Certain Stilbenic Optical Brightening Agents From Taiwan: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 68154-68159 [2011-28555]
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68154
Federal Register / Vol. 76, No. 213 / Thursday, November 3, 2011 / Notices
Disclosure
We will disclose the calculations
performed to parties in this proceeding
within five days of the date of
publication of this notice in accordance
with 19 CFR 351.224(b).
Suspension of Liquidation
In accordance with section 733(d) of
the Act, we will instruct U.S. Customs
and Border Protection (‘‘CBP’’) to
suspend liquidation of all appropriate
entries of OBAs from the PRC as
described in the ‘‘Scope of
Investigation’’ section, entered, or
withdrawn from warehouse, for
consumption on or after the date of
publication of this notice in the Federal
Register. We will instruct CBP to
require a cash deposit or the posting of
a bond equal to the weighted-average
amount by which the normal value
exceeds U.S. price, as follows: (1) The
rate for the exporter/producer
combinations listed in the chart above
will be the rate we have determined in
this preliminary determination; (2) for
all PRC exporters of subject
merchandise which have not received
their own rate, the cash-deposit rate will
be the PRC-wide rate; and (3) 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
exporter/producer combination that
supplied that non-PRC exporter. These
suspension-of-liquidation instructions
will remain in effect until further notice.
srobinson on DSK4SPTVN1PROD with NOTICES
International Trade Commission
Notification
In accordance with section 733(f) of
the Act, we have notified the ITC of our
preliminary affirmative determination of
sales at LTFV. Section 735(b)(2) of the
Act requires the ITC to make its final
determination as to whether the
domestic industry in the United States
is materially injured, or threatened with
material injury, by reason of imports of
OBAs, or sales (or the likelihood of
sales) for importation, of the
merchandise under consideration
within 45 days of our final
determination.
Public Comment
Case briefs or other written comments
may be submitted no later than seven
days after the date on which the final
verification report is issued in this
proceeding, and rebuttal briefs, limited
to issues raised in case briefs, may be
submitted no later than five days after
the deadline date for case briefs.66 A
table of contents, list of authorities used
and an executive summary of issues
should accompany any briefs submitted
to the Department. This summary
should be limited to five pages total,
including footnotes.
In accordance with section 774 of the
Act, we will hold a public hearing, if
requested, to afford interested parties an
opportunity to comment on arguments
raised in case or rebuttal briefs.
Interested parties, who wish to request
a hearing, or to participate if one is
requested, must submit a written
request to the Assistant Secretary for
Import Administration, within 30 days
after the date of publication of this
notice.67 Requests should contain the
party’s name, address, and telephone
number, the number of participants, and
a list of the issues to be discussed. If a
request for a hearing is made, we intend
to hold the hearing at the U.S.
Department of Commerce, 14th Street
and Constitution Ave. NW.,
Washington, DC 20230, at a time and
location to be determined.68 Parties
should confirm by telephone the date,
time, and location of the hearing two
days before the scheduled date. Case
briefs, rebuttal briefs and hearing
requests should be submitted to the
Department electronically via Import
Administration’s Antidumping and
Countervailing Duty Centralized
Electronic Service System (‘‘IA
Access’’). Access to IA Access is
available in the Central Records Unit,
room 7046 of the main Department of
Commerce building.
We will make our final determination
no later than 135 days after the date of
publication of this preliminary
determination, pursuant to section
735(a)(2) of the Act.
This determination is issued and
published in accordance with sections
733(f) and 777(i)(1) of the Act.
Dated: October 27, 2011.
Paul Piquado,
Assistant Secretary for Import
Administration.
[FR Doc. 2011–28537 Filed 11–2–11; 8:45 am]
BILLING CODE 3510–DS–P
67 See
66 See
19 CFR 351.309.
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DEPARTMENT OF COMMERCE
International Trade Administration
[A–583–848]
Certain Stilbenic Optical Brightening
Agents From Taiwan: Preliminary
Determination of Sales at Less Than
Fair Value and Postponement of Final
Determination
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of
Commerce (the Department)
preliminarily determines that certain
stilbenic optical brightening agents
(stilbenic OBAs) from Taiwan are being,
or are likely to be, sold in the United
States at less than fair value (LTFV) as
provided in section 733(b) of the Tariff
Act of 1930, as amended (the Act). The
estimated margin of sales at LTFV is
listed in the ‘‘Suspension of
Liquidation’’ section of this notice.
Interested parties are invited to
comment on this preliminary
determination.
DATES: Effective Date: November 3,
2011.
FOR FURTHER INFORMATION CONTACT:
Sandra Stewart or Hermes Pinilla, AD/
CVD Operations, Office 1, Import
Administration, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue NW, Washington, DC 20230;
telephone (202) 482–0768 and (202)
482–3477, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On March 31, 2011, Clariant
Corporation (the petitioner) filed an
antidumping petition against imports of
stilbenic OBAs from Taiwan. See
‘‘Certain Stilbenic Optical Brightening
Agents from the People’s Republic of
China and Taiwan; Petitions Requesting
the Imposition of Antidumping Duties,’’
dated March 31, 2011 (the petition).
On April 27, 2011, the Department
initiated the antidumping duty
investigation on stilbenic OBAs from
Taiwan. See Certain Stilbenic Optical
Brightening Agents From the People’s
Republic of China and Taiwan:
Initiation of Antidumping Duty
Investigations, 76 FR 23554 (April 27,
2011) (Initiation Notice).
The Department set aside a period of
time for parties to raise issues regarding
product coverage and encouraged all
parties to submit comments within 20
calendar days of the date of publication
of the Initiation Notice. See Initiation
Notice, 76 FR at 23555. The Department
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also set aside a period of time for parties
to comment on product characteristics
for use in the antidumping duty
questionnaire. Id. We received
comments from the respondent on May
10, 2011, and comments from the
petitioner on May 10, 17, and 26, 2011,
concerning product characteristics.1
After reviewing the comments received,
we have adopted the characteristics and
hierarchy as explained in the ‘‘Product
Comparisons’’ section of this notice,
below.
Based on U.S. Customs and Border
Protection (CBP) data obtained for U.S
imports of subject merchandise during
the period of investigation (POI), on
May 24, 2011, we selected Teh Fong
Min International Co., Ltd. (TFM) and
Sun Rise Chemical Ind. Co., Ltd. (Sun
Rise) as mandatory respondents in this
investigation. On June 10, 2011, Sun
Rise provided documentation
supporting its claim that it did not have
any shipments of subject merchandise
to the United States during the POI. See
the ‘‘Selection of Respondents’’ section
of this notice, below.
On May 26, 2011, we issued the
antidumping questionnaire to TFM and
Sun Rise. We received TFM’s responses
on July 1 and July 20, 2011. Because
Sun Rise properly filed a statement of
no shipments and provided supporting
documentation, it did not respond to
our questionnaire.
On May 27, 2011, the International
Trade Commission (ITC) published its
affirmative preliminary determination
that there is a reasonable indication that
imports of stilbenic OBAs from Taiwan
are materially injuring the U.S. industry,
and the ITC notified the Department of
its finding. See Certain Stilbenic Optical
Brightening Agents From China and
Taiwan, 76 FR 30967 (May 27, 2011).
On June 9, 2011, we sent a letter to
all interested parties inviting comments
regarding the Harmonized Tariff
Schedule of the United States (HTSUS)
subheadings included in the description
of the subject merchandise. On June 16,
2011, we received comments from the
petitioner. After reviewing the
comments received we established the
appropriate description of the subject
merchandise. See the ‘‘Scope of the
Investigation’’ and the ‘‘Changes to
Scope of Investigation’’ sections of this
notice below.
On July 29, 2011, the petitioner
requested that the Department postpone
its preliminary determination by 50
days. Because the petitioner made this
timely request, in accordance with
section 733(c)(1)(A) of the Act, we
postponed our preliminary
determination by 50 days. See Certain
Stilbenic Optical Brightening Agents
From the People’s Republic of China,
and Taiwan: Postponement of
Preliminary Determinations of
Antidumping Duty Investigations, 76 FR
49443 (August 10, 2011).
On September 12, 2011, the petitioner
filed allegations of targeted dumping by
TFM. See the ‘‘Allegations of Targeted
Dumping’’ section below.
On October 17, 2011, TFM requested
that, in the event of an affirmative
preliminary determination in this
investigation, the Department postpone
its final determination by no more than
135 days in accordance with section
735(a)(2)(A) of the Act and 19 CFR
351.210(b)(2)(ii) and extend the
application of the provisional measures
prescribed under 19 CFR 351.210(e)(2)
from a four-month to a six-month
period.
On October 11, 2011, the petitioner
submitted comments for consideration
in the preliminary determination.
1 The petitioner’s May 26, 2011, comments were
submitted in response to the product-matching
characteristics identified by the Department in its
May 26, 2011, antidumping-duty questionnaire.
2 The brackets above denote the chemical formula
of the subject merchandise. This is not businessproprietary information.
3 Id.
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Period of Investigation
The POI is January 1, 2010, through
December 31, 2010. This period
corresponds to the four most recent
fiscal quarters prior to the month of the
filing of the petition, March 2011. See
19 CFR 351.204(b)(1).
Scope of the Investigation
The certain stilbenic OBAs covered by
this investigation are all forms (whether
free acid or salt) of compounds known
as triazinylaminostilbenes (i.e., all
derivatives of 4,4′-bis [1,3,5-triazin-2yl] 2 amino-2,2′-stilbenedisulfonic acid),
except for compounds listed in the
following paragraph. The certain
stilbenic OBAs covered by these
investigations include final stilbenic
OBA products, as well as intermediate
products that are themselves
triazinylaminostilbenes produced
during the synthesis of final stilbenic
OBA products.
Excluded from this investigation are
all forms of 4,4′-bis[4-anilino-6morpholino-1,3,5-triazin-2-yl] 3 amino2,2′-stilbenedisulfonic acid,
C40H40N12O8S2 (‘‘Fluorescent
Brightener 71’’). This investigation
covers the above-described compounds
in any state (including but not limited
to powder, slurry, or solution), of any
concentrations of active certain stilbenic
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OBA ingredient, as well as any
compositions regardless of additives
(i.e., mixtures or blends, whether of
certain stilbenic OBAs with each other,
or of certain stilbenic OBAs with
additives that are not certain stilbenic
OBAs), and in any type of packaging.
These stilbenic OBAs are classifiable
under subheading 3204.20.8000 of the
HTSUS, but they may also enter under
subheadings 2933.69.6050,
2921.59.4000 and 2921.59.8090.
Although the HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
merchandise is dispositive.
Changes to Scope of Investigation
The Department identified the scope
of the investigation in its Initiation
Notice and set aside a period of time for
interested parties to raise issues
regarding product coverage. On June 9,
2011, the Department issued a letter to
all interested parties inviting comments
regarding whether HTSUS subheadings
2921.59.4000 and 2921.59.8090 are
appropriate for inclusion in the scope of
the investigation. The petitioner
submitted comments on June 16, 2011.
No other party submitted comments. On
July 11, 2011, the Department issued a
memorandum detailing its decision to
continue to include HTSUS
subheadings 2921.59.4000 and
2921.59.8090 in the scope of the
investigation.
Selection of Respondents
Section 777A(c)(1) of the Act directs
the Department to calculate individual
dumping margins for each known
exporter and producer of the subject
merchandise. Section 777A(c)(2) of the
Act gives the Department discretion,
when faced with a large number of
exporters or producers, to limit its
examination to a reasonable number of
such companies if it is not practicable
to examine all companies. In the
Initiation Notice we stated that we
intended to select respondents based on
CBP data for U.S. imports under HTSUS
number 3204.20.80 during the POI and
we invited comments on CBP data and
selection of respondents for individual
examination. See Initiation Notice, 76
FR 23554 (April 27, 2011).
On May 2, 2011, we released the CBP
data to all parties with access to
information protected by administrative
protective order. Based on our review of
the CBP data and our consideration of
the comments we received from the
petitioner on May 9, 2011, and the
Department’s current workload, we
determined that we had the resources to
examine two companies. Accordingly,
we selected TFM and Sun Rise as
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mandatory respondents. These
companies also are the publicly
identified producers/exporters of
subject merchandise. See Memorandum
to Christian Marsh entitled
‘‘Antidumping Duty Investigation on
Certain Stilbenic Optical Brightening
Agents from Taiwan—Identification of
Respondents,’’ dated May 24, 2011.
On June 10, 2011, Sun Rise provided
documentation that it did not have any
shipments of subject merchandise to the
United States during the POI, and a
review of entry documents provided by
CBP substantiated this claim. See
Memorandum from Tom Futtner to
Laurie Parkhill, entitled ‘‘Request for
U.S. Entry Documents—Certain
Stilbenic Optical Brightening Agents
from Taiwan (A–583–848),’’ dated
August 3, 2011. Therefore, TFM is the
only remaining mandatory respondent
in this investigation.
Allegations of Targeted Dumping
The statute allows the Department to
employ the average-to-transaction
margin-calculation methodology under
the following circumstances: (1) There
is a pattern of export prices that differ
significantly among purchasers, regions,
or periods of time; (2) the Department
explains why such differences cannot be
taken into account using the average-toaverage or transaction-to-transaction
methodology. See section 777A(d)(1)(B)
of the Act.
On September 12, 2011, the petitioner
submitted an allegation of targeted
dumping with respect to TFM asserting
that the Department should apply the
average-to-transaction methodology in
calculating TFM’s margin. In its
allegation, the petitioner asserts that
there are patterns of export prices (EPs)
for comparable merchandise that differ
significantly among customers and
regions. The petitioner relied on the
Department’s targeted-dumping test first
introduced in Certain Steel Nails from
the United Arab Emirates: Notice of
Final Determination of Sales at Not Less
Than Fair Value, 73 FR 33985 (June 16,
2008) (Nails), and used more recently in
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)
(OCTG).
Because our analysis includes
business-proprietary information, for a
full discussion see Memorandum to
Christian Marsh, entitled ‘‘Less-ThanFair-Value Investigation on Certain
Stilbenic Optical Brightening Agents
from Taiwan: Targeted Dumping—Teh
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Fong Min International Co., Ltd.,’’ dated
concurrently with this notice (TargetedDumping Memo).
A. Targeted-Dumping Test
We conducted customer and regional
analyses of targeted dumping for TFM
using the methodology we adopted in
Nails as modified in Polyethylene Retail
Carrier Bags From Taiwan: Preliminary
Determination of Sales at Less Than
Fair Value and Postponement of Final
Determination, 74 FR 55183 (October
27, 2009) (test unchanged in final; 75 FR
14569 (March 26, 2010)), to correct a
ministerial error, and as further
modified in Multilayered Wood Flooring
from the People’s Republic of China:
Final Determination of Sales at Less
Than Fair Value, 76 FR 64318 (October
18, 2011) and accompanying Issues and
Decision Memorandum at Comment 4,4
to correct for additional ministerial
errors.
The methodology we employed
involves a two-stage test; the first stage
addresses the pattern requirement and
the second stage addresses the
significant-difference requirement. See
section 777A(d)(1)(B)(i) of the Act and
Nails. In this test we made all price
comparisons on the basis of identical
merchandise (i.e., by control number or
CONNUM). The test procedures are the
same for the customer and regional
allegations of targeted dumping. We
based all of our targeted-dumping
calculations on the U.S. net price which
we determined for U.S. sales by TFM in
our standard margin calculations. For
further discussion of the test and the
results, see the Targeted-Dumping
Memo.
As a result of our analysis, we
preliminarily determine that the overall
proportion of TFM’s U.S. sales during
the POI that satisfy the criteria of
section 777A(d)(1)(B)(i) of the Act and
our practice as discussed in Nails is
insufficient to establish a pattern of EPs
for comparable merchandise that differ
significantly among certain customers or
regions. Accordingly, the Department
has determined that criteria established
in 777A(d)(1)(B)(i) of the Act have not
been met.
Therefore, we have applied the
average-to-average methodology to all
sales. See Targeted-Dumping Memo for
further discussion.
Date of Sale
Section 19 CFR 351.401(i) of the
Department’s regulations states that the
Department normally will use the date
of invoice, as recorded in the producer’s
4 See also Targeted-Dumping Memo for further
discussion.
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or exporter’s records kept in the
ordinary course of business, as the date
of sale. The regulation provides further
that the Department may use a date
other than the date of the invoice if the
Secretary is satisfied that a different
date better reflects the date on which
the material terms of sale are
established. The Department has a longstanding practice of finding that, where
shipment date precedes invoice date,
shipment date better reflects the date on
which the material terms of sale are
established. See, e.g., Notice of Final
Determination of Sales at Less Than
Fair Value and Negative Final
Determination of Critical
Circumstances: Certain Frozen and
Canned Warmwater Shrimp From
Thailand, 69 FR 76918 (December 23,
2004), and accompanying Issues and
Decision Memorandum at Comment 10;
see also Notice of Final Determination
of Sales at Less Than Fair Value:
Structural Steel Beams From Germany,
67 FR 35497 (May 20, 2002), and
accompanying Issues and Decision
Memorandum at Comment 2.
TFM reported its sales using shipment
date as the date of sale, because its
shipments occurred prior to invoicing.
On July 14, August 11, September 12,
October 11, and October 12, 2011, the
petitioner commented on the use of the
date of TFM’s long-term contracts as the
date of sale for U.S. sales made pursuant
to these contracts. Based on information
on the record concerning these longterm contracts, we have determined that
the evidence does not establish that the
material terms of sale are set on contract
date. TFM has demonstrated that either
party has the right to renegotiate the
prices during the pendency of the
contract, that such renegotiations have
occurred, that the quantities established
in the contracts are merely estimates
and that that there are no firm minimum
quantity requirements.
See TFM’s August 26, 2011,
supplemental questionnaire response at
pages 6–7, and exhibit SE–13.
Therefore, because date of shipment
precedes invoice date and the record
evidence otherwise demonstrates that
shipment date is when final price and
quantity are determined, we have used
shipment date as the date of sale. For
one customer, multiple sales were
included in one invoice, and we
calculated a ‘‘weighted average ship
date’’ to use as the date of sale. See the
TFM Analysis Memorandum to the file
dated concurrently with this notice for
additional information (Preliminary
Analysis Memo).
Recently the U.S. Court of
International Trade upheld the
Department’s decision to use invoice
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date for U.S. sales governed by longterm contracts because the evidence on
the record did not demonstrate that the
respondent’s U.S. customers were
contractually bound such that their
material terms of sale were finally and
firmly established on the contract date.
See Yieh Phui Enterprise Co. v. United
States (Slip Op. 11–107) (August 24,
2011). Similarly, the long-term contracts
here do not set the material terms of
sale; the terms are set at date of
shipment, which occurs before date of
invoice. Therefore, in accordance with
our practice and judicial precedent we
have selected the date of shipment as
the date of sale.
Fair-Value Comparisons
To determine whether sales of
stilbenic OBAs to the United States by
TFM were made at LTFV during the
POI, we compared normal value to
constructed export price, as described in
the ‘‘Normal Value’’ and ‘‘Constructed
Export Price’’ sections of this notice in
accordance with section 777A(d)(1)(B)
of the Act. We made average-to-average
comparisons for all sales to the United
States and provided offsets for nondumped comparisons.
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Product Comparisons
We received comments from the
respondent on May 10, 2011, and
comments from the petitioner on May
10, 17, and 26, 2011, concerning
product characteristics. After reviewing
the comments received, we have
adopted the characteristics and
hierarchy identified by the petitioner,
with one exception. Instead of matching
on the basis of the exact concentration
of active brightening agents, we
specified a range of active ingredients in
the hierarchy. See our May 26, 2011,
antidumping-duty questionnaire for
TFM. We have relied on four criteria for
matching U.S. sales of subject
merchandise to normal value: category,
stage, state, and range of concentration
of active ingredients.
U.S. Price
We based the United States price on
constructed export price (CEP), as
defined in section 772(a) of the Act,
because the first sale to an unaffiliated
party was made by TFM’s U.S. affiliate,
TFM North America, Inc.
We calculated CEP based on the
packed Free on Board, Cost, Insurance
and Freight, or delivered price to
unaffiliated purchasers in the United
States. We made deductions, as
appropriate, for discounts. We also
made deductions for any movement
expenses in accordance with sections
772(c)(2)(A) and 772(d) of the Act. See
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the Preliminary Analysis Memo for
additional information.
Normal Value
After testing comparison-market
viability, we calculated normal value as
stated in the ‘‘Constructed Value’’
section of this notice.
A. Comparison-Market Viability
Section 773(a)(1) of the Act directs
that normal value be based on the price
at which the foreign like product is sold
in the comparison market, provided that
the merchandise is sold in sufficient
quantities (or value, if quantity is
inappropriate) and that there is no
particular market situation that prevents
a proper comparison with the export
price. Section 773(a)(1)(C) of the Act
contemplates that quantities (or values)
will normally be considered insufficient
if they are less than five percent of the
aggregate quantity (or value) of sales of
the subject merchandise to the United
States.
In order to determine whether there
was a sufficient volume of sales in the
home market or third country to serve
as a viable basis for calculating normal
value, we compared the respondent’s
volumes of home-market and thirdcountry sales of the foreign like product
to the volume of U.S. sales of the subject
merchandise in accordance with
sections 773(a)(1)(B) and (C) of the Act.
The aggregate volume of TFM’s sales of
foreign like product in the home market
was not greater than five percent of its
sales of subject merchandise to the
United States. Therefore, TFM’s sales in
the home market are not viable as a
comparison market. Similarly, TFM’s
sales of foreign like product to thirdcountry markets were not greater than
five percent of its sales of subject
merchandise to the United States.
Therefore, none of these markets are
viable as a comparison market.
B. Calculation of Normal Value Based
on Constructed Value
In accordance with section 773(e) of
the Act, we calculated constructed value
(CV) based on the sum of the cost of
materials and fabrication, selling,
general and administrative expenses,
interest expenses, U.S packing
expenses, and profit. We relied on
information submitted by the
respondent for materials and fabrication
costs, general and administrative
expenses, interest expenses, and U.S.
packing costs. Based on the review of
record evidence, TFM did not appear to
experience significant changes in the
cost of manufacturing during the period
of investigation. Therefore, we followed
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68157
our normal methodology of calculating
an annual weighted-average cost.
Because the Department has
determined for purposes of this
preliminary determination that TFM
does not have a viable comparison
market, we could not determine selling
expenses and profit under section
773(e)(2)(A) of the Act. Therefore, we
relied on section 773(e)(2)(B) of the Act
to determine these amounts.
The statute does not establish a
hierarchy for selecting among the
alternative methodologies provided in
section 773(e)(2)(B) of the Act for
determining selling expenses and profit.
See Statement of Administrative Action
Accompanying the URAA, H.R. Rep.
No. 103–316, Vol. 1, at 840 (1994).
Alternative (iii) of section 773(e)(2)(B) of
the Act specifies that selling and profit
may be calculated based on any other
reasonable method in connection with
the home-market sale of merchandise
that is in the same general category of
products as the subject merchandise as
long as the result is not greater than the
amount realized by exporters or
producers ‘‘in connection with the sale,
for consumption in the foreign country,
of merchandise that is in the same
general category of products as the
subject merchandise’’ (i.e., the ‘‘profit
cap’’).
Because TFM did not produce and
sell any other merchandise in the same
general category as stilbenic OBAs and
because no other producers/exporters
are being individually examined in this
investigation, we calculated TFM’s
selling expenses and profit under
section 773(e)(2)(B)(iii) of the Act. We
used the selling expenses and profit
from the publicly available financial
statements for the fiscal year most
contemporaneous with the POI of a
company in Taiwan, Everlight Chemical
Industrial Corporation (Everlight). In
addition to producing subject
merchandise, Everlight also produces
other chemicals, including OBAs that
are used in other applications. For a
more detailed discussion see
Memorandum to Neal Halper from Gina
Lee, regarding ‘‘Constructed Value
Calculation Adjustments for the
Preliminary Determination,’’ dated
concurrently with this notice
(Preliminary Cost Memo).
As explained above, TFM does not
produce other merchandise in the same
general category of products as the
subject merchandise. Thus, a profit cap
cannot be calculated as there is no
information regarding profit that is
normally realized in connection with
the sale of merchandise in the same
general category for consumption in the
home market. See Preliminary Cost
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Memo. Therefore because there is no
information available on the profit cap
on the record, as facts available, we are
applying option (iii), without
quantifying a profit cap.
Currency Conversion
We made currency conversions into
U.S. dollars in accordance with section
773A(a) of the Act based on exchange
rates in effect on the dates of the U.S.
sales, as certified by the Federal Reserve
Bank.
Verification
As provided in section 782(i)(1) of the
Act, we intend to verify the information
relied upon in making our final
determination for TFM.
Suspension of Liquidation
In accordance with section 733(d)(2)
of the Act, we will direct CBP to
suspend liquidation of all entries of
stilbenic OBAs from Taiwan that are
entered, or withdrawn from warehouse,
for consumption on or after the date of
publication of this notice in the Federal
Register. We will instruct CBP to
require a cash deposit or the posting of
a bond equal to the weighted-average
margins, as indicated below, as follows:
(1) The rate for TFM will be the rate we
have determined in this preliminary
determination; (2) if the exporter is not
a firm identified in this investigation
but the producer is, the rate will be the
rate established for the producer of the
subject merchandise; (3) the rate for all
other producers or exporters will be
12.03 percent, as discussed in the ‘‘AllOthers Rate’’ section, below. These
suspension-of-liquidation instructions
will remain in effect until further notice.
Disclosure
We will disclose the calculations
performed in our preliminary
determination to interested parties in
this proceeding in accordance with 19
CFR 351.224(b).
ITC Notification
In accordance with section 733(f) of
the Act, we have notified the ITC of our
preliminary affirmative determination.
If the Department’s final determination
is affirmative, the ITC will determine
before the later of 120 days after the date
of this preliminary determination or 45
days after our final determination
whether imports of stilbenic OBAs from
Taiwan are materially injuring, or
threatening material injury to, the U.S.
industry (see section 735(b)(2) of the
Act). Because we are postponing the
deadline for our final determination to
135 days from the date of the
publication of this preliminary
determination, as discussed below, the
ITC will make its final determination no
later than 45 days after our final
determination.
Public Comment
Interested parties are invited to
comment on the preliminary
determination. Interested parties may
Teh Fong Min International
submit case briefs to the Department no
Co., Ltd .............................
12.03 later than seven days after the date of
the issuance of the last verification
All-Others Rate
report in this proceeding. Rebuttal
briefs, the content of which is limited to
Section 735(c)(5)(A) of the Act
the issues raised in the case briefs, must
provides that the estimated all-others
be filed within five days from the
rate shall be an amount equal to the
deadline date for the submission of case
weighted average of the estimated
briefs. See 19 CFR 351.309(d). A list of
weighted-average dumping margins
authorities used, a table of contents, and
established for exporters and producers
individually investigated excluding any an executive summary of issues should
accompany any briefs submitted to the
zero or de minimis margins and any
Department. See 19 CFR 351.309(c)(2).
margins determined entirely under
Executive summaries should be limited
section 776 of the Act. TFM is the only
to five pages total, including footnotes.
respondent in this investigation for
which the Department has calculated a
Further, we request that parties
company-specific rate. Therefore, for
submitting briefs and rebuttal briefs
purposes of determining the all-others
provide the Department with a copy of
rate and pursuant to section 735(c)(5)(A) the public version of such briefs on CD–
of the Act, we are using the weightedROM.
Manufacturer/exporter
srobinson on DSK4SPTVN1PROD with NOTICES
average dumping margin calculated for
TFM, 12.03 percent. See, e.g., Notice of
Final Determination of Sales at Less
Than Fair Value: Stainless Steel Sheet
and Strip in Coils From Italy, 64 FR
30750, 30755 (June 8, 1999), and Coated
Free Sheet Paper from Indonesia: Notice
of Preliminary Determination of Sales at
Less Than Fair Value and Postponement
of Final Determination, 72 FR 30753,
30757 (June 4, 2007) (unchanged in
Notice of Final Determination of Sales
at Less Than Fair Value: Coated Free
Sheet Paper from Indonesia, 72 FR
60636 (October 25, 2007)).
VerDate Mar<15>2010
16:50 Nov 02, 2011
Weightedaverage
margin
(percent)
Jkt 226001
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In accordance with section 774 of the
Act, the Department will hold a public
hearing, if timely requested, to afford
interested parties an opportunity to
comment on issues raised in case briefs,
provided that such a hearing is
requested by an interested party. See
also 19 CFR 351.310. If a timely request
for a hearing is made in this
investigation, we intend to hold the
hearing two days after the deadline for
filing a rebuttal brief at the U.S.
Department of Commerce, 14th Street
and Constitution Avenue NW.,
Washington, DC 20230, at a time and in
a room to be determined. Parties should
confirm by telephone the date, time, and
location of the hearing 48 hours before
the scheduled date.
Interested parties who wish to request
a hearing, or to participate in a hearing
if one is requested, must submit a
written request to the Assistant
Secretary for Import Administration,
U.S. Department of Commerce, Room
1870, within 30 days of the publication
of this notice. Requests should contain
the following: (1) The party’s name,
address, and telephone number; (2) a
list of participants; (3) a list of the issues
to be discussed. See 19 CFR 351.310(c).
At the hearing, oral presentations will
be limited to issues raised in the briefs.
Postponement of Final Determination
and Extension of Provisional Measures
Section 735(a)(2) of the Act provides
that a final determination may be
postponed until not later than 135 days
after the date of the publication of the
preliminary determination if, in the
event of an affirmative preliminary
determination, a request for such
postponement is made by exporters who
account for a significant proportion of
exports of the subject merchandise or, in
the event of a negative preliminary
determination, a request for such
postponement is made by the petitioner.
Section 351.210(e)(2) of the
Department’s regulations requires that
requests by respondents for
postponement of a final determination
be accompanied by a request for
extension of provisional measures from
a four-month period to not more than
six months.
On October 17, 2011, TFM requested
that in the event of an affirmative
preliminary determination in this
investigation, the Department postpone
its final determination by no more than
135 days after the date of publication of
this notice in the Federal Register. At
the same time, TFM requested that the
Department extend the application of
the provisional measures prescribed
under section 733(d) of the Act and 19
CFR 351.210(e)(2) from a four-month to
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Federal Register / Vol. 76, No. 213 / Thursday, November 3, 2011 / Notices
a six-month period. In accordance with
section 735(a)(2) of the Act and 19 CFR
351.210(b)(2), because (1) Our
preliminary determination is
affirmative, (2) the requesting exporter
accounts for a significant proportion of
exports of the subject merchandise, and
(3) no compelling reasons for denial
exist, we are granting this request and
are postponing the final determination
until no later than 135 days after the
publication of this notice in the Federal
Register. Suspension of liquidation will
be extended accordingly.
This determination is issued and
published pursuant to sections 733(f)
and 777(i)(1) of the Act.
Dated: October 27, 2011.
Paul Piquado,
Assistant Secretary for Import
Administration.
[FR Doc. 2011–28555 Filed 11–2–11; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
Establishment of the Advisory
Committee on Supply Chain
Competitiveness and Solicitation of
Nominations for Membership
International Trade
Administration, DOC.
ACTION: Notice of establishment of the
Advisory Committee on Supply Chain
Competitiveness and solicitation of
nominations for membership.
AGENCY:
Pursuant to provisions under
the Federal Advisory Committee Act,
5 U.S.C. App., the Under Secretary of
Commerce for International Trade
announces the establishment of the
Advisory Committee on Supply Chain
Competitiveness (the Committee) by the
Secretary of Commerce. The Committee
shall advise the Secretary regarding the
development and administration of
programs and policies to expand the
competitiveness of U.S. supply chains,
including programs and policies to
expand U.S. exports of goods, services,
and technology related to supply chain
in accordance with applicable United
States regulations. This notice also
requests nominations for membership.
DATES: Nominations for members must
be received on or before December 14,
2011.
srobinson on DSK4SPTVN1PROD with NOTICES
SUMMARY:
Nominations
The Secretary of Commerce invites
nominations to the committee of U.S.
citizens who will represent U.S.
companies that trade internationally, or
U.S. trade associations or U.S. private
VerDate Mar<15>2010
16:50 Nov 02, 2011
Jkt 226001
sector organizations with activities
focused on the competitiveness of U.S.
supply chain goods and services. No
member may represent a company that
is majority owned or controlled by a
foreign government entity or foreign
government entities. Nominees meeting
the eligibility requirements will be
considered based upon their ability to
carry out the goals of the Committee as
articulated above. Self-nominations will
be accepted. If you are interested in
nominating someone to become a
member of the Committee, please
provide the following information:
(1) Name, title, and relevant contact
information (including phone, fax, and
email address) of the individual
requesting consideration;
(2) A sponsor letter on the company’s,
trade association’s, or organization’s
letterhead containing a brief description
why the nominee should be considered
for membership;
(3) Short biography of nominee
including credentials;
(4) Brief description of the company,
trade association, or organization to be
represented and its business activities;
company size (number of employees
and annual sales); and export markets
served;
(5) An affirmative statement that the
nominee is not a Federally registered
lobbyist, and that the nominee
understands that if appointed, the
nominee will not be allowed to continue
to serve as a Committee member if the
nominee becomes a Federally registered
lobbyist;
(6) An affirmative statement that the
nominee meets all Committee eligibility
requirements.
Please do not send company, trade
association, or organization brochures or
any other information.
Nominations may be emailed to:
richard.boll@trade.gov or faxed to the
attention of Richard Boll at 202–482–
2669, or mailed to Richard Boll, Office
of Service Industries, Room CC118, U.S.
Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230, and must be received before
December 14. Nominees selected for
appointment to the Committee will be
notified by return mail.
FOR FURTHER INFORMATION CONTACT:
Richard Boll, Office of Service
Industries, Room CC118, U.S.
Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230; phone 202–482–1135; email:
richard.boll@trade.gov.
SUPPLEMENTARY INFORMATION:
I. Background and Authority
The Committee is being established
under the discretionary authority of the
PO 00000
Frm 00034
Fmt 4703
Sfmt 4703
68159
Secretary, in response to an identified
need for consensus advice from U.S.
industry to the U.S. government on the
development and administration of
programs and policies to expand the
competitiveness of U.S. supply chains.
The Federal Advisory Committee Act (5
U.S.C. App.) governs the Committee and
sets forth standards for the formation
and use of advisory committees.
For purposes of the Committee, the
‘‘supply chain’’ refers broadly to the
combination of goods, services, and
technology related to supply chain
operations. In advising on the
development and administration of
programs and policies to expand the
global competitiveness of the U.S.
supply chains, the Committee shall
provide detailed policy and technical
advice, information, and
recommendations to the Federal
Government regarding:
1. National, state, or local factors that
inhibit the efficient domestic and
international movement of goods from
point of origin to destination, and the
competitiveness of domestic and
international supply chains;
2. Infrastructure capacity, inter- and
cross-modal connectivity, investment,
regulatory, and intra- or intergovernmental coordination factors that
affect supply chain competitiveness,
goods movement, and sustainability;
3. Emerging trends in goods
movement that affect, or could impact,
supply chain competitiveness; and
4. Metrics that can be used to quantify
supply chain performance.
II. Structure, Membership, and
Operation
The Committee shall consist of
approximately 40 members appointed
by the Secretary in accordance with
applicable Department of Commerce
guidance and based on their ability to
carry out the objectives of the
Committee. Members shall represent
U.S. companies, U.S. trade associations,
and U.S. private sector organizations
that use or operate elements of U.S.
global supply chain, with activities
focused on the competitiveness of the
U.S. supply chain and its component
goods, services, and technologies.
Membership shall reflect the diversity of
goods and services movement activities,
including a variety of users that ship
through the global supply chain, entities
that operate various parts of the supply
chain, and individual academic experts
in the field. Membership will also be
diverse in terms of organization size,
and geographic location.
All members will come from the
private sector. There will be two types
of members: (1) Individual experts from
E:\FR\FM\03NON1.SGM
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Agencies
[Federal Register Volume 76, Number 213 (Thursday, November 3, 2011)]
[Notices]
[Pages 68154-68159]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-28555]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-583-848]
Certain Stilbenic Optical Brightening Agents From Taiwan:
Preliminary Determination of Sales at Less Than Fair Value and
Postponement of Final Determination
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (the Department) preliminarily
determines that certain stilbenic optical brightening agents (stilbenic
OBAs) from Taiwan are being, or are likely to be, sold in the United
States at less than fair value (LTFV) as provided in section 733(b) of
the Tariff Act of 1930, as amended (the Act). The estimated margin of
sales at LTFV is listed in the ``Suspension of Liquidation'' section of
this notice. Interested parties are invited to comment on this
preliminary determination.
DATES: Effective Date: November 3, 2011.
FOR FURTHER INFORMATION CONTACT: Sandra Stewart or Hermes Pinilla, AD/
CVD Operations, Office 1, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue NW, Washington, DC 20230; telephone (202) 482-0768
and (202) 482-3477, respectively.
SUPPLEMENTARY INFORMATION:
Background
On March 31, 2011, Clariant Corporation (the petitioner) filed an
antidumping petition against imports of stilbenic OBAs from Taiwan. See
``Certain Stilbenic Optical Brightening Agents from the People's
Republic of China and Taiwan; Petitions Requesting the Imposition of
Antidumping Duties,'' dated March 31, 2011 (the petition).
On April 27, 2011, the Department initiated the antidumping duty
investigation on stilbenic OBAs from Taiwan. See Certain Stilbenic
Optical Brightening Agents From the People's Republic of China and
Taiwan: Initiation of Antidumping Duty Investigations, 76 FR 23554
(April 27, 2011) (Initiation Notice).
The Department set aside a period of time for parties to raise
issues regarding product coverage and encouraged all parties to submit
comments within 20 calendar days of the date of publication of the
Initiation Notice. See Initiation Notice, 76 FR at 23555. The
Department
[[Page 68155]]
also set aside a period of time for parties to comment on product
characteristics for use in the antidumping duty questionnaire. Id. We
received comments from the respondent on May 10, 2011, and comments
from the petitioner on May 10, 17, and 26, 2011, concerning product
characteristics.\1\ After reviewing the comments received, we have
adopted the characteristics and hierarchy as explained in the ``Product
Comparisons'' section of this notice, below.
---------------------------------------------------------------------------
\1\ The petitioner's May 26, 2011, comments were submitted in
response to the product-matching characteristics identified by the
Department in its May 26, 2011, antidumping-duty questionnaire.
---------------------------------------------------------------------------
Based on U.S. Customs and Border Protection (CBP) data obtained for
U.S imports of subject merchandise during the period of investigation
(POI), on May 24, 2011, we selected Teh Fong Min International Co.,
Ltd. (TFM) and Sun Rise Chemical Ind. Co., Ltd. (Sun Rise) as mandatory
respondents in this investigation. On June 10, 2011, Sun Rise provided
documentation supporting its claim that it did not have any shipments
of subject merchandise to the United States during the POI. See the
``Selection of Respondents'' section of this notice, below.
On May 26, 2011, we issued the antidumping questionnaire to TFM and
Sun Rise. We received TFM's responses on July 1 and July 20, 2011.
Because Sun Rise properly filed a statement of no shipments and
provided supporting documentation, it did not respond to our
questionnaire.
On May 27, 2011, the International Trade Commission (ITC) published
its affirmative preliminary determination that there is a reasonable
indication that imports of stilbenic OBAs from Taiwan are materially
injuring the U.S. industry, and the ITC notified the Department of its
finding. See Certain Stilbenic Optical Brightening Agents From China
and Taiwan, 76 FR 30967 (May 27, 2011).
On June 9, 2011, we sent a letter to all interested parties
inviting comments regarding the Harmonized Tariff Schedule of the
United States (HTSUS) subheadings included in the description of the
subject merchandise. On June 16, 2011, we received comments from the
petitioner. After reviewing the comments received we established the
appropriate description of the subject merchandise. See the ``Scope of
the Investigation'' and the ``Changes to Scope of Investigation''
sections of this notice below.
On July 29, 2011, the petitioner requested that the Department
postpone its preliminary determination by 50 days. Because the
petitioner made this timely request, in accordance with section
733(c)(1)(A) of the Act, we postponed our preliminary determination by
50 days. See Certain Stilbenic Optical Brightening Agents From the
People's Republic of China, and Taiwan: Postponement of Preliminary
Determinations of Antidumping Duty Investigations, 76 FR 49443 (August
10, 2011).
On September 12, 2011, the petitioner filed allegations of targeted
dumping by TFM. See the ``Allegations of Targeted Dumping'' section
below.
On October 17, 2011, TFM requested that, in the event of an
affirmative preliminary determination in this investigation, the
Department postpone its final determination by no more than 135 days in
accordance with section 735(a)(2)(A) of the Act and 19 CFR
351.210(b)(2)(ii) and extend the application of the provisional
measures prescribed under 19 CFR 351.210(e)(2) from a four-month to a
six-month period.
On October 11, 2011, the petitioner submitted comments for
consideration in the preliminary determination.
Period of Investigation
The POI is January 1, 2010, through December 31, 2010. This period
corresponds to the four most recent fiscal quarters prior to the month
of the filing of the petition, March 2011. See 19 CFR 351.204(b)(1).
Scope of the Investigation
The certain stilbenic OBAs covered by this investigation are all
forms (whether free acid or salt) of compounds known as
triazinylaminostilbenes (i.e., all derivatives of 4,4'-bis [1,3,5-
triazin-2-yl] \2\ amino-2,2'-stilbenedisulfonic acid), except for
compounds listed in the following paragraph. The certain stilbenic OBAs
covered by these investigations include final stilbenic OBA products,
as well as intermediate products that are themselves
triazinylaminostilbenes produced during the synthesis of final
stilbenic OBA products.
---------------------------------------------------------------------------
\2\ The brackets above denote the chemical formula of the
subject merchandise. This is not business-proprietary information.
---------------------------------------------------------------------------
Excluded from this investigation are all forms of 4,4'-bis[4-
anilino-6-morpholino-1,3,5-triazin-2-yl] \3\ amino-2,2'-
stilbenedisulfonic acid, C40H40N12O8S2 (``Fluorescent Brightener 71'').
This investigation covers the above-described compounds in any state
(including but not limited to powder, slurry, or solution), of any
concentrations of active certain stilbenic OBA ingredient, as well as
any compositions regardless of additives (i.e., mixtures or blends,
whether of certain stilbenic OBAs with each other, or of certain
stilbenic OBAs with additives that are not certain stilbenic OBAs), and
in any type of packaging.
---------------------------------------------------------------------------
\3\ Id.
---------------------------------------------------------------------------
These stilbenic OBAs are classifiable under subheading 3204.20.8000
of the HTSUS, but they may also enter under subheadings 2933.69.6050,
2921.59.4000 and 2921.59.8090. Although the HTSUS subheadings are
provided for convenience and customs purposes, the written description
of the merchandise is dispositive.
Changes to Scope of Investigation
The Department identified the scope of the investigation in its
Initiation Notice and set aside a period of time for interested parties
to raise issues regarding product coverage. On June 9, 2011, the
Department issued a letter to all interested parties inviting comments
regarding whether HTSUS subheadings 2921.59.4000 and 2921.59.8090 are
appropriate for inclusion in the scope of the investigation. The
petitioner submitted comments on June 16, 2011. No other party
submitted comments. On July 11, 2011, the Department issued a
memorandum detailing its decision to continue to include HTSUS
subheadings 2921.59.4000 and 2921.59.8090 in the scope of the
investigation.
Selection of Respondents
Section 777A(c)(1) of the Act directs the Department to calculate
individual dumping margins for each known exporter and producer of the
subject merchandise. Section 777A(c)(2) of the Act gives the Department
discretion, when faced with a large number of exporters or producers,
to limit its examination to a reasonable number of such companies if it
is not practicable to examine all companies. In the Initiation Notice
we stated that we intended to select respondents based on CBP data for
U.S. imports under HTSUS number 3204.20.80 during the POI and we
invited comments on CBP data and selection of respondents for
individual examination. See Initiation Notice, 76 FR 23554 (April 27,
2011).
On May 2, 2011, we released the CBP data to all parties with access
to information protected by administrative protective order. Based on
our review of the CBP data and our consideration of the comments we
received from the petitioner on May 9, 2011, and the Department's
current workload, we determined that we had the resources to examine
two companies. Accordingly, we selected TFM and Sun Rise as
[[Page 68156]]
mandatory respondents. These companies also are the publicly identified
producers/exporters of subject merchandise. See Memorandum to Christian
Marsh entitled ``Antidumping Duty Investigation on Certain Stilbenic
Optical Brightening Agents from Taiwan--Identification of
Respondents,'' dated May 24, 2011.
On June 10, 2011, Sun Rise provided documentation that it did not
have any shipments of subject merchandise to the United States during
the POI, and a review of entry documents provided by CBP substantiated
this claim. See Memorandum from Tom Futtner to Laurie Parkhill,
entitled ``Request for U.S. Entry Documents--Certain Stilbenic Optical
Brightening Agents from Taiwan (A-583-848),'' dated August 3, 2011.
Therefore, TFM is the only remaining mandatory respondent in this
investigation.
Allegations of Targeted Dumping
The statute allows the Department to employ the average-to-
transaction margin-calculation methodology under the following
circumstances: (1) There is a pattern of export prices that differ
significantly among purchasers, regions, or periods of time; (2) the
Department explains why such differences cannot be taken into account
using the average-to-average or transaction-to-transaction methodology.
See section 777A(d)(1)(B) of the Act.
On September 12, 2011, the petitioner submitted an allegation of
targeted dumping with respect to TFM asserting that the Department
should apply the average-to-transaction methodology in calculating
TFM's margin. In its allegation, the petitioner asserts that there are
patterns of export prices (EPs) for comparable merchandise that differ
significantly among customers and regions. The petitioner relied on the
Department's targeted-dumping test first introduced in Certain Steel
Nails from the United Arab Emirates: Notice of Final Determination of
Sales at Not Less Than Fair Value, 73 FR 33985 (June 16, 2008) (Nails),
and used more recently in 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) (OCTG).
Because our analysis includes business-proprietary information, for
a full discussion see Memorandum to Christian Marsh, entitled ``Less-
Than-Fair-Value Investigation on Certain Stilbenic Optical Brightening
Agents from Taiwan: Targeted Dumping--Teh Fong Min International Co.,
Ltd.,'' dated concurrently with this notice (Targeted-Dumping Memo).
A. Targeted-Dumping Test
We conducted customer and regional analyses of targeted dumping for
TFM using the methodology we adopted in Nails as modified in
Polyethylene Retail Carrier Bags From Taiwan: Preliminary Determination
of Sales at Less Than Fair Value and Postponement of Final
Determination, 74 FR 55183 (October 27, 2009) (test unchanged in final;
75 FR 14569 (March 26, 2010)), to correct a ministerial error, and as
further modified in Multilayered Wood Flooring from the People's
Republic of China: Final Determination of Sales at Less Than Fair
Value, 76 FR 64318 (October 18, 2011) and accompanying Issues and
Decision Memorandum at Comment 4,\4\ to correct for additional
ministerial errors.
---------------------------------------------------------------------------
\4\ See also Targeted-Dumping Memo for further discussion.
---------------------------------------------------------------------------
The methodology we employed involves a two-stage test; the first
stage addresses the pattern requirement and the second stage addresses
the significant-difference requirement. See section 777A(d)(1)(B)(i) of
the Act and Nails. In this test we made all price comparisons on the
basis of identical merchandise (i.e., by control number or CONNUM). The
test procedures are the same for the customer and regional allegations
of targeted dumping. We based all of our targeted-dumping calculations
on the U.S. net price which we determined for U.S. sales by TFM in our
standard margin calculations. For further discussion of the test and
the results, see the Targeted-Dumping Memo.
As a result of our analysis, we preliminarily determine that the
overall proportion of TFM's U.S. sales during the POI that satisfy the
criteria of section 777A(d)(1)(B)(i) of the Act and our practice as
discussed in Nails is insufficient to establish a pattern of EPs for
comparable merchandise that differ significantly among certain
customers or regions. Accordingly, the Department has determined that
criteria established in 777A(d)(1)(B)(i) of the Act have not been met.
Therefore, we have applied the average-to-average methodology to
all sales. See Targeted-Dumping Memo for further discussion.
Date of Sale
Section 19 CFR 351.401(i) of the Department's regulations states
that the Department normally will use the date of invoice, as recorded
in the producer's or exporter's records kept in the ordinary course of
business, as the date of sale. The regulation provides further that the
Department may use a date other than the date of the invoice if the
Secretary is satisfied that a different date better reflects the date
on which the material terms of sale are established. The Department has
a long-standing practice of finding that, where shipment date precedes
invoice date, shipment date better reflects the date on which the
material terms of sale are established. See, e.g., Notice of Final
Determination of Sales at Less Than Fair Value and Negative Final
Determination of Critical Circumstances: Certain Frozen and Canned
Warmwater Shrimp From Thailand, 69 FR 76918 (December 23, 2004), and
accompanying Issues and Decision Memorandum at Comment 10; see also
Notice of Final Determination of Sales at Less Than Fair Value:
Structural Steel Beams From Germany, 67 FR 35497 (May 20, 2002), and
accompanying Issues and Decision Memorandum at Comment 2.
TFM reported its sales using shipment date as the date of sale,
because its shipments occurred prior to invoicing. On July 14, August
11, September 12, October 11, and October 12, 2011, the petitioner
commented on the use of the date of TFM's long-term contracts as the
date of sale for U.S. sales made pursuant to these contracts. Based on
information on the record concerning these long-term contracts, we have
determined that the evidence does not establish that the material terms
of sale are set on contract date. TFM has demonstrated that either
party has the right to renegotiate the prices during the pendency of
the contract, that such renegotiations have occurred, that the
quantities established in the contracts are merely estimates and that
that there are no firm minimum quantity requirements.
See TFM's August 26, 2011, supplemental questionnaire response at
pages 6-7, and exhibit SE-13. Therefore, because date of shipment
precedes invoice date and the record evidence otherwise demonstrates
that shipment date is when final price and quantity are determined, we
have used shipment date as the date of sale. For one customer, multiple
sales were included in one invoice, and we calculated a ``weighted
average ship date'' to use as the date of sale. See the TFM Analysis
Memorandum to the file dated concurrently with this notice for
additional information (Preliminary Analysis Memo).
Recently the U.S. Court of International Trade upheld the
Department's decision to use invoice
[[Page 68157]]
date for U.S. sales governed by long-term contracts because the
evidence on the record did not demonstrate that the respondent's U.S.
customers were contractually bound such that their material terms of
sale were finally and firmly established on the contract date. See Yieh
Phui Enterprise Co. v. United States (Slip Op. 11-107) (August 24,
2011). Similarly, the long-term contracts here do not set the material
terms of sale; the terms are set at date of shipment, which occurs
before date of invoice. Therefore, in accordance with our practice and
judicial precedent we have selected the date of shipment as the date of
sale.
Fair-Value Comparisons
To determine whether sales of stilbenic OBAs to the United States
by TFM were made at LTFV during the POI, we compared normal value to
constructed export price, as described in the ``Normal Value'' and
``Constructed Export Price'' sections of this notice in accordance with
section 777A(d)(1)(B) of the Act. We made average-to-average
comparisons for all sales to the United States and provided offsets for
non-dumped comparisons.
Product Comparisons
We received comments from the respondent on May 10, 2011, and
comments from the petitioner on May 10, 17, and 26, 2011, concerning
product characteristics. After reviewing the comments received, we have
adopted the characteristics and hierarchy identified by the petitioner,
with one exception. Instead of matching on the basis of the exact
concentration of active brightening agents, we specified a range of
active ingredients in the hierarchy. See our May 26, 2011, antidumping-
duty questionnaire for TFM. We have relied on four criteria for
matching U.S. sales of subject merchandise to normal value: category,
stage, state, and range of concentration of active ingredients.
U.S. Price
We based the United States price on constructed export price (CEP),
as defined in section 772(a) of the Act, because the first sale to an
unaffiliated party was made by TFM's U.S. affiliate, TFM North America,
Inc.
We calculated CEP based on the packed Free on Board, Cost,
Insurance and Freight, or delivered price to unaffiliated purchasers in
the United States. We made deductions, as appropriate, for discounts.
We also made deductions for any movement expenses in accordance with
sections 772(c)(2)(A) and 772(d) of the Act. See the Preliminary
Analysis Memo for additional information.
Normal Value
After testing comparison-market viability, we calculated normal
value as stated in the ``Constructed Value'' section of this notice.
A. Comparison-Market Viability
Section 773(a)(1) of the Act directs that normal value be based on
the price at which the foreign like product is sold in the comparison
market, provided that the merchandise is sold in sufficient quantities
(or value, if quantity is inappropriate) and that there is no
particular market situation that prevents a proper comparison with the
export price. Section 773(a)(1)(C) of the Act contemplates that
quantities (or values) will normally be considered insufficient if they
are less than five percent of the aggregate quantity (or value) of
sales of the subject merchandise to the United States.
In order to determine whether there was a sufficient volume of
sales in the home market or third country to serve as a viable basis
for calculating normal value, we compared the respondent's volumes of
home-market and third-country sales of the foreign like product to the
volume of U.S. sales of the subject merchandise in accordance with
sections 773(a)(1)(B) and (C) of the Act. The aggregate volume of TFM's
sales of foreign like product in the home market was not greater than
five percent of its sales of subject merchandise to the United States.
Therefore, TFM's sales in the home market are not viable as a
comparison market. Similarly, TFM's sales of foreign like product to
third-country markets were not greater than five percent of its sales
of subject merchandise to the United States. Therefore, none of these
markets are viable as a comparison market.
B. Calculation of Normal Value Based on Constructed Value
In accordance with section 773(e) of the Act, we calculated
constructed value (CV) based on the sum of the cost of materials and
fabrication, selling, general and administrative expenses, interest
expenses, U.S packing expenses, and profit. We relied on information
submitted by the respondent for materials and fabrication costs,
general and administrative expenses, interest expenses, and U.S.
packing costs. Based on the review of record evidence, TFM did not
appear to experience significant changes in the cost of manufacturing
during the period of investigation. Therefore, we followed our normal
methodology of calculating an annual weighted-average cost.
Because the Department has determined for purposes of this
preliminary determination that TFM does not have a viable comparison
market, we could not determine selling expenses and profit under
section 773(e)(2)(A) of the Act. Therefore, we relied on section
773(e)(2)(B) of the Act to determine these amounts.
The statute does not establish a hierarchy for selecting among the
alternative methodologies provided in section 773(e)(2)(B) of the Act
for determining selling expenses and profit. See Statement of
Administrative Action Accompanying the URAA, H.R. Rep. No. 103-316,
Vol. 1, at 840 (1994). Alternative (iii) of section 773(e)(2)(B) of the
Act specifies that selling and profit may be calculated based on any
other reasonable method in connection with the home-market sale of
merchandise that is in the same general category of products as the
subject merchandise as long as the result is not greater than the
amount realized by exporters or producers ``in connection with the
sale, for consumption in the foreign country, of merchandise that is in
the same general category of products as the subject merchandise''
(i.e., the ``profit cap'').
Because TFM did not produce and sell any other merchandise in the
same general category as stilbenic OBAs and because no other producers/
exporters are being individually examined in this investigation, we
calculated TFM's selling expenses and profit under section
773(e)(2)(B)(iii) of the Act. We used the selling expenses and profit
from the publicly available financial statements for the fiscal year
most contemporaneous with the POI of a company in Taiwan, Everlight
Chemical Industrial Corporation (Everlight). In addition to producing
subject merchandise, Everlight also produces other chemicals, including
OBAs that are used in other applications. For a more detailed
discussion see Memorandum to Neal Halper from Gina Lee, regarding
``Constructed Value Calculation Adjustments for the Preliminary
Determination,'' dated concurrently with this notice (Preliminary Cost
Memo).
As explained above, TFM does not produce other merchandise in the
same general category of products as the subject merchandise. Thus, a
profit cap cannot be calculated as there is no information regarding
profit that is normally realized in connection with the sale of
merchandise in the same general category for consumption in the home
market. See Preliminary Cost
[[Page 68158]]
Memo. Therefore because there is no information available on the profit
cap on the record, as facts available, we are applying option (iii),
without quantifying a profit cap.
Currency Conversion
We made currency conversions into U.S. dollars in accordance with
section 773A(a) of the Act based on exchange rates in effect on the
dates of the U.S. sales, as certified by the Federal Reserve Bank.
Verification
As provided in section 782(i)(1) of the Act, we intend to verify
the information relied upon in making our final determination for TFM.
Suspension of Liquidation
In accordance with section 733(d)(2) of the Act, we will direct CBP
to suspend liquidation of all entries of stilbenic OBAs from Taiwan
that are entered, or withdrawn from warehouse, for consumption on or
after the date of publication of this notice in the Federal Register.
We will instruct CBP to require a cash deposit or the posting of a bond
equal to the weighted-average margins, as indicated below, as follows:
(1) The rate for TFM will be the rate we have determined in this
preliminary determination; (2) if the exporter is not a firm identified
in this investigation but the producer is, the rate will be the rate
established for the producer of the subject merchandise; (3) the rate
for all other producers or exporters will be 12.03 percent, as
discussed in the ``All-Others Rate'' section, below. These suspension-
of-liquidation instructions will remain in effect until further notice.
------------------------------------------------------------------------
Weighted-
Manufacturer/exporter average margin
(percent)
------------------------------------------------------------------------
Teh Fong Min International Co., Ltd..................... 12.03
------------------------------------------------------------------------
All-Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated all-
others rate shall be an amount equal to the weighted average of the
estimated weighted-average dumping margins established for exporters
and producers individually investigated excluding any zero or de
minimis margins and any margins determined entirely under section 776
of the Act. TFM is the only respondent in this investigation for which
the Department has calculated a company-specific rate. Therefore, for
purposes of determining the all-others rate and pursuant to section
735(c)(5)(A) of the Act, we are using the weighted-average dumping
margin calculated for TFM, 12.03 percent. See, e.g., Notice of Final
Determination of Sales at Less Than Fair Value: Stainless Steel Sheet
and Strip in Coils From Italy, 64 FR 30750, 30755 (June 8, 1999), and
Coated Free Sheet Paper from Indonesia: Notice of Preliminary
Determination of Sales at Less Than Fair Value and Postponement of
Final Determination, 72 FR 30753, 30757 (June 4, 2007) (unchanged in
Notice of Final Determination of Sales at Less Than Fair Value: Coated
Free Sheet Paper from Indonesia, 72 FR 60636 (October 25, 2007)).
Disclosure
We will disclose the calculations performed in our preliminary
determination to interested parties in this proceeding in accordance
with 19 CFR 351.224(b).
ITC Notification
In accordance with section 733(f) of the Act, we have notified the
ITC of our preliminary affirmative determination. If the Department's
final determination is affirmative, the ITC will determine before the
later of 120 days after the date of this preliminary determination or
45 days after our final determination whether imports of stilbenic OBAs
from Taiwan are materially injuring, or threatening material injury to,
the U.S. industry (see section 735(b)(2) of the Act). Because we are
postponing the deadline for our final determination to 135 days from
the date of the publication of this preliminary determination, as
discussed below, the ITC will make its final determination no later
than 45 days after our final determination.
Public Comment
Interested parties are invited to comment on the preliminary
determination. Interested parties may submit case briefs to the
Department no later than seven days after the date of the issuance of
the last verification report in this proceeding. Rebuttal briefs, the
content of which is limited to the issues raised in the case briefs,
must be filed within five days from the deadline date for the
submission of case briefs. See 19 CFR 351.309(d). A list of authorities
used, a table of contents, and an executive summary of issues should
accompany any briefs submitted to the Department. See 19 CFR
351.309(c)(2). Executive summaries should be limited to five pages
total, including footnotes. Further, we request that parties submitting
briefs and rebuttal briefs provide the Department with a copy of the
public version of such briefs on CD-ROM.
In accordance with section 774 of the Act, the Department will hold
a public hearing, if timely requested, to afford interested parties an
opportunity to comment on issues raised in case briefs, provided that
such a hearing is requested by an interested party. See also 19 CFR
351.310. If a timely request for a hearing is made in this
investigation, we intend to hold the hearing two days after the
deadline for filing a rebuttal brief at the U.S. Department of
Commerce, 14th Street and Constitution Avenue NW., Washington, DC
20230, at a time and in a room to be determined. Parties should confirm
by telephone the date, time, and location of the hearing 48 hours
before the scheduled date.
Interested parties who wish to request a hearing, or to participate
in a hearing if one is requested, must submit a written request to the
Assistant Secretary for Import Administration, U.S. Department of
Commerce, Room 1870, within 30 days of the publication of this notice.
Requests should contain the following: (1) The party's name, address,
and telephone number; (2) a list of participants; (3) a list of the
issues to be discussed. See 19 CFR 351.310(c). At the hearing, oral
presentations will be limited to issues raised in the briefs.
Postponement of Final Determination and Extension of Provisional
Measures
Section 735(a)(2) of the Act provides that a final determination
may be postponed until not later than 135 days after the date of the
publication of the preliminary determination if, in the event of an
affirmative preliminary determination, a request for such postponement
is made by exporters who account for a significant proportion of
exports of the subject merchandise or, in the event of a negative
preliminary determination, a request for such postponement is made by
the petitioner. Section 351.210(e)(2) of the Department's regulations
requires that requests by respondents for postponement of a final
determination be accompanied by a request for extension of provisional
measures from a four-month period to not more than six months.
On October 17, 2011, TFM requested that in the event of an
affirmative preliminary determination in this investigation, the
Department postpone its final determination by no more than 135 days
after the date of publication of this notice in the Federal Register.
At the same time, TFM requested that the Department extend the
application of the provisional measures prescribed under section 733(d)
of the Act and 19 CFR 351.210(e)(2) from a four-month to
[[Page 68159]]
a six-month period. In accordance with section 735(a)(2) of the Act and
19 CFR 351.210(b)(2), because (1) Our preliminary determination is
affirmative, (2) the requesting exporter accounts for a significant
proportion of exports of the subject merchandise, and (3) no compelling
reasons for denial exist, we are granting this request and are
postponing the final determination until no later than 135 days after
the publication of this notice in the Federal Register. Suspension of
liquidation will be extended accordingly.
This determination is issued and published pursuant to sections
733(f) and 777(i)(1) of the Act.
Dated: October 27, 2011.
Paul Piquado,
Assistant Secretary for Import Administration.
[FR Doc. 2011-28555 Filed 11-2-11; 8:45 am]
BILLING CODE 3510-DS-P