Biodiesel From Indonesia: Preliminary Affirmative Determination of Sales at Less Than Fair Value, 50379-50381 [2017-23602]
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Federal Register / Vol. 82, No. 209 / Tuesday, October 31, 2017 / Notices
International Trade Commission
Notification
Appendix II
In accordance with section 733(f) of
the Act, the Department will notify the
International Trade Commission (ITC) of
its preliminary affirmative
determination. If the 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 the final determination
whether these imports are materially
injuring, or threaten material injury to,
the U.S. industry.
Notification to Interested Parties
This determination is issued and
published in accordance with sections
733(f) and 777(i)(1) of the Act and 19
CFR 351.205(c).
Dated: October 24, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping
and Countervailing Duty Operations,
performing the non-exclusive functions and
duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
asabaliauskas on DSKBBXCHB2PROD with NOTICES
Scope of the Investigation
The products covered by this investigation
are certain hot-rolled products of carbon steel
and alloy steel, in coils, of approximately
round cross section, less than 19.00 mm in
actual solid cross-sectional diameter.
Specifically excluded are steel products
possessing the above-noted physical
characteristics and meeting the Harmonized
Tariff Schedule of the United States (HTSUS)
definitions for (a) stainless steel; (b) tool
steel; (c) high-nickel steel; (d) ball bearing
steel; or (e) concrete reinforcing bars and
rods. Also excluded are free cutting steel
(also known as free machining steel)
products (i.e., products that contain by
weight one or more of the following
elements: 0.1 percent or more of lead, 0.05
percent or more of bismuth, 0.08 percent or
more of sulfur, more than 0.04 percent of
phosphorous, more than 0.05 percent of
selenium, or more than 0.01 percent of
tellurium). All products meeting the physical
description of subject merchandise that are
not specifically excluded are included in this
scope.
The products under investigation are
currently classifiable under subheadings
7213.91.3011, 213.91.3015, 7213.91.3020,
7213.91.3093; 7213.91.4500, 7213.91.6000,
7213.99.0030, 7227.20.0030, 7227.20.0080,
7227.90.6010, 7227.90.6020, 7227.90.6030,
and 7227.90.6035 of the HTSUS. Products
entered under subheadings 7213.99.0090 and
7227.90.6090 of the HTSUS also may be
included in this scope if they meet the
physical description of subject merchandise
above. Although the HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
scope of this proceeding is dispositive.
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50379
SUPPLEMENTARY INFORMATION:
List of Topics Discussed in the Preliminary
Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Discussion of the Methodology
A. Determination of the Comparison
Method
B. Results of the Differential Pricing
Analysis
VI. Date of Sale
VII. Product Comparisons
VIII. Export Price
IX. Normal Value
A. Comparison Market Viability
B. Affiliated-Party Transactions and Arm’sLength Test
C. Level of Trade
D. Cost of Production (COP) Analysis
1. Calculation of COP
2. Test of Comparison Market Sales Prices
3. Results of the COP Test
E. Calculation of NV Based on Comparison
Market Prices
F. Calculation of NV Based on Constructed
Value
X. Preliminary Negative Determination of
Critical Circumstances
A. Legal Framework
B. Critical Circumstances Allegation
C. Analysis
XI. Adjustment to Cash Deposit Rate for
Export Subsidies
XII. Currency Conversion
XIII. Conclusion
Background
This preliminary determination is
made in accordance with section 733(b)
of the Tariff Act of 1930, as amended
(the Act). The Department published the
notice of initiation of this investigation
on April 19, 2017.1 For a complete
description of the events that followed
the initiation of this investigation, see
the Preliminary Decision
Memorandum.2 A list of topics included
in the Preliminary Decision
Memorandum is included as Appendix
II to this notice. The Preliminary
Decision Memorandum is a public
document and is on file electronically
via Enforcement and Compliance’s
Antidumping and Countervailing Duty
Centralized Electronic Service System
(ACCESS). ACCESS is available to
registered users at https://
access.trade.gov, and to all parties in the
Central Records Unit, Room B8024 of
the main Department of Commerce
building. In addition, a complete
version of the Preliminary Decision
Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/.
The signed and the electronic versions
of the Preliminary Decision
Memorandum are identical in content.
[FR Doc. 2017–23647 Filed 10–30–17; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–560–830]
Biodiesel From Indonesia: Preliminary
Affirmative Determination of Sales at
Less Than Fair Value
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) preliminarily
determines that biodiesel from
Indonesia is being, or is likely to be,
sold in the United States at less than fair
value (LTFV). The period of
investigation (POI) is January 1, 2016,
through December 31, 2016.
DATES: Effective October 31, 2017.
FOR FURTHER INFORMATION CONTACT:
Myrna Lobo or Alexander Cipolla, AD/
CVD Operations, Office VII,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230; telephone: (202) 482–2371 or
(202) 482–4956, respectively.
AGENCY:
PO 00000
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Fmt 4703
Sfmt 4703
Scope of the Investigation
The product covered by this
investigation is biodiesel from
Indonesia. For a complete description of
the scope of this investigation, see
Appendix I.
Scope Comments
In accordance with the preamble to
the Department’s regulations,3 the
Initiation Notice set aside a period of
time for parties to raise issues regarding
product coverage (i.e., scope).4 No
interested parties commented on the
scope of the investigation as it appeared
in the Initiation Notice. Therefore, the
Department is preliminarily not
modifying the scope language as it
appeared in the Initiation Notice. See
the scope in Appendix I to this notice.
Methodology
The Department is conducting this
investigation in accordance with section
1 See Biodiesel from Argentina and Indonesia:
Initiation of Less-Than-Fair Value Investigations, 82
FR 18428 (April 19, 2017) (Initiation Notice).
2 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Determination in the Less-ThanFair-Value Investigation of Biodiesel from
Indonesia’’ dated concurrently with, and hereby
adopted by, this notice (Preliminary Decision
Memorandum).
3 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997).
4 See Initiation Notice, 82 FR at 18428–29.
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50380
Federal Register / Vol. 82, No. 209 / Tuesday, October 31, 2017 / Notices
731 of the Act. The Department has
calculated export prices in accordance
with section 772(a) of the Act.
Constructed export prices have been
calculated in accordance with section
772(b) of the Act. Normal value (NV) is
calculated in accordance with section
773 of the Act. In addition, the
Department has relied on adverse facts
available pursuant to sections 776(a)
and (b) of the Act for PT Musim Mas
(Musim Mas). For a full description of
the methodology underlying the
preliminary determination, see the
Preliminary Decision Memorandum.
asabaliauskas on DSKBBXCHB2PROD with NOTICES
Particular Market Situation
On July 25, 2017, the National
Biodiesel Board Fair Trade Coalition
(petitioner) filed a particular market
situation (PMS) allegation with respect
to the respondents’ home market sales
prices and reported costs of
production.5 The petitioner asserts that
a PMS exists in Indonesia because the
Government of Indonesia (GOI) sets low
mandatory prices and sales quotas for
biodiesel in the home market, and
restrains the exports of crude palm oil
(CPO) with an export tax and levy,
thereby distorting the respondents’
reported raw material CPO costs in
Indonesia. The petitioner argues that the
Department should disregard the
respondents’ home market sales based
on a finding that they are significantly
distorted by government intervention.
The petitioner also urges the
Department to make an adjustment for
the cost of CPO purchased from
domestic suppliers to address the
distorted Indonesian market for CPO.
The respondents and the GOI argue
that the prices set by the GOI are based
on market prices, and the total
compensation each respondent receives
for sales of biodiesel in Indonesia
reflects the full market value of its
biodiesel. The respondents also contend
that their sales that are not controlled by
the government constitute a viable home
market. Each respondent argues that the
lower prices paid for CPO are not
enough for a PMS finding, and that they
should be examined in the context of
the concurrent countervailing duty
(CVD) investigation.
Based on the facts on the record, the
Department preliminarily finds that the
GOI’s regulation of the domestic
biodiesel market amounts to a particular
market situation in Indonesia that
renders the home market prices of
Wilmar Trading PTE Ltd. (Wilmar), the
5 See
Petitioner’s Letter, ‘‘Biodiesel from
Indonesia: Petitioner’s Particular Market Situation
Allegation Regarding Respondents’ Home Market
Sales and Costs of Produciton,’’ dated July 25, 2017.
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17:37 Oct 30, 2017
Jkt 244001
only respondent for which we are
preliminarily calculating a weightedaverage dumping margin, outside the
ordinary course of trade. Therefore, the
Department is preliminarily relying on
constructed value (CV) as the basis for
NV in this investigation for Wilmar. The
Department also preliminarily finds that
a PMS exists in Indonesia with regard
to the cost of CPO as a component of the
cost of manufacturing (COM) for
biodiesel. Therefore, the Department has
adjusted Wilmar’s COM to account for
the distorted cost of CPO. For a full
description of the methodology
underlying the PMS determination, see
the Preliminary Decision Memorandum.
All-Others Rate
Sections 733(d)(1)(ii) and 735(c)(5)(A)
of the Act provide that in the
preliminary determination the
Department shall determine an
estimated all-others rate for all exporters
and producers not individually
examined. This 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 rates that are zero, de
minimis, or determined entirely on facts
available under section 776 of the Act.
In this investigation, the Department
preliminarily assigned a rate based
entirely on facts available to Musim
Mas. Therefore, the only rate that is not
zero, de minimis or based entirely on
facts otherwise available is the rate
calculated for Wilmar. Consequently,
the rate calculated for Wilmar is also
assigned as the rate for all-other
producers and exporters.
Preliminary Determination
The Department preliminarily
determines that the following estimated
weighted-average dumping margins
exist:
Exporter or producer
Estimated
weightedaverage
dumping
margin
(percent)
Suspension of Liquidation
In accordance with section 733(d)(2)
of the Act, the Department will direct
U.S. Customs and Border Protection
(CBP) to suspend liquidation of entries
of subject merchandise, as described in
Appendix I, entered, or withdrawn from
warehouse, for consumption on or after
the date of publication of this notice in
the Federal Register. Further, pursuant
to section 733(d)(1)(B) of the Act and 19
CFR 351.205(d), the Department will
instruct CBP to require a cash deposit
equal to the estimated weighted-average
dumping margin as follows: (1) The
cash deposit rate for the respondents
listed above will be equal to the
company-specific estimated weightedaverage dumping margins determined in
this preliminary determination; (2) if the
exporter is not a respondent identified
above, but the producer is, then the cash
deposit rate will be equal to the
company-specific estimated weightedaverage dumping margin established for
that producer of the subject
merchandise; and (3) the cash deposit
rate for all other producers and
exporters will be equal to the all-others
estimated weighted-average dumping
margin.
The Department normally adjusts
cash deposits for estimated antidumping
duties by the amount of export subsidies
countervailed in a companion CVD
proceeding in accordance with section
772(c)(1)(C), when CVD provisional
measures are in effect. Accordingly,
where the Department preliminarily
made an affirmative determination for
countervailable export subsidies, the
Department has offset the estimated
weighted-average dumping margin by
the appropriate CVD rate. In the
preliminary determination in the
companion CVD investigation, the
Department found no countervailable
export subsidies.7 Therefore, we
preliminarily determine not to adjust
the cash deposit rates in the Preliminary
Determination.
These suspension of liquidation
instructions will remain in effect until
further notice.
Disclosure
The Department intends to disclose
Wilmar Trading PTE Ltd 6 .....
50.71 its calculations and analysis performed
PT Musim Mas .....................
50.71 to interested parties in this preliminary
All-Others ..............................
50.71 determination within five days of any
public announcement or, if there is no
public announcement, within five days
6 The Department preliminarily determines that
of the date of publication of this notice
Wilmar Trading PTE Ltd., PT Wilmar Bioenergi
in accordance with 19 CFR 351.224(b).
Indonesia, PT Wilmar Nabati Indonesia, and PT
Multi Nabati Sulawesi are affiliated pursuant to
section 771(33)(F) of the Act and should be
collapsed and treated as a single entity pursuant to
19 CFR 351.401(f). See Preliminary Decision
Memorandum.
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Sfmt 4703
7 See Biodiesel from the Republic of Indonesia:
Preliminary Affirmative Countervailing Duty
Determination, 82 FR 40746 (August 28, 2017), and
accompanying Preliminary Decision Memorandum.
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Federal Register / Vol. 82, No. 209 / Tuesday, October 31, 2017 / Notices
Verification
As provided in section 782(i)(1) of the
Act, the Department intends to verify
the information relied upon in making
its final determination.
asabaliauskas on DSKBBXCHB2PROD with NOTICES
Public Comment
Case briefs or other written comments
may be submitted to the Assistant
Secretary for Enforcement and
Compliance no later than seven days
after the date on which the last
verification report is issued in this
investigation, unless the Secretary alters
the time limit. Rebuttal briefs, limited to
issues raised in case briefs, may be
submitted no later than five days after
the deadline date for case briefs.8
Pursuant to 19 CFR 351.309(c)(2) and
(d)(2), parties who submit case briefs or
rebuttal briefs in this investigation are
encouraged to submit with each
argument: (1) A statement of the issue;
(2) a brief summary of the argument;
and (3) a table of authorities.
Pursuant to 19 CFR 351.310(c),
interested parties who wish to request a
hearing, limited to issues raised in the
case and rebuttal briefs, must submit a
written request to the Assistant
Secretary for Enforcement and
Compliance, U.S. Department of
Commerce, within 30 days after the date
of publication of this notice. Requests
should contain the party’s name,
address, and telephone number, the
number of participants, whether any
participant is a foreign national, and a
list of the issues to be discussed. If a
request for a hearing is made, the
Department intends to hold the hearing
at the U.S. Department of Commerce,
1401 Constitution Avenue NW.,
Washington, DC 20230, at a time and
date to be determined. Parties should
confirm by telephone the date, time, and
location of the hearing two days before
the scheduled date.
Final Determination
Section 735(a)(1) of the Act and 19
CFR 351.210(b)(1) provide that the
Department will issue the final
determination within 75 days after the
date of its preliminary determination.
Accordingly, the Department will make
its final determination no later than 75
days after the signature date of this
preliminary determination, unless
extended.
International Trade Commission
Notification
In accordance with section 733(f) of
the Act, the Department will notify the
International Trade Commission (ITC) of
8 See 19 CFR 351.309; see also 19 CFR 351.303
(for general filing requirements).
VerDate Sep<11>2014
17:37 Oct 30, 2017
Jkt 244001
its preliminary determination. If the
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 the final determination whether
these imports are materially injuring, or
threaten material injury to, the U.S.
industry.
Notification to Interested Parties
This determination is issued and
published in accordance with sections
733(f) and 777(i)(1) of the Act and 19
CFR 351.205(c).
Dated: October 19, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping
and Countervailing Duty Operations,
performing the non-exclusive functions and
duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
Scope of the Investigation
The product covered by this investigation
is biodiesel, which is a fuel comprised of
mono-alkyl esters of long chain fatty acids
derived from vegetable oils or animal fats,
including biologically based waste oils or
greases, and other biologically-based oil or fat
sources. The investigation covers biodiesel in
pure form (B100) as well as fuel mixtures
containing at least 99 percent biodiesel by
volume (B99). For fuel mixtures containing
less than 99 percent biodiesel by volume,
only the biodiesel component of the mixture
is covered by the scope of the investigation.
Biodiesel is generally produced to
American Society for Testing and Materials
International (ASTM) D6751 specifications,
but it can also be made to other
specifications. Biodiesel commonly has one
of the following Chemical Abstracts Service
(CAS) numbers, generally depending upon
the feedstock used: 67784–80–9 (soybean oil
methyl esters); 91051–34–2 (palm oil methyl
esters); 91051–32–0 (palm kernel oil methyl
esters); 73891–99–3 (rapeseed oil methyl
esters); 61788–61–2 (tallow methyl esters);
68990–52–3 (vegetable oil methyl esters);
129828–16–6 (canola oil methyl esters);
67762–26–9 (unsaturated alkylcarboxylic
acid methyl ester); or 68937–84–8 (fatty
acids, C12–C18, methyl ester).
The B100 product subject to the
investigation is currently classifiable under
subheading 3826.00.1000 of the Harmonized
Tariff Schedule of the United States
(HTSUS), while the B99 product is currently
classifiable under HTSUS subheading
3826.00.3000. Although the HTSUS
subheadings, ASTM specifications, and CAS
numbers are provided for convenience and
customs purposes, the written description of
the scope is dispositive.
Appendix II
List of Topics Discussed in the Preliminary
Decision Memorandum
I. Summary
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50381
II. Background
III. Period of Investigation
IV. Use of Facts Available and Adverse Facts
Available
A. Legal Authority
B. Application of Facts Available to Musim
Mas
C. Use of Adverse Inferences
D. Selection and Corroboration of AFA
Rate
V. Affiliation and Collapsing
A. Wilmar
VI. Discussion of the Methodology
A. Comparisions to Fair Value
VII. Product Comparisons
VIII. Date of Sale
IX. Export Price and Constructed Price
X. Normal Value
A. Home Market Viability
XI. Particular Market Situation
A. Background
B. Interested Parties’ Arguments
C. Analysis
XII. Calculation of Normal Value Based on
Constructed Value
XIII. Circumstance of Sale
XIV. Adjustment to Cash Deposit Rate for
Export Subsidies
XV. Currency Conversion
XVI. Conclusion
[FR Doc. 2017–23602 Filed 10–30–17; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–475–836]
Carbon and Alloy Steel Wire Rod From
Italy: Preliminary Affirmative
Determination of Sales at Less Than
Fair Value
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) preliminarily
determines that carbon and alloy steel
wire rod (wire rod) from Italy is being,
or is likely to be, sold in the United
States at less than fair value (LTFV). The
period of investigation (POI) is January
1, 2016, through December 31, 2016.
DATES: Applicable October 31, 2017.
FOR FURTHER INFORMATION CONTACT:
Victoria Cho or Mark Flessner, AD/CVD
Operations, Office VI, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW., Washington, DC 20230; telephone:
(202) 482–5075 or (202) 482–6312,
respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
This preliminary determination is
made in accordance with section 733(b)
of the Tariff Act of 1930, as amended
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Agencies
[Federal Register Volume 82, Number 209 (Tuesday, October 31, 2017)]
[Notices]
[Pages 50379-50381]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-23602]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-560-830]
Biodiesel From Indonesia: Preliminary Affirmative Determination
of Sales at Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) preliminarily
determines that biodiesel from Indonesia is being, or is likely to be,
sold in the United States at less than fair value (LTFV). The period of
investigation (POI) is January 1, 2016, through December 31, 2016.
DATES: Effective October 31, 2017.
FOR FURTHER INFORMATION CONTACT: Myrna Lobo or Alexander Cipolla, AD/
CVD Operations, Office VII, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW., Washington, DC 20230; telephone: (202) 482-2371 or (202)
482-4956, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
733(b) of the Tariff Act of 1930, as amended (the Act). The Department
published the notice of initiation of this investigation on April 19,
2017.\1\ For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\2\ A list of topics included in the Preliminary Decision
Memorandum is included as Appendix II to this notice. The Preliminary
Decision Memorandum is a public document and is on file electronically
via Enforcement and Compliance's Antidumping and Countervailing Duty
Centralized Electronic Service System (ACCESS). ACCESS is available to
registered users at https://access.trade.gov, and to all parties in the
Central Records Unit, Room B8024 of the main Department of Commerce
building. In addition, a complete version of the Preliminary Decision
Memorandum can be accessed directly at https://enforcement.trade.gov/frn/. The signed and the electronic versions of the Preliminary
Decision Memorandum are identical in content.
---------------------------------------------------------------------------
\1\ See Biodiesel from Argentina and Indonesia: Initiation of
Less-Than-Fair Value Investigations, 82 FR 18428 (April 19, 2017)
(Initiation Notice).
\2\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Less-Than-Fair-Value Investigation of Biodiesel
from Indonesia'' dated concurrently with, and hereby adopted by,
this notice (Preliminary Decision Memorandum).
---------------------------------------------------------------------------
Scope of the Investigation
The product covered by this investigation is biodiesel from
Indonesia. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
In accordance with the preamble to the Department's regulations,\3\
the Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\4\ No interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice. Therefore, the Department is preliminarily not
modifying the scope language as it appeared in the Initiation Notice.
See the scope in Appendix I to this notice.
---------------------------------------------------------------------------
\3\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\4\ See Initiation Notice, 82 FR at 18428-29.
---------------------------------------------------------------------------
Methodology
The Department is conducting this investigation in accordance with
section
[[Page 50380]]
731 of the Act. The Department has calculated export prices in
accordance with section 772(a) of the Act. Constructed export prices
have been calculated in accordance with section 772(b) of the Act.
Normal value (NV) is calculated in accordance with section 773 of the
Act. In addition, the Department has relied on adverse facts available
pursuant to sections 776(a) and (b) of the Act for PT Musim Mas (Musim
Mas). For a full description of the methodology underlying the
preliminary determination, see the Preliminary Decision Memorandum.
Particular Market Situation
On July 25, 2017, the National Biodiesel Board Fair Trade Coalition
(petitioner) filed a particular market situation (PMS) allegation with
respect to the respondents' home market sales prices and reported costs
of production.\5\ The petitioner asserts that a PMS exists in Indonesia
because the Government of Indonesia (GOI) sets low mandatory prices and
sales quotas for biodiesel in the home market, and restrains the
exports of crude palm oil (CPO) with an export tax and levy, thereby
distorting the respondents' reported raw material CPO costs in
Indonesia. The petitioner argues that the Department should disregard
the respondents' home market sales based on a finding that they are
significantly distorted by government intervention. The petitioner also
urges the Department to make an adjustment for the cost of CPO
purchased from domestic suppliers to address the distorted Indonesian
market for CPO.
---------------------------------------------------------------------------
\5\ See Petitioner's Letter, ``Biodiesel from Indonesia:
Petitioner's Particular Market Situation Allegation Regarding
Respondents' Home Market Sales and Costs of Produciton,'' dated July
25, 2017.
---------------------------------------------------------------------------
The respondents and the GOI argue that the prices set by the GOI
are based on market prices, and the total compensation each respondent
receives for sales of biodiesel in Indonesia reflects the full market
value of its biodiesel. The respondents also contend that their sales
that are not controlled by the government constitute a viable home
market. Each respondent argues that the lower prices paid for CPO are
not enough for a PMS finding, and that they should be examined in the
context of the concurrent countervailing duty (CVD) investigation.
Based on the facts on the record, the Department preliminarily
finds that the GOI's regulation of the domestic biodiesel market
amounts to a particular market situation in Indonesia that renders the
home market prices of Wilmar Trading PTE Ltd. (Wilmar), the only
respondent for which we are preliminarily calculating a weighted-
average dumping margin, outside the ordinary course of trade.
Therefore, the Department is preliminarily relying on constructed value
(CV) as the basis for NV in this investigation for Wilmar. The
Department also preliminarily finds that a PMS exists in Indonesia with
regard to the cost of CPO as a component of the cost of manufacturing
(COM) for biodiesel. Therefore, the Department has adjusted Wilmar's
COM to account for the distorted cost of CPO. For a full description of
the methodology underlying the PMS determination, see the Preliminary
Decision Memorandum.
All-Others Rate
Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in
the preliminary determination the Department shall determine an
estimated all-others rate for all exporters and producers not
individually examined. This 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 rates that are zero, de minimis, or determined entirely on
facts available under section 776 of the Act.
In this investigation, the Department preliminarily assigned a rate
based entirely on facts available to Musim Mas. Therefore, the only
rate that is not zero, de minimis or based entirely on facts otherwise
available is the rate calculated for Wilmar. Consequently, the rate
calculated for Wilmar is also assigned as the rate for all-other
producers and exporters.
Preliminary Determination
The Department preliminarily determines that the following
estimated weighted-average dumping margins exist:
---------------------------------------------------------------------------
\6\ The Department preliminarily determines that Wilmar Trading
PTE Ltd., PT Wilmar Bioenergi Indonesia, PT Wilmar Nabati Indonesia,
and PT Multi Nabati Sulawesi are affiliated pursuant to section
771(33)(F) of the Act and should be collapsed and treated as a
single entity pursuant to 19 CFR 351.401(f). See Preliminary
Decision Memorandum.
------------------------------------------------------------------------
Estimated
weighted-
Exporter or producer average
dumping margin
(percent)
------------------------------------------------------------------------
Wilmar Trading PTE Ltd \6\.............................. 50.71
PT Musim Mas............................................ 50.71
All-Others.............................................. 50.71
------------------------------------------------------------------------
Suspension of Liquidation
In accordance with section 733(d)(2) of the Act, the Department
will direct U.S. Customs and Border Protection (CBP) to suspend
liquidation of entries of subject merchandise, as described in Appendix
I, entered, or withdrawn from warehouse, for consumption on or after
the date of publication of this notice in the Federal Register.
Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR
351.205(d), the Department will instruct CBP to require a cash deposit
equal to the estimated weighted-average dumping margin as follows: (1)
The cash deposit rate for the respondents listed above will be equal to
the company-specific estimated weighted-average dumping margins
determined in this preliminary determination; (2) if the exporter is
not a respondent identified above, but the producer is, then the cash
deposit rate will be equal to the company-specific estimated weighted-
average dumping margin established for that producer of the subject
merchandise; and (3) the cash deposit rate for all other producers and
exporters will be equal to the all-others estimated weighted-average
dumping margin.
The Department normally adjusts cash deposits for estimated
antidumping duties by the amount of export subsidies countervailed in a
companion CVD proceeding in accordance with section 772(c)(1)(C), when
CVD provisional measures are in effect. Accordingly, where the
Department preliminarily made an affirmative determination for
countervailable export subsidies, the Department has offset the
estimated weighted-average dumping margin by the appropriate CVD rate.
In the preliminary determination in the companion CVD investigation,
the Department found no countervailable export subsidies.\7\ Therefore,
we preliminarily determine not to adjust the cash deposit rates in the
Preliminary Determination.
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\7\ See Biodiesel from the Republic of Indonesia: Preliminary
Affirmative Countervailing Duty Determination, 82 FR 40746 (August
28, 2017), and accompanying Preliminary Decision Memorandum.
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These suspension of liquidation instructions will remain in effect
until further notice.
Disclosure
The Department intends to disclose its calculations and analysis
performed to interested parties in this preliminary determination
within five days of any public announcement or, if there is no public
announcement, within five days of the date of publication of this
notice in accordance with 19 CFR 351.224(b).
[[Page 50381]]
Verification
As provided in section 782(i)(1) of the Act, the Department intends
to verify the information relied upon in making its final
determination.
Public Comment
Case briefs or other written comments may be submitted to the
Assistant Secretary for Enforcement and Compliance no later than seven
days after the date on which the last verification report is issued in
this investigation, unless the Secretary alters the time limit.
Rebuttal briefs, limited to issues raised in case briefs, may be
submitted no later than five days after the deadline date for case
briefs.\8\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who
submit case briefs or rebuttal briefs in this investigation are
encouraged to submit with each argument: (1) A statement of the issue;
(2) a brief summary of the argument; and (3) a table of authorities.
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\8\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce, within 30 days
after the date of publication of this notice. Requests should contain
the party's name, address, and telephone number, the number of
participants, whether any participant is a foreign national, and a list
of the issues to be discussed. If a request for a hearing is made, the
Department intends to hold the hearing at the U.S. Department of
Commerce, 1401 Constitution Avenue NW., Washington, DC 20230, at a time
and date to be determined. Parties should confirm by telephone the
date, time, and location of the hearing two days before the scheduled
date.
Final Determination
Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that
the Department will issue the final determination within 75 days after
the date of its preliminary determination. Accordingly, the Department
will make its final determination no later than 75 days after the
signature date of this preliminary determination, unless extended.
International Trade Commission Notification
In accordance with section 733(f) of the Act, the Department will
notify the International Trade Commission (ITC) of its preliminary
determination. If the 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 the final determination
whether these imports are materially injuring, or threaten material
injury to, the U.S. industry.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).
Dated: October 19, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations, performing the non-exclusive functions and duties of the
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The product covered by this investigation is biodiesel, which is
a fuel comprised of mono-alkyl esters of long chain fatty acids
derived from vegetable oils or animal fats, including biologically
based waste oils or greases, and other biologically-based oil or fat
sources. The investigation covers biodiesel in pure form (B100) as
well as fuel mixtures containing at least 99 percent biodiesel by
volume (B99). For fuel mixtures containing less than 99 percent
biodiesel by volume, only the biodiesel component of the mixture is
covered by the scope of the investigation.
Biodiesel is generally produced to American Society for Testing
and Materials International (ASTM) D6751 specifications, but it can
also be made to other specifications. Biodiesel commonly has one of
the following Chemical Abstracts Service (CAS) numbers, generally
depending upon the feedstock used: 67784-80-9 (soybean oil methyl
esters); 91051-34-2 (palm oil methyl esters); 91051-32-0 (palm
kernel oil methyl esters); 73891-99-3 (rapeseed oil methyl esters);
61788-61-2 (tallow methyl esters); 68990-52-3 (vegetable oil methyl
esters); 129828-16-6 (canola oil methyl esters); 67762-26-9
(unsaturated alkylcarboxylic acid methyl ester); or 68937-84-8
(fatty acids, C12-C18, methyl ester).
The B100 product subject to the investigation is currently
classifiable under subheading 3826.00.1000 of the Harmonized Tariff
Schedule of the United States (HTSUS), while the B99 product is
currently classifiable under HTSUS subheading 3826.00.3000. Although
the HTSUS subheadings, ASTM specifications, and CAS numbers are
provided for convenience and customs purposes, the written
description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Use of Facts Available and Adverse Facts Available
A. Legal Authority
B. Application of Facts Available to Musim Mas
C. Use of Adverse Inferences
D. Selection and Corroboration of AFA Rate
V. Affiliation and Collapsing
A. Wilmar
VI. Discussion of the Methodology
A. Comparisions to Fair Value
VII. Product Comparisons
VIII. Date of Sale
IX. Export Price and Constructed Price
X. Normal Value
A. Home Market Viability
XI. Particular Market Situation
A. Background
B. Interested Parties' Arguments
C. Analysis
XII. Calculation of Normal Value Based on Constructed Value
XIII. Circumstance of Sale
XIV. Adjustment to Cash Deposit Rate for Export Subsidies
XV. Currency Conversion
XVI. Conclusion
[FR Doc. 2017-23602 Filed 10-30-17; 8:45 am]
BILLING CODE 3510-DS-P