Antidumping Duty Investigations on Polyethylene Terephthalate Resin From Indonesia, the Republic of Korea, and Taiwan; Preliminary Determinations of Critical Circumstances, 17791-17793 [2018-08692]
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Federal Register / Vol. 83, No. 79 / Tuesday, April 24, 2018 / Notices
wire; stainless steel tape; stainless steel
wire; galvanized steel stranded wire;
copper wire; bare stranded copper wire;
aluminum alloy wire; aluminum tape;
aluminum alloy rod; insulated copper
wire; drawn optical glass in reel form;
and, drawn optical glass bundles in reel
form (duty rate ranges from duty-free to
8.8%, and $0.013/kg + 5.7%). The
request indicates that aramid yarn,
ripcord, binder string, and water
swellable yarn will be admitted to the
zone in privileged foreign status (19
CFR 146.41), thereby precluding
inverted tariff benefits on such items.
Public comment is invited from
interested parties. Submissions shall be
addressed to the Board’s Executive
Secretary at the address below. The
closing period for their receipt is June
4, 2018.
A copy of the notification will be
available for public inspection at the
Office of the Executive Secretary,
Foreign-Trade Zones Board, Room
21013, U.S. Department of Commerce,
1401 Constitution Avenue NW,
Washington, DC 20230–0002, and in the
‘‘Reading Room’’ section of the Board’s
website, which is accessible via
www.trade.gov/ftz.
For further information, contact
Juanita Chen at juanita.chen@trade.gov
or 202–482–1378.
Dated: April 17, 2018.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2018–08464 Filed 4–23–18; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–560–832, A–580–896, and A–583–862]
Antidumping Duty Investigations on
Polyethylene Terephthalate Resin
From Indonesia, the Republic of Korea,
and Taiwan; Preliminary
Determinations of Critical
Circumstances
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily determines
that critical circumstances exist for
imports of polyethylene terephthalate
(PET) resin from certain producers and
exporters from Indonesia, the Republic
of Korea (Korea), and Taiwan.
DATES: Applicable April 24, 2018.
FOR FURTHER INFORMATION CONTACT:
Gene H. Calvert, AD/CVD Operations,
Office VII, Enforcement and
Compliance, International Trade
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AGENCY:
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Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–3586.
SUPPLEMENTARY INFORMATION:
Background
On September 26, 2017, Commerce
received antidumping duty (AD)
petitions concerning imports of PET
resin from Brazil, Indonesia, Korea,
Pakistan, and Taiwan, on behalf of DAK
Americas LLC; Indorama Ventures USA,
Inc. (Indorama Ventures); M&G
Polymers USA, LLC; and Nan Ya
Plastics Corporation, America
(collectively, the petitioners).1 On
March 27, 2018, the petitioners timely
filed allegations that critical
circumstances exist with respect to
imports of PET resin from producers
and exporters from Indonesia, Korea,
and Taiwan.2 In accordance with 19
CFR 351.206(c)(2)(i), when a critical
circumstances allegation is submitted
more than 20 days before the scheduled
date of the preliminary determination,
Commerce must issue a preliminary
finding of whether there is a reasonable
basis to believe or suspect that critical
circumstances exist by no later than the
date of the preliminary determination.
In the subject AD investigations, the
petitioners requested that Commerce
issue preliminary critical circumstances
determinations on an expedited basis.3
Section 733(e)(1) of the Tariff Act of
1930, as amended (the Act), provides
that Commerce, upon receipt of a timely
allegation of critical circumstances, will
preliminarily determine that critical
circumstances exist in AD investigations
if there is a reasonable basis to believe
or suspect that: (A)(i) There is a history
of dumping and material injury by
reason of dumped imports in the United
States or elsewhere of the subject
merchandise, or (A)(ii) the person by
whom, or for whose account, the
merchandise was imported knew or
should have known that the exporter
was selling the subject merchandise at
less than its fair value and that there
was likely to be material injury by
reason of such sales, and (B) there have
been massive imports of the subject
1 See Petitioners’ Letter, ‘‘Petition for the
Imposition of Antidumping Duties—Certain
Polyethylene Terephthalate Resin from Brazil,
Indonesia, the Republic of Korea, Pakistan, and
Taiwan,’’ dated September 26, 2017 (the Petitions).
However, Indorama Ventures is not a petitioner
with respect to the Indonesia petition.
2 See Petitioners’ Letter, ‘‘Polyethylene
Terephthalate (PET) Resin from Indonesia, Korea,
and Taiwan—Critical Circumstances Allegation,’’
dated March 27, 2018 (Critical Circumstances
Allegations).
3 Id. at 2.
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17791
merchandise over a relatively short
period.
Sections 19 CFR 351.206(h)(2) and (i)
provide that imports must increase by at
least 15 percent during the ‘‘relatively
short period’’ to be considered
‘‘massive’’ and defines a ‘‘relatively
short period’’ as normally being the
period beginning on the date the
proceeding begins (i.e., the date the
petition is filed) and ending at least
three months later. Commerce’s
regulations also provide, however, that
if Commerce finds that importers, or
exporters or producers, had reason to
believe, at some time prior to the
beginning of the proceeding, that a
proceeding was likely, Commerce may
consider a period of not less than three
months from that earlier time.4
Critical Circumstances Analysis
History of Dumping and Material Injury/
Knowledge of Sales Below Fair Value
and Material Injury
To determine whether there is a
history of dumping pursuant to section
733(e)(1)(A)(i) of the Act, Commerce
generally considers current or previous
AD orders on subject merchandise from
the country in question in the United
States and current orders imposed by
other countries regarding imports of the
same merchandise. The Critical
Circumstances Allegations show that
other countries have current measures
in place covering imports of the same
merchandise from the countries subject
to these allegations.5 For example,
imports of PET resin from Indonesia
have been subject to an AD measure in
Malaysia since March 2015; imports of
PET resin from Korea have been subject
to an AD measure in Argentina since
September 2017; and imports of PET
resin from Taiwan have been subject to
an AD measure in Argentina since
September 2016.6 Therefore, based on
the AD measures in third-country
4 See
19 CFR 351.206(i).
Critical Circumstances Allegations at
Attachment 1 referencing, ‘‘Committee on AntiDumping Practices, Semi-Annual Report Under
Article 16.4 of the Agreement—Argentina,’’ WTO
no. G/ADP/N/300/ARG (17–4516), dated August 24,
2017; ‘‘Committee on Anti-Dumping Practices,
Semi-Annual Report Under Article 16.4 of the
Agreement—Brazil,’’ WTO no. G/ADP/N/294/BRA
(17–1149), dated February 24, 2017; ‘‘Committee on
Anti-Dumping Practices, Semi-Annual Report
under Article 16.4 of the Agreement—Indonesia,’’
WTO no. G/ADP/N/294/IDN (17–1537), dated
March 21, 2017; ‘‘Committee on Anti-Dumping
Practices, Semi-Annual Report Under Article 16.4
of the Agreement—Malaysia,’’ WTO no. G/ADP/N/
294/MYS (17–1375), dated March 8, 2017; and
‘‘Committee on Anti-Dumping Practices, SemiAnnual Report Under Article 16.4 of the
Agreement—South Africa,’’ WTO no. G/ADP/N/
294/ZAF (17–1440), dated March 13, 2017.
6 Id.
5 See
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markets referenced above, we
preliminarily determine that there is a
history of dumping of PET resin
exported from Indonesia, Korea, and
Taiwan.
To determine whether importers
knew or should have known that
exporters were selling the subject
merchandise at less than fair value
pursuant section 733(e)(1)(A)(ii) of the
Act, we typically consider the
magnitude of dumping margins,
including margins alleged in petitions.7
Commerce has found margins of 15
percent or more (for constructed export
price) to 25 percent or more (for export
price) to be sufficient for this purpose.8
Dumping margins alleged in the three
AD petitions regarding the Critical
Circumstances Allegations significantly
exceed the 15 to 25 percent threshold:
53.50 percent for Indonesia,9 101.41
percent for Korea,10 and 45 percent for
Taiwan.11 Because the margins alleged
in the Petitions exceed the threshold
sufficient to impute that importers had
knowledge that exporters of PET resin
from Indonesia, Korea, and Taiwan were
selling subject merchandise at less than
fair value, we preliminarily determine
that importers knew or should have
known that producers/exporters of PET
resin in all three countries subject to the
7 See, e.g., Antidumping and Countervailing Duty
Investigations of Corrosion-Resistant Steel Products
from India, Italy, the People’s Republic of China,
the Republic of Korea, and Taiwan: Preliminary
Determinations of Critical Circumstances, 80 FR
68504 (November 5, 2015) (unchanged in the final
determinations); see also Notice of Preliminary
Determinations of Critical Circumstances: Certain
Cold-Rolled Carbon Steel Flat Products from
Australia, the People’s Republic of China, India, the
Republic of Korea, the Netherlands, and the
Russian Federation, 67 FR 19157, 19158 (April 18,
2002) (unchanged in the final determination).
8 Id.; see also Preliminary Determination of Sales
at Less Than Fair Value: Certain Cut-to-Length
Carbon Steel Plate from the People’s Republic of
China, 62 FR 31972, 31978 (June 11, 1997)
(unchanged in the final determination) and Notice
of Preliminary Determination of Sales at Less Than
Fair Value, Negative Preliminary Determination of
Critical Circumstances and Postponement of Final
Determination: Certain Frozen and Canned
Warmwater Shrimp From the Socialist Republic of
Vietnam, 69 FR 42672 (July 16, 2004) (unchanged
in the final determination).
9 See Petitioners’ Letter, ‘‘Polyethylene
Terephthalate (‘‘PET’’) Resin from Brazil, Indonesia,
the Republic of Korea, Pakistan, and Taiwan—
Petitioners’ Amendment to Volume III Relating to
Indonesia Antidumping Duties,’’ dated October 3,
2017 at 9.
10 See Petitioners’ Letter, ‘‘Polyethylene
Terephthalate (‘‘PET’’) Resin from Brazil, Indonesia,
the Republic of Korea, Pakistan, and Taiwan—
Petitioners’ Amendment to Volume IV Relating to
the Republic of Korea Antidumping Duties,’’ dated
October 3, 2017 at 10.
11 See Petitioners’ Letter, ‘‘Polyethylene
Terephthalate (‘‘PET’’) Resin from Brazil, Indonesia,
the Republic of Korea, Pakistan, and Taiwan—
Petitioners’ Amendment to Volume VI Relating to
Taiwan Antidumping Duties,’’ dated October 3,
2017 at 7.
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Critical Circumstances Allegations were
selling subject merchandise to the
United States at less than fair value.
To determine whether importers
knew or should have known that there
was likely to be material injury caused
by reason of such imports pursuant
section 733(e)(1)(A)(ii) of the Act,
Commerce normally will look to the
preliminary injury determination of the
International Trade Commission (ITC).12
If the ITC finds a reasonable indication
of material injury to the relevant U.S.
industry, material injury (as opposed to
the threat of injury), Commerce will
determine that a reasonable basis exists
to impute importer knowledge that
material injury is likely by reason of
such imports. In the subject AD
investigations, the ITC found that there
is a ‘‘reasonable indication’’ of material
injury to the domestic industry because
of the imported subject merchandise.13
Therefore, the ITC’s preliminary injury
determination in these investigations is
sufficient to impute importer
knowledge.
Massive Imports
Because the statutory criteria of
section 733(e)(1)(A) of the Act have
been satisfied, we next examined
whether imports of subject merchandise
from Indonesia, Korea, and Taiwan were
‘‘massive’’ over a relatively short period,
pursuant to section 733(e)(1)(B) of the
Act and 19 CFR 351.206(h). In making
this determination, Commerce normally
compares the import volumes of the
subject merchandise for at least three
months immediately preceding the
filing of the petition (i.e., the ‘‘base
period’’) to a comparable period of at
least three months following the filing
of the petition (i.e., the ‘‘comparison
period’’). Imports will normally be
considered massive when imports
during the comparison period have
increased by 15 percent or more
compared to imports during the base
period. It is Commerce’s practice to base
its critical circumstances analysis on all
available data, using base and
comparison periods of no less than three
months.14 For these preliminary
12 See, e.g., Certain Potassium Phosphate Salts
from the People’s Republic of China: Preliminary
Affirmative Determination of Critical Circumstances
in the Antidumping Duty Investigation, 75 FR
24572, 24573 (May 5, 2010), unchanged in Certain
Potassium Phosphate Salts from the People’s
Republic of China: Final Determination of Sales at
Less Than Fair Value and Termination of Critical
Circumstances Inquiry, 75 FR 30377 (June 1, 2010).
13 See Polyethylene Terephthalate (PET) Resin
from Brazil, Indonesia, Korea, Pakistan, and
Taiwan; Determinations, 82 FR 53523 (November
16, 2017).
14 See, e.g., Notice of Preliminary Determination
of Sales at Less Than Fair Value, Postponement of
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determinations of critical
circumstances, Commerce is defining
the base and comparison periods within
the bounds of its normal practice by
extending the comparison period
through January 2018 as shipment data
is available on the record to do so. This
is consistent with our past practice.15
Thus, in order to preliminarily
determine whether there has been a
massive surge in imports for each
cooperating mandatory respondent,
using shipment data submitted by the
cooperating mandatory respondents,
and shipment data of subject
merchandise compiled by the ITC,
Commerce compared the total volume of
shipments from October 2017 through
January 2018 (i.e., all months for which
shipment data was available) with the
preceding four-month period of June
2017 through September 2017.16 For
‘‘all others,’’ Commerce subtracted
shipments reported by the cooperating
mandatory respondents from the ITC
data. For non-cooperating mandatory
respondents (i.e., those mandatory
respondents that did not respond to our
critical circumstances questionnaire or
who otherwise indicated their
unwillingness to participate in the
investigations), we preliminarily
determine, on the basis of adverse facts
available,17 that there has been a
massive surge in imports. Accordingly,
based on our analysis of information on
the record, we preliminarily determine
the following producers/exporters of
subject merchandise had an increase of
15 percent or more in imports of subject
merchandise during the comparison
period when compared to the base
period, satisfying the massive surge
criteria, pursuant to section 733(e)(1)(B)
of the Act and 19 CFR 351.206(h).18
Final Determination, and Affirmative Preliminary
Determination of Critical Circumstances; Certain
Frozen Canned Warmwater Shrimp from India, 69
FR 47111, 47118–47119 (August 4, 2004),
unchanged in Notice of Final Determination of
Sales at Less Than Fair Value and Negative
Determination of Critical Circumstances: Certain
Frozen and Canned Warmwater Shrimp from India,
69 FR 76916 (December 23, 2004); see also
Countervailing Duty Investigation of Certain New
Pneumatic Off-the-Road Tires from India: Final
Affirmative Critical Circumstances Determination,
in Part, 82 FR 2946 (January 10, 2017) (OTR Tires
from India) and accompanying ‘‘Issues and
Decision Memorandum for the Final Determination
in the Countervailing Duty Investigation of Certain
New Pneumatic Off-the-Road Tires from India,’’ at
39–41.
15 Id.
16 These base and comparison periods satisfy the
regulatory provisions that the base period be at least
three months long and the base period have a
comparable duration. Commerce gathered ITC
shipment data under the harmonized tariff schedule
numbers, 3907.61.0000 and 3907.69.0000.
17 See section 776 of the Act.
18 See respective preliminary critical
circumstances calculation memoranda for each
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Federal Register / Vol. 83, No. 79 / Tuesday, April 24, 2018 / Notices
• Indonesia (A–560–832): Indorama
Polymers Public Co., Ltd.; All Other
Producers/Exporters
• Korea (A–580–896): Lotte Chemical
Corp. (REGD); TK Chemical Corp.; All
Other Producers/Exporters
• Taiwan (A–583–862): Far Eastern
New Century Corporation; Far Eastern
Textile Ltd.; Worldwide Polychem (HK),
Ltd.; All Other Producers/Exporters
In addition, based on record
information, we also find that certain
producers/exporters did not experience
an increase of 15 percent or more in
imports of subject merchandise during
the comparison period when compared
Country
to the base period. As such, the
following producers/exporters of subject
merchandise did not have massive
imports, as defined by section
733(e)(1)(B) of the Act and 19 CFR
351.206(h).19
• Indonesia (A–560–832): PT. IndoRama Synthetics Tbk.
• Korea (A–580–896): SK Chemicals
Co., Ltd.
• Taiwan (A–583–862): Shinkong
Synthetic Fibers Corporation
Finally, we note that in the AD
investigation regarding imports of
subject merchandise from Korea,
respondent company SKC Co., Ltd.
(SKC) submitted a certification, in lieu
of a questionnaire response, that it did
not make shipments of subject
merchandise to the United States during
the period of investigation, and there is
no information on the record to
contradict this claim. As a result, we are
not making a critical circumstances
determination with respect to SKC.20
Based on the criteria and findings
discussed above, we preliminarily
determine that critical circumstances
exist with respect to imports of PET
resin shipped by certain producers/
exporters. Our findings are summarized
as follows:
Affirmative preliminary
critical circumstances
determination
Case No.
Negative preliminary
critical circumstances
determination
Indonesia .................
A–560–832
Indorama Polymers Public Co., Ltd.; All Other Producers/Exporters ..............
Korea .......................
A–580–896
Taiwan .....................
A–583–862
Lotte Chemical Corp. (REGD); TK Chemical Corp.; .......................................
All Other Producers/Exporters .........................................................................
Far Eastern New Century Corporation; Far Eastern Textile Ltd.; Worldwide
Polychem (HK), Ltd.; All Other Producers/Exporters.
Final Critical Circumstances
Determinations
We will issue our final determinations
concerning critical circumstances when
we issue our final less than fair value
determinations. All interested parties
will have the opportunity to address
these preliminary determinations in
case briefs to be submitted after
completion of the preliminary less than
fair value determinations.
ITC Notification
In accordance with sections 733(f) of
the Act, Commerce will notify the ITC
of its preliminary determinations.
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Suspension of Liquidation
In accordance with section 733(e)(2)
of the Act, because we have
preliminarily found that critical
circumstances exist with regard to
imports exported by certain producers
and exporters, if we make an affirmative
preliminary determination that sales at
less than fair value have been made by
these same producers/exporters at above
de minimis rates,21 we will instruct
Customs and Border Protection (CBP) to
suspend liquidation of all entries of
subject merchandise from these
producers/exporters that are entered, or
withdrawn from warehouse, for
consumption on or after the date that is
proceeding, dated concurrently with this Federal
Register notice.
19 Id.
20 SKC is a distinct entity from mandatory
respondent SK Chemicals Co., Ltd. (SK Chemicals),
which had shipments during the period of
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19:07 Apr 23, 2018
Jkt 244001
90 days prior to the effective date of
‘‘provisional measures’’ (e.g., the date of
publication in the Federal Register of
the notice of an affirmative preliminary
determination of sales at less than fair
value at above de minimis rates). At
such time, we will also instruct CBP to
require a cash deposit equal to the
estimated preliminary dumping margins
reflected in the preliminary
determination published in the Federal
Register. The suspension of liquidation
will remain in effect until further notice.
This notice is issued and published
pursuant to sections 733(f) and 777(i)(1)
of the Act and 19 CFR 351.206(c).
Dated: April 20, 2018.
James Maeder,
Associate Deputy Assistant Secretary for
Antidumping and Countervailing Duty
Operations performing the duties of Deputy
Assistant Secretary for Antidumping and
Countervailing Duty Operations.
[FR Doc. 2018–08692 Filed 4–23–18; 8:45 am]
BILLING CODE 3510–DS–P
PT. Indo-Rama Synthetics Tbk.
SK Chemicals Co., Ltd.
Shinkong Synthetic Fibers Corporation.
DEPARTMENT OF COMMERCE
International Trade Administration
[C–489–823]
Welded Line Pipe From the Republic of
Turkey: Rescission of Countervailing
Duty Administrative Review; 2016
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) is rescinding the
administrative review of the
countervailing duty order on welded
line pipe from the Republic of Turkey
(Turkey) for the period January 1, 2016,
through December 31, 2016.
DATES: Applicable April 24, 2018.
FOR FURTHER INFORMATION CONTACT:
Alice Maldonado or David Crespo, AD/
CVD Operations, Office II, Enforcement
and Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–4682 or (202) 482–3693,
respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On December 4, 2017, Commerce
published in the Federal Register a
investigation and which submitted a complete
questionnaire response. SK Chemicals submitted
shipment data for purposes of our critical
circumstances determination, which has been
analyzed for these preliminary critical
circumstances determinations. We have reached a
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negative finding of critical circumstances for SK
Chemicals, as indicated above.
21 The preliminary determinations concerning the
sales at less than fair value investigations are
currently scheduled for April 27, 2018.
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[Federal Register Volume 83, Number 79 (Tuesday, April 24, 2018)]
[Notices]
[Pages 17791-17793]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-08692]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-560-832, A-580-896, and A-583-862]
Antidumping Duty Investigations on Polyethylene Terephthalate
Resin From Indonesia, the Republic of Korea, and Taiwan; Preliminary
Determinations of Critical Circumstances
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that critical circumstances exist for imports of polyethylene
terephthalate (PET) resin from certain producers and exporters from
Indonesia, the Republic of Korea (Korea), and Taiwan.
DATES: Applicable April 24, 2018.
FOR FURTHER INFORMATION CONTACT: Gene H. Calvert, 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) 482-3586.
SUPPLEMENTARY INFORMATION:
Background
On September 26, 2017, Commerce received antidumping duty (AD)
petitions concerning imports of PET resin from Brazil, Indonesia,
Korea, Pakistan, and Taiwan, on behalf of DAK Americas LLC; Indorama
Ventures USA, Inc. (Indorama Ventures); M&G Polymers USA, LLC; and Nan
Ya Plastics Corporation, America (collectively, the petitioners).\1\ On
March 27, 2018, the petitioners timely filed allegations that critical
circumstances exist with respect to imports of PET resin from producers
and exporters from Indonesia, Korea, and Taiwan.\2\ In accordance with
19 CFR 351.206(c)(2)(i), when a critical circumstances allegation is
submitted more than 20 days before the scheduled date of the
preliminary determination, Commerce must issue a preliminary finding of
whether there is a reasonable basis to believe or suspect that critical
circumstances exist by no later than the date of the preliminary
determination. In the subject AD investigations, the petitioners
requested that Commerce issue preliminary critical circumstances
determinations on an expedited basis.\3\
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\1\ See Petitioners' Letter, ``Petition for the Imposition of
Antidumping Duties--Certain Polyethylene Terephthalate Resin from
Brazil, Indonesia, the Republic of Korea, Pakistan, and Taiwan,''
dated September 26, 2017 (the Petitions). However, Indorama Ventures
is not a petitioner with respect to the Indonesia petition.
\2\ See Petitioners' Letter, ``Polyethylene Terephthalate (PET)
Resin from Indonesia, Korea, and Taiwan--Critical Circumstances
Allegation,'' dated March 27, 2018 (Critical Circumstances
Allegations).
\3\ Id. at 2.
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Section 733(e)(1) of the Tariff Act of 1930, as amended (the Act),
provides that Commerce, upon receipt of a timely allegation of critical
circumstances, will preliminarily determine that critical circumstances
exist in AD investigations if there is a reasonable basis to believe or
suspect that: (A)(i) There is a history of dumping and material injury
by reason of dumped imports in the United States or elsewhere of the
subject merchandise, or (A)(ii) the person by whom, or for whose
account, the merchandise was imported knew or should have known that
the exporter was selling the subject merchandise at less than its fair
value and that there was likely to be material injury by reason of such
sales, and (B) there have been massive imports of the subject
merchandise over a relatively short period.
Sections 19 CFR 351.206(h)(2) and (i) provide that imports must
increase by at least 15 percent during the ``relatively short period''
to be considered ``massive'' and defines a ``relatively short period''
as normally being the period beginning on the date the proceeding
begins (i.e., the date the petition is filed) and ending at least three
months later. Commerce's regulations also provide, however, that if
Commerce finds that importers, or exporters or producers, had reason to
believe, at some time prior to the beginning of the proceeding, that a
proceeding was likely, Commerce may consider a period of not less than
three months from that earlier time.\4\
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\4\ See 19 CFR 351.206(i).
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Critical Circumstances Analysis
History of Dumping and Material Injury/Knowledge of Sales Below Fair
Value and Material Injury
To determine whether there is a history of dumping pursuant to
section 733(e)(1)(A)(i) of the Act, Commerce generally considers
current or previous AD orders on subject merchandise from the country
in question in the United States and current orders imposed by other
countries regarding imports of the same merchandise. The Critical
Circumstances Allegations show that other countries have current
measures in place covering imports of the same merchandise from the
countries subject to these allegations.\5\ For example, imports of PET
resin from Indonesia have been subject to an AD measure in Malaysia
since March 2015; imports of PET resin from Korea have been subject to
an AD measure in Argentina since September 2017; and imports of PET
resin from Taiwan have been subject to an AD measure in Argentina since
September 2016.\6\ Therefore, based on the AD measures in third-country
[[Page 17792]]
markets referenced above, we preliminarily determine that there is a
history of dumping of PET resin exported from Indonesia, Korea, and
Taiwan.
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\5\ See Critical Circumstances Allegations at Attachment 1
referencing, ``Committee on Anti-Dumping Practices, Semi-Annual
Report Under Article 16.4 of the Agreement--Argentina,'' WTO no. G/
ADP/N/300/ARG (17-4516), dated August 24, 2017; ``Committee on Anti-
Dumping Practices, Semi-Annual Report Under Article 16.4 of the
Agreement--Brazil,'' WTO no. G/ADP/N/294/BRA (17-1149), dated
February 24, 2017; ``Committee on Anti-Dumping Practices, Semi-
Annual Report under Article 16.4 of the Agreement--Indonesia,'' WTO
no. G/ADP/N/294/IDN (17-1537), dated March 21, 2017; ``Committee on
Anti-Dumping Practices, Semi-Annual Report Under Article 16.4 of the
Agreement--Malaysia,'' WTO no. G/ADP/N/294/MYS (17-1375), dated
March 8, 2017; and ``Committee on Anti-Dumping Practices, Semi-
Annual Report Under Article 16.4 of the Agreement--South Africa,''
WTO no. G/ADP/N/294/ZAF (17-1440), dated March 13, 2017.
\6\ Id.
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To determine whether importers knew or should have known that
exporters were selling the subject merchandise at less than fair value
pursuant section 733(e)(1)(A)(ii) of the Act, we typically consider the
magnitude of dumping margins, including margins alleged in
petitions.\7\ Commerce has found margins of 15 percent or more (for
constructed export price) to 25 percent or more (for export price) to
be sufficient for this purpose.\8\ Dumping margins alleged in the three
AD petitions regarding the Critical Circumstances Allegations
significantly exceed the 15 to 25 percent threshold: 53.50 percent for
Indonesia,\9\ 101.41 percent for Korea,\10\ and 45 percent for
Taiwan.\11\ Because the margins alleged in the Petitions exceed the
threshold sufficient to impute that importers had knowledge that
exporters of PET resin from Indonesia, Korea, and Taiwan were selling
subject merchandise at less than fair value, we preliminarily determine
that importers knew or should have known that producers/exporters of
PET resin in all three countries subject to the Critical Circumstances
Allegations were selling subject merchandise to the United States at
less than fair value.
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\7\ See, e.g., Antidumping and Countervailing Duty
Investigations of Corrosion-Resistant Steel Products from India,
Italy, the People's Republic of China, the Republic of Korea, and
Taiwan: Preliminary Determinations of Critical Circumstances, 80 FR
68504 (November 5, 2015) (unchanged in the final determinations);
see also Notice of Preliminary Determinations of Critical
Circumstances: Certain Cold-Rolled Carbon Steel Flat Products from
Australia, the People's Republic of China, India, the Republic of
Korea, the Netherlands, and the Russian Federation, 67 FR 19157,
19158 (April 18, 2002) (unchanged in the final determination).
\8\ Id.; see also Preliminary Determination of Sales at Less
Than Fair Value: Certain Cut-to-Length Carbon Steel Plate from the
People's Republic of China, 62 FR 31972, 31978 (June 11, 1997)
(unchanged in the final determination) and Notice of Preliminary
Determination of Sales at Less Than Fair Value, Negative Preliminary
Determination of Critical Circumstances and Postponement of Final
Determination: Certain Frozen and Canned Warmwater Shrimp From the
Socialist Republic of Vietnam, 69 FR 42672 (July 16, 2004)
(unchanged in the final determination).
\9\ See Petitioners' Letter, ``Polyethylene Terephthalate
(``PET'') Resin from Brazil, Indonesia, the Republic of Korea,
Pakistan, and Taiwan--Petitioners' Amendment to Volume III Relating
to Indonesia Antidumping Duties,'' dated October 3, 2017 at 9.
\10\ See Petitioners' Letter, ``Polyethylene Terephthalate
(``PET'') Resin from Brazil, Indonesia, the Republic of Korea,
Pakistan, and Taiwan--Petitioners' Amendment to Volume IV Relating
to the Republic of Korea Antidumping Duties,'' dated October 3, 2017
at 10.
\11\ See Petitioners' Letter, ``Polyethylene Terephthalate
(``PET'') Resin from Brazil, Indonesia, the Republic of Korea,
Pakistan, and Taiwan--Petitioners' Amendment to Volume VI Relating
to Taiwan Antidumping Duties,'' dated October 3, 2017 at 7.
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To determine whether importers knew or should have known that there
was likely to be material injury caused by reason of such imports
pursuant section 733(e)(1)(A)(ii) of the Act, Commerce normally will
look to the preliminary injury determination of the International Trade
Commission (ITC).\12\ If the ITC finds a reasonable indication of
material injury to the relevant U.S. industry, material injury (as
opposed to the threat of injury), Commerce will determine that a
reasonable basis exists to impute importer knowledge that material
injury is likely by reason of such imports. In the subject AD
investigations, the ITC found that there is a ``reasonable indication''
of material injury to the domestic industry because of the imported
subject merchandise.\13\ Therefore, the ITC's preliminary injury
determination in these investigations is sufficient to impute importer
knowledge.
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\12\ See, e.g., Certain Potassium Phosphate Salts from the
People's Republic of China: Preliminary Affirmative Determination of
Critical Circumstances in the Antidumping Duty Investigation, 75 FR
24572, 24573 (May 5, 2010), unchanged in Certain Potassium Phosphate
Salts from the People's Republic of China: Final Determination of
Sales at Less Than Fair Value and Termination of Critical
Circumstances Inquiry, 75 FR 30377 (June 1, 2010).
\13\ See Polyethylene Terephthalate (PET) Resin from Brazil,
Indonesia, Korea, Pakistan, and Taiwan; Determinations, 82 FR 53523
(November 16, 2017).
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Massive Imports
Because the statutory criteria of section 733(e)(1)(A) of the Act
have been satisfied, we next examined whether imports of subject
merchandise from Indonesia, Korea, and Taiwan were ``massive'' over a
relatively short period, pursuant to section 733(e)(1)(B) of the Act
and 19 CFR 351.206(h). In making this determination, Commerce normally
compares the import volumes of the subject merchandise for at least
three months immediately preceding the filing of the petition (i.e.,
the ``base period'') to a comparable period of at least three months
following the filing of the petition (i.e., the ``comparison period'').
Imports will normally be considered massive when imports during the
comparison period have increased by 15 percent or more compared to
imports during the base period. It is Commerce's practice to base its
critical circumstances analysis on all available data, using base and
comparison periods of no less than three months.\14\ For these
preliminary determinations of critical circumstances, Commerce is
defining the base and comparison periods within the bounds of its
normal practice by extending the comparison period through January 2018
as shipment data is available on the record to do so. This is
consistent with our past practice.\15\
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\14\ See, e.g., Notice of Preliminary Determination of Sales at
Less Than Fair Value, Postponement of Final Determination, and
Affirmative Preliminary Determination of Critical Circumstances;
Certain Frozen Canned Warmwater Shrimp from India, 69 FR 47111,
47118-47119 (August 4, 2004), unchanged in Notice of Final
Determination of Sales at Less Than Fair Value and Negative
Determination of Critical Circumstances: Certain Frozen and Canned
Warmwater Shrimp from India, 69 FR 76916 (December 23, 2004); see
also Countervailing Duty Investigation of Certain New Pneumatic Off-
the-Road Tires from India: Final Affirmative Critical Circumstances
Determination, in Part, 82 FR 2946 (January 10, 2017) (OTR Tires
from India) and accompanying ``Issues and Decision Memorandum for
the Final Determination in the Countervailing Duty Investigation of
Certain New Pneumatic Off-the-Road Tires from India,'' at 39-41.
\15\ Id.
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Thus, in order to preliminarily determine whether there has been a
massive surge in imports for each cooperating mandatory respondent,
using shipment data submitted by the cooperating mandatory respondents,
and shipment data of subject merchandise compiled by the ITC, Commerce
compared the total volume of shipments from October 2017 through
January 2018 (i.e., all months for which shipment data was available)
with the preceding four-month period of June 2017 through September
2017.\16\ For ``all others,'' Commerce subtracted shipments reported by
the cooperating mandatory respondents from the ITC data. For non-
cooperating mandatory respondents (i.e., those mandatory respondents
that did not respond to our critical circumstances questionnaire or who
otherwise indicated their unwillingness to participate in the
investigations), we preliminarily determine, on the basis of adverse
facts available,\17\ that there has been a massive surge in imports.
Accordingly, based on our analysis of information on the record, we
preliminarily determine the following producers/exporters of subject
merchandise had an increase of 15 percent or more in imports of subject
merchandise during the comparison period when compared to the base
period, satisfying the massive surge criteria, pursuant to section
733(e)(1)(B) of the Act and 19 CFR 351.206(h).\18\
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\16\ These base and comparison periods satisfy the regulatory
provisions that the base period be at least three months long and
the base period have a comparable duration. Commerce gathered ITC
shipment data under the harmonized tariff schedule numbers,
3907.61.0000 and 3907.69.0000.
\17\ See section 776 of the Act.
\18\ See respective preliminary critical circumstances
calculation memoranda for each proceeding, dated concurrently with
this Federal Register notice.
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[[Page 17793]]
Indonesia (A-560-832): Indorama Polymers Public Co., Ltd.;
All Other Producers/Exporters
Korea (A-580-896): Lotte Chemical Corp. (REGD); TK
Chemical Corp.; All Other Producers/Exporters
Taiwan (A-583-862): Far Eastern New Century Corporation;
Far Eastern Textile Ltd.; Worldwide Polychem (HK), Ltd.; All Other
Producers/Exporters
In addition, based on record information, we also find that certain
producers/exporters did not experience an increase of 15 percent or
more in imports of subject merchandise during the comparison period
when compared to the base period. As such, the following producers/
exporters of subject merchandise did not have massive imports, as
defined by section 733(e)(1)(B) of the Act and 19 CFR 351.206(h).\19\
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\19\ Id.
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Indonesia (A-560-832): PT. Indo-Rama Synthetics Tbk.
Korea (A-580-896): SK Chemicals Co., Ltd.
Taiwan (A-583-862): Shinkong Synthetic Fibers Corporation
Finally, we note that in the AD investigation regarding imports of
subject merchandise from Korea, respondent company SKC Co., Ltd. (SKC)
submitted a certification, in lieu of a questionnaire response, that it
did not make shipments of subject merchandise to the United States
during the period of investigation, and there is no information on the
record to contradict this claim. As a result, we are not making a
critical circumstances determination with respect to SKC.\20\
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\20\ SKC is a distinct entity from mandatory respondent SK
Chemicals Co., Ltd. (SK Chemicals), which had shipments during the
period of investigation and which submitted a complete questionnaire
response. SK Chemicals submitted shipment data for purposes of our
critical circumstances determination, which has been analyzed for
these preliminary critical circumstances determinations. We have
reached a negative finding of critical circumstances for SK
Chemicals, as indicated above.
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Based on the criteria and findings discussed above, we
preliminarily determine that critical circumstances exist with respect
to imports of PET resin shipped by certain producers/exporters. Our
findings are summarized as follows:
----------------------------------------------------------------------------------------------------------------
Negative
preliminary
Country Case No. Affirmative preliminary critical critical
circumstances determination circumstances
determination
----------------------------------------------------------------------------------------------------------------
Indonesia....................... A-560-832 Indorama Polymers Public Co., PT. Indo-Rama
Ltd.; All Other Producers/ Synthetics Tbk.
Exporters.
Korea........................... A-580-896 Lotte Chemical Corp. (REGD); TK SK Chemicals Co.,
Chemical Corp.;. Ltd.
All Other Producers/Exporters.....
Taiwan.......................... A-583-862 Far Eastern New Century Shinkong Synthetic
Corporation; Far Eastern Textile Fibers
Ltd.; Worldwide Polychem (HK), Corporation.
Ltd.; All Other Producers/
Exporters.
----------------------------------------------------------------------------------------------------------------
Final Critical Circumstances Determinations
We will issue our final determinations concerning critical
circumstances when we issue our final less than fair value
determinations. All interested parties will have the opportunity to
address these preliminary determinations in case briefs to be submitted
after completion of the preliminary less than fair value
determinations.
ITC Notification
In accordance with sections 733(f) of the Act, Commerce will notify
the ITC of its preliminary determinations.
Suspension of Liquidation
In accordance with section 733(e)(2) of the Act, because we have
preliminarily found that critical circumstances exist with regard to
imports exported by certain producers and exporters, if we make an
affirmative preliminary determination that sales at less than fair
value have been made by these same producers/exporters at above de
minimis rates,\21\ we will instruct Customs and Border Protection (CBP)
to suspend liquidation of all entries of subject merchandise from these
producers/exporters that are entered, or withdrawn from warehouse, for
consumption on or after the date that is 90 days prior to the effective
date of ``provisional measures'' (e.g., the date of publication in the
Federal Register of the notice of an affirmative preliminary
determination of sales at less than fair value at above de minimis
rates). At such time, we will also instruct CBP to require a cash
deposit equal to the estimated preliminary dumping margins reflected in
the preliminary determination published in the Federal Register. The
suspension of liquidation will remain in effect until further notice.
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\21\ The preliminary determinations concerning the sales at less
than fair value investigations are currently scheduled for April 27,
2018.
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This notice is issued and published pursuant to sections 733(f) and
777(i)(1) of the Act and 19 CFR 351.206(c).
Dated: April 20, 2018.
James Maeder,
Associate Deputy Assistant Secretary for Antidumping and Countervailing
Duty Operations performing the duties of Deputy Assistant Secretary for
Antidumping and Countervailing Duty Operations.
[FR Doc. 2018-08692 Filed 4-23-18; 8:45 am]
BILLING CODE 3510-DS-P