Certain Frozen Warmwater Shrimp From Malaysia: Final Affirmative Countervailing Duty Determination, 50381-50383 [2013-20168]
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Federal Register / Vol. 78, No. 160 / Monday, August 19, 2013 / Notices
DEPARTMENT OF COMMERCE
Period of Investigation
International Trade Administration
The period of investigation for which
we are measuring subsidies is January 1,
2011, through December 31, 2011.
[C–557–814]
Case History
Certain Frozen Warmwater Shrimp
From Malaysia: Final Affirmative
Countervailing Duty Determination
Import Administration,
International Trade Administration,
Department of Commerce.
AGENCY:
The Department of Commerce
(the Department) determines that
countervailable subsidies are being
provided to producers and exporters of
certain frozen warmwater shrimp from
Malaysia. For information on the
estimated subsidy rates, see the
‘‘Suspension of Liquidation’’ section of
this notice.
DATES: Effective Date: August 19, 2013.
FOR FURTHER INFORMATION CONTACT:
Christopher Hargett or Kristen Johnson,
Office 8, Import Administration, U.S.
Department of Commerce, Room CC116,
14th Street and Constitution Avenue
NW., Washington, DC 20230; telephone:
202–482–4161 or 202–482–4793,
respectively.
SUMMARY:
SUPPLEMENTARY INFORMATION:
Background
TKELLEY on DSK3SPTVN1PROD with NOTICES
The petitioner in this investigation is
the Coalition of Gulf Shrimp Industries
(Petitioner).1 This investigation covers
23 government programs. The
mandatory respondent in this
investigation is Kian Huat Aquaculture
Sdn. Bhd. (Kian Huat). The Department
has also calculated a countervailing
duty (CVD) rate for the voluntary
respondent, Asia Aquaculture (M) Sdn.
Bhd., Star Feedmills (M) Sdn. Bhd., and
Charoen Pokphand Foods (Malaysia)
Sdn. Bhd., (collectively, the Asia
Aquaculture Companies).
1 The members of the Coalition of Gulf Shrimp
Industries are: Bayou Shrimp Processors, Inc.;
Bluewater Shrimp Company, Inc.; Carson & Co.,
Inc.; C.F. Gollott & Sons Seafood, Inc.; Dean
Blanchard Seafood, Inc.; Dominick Seafood;
Fisherman’s Reef Packing Plant; Golden Gulf Coast
Pkg. Co., Inc. (and Gollott’s Oil Dock & Ice House);
Graham Fisheries, Inc.; Graham Shrimp, Inc.; Gulf
Crown Seafood Co., Inc.; Gulf Fish Inc.; Gulf Island
Shrimp & Seafood, LLC; Gulf Pride Enterprises,
Inc.; Hi-Seas of Dulac, Inc.; Indian Ridge Shrimp
Co.; JBS Packing Co., Inc.; Lafitte Frozen Foods
Corp.; M&M Shrimp (Biloxi Freezing and
Processing); Ocean Springs Seafood Market, Inc.;
Paul Piazza & Sons, Inc.; R.A. Lesso Brokerage Co.,
Inc.; Sea Pearl Seafood Co., Inc.; Smith and Sons
Seafood; Tidelands Seafood Co., Inc.; Tommy’s
Seafood; Vincent Piazza & Sons Seafood, Inc.;
Wood’s Fisheries; Mariah Jade Shrimp Company,
LLC; David Chauvin’s Seafood Company, LLC; and
Rountree Enterprises, Inc. (dba Leonard & Sons
Shrimp Co. and R&R Fisheries).
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The events that have occurred since
the Department published the
Preliminary Determination on June 4,
2013,2 are discussed in the
Memorandum to Paul Piquado,
Assistant Secretary for Import
Administration, ‘‘Issues and Decision
Memorandum for the Final
Determination in the Certain Frozen
Warmwater Shrimp from Malaysia’’
(Decision Memorandum), which is
hereby adopted by this notice.3
Scope Comments
On March 28, 2013, Petitioner asked
the Department to clarify that the scope
of this investigation does not include
brine-frozen shrimp.4 We have
addressed this request and comments
thereon in the Memorandum to Paul
Piquado, Assistant Secretary for Import
Administration, ‘‘Certain Frozen
Warmwater Shrimp from Ecuador,
India, Indonesia, Malaysia, People’s
Republic of China, Thailand, and
Socialist Republic of Vietnam—Final
Scope Memorandum Regarding
Onboard Brine-Frozen Shrimp’’ (Scope
Memorandum), which is hereby
adopted by this notice.
Scope of the Investigation
The products covered by this
investigation are certain frozen
warmwater shrimp and prawns,
whether wild-caught (ocean harvested)
or farm-raised (produced by
aquaculture), head-on or head-off, shellon or peeled, tail-on or tail-off, deveined
or not deveined, cooked or raw, or
otherwise processed in frozen form,
regardless of size. For a complete
description of the scope of the
investigation, see Appendix I to this
notice.
2 See Certain Frozen Warmwater Shrimp From
Malaysia: Preliminary Countervailing Duty
Determination, 78 FR 33345 (June 4, 2013)
(Preliminary Determination).
3 Public versions of all business proprietary
documents and all public documents are on file
electronically via Import Administration’s
Antidumping and Countervailing Duty Centralized
Electronic Service System (IA ACCESS). Access to
IA ACCESS is available to registered users at
https://iaaccess.trade.gov and in the Central Records
Unit (CRU), room 7046 of the main Department of
Commerce building.
4 See Letter from Petitioner, ‘‘Countervailing Duty
Investigation on Certain Frozen Warmwater Shrimp
from Malaysia (C–557–814)—Request for Scope
Clarification’’ (March 28, 2013).
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50381
Analysis of Subsidy Programs and
Comments Received
The subsidy programs under
investigation and the issues raised in
the case and rebuttal briefs submitted by
parties in this investigation are
addressed in the Decision
Memorandum, dated concurrently with
this notice. A list of subsidy programs
and the issues that parties have raised,
and to which we responded in the
Decision Memorandum, is attached to
this notice as Appendix II.
The Decision and Scope Memoranda
are public documents and are on file
electronically via IA ACCESS. IA
ACCESS is available to registered users
at https://iaaccess.trade.gov and in the
CRU, room 7046 of the main
Department of Commerce building. In
addition, complete versions of the
Decision and Scope Memoranda can be
accessed directly on the Internet at
https://www.trade.gov/ia/. The signed
and the electronic versions of these
memoranda are identical in content.
Use of Facts Otherwise Available,
Including Adverse Inferences
For purposes of this final
determination, we continue to apply
adverse facts available (AFA) to Kian
Huat in accordance with sections 776(a)
and (b) of the Tariff Act of 1930, as
amended (the Act). A full discussion of
our decision to rely on AFA is presented
in the Decision Memorandum under the
section ‘‘Use of Facts Otherwise
Available and Adverse Inferences.’’
Suspension of Liquidation
In accordance with section
705(c)(1)(B)(ii) of the Act, we have
calculated a rate for each company
respondent. Section 705(c)(5)(A)(i) of
the Act states that for companies not
individually investigated, we will
determine an all others rate equal to the
weighted average countervailable
subsidy rates established for exporters
and producers individually
investigated, excluding any zero and de
minimis countervailable subsidy rates,
and any rates determined entirely under
section 776 of the Act. If the rates
established for all exporters and
producers individually investigated are
zero, de minimis, or determined entirely
under facts available, the Department
may use any reasonable method to
establish an all-others rate.5 Kian Huat’s
rate was determined entirely under facts
available with an adverse inference. The
Asia Aquaculture Companies, the only
entity that participated in the
investigation, is a voluntary respondent.
We exclude net subsidy rates calculated
5 See
E:\FR\FM\19AUN1.SGM
section 705(c)(5)(A)(ii) of the Act.
19AUN1
50382
Federal Register / Vol. 78, No. 160 / Monday, August 19, 2013 / Notices
for voluntary respondents from the
calculation of the all others rate.6 Thus,
in accordance with section
705(c)(5)(A)(ii) of the Act and 19 CFR
351.204(d)(3), we are applying as the all
others rate the rate calculated for Kian
Huat, the non-cooperative mandatory
respondent.
We determine the total estimated net
countervailable subsidy rates to be:
Net subsidy
ad valorem
rate
(percent)
Producer/Exporter
Asia Aquaculture (M) Sdn. Bhd. (Asia Aquaculture), Star Feedmills (M) Sdn. Bhd. (Star Feedmills), and Charoen Pokphand
Foods (Malaysia) Sdn. Bhd. (CPFM), (collectively, the Asia Aquaculture Companies) .................................................................
Kian Huat Aquaculture Sdn. Bhd. (Kian Huat) ....................................................................................................................................
All Others .............................................................................................................................................................................................
As a result of our Preliminary
Determination, and pursuant to section
703(d) of the Act, we instructed U.S.
Customs and Border Protection (CBP) to
suspend liquidation of all entries of
certain frozen warmwater shrimp from
Malaysia that were entered, or
withdrawn from warehouse, for
consumption on or after June 4, 2013,
the date of publication of the
Preliminary Determination in the
Federal Register.
If the U.S. International Trade
Commission (ITC) issues a final
affirmative injury determination, we
will issue a CVD order under section
706(a) of the Act. If the ITC determines
that material injury, or threat of material
injury, does not exist, this proceeding
will be terminated and all estimated
duties deposited or securities posted as
a result of the suspension of liquidation
will be refunded or canceled.
ITC Notification
In accordance with section 705(d) of
the Act, we will notify the ITC of our
determination. In addition, we are
making available to the ITC all nonprivileged and non-proprietary
information related to this investigation.
We will allow the ITC access to all
privileged and business proprietary
information in our files, provided the
ITC confirms that it will not disclose
such information, either publicly or
under an administrative protective order
(APO), without the written consent of
the Assistant Secretary for Import
Administration.
TKELLEY on DSK3SPTVN1PROD with NOTICES
Return or Destruction of Proprietary
Information
In the event that the ITC issues a final
negative injury determination, this
notice will serve as the only reminder
to parties subject to an APO of their
responsibility concerning the
destruction of proprietary information
disclosed under APO in accordance
6 See 19 CFR 351.204(d)(3); and Antidumping
Duties; Countervailing Duties, 62 FR 27296, 27310
(May 19, 1997).
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17:51 Aug 16, 2013
Jkt 229001
with 19 CFR 351.305(a)(3). Timely
written notification of the return/
destruction of APO materials or
conversion to judicial protective order is
hereby requested. Failure to comply
with the regulations and terms of an
APO is a violation that is subject to
sanction.
This determination is published
pursuant to sections 705(d) and 777(i) of
the Act.
Dated: August 12, 2013.
Paul Piquado,
Assistant Secretary for Import
Administration.
Appendix I
Scope of the Investigation
The products covered by this investigation
are certain frozen warmwater shrimp and
prawns, whether wild-caught (ocean
harvested) or farm-raised (produced by
aquaculture), head-on or head-off, shell-on or
peeled, tail-on or tail-off,7 deveined or not
deveined, cooked or raw, or otherwise
processed in frozen form, regardless of size.
The frozen warmwater shrimp and prawn
products included in the scope, regardless of
definitions in the Harmonized Tariff
Schedule of the United States (HTSUS), are
products which are processed from
warmwater shrimp and prawns through
freezing and which are sold in any count
size.
The products described above may be
processed from any species of warmwater
shrimp and prawns. Warmwater shrimp and
prawns are generally classified in, but are not
limited to, the Penaeidae family. Some
examples of the farmed and wild-caught
warmwater species include, but are not
limited to, whiteleg shrimp (Penaeus
vannemei), banana prawn (Penaeus
merguiensis), fleshy prawn (Penaeus
chinensis), giant river prawn
(Macrobrachium rosenbergii), giant tiger
prawn (Penaeus monodon), redspotted
shrimp (Penaeus brasiliensis), southern
brown shrimp (Penaeus subtilis), southern
pink shrimp (Penaeus notialis), southern
rough shrimp (Trachypenaeus curvirostris),
southern white shrimp (Penaeus schmitti),
blue shrimp (Penaeus stylirostris), western
white shrimp (Penaeus occidentalis), and
Indian white prawn (Penaeus indicus).
Frozen shrimp and prawns that are packed
with marinade, spices or sauce are included
in the scope. In addition, food preparations
(including dusted shrimp), which are not
‘‘prepared meals,’’ that contain more than 20
percent by weight of shrimp or prawn are
also included in the scope.
Excluded from the scope are: (1) Breaded
shrimp and prawns; (2) shrimp and prawns
generally classified in the Pandalidae family
and commonly referred to as coldwater
shrimp, in any state of processing; (3) fresh
shrimp and prawns whether shell-on or
peeled; (4) shrimp and prawns in prepared
meals; (5) dried shrimp and prawns; (6)
canned warmwater shrimp and prawns; and
(7) certain ‘‘battered shrimp’’ (see below).
‘‘Battered shrimp’’ is a shrimp-based
product: (1) That is produced from fresh (or
thawed-from-frozen) and peeled shrimp; (2)
to which a ‘‘dusting’’ layer of rice or wheat
flour of at least 95 percent purity has been
applied; (3) with the entire surface of the
shrimp flesh thoroughly and evenly coated
with the flour; (4) with the non-shrimp
content of the end product constituting
between four and 10 percent of the product’s
total weight after being dusted, but prior to
being frozen; and (5) that is subjected to
individually quick frozen (IQF) freezing
immediately after application of the dusting
layer. When dusted in accordance with the
definition of dusting above, the battered
shrimp product is also coated with a wet
viscous layer containing egg and/or milk, and
par-fried.
The products included in the scope of this
investigation are currently classified under
the following HTSUS subheadings:
0306.17.00.03, 0306.17.00.06, 0306.17.00.09,
0306.17.00.12, 0306.17.00.15, 0306.17.00.18,
0306.17.00.21, 0306.17.00.24, 0306.17.00.27,
0306.17.00.40, 1605.21.10.30 and
1605.29.10.10. These HTSUS subheadings
are provided for convenience and for
customs purposes only and are not
dispositive, but rather the written description
of the scope is dispositive.
Appendix II
List of Subsidy Programs and Issues in the
Decision Memorandum
A. Programs Determined To Be
7 ‘‘Tails’’ in this context means the tail fan, which
includes the telson and the uropods.
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19AUN1
TKELLEY on DSK3SPTVN1PROD with NOTICES
Federal Register / Vol. 78, No. 160 / Monday, August 19, 2013 / Notices
Countervailable
1. Pioneer Status
2. Provision of Grants under the Economic
Transformation Program (ETP)—
Replicating Integrated Aquaculture
Model (IZAQs)
3. Reinvestment Allowance
B. Program Determined To Be Not
Countervailable
1. Human Resource Development Fund
C. Programs Determined To Not Exist
1. Provision of Leases and Land for Less
Than Adequate Remuneration (LTAR)
under the ETP—IZAQs
2. Provision of Infrastructure Under Entry
Point Project #6
D. Program Determined To Be Terminated
1. 100% Allowance on Capital Expenditure
for Approved Agricultural Projects
E. Programs Determined To Be Not Used
1. Investment Tax Allowance
2. Infrastructure Allowance
3. Accelerated Capital Allowance
4. Tax Incentives for Approved Food
Production Activities
5. Double Deduction for the Promotion of
Exports
6. Export Credit Refinancing Program
7. Supplier Credit Facility
8. Buyer Credit Facility
9. Double Deductions for Export Credit
Insurance Premiums
10. Tax Exemptions for Exporters in Free
Trade Zones
11. Duty Exemptions for Exporters in Free
Trade Zones
12. Provision of Seed and Fry for LTAR
13. Loans Under the Fund for Food
Program
14. Loans Under the Agriculture
Entrepreneurs Scheme for Graduates
Comment 1: Whether the Pioneer Status
Program is Specific as an Export Subsidy
Comment 2: Whether the Pioneer Status
Program is Specific Because It Is Limited
to a Particular Industry or Enterprise
Comment 3: Whether 19 CFR 351.526
Applies with Regard to Asia Aquaculture
Companies’ Use of the Pioneer Status
Program
Comment 4: Manner in Which the
Department Should Calculate the Benefit
Under the Pioneer Status Program
Comment 5: Whether the Department Should
Apply AFA with Respect to Asia
Aquaculture’s Use of the Reinvestment
Allowance
Comment 6: Treatment of Subsidy Programs
Discovered at Verification
Comment 7: Rely on Government of
Malaysia’s Response for Kian Huat
Comment 8: Calculation of Rate Based Upon
Adverse Inferences
Comment 9: Appropriate Rate to Apply as
AFA
[FR Doc. 2013–20168 Filed 8–16–13; 8:45 am]
BILLING CODE 3510–DS–P
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50383
DEPARTMENT OF COMMERCE
Case History
International Trade Administration
The events that have occurred since
the Department published the
Preliminary Determination on June 4,
2013,2 are discussed in the
Memorandum to Paul Piquado,
Assistant Secretary for Import
Administration, ‘‘Issues and Decision
Memorandum for the Final Negative
Determination in the Countervailing
Duty Investigation of Certain Frozen
Warmwater Shrimp from the Republic
of Indonesia’’ (Decision Memorandum),
which is dated concurrently with and
hereby adopted by this notice.
[C–560–825]
Certain Frozen Warmwater Shrimp
From the Republic of Indonesia: Final
Negative Countervailing Duty
Determination
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) determines that
countervailable subsidies are not being
provided to producers and/or exporters
of certain frozen warmwater shrimp
(frozen shrimp) from the Republic of
Indonesia (Indonesia).
DATES: Effective Date: August 19, 2013.
FOR FURTHER INFORMATION CONTACT:
Gene Calvert, Jun Jack Zhao, or Emily
Halle, AD/CVD Operations, Import
Administration, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue NW., Washington, DC 20230;
telephone: (202) 482–3586, (202) 482–
1396, or (202) 482–0176, respectively.
AGENCY:
Background
The petitioner in this investigation is
the Coalition of Gulf Shrimp Industries
(Petitioner).1 This investigation covers
28 government programs. In addition to
the Government of Indonesia (GOI), the
respondents in this investigation are (1)
PT. Central Proteinaprima and PT.
Central Pertiwi Bahari, along with their
affiliated companies; and (2) PT. First
Marine Seafoods and its cross-owned
affiliate, PT. Khom Foods.
Period of Investigation
The period for which we are
measuring subsidies, or period of
investigation, is January 1, 2011,
through December 31, 2011.
1 The
members of the Coalition of Gulf Shrimp
Industries are: Bayou Shrimp Processors, Inc.;
Bluewater Shrimp Company, Inc.; Carson & Co.,
Inc.; C.F. Gollott & Sons Seafood, Inc.; Dean
Blanchard Seafood, Inc.; Dominick Seafood;
Fisherman’s Reef Packing Plant; Golden Gulf Coast
Pkg. Co., Inc. (and Gollott’s Oil Dock & Ice House);
Graham Fisheries, Inc.; Graham Shrimp, Inc.; Gulf
Crown Seafood Co., Inc.; Gulf Fish Inc.; Gulf Island
Shrimp & Seafood, LLC; Gulf Pride Enterprises,
Inc.; Hi-Seas of Dulac, Inc.; Indian Ridge Shrimp
Co.; JBS Packing Co., Inc.; Lafitte Frozen Foods
Corp.; M&M Shrimp (Biloxi Freezing and
Processing); Ocean Springs Seafood Market, Inc.;
Paul Piazza & Sons, Inc.; R.A. Lesso Brokerage Co.,
Inc.; Sea Pearl Seafood Co., Inc.; Smith and Sons
Seafood; Tidelands Seafood Co., Inc.; Tommy’s
Seafood; Vincent Piazza & Sons Seafood, Inc.;
Wood’s Fisheries; Mariah Jade Shrimp Company,
LLC; David Chauvin’s Seafood Company, LLC; and
Rountree Enterprises, Inc. (dba Leonard & Sons
Shrimp Co. and R&R Fisheries).
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Scope Comments
On March 28, 2013, Petitioner asked
the Department to clarify that the scope
of this investigation does not include
brine-frozen shrimp.3 We have
addressed this request and comments
thereon in the Memorandum to Paul
Piquado, Assistant Secretary for Import
Administration, ‘‘Certain Frozen
Warmwater Shrimp from Ecuador,
India, Indonesia, Malaysia, People’s
Republic of China, Thailand, and
Socialist Republic of Vietnam—Final
Scope Memorandum Regarding
Onboard Brine-Frozen Shrimp’’ (Scope
Memorandum), which is dated
concurrently with and hereby adopted
by this notice.
Scope of the Investigation
The products covered by this
investigation are certain frozen
warmwater shrimp and prawns,
whether wild-caught (ocean harvested)
or farm-raised (produced by
aquaculture), head-on or head-off, shellon or peeled, tail-on or tail-off, deveined
or not deveined, cooked or raw, or
otherwise processed in frozen form,
regardless of size. See Appendix I for a
complete description of the scope of this
investigation.
Analysis of Subsidy Programs and
Comments Received
The subsidy programs under
investigation and the issues raised in
the case and rebuttal briefs by parties in
this investigation are discussed in the
Decision Memorandum. A list of
subsidy programs and the issues that
parties have raised, and to which we
responded in the Decision
2 See Certain Frozen Warmwater Shrimp from
Indonesia: Negative Preliminary Countervailing
Duty Determination, 78 FR 33349 (June 4, 2013)
(Preliminary Determination), and the accompanying
Preliminary Decision Memorandum.
3 See Letter from Petitioner, ‘‘Countervailing Duty
Investigation on Certain Frozen Warmwater Shrimp
from Indonesia (C–560–825)—Request for Scope
Clarification’’ (March 28, 2013).
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19AUN1
Agencies
[Federal Register Volume 78, Number 160 (Monday, August 19, 2013)]
[Notices]
[Pages 50381-50383]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-20168]
[[Page 50381]]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-557-814]
Certain Frozen Warmwater Shrimp From Malaysia: Final Affirmative
Countervailing Duty Determination
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) determines that
countervailable subsidies are being provided to producers and exporters
of certain frozen warmwater shrimp from Malaysia. For information on
the estimated subsidy rates, see the ``Suspension of Liquidation''
section of this notice.
DATES: Effective Date: August 19, 2013.
FOR FURTHER INFORMATION CONTACT: Christopher Hargett or Kristen
Johnson, Office 8, Import Administration, U.S. Department of Commerce,
Room CC116, 14th Street and Constitution Avenue NW., Washington, DC
20230; telephone: 202-482-4161 or 202-482-4793, respectively.
SUPPLEMENTARY INFORMATION:
Background
The petitioner in this investigation is the Coalition of Gulf
Shrimp Industries (Petitioner).\1\ This investigation covers 23
government programs. The mandatory respondent in this investigation is
Kian Huat Aquaculture Sdn. Bhd. (Kian Huat). The Department has also
calculated a countervailing duty (CVD) rate for the voluntary
respondent, Asia Aquaculture (M) Sdn. Bhd., Star Feedmills (M) Sdn.
Bhd., and Charoen Pokphand Foods (Malaysia) Sdn. Bhd., (collectively,
the Asia Aquaculture Companies).
---------------------------------------------------------------------------
\1\ The members of the Coalition of Gulf Shrimp Industries are:
Bayou Shrimp Processors, Inc.; Bluewater Shrimp Company, Inc.;
Carson & Co., Inc.; C.F. Gollott & Sons Seafood, Inc.; Dean
Blanchard Seafood, Inc.; Dominick Seafood; Fisherman's Reef Packing
Plant; Golden Gulf Coast Pkg. Co., Inc. (and Gollott's Oil Dock &
Ice House); Graham Fisheries, Inc.; Graham Shrimp, Inc.; Gulf Crown
Seafood Co., Inc.; Gulf Fish Inc.; Gulf Island Shrimp & Seafood,
LLC; Gulf Pride Enterprises, Inc.; Hi-Seas of Dulac, Inc.; Indian
Ridge Shrimp Co.; JBS Packing Co., Inc.; Lafitte Frozen Foods Corp.;
M&M Shrimp (Biloxi Freezing and Processing); Ocean Springs Seafood
Market, Inc.; Paul Piazza & Sons, Inc.; R.A. Lesso Brokerage Co.,
Inc.; Sea Pearl Seafood Co., Inc.; Smith and Sons Seafood; Tidelands
Seafood Co., Inc.; Tommy's Seafood; Vincent Piazza & Sons Seafood,
Inc.; Wood's Fisheries; Mariah Jade Shrimp Company, LLC; David
Chauvin's Seafood Company, LLC; and Rountree Enterprises, Inc. (dba
Leonard & Sons Shrimp Co. and R&R Fisheries).
---------------------------------------------------------------------------
Period of Investigation
The period of investigation for which we are measuring subsidies is
January 1, 2011, through December 31, 2011.
Case History
The events that have occurred since the Department published the
Preliminary Determination on June 4, 2013,\2\ are discussed in the
Memorandum to Paul Piquado, Assistant Secretary for Import
Administration, ``Issues and Decision Memorandum for the Final
Determination in the Certain Frozen Warmwater Shrimp from Malaysia''
(Decision Memorandum), which is hereby adopted by this notice.\3\
---------------------------------------------------------------------------
\2\ See Certain Frozen Warmwater Shrimp From Malaysia:
Preliminary Countervailing Duty Determination, 78 FR 33345 (June 4,
2013) (Preliminary Determination).
\3\ Public versions of all business proprietary documents and
all public documents are on file electronically via Import
Administration's Antidumping and Countervailing Duty Centralized
Electronic Service System (IA ACCESS). Access to IA ACCESS is
available to registered users at https://iaaccess.trade.gov and in
the Central Records Unit (CRU), room 7046 of the main Department of
Commerce building.
---------------------------------------------------------------------------
Scope Comments
On March 28, 2013, Petitioner asked the Department to clarify that
the scope of this investigation does not include brine-frozen
shrimp.\4\ We have addressed this request and comments thereon in the
Memorandum to Paul Piquado, Assistant Secretary for Import
Administration, ``Certain Frozen Warmwater Shrimp from Ecuador, India,
Indonesia, Malaysia, People's Republic of China, Thailand, and
Socialist Republic of Vietnam--Final Scope Memorandum Regarding Onboard
Brine-Frozen Shrimp'' (Scope Memorandum), which is hereby adopted by
this notice.
---------------------------------------------------------------------------
\4\ See Letter from Petitioner, ``Countervailing Duty
Investigation on Certain Frozen Warmwater Shrimp from Malaysia (C-
557-814)--Request for Scope Clarification'' (March 28, 2013).
---------------------------------------------------------------------------
Scope of the Investigation
The products covered by this investigation are certain frozen
warmwater shrimp and prawns, whether wild-caught (ocean harvested) or
farm-raised (produced by aquaculture), head-on or head-off, shell-on or
peeled, tail-on or tail-off, deveined or not deveined, cooked or raw,
or otherwise processed in frozen form, regardless of size. For a
complete description of the scope of the investigation, see Appendix I
to this notice.
Analysis of Subsidy Programs and Comments Received
The subsidy programs under investigation and the issues raised in
the case and rebuttal briefs submitted by parties in this investigation
are addressed in the Decision Memorandum, dated concurrently with this
notice. A list of subsidy programs and the issues that parties have
raised, and to which we responded in the Decision Memorandum, is
attached to this notice as Appendix II.
The Decision and Scope Memoranda are public documents and are on
file electronically via IA ACCESS. IA ACCESS is available to registered
users at https://iaaccess.trade.gov and in the CRU, room 7046 of the
main Department of Commerce building. In addition, complete versions of
the Decision and Scope Memoranda can be accessed directly on the
Internet at https://www.trade.gov/ia/. The signed and the electronic
versions of these memoranda are identical in content.
Use of Facts Otherwise Available, Including Adverse Inferences
For purposes of this final determination, we continue to apply
adverse facts available (AFA) to Kian Huat in accordance with sections
776(a) and (b) of the Tariff Act of 1930, as amended (the Act). A full
discussion of our decision to rely on AFA is presented in the Decision
Memorandum under the section ``Use of Facts Otherwise Available and
Adverse Inferences.''
Suspension of Liquidation
In accordance with section 705(c)(1)(B)(ii) of the Act, we have
calculated a rate for each company respondent. Section 705(c)(5)(A)(i)
of the Act states that for companies not individually investigated, we
will determine an all others rate equal to the weighted average
countervailable subsidy rates established for exporters and producers
individually investigated, excluding any zero and de minimis
countervailable subsidy rates, and any rates determined entirely under
section 776 of the Act. If the rates established for all exporters and
producers individually investigated are zero, de minimis, or determined
entirely under facts available, the Department may use any reasonable
method to establish an all-others rate.\5\ Kian Huat's rate was
determined entirely under facts available with an adverse inference.
The Asia Aquaculture Companies, the only entity that participated in
the investigation, is a voluntary respondent. We exclude net subsidy
rates calculated
[[Page 50382]]
for voluntary respondents from the calculation of the all others
rate.\6\ Thus, in accordance with section 705(c)(5)(A)(ii) of the Act
and 19 CFR 351.204(d)(3), we are applying as the all others rate the
rate calculated for Kian Huat, the non-cooperative mandatory
respondent.
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\5\ See section 705(c)(5)(A)(ii) of the Act.
\6\ See 19 CFR 351.204(d)(3); and Antidumping Duties;
Countervailing Duties, 62 FR 27296, 27310 (May 19, 1997).
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We determine the total estimated net countervailable subsidy rates
to be:
------------------------------------------------------------------------
Net subsidy ad
Producer/Exporter valorem rate
(percent)
------------------------------------------------------------------------
Asia Aquaculture (M) Sdn. Bhd. (Asia Aquaculture), Star 10.80
Feedmills (M) Sdn. Bhd. (Star Feedmills), and Charoen
Pokphand Foods (Malaysia) Sdn. Bhd. (CPFM),
(collectively, the Asia Aquaculture Companies).........
Kian Huat Aquaculture Sdn. Bhd. (Kian Huat)............. 54.50
All Others.............................................. 54.50
------------------------------------------------------------------------
As a result of our Preliminary Determination, and pursuant to
section 703(d) of the Act, we instructed U.S. Customs and Border
Protection (CBP) to suspend liquidation of all entries of certain
frozen warmwater shrimp from Malaysia that were entered, or withdrawn
from warehouse, for consumption on or after June 4, 2013, the date of
publication of the Preliminary Determination in the Federal Register.
If the U.S. International Trade Commission (ITC) issues a final
affirmative injury determination, we will issue a CVD order under
section 706(a) of the Act. If the ITC determines that material injury,
or threat of material injury, does not exist, this proceeding will be
terminated and all estimated duties deposited or securities posted as a
result of the suspension of liquidation will be refunded or canceled.
ITC Notification
In accordance with section 705(d) of the Act, we will notify the
ITC of our determination. In addition, we are making available to the
ITC all non-privileged and non-proprietary information related to this
investigation. We will allow the ITC access to all privileged and
business proprietary information in our files, provided the ITC
confirms that it will not disclose such information, either publicly or
under an administrative protective order (APO), without the written
consent of the Assistant Secretary for Import Administration.
Return or Destruction of Proprietary Information
In the event that the ITC issues a final negative injury
determination, this notice will serve as the only reminder to parties
subject to an APO of their responsibility concerning the destruction of
proprietary information disclosed under APO in accordance with 19 CFR
351.305(a)(3). Timely written notification of the return/destruction of
APO materials or conversion to judicial protective order is hereby
requested. Failure to comply with the regulations and terms of an APO
is a violation that is subject to sanction.
This determination is published pursuant to sections 705(d) and
777(i) of the Act.
Dated: August 12, 2013.
Paul Piquado,
Assistant Secretary for Import Administration.
Appendix I
Scope of the Investigation
The products covered by this investigation are certain frozen
warmwater shrimp and prawns, whether wild-caught (ocean harvested)
or farm-raised (produced by aquaculture), head-on or head-off,
shell-on or peeled, tail-on or tail-off,\7\ deveined or not
deveined, cooked or raw, or otherwise processed in frozen form,
regardless of size.
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\7\ ``Tails'' in this context means the tail fan, which includes
the telson and the uropods.
---------------------------------------------------------------------------
The frozen warmwater shrimp and prawn products included in the
scope, regardless of definitions in the Harmonized Tariff Schedule
of the United States (HTSUS), are products which are processed from
warmwater shrimp and prawns through freezing and which are sold in
any count size.
The products described above may be processed from any species
of warmwater shrimp and prawns. Warmwater shrimp and prawns are
generally classified in, but are not limited to, the Penaeidae
family. Some examples of the farmed and wild-caught warmwater
species include, but are not limited to, whiteleg shrimp (Penaeus
vannemei), banana prawn (Penaeus merguiensis), fleshy prawn (Penaeus
chinensis), giant river prawn (Macrobrachium rosenbergii), giant
tiger prawn (Penaeus monodon), redspotted shrimp (Penaeus
brasiliensis), southern brown shrimp (Penaeus subtilis), southern
pink shrimp (Penaeus notialis), southern rough shrimp (Trachypenaeus
curvirostris), southern white shrimp (Penaeus schmitti), blue shrimp
(Penaeus stylirostris), western white shrimp (Penaeus occidentalis),
and Indian white prawn (Penaeus indicus).
Frozen shrimp and prawns that are packed with marinade, spices
or sauce are included in the scope. In addition, food preparations
(including dusted shrimp), which are not ``prepared meals,'' that
contain more than 20 percent by weight of shrimp or prawn are also
included in the scope.
Excluded from the scope are: (1) Breaded shrimp and prawns; (2)
shrimp and prawns generally classified in the Pandalidae family and
commonly referred to as coldwater shrimp, in any state of
processing; (3) fresh shrimp and prawns whether shell-on or peeled;
(4) shrimp and prawns in prepared meals; (5) dried shrimp and
prawns; (6) canned warmwater shrimp and prawns; and (7) certain
``battered shrimp'' (see below).
``Battered shrimp'' is a shrimp-based product: (1) That is
produced from fresh (or thawed-from-frozen) and peeled shrimp; (2)
to which a ``dusting'' layer of rice or wheat flour of at least 95
percent purity has been applied; (3) with the entire surface of the
shrimp flesh thoroughly and evenly coated with the flour; (4) with
the non-shrimp content of the end product constituting between four
and 10 percent of the product's total weight after being dusted, but
prior to being frozen; and (5) that is subjected to individually
quick frozen (IQF) freezing immediately after application of the
dusting layer. When dusted in accordance with the definition of
dusting above, the battered shrimp product is also coated with a wet
viscous layer containing egg and/or milk, and par-fried.
The products included in the scope of this investigation are
currently classified under the following HTSUS subheadings:
0306.17.00.03, 0306.17.00.06, 0306.17.00.09, 0306.17.00.12,
0306.17.00.15, 0306.17.00.18, 0306.17.00.21, 0306.17.00.24,
0306.17.00.27, 0306.17.00.40, 1605.21.10.30 and 1605.29.10.10. These
HTSUS subheadings are provided for convenience and for customs
purposes only and are not dispositive, but rather the written
description of the scope is dispositive.
Appendix II
List of Subsidy Programs and Issues in the Decision Memorandum
A. Programs Determined To Be
[[Page 50383]]
Countervailable
1. Pioneer Status
2. Provision of Grants under the Economic Transformation Program
(ETP)--Replicating Integrated Aquaculture Model (IZAQs)
3. Reinvestment Allowance
B. Program Determined To Be Not Countervailable
1. Human Resource Development Fund
C. Programs Determined To Not Exist
1. Provision of Leases and Land for Less Than Adequate
Remuneration (LTAR) under the ETP--IZAQs
2. Provision of Infrastructure Under Entry Point Project
6
D. Program Determined To Be Terminated
1. 100% Allowance on Capital Expenditure for Approved
Agricultural Projects
E. Programs Determined To Be Not Used
1. Investment Tax Allowance
2. Infrastructure Allowance
3. Accelerated Capital Allowance
4. Tax Incentives for Approved Food Production Activities
5. Double Deduction for the Promotion of Exports
6. Export Credit Refinancing Program
7. Supplier Credit Facility
8. Buyer Credit Facility
9. Double Deductions for Export Credit Insurance Premiums
10. Tax Exemptions for Exporters in Free Trade Zones
11. Duty Exemptions for Exporters in Free Trade Zones
12. Provision of Seed and Fry for LTAR
13. Loans Under the Fund for Food Program
14. Loans Under the Agriculture Entrepreneurs Scheme for
Graduates
Comment 1: Whether the Pioneer Status Program is Specific as an
Export Subsidy
Comment 2: Whether the Pioneer Status Program is Specific Because It
Is Limited to a Particular Industry or Enterprise
Comment 3: Whether 19 CFR 351.526 Applies with Regard to Asia
Aquaculture Companies' Use of the Pioneer Status Program
Comment 4: Manner in Which the Department Should Calculate the
Benefit Under the Pioneer Status Program
Comment 5: Whether the Department Should Apply AFA with Respect to
Asia Aquaculture's Use of the Reinvestment Allowance
Comment 6: Treatment of Subsidy Programs Discovered at Verification
Comment 7: Rely on Government of Malaysia's Response for Kian Huat
Comment 8: Calculation of Rate Based Upon Adverse Inferences
Comment 9: Appropriate Rate to Apply as AFA
[FR Doc. 2013-20168 Filed 8-16-13; 8:45 am]
BILLING CODE 3510-DS-P