Floor-Standing, Metal-Top Ironing Tables and Certain Parts Thereof From the People's Republic of China: Preliminary Results of Antidumping Duty Administrative Review, 55759-55764 [2010-22898]
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Federal Register / Vol. 75, No. 177 / Tuesday, September 14, 2010 / Notices
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percent, no cash deposit will be
required for that company); (2) for
previously investigated or reviewed PRC
and non–PRC exporters not listed above
that have separate rates, the cash
deposit rate will continue to be the
exporter–specific rate published for the
most recent period; (3) for all PRC
exporters of subject merchandise which
have not been found to be entitled to a
separate rate, the cash deposit rate will
be the PRC–wide rate of 157.68 percent
(see Amended Final and Order); and (4)
for all non–PRC exporters of subject
merchandise which have not received
their own rate, the cash deposit rate will
be the rate applicable to the PRC
exporters that supplied that non–PRC
exporter. These deposit requirements,
when imposed, shall remain in effect
until publication of the final results of
the next administrative review.
Public Comment
The Department will disclose
calculations performed in connection
with the preliminary results of this
review within five days of the date of
publication of this notice in accordance
with 19 CFR 351.224(b). Any interested
party may request a hearing within 30
days of publication of this notice in
accordance with 19 CFR 351.310(c).
Any hearing will be held 37 days after
the publication of this notice, or the first
workday thereafter unless the
Department alters the date pursuant to
19 CFR 351.310(d). Individuals who
wish to request a hearing must submit
a written request within 30 days of the
publication of this notice in the Federal
Register to the Assistant Secretary for
Import Administration, U.S. Department
of Commerce, Room 1870, 14th Street
and Constitution Avenue, NW,
Washington, DC 20230. Requests for a
public hearing should contain: (1) the
party’s name, address, and telephone
number; (2) the number of participants;
and (3) to the extent practicable, an
identification of the arguments to be
raised at the hearing.
Unless otherwise notified by the
Department, interested parties may
submit case briefs within 30 days of the
date of publication of this notice in
accordance with 19 CFR
351.309(c)(1)(ii). As part of the case
brief, parties are encouraged to provide
a summary of the arguments and a table
of authorities cited in accordance with
19 CFR 351.309(c)(2). Rebuttal briefs,
which must be limited to issues raised
in the case briefs, must be filed within
five days after the case brief is filed in
accordance with 19 CFR 351.309(d). If a
hearing is held, an interested party may
make an affirmative presentation only
on arguments included in that party’s
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case brief and may make a rebuttal
presentation only on arguments
included in that party’s rebuttal brief in
accordance with 19 CFR 351.310(c).
Parties should confirm by telephone the
time, date, and place of the hearing
within 48 hours before the scheduled
time. The Department will issue the
final results of this review, which will
include the results of its analysis of
issues raised in the briefs, not later than
120 days after the date of publication of
this notice in accordance with section
751(a)(3)(A) of the Act and 19 CFR
351.213(h)(1).
Notification to Importers
This notice also serves as a
preliminary reminder to importers of
their responsibility under 19 CFR
351.402(f) to file a certificate regarding
the reimbursement of antidumping
duties prior to liquidation of the
relevant entries during these review
periods. 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.
These preliminary results of
administrative review are issued and
this notice is published in accordance
with sections 751(a)(1) and 777(i)(1) of
the Act.
Dated: September 7, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import
Administration.
[FR Doc. 2010–22893 Filed 9–13–10; 8:45 am]
BILLING CODE 3510–DS–S
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–888]
Floor-Standing, Metal-Top Ironing
Tables and Certain Parts Thereof From
the People’s Republic of China:
Preliminary Results of Antidumping
Duty Administrative Review
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: In response to requests from
interested parties, the Department of
Commerce (the Department) is
conducting an administrative review of
the antidumping duty order on floorstanding, metal-top ironing tables and
certain parts thereof from the People’s
Republic of China (PRC). The period of
review (POR) is August 1, 2007 through
July 31, 2008. We have preliminarily
determined that respondent Since
Hardware (Guangzhou) Co., Ltd. (Since
AGENCY:
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55759
Hardware) has made sales to the United
States of the subject merchandise at
prices below normal value. We invite
interested parties to comment on these
preliminary results. Parties filing
comments are requested to submit with
each argument (1) a statement of the
issue and (2) a brief summary of the
argument(s).
DATES: Effective Date: September 14,
2010.
FOR FURTHER INFORMATION CONTACT:
Michael J. Heaney or Robert James, AD/
CVD Operations, Office 7, Import
Administration, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue, NW., Washington, DC 20230;
telephone: (202) 482–4475 or (202) 482–
0649, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 6, 2004, the Department
published in the Federal Register the
antidumping duty order regarding floorstanding, metal-top ironing tables and
certain parts thereof (ironing tables)
from the PRC. See Notice of Amended
Final Determination of Sales at Less
Than Fair Value and Antidumping Duty
Order: Floor-Standing, Metal-Top
Ironing Tables and Certain Parts
Thereof From the People’s Republic of
China, 69 FR 47868 (August 6, 2004)
(Amended Final and Order).
On August 1, 2008, the Department
published a notice of opportunity to
request an administrative review of the
antidumping duty order on, inter alia,
ironing tables from the People’s
Republic of China. See Antidumping or
Countervailing Duty Order, Finding, or
Suspended Investigation; Opportunity
to Request Administrative Review, 73
FR 44966 (August 1, 2008). On August
29, 2008, Home Products International
(the Petitioner in this proceeding)
requested, in accordance with 19 CFR
351.213(b)(1), an administrative review
of this order for Since Hardware. Since
Hardware’s request for an
administrative review of its sales
pursuant to 19 CFR 351.213(b)(2)
followed on September 2, 2008. (The
deadline for filing a request for review,
August 31, 2008, fell on a weekend;
Since Hardware’s request was timely
filed on the first business day
thereafter.) In its request for review,
Since Hardware also requested that the
Department defer initiation of the
administrative review for one year,
pursuant to 19 CFR 351.213(c).
On October 29, 2008, the Department
published its notice of deferral of the
administrative review for one year with
respect to Since Hardware, pursuant to
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19 CFR 351.213(c). (This notice of
deferral was inadvertently omitted from
our September 30th notice of initiation).
See Initiation of Antidumping and
Countervailing Duty Administrative
Reviews and Deferral of Administrative
Review, 73 FR 64305 (October 29, 2008)
In accordance with the deferral of
administrative review, on September 22,
2009, the Department initiated an
administrative review of Since
Hardware for the period of review of
August 1, 2007 through July 31, 2008.
See Initiation of Antidumping and
Countervailing Duty Administrative
Reviews and Requests for Revocation in
Part, 74 FR 48224 (September 22, 2009).
On February 16, 2010, the Department
issued a memorandum that tolled the
deadlines for all Import Administration
cases by seven calendar days due to the
recent Federal Government closure. See
Memorandum for the Record from
Ronald Lorentzen, DAS for Import
Administration, regarding Tolling of
Administrative Deadlines as a Result of
the Government Closure During the
Recent Snowstorm, dated February 12,
2010.
On April 28, 2010, in accordance with
section 751(a)(3)(A) of the Tariff Act of
1930, as amended (the Act), and 19 CFR
351.213(h)(2), the Department extended
the deadline for the preliminary results
of review until September 7, 2010. See
Floor-Standing, Metal-Top Ironing
Tables and Certain Parts Thereof from
the People’s Republic of China:
Extension of the Time Limit for the
Preliminary Results of the
Administrative Review, 75 FR 22371
(April 28, 2010).
The Department issued its original
antidumping questionnaire to Since
Hardware on September 29, 2009. Since
Hardware timely filed its response to
Section A of the questionnaire on
October 29, 2009; Since Hardware’s
Sections C and D responses followed on
November 19, 2009 and December 1,
2009 respectively. Petitioner filed
comments on Since Hardware’s sections
A, C, and D responses on December 7,
2009.
The Department subsequently issued
supplemental questionnaires to Since
Hardware on February 24, 2010, and
May 5, 2010. Since Hardware timely
responded to each of the Department’s
supplemental requests for information
on March 25, 2010, April 9, 2010 and
June 3, 2010. On April 9, 2010,
Petitioner filed additional comments on
the original and supplemental sections
A, C, and D responses submitted by
Since Hardware. On August 26, 2010,
Petitioner filed comments concerning
the Department’s verification of Since
Hardware.
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Verification
As provided in section 782(i)(3) of the
Act, we verified the information
submitted by Since Hardware upon
which we have relied in these
preliminary results of review. We
conducted our verification from June 21,
through June 25, 2010. The
Department’s verification report is on
the record of this review in the Central
Records Unit, Room 1117 of the main
Department building. We used standard
verification procedures, including
examination of relevant accounting and
production records, as well as source
documentation provided by Since
Hardware. See August 23, 2010
Verification of the Sales and Factors
Response of Since Hardware
(Guangzhou) Co. Ltd. in the
Antidumping Review of Floor Standing,
Metal-Top Ironing Tables and Certain
Parts Thereof from the People’s
Republic of China (PRC) (Since
Hardware 2007–2008 Verification
Report).
Surrogate Country and Surrogate Value
Data
On July 13, 2010, the Department sent
interested parties a letter inviting
comments on surrogate country
selection and surrogate value data. See
the Department’s Letter to All Interested
Parties; Administrative Review of FloorStanding, Metal-Top, Ironing Tables and
Parts Thereof from the People’s
Republic of China (PRC): Surrogate
Country List, dated July 13, 2010
(Surrogate Country List). On August 17,
2010, the Department received
information to value factors of
production (FOP) from Since Hardware
and the Petitioner. With the exception
of the surrogate value data to value labor
rates, all of the surrogate values placed
on the record were obtained from
sources in India.
Scope of the Order
For purposes of this order, the
product covered consists of floorstanding, metal-top ironing tables,
assembled or unassembled, complete or
incomplete, and certain parts thereof.
The subject tables are designed and
used principally for the hand ironing or
pressing of garments or other articles of
fabric. The subject tables have fullheight leg assemblies that support the
ironing surface at an appropriate (often
adjustable) height above the floor. The
subject tables are produced in a variety
of leg finishes, such as painted, plated,
or matte, and they are available with
various features, including iron rests,
linen racks, and others. The subject
ironing tables may be sold with or
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without a pad and/or cover. All types
and configurations of floor-standing,
metal-top ironing tables are covered by
this review.
Furthermore, this order specifically
covers imports of ironing tables,
assembled or unassembled, complete or
incomplete, and certain parts thereof.
For purposes of this order, the term
‘‘unassembled’’ ironing table means a
product requiring the attachment of the
leg assembly to the top or the
attachment of an included feature such
as an iron rest or linen rack. The term
‘‘complete’’ ironing table means product
sold as a ready-to-use ensemble
consisting of the metal-top table and a
pad and cover, with or without
additional features, e.g., iron rest or
linen rack. The term ‘‘incomplete’’
ironing table means product shipped or
sold as a ‘‘bare board’’—i.e., a metal-top
table only, without the pad and cover—
with or without additional features, e.g.,
iron rest or linen rack. The major parts
or components of ironing tables that are
intended to be covered by this order
under the term ‘‘certain parts thereof’’
consist of the metal top component
(with or without assembled supports
and slides) and/or the leg components,
whether or not attached together as a leg
assembly. The order covers separately
shipped metal top components and leg
components, without regard to whether
the respective quantities would yield an
exact quantity of assembled ironing
tables.
Ironing tables without legs (such as
models that mount on walls or over
doors) are not floor-standing and are
specifically excluded. Additionally,
tabletop or countertop models with
short legs that do not exceed 12 inches
in length (and which may or may not
collapse or retract) are specifically
excluded.
The subject ironing tables are
currently classifiable under Harmonized
Tariff Schedule of the United States
(HTSUS) subheading 9403.20.0011. The
subject metal top and leg components
are classified under HTSUS subheading
9403.90.8040. Although the HTSUS
subheadings are provided for
convenience and for Customs and
Border Protection (CBP) purposes, the
Department’s written description of the
scope remains dispositive.
Non-Market-Economy Status
In every case conducted by the
Department involving the PRC, the PRC
has been treated as a non-market
economy (NME). In accordance with
section 771(18)(C)(i) of the Act, any
determination that a foreign country is
an NME country shall remain in effect
until revoked by the administering
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authority. See, e.g., Brake Rotors from
the People’s Republic of China: Final
Results and Partial Rescission of the
2004/2005 Administrative Review and
Notice of Rescission of 2004/2005 New
Shipper Review, 71 FR 66304
(November 14, 2006). None of the
parties to this administrative review has
contested such treatment. Accordingly,
we calculated normal value (NV) in
accordance with section 773(c) of the
Act, which applies to NME countries.
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Surrogate Country
When the Department investigates
imports from an NME country and
available information does not permit
the Department to determine NV
pursuant to section 773(a) of the Act,
then, pursuant to section 773(c)(4) of the
Act, the Department bases NV on an
NME producer’s FOP’s to the extent
possible, in one or more marketeconomy countries that (1) are at a level
of economic development comparable to
that of the NME country, and (2) are
significant producers of comparable
merchandise. The Department
determined India, the Philippines,
Indonesia, Thailand, Ukraine and Peru
are countries comparable to the PRC in
economic development for purposes of
this administrative review. (See
Memorandum to Richard Weible from
Carole Showers Request for a List of
Surrogate Countries for an
Administrative Review of the
Antidumping Order on Floor Standing
Metal-Top Ironing Tables and Certain
Parts (‘‘Ironing Tables’’) from the
People’s Republic of China dated July 8,
2010 (Surrogate Country List).)
Based on publicly available
information placed on the record by
interested parties (e.g., production data),
the Department determines India to be
a reliable source for surrogate values
because India is at a comparable level of
economic development pursuant to
section 773(c)(4) of the Act, is a
significant producer of the subject
merchandise, and has publicly available
and reliable data. Accordingly, the
Department has selected India as the
surrogate country for purposes of
valuing the FOPs because it meets the
Department’s criteria for surrogate
country selection.
Separate Rates
In proceedings involving NME
countries, the Department has a
rebuttable presumption that all
companies within the country are
subject to government control and, thus,
should be assigned a single
antidumping duty rate. It is the
Department’s policy to assign all
exporters of subject merchandise in an
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NME country this single rate unless an
exporter can demonstrate that it is
sufficiently independent so as to be
entitled to a separate rate. See Policy
Bulletin 05.1: Separate Rates Practice
and Application of Combination Rates
in Antidumping Investigations
involving Non-Market Economy
Countries, available at https://
ia.ita.gov.policy/bull05-1.pdf. Exporters
can demonstrate this independence
through the absence of both de jure and
de facto governmental control over
export activities. The Department
analyzes each entity exporting the
subject merchandise under a test arising
from the Final Determination of Sales at
Less Than Fair Value: Sparklers from
the People’s Republic of China, 56 FR
20588 at Comment 1 (May 6, 1991)
(Sparklers). This test was further
developed in Notice of Final
Determination of Sales at Less Than
Fair Value: Silicon Carbide from the
People’s Republic of China, 59 FR 22585
(May 2, 1994). (Silicon Carbide).
However, if the Department determines
that a company is wholly foreign-owned
or located in a market economy, then a
separate rate analysis is unnecessary to
determine whether it is independent
from government control.
Accordingly, we have considered
whether Since Hardware is independent
from government control, and therefore
eligible for a separate rate. The
Department’s separate-rate test to
determine whether the exporters are
independent from government control
does not consider, in general,
macroeconomic/border-type controls,
e.g., export licenses, quotas, and
minimum export prices, particularly if
these controls are imposed to prevent
dumping. See Notice of Final
Determination of Sales at Less Than
Fair Value: Certain Preserved
Mushrooms from the People’s Republic
of China, 63 FR 72255, 72256
(December 31, 1998). The test focuses,
rather, on controls over the investment,
pricing, and output decision-making
process at the individual firm level. See,
e.g., Notice of Final Determination of
Sales at Less than Fair Value: Certain
Cut-to-Length Carbon Steel Plate from
Ukraine, 62 FR 61754, 61758 (November
19, 1997); see also Tapered Roller
Bearings and Parts Thereof, Finished
and Unfinished, From the People’s
Republic of China; Final Results of
Antidumping Duty Administrative
Review, 62 FR 61276, 61279 (November
17, 1997).
Since Hardware provided complete
separate-rate information in its
responses to our original and
supplemental questionnaires.
Accordingly, we performed a separate-
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rates analysis to determine whether
Since Hardware is independent from
government control.
Absence of De Jure Control
The Department considers the
following de jure criteria in determining
whether an individual company may be
granted a separate rate: (1) An absence
of restrictive stipulations associated
with an individual exporter’s business
and export licenses; (2) any legislative
enactments decentralizing control of
companies; and (3) other formal
measures by the government
decentralizing control of companies. See
Sparklers, 56 FR 20588 at Comment 1.
The evidence provided by Since
Hardware supports a finding of de jure
absence of control based on the
following: (1) An absence of restrictive
stipulations associated with its business
and export licenses, (2) applicable
legislative enactments decentralizing
control of companies; and (3) formal
measures (e.g., the Foreign Trade Law)
decentralizing control of companies,
See, e.g., Since Hardware October 29,
2009 questionnaire response at pages A–
3–A–5.
Absence of De Facto Control
Typically, the Department considers
four factors in evaluating whether a
respondent is subject to de facto
government control of its export
functions: (1) Whether the export prices
are set by, or subject to, the approval of
a government authority; (2) whether the
respondent has authority to negotiate
and sign contracts and other
agreements; (3) whether the respondent
has autonomy from the government in
making decisions regarding the
selection of its management; and (4)
whether the respondent retains the
proceeds of its export sales and makes
independent decisions regarding
disposition of profits or financing of
losses. See Silicon Carbide 59 FR 22857;
see also Notice of Final Determination
of Sales at Less Than Fair Value:
Furfuryl Alcohol from the People’s
Republic Of China, 60 FR 22544 (May
8, 1995) The Department has
determined that an analysis of de facto
control is critical in determining
whether respondents are, in fact, subject
to a degree of governmental control,
which would preclude the Department
from assigning separate rates.
The evidence provided by Since
Hardware supports a preliminary
finding of de facto absence of
government control based on the
following: (1) The absence of evidence
that the export prices are set by or are
subject to the approval of a government
agency, (2) Since Hardware has
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authority to negotiate and sign contracts
and other agreements, (3) Since
Hardware has autonomy from
government in making decisions
regarding the selection of management,
and (4) Since Hardware retains the
proceeds of its export sales and make
independent decisions regarding
disposition of profits or financing of
losses. See Since Hardware October 29,
2010 Section A questionnaire response
at A–5 through A–8.
In accordance with the criteria
identified in Sparklers and Silicon
Carbide, the evidence placed on the
record of this review by Since Hardware
demonstrates an absence of de jure and
de facto government control with
respect to Since Hardware’s exports of
the subject merchandise. Accordingly,
we have determined that Since
Hardware has demonstrated eligibility
for a separate rate.
Fair Value Comparisons
To determine whether Since
Hardware’s sales of the subject
merchandise to the United States were
made at prices below normal value
(NV), we compared its United States
prices to NV, as described in the ‘‘U.S.
Price’’ and ‘‘Normal Value’’ sections of
this notice. See section 773(a) of the
Act.
U.S. Price
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We based U.S. price for Since
Hardware on export price (EP) in
accordance with section 772(a) of the
Act, because the first sale to an
unaffiliated purchaser was made prior
to importation, and constructed export
price (CEP) was not otherwise
warranted by the facts on the record. We
calculated EP based on the packed price
from the exporter to the first unaffiliated
customer in the United States. We
deducted foreign inland freight, and
foreign brokerage and handling
expenses from the starting price (gross
unit price), in accordance with section
772(c) of the Act. Where appropriate, we
made an addition to U.S. price for
billing adjustments.
Since Hardware incurred foreign
inland freight and foreign brokerage and
handling expenses from PRC service
providers. We therefore valued these
services using Indian surrogate values
(see ‘‘Factors of Production’’ section
below for further discussion).
Normal Value
Factors of Production (FOP)
Section 773(c)(1) of the Act provides
that the Department shall determine NV
using an FOP methodology if the
merchandise is exported from an NME
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country and the Department finds that
the available information does not
permit the calculation of NV using
home-market prices, third-country
prices, or constructed value under
section 773(a) of the Act. When
determining NV in an NME context, the
Department will base NV on FOPs
because the presence of government
control on various aspects of these
economies renders price comparisons
and the calculation of production costs
invalid under our normal
methodologies. The Department’s
questionnaires required Since Hardware
to provide information regarding the
weighted-average FOP.
In accordance with 19 CFR
351.408(c)(1), the Department will
normally use publically available
information to find an appropriate SV to
value FOPs, but when a producer
sources an input from a market
economy and pays for it in marketeconomy currency, the Department may
value the factor using the actual price
paid for the input. See 19 CFR
351.408(c)(1); see also Shakeproof
Assembly Components, Div. of Ill. Tool
Works, Inc. v. United States, 268 F. 3rd
1376, 1382–1383 (Fed. Cir. 2001)
(affirming the Department’s use of
market-based prices to value FOPs).
During the POR, Since Hardware
purchased a certain packing material
from a market economy supplier.
Because Since Hardware purchased
more than 33 percent of its total volume
of this material from a market economy
supplier, we used the market economy
price of that material to value this input.
See Since Hardware December 1, 2009
Section D response at Appendix D–6.
We calculated NV based on FOPs in
accordance with section 773(c)(3) and
(4) of the Act and 19 CFR 351.408(c).
The FOPs include but are not limited to:
(1) Hours of labor required; (2)
quantities of raw material employed; (3)
amounts of energy and other utilities
consumed; and (4) representative capital
costs. The Department used FOPs
reported by Since Hardware for
materials, energy, labor, by-products,
and packing. To calculate NV, we
multiplied the reported unit factor
quantities by publicly available values
in the surrogate country, India.
In addition, Since Hardware reported
by-product sales. Consistent with the
Department’s determination in the
investigation of Diamond Sawblades
from the PRC, we will deduct the
surrogate value of the by-product from
NV because the surrogate financial
statements on the record of this
administrative review contain no
references to the treatment of byproducts, and because Since Hardware
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provided evidence that it sold its byproducts. See Final Determination of
Sales at Less Than Fair Value and Final
Partial Affirmative Determination of
Critical Circumstances: Diamond
Sawblades and Parts Thereof from the
People’s Republic of China, 71 FR 29303
(May 22, 2006) (Diamond Sawblades
from the PRC), and accompanying
Issues and Decision Memorandum at
Comment 9, unchanged in Notice of
Amended Final Determination of Sales
at Less Than Fair Value: Diamond
Sawblades and Parts Thereof from the
People’s Republic of China, 71 FR 35864
(June 22, 2006). This is consistent with
accounting principles based on a
reasonable assumption that if a
company sells a by-product, the byproduct necessarily incurs expenses for
overhead, SG&A, and profit. Id.
In selecting the surrogate Indian
values, we considered the quality,
specificity, and contemporaneity of the
data, in accordance with our practice.
See, e.g., Electrolytic Manganese
Dioxide from the People’s Republic of
China: Final Determination of Sales at
Less Than Fair Value and
accompanying Issues and Decision
Memorandum at Comment 2. The
Department adjusted input prices by
including freight costs to make them
delivered prices, as appropriate.
Specifically, the Department added to
Indian import SVs a surrogate freight
cost using the shorter of the reported
distance from the domestic supplier to
the factory or the distance from the
nearest seaport to the factory of
production. This adjustment is in
accordance with the decision of the U.S.
Court of Appeals for the Federal Circuit
(Federal Circuit) in Sigma Corp. v.
United States, 117 F. 3rd 1401, 1407–08
(Fed. Cir. 1997). A detailed description
of all SVs used to value Since
Hardware’s FOPs may be found in the
September 7, 2010 Memorandum to the
File through Robert James, Program
Manager, Office 7 from Michael J.
Heaney International Trade Analyst:
Antidumping Duty Administrative
Review of Floor-Standing, Metal Top
Ironing Tables and Certain Parts Thereof
from the People’s Republic of China,
dated September 7, 2010 (Factors
Valuation Memorandum.)
The Department calculated SVs for
the majority of reported FOPs purchased
from NME sources using the
contemporaneous, weighted average
unit import value derived from the
Ministry of Commerce of India (Indian
Import Statistics) for the POR. The
Department used Indian import data
from the Global Trade Atlas (GTA)
published by Global Trade Information
Services, Inc. (GTIS) which is sourced
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from the Directorate General of
Commercial Intelligence & Statistics,
Indian Ministry of Commerce, to
determine the surrogate values for most
raw materials, by-products and packing
material inputs. The Department has
disregarded statistics from NMEs,
countries with generally available
export subsidies, and undetermined
countries, in calculating average value.
In accordance with the Omnibus Trade
and Competiveness Act of 1988, Conf.
Report to Accompany HR. 3, HR Rep.
No., 100th Cong., 2nd Session (1988),
the Department continues to apply its
long-standing practice of disregarding
surrogate values if it has a reason to
believe or suspect the source data may
be subsidized. In this regard, the
Department has previously found that it
is appropriate to disregard such prices
from India, Indonesia, South Korea and
Thailand because we have determined
that these countries maintain broadly
available, non-industry specific export
subsidies. See, e.g. Expedited Sunset
Review of the Countervailing Duty Order
on Carbazole Violet Pigment 23 from
India, 75 FR 13257 (March 19, 2010),
and accompanying Issues and Decisions
Memorandum at pages 4–5; Expedited
Sunset Review of the Countervailing
Duty Order on Certain Cut-To Length
Carbon Quality Steel Plate from
Indonesia, 70 FR 45692 (August 8,
2005), and accompanying Issues and
Decisions Memorandum at page 4;
Certain Hot-Rolled Carbon Steel Flat
Products from Thailand: Final Results
of Countervailing Duty Determination,
66 FR 50410 (October 3, 2001), and
accompanying Issues and Decision
Memorandum at page 23. For a detailed
description of all surrogate values used
for Since Hardware, see the Factors
Valuation Memorandum.
In past cases, it has been the
Department’s practice to value various
FOPs using import statistics of the
primary selected surrogate country from
the World Trade Atlas (WTA), as
published by GTIS. See, e.g., Certain
Preserved Mushrooms from the People’s
Republic of China: Preliminary Results
of Antidumping Duty New Shipper
Review, 74 FR 50946, 50950 (October 2,
2009). However, in October 2009, the
Department learned that Indian import
data obtained from the WTA, as
published by GTIS, began identifying
the original reporting currency for India
as the U.S. dollar. The Department then
contacted GTIS about the change in the
original reporting currency for India
from the Indian rupee to the U.S. dollar.
Officials at GTIS explained that while
GTIS obtains data on imports into India
directly from the Ministry of Commerce,
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16:38 Sep 13, 2010
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Government of India, as denominated
and published in Indian rupees, the
WTA software is limited with regard to
the number of significant digits it can
manage. Therefore, GTIS made a
decision to change the official reporting
currency for Indian data from the Indian
rupee to the U.S. dollar in order to
reduce the loss of significant digits
when obtaining data through the WTA
software. GTIS explained that it
converts the Indian Rupee to the U.S.
dollar using the monthly Federal
Reserve exchange rate applicable to the
relevant month of the data being
downloaded and converted. See, Certain
Oil Country Tubular Goods from the
People’s Republic of China: Final
Determination of Sales at Less Than
Fair Value, Affirmative Final
determination of Critical Circumstances,
and Final Determination of Targeted
Dumping, 75 FR 20335 (April 19, 2010),
and accompanying Issues and Decision
Memorandum at Comment 4.
However, the data reported in the
GTA software report import statistics,
such as data from India, in the original
reporting currency and thus these data
correspond to the original currency
value reported by each country.
Additionally, the data reported in GTA
software are reported to the nearest digit
and thus there is not a loss of data by
rounding, as there is with the data
reported by the WTA software.
Consequently, the Department will now
obtain import statistics from GTA for
valuing FOPs because the GTA import
statistics are in the original reporting
currency of the country from which the
data are obtained and have the same
level of accuracy as the original data
released.
The Department valued electricity
using the updated electricity price data
for small, medium, and large industries,
as published by the Central Electricity
Authority, an administrative body of the
Government of India, in its publication
titled Electricity Tariff & Duty and
Average Rates of Electricity Supply in
India, dated March 2008. These
electricity rates represent actual,
country-wide, publically available
information on tax-exclusive electricity
rates charged to small, medium, and
large industries in India. We did not
inflate this value because utility rates
represent current rates, as indicated by
the effective dates listed for each of the
rates provided. See Factors Valuation
Memorandum at page 6.
The Department valued water using
data from the Maharashtra Industrial
Development Corporation (MDIC) as it
includes a wide range of industrial
water tariffs. To value water, we used
the average rate for industrial use from
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Frm 00028
Fmt 4703
Sfmt 4703
55763
MDIC water rates at https://
www.midcindia.org. See Factors
Valuation Memorandum at page 6.
We valued diesel fuel using the rates
provided by the OECD’s International
Energy Agency’s publication: Key World
Energy Statistics from 2004 and 2005.
The prices are based on 2004 and 2005
first quarter prices of automotive diesel
fuel retail prices. See Factor Valuation
Memorandum at page 6.
For direct, indirect, and packing
labor, pursuant to a recent decision by
the Federal Circuit, we have calculated
an hourly wage rate to use in valuing
Since Hardware’s reported labor input
by averaging earnings and/or wages in
countries that are economically
comparable to the PRC and that are
significant producers of comparable
merchandise. See Dorbest Ltd. v. United
States, 2009–1257 at 20 (Fed. Cir. 2010).
Because this wage rate does not separate
labor rates into different skill levels or
types of labor, the Department has
applied the same wage rate to all skill
levels and types of labor reported by
Since Hardware. See Factors Valuation
Memorandum at page 5.
Since Hardware claimed that it
utilized hot rolled steel as a production
input of the subject merchandise.
However, Since Hardware’s supporting
documentation provided to department
officials at verification did not
demonstrate Since Hardware purchased
hot-rolled steel in sizes of less than 1.1
millimeters. See Since Hardware 2007–
2008 Verification Report at pages 25–27.
We, therefore, assigned the surrogate
value of cold-rolled steel to value this
production input.
The Department valued truck freight
expenses using a per-unit average rate
calculated from data on the Infobanc
Web site: https://www.infobanccom/
logistics/logtruck.htm. The logistics
section of this Web site contains inland
freight truck rates between many large
Indian cities. Since this value is not
contemporaneous with the POR, the
Department deflated the rate using the
Wholesale Price Index of India. See
Factors Valuation Memorandum at
page 7.
The Department valued brokerage and
handling using a price list of export
procedures necessary to export a
standardized cargo of goods in India.
The price list is compiled based on a
survey case study of the procedural
requirements for trading a standard
shipment of goods by ocean transport in
India that is published in Doing
Business 2010: India, by the World
Bank.
To value factory overhead, selling,
general and administrative (SG&A)
expenses, and profit the Department
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used the audited financial statement of
2005–2006 Infiniti Modules Pvt. Ltd.
(Infiniti Modules).
We are preliminarily granting an
offset to Since Hardware for its scrap
steel sales. See Factors Valuation
Memorandum at page 3.
Currency Conversion
Where necessary, the Department
made currency conversions into U.S.
dollars, in accordance with section
773(A) of the Act, based on the
exchange rates in effect on the date of
the U.S. sale, as certified by the Federal
Reserve Board.
Preliminary Results of Review
We preliminarily determine that the
following antidumping duty margins
exist:
Exporter
Margin (percent)
Since Hardware ............
52.06
jlentini on DSKJ8SOYB1PROD with NOTICES
Assessment Rates
Pursuant to 19 CFR 351.212(b), the
Department will determine, and CBP
shall assess, antidumping duties on all
appropriate entries. The Department
will issue appropriate assessment
instructions directly to CBP 15 days
after the date of publication of the final
results of this review. For assessment
purposes, where possible, we calculated
importer-specific ad valorem assessment
rates for ironing tables from the PRC
based on the ratio of the total amount of
the dumping duties calculated for the
examined sales to the total entered
value of those same sales. We will
instruct CBP to assess antidumping
duties on all appropriate entries covered
by this review if any assessment rate
calculated in the final results of this
review is above de minimis. The final
results of this review shall be the basis
for the assessment of antidumping
duties on entries of merchandise
covered by the final results of these
reviews and for future deposits of
estimated duties, where applicable.
Cash Deposit Requirements
The following cash deposit
requirements will be effective upon
publication of the final results of this
administrative review for all shipments
of the subject merchandise entered, or
withdrawn from warehouse, for
consumption on or after the publication
date, as provided for by section
751(a)(2)(C) of the Act: (1) For the
exporters listed above, the cash deposit
rate will be established in the final
results of this review (except, if the rate
is zero or de minimis, i.e., less than 0.5
percent, no cash deposit will be
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16:38 Sep 13, 2010
Jkt 220001
required for that company); (2) for
previously investigated or reviewed PRC
and non-PRC exporters not listed above
that have separate rates, the cash
deposit rate will continue to be the
exporter-specific rate published for the
most recent period; (3) for all PRC
exporters of subject merchandise which
have not been found to be entitled to a
separate rate, the cash deposit rate will
be the PRC-wide rate of 157.68 percent
(see Amended Final and Order); and (4)
for all non-PRC exporters of subject
merchandise which have not received
their own rate, the cash deposit rate will
be the rate applicable to the PRC
exporters that supplied that non-PRC
exporter. These deposit requirements,
when imposed, shall remain in effect
until publication of the final results of
the next administrative review.
Public Comment
The Department will disclose
calculations performed in connection
with the preliminary results of this
review within five days of the date of
publication of this notice in accordance
with 19 CFR 351.224(b). Any interested
party may request a hearing within 30
days of publication of this notice in
accordance with 19 CFR 351.310(c).
Any hearing will be held 37 days after
the publication of this notice, or the first
workday thereafter unless the
Department alters the date pursuant to
19 CFR 351.310(d). Individuals who
wish to request a hearing must submit
a written request within 30 days of the
publication of this notice in the Federal
Register to the Assistant Secretary for
Import Administration, U.S. Department
of Commerce, Room 1870, 14th Street
and Constitution Avenue, NW.,
Washington, DC 20230. Requests for a
public hearing should contain: (1) The
party’s name, address, and telephone
number; (2) the number of participants;
and (3) to the extent practicable, an
identification of the arguments to be
raised at the hearing.
Unless otherwise notified by the
Department, interested parties may
submit case briefs within 30 days of the
date of publication of this notice in
accordance with 19 CFR
351.309(c)(1)(ii). As part of the case
brief, parties are encouraged to provide
a summary of the arguments and a table
of authorities in accordance with 19
CFR 351.309(c)(2). Rebuttal briefs,
which must be limited to issues raised
in the case briefs, must be filed within
five days after the case brief is filed in
accordance with 19 CFR 351.309(d). If a
hearing is held, an interested party may
make an affirmative presentation only
on arguments included in that party’s
case brief and may make a rebuttal
PO 00000
Frm 00029
Fmt 4703
Sfmt 4703
presentation only on arguments
included in that party’s rebuttal brief in
accordance with 19 CFR 351.310(c).
Parties should confirm by telephone the
time, date, and place of the hearing
within 48 hours before the scheduled
time. The Department will issue the
final results of this review, which will
include the results of its analysis of
issues raised in the briefs, not later than
120 days after the date of publication of
this notice in accordance with section
751(a)(3)(A) of the Act and 19 CFR
351.213(h)(1).
Notification to Importers
This notice also serves as a
preliminary reminder to importers of
their responsibility under 19 CFR
351.402(f) to file a certificate regarding
the reimbursement of antidumping
duties prior to liquidation of the
relevant entries during these review
periods. 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. These
preliminary results of administrative
review are issued and this notice is
published in accordance with sections
751(a)(1) and 777(i)(1) of the Act.
Dated: September 7, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import
Administration.
[FR Doc. 2010–22898 Filed 9–13–10; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–580–851]
Dynamic Random Access Memory
Semiconductors From the Republic of
Korea: Preliminary Results of
Countervailing Duty Administrative
Review
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
is conducting an administrative review
of the countervailing duty order on
dynamic random access memory
semiconductors from the Republic of
Korea for the period January 1, 2008,
through August 10, 2008. We
preliminarily find that Hynix
Semiconductor, Inc. received
countervailable subsidies during the
period of review. If these preliminary
results are adopted in our final results
of this review, we will instruct U.S.
Customs and Border Protection to assess
AGENCY:
E:\FR\FM\14SEN1.SGM
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Agencies
[Federal Register Volume 75, Number 177 (Tuesday, September 14, 2010)]
[Notices]
[Pages 55759-55764]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-22898]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-888]
Floor-Standing, Metal-Top Ironing Tables and Certain Parts
Thereof From the People's Republic of China: Preliminary Results of
Antidumping Duty Administrative Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: In response to requests from interested parties, the
Department of Commerce (the Department) is conducting an administrative
review of the antidumping duty order on floor-standing, metal-top
ironing tables and certain parts thereof from the People's Republic of
China (PRC). The period of review (POR) is August 1, 2007 through July
31, 2008. We have preliminarily determined that respondent Since
Hardware (Guangzhou) Co., Ltd. (Since Hardware) has made sales to the
United States of the subject merchandise at prices below normal value.
We invite interested parties to comment on these preliminary results.
Parties filing comments are requested to submit with each argument (1)
a statement of the issue and (2) a brief summary of the argument(s).
DATES: Effective Date: September 14, 2010.
FOR FURTHER INFORMATION CONTACT: Michael J. Heaney or Robert James, AD/
CVD Operations, Office 7, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
4475 or (202) 482-0649, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 6, 2004, the Department published in the Federal Register
the antidumping duty order regarding floor-standing, metal-top ironing
tables and certain parts thereof (ironing tables) from the PRC. See
Notice of Amended Final Determination of Sales at Less Than Fair Value
and Antidumping Duty Order: Floor-Standing, Metal-Top Ironing Tables
and Certain Parts Thereof From the People's Republic of China, 69 FR
47868 (August 6, 2004) (Amended Final and Order).
On August 1, 2008, the Department published a notice of opportunity
to request an administrative review of the antidumping duty order on,
inter alia, ironing tables from the People's Republic of China. See
Antidumping or Countervailing Duty Order, Finding, or Suspended
Investigation; Opportunity to Request Administrative Review, 73 FR
44966 (August 1, 2008). On August 29, 2008, Home Products International
(the Petitioner in this proceeding) requested, in accordance with 19
CFR 351.213(b)(1), an administrative review of this order for Since
Hardware. Since Hardware's request for an administrative review of its
sales pursuant to 19 CFR 351.213(b)(2) followed on September 2, 2008.
(The deadline for filing a request for review, August 31, 2008, fell on
a weekend; Since Hardware's request was timely filed on the first
business day thereafter.) In its request for review, Since Hardware
also requested that the Department defer initiation of the
administrative review for one year, pursuant to 19 CFR 351.213(c).
On October 29, 2008, the Department published its notice of
deferral of the administrative review for one year with respect to
Since Hardware, pursuant to
[[Page 55760]]
19 CFR 351.213(c). (This notice of deferral was inadvertently omitted
from our September 30th notice of initiation). See Initiation of
Antidumping and Countervailing Duty Administrative Reviews and Deferral
of Administrative Review, 73 FR 64305 (October 29, 2008)
In accordance with the deferral of administrative review, on
September 22, 2009, the Department initiated an administrative review
of Since Hardware for the period of review of August 1, 2007 through
July 31, 2008. See Initiation of Antidumping and Countervailing Duty
Administrative Reviews and Requests for Revocation in Part, 74 FR 48224
(September 22, 2009). On February 16, 2010, the Department issued a
memorandum that tolled the deadlines for all Import Administration
cases by seven calendar days due to the recent Federal Government
closure. See Memorandum for the Record from Ronald Lorentzen, DAS for
Import Administration, regarding Tolling of Administrative Deadlines as
a Result of the Government Closure During the Recent Snowstorm, dated
February 12, 2010.
On April 28, 2010, in accordance with section 751(a)(3)(A) of the
Tariff Act of 1930, as amended (the Act), and 19 CFR 351.213(h)(2), the
Department extended the deadline for the preliminary results of review
until September 7, 2010. See Floor-Standing, Metal-Top Ironing Tables
and Certain Parts Thereof from the People's Republic of China:
Extension of the Time Limit for the Preliminary Results of the
Administrative Review, 75 FR 22371 (April 28, 2010).
The Department issued its original antidumping questionnaire to
Since Hardware on September 29, 2009. Since Hardware timely filed its
response to Section A of the questionnaire on October 29, 2009; Since
Hardware's Sections C and D responses followed on November 19, 2009 and
December 1, 2009 respectively. Petitioner filed comments on Since
Hardware's sections A, C, and D responses on December 7, 2009.
The Department subsequently issued supplemental questionnaires to
Since Hardware on February 24, 2010, and May 5, 2010. Since Hardware
timely responded to each of the Department's supplemental requests for
information on March 25, 2010, April 9, 2010 and June 3, 2010. On April
9, 2010, Petitioner filed additional comments on the original and
supplemental sections A, C, and D responses submitted by Since
Hardware. On August 26, 2010, Petitioner filed comments concerning the
Department's verification of Since Hardware.
Verification
As provided in section 782(i)(3) of the Act, we verified the
information submitted by Since Hardware upon which we have relied in
these preliminary results of review. We conducted our verification from
June 21, through June 25, 2010. The Department's verification report is
on the record of this review in the Central Records Unit, Room 1117 of
the main Department building. We used standard verification procedures,
including examination of relevant accounting and production records, as
well as source documentation provided by Since Hardware. See August 23,
2010 Verification of the Sales and Factors Response of Since Hardware
(Guangzhou) Co. Ltd. in the Antidumping Review of Floor Standing,
Metal-Top Ironing Tables and Certain Parts Thereof from the People's
Republic of China (PRC) (Since Hardware 2007-2008 Verification Report).
Surrogate Country and Surrogate Value Data
On July 13, 2010, the Department sent interested parties a letter
inviting comments on surrogate country selection and surrogate value
data. See the Department's Letter to All Interested Parties;
Administrative Review of Floor-Standing, Metal-Top, Ironing Tables and
Parts Thereof from the People's Republic of China (PRC): Surrogate
Country List, dated July 13, 2010 (Surrogate Country List). On August
17, 2010, the Department received information to value factors of
production (FOP) from Since Hardware and the Petitioner. With the
exception of the surrogate value data to value labor rates, all of the
surrogate values placed on the record were obtained from sources in
India.
Scope of the Order
For purposes of this order, the product covered consists of floor-
standing, metal-top ironing tables, assembled or unassembled, complete
or incomplete, and certain parts thereof. The subject tables are
designed and used principally for the hand ironing or pressing of
garments or other articles of fabric. The subject tables have full-
height leg assemblies that support the ironing surface at an
appropriate (often adjustable) height above the floor. The subject
tables are produced in a variety of leg finishes, such as painted,
plated, or matte, and they are available with various features,
including iron rests, linen racks, and others. The subject ironing
tables may be sold with or without a pad and/or cover. All types and
configurations of floor-standing, metal-top ironing tables are covered
by this review.
Furthermore, this order specifically covers imports of ironing
tables, assembled or unassembled, complete or incomplete, and certain
parts thereof. For purposes of this order, the term ``unassembled''
ironing table means a product requiring the attachment of the leg
assembly to the top or the attachment of an included feature such as an
iron rest or linen rack. The term ``complete'' ironing table means
product sold as a ready-to-use ensemble consisting of the metal-top
table and a pad and cover, with or without additional features, e.g.,
iron rest or linen rack. The term ``incomplete'' ironing table means
product shipped or sold as a ``bare board''--i.e., a metal-top table
only, without the pad and cover--with or without additional features,
e.g., iron rest or linen rack. The major parts or components of ironing
tables that are intended to be covered by this order under the term
``certain parts thereof'' consist of the metal top component (with or
without assembled supports and slides) and/or the leg components,
whether or not attached together as a leg assembly. The order covers
separately shipped metal top components and leg components, without
regard to whether the respective quantities would yield an exact
quantity of assembled ironing tables.
Ironing tables without legs (such as models that mount on walls or
over doors) are not floor-standing and are specifically excluded.
Additionally, tabletop or countertop models with short legs that do not
exceed 12 inches in length (and which may or may not collapse or
retract) are specifically excluded.
The subject ironing tables are currently classifiable under
Harmonized Tariff Schedule of the United States (HTSUS) subheading
9403.20.0011. The subject metal top and leg components are classified
under HTSUS subheading 9403.90.8040. Although the HTSUS subheadings are
provided for convenience and for Customs and Border Protection (CBP)
purposes, the Department's written description of the scope remains
dispositive.
Non-Market-Economy Status
In every case conducted by the Department involving the PRC, the
PRC has been treated as a non-market economy (NME). In accordance with
section 771(18)(C)(i) of the Act, any determination that a foreign
country is an NME country shall remain in effect until revoked by the
administering
[[Page 55761]]
authority. See, e.g., Brake Rotors from the People's Republic of China:
Final Results and Partial Rescission of the 2004/2005 Administrative
Review and Notice of Rescission of 2004/2005 New Shipper Review, 71 FR
66304 (November 14, 2006). None of the parties to this administrative
review has contested such treatment. Accordingly, we calculated normal
value (NV) in accordance with section 773(c) of the Act, which applies
to NME countries.
Surrogate Country
When the Department investigates imports from an NME country and
available information does not permit the Department to determine NV
pursuant to section 773(a) of the Act, then, pursuant to section
773(c)(4) of the Act, the Department bases NV on an NME producer's
FOP's to the extent possible, in one or more market-economy countries
that (1) are at a level of economic development comparable to that of
the NME country, and (2) are significant producers of comparable
merchandise. The Department determined India, the Philippines,
Indonesia, Thailand, Ukraine and Peru are countries comparable to the
PRC in economic development for purposes of this administrative review.
(See Memorandum to Richard Weible from Carole Showers Request for a
List of Surrogate Countries for an Administrative Review of the
Antidumping Order on Floor Standing Metal-Top Ironing Tables and
Certain Parts (``Ironing Tables'') from the People's Republic of China
dated July 8, 2010 (Surrogate Country List).)
Based on publicly available information placed on the record by
interested parties (e.g., production data), the Department determines
India to be a reliable source for surrogate values because India is at
a comparable level of economic development pursuant to section
773(c)(4) of the Act, is a significant producer of the subject
merchandise, and has publicly available and reliable data. Accordingly,
the Department has selected India as the surrogate country for purposes
of valuing the FOPs because it meets the Department's criteria for
surrogate country selection.
Separate Rates
In proceedings involving NME countries, the Department has a
rebuttable presumption that all companies within the country are
subject to government control and, thus, should be assigned a single
antidumping duty rate. It is the Department's policy to assign all
exporters of subject merchandise in an NME country this single rate
unless an exporter can demonstrate that it is sufficiently independent
so as to be entitled to a separate rate. See Policy Bulletin 05.1:
Separate Rates Practice and Application of Combination Rates in
Antidumping Investigations involving Non-Market Economy Countries,
available at https://ia.ita.gov.policy/bull05-1.pdf. Exporters can
demonstrate this independence through the absence of both de jure and
de facto governmental control over export activities. The Department
analyzes each entity exporting the subject merchandise under a test
arising from the Final Determination of Sales at Less Than Fair Value:
Sparklers from the People's Republic of China, 56 FR 20588 at Comment 1
(May 6, 1991) (Sparklers). This test was further developed in Notice of
Final Determination of Sales at Less Than Fair Value: Silicon Carbide
from the People's Republic of China, 59 FR 22585 (May 2, 1994).
(Silicon Carbide). However, if the Department determines that a company
is wholly foreign-owned or located in a market economy, then a separate
rate analysis is unnecessary to determine whether it is independent
from government control.
Accordingly, we have considered whether Since Hardware is
independent from government control, and therefore eligible for a
separate rate. The Department's separate-rate test to determine whether
the exporters are independent from government control does not
consider, in general, macroeconomic/border-type controls, e.g., export
licenses, quotas, and minimum export prices, particularly if these
controls are imposed to prevent dumping. See Notice of Final
Determination of Sales at Less Than Fair Value: Certain Preserved
Mushrooms from the People's Republic of China, 63 FR 72255, 72256
(December 31, 1998). The test focuses, rather, on controls over the
investment, pricing, and output decision-making process at the
individual firm level. See, e.g., Notice of Final Determination of
Sales at Less than Fair Value: Certain Cut-to-Length Carbon Steel Plate
from Ukraine, 62 FR 61754, 61758 (November 19, 1997); see also Tapered
Roller Bearings and Parts Thereof, Finished and Unfinished, From the
People's Republic of China; Final Results of Antidumping Duty
Administrative Review, 62 FR 61276, 61279 (November 17, 1997).
Since Hardware provided complete separate-rate information in its
responses to our original and supplemental questionnaires. Accordingly,
we performed a separate-rates analysis to determine whether Since
Hardware is independent from government control.
Absence of De Jure Control
The Department considers the following de jure criteria in
determining whether an individual company may be granted a separate
rate: (1) An absence of restrictive stipulations associated with an
individual exporter's business and export licenses; (2) any legislative
enactments decentralizing control of companies; and (3) other formal
measures by the government decentralizing control of companies. See
Sparklers, 56 FR 20588 at Comment 1. The evidence provided by Since
Hardware supports a finding of de jure absence of control based on the
following: (1) An absence of restrictive stipulations associated with
its business and export licenses, (2) applicable legislative enactments
decentralizing control of companies; and (3) formal measures (e.g., the
Foreign Trade Law) decentralizing control of companies, See, e.g.,
Since Hardware October 29, 2009 questionnaire response at pages A-3-A-
5.
Absence of De Facto Control
Typically, the Department considers four factors in evaluating
whether a respondent is subject to de facto government control of its
export functions: (1) Whether the export prices are set by, or subject
to, the approval of a government authority; (2) whether the respondent
has authority to negotiate and sign contracts and other agreements; (3)
whether the respondent has autonomy from the government in making
decisions regarding the selection of its management; and (4) whether
the respondent retains the proceeds of its export sales and makes
independent decisions regarding disposition of profits or financing of
losses. See Silicon Carbide 59 FR 22857; see also Notice of Final
Determination of Sales at Less Than Fair Value: Furfuryl Alcohol from
the People's Republic Of China, 60 FR 22544 (May 8, 1995) The
Department has determined that an analysis of de facto control is
critical in determining whether respondents are, in fact, subject to a
degree of governmental control, which would preclude the Department
from assigning separate rates.
The evidence provided by Since Hardware supports a preliminary
finding of de facto absence of government control based on the
following: (1) The absence of evidence that the export prices are set
by or are subject to the approval of a government agency, (2) Since
Hardware has
[[Page 55762]]
authority to negotiate and sign contracts and other agreements, (3)
Since Hardware has autonomy from government in making decisions
regarding the selection of management, and (4) Since Hardware retains
the proceeds of its export sales and make independent decisions
regarding disposition of profits or financing of losses. See Since
Hardware October 29, 2010 Section A questionnaire response at A-5
through A-8.
In accordance with the criteria identified in Sparklers and Silicon
Carbide, the evidence placed on the record of this review by Since
Hardware demonstrates an absence of de jure and de facto government
control with respect to Since Hardware's exports of the subject
merchandise. Accordingly, we have determined that Since Hardware has
demonstrated eligibility for a separate rate.
Fair Value Comparisons
To determine whether Since Hardware's sales of the subject
merchandise to the United States were made at prices below normal value
(NV), we compared its United States prices to NV, as described in the
``U.S. Price'' and ``Normal Value'' sections of this notice. See
section 773(a) of the Act.
U.S. Price
We based U.S. price for Since Hardware on export price (EP) in
accordance with section 772(a) of the Act, because the first sale to an
unaffiliated purchaser was made prior to importation, and constructed
export price (CEP) was not otherwise warranted by the facts on the
record. We calculated EP based on the packed price from the exporter to
the first unaffiliated customer in the United States. We deducted
foreign inland freight, and foreign brokerage and handling expenses
from the starting price (gross unit price), in accordance with section
772(c) of the Act. Where appropriate, we made an addition to U.S. price
for billing adjustments.
Since Hardware incurred foreign inland freight and foreign
brokerage and handling expenses from PRC service providers. We
therefore valued these services using Indian surrogate values (see
``Factors of Production'' section below for further discussion).
Normal Value
Factors of Production (FOP)
Section 773(c)(1) of the Act provides that the Department shall
determine NV using an FOP methodology if the merchandise is exported
from an NME country and the Department finds that the available
information does not permit the calculation of NV using home-market
prices, third-country prices, or constructed value under section 773(a)
of the Act. When determining NV in an NME context, the Department will
base NV on FOPs because the presence of government control on various
aspects of these economies renders price comparisons and the
calculation of production costs invalid under our normal methodologies.
The Department's questionnaires required Since Hardware to provide
information regarding the weighted-average FOP.
In accordance with 19 CFR 351.408(c)(1), the Department will
normally use publically available information to find an appropriate SV
to value FOPs, but when a producer sources an input from a market
economy and pays for it in market-economy currency, the Department may
value the factor using the actual price paid for the input. See 19 CFR
351.408(c)(1); see also Shakeproof Assembly Components, Div. of Ill.
Tool Works, Inc. v. United States, 268 F. 3rd 1376, 1382-1383 (Fed.
Cir. 2001) (affirming the Department's use of market-based prices to
value FOPs). During the POR, Since Hardware purchased a certain packing
material from a market economy supplier. Because Since Hardware
purchased more than 33 percent of its total volume of this material
from a market economy supplier, we used the market economy price of
that material to value this input. See Since Hardware December 1, 2009
Section D response at Appendix D-6.
We calculated NV based on FOPs in accordance with section 773(c)(3)
and (4) of the Act and 19 CFR 351.408(c). The FOPs include but are not
limited to: (1) Hours of labor required; (2) quantities of raw material
employed; (3) amounts of energy and other utilities consumed; and (4)
representative capital costs. The Department used FOPs reported by
Since Hardware for materials, energy, labor, by-products, and packing.
To calculate NV, we multiplied the reported unit factor quantities by
publicly available values in the surrogate country, India.
In addition, Since Hardware reported by-product sales. Consistent
with the Department's determination in the investigation of Diamond
Sawblades from the PRC, we will deduct the surrogate value of the by-
product from NV because the surrogate financial statements on the
record of this administrative review contain no references to the
treatment of by-products, and because Since Hardware provided evidence
that it sold its by-products. See Final Determination of Sales at Less
Than Fair Value and Final Partial Affirmative Determination of Critical
Circumstances: Diamond Sawblades and Parts Thereof from the People's
Republic of China, 71 FR 29303 (May 22, 2006) (Diamond Sawblades from
the PRC), and accompanying Issues and Decision Memorandum at Comment 9,
unchanged in Notice of Amended Final Determination of Sales at Less
Than Fair Value: Diamond Sawblades and Parts Thereof from the People's
Republic of China, 71 FR 35864 (June 22, 2006). This is consistent with
accounting principles based on a reasonable assumption that if a
company sells a by-product, the by-product necessarily incurs expenses
for overhead, SG&A, and profit. Id.
In selecting the surrogate Indian values, we considered the
quality, specificity, and contemporaneity of the data, in accordance
with our practice. See, e.g., Electrolytic Manganese Dioxide from the
People's Republic of China: Final Determination of Sales at Less Than
Fair Value and accompanying Issues and Decision Memorandum at Comment
2. The Department adjusted input prices by including freight costs to
make them delivered prices, as appropriate. Specifically, the
Department added to Indian import SVs a surrogate freight cost using
the shorter of the reported distance from the domestic supplier to the
factory or the distance from the nearest seaport to the factory of
production. This adjustment is in accordance with the decision of the
U.S. Court of Appeals for the Federal Circuit (Federal Circuit) in
Sigma Corp. v. United States, 117 F. 3rd 1401, 1407-08 (Fed. Cir.
1997). A detailed description of all SVs used to value Since Hardware's
FOPs may be found in the September 7, 2010 Memorandum to the File
through Robert James, Program Manager, Office 7 from Michael J. Heaney
International Trade Analyst: Antidumping Duty Administrative Review of
Floor-Standing, Metal Top Ironing Tables and Certain Parts Thereof from
the People's Republic of China, dated September 7, 2010 (Factors
Valuation Memorandum.)
The Department calculated SVs for the majority of reported FOPs
purchased from NME sources using the contemporaneous, weighted average
unit import value derived from the Ministry of Commerce of India
(Indian Import Statistics) for the POR. The Department used Indian
import data from the Global Trade Atlas (GTA) published by Global Trade
Information Services, Inc. (GTIS) which is sourced
[[Page 55763]]
from the Directorate General of Commercial Intelligence & Statistics,
Indian Ministry of Commerce, to determine the surrogate values for most
raw materials, by-products and packing material inputs. The Department
has disregarded statistics from NMEs, countries with generally
available export subsidies, and undetermined countries, in calculating
average value. In accordance with the Omnibus Trade and Competiveness
Act of 1988, Conf. Report to Accompany HR. 3, HR Rep. No., 100th Cong.,
2nd Session (1988), the Department continues to apply its long-standing
practice of disregarding surrogate values if it has a reason to believe
or suspect the source data may be subsidized. In this regard, the
Department has previously found that it is appropriate to disregard
such prices from India, Indonesia, South Korea and Thailand because we
have determined that these countries maintain broadly available, non-
industry specific export subsidies. See, e.g. Expedited Sunset Review
of the Countervailing Duty Order on Carbazole Violet Pigment 23 from
India, 75 FR 13257 (March 19, 2010), and accompanying Issues and
Decisions Memorandum at pages 4-5; Expedited Sunset Review of the
Countervailing Duty Order on Certain Cut-To Length Carbon Quality Steel
Plate from Indonesia, 70 FR 45692 (August 8, 2005), and accompanying
Issues and Decisions Memorandum at page 4; Certain Hot-Rolled Carbon
Steel Flat Products from Thailand: Final Results of Countervailing Duty
Determination, 66 FR 50410 (October 3, 2001), and accompanying Issues
and Decision Memorandum at page 23. For a detailed description of all
surrogate values used for Since Hardware, see the Factors Valuation
Memorandum.
In past cases, it has been the Department's practice to value
various FOPs using import statistics of the primary selected surrogate
country from the World Trade Atlas (WTA), as published by GTIS. See,
e.g., Certain Preserved Mushrooms from the People's Republic of China:
Preliminary Results of Antidumping Duty New Shipper Review, 74 FR
50946, 50950 (October 2, 2009). However, in October 2009, the
Department learned that Indian import data obtained from the WTA, as
published by GTIS, began identifying the original reporting currency
for India as the U.S. dollar. The Department then contacted GTIS about
the change in the original reporting currency for India from the Indian
rupee to the U.S. dollar. Officials at GTIS explained that while GTIS
obtains data on imports into India directly from the Ministry of
Commerce, Government of India, as denominated and published in Indian
rupees, the WTA software is limited with regard to the number of
significant digits it can manage. Therefore, GTIS made a decision to
change the official reporting currency for Indian data from the Indian
rupee to the U.S. dollar in order to reduce the loss of significant
digits when obtaining data through the WTA software. GTIS explained
that it converts the Indian Rupee to the U.S. dollar using the monthly
Federal Reserve exchange rate applicable to the relevant month of the
data being downloaded and converted. See, Certain Oil Country Tubular
Goods from the People's Republic of China: Final Determination of Sales
at Less Than Fair Value, Affirmative Final determination of Critical
Circumstances, and Final Determination of Targeted Dumping, 75 FR 20335
(April 19, 2010), and accompanying Issues and Decision Memorandum at
Comment 4.
However, the data reported in the GTA software report import
statistics, such as data from India, in the original reporting currency
and thus these data correspond to the original currency value reported
by each country. Additionally, the data reported in GTA software are
reported to the nearest digit and thus there is not a loss of data by
rounding, as there is with the data reported by the WTA software.
Consequently, the Department will now obtain import statistics from GTA
for valuing FOPs because the GTA import statistics are in the original
reporting currency of the country from which the data are obtained and
have the same level of accuracy as the original data released.
The Department valued electricity using the updated electricity
price data for small, medium, and large industries, as published by the
Central Electricity Authority, an administrative body of the Government
of India, in its publication titled Electricity Tariff & Duty and
Average Rates of Electricity Supply in India, dated March 2008. These
electricity rates represent actual, country-wide, publically available
information on tax-exclusive electricity rates charged to small,
medium, and large industries in India. We did not inflate this value
because utility rates represent current rates, as indicated by the
effective dates listed for each of the rates provided. See Factors
Valuation Memorandum at page 6.
The Department valued water using data from the Maharashtra
Industrial Development Corporation (MDIC) as it includes a wide range
of industrial water tariffs. To value water, we used the average rate
for industrial use from MDIC water rates at https://www.midcindia.org.
See Factors Valuation Memorandum at page 6.
We valued diesel fuel using the rates provided by the OECD's
International Energy Agency's publication: Key World Energy Statistics
from 2004 and 2005. The prices are based on 2004 and 2005 first quarter
prices of automotive diesel fuel retail prices. See Factor Valuation
Memorandum at page 6.
For direct, indirect, and packing labor, pursuant to a recent
decision by the Federal Circuit, we have calculated an hourly wage rate
to use in valuing Since Hardware's reported labor input by averaging
earnings and/or wages in countries that are economically comparable to
the PRC and that are significant producers of comparable merchandise.
See Dorbest Ltd. v. United States, 2009-1257 at 20 (Fed. Cir. 2010).
Because this wage rate does not separate labor rates into different
skill levels or types of labor, the Department has applied the same
wage rate to all skill levels and types of labor reported by Since
Hardware. See Factors Valuation Memorandum at page 5.
Since Hardware claimed that it utilized hot rolled steel as a
production input of the subject merchandise. However, Since Hardware's
supporting documentation provided to department officials at
verification did not demonstrate Since Hardware purchased hot-rolled
steel in sizes of less than 1.1 millimeters. See Since Hardware 2007-
2008 Verification Report at pages 25-27. We, therefore, assigned the
surrogate value of cold-rolled steel to value this production input.
The Department valued truck freight expenses using a per-unit
average rate calculated from data on the Infobanc Web site: https://www.infobanccom/logistics/logtruck.htm. The logistics section of this
Web site contains inland freight truck rates between many large Indian
cities. Since this value is not contemporaneous with the POR, the
Department deflated the rate using the Wholesale Price Index of India.
See Factors Valuation Memorandum at page 7.
The Department valued brokerage and handling using a price list of
export procedures necessary to export a standardized cargo of goods in
India. The price list is compiled based on a survey case study of the
procedural requirements for trading a standard shipment of goods by
ocean transport in India that is published in Doing Business 2010:
India, by the World Bank.
To value factory overhead, selling, general and administrative
(SG&A) expenses, and profit the Department
[[Page 55764]]
used the audited financial statement of 2005-2006 Infiniti Modules Pvt.
Ltd. (Infiniti Modules).
We are preliminarily granting an offset to Since Hardware for its
scrap steel sales. See Factors Valuation Memorandum at page 3.
Currency Conversion
Where necessary, the Department made currency conversions into U.S.
dollars, in accordance with section 773(A) of the Act, based on the
exchange rates in effect on the date of the U.S. sale, as certified by
the Federal Reserve Board.
Preliminary Results of Review
We preliminarily determine that the following antidumping duty
margins exist:
------------------------------------------------------------------------
Exporter Margin (percent)
------------------------------------------------------------------------
Since Hardware...................................... 52.06
------------------------------------------------------------------------
Assessment Rates
Pursuant to 19 CFR 351.212(b), the Department will determine, and
CBP shall assess, antidumping duties on all appropriate entries. The
Department will issue appropriate assessment instructions directly to
CBP 15 days after the date of publication of the final results of this
review. For assessment purposes, where possible, we calculated
importer-specific ad valorem assessment rates for ironing tables from
the PRC based on the ratio of the total amount of the dumping duties
calculated for the examined sales to the total entered value of those
same sales. We will instruct CBP to assess antidumping duties on all
appropriate entries covered by this review if any assessment rate
calculated in the final results of this review is above de minimis. The
final results of this review shall be the basis for the assessment of
antidumping duties on entries of merchandise covered by the final
results of these reviews and for future deposits of estimated duties,
where applicable.
Cash Deposit Requirements
The following cash deposit requirements will be effective upon
publication of the final results of this administrative review for all
shipments of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the publication date, as
provided for by section 751(a)(2)(C) of the Act: (1) For the exporters
listed above, the cash deposit rate will be established in the final
results of this review (except, if the rate is zero or de minimis,
i.e., less than 0.5 percent, no cash deposit will be required for that
company); (2) for previously investigated or reviewed PRC and non-PRC
exporters not listed above that have separate rates, the cash deposit
rate will continue to be the exporter-specific rate published for the
most recent period; (3) for all PRC exporters of subject merchandise
which have not been found to be entitled to a separate rate, the cash
deposit rate will be the PRC-wide rate of 157.68 percent (see Amended
Final and Order); and (4) for all non-PRC exporters of subject
merchandise which have not received their own rate, the cash deposit
rate will be the rate applicable to the PRC exporters that supplied
that non-PRC exporter. These deposit requirements, when imposed, shall
remain in effect until publication of the final results of the next
administrative review.
Public Comment
The Department will disclose calculations performed in connection
with the preliminary results of this review within five days of the
date of publication of this notice in accordance with 19 CFR
351.224(b). Any interested party may request a hearing within 30 days
of publication of this notice in accordance with 19 CFR 351.310(c). Any
hearing will be held 37 days after the publication of this notice, or
the first workday thereafter unless the Department alters the date
pursuant to 19 CFR 351.310(d). Individuals who wish to request a
hearing must submit a written request within 30 days of the publication
of this notice in the Federal Register to the Assistant Secretary for
Import Administration, U.S. Department of Commerce, Room 1870, 14th
Street and Constitution Avenue, NW., Washington, DC 20230. Requests for
a public hearing should contain: (1) The party's name, address, and
telephone number; (2) the number of participants; and (3) to the extent
practicable, an identification of the arguments to be raised at the
hearing.
Unless otherwise notified by the Department, interested parties may
submit case briefs within 30 days of the date of publication of this
notice in accordance with 19 CFR 351.309(c)(1)(ii). As part of the case
brief, parties are encouraged to provide a summary of the arguments and
a table of authorities in accordance with 19 CFR 351.309(c)(2).
Rebuttal briefs, which must be limited to issues raised in the case
briefs, must be filed within five days after the case brief is filed in
accordance with 19 CFR 351.309(d). If a hearing is held, an interested
party may make an affirmative presentation only on arguments included
in that party's case brief and may make a rebuttal presentation only on
arguments included in that party's rebuttal brief in accordance with 19
CFR 351.310(c). Parties should confirm by telephone the time, date, and
place of the hearing within 48 hours before the scheduled time. The
Department will issue the final results of this review, which will
include the results of its analysis of issues raised in the briefs, not
later than 120 days after the date of publication of this notice in
accordance with section 751(a)(3)(A) of the Act and 19 CFR
351.213(h)(1).
Notification to Importers
This notice also serves as a preliminary reminder to importers of
their responsibility under 19 CFR 351.402(f) to file a certificate
regarding the reimbursement of antidumping duties prior to liquidation
of the relevant entries during these review periods. 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. These preliminary results of
administrative review are issued and this notice is published in
accordance with sections 751(a)(1) and 777(i)(1) of the Act.
Dated: September 7, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 2010-22898 Filed 9-13-10; 8:45 am]
BILLING CODE 3510-DS-P