Uncovered Innerspring Units From the People's Republic of China: Preliminary Intent To Rescind New Shipper Review, 47151-47153 [2011-19712]
Download as PDF
Federal Register / Vol. 76, No. 150 / Thursday, August 4, 2011 / Notices
Postponement of Preliminary
Determinations
DEPARTMENT OF COMMERCE
International Trade Administration
Section 733(b)(1)(A) of the Tariff Act
of 1930, as amended (the Act), requires
the Department to complete its
preliminary determinations for these
investigations no later than 140 days
after the date of issuance of the
initiation (i.e., September 7, 2011).
On July 13, 2011, the petitioners,
Davis Wire Corporation, Johnstown
Wire Technologies, Inc., Mid-South
Wire Company, Inc., National Standard,
LLC, and Oklahoma Steel & Wire
Company, Inc. (collectively, the
petitioners) made a timely request
pursuant to 19 CFR 351.205(e) for a
postponement of the preliminary
determinations with respect to the PRC
and Mexico. The petitioners requested
postponement of the preliminary
determinations of the antidumping duty
investigations with respect to both the
PRC and Mexico so that they have
adequate time to analyze and comment
upon the responses of the various
companies which have been selected as
respondents. See Letters from the
Petitioners to the Department, titled
‘‘Request for Extension of Time for
Preliminary Determination,’’ dated July
13, 2011.
For the reasons stated by the
petitioners and because there are no
compelling reasons to deny the request,
the Department is postponing the
deadline for the preliminary
determinations with respect to the PRC
and Mexico pursuant to section
733(c)(1)(A) of the Act and 19 CFR
351.205(e) by 50 days to October 27,
2011. In accordance with section
735(a)(1) of the Act, the deadline for the
final determinations of these
antidumping duty investigations will
continue to be 75 days after the date of
these preliminary determinations,
unless extended.
This notice is issued and published in
accordance with section 733(c)(2) of the
Act and 19 CFR 351.205(f)(1).
Dated: July 29, 2011.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import
Administration.
sroberts on DSK5SPTVN1PROD with NOTICES
[FR Doc. 2011–19822 Filed 8–3–11; 8:45 am]
[A–570–928]
Uncovered Innerspring Units From the
People’s Republic of China:
Preliminary Intent To Rescind New
Shipper Review
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: On February 19, 2009, the
Department of Commerce (the
‘‘Department’’) published in the Federal
Register the antidumping duty order on
uncovered innerspring units
(‘‘innersprings’’) from the People’s
Republic of China (‘‘PRC’’).1 The
Department is conducting a new shipper
review (‘‘NSR’’) of the Order, covering
the period of review (‘‘POR’’) of
February 1, 2010–July 31, 2010. As
discussed below, we preliminarily
determine that Foshan Nanhai Jiujiang
Quan Li Spring Hardware Factory’s
(‘‘Quan Li’’) sale under review is not
bona fide. As such, we are preliminarily
rescinding the NSR for Quan Li.
EFFECTIVE DATES: August 4, 2011.
FOR FURTHER INFORMATION CONTACT: Paul
Walker, AD/CVD Operations, Office 9,
Import Administration, International
Trade Administration, U.S. Department
of Commerce, 14th Street and
Constitution Avenue, NW., Washington,
DC 20230; telephone: (202) 482–0413.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On August 20, 2010, pursuant to
section 751(a)(2)(B)(i) of the Tariff Act
of 1930, as amended (the ‘‘Act’’), and
section 351.214(c) of the Department’s
regulations, the Department received a
NSR request from Quan Li and Foshan
Yongnuo Import & Export Co., Ltd.
(‘‘Yongnuo’’). Quan Li certified that it
was the producer of the subject
merchandise upon which the request
was based. Yongnuo certified that it was
the exporter of the subject merchandise
upon which the request was based. On
October 6, 2010, the Department issued
its original antidumping duty
questionnaire. On October 7, 2010, the
Department published a notice of
initiation of the NSR of the Order for
Quan Li and Yongnuo.2 Between
November 5, 2010, and April 29, 2011,
BILLING CODE 3510–DS–P
1 See Uncovered Innerspring Units from the
People’s Republic of China: Notice of Antidumping
Duty Order, 74 FR 7661 (February 19, 2009)
(‘‘Order’’).
2 See Uncovered Innerspring Units from the
People’s Republic of China: Initiation of
Antidumping Duty New Shipper Review, 75 FR
62107 (October 7, 2010).
VerDate Mar<15>2010
17:29 Aug 03, 2011
Jkt 223001
PO 00000
Frm 00012
Fmt 4703
Sfmt 4703
47151
Quan Li and Yongnuo submitted
responses to the original and
supplemental sections A, C, D and
Importer antidumping duty
questionnaires.
On January 18, 2011, the Department
sent interested parties a letter requesting
comments on surrogate country
selection and information pertaining to
valuing factors of production. On April
25, 2011, we received surrogate country
comments and surrogate value data from
Quan Li and Yongnuo, as well as from
Petitioner.3
On March 28, 2011, the Department
extended the deadline for the
preliminary results of this review to
June 1, 2011.4 On June 13, 2011, the
Department extended the deadline for
the preliminary results of this review to
July 15, 2011.5 On July 20, 2011, the
Department extended the deadline for
the preliminary results of this review to
July 26, 2011.6
Scope of the Order
The merchandise subject to the order
is uncovered innerspring units
composed of a series of individual metal
springs joined together in sizes
corresponding to the sizes of adult
mattresses (e.g., twin, twin long, full,
full long, queen, California king and
king) and units used in smaller
constructions, such as crib and youth
mattresses. All uncovered innerspring
units are included in the scope
regardless of width and length. Included
within this definition are innersprings
typically ranging from 30.5 inches to 76
inches in width and 68 inches to 84
inches in length. Innersprings for crib
mattresses typically range from 25
inches to 27 inches in width and 50
inches to 52 inches in length.
Uncovered innerspring units are
suitable for use as the innerspring
component in the manufacture of
innerspring mattresses, including
mattresses that incorporate a foam
encasement around the innerspring.
Pocketed and non-pocketed
innerspring units are included in this
definition. Non-pocketed innersprings
are typically joined together with helical
wire and border rods. Non-pocketed
3 The petitioner is Leggett and Platt, Incorporated,
hereafter referred to as ‘‘Petitioner.’’
4 See Uncovered Innerspring Units from the
People’s Republic of China: Extension of
Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 17107 (March 28, 2011).
5 See Uncovered Innerspring Units from the
People’s Republic of China: Extension of
Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 34207 (June 13, 2011).
6 See Uncovered Innerspring Units from the
People’s Republic of China: Extension of
Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 43263 (July 20, 2011).
E:\FR\FM\04AUN1.SGM
04AUN1
47152
Federal Register / Vol. 76, No. 150 / Thursday, August 4, 2011 / Notices
innersprings are included in this
definition regardless of whether they
have border rods attached to the
perimeter of the innerspring. Pocketed
innersprings are individual coils
covered by a ‘‘pocket’’ or ‘‘sock’’ of a
nonwoven synthetic material or woven
material and then glued together in a
linear fashion.
Uncovered innersprings are classified
under subheading 9404.29.9010,
9404.29.9005 and 9404.29.9011 and
have also been classified under
subheadings 9404.10.0000,
7326.20.0070, 7320.20.5010, or
7320.90.5010 of the Harmonized Tariff
Schedule of the United States
(‘‘HTSUS’’). The HTSUS subheadings
are provided for convenience and
customs purposes only; the written
description of the scope of the order is
dispositive.
sroberts on DSK5SPTVN1PROD with NOTICES
Bona Fides Analysis
Consistent with Department practice,
we examined the bona fides of Quan
Li’s sale.7 In evaluating whether a sale
in an NSR is commercially reasonable or
typical of normal business practices,
and therefore bona fide, the Department
considers, inter alia, such factors as (a)
The timing of the sale, (b) the price and
quantity, (c) the expenses arising from
the transaction, (d) whether the goods
were resold at a profit, and (e) whether
the transaction was made on an arm’s
length basis.8 Accordingly, the
Department considers a number of
factors in its bona fides analysis, ‘‘all of
which may speak to the commercial
realities surrounding an alleged sale of
subject merchandise.’’ 9 In TTPC, the
court also affirmed the Department’s
decision that any factor which indicates
that the sale under consideration is not
likely to be typical of those which the
producer will make in the future is
relevant,10 and found that the weight
given to each factor investigated will
depend on the circumstances
surrounding the sale.11 Finally, in New
Donghua, the CIT affirmed the
7 See, e.g., Honey from the People’s Republic of
China: Rescission and Final Results of
Antidumping Duty New Shipper Reviews, 71 FR
58579 (October 4, 2006) and accompanying Issues
and Decision Memorandum at Comment 1b.
8 See Tianjin Tiancheng Pharmaceutical Co., Ltd.
v. United States, 366 F. Supp. 2d 1246, 1249–1250
(CIT 2005) (‘‘TTPC’’).
9 See Hebei New Donghua Amino Acid Co., Ltd.
v. United States, 374 F. Supp. 2d 1333, 1342 (CIT
2005) (‘‘ New Donghua’’) (citing Fresh Garlic From
the People’s Republic of China: Final Results of
Antidumping Administrative Review and Rescission
of New Shipper Review, 67 FR 11283 (March 13,
2002), and accompanying Issues and Decision
Memorandum: New Shipper Review of Clipper
Manufacturing Ltd.).
10 See TTPC, 366 F. Supp. 2d at 1250.
11 Id. at 1263.
VerDate Mar<15>2010
17:29 Aug 03, 2011
Jkt 223001
Department’s practice of evaluating the
circumstances surrounding an NSR sale,
so that a respondent does not unfairly
benefit from an atypical sale and obtain
a lower dumping margin than the
producer’s usual commercial practice
would dictate.12 Where the Department
finds that a sale is not bona fide, the
Department will exclude the sale from
its export price calculations.13
Based on the totality of
circumstances, we preliminarily find
that the sale made by Quan Li during
the POR was not a bona fide commercial
transaction and should be excluded
from the Department’s calculations.
Quan Li’s POR quantity was atypical
and its price was high. In addition, we
sought information from the importer in
order to evaluate the commercial
reasonableness of the sale and to
consider whether this sale is predictive
of future commercial activity. The
importer provided conflicting
information, it has not substantiated its
claims that the subject merchandise was
resold for profit; and it has also said that
it has no other purchases of subject
merchandise. Because much of the
factual information used in our analysis
of the bona fides of the transaction
involves business proprietary
information, a full discussion of the
basis for our preliminary finding that
the sale is not bona fide is set forth in
the Quan Li Bona Fides Memo.14
Because we have found Quan Li’s sole
sale to be not bona fide, we cannot rely
on this sale to calculate a dumping
margin and, therefore, there is no sale
on which we can base this review and
we are preliminarily rescinding Quan
Li’s NSR.15
Assessment Rates
Upon issuance of the final results, the
Department will determine, and U.S.
Customs and Border Protection (‘‘CBP’’)
shall assess, antidumping duties on all
appropriate entries. If we proceed to a
final rescission of Quan Li’s NSR, Quan
Li’s entry will be assessed at the rate
entered.16 If we do not proceed to a final
rescission of Quan Li’s NSR, pursuant to
section 351.212(b)(1) of the
Department’s regulations, we will
calculate importer-specific (or customer)
ad valorem duty assessment rates. We
will instruct CBP to assess antidumping
duties on all appropriate entries covered
by this review if any importer-specific
assessment rate calculated in the final
results of this review is above de
minimis. In either case, the Department
intends to issue appropriate assessment
instructions directly to CBP 15 days
after publication of the final results of
this review.
Preliminary Rescission of NSR
Disclosure
The Department intends to disclose to
parties of this proceeding the
calculation performed in reaching the
preliminary results within five days of
the date of publication of this notice in
accordance with section 351.224(b) of
the Department’s regulations.
For the foregoing reasons, the
Department preliminarily finds that
Quan Li’s sale is not bona fide and that
this sale does not provide a reasonable,
or reliable, basis for calculating a
dumping margin. Because this non-bona
fide sale was the only sale of subject
merchandise during the POR, the
Department is preliminarily rescinding
the NSR of Quan Li.
12 New
Donghua, 374 F. Supp. 2d at 1344.
TTPC, 366 F. Supp. 2d at 1249.
14 See Memorandum to James C. Doyle, Director,
Office 9, through Scot T. Fullerton, Program
Manager, Office 9, from Paul Walker, Case Analyst,
Office 9, First New Shipper Review of Uncovered
Innerspring Units from the People’s Republic of
China: Bona Fide Analysis of Foshan Nanhai
Jiujiang Quan Li Spring Hardware Factory’s New
Shipper Sale (‘‘Quan Li Bona Fide Memo’’).
15 See Quan Li Bona Fide Memo, TTPC and New
Donghua.
13 See
PO 00000
Frm 00013
Fmt 4703
Sfmt 4703
Cash Deposit Requirements
Effective upon publication of the final
rescission of this NSR, or the final result
of this NSR, we will instruct CBP to
discontinue the option of posting a bond
or security in lieu of a cash deposit for
entries of subject merchandise by Quan
Li, pursuant to section 751(a)(2)(B)(iii)
of the Act and section 351.214(e) of the
Department’s regulations. If we proceed
to a final rescission of this NSR, the
cash deposit rate will continue to be the
PRC-wide rate for Quan Li because the
Department will not have determined an
individual margin of dumping for Quan
Li. If we issue final results for this NSR,
we will instruct CBP to collect cash
deposits, effective upon the publication
of the final results, at the rates
established therein.
Public Comment and FOP Data
In accordance with section
351.301(c)(3)(ii) of the Department’s
regulations, for the final results,
interested parties may submit publicly
available information to value factors of
production (‘‘FOP’’) within 20 days after
the date of publication of these
preliminary results. Interested parties
must provide the Department with
supporting documentation for the
16 See section 351.212(c) of the Department’s
regulations.
E:\FR\FM\04AUN1.SGM
04AUN1
Federal Register / Vol. 76, No. 150 / Thursday, August 4, 2011 / Notices
sroberts on DSK5SPTVN1PROD with NOTICES
publicly available information to value
each FOP. Additionally, in accordance
with section 351.301(c)(1) of the
Department’s regulations, for the final
results of this NSR, interested parties
may submit factual information to rebut,
clarify, or correct factual information
submitted by an interested party within
ten days of the applicable deadline for
submission of such factual information.
However, the Department notes that
section 351.301(c)(1) of the
Department’s regulations permits new
information only insofar as it rebuts,
clarifies, or corrects information
recently placed on the record.17
In accordance with section
351.309(c)(1)(ii) of the Department’s
regulations, interested parties may
submit case briefs and/or written
comments no later than 30 days after the
date of publication of the preliminary
results of this NSR. In accordance with
section 351.309(d) of the Department’s
regulations, rebuttal briefs and rebuttals
to written comments, limited to issues
raised in such briefs or comments, may
be filed no later than five days after the
deadline for submitting the case briefs.
The Department requests that interested
parties provide an executive summary
of each argument contained within the
case briefs and rebuttal briefs.
Any interested party may request a
hearing within 30 days of publication of
these preliminary results.18 Requests
should contain the following
information: (1) The party’s name,
address, and telephone number; (2) the
number of participants; and (3) a list of
the issues to be discussed. Oral
presentations will be limited to issues
raised in the briefs. If we receive a
request for a hearing, we intend to hold
the hearing seven days after the
deadline for submission of the rebuttal
briefs at the U.S. Department of
Commerce, 14th Street and Constitution
Avenue, NW., Washington, DC 20230.
The Department intends to issue the
final results of this NSR, which will
include the results of its analysis raised
in any such comments, within 90 days
of publication of these preliminary
results, pursuant to section
751(a)(2)(B)(iv) of the Act and section
351.214(i) of the Department’s
regulations.
17 See Glycine from the People’s Republic of
China: Final Results of Antidumping Duty
Administrative Review and Final Rescission, in
Part, 72 FR 58809 (October 17, 2007) and
accompanying Issues and Decision Memorandum at
Comment 2.
18 See section 351.310(c) of the Department’s
regulations.
VerDate Mar<15>2010
17:29 Aug 03, 2011
Jkt 223001
Notification to Importers
This notice serves as a preliminary
reminder to importers of its
responsibility under section
351.402(f)(2) of the Department’s
regulations to file a certificate regarding
the reimbursement of antidumping
duties prior to liquidation of the
relevant entries during this POR. Failure
to comply with this requirement could
result in the Secretary’s presumption
that reimbursement of antidumping
duties occurred and the subsequent
assessment of double antidumping
duties.
We are issuing and publishing these
preliminary results in accordance with
sections 751(a)(2)(B) and 777(i) of the
Act, and sections 351.214(h) and
351.221(b)(4) of the Department’s
regulations.
Dated: July 26, 2011.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import
Administration.
[FR Doc. 2011–19712 Filed 8–3–11; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
Proposed Information Collection;
Comment Request; High Seas Fishing
Permit Application Information
National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Notice.
AGENCY:
The Department of
Commerce, as part of its continuing
effort to reduce paperwork and
respondent burden, invites the general
public and other Federal agencies to
take this opportunity to comment on
proposed and/or continuing information
collections, as required by the
Paperwork Reduction Act of 1995.
DATES: Written comments must be
submitted on or before October 3, 2011.
ADDRESSES: Direct all written comments
to Diana Hynek, Departmental
Paperwork Clearance Officer,
Department of Commerce, Room 6616,
14th and Constitution Avenue, NW.,
Washington, DC 20230 (or via the
Internet at dHynek@doc.gov).
FOR FURTHER INFORMATION CONTACT:
Requests for additional information or
copies of the information collection
instrument and instructions should be
directed to Mi Ae Kim, (301) 427–8365
or Mi.Ae.Kim@noaa.gov.
SUPPLEMENTARY INFORMATION:
SUMMARY:
PO 00000
Frm 00014
Fmt 4703
Sfmt 4703
47153
I. Abstract
United States (U.S.) vessels that fish
on the high seas (waters beyond the U.S.
exclusive economic zone) are required
to possess a permit issued under the
High Seas Fishing Compliance Act
(HSFCA). Applicants for this permit
must submit information to identify
their vessels, owners and operators of
the vessels, and intended fishing areas.
The application information is used to
process permits and to maintain a
register of vessels authorized to fish on
the high seas.
The HSFCA also requires vessels be
marked for identification and
enforcement purposes. Vessels must be
marked in three locations (port and
starboard sides of the deckhouse or hull,
and on a weather deck) with their
official number or radio call sign.
Operators of vessels licensed under
the HFSCA are required to report their
catch and fishing effort when fishing on
the high seas. The requirement is for
fishery management purposes and to
provide data to international
organizations. Vessels already
maintaining logbooks under other
specific regulations are not required to
maintain an additional logbook. These
requirements apply to all vessels fishing
on the high seas.
II. Method of Collection
Owners or operators of high seas
fishing vessels must submit paper
permit application forms and paper
logbook pages to National Marine
Fisheries Service (NMFS). No
information is submitted for the vessel
marking requirement. The markings are
only displayed on the vessel.
III. Data
OMB Control Number: 0648–0304.
Form Number: None.
Type of Review: Regular submission.
Affected Public: Business or other forprofit organizations.
Estimated Number of Respondents:
120.
Estimated Time per Response: 30
minutes per application form; logbook
reports, 6 minutes per day for days fish
are caught, 1 minute per day for days
when fish are not caught; 45 minutes
(15 minutes for each of 3 locations) for
vessel markings.
Estimated Total Annual Burden
Hours: 948.
Estimated Total Annual Cost to
Public: $19,795.
IV. Request for Comments
Comments are invited on: (a) Whether
the proposed collection of information
is necessary for the proper performance
of the functions of the agency, including
E:\FR\FM\04AUN1.SGM
04AUN1
Agencies
[Federal Register Volume 76, Number 150 (Thursday, August 4, 2011)]
[Notices]
[Pages 47151-47153]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-19712]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-928]
Uncovered Innerspring Units From the People's Republic of China:
Preliminary Intent To Rescind New Shipper Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: On February 19, 2009, the Department of Commerce (the
``Department'') published in the Federal Register the antidumping duty
order on uncovered innerspring units (``innersprings'') from the
People's Republic of China (``PRC'').\1\ The Department is conducting a
new shipper review (``NSR'') of the Order, covering the period of
review (``POR'') of February 1, 2010-July 31, 2010. As discussed below,
we preliminarily determine that Foshan Nanhai Jiujiang Quan Li Spring
Hardware Factory's (``Quan Li'') sale under review is not bona fide. As
such, we are preliminarily rescinding the NSR for Quan Li.
---------------------------------------------------------------------------
\1\ See Uncovered Innerspring Units from the People's Republic
of China: Notice of Antidumping Duty Order, 74 FR 7661 (February 19,
2009) (``Order'').
---------------------------------------------------------------------------
EFFECTIVE DATES: August 4, 2011.
FOR FURTHER INFORMATION CONTACT: Paul Walker, AD/CVD Operations, Office
9, Import Administration, International Trade Administration, U.S.
Department of Commerce, 14th Street and Constitution Avenue, NW.,
Washington, DC 20230; telephone: (202) 482-0413.
SUPPLEMENTARY INFORMATION:
Background
On August 20, 2010, pursuant to section 751(a)(2)(B)(i) of the
Tariff Act of 1930, as amended (the ``Act''), and section 351.214(c) of
the Department's regulations, the Department received a NSR request
from Quan Li and Foshan Yongnuo Import & Export Co., Ltd.
(``Yongnuo''). Quan Li certified that it was the producer of the
subject merchandise upon which the request was based. Yongnuo certified
that it was the exporter of the subject merchandise upon which the
request was based. On October 6, 2010, the Department issued its
original antidumping duty questionnaire. On October 7, 2010, the
Department published a notice of initiation of the NSR of the Order for
Quan Li and Yongnuo.\2\ Between November 5, 2010, and April 29, 2011,
Quan Li and Yongnuo submitted responses to the original and
supplemental sections A, C, D and Importer antidumping duty
questionnaires.
---------------------------------------------------------------------------
\2\ See Uncovered Innerspring Units from the People's Republic
of China: Initiation of Antidumping Duty New Shipper Review, 75 FR
62107 (October 7, 2010).
---------------------------------------------------------------------------
On January 18, 2011, the Department sent interested parties a
letter requesting comments on surrogate country selection and
information pertaining to valuing factors of production. On April 25,
2011, we received surrogate country comments and surrogate value data
from Quan Li and Yongnuo, as well as from Petitioner.\3\
---------------------------------------------------------------------------
\3\ The petitioner is Leggett and Platt, Incorporated, hereafter
referred to as ``Petitioner.''
---------------------------------------------------------------------------
On March 28, 2011, the Department extended the deadline for the
preliminary results of this review to June 1, 2011.\4\ On June 13,
2011, the Department extended the deadline for the preliminary results
of this review to July 15, 2011.\5\ On July 20, 2011, the Department
extended the deadline for the preliminary results of this review to
July 26, 2011.\6\
---------------------------------------------------------------------------
\4\ See Uncovered Innerspring Units from the People's Republic
of China: Extension of Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 17107 (March 28, 2011).
\5\ See Uncovered Innerspring Units from the People's Republic
of China: Extension of Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 34207 (June 13, 2011).
\6\ See Uncovered Innerspring Units from the People's Republic
of China: Extension of Preliminary Results of Antidumping Duty New
Shipper Review, 76 FR 43263 (July 20, 2011).
---------------------------------------------------------------------------
Scope of the Order
The merchandise subject to the order is uncovered innerspring units
composed of a series of individual metal springs joined together in
sizes corresponding to the sizes of adult mattresses (e.g., twin, twin
long, full, full long, queen, California king and king) and units used
in smaller constructions, such as crib and youth mattresses. All
uncovered innerspring units are included in the scope regardless of
width and length. Included within this definition are innersprings
typically ranging from 30.5 inches to 76 inches in width and 68 inches
to 84 inches in length. Innersprings for crib mattresses typically
range from 25 inches to 27 inches in width and 50 inches to 52 inches
in length.
Uncovered innerspring units are suitable for use as the innerspring
component in the manufacture of innerspring mattresses, including
mattresses that incorporate a foam encasement around the innerspring.
Pocketed and non-pocketed innerspring units are included in this
definition. Non-pocketed innersprings are typically joined together
with helical wire and border rods. Non-pocketed
[[Page 47152]]
innersprings are included in this definition regardless of whether they
have border rods attached to the perimeter of the innerspring. Pocketed
innersprings are individual coils covered by a ``pocket'' or ``sock''
of a nonwoven synthetic material or woven material and then glued
together in a linear fashion.
Uncovered innersprings are classified under subheading
9404.29.9010, 9404.29.9005 and 9404.29.9011 and have also been
classified under subheadings 9404.10.0000, 7326.20.0070, 7320.20.5010,
or 7320.90.5010 of the Harmonized Tariff Schedule of the United States
(``HTSUS''). The HTSUS subheadings are provided for convenience and
customs purposes only; the written description of the scope of the
order is dispositive.
Bona Fides Analysis
Consistent with Department practice, we examined the bona fides of
Quan Li's sale.\7\ In evaluating whether a sale in an NSR is
commercially reasonable or typical of normal business practices, and
therefore bona fide, the Department considers, inter alia, such factors
as (a) The timing of the sale, (b) the price and quantity, (c) the
expenses arising from the transaction, (d) whether the goods were
resold at a profit, and (e) whether the transaction was made on an
arm's length basis.\8\ Accordingly, the Department considers a number
of factors in its bona fides analysis, ``all of which may speak to the
commercial realities surrounding an alleged sale of subject
merchandise.'' \9\ In TTPC, the court also affirmed the Department's
decision that any factor which indicates that the sale under
consideration is not likely to be typical of those which the producer
will make in the future is relevant,\10\ and found that the weight
given to each factor investigated will depend on the circumstances
surrounding the sale.\11\ Finally, in New Donghua, the CIT affirmed the
Department's practice of evaluating the circumstances surrounding an
NSR sale, so that a respondent does not unfairly benefit from an
atypical sale and obtain a lower dumping margin than the producer's
usual commercial practice would dictate.\12\ Where the Department finds
that a sale is not bona fide, the Department will exclude the sale from
its export price calculations.\13\
---------------------------------------------------------------------------
\7\ See, e.g., Honey from the People's Republic of China:
Rescission and Final Results of Antidumping Duty New Shipper
Reviews, 71 FR 58579 (October 4, 2006) and accompanying Issues and
Decision Memorandum at Comment 1b.
\8\ See Tianjin Tiancheng Pharmaceutical Co., Ltd. v. United
States, 366 F. Supp. 2d 1246, 1249-1250 (CIT 2005) (``TTPC'').
\9\ See Hebei New Donghua Amino Acid Co., Ltd. v. United States,
374 F. Supp. 2d 1333, 1342 (CIT 2005) (`` New Donghua'') (citing
Fresh Garlic From the People's Republic of China: Final Results of
Antidumping Administrative Review and Rescission of New Shipper
Review, 67 FR 11283 (March 13, 2002), and accompanying Issues and
Decision Memorandum: New Shipper Review of Clipper Manufacturing
Ltd.).
\10\ See TTPC, 366 F. Supp. 2d at 1250.
\11\ Id. at 1263.
\12\ New Donghua, 374 F. Supp. 2d at 1344.
\13\ See TTPC, 366 F. Supp. 2d at 1249.
---------------------------------------------------------------------------
Based on the totality of circumstances, we preliminarily find that
the sale made by Quan Li during the POR was not a bona fide commercial
transaction and should be excluded from the Department's calculations.
Quan Li's POR quantity was atypical and its price was high. In
addition, we sought information from the importer in order to evaluate
the commercial reasonableness of the sale and to consider whether this
sale is predictive of future commercial activity. The importer provided
conflicting information, it has not substantiated its claims that the
subject merchandise was resold for profit; and it has also said that it
has no other purchases of subject merchandise. Because much of the
factual information used in our analysis of the bona fides of the
transaction involves business proprietary information, a full
discussion of the basis for our preliminary finding that the sale is
not bona fide is set forth in the Quan Li Bona Fides Memo.\14\ Because
we have found Quan Li's sole sale to be not bona fide, we cannot rely
on this sale to calculate a dumping margin and, therefore, there is no
sale on which we can base this review and we are preliminarily
rescinding Quan Li's NSR.\15\
---------------------------------------------------------------------------
\14\ See Memorandum to James C. Doyle, Director, Office 9,
through Scot T. Fullerton, Program Manager, Office 9, from Paul
Walker, Case Analyst, Office 9, First New Shipper Review of
Uncovered Innerspring Units from the People's Republic of China:
Bona Fide Analysis of Foshan Nanhai Jiujiang Quan Li Spring Hardware
Factory's New Shipper Sale (``Quan Li Bona Fide Memo'').
\15\ See Quan Li Bona Fide Memo, TTPC and New Donghua.
---------------------------------------------------------------------------
Preliminary Rescission of NSR
For the foregoing reasons, the Department preliminarily finds that
Quan Li's sale is not bona fide and that this sale does not provide a
reasonable, or reliable, basis for calculating a dumping margin.
Because this non-bona fide sale was the only sale of subject
merchandise during the POR, the Department is preliminarily rescinding
the NSR of Quan Li.
Assessment Rates
Upon issuance of the final results, the Department will determine,
and U.S. Customs and Border Protection (``CBP'') shall assess,
antidumping duties on all appropriate entries. If we proceed to a final
rescission of Quan Li's NSR, Quan Li's entry will be assessed at the
rate entered.\16\ If we do not proceed to a final rescission of Quan
Li's NSR, pursuant to section 351.212(b)(1) of the Department's
regulations, we will calculate importer-specific (or customer) ad
valorem duty assessment rates. We will instruct CBP to assess
antidumping duties on all appropriate entries covered by this review if
any importer-specific assessment rate calculated in the final results
of this review is above de minimis. In either case, the Department
intends to issue appropriate assessment instructions directly to CBP 15
days after publication of the final results of this review.
---------------------------------------------------------------------------
\16\ See section 351.212(c) of the Department's regulations.
---------------------------------------------------------------------------
Cash Deposit Requirements
Effective upon publication of the final rescission of this NSR, or
the final result of this NSR, we will instruct CBP to discontinue the
option of posting a bond or security in lieu of a cash deposit for
entries of subject merchandise by Quan Li, pursuant to section
751(a)(2)(B)(iii) of the Act and section 351.214(e) of the Department's
regulations. If we proceed to a final rescission of this NSR, the cash
deposit rate will continue to be the PRC-wide rate for Quan Li because
the Department will not have determined an individual margin of dumping
for Quan Li. If we issue final results for this NSR, we will instruct
CBP to collect cash deposits, effective upon the publication of the
final results, at the rates established therein.
Disclosure
The Department intends to disclose to parties of this proceeding
the calculation performed in reaching the preliminary results within
five days of the date of publication of this notice in accordance with
section 351.224(b) of the Department's regulations.
Public Comment and FOP Data
In accordance with section 351.301(c)(3)(ii) of the Department's
regulations, for the final results, interested parties may submit
publicly available information to value factors of production (``FOP'')
within 20 days after the date of publication of these preliminary
results. Interested parties must provide the Department with supporting
documentation for the
[[Page 47153]]
publicly available information to value each FOP. Additionally, in
accordance with section 351.301(c)(1) of the Department's regulations,
for the final results of this NSR, interested parties may submit
factual information to rebut, clarify, or correct factual information
submitted by an interested party within ten days of the applicable
deadline for submission of such factual information. However, the
Department notes that section 351.301(c)(1) of the Department's
regulations permits new information only insofar as it rebuts,
clarifies, or corrects information recently placed on the record.\17\
---------------------------------------------------------------------------
\17\ See Glycine from the People's Republic of China: Final
Results of Antidumping Duty Administrative Review and Final
Rescission, in Part, 72 FR 58809 (October 17, 2007) and accompanying
Issues and Decision Memorandum at Comment 2.
---------------------------------------------------------------------------
In accordance with section 351.309(c)(1)(ii) of the Department's
regulations, interested parties may submit case briefs and/or written
comments no later than 30 days after the date of publication of the
preliminary results of this NSR. In accordance with section 351.309(d)
of the Department's regulations, rebuttal briefs and rebuttals to
written comments, limited to issues raised in such briefs or comments,
may be filed no later than five days after the deadline for submitting
the case briefs. The Department requests that interested parties
provide an executive summary of each argument contained within the case
briefs and rebuttal briefs.
Any interested party may request a hearing within 30 days of
publication of these preliminary results.\18\ Requests should contain
the following information: (1) The party's name, address, and telephone
number; (2) the number of participants; and (3) a list of the issues to
be discussed. Oral presentations will be limited to issues raised in
the briefs. If we receive a request for a hearing, we intend to hold
the hearing seven days after the deadline for submission of the
rebuttal briefs at the U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230.
---------------------------------------------------------------------------
\18\ See section 351.310(c) of the Department's regulations.
---------------------------------------------------------------------------
The Department intends to issue the final results of this NSR,
which will include the results of its analysis raised in any such
comments, within 90 days of publication of these preliminary results,
pursuant to section 751(a)(2)(B)(iv) of the Act and section 351.214(i)
of the Department's regulations.
Notification to Importers
This notice serves as a preliminary reminder to importers of its
responsibility under section 351.402(f)(2) of the Department's
regulations to file a certificate regarding the reimbursement of
antidumping duties prior to liquidation of the relevant entries during
this POR. Failure to comply with this requirement could result in the
Secretary's presumption that reimbursement of antidumping duties
occurred and the subsequent assessment of double antidumping duties.
We are issuing and publishing these preliminary results in
accordance with sections 751(a)(2)(B) and 777(i) of the Act, and
sections 351.214(h) and 351.221(b)(4) of the Department's regulations.
Dated: July 26, 2011.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 2011-19712 Filed 8-3-11; 8:45 am]
BILLING CODE 3510-DS-P