after the publication date, as provided for by
section 751(a)(1) of the Act: (1) the cash deposit rate for Ambica will
be the rate established in the final results of this new shipper review
(except no cash deposit will be required if its weighted-average margin
is de minimis, i.e., less than 0.5 percent); (2) if the exporter is not
a firm covered in this review, but was covered in a previous review or
the original less than fair value (``LTFV'') investigation, the cash
deposit rate will continue to be the company-specific rate published
for the most recent period; (3) if the exporter is not a firm covered
in this review, a previous review, or the original LTFV investigation,
but the manufacturer is, the cash deposit rate will be the rate
established for the most recent period for the manufacturer of the
merchandise; and (4) the cash deposit rate for all other manufacturers
and/or exporters of this merchandise, shall be 12.45 percent, the ``all
others'' rate established in the LTFV investigation. See Notice of
Final Determination of Sales at Less Than Fair Value: Stainless Steel
Bar from India, 59 FR 66915, (December 28, 1994). These requirements,
when imposed, shall remain in effect until further notice.
Notification to Interested Parties
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 this notice in accordance with
sections 751(a)(1) and 777(i)(1) of the Act.
Dated: July 17, 2007.
Joseph A. Spetrini,
Deputy Assistant Secretary for Import Administration.
[FR Doc. E7-14159 Filed 7-20-07; 8:45 am]
BILLING CODE 3510-DS-S