Lemon Juice From Brazil and South Africa: Initiation of Less-Than-Fair-Value Investigations, 3768-3772 [2022-01411]

Download as PDF 3768 Federal Register / Vol. 87, No. 16 / Tuesday, January 25, 2022 / Notices Forest Products Inc. (Carter), that was subject to the CVD review. John Hoffner, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–3315. FOR FURTHER INFORMATION CONTACT: BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE [A–351–858, A–791–827] Correction In the Federal Register of January 10, 2022, in FR Doc. 2022–00212, on page 1116 in the second column, Commerce did not list a company named ‘‘Carter Forest Products Inc.’’ Background On April 8, 2020, Commerce indicated in the Federal Register that Carter Forest Products Inc. (Carter) was a firm subject to the CVD administrative review on certain softwood lumber products from Canada covering the period of review (POR) of January 1, 2019, through December 31, 2019.1 In the final results of the CVD administrative review covering the 2019 POR, Commerce inadvertently omitted Carter from Appendix II as being among the firms subject to the review that received the non-selected subsidy rate that Commerce applied to those firms not individually-examined.2 Additionally, Commerce also omitted Carter in the appendix to the notice of Amended Final Results as being among the firms subject to the review that received the non-selected subsidy rate that Commerce applied to those firms not individually examined.3 With the issuance of this notice of correction, we confirm that Carter is included among the firms subject to the non-selected rate in CVD administrative review covering calendar year 2019. Notification to Interested Parties This notice is issued and published in accordance with sections 751(a)(1) and 777(i) of the Tariff Act of 1930, as amended. khammond on DSKJM1Z7X2PROD with NOTICES [FR Doc. 2022–01361 Filed 1–24–22; 8:45 am] International Trade Administration SUPPLEMENTARY INFORMATION: 1 See Initiation of Antidumping and Countervailing Duty Administrative Reviews, 85 FR 19730, 19740 (April 8, 2020). 2 See Certain Softwood Lumber Products from Canada: Final Results of the Countervailing Duty Administrative Review, 2019, 86 FR 68467, 68470 (December 2, 2021) (Final Results). 3 See Certain Softwood Lumber Products from Canada: Notice of Amended Final Results of the Countervailing Duty Administrative Review, 2019, 87 FR 1114 (January 10, 2022) (Amended Final Results). VerDate Sep<11>2014 Dated: January 19, 2022. Ryan Majerus, Deputy Assistant Secretary for Policy and Negotiations. 17:19 Jan 24, 2022 Jkt 256001 Lemon Juice From Brazil and South Africa: Initiation of Less-Than-FairValue Investigations Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Applicable January 19, 2022. FOR FURTHER INFORMATION CONTACT: Dakota Potts (Brazil) or Ariela Garvett (South Africa); AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0223 and (202) 482–3609, respectively. SUPPLEMENTARY INFORMATION: AGENCY: The Petitions On December 30, 2021, the Department of Commerce (Commerce) received antidumping duty (AD) petitions concerning imports of lemon juice from Brazil and South Africa filed in proper form on behalf of Ventura Coastal, LLC (the petitioner), a domestic producer of lemon juice.1 On January 4 and 11, 2022, Commerce requested supplemental information pertaining to certain aspects of the Petitions in separate supplemental questionnaires.2 The petitioner filed responses to the supplemental questionnaires on January 6, 10, and 13, 2022.3 1 See Petitioner’s Letter, ‘‘Antidumping Duty Petition on Behalf of Ventura Coastal LLC: Lemon Juice from Brazil and South Africa,’’ dated December 30, 2021 (Petitions). 2 See Commerce’s Letters, ‘‘Petitions for the Imposition of Antidumping Duties on Imports of Lemon Juice from Brazil and South Africa: Supplemental Questions,’’ dated January 4, 2022 (General Issues Questionnaire); ‘‘Petition for the Imposition of Antidumping Duties on Imports of Lemon Juice from Brazil: Supplemental Questions,’’ dated January 4, 2022; ‘‘Petition for the Imposition of Antidumping Duties on Imports of Lemon Juice from South Africa: Supplemental Questions,’’ dated January 4, 2022; ‘‘Petition for the Imposition of Antidumping Duties on Imports of Lemon Juice from Brazil: Second Supplemental Questions,’’ dated January 11, 2022; and ‘‘Petition for the Imposition of Antidumping Duties on Imports of Lemon Juice from South Africa: Supplemental Questions,’’ dated January 11, 2022. 3 See Petitioner’s Letters, ‘‘Lemon Juice from Brazil and South Africa: Petitioner’s Response to PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 In accordance with section 732(b) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that imports of lemon juice from Brazil and South Africa are being, or are likely to be, sold in the United States at less than fair value (LTFV) within the meaning of section 731 of the Act, and that imports of such products are materially injuring, or threatening material injury to, the lemon juice industry in the United States. Consistent with section 732(b)(1) of the Act, the Petitions are accompanied by information reasonably available to the petitioner supporting its allegations. Commerce finds that the petitioner filed the Petitions on behalf of the domestic industry, because the petitioner is an interested party, as defined in section 771(9)(C) of the Act. Commerce also finds that the petitioner demonstrated sufficient industry support for the initiation of the requested LTFV investigations.4 Periods of Investigation Because the Petitions were filed on December 30, 2021, the period of investigation (POI) for these LTFV investigations is October 1, 2020, through September 30, 2021, pursuant to 19 CFR 351.204(b)(1).5 Scope of the Investigations The product covered by these investigations is lemon juice from Brazil and South Africa. For a full description of the scope of these investigations, see the appendix to this notice. Comments on the Scope of the Investigations On January 4, 10, and 12, 2022, Commerce requested further information and clarification from the petitioner regarding the proposed scope, to ensure that the scope language in the Petitions is an accurate reflection of the General Issues Questionnaire,’’ dated January 6, 2022 (General Issues Supplement); ‘‘Lemon Juice from Brazil: Petitioner’s Response to General Issues Questionnaire,’’ dated January 6, 2022 and ‘‘Lemon Juice from Brazil: Petitioner’s Response to Supplemental Questionnaire (Q5),’’ dated January 10, 2022 (collectively, First Brazil AD Supplement); ‘‘Lemon Juice from Brazil: Petitioner’s Response to Second Supplemental Questionnaire,’’ dated January 13, 2022 (Second Brazil AD Supplement); ‘‘Lemon Juice from Brazil {sic}: Petitioner’s Response to General Issues Questionnaire,’’ dated January 6, 2022 and ‘‘Lemon Juice from South Africa: Petitioner’s Response to Supplemental Questionnaire (Q11),’’ dated January 10, 2022 (collectively, First South Africa AD Supplement); and ‘‘Lemon Juice from South Africa: Petitioner’s Response to Second Supplemental Questionnaire,’’ dated January 13, 2022 (Second South Africa AD Supplement). 4 See infra, section titled ‘‘Determination of Industry Support for the Petitions.’’ 5 See 19 CFR 351.204(b)(1). E:\FR\FM\25JAN1.SGM 25JAN1 Federal Register / Vol. 87, No. 16 / Tuesday, January 25, 2022 / Notices khammond on DSKJM1Z7X2PROD with NOTICES product for which the domestic industry is seeking relief.6 On January 6, 11, and 13, 2022, the petitioner revised the scope.7 The description of the merchandise covered by these investigations, as described in the appendix to this notice, reflects these clarifications.8 As discussed in the Preamble to Commerce’s regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (i.e., scope).9 Commerce will consider all comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determinations. If scope comments include factual information,10 all such factual information should be limited to public information. To facilitate preparation of its questionnaires, Commerce requests that all interested parties submit such comments by 5:00 p.m. Eastern Time (ET) on February 8, 2022, which is 20 calendar days from the signature date of this notice. Any rebuttal comments, which may include factual information, must be filed by 5:00 p.m. ET on February 18, 2022, which is ten calendar days from the initial comment deadline. Commerce requests that any factual information that parties consider relevant to the scope of these investigations be submitted during this period. However, if a party subsequently finds that additional factual information pertaining to the scope of these investigations may be relevant, the party may contact Commerce and request permission to submit the additional information. All such submissions must be filed on the records of each of the concurrent investigations. 6 See General Issues Questionnaire; see also Memoranda, ‘‘Phone Call with Counsel to the Petitioner,’’ dated January 10, 2022; and ‘‘Phone Call with Counsel to the Petitioner’’ dated January 12, 2022. 7 See General Issues Supplement at Exhibit SI–15; see also Petitioner’s Letter, ‘‘Lemon Juice from Brazil and South Africa: Petitioner’s Response to Scope Issues Raised in 1/10/22 Phone Call with Counsel,’’ dated January 11, 2022 at Exhibit 2SI–15; Second Brazil AD Supplement at 1 and Exhibit 3SI– 15; and Second South Africa AD Supplement at 1 and Exhibit 3SI–15. 8 We note that the third paragraph of the scope of these investigations references certain lemon juice that is blended with certain lemon juice from sources not subject to these investigations. While Commerce has adopted this scope language for the purposes of initiation, we invite parties to these proceedings to comment on this scope language. In particular, we invite parties to focus on administrability and circumvention concerns. 9 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997) (Preamble). 10 See 19 CFR 351.102(b)(21) (defining ‘‘factual information’’). VerDate Sep<11>2014 17:19 Jan 24, 2022 Jkt 256001 3769 Filing Requirements All submissions to Commerce must be filed electronically via Enforcement and Compliance’s Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), unless an exception applies.11 An electronically filed document must be received successfully in its entirety by the time and date on which it is due. 2022, which is 20 calendar days from the signature date of this notice. Any rebuttal comments must be filed by 5:00 p.m. ET on February 18, 2022, which is ten calendar days from the initial comment deadline. All comments and submissions to Commerce must be filed electronically using ACCESS, as explained above, on the record of each of the LTFV investigations. Comments on Product Characteristics Commerce is providing interested parties an opportunity to comment on the appropriate physical characteristics of lemon juice to be reported in response to Commerce’s AD questionnaires. This information will be used to identify the key physical characteristics of the subject merchandise in order to report the relevant costs of production accurately, as well as to develop appropriate product-comparison criteria. Interested parties may provide any information or comments that they feel are relevant to the development of an accurate list of physical characteristics. Specifically, they may provide comments as to which characteristics are appropriate to use as: (1) General product characteristics; and (2) product comparison criteria. We note that it is not always appropriate to use all product characteristics as product comparison criteria. We base product comparison criteria on meaningful commercial differences among products. In other words, although there may be some physical product characteristics utilized by manufacturers to describe lemon juice, it may be that only a select few product characteristics take into account commercially meaningful physical characteristics. In addition, interested parties may comment on the order in which the physical characteristics should be used in matching products. Generally, Commerce attempts to list the most important physical characteristics first and the least important characteristics last. In order to consider the suggestions of interested parties in developing and issuing the AD questionnaires, all product characteristics comments must be filed by 5:00 p.m. ET on February 8, Determination of Industry Support for the Petitions Section 732(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 732(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) At least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, Commerce shall: (i) Poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support using a statistically valid sampling method to poll the ‘‘industry.’’ Section 771(4)(A) of the Act defines the ‘‘industry’’ as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs Commerce to look to producers and workers who produce the domestic like product. The International Trade Commission (ITC), which is responsible for determining whether ‘‘the domestic industry’’ has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both Commerce and the ITC must apply the same statutory definition regarding the domestic like product,12 they do so for different purposes and pursuant to a separate and distinct authority. In addition, Commerce’s determination is subject to limitations of time and information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law.13 11 See Antidumping and Countervailing Duty Proceedings: Electronic Filing Procedures; Administrative Protective Order Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and Compliance; Change of Electronic Filing System Name, 79 FR 69046 (November 20, 2014) for details of Commerce’s electronic filing requirements, effective August 5, 2011. Information on help using ACCESS can be found at https://access.trade.gov/ help.aspx and a handbook can be found at https:// access.trade.gov/help/Handbook_on_Electronic_ Filing_Procedures.pdf. PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 12 See section 771(10) of the Act. USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 2001) (citing Algoma Steel Corp., Ltd. 13 See E:\FR\FM\25JAN1.SGM Continued 25JAN1 3770 Federal Register / Vol. 87, No. 16 / Tuesday, January 25, 2022 / Notices khammond on DSKJM1Z7X2PROD with NOTICES Section 771(10) of the Act defines the domestic like product as ‘‘a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.’’ Thus, the reference point from which the domestic like product analysis begins is ‘‘the article subject to an investigation’’ (i.e., the class or kind of merchandise to be investigated, which normally will be the scope as defined in the petition). With regard to the domestic like product, the petitioner does not offer a definition of the domestic like product distinct from the scope of the investigations.14 Based on our analysis of the information submitted on the record, we have determined that lemon juice, as defined in the scope, constitutes a single domestic like product, and we have analyzed industry support in terms of that domestic like product.15 In determining whether the petitioner has standing under section 732(c)(4)(A) of the Act, we considered the industry support data contained in the Petitions with reference to the domestic like product as defined in the ‘‘Scope of the Investigations,’’ in the appendix to this notice. To establish industry support, the petitioner provided the total volume of lemons that it processed during the most recently completed lemon marketing season (August 1, 2020—July 31, 2021).16 The petitioner also provided the total volume of lemons processed in the United States during the 2020–21 lemon marketing season, as reported by the U.S. Department of Agriculture’s National Agricultural Statistics Service (USDA NASS) in its September 2021 Citrus Fruits: 2021 Summary.17 The petitioner then compared its own volume of lemons processed to the total volume of lemons processed as reported by USDA NASS for the 2020–21 lemon marketing season.18 We relied on data provided by v. United States, 688 F. Supp. 639, 644 (CIT 1988), aff’d 865 F. 2d 240 (Fed. Cir. 1989)). 14 See Petitions at Volume I at 22–27 and Exhibits I–4 and I–5. 15 For a discussion of the domestic like product analysis as applied to these cases and information regarding industry support, see Country-Specific AD Checklists, ‘‘Antidumping Duty Investigation Initiation Checklists: Lemon Juice from Brazil and South Africa,’’ dated concurrently with this Federal Register notice and on file electronically via ACCESS (Country-Specific AD Initiation Checklists) at Attachment II, Analysis of Industry Support for the Antidumping Duty Petitions Covering Lemon Juice from Brazil and South Africa (Attachment II). 16 See Petitions at Volume I at 3–4 and Exhibits I–1 and I–3; see also General Issues Supplement at 4–5 and Exhibit SI–1. 17 See Petitions at Volume I at 4 and Exhibit I–2. 18 See Petitions at Volume I at 3–4 and Exhibit I–3; see also General Issues Supplement at 4. VerDate Sep<11>2014 17:19 Jan 24, 2022 Jkt 256001 the petitioner for purposes of measuring industry support.19 Our review of the data provided in the Petitions, the General Issues Supplement, and other information readily available to Commerce indicates that the petitioner has established industry support for the Petitions. First, the Petitions established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (e.g., polling). Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 732(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petitions account for at least 25 percent of the total production of the domestic like product. Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 732(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petitions account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petitions. Accordingly, Commerce determines that the Petitions were filed on behalf of the domestic industry within the meaning of section 732(b)(1) of the Act. Allegations and Evidence of Material Injury and Causation The petitioner alleges that the U.S. industry producing the domestic like product is being materially injured, or is threatened with material injury, by reason of the imports of the subject merchandise sold at LTFV. In addition, the petitioner alleges that subject imports exceed the negligibility threshold provided for under section 771(24)(A) of the Act.20 The petitioner contends that the industry’s injured condition is illustrated by an absolute and relative increase in the volume of subject imports; increasing market share of subject imports at the expense of the domestic industry; price reductions and decline in the unit value of domestic shipments; decreased profitability; declining sales; decreased capacity utilization; and the magnitude of the 19 See Petitions at Volume I at 3–5 and Exhibits I–1 through I–3; see also General Issues Supplement at 4–5 and Exhibit SI–1. 20 See Petitions at Volume I at 17, 29–30 and Exhibit I–10. PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 alleged dumping margins.21 We assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.22 Allegations of Sales at LTFV The following is a description of the allegations of sales at LTFV upon which Commerce based its decision to initiate these LTFV investigations of imports of lemon juice from Brazil and South Africa. The sources of data for the deductions and adjustments relating to U.S. price and normal value (NV) are discussed in greater detail in the country-specific AD initiation checklists. U.S. Price For Brazil and South Africa, the petitioner established U.S. price on the average unit value of publicly available import data. The petitioner deducted expenses associated with inland freight incurred in Brazil and South Africa to calculate an ex-factory, or net, U.S. price.23 Normal Value Based on Constructed Value 24 For Brazil and South Africa, the petitioner stated it was unable to obtain home-market or third-country prices for lemon juice to use as a basis for NV. Therefore, for Brazil and South Africa, the petitioner calculated NV based on constructed value (CV).25 Pursuant to section 773(e) of the Act, the petitioner calculated CV as the sum of the cost of manufacturing, selling, general, and administrative expenses, financial expenses, and profit.26 For Brazil and South Africa, in calculating the cost of manufacturing, the petitioner relied on its own production experience and input consumption rates, valued using publicly available information applicable to each respective subject 21 See Petitions at Volume I at 17, 28–37, Exhibits I–4, I–5, I–9, I–10, I–12 through I–14; see also General Issues Supplement at 5. 22 See Country-Specific AD Initiation Checklists at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping Duty Petitions Covering Lemon Juice from Brazil and South Africa (Attachment III). 23 See Country-Specific AD Initiation Checklists. 24 In accordance with section 773(b)(2) of the Act, for these investigations, Commerce will request information necessary to calculate the CV and cost of production (COP) to determine whether there are reasonable grounds to believe or suspect that sales of the foreign like product have been made at prices that represent less than the COP of the product. 25 See Country-Specific AD Initiation Checklists. 26 Id. E:\FR\FM\25JAN1.SGM 25JAN1 Federal Register / Vol. 87, No. 16 / Tuesday, January 25, 2022 / Notices country.27 For Brazil and South Africa, in calculating selling, general, and administrative expenses, financial expenses, and profit ratios (where applicable), the petitioner relied on the 2020 financial statements of a producer of lemon juice in Brazil, and the 2020– 2021 financial statements of a diversified food and beverage company that produces products incorporating lemon juice in South Africa.28 Fair Value Comparisons Based on the data provided by the petitioner, there is reason to believe that imports of lemon juice from Brazil and South Africa are being, or are likely to be, sold in the United States at LTFV. Based on comparisons of U.S. price to CV in accordance with section 773 of the Act, the estimated dumping margins for lemon juice concerning each of the countries covered by this initiation are as follows: (1) Brazil—222.16 percent; and (2) South Africa—97.15 percent.29 Initiation of LTFV Investigations Based upon the examination of the Petitions and supplemental responses, we find that they meet the requirements of section 732 of the Act. Therefore, we are initiating these LTFV investigations to determine whether imports of lemon juice from Brazil and South Africa are being, or are likely to be, sold in the United States at LTFV. In accordance with section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determinations no later than 140 days after the date of this initiation. Respondent Selection In the Petitions, the petitioner identified two companies in Brazil and five companies in South Africa as producers and/or exporters of lemon juice.30 With respect to Brazil 31 and South Africa, following standard practice in LTFV investigations involving market economy countries, in the event that Commerce determines that the number of exporters or producers in any individual case is large 27 Id. 28 Id. 29 Id. khammond on DSKJM1Z7X2PROD with NOTICES 30 See Petitions at Volume I at 16 and Exhibit I– 8; see also General Issues Supplement at 1. 31 The petitioner states that it relied on its own market knowledge, company data from Descartes Datamyne, and internet research to identify producers and/or exporters of lemon juice in Brazil. See Petitions at Volume I at 16 n.39. The Petitions do not include supporting information from independent, third-party sources to support the petitioner’s identification of the two Brazilian companies as the only known producers and/or exporters of lemon juice in Brazil. Accordingly, we intend to use CBP data to select mandatory respondents in the Brazil investigation. VerDate Sep<11>2014 17:19 Jan 24, 2022 Jkt 256001 such that Commerce cannot individually examine each company based upon its resources, where appropriate, Commerce intends to select mandatory respondents in that case based on U.S. Customs and Border Protection (CBP) data for U.S. imports under the appropriate Harmonized Tariff Schedule of the United States subheadings listed in the ‘‘Scope of the Investigations,’’ in the appendix. On January 11 and 12, 2022, Commerce released CBP data on imports of lemon juice from South Africa and Brazil, respectively, under administrative protective order (APO) to all parties with access to information protected by APO and indicated that interested parties wishing to comment on the CBP data must do so within three business days after the publication date of the notice of initiation of these investigations.32 Commerce will not accept rebuttal comments regarding the CBP data or respondent selection. Comments on CBP data and respondent selection must be filed electronically using ACCESS. An electronically filed document must be received successfully in its entirety via ACCESS by 5:00 p.m. ET on the specified deadline. Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305(b). Instructions for filing such applications may be found on Commerce’s website at https:// enforcement.trade.gov/apo. Distribution of Copies of the Petitions In accordance with section 732(b)(3)(A) of the Act and 19 CFR 351.202(f), copies of the public version of the Petitions have been provided to the governments of Brazil and South Africa via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petitions to each exporter named in the Petitions, as provided under 19 CFR 351.203(c)(2). ITC Notification We will notify the ITC of our initiation, as required by section 732(d) of the Act. Preliminary Determinations by the ITC The ITC will preliminarily determine, within 45 days after the date on which the Petitions were filed, whether there is a reasonable indication that imports 32 See Memoranda, ‘‘Antidumping Duty Petition on Imports of Lemon Juice from South Africa: Release of U.S. Customs and Border Protection Data,’’ dated January 11, 2022; and ‘‘Antidumping Duty Petition on Imports of Lemon Juice from Brazil: Release of U.S. Customs and Border Protection Data,’’ dated January 12, 2022. PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 3771 of lemon juice from Brazil and/or South Africa are materially injuring, or threatening material injury to, a U.S. industry.33 A negative ITC determination for any country will result in the investigation being terminated with respect to that country.34 Otherwise, these LTFV investigations will proceed according to statutory and regulatory time limits. Submission of Factual Information Factual information is defined in 19 CFR 351.102(b)(21) as: (i) Evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) evidence other than factual information described in (i)–(iv). Section 351.301(b) of Commerce’s regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted 35 and, if the information is submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct.36 Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to submitting factual information in these investigations. Particular Market Situation Allegation Section 773(e) of the Act addresses the concept of particular market situation (PMS) for purposes of CV, stating that ‘‘if a particular market situation exists such that the cost of materials and fabrication or other processing of any kind does not accurately reflect the cost of production in the ordinary course of trade, the administering authority may use another calculation methodology under this subtitle or any other calculation methodology.’’ When an interested party submits a PMS allegation pursuant to section 773(e) of the Act, Commerce will respond to such a submission consistent with 19 CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists 33 See section 733(a) of the Act. 34 Id. 35 See 36 See E:\FR\FM\25JAN1.SGM 19 CFR 351.301(b). 19 CFR 351.301(b)(2). 25JAN1 3772 Federal Register / Vol. 87, No. 16 / Tuesday, January 25, 2022 / Notices under section 773(e) of the Act, then it will modify its dumping calculations appropriately. Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v), set a deadline for the submission of PMS allegations and supporting factual information. However, in order to administer section 773(e) of the Act, Commerce must receive PMS allegations and supporting factual information with enough time to consider the submission. Thus, should an interested party wish to submit a PMS allegation and supporting new factual information pursuant to section 773(e) of the Act, it must do so no later than 20 days after submission of a respondent’s initial section D questionnaire response. khammond on DSKJM1Z7X2PROD with NOTICES Extensions of Time Limits Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by Commerce. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301. For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, we may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in a letter or memorandum of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, stand-alone submission; under limited circumstances we will grant untimelyfiled requests for the extension of time limits. Parties should review Commerce’s regulations concerning factual information prior to submitting factual information in these investigations.37 Certification Requirements Any party submitting factual information in an AD or countervailing duty (CVD) proceeding must certify to the accuracy and completeness of that information.38 Parties must use the certification formats provided in 19 CFR 351.303(g).39 Commerce intends to 37 See 19 CFR 351.301; see also Extension of Time Limits; Final Rule, 78 FR 57790 (September 20, 2013), available at https://www.gpo.gov/fdsys/pkg/ FR-2013-09-20/html/2013-22853.htm. 38 See section 782(b) of the Act. 39 See Certification of Factual Information to Import Administration During Antidumping and VerDate Sep<11>2014 17:19 Jan 24, 2022 Jkt 256001 reject factual submissions if the submitting party does not comply with the applicable certification requirements. Notification to Interested Parties Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. Parties wishing to participate in these investigations should ensure that they meet the requirements of 19 CFR 351.103(d) (e.g., by the filing a letter of appearance as discussed). Note that Commerce has temporarily modified certain of its requirements for serving documents containing business proprietary information, until further notice.40 This notice is issued and published pursuant to sections 732(c)(2) and 777(i) of the Act, and 19 CFR 351.203(c). Dated: January 19, 2022. Lisa W. Wang, Assistant Secretary for Enforcement and Compliance. Appendix Scope of the Investigations The product covered by these investigations is certain lemon juice. Lemon juice is covered: (1) With or without addition of preservatives, sugar, or other sweeteners; (2) regardless of the GPL (grams per liter of citric acid) level of concentration, brix level, brix/acid ratio, pulp content, clarity; (3) regardless of the grade, horticulture method (e.g., organic or not), processed form (e.g., frozen or not-from-concentrate), the size of the container in which packed, or the method of packing; and (4) regardless of the U.S. Department of Agriculture Food and Drug Administration (FDA) standard of identity (as defined under 19 CFR 146.114 et seq.) (i.e., whether or not the lemon juice meets an FDA standard of identity). Excluded from the scope are: (1) Lemon juice at any level of concentration packed in retail-sized containers ready for sale to consumers; and (2) beverage products, such as lemonade, that contain 20 percent or less lemon juice as an ingredient by actual volume. ‘‘Retail-sized containers’’ are defined as lemon juice products sold in ready-for-sale packaging (e.g., clearly visible branding, nutritional facts listed, etc.) containing up to 128 ounces of lemon juice by actual volume. The scope also includes certain lemon juice that is blended with certain lemon juice from sources not subject to these investigations. Only the subject lemon juice component of such blended merchandise is covered by the scope of these investigations. Blended lemon juice is defined as certain Countervailing Duty Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to frequently asked questions regarding the Final Rule are available at https://enforcement.trade.gov/tlei/notices/factual_ info_final_rule_FAQ_07172013.pdf. 40 See Temporary Rule Modifying AD/CVD Service Requirements Due to COVID–19; Extension of Effective Period, 85 FR 41363 (July 10, 2020). PO 00000 Frm 00019 Fmt 4703 Sfmt 4703 lemon juice with two distinct component parts of differing country(s) of origin mixed together to form certain lemon juice where the component parts are no longer individually distinguishable. The product subject to these investigations is currently classifiable under subheadings 2009.31.4000, 2009.31.6020, 2009.31.6040, 2009.39.6020, and 2009.39.6040 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of these investigations is dispositive. [FR Doc. 2022–01411 Filed 1–24–22; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–533–899] Granular Polytetrafluoroethylene Resin From India: Final Determination of Sales at Less Than Fair Value and Final Affirmative Determination of Critical Circumstances Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) determines that imports of granular polytetrafluoroethylene (PTFE) resin from India are being, or are likely to be, sold in the United States at less than fair value (LTFV). DATES: Applicable January 25, 2022. FOR FURTHER INFORMATION CONTACT: Alexis Cherry or Katherine Johnson, AD/CVD Operations, Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0607 or (202) 482–4929, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background On September 2, 2021, Commerce published its preliminary determination in the LTFV investigation of granular PTFE resin from India, in which we also postponed the final determination until January 18, 2022.1 For a complete description of the events that followed the Preliminary Determination, see the Issues and Decision Memorandum.2 The 1 See Granular Polytetrafluoroethylene Resin from India: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Preliminary Affirmative Determination of Critical Circumstances, Postponement of Final Determination, and Extension of Provisional Measures, 86 FR 49299 (September 2, 2021) (Preliminary Determination), and accompanying Preliminary Decision Memorandum. 2 See Memorandum, ‘‘Issues and Decision Memorandum for the Final Affirmative E:\FR\FM\25JAN1.SGM 25JAN1

Agencies

[Federal Register Volume 87, Number 16 (Tuesday, January 25, 2022)]
[Notices]
[Pages 3768-3772]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-01411]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-351-858, A-791-827]


Lemon Juice From Brazil and South Africa: Initiation of Less-
Than-Fair-Value Investigations

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

DATES: Applicable January 19, 2022.

FOR FURTHER INFORMATION CONTACT: Dakota Potts (Brazil) or Ariela 
Garvett (South Africa); AD/CVD Operations, Office IV, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: 
(202) 482-0223 and (202) 482-3609, respectively.

SUPPLEMENTARY INFORMATION:

The Petitions

    On December 30, 2021, the Department of Commerce (Commerce) 
received antidumping duty (AD) petitions concerning imports of lemon 
juice from Brazil and South Africa filed in proper form on behalf of 
Ventura Coastal, LLC (the petitioner), a domestic producer of lemon 
juice.\1\
---------------------------------------------------------------------------

    \1\ See Petitioner's Letter, ``Antidumping Duty Petition on 
Behalf of Ventura Coastal LLC: Lemon Juice from Brazil and South 
Africa,'' dated December 30, 2021 (Petitions).
---------------------------------------------------------------------------

    On January 4 and 11, 2022, Commerce requested supplemental 
information pertaining to certain aspects of the Petitions in separate 
supplemental questionnaires.\2\ The petitioner filed responses to the 
supplemental questionnaires on January 6, 10, and 13, 2022.\3\
---------------------------------------------------------------------------

    \2\ See Commerce's Letters, ``Petitions for the Imposition of 
Antidumping Duties on Imports of Lemon Juice from Brazil and South 
Africa: Supplemental Questions,'' dated January 4, 2022 (General 
Issues Questionnaire); ``Petition for the Imposition of Antidumping 
Duties on Imports of Lemon Juice from Brazil: Supplemental 
Questions,'' dated January 4, 2022; ``Petition for the Imposition of 
Antidumping Duties on Imports of Lemon Juice from South Africa: 
Supplemental Questions,'' dated January 4, 2022; ``Petition for the 
Imposition of Antidumping Duties on Imports of Lemon Juice from 
Brazil: Second Supplemental Questions,'' dated January 11, 2022; and 
``Petition for the Imposition of Antidumping Duties on Imports of 
Lemon Juice from South Africa: Supplemental Questions,'' dated 
January 11, 2022.
    \3\ See Petitioner's Letters, ``Lemon Juice from Brazil and 
South Africa: Petitioner's Response to General Issues 
Questionnaire,'' dated January 6, 2022 (General Issues Supplement); 
``Lemon Juice from Brazil: Petitioner's Response to General Issues 
Questionnaire,'' dated January 6, 2022 and ``Lemon Juice from 
Brazil: Petitioner's Response to Supplemental Questionnaire (Q5),'' 
dated January 10, 2022 (collectively, First Brazil AD Supplement); 
``Lemon Juice from Brazil: Petitioner's Response to Second 
Supplemental Questionnaire,'' dated January 13, 2022 (Second Brazil 
AD Supplement); ``Lemon Juice from Brazil {sic{time} : Petitioner's 
Response to General Issues Questionnaire,'' dated January 6, 2022 
and ``Lemon Juice from South Africa: Petitioner's Response to 
Supplemental Questionnaire (Q11),'' dated January 10, 2022 
(collectively, First South Africa AD Supplement); and ``Lemon Juice 
from South Africa: Petitioner's Response to Second Supplemental 
Questionnaire,'' dated January 13, 2022 (Second South Africa AD 
Supplement).
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    In accordance with section 732(b) of the Tariff Act of 1930, as 
amended (the Act), the petitioner alleges that imports of lemon juice 
from Brazil and South Africa are being, or are likely to be, sold in 
the United States at less than fair value (LTFV) within the meaning of 
section 731 of the Act, and that imports of such products are 
materially injuring, or threatening material injury to, the lemon juice 
industry in the United States. Consistent with section 732(b)(1) of the 
Act, the Petitions are accompanied by information reasonably available 
to the petitioner supporting its allegations.
    Commerce finds that the petitioner filed the Petitions on behalf of 
the domestic industry, because the petitioner is an interested party, 
as defined in section 771(9)(C) of the Act. Commerce also finds that 
the petitioner demonstrated sufficient industry support for the 
initiation of the requested LTFV investigations.\4\
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    \4\ See infra, section titled ``Determination of Industry 
Support for the Petitions.''
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Periods of Investigation

    Because the Petitions were filed on December 30, 2021, the period 
of investigation (POI) for these LTFV investigations is October 1, 
2020, through September 30, 2021, pursuant to 19 CFR 351.204(b)(1).\5\
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    \5\ See 19 CFR 351.204(b)(1).
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Scope of the Investigations

    The product covered by these investigations is lemon juice from 
Brazil and South Africa. For a full description of the scope of these 
investigations, see the appendix to this notice.

Comments on the Scope of the Investigations

    On January 4, 10, and 12, 2022, Commerce requested further 
information and clarification from the petitioner regarding the 
proposed scope, to ensure that the scope language in the Petitions is 
an accurate reflection of the

[[Page 3769]]

product for which the domestic industry is seeking relief.\6\ On 
January 6, 11, and 13, 2022, the petitioner revised the scope.\7\ The 
description of the merchandise covered by these investigations, as 
described in the appendix to this notice, reflects these 
clarifications.\8\
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    \6\ See General Issues Questionnaire; see also Memoranda, 
``Phone Call with Counsel to the Petitioner,'' dated January 10, 
2022; and ``Phone Call with Counsel to the Petitioner'' dated 
January 12, 2022.
    \7\ See General Issues Supplement at Exhibit SI-15; see also 
Petitioner's Letter, ``Lemon Juice from Brazil and South Africa: 
Petitioner's Response to Scope Issues Raised in 1/10/22 Phone Call 
with Counsel,'' dated January 11, 2022 at Exhibit 2SI-15; Second 
Brazil AD Supplement at 1 and Exhibit 3SI-15; and Second South 
Africa AD Supplement at 1 and Exhibit 3SI-15.
    \8\ We note that the third paragraph of the scope of these 
investigations references certain lemon juice that is blended with 
certain lemon juice from sources not subject to these 
investigations. While Commerce has adopted this scope language for 
the purposes of initiation, we invite parties to these proceedings 
to comment on this scope language. In particular, we invite parties 
to focus on administrability and circumvention concerns.
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    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (i.e., scope).\9\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determinations. If scope comments include factual information,\10\ all 
such factual information should be limited to public information. To 
facilitate preparation of its questionnaires, Commerce requests that 
all interested parties submit such comments by 5:00 p.m. Eastern Time 
(ET) on February 8, 2022, which is 20 calendar days from the signature 
date of this notice. Any rebuttal comments, which may include factual 
information, must be filed by 5:00 p.m. ET on February 18, 2022, which 
is ten calendar days from the initial comment deadline.
---------------------------------------------------------------------------

    \9\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \10\ See 19 CFR 351.102(b)(21) (defining ``factual 
information'').
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    Commerce requests that any factual information that parties 
consider relevant to the scope of these investigations be submitted 
during this period. However, if a party subsequently finds that 
additional factual information pertaining to the scope of these 
investigations may be relevant, the party may contact Commerce and 
request permission to submit the additional information. All such 
submissions must be filed on the records of each of the concurrent 
investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically via 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS), unless an exception 
applies.\11\ An electronically filed document must be received 
successfully in its entirety by the time and date on which it is due.
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    \11\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of Commerce's electronic filing 
requirements, effective August 5, 2011. Information on help using 
ACCESS can be found at https://access.trade.gov/help.aspx and a 
handbook can be found at https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf.
---------------------------------------------------------------------------

Comments on Product Characteristics

    Commerce is providing interested parties an opportunity to comment 
on the appropriate physical characteristics of lemon juice to be 
reported in response to Commerce's AD questionnaires. This information 
will be used to identify the key physical characteristics of the 
subject merchandise in order to report the relevant costs of production 
accurately, as well as to develop appropriate product-comparison 
criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate list of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as: (1) General product 
characteristics; and (2) product comparison criteria. We note that it 
is not always appropriate to use all product characteristics as product 
comparison criteria. We base product comparison criteria on meaningful 
commercial differences among products. In other words, although there 
may be some physical product characteristics utilized by manufacturers 
to describe lemon juice, it may be that only a select few product 
characteristics take into account commercially meaningful physical 
characteristics. In addition, interested parties may comment on the 
order in which the physical characteristics should be used in matching 
products. Generally, Commerce attempts to list the most important 
physical characteristics first and the least important characteristics 
last.
    In order to consider the suggestions of interested parties in 
developing and issuing the AD questionnaires, all product 
characteristics comments must be filed by 5:00 p.m. ET on February 8, 
2022, which is 20 calendar days from the signature date of this notice. 
Any rebuttal comments must be filed by 5:00 p.m. ET on February 18, 
2022, which is ten calendar days from the initial comment deadline. All 
comments and submissions to Commerce must be filed electronically using 
ACCESS, as explained above, on the record of each of the LTFV 
investigations.

Determination of Industry Support for the Petitions

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce shall: (i) 
Poll the industry or rely on other information in order to determine if 
there is support for the petition, as required by subparagraph (A); or 
(ii) determine industry support using a statistically valid sampling 
method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs Commerce to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\12\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce's determination 
is subject to limitations of time and information. Although this may 
result in different definitions of the like product, such differences 
do not render the decision of either agency contrary to law.\13\
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    \12\ See section 771(10) of the Act.
    \13\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F. 2d 240 (Fed. Cir. 1989)).

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[[Page 3770]]

    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
petition).
    With regard to the domestic like product, the petitioner does not 
offer a definition of the domestic like product distinct from the scope 
of the investigations.\14\ Based on our analysis of the information 
submitted on the record, we have determined that lemon juice, as 
defined in the scope, constitutes a single domestic like product, and 
we have analyzed industry support in terms of that domestic like 
product.\15\
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    \14\ See Petitions at Volume I at 22-27 and Exhibits I-4 and I-
5.
    \15\ For a discussion of the domestic like product analysis as 
applied to these cases and information regarding industry support, 
see Country-Specific AD Checklists, ``Antidumping Duty Investigation 
Initiation Checklists: Lemon Juice from Brazil and South Africa,'' 
dated concurrently with this Federal Register notice and on file 
electronically via ACCESS (Country-Specific AD Initiation 
Checklists) at Attachment II, Analysis of Industry Support for the 
Antidumping Duty Petitions Covering Lemon Juice from Brazil and 
South Africa (Attachment II).
---------------------------------------------------------------------------

    In determining whether the petitioner has standing under section 
732(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petitions with reference to the domestic like product 
as defined in the ``Scope of the Investigations,'' in the appendix to 
this notice. To establish industry support, the petitioner provided the 
total volume of lemons that it processed during the most recently 
completed lemon marketing season (August 1, 2020--July 31, 2021).\16\ 
The petitioner also provided the total volume of lemons processed in 
the United States during the 2020-21 lemon marketing season, as 
reported by the U.S. Department of Agriculture's National Agricultural 
Statistics Service (USDA NASS) in its September 2021 Citrus Fruits: 
2021 Summary.\17\ The petitioner then compared its own volume of lemons 
processed to the total volume of lemons processed as reported by USDA 
NASS for the 2020-21 lemon marketing season.\18\ We relied on data 
provided by the petitioner for purposes of measuring industry 
support.\19\
---------------------------------------------------------------------------

    \16\ See Petitions at Volume I at 3-4 and Exhibits I-1 and I-3; 
see also General Issues Supplement at 4-5 and Exhibit SI-1.
    \17\ See Petitions at Volume I at 4 and Exhibit I-2.
    \18\ See Petitions at Volume I at 3-4 and Exhibit I-3; see also 
General Issues Supplement at 4.
    \19\ See Petitions at Volume I at 3-5 and Exhibits I-1 through 
I-3; see also General Issues Supplement at 4-5 and Exhibit SI-1.
---------------------------------------------------------------------------

    Our review of the data provided in the Petitions, the General 
Issues Supplement, and other information readily available to Commerce 
indicates that the petitioner has established industry support for the 
Petitions. First, the Petitions established support from domestic 
producers (or workers) accounting for more than 50 percent of the total 
production of the domestic like product and, as such, Commerce is not 
required to take further action in order to evaluate industry support 
(e.g., polling). Second, the domestic producers (or workers) have met 
the statutory criteria for industry support under section 
732(c)(4)(A)(i) of the Act because the domestic producers (or workers) 
who support the Petitions account for at least 25 percent of the total 
production of the domestic like product. Finally, the domestic 
producers (or workers) have met the statutory criteria for industry 
support under section 732(c)(4)(A)(ii) of the Act because the domestic 
producers (or workers) who support the Petitions account for more than 
50 percent of the production of the domestic like product produced by 
that portion of the industry expressing support for, or opposition to, 
the Petitions. Accordingly, Commerce determines that the Petitions were 
filed on behalf of the domestic industry within the meaning of section 
732(b)(1) of the Act.

Allegations and Evidence of Material Injury and Causation

    The petitioner alleges that the U.S. industry producing the 
domestic like product is being materially injured, or is threatened 
with material injury, by reason of the imports of the subject 
merchandise sold at LTFV. In addition, the petitioner alleges that 
subject imports exceed the negligibility threshold provided for under 
section 771(24)(A) of the Act.\20\
---------------------------------------------------------------------------

    \20\ See Petitions at Volume I at 17, 29-30 and Exhibit I-10.
---------------------------------------------------------------------------

    The petitioner contends that the industry's injured condition is 
illustrated by an absolute and relative increase in the volume of 
subject imports; increasing market share of subject imports at the 
expense of the domestic industry; price reductions and decline in the 
unit value of domestic shipments; decreased profitability; declining 
sales; decreased capacity utilization; and the magnitude of the alleged 
dumping margins.\21\ We assessed the allegations and supporting 
evidence regarding material injury, threat of material injury, 
causation, as well as negligibility, and we have determined that these 
allegations are properly supported by adequate evidence, and meet the 
statutory requirements for initiation.\22\
---------------------------------------------------------------------------

    \21\ See Petitions at Volume I at 17, 28-37, Exhibits I-4, I-5, 
I-9, I-10, I-12 through I-14; see also General Issues Supplement at 
5.
    \22\ See Country-Specific AD Initiation Checklists at Attachment 
III, Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping Duty Petitions Covering Lemon Juice 
from Brazil and South Africa (Attachment III).
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Allegations of Sales at LTFV

    The following is a description of the allegations of sales at LTFV 
upon which Commerce based its decision to initiate these LTFV 
investigations of imports of lemon juice from Brazil and South Africa. 
The sources of data for the deductions and adjustments relating to U.S. 
price and normal value (NV) are discussed in greater detail in the 
country-specific AD initiation checklists.

U.S. Price

    For Brazil and South Africa, the petitioner established U.S. price 
on the average unit value of publicly available import data. The 
petitioner deducted expenses associated with inland freight incurred in 
Brazil and South Africa to calculate an ex-factory, or net, U.S. 
price.\23\
---------------------------------------------------------------------------

    \23\ See Country-Specific AD Initiation Checklists.
---------------------------------------------------------------------------

Normal Value Based on Constructed Value \24\
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    \24\ In accordance with section 773(b)(2) of the Act, for these 
investigations, Commerce will request information necessary to 
calculate the CV and cost of production (COP) to determine whether 
there are reasonable grounds to believe or suspect that sales of the 
foreign like product have been made at prices that represent less 
than the COP of the product.
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    For Brazil and South Africa, the petitioner stated it was unable to 
obtain home-market or third-country prices for lemon juice to use as a 
basis for NV. Therefore, for Brazil and South Africa, the petitioner 
calculated NV based on constructed value (CV).\25\
---------------------------------------------------------------------------

    \25\ See Country-Specific AD Initiation Checklists.
---------------------------------------------------------------------------

    Pursuant to section 773(e) of the Act, the petitioner calculated CV 
as the sum of the cost of manufacturing, selling, general, and 
administrative expenses, financial expenses, and profit.\26\ For Brazil 
and South Africa, in calculating the cost of manufacturing, the 
petitioner relied on its own production experience and input 
consumption rates, valued using publicly available information 
applicable to each respective subject

[[Page 3771]]

country.\27\ For Brazil and South Africa, in calculating selling, 
general, and administrative expenses, financial expenses, and profit 
ratios (where applicable), the petitioner relied on the 2020 financial 
statements of a producer of lemon juice in Brazil, and the 2020-2021 
financial statements of a diversified food and beverage company that 
produces products incorporating lemon juice in South Africa.\28\
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    \26\ Id.
    \27\ Id.
    \28\ Id.
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Fair Value Comparisons

    Based on the data provided by the petitioner, there is reason to 
believe that imports of lemon juice from Brazil and South Africa are 
being, or are likely to be, sold in the United States at LTFV. Based on 
comparisons of U.S. price to CV in accordance with section 773 of the 
Act, the estimated dumping margins for lemon juice concerning each of 
the countries covered by this initiation are as follows: (1) Brazil--
222.16 percent; and (2) South Africa--97.15 percent.\29\
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    \29\ Id.
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Initiation of LTFV Investigations

    Based upon the examination of the Petitions and supplemental 
responses, we find that they meet the requirements of section 732 of 
the Act. Therefore, we are initiating these LTFV investigations to 
determine whether imports of lemon juice from Brazil and South Africa 
are being, or are likely to be, sold in the United States at LTFV. In 
accordance with section 733(b)(1)(A) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determinations no later than 140 days after the date of this 
initiation.

Respondent Selection

    In the Petitions, the petitioner identified two companies in Brazil 
and five companies in South Africa as producers and/or exporters of 
lemon juice.\30\ With respect to Brazil \31\ and South Africa, 
following standard practice in LTFV investigations involving market 
economy countries, in the event that Commerce determines that the 
number of exporters or producers in any individual case is large such 
that Commerce cannot individually examine each company based upon its 
resources, where appropriate, Commerce intends to select mandatory 
respondents in that case based on U.S. Customs and Border Protection 
(CBP) data for U.S. imports under the appropriate Harmonized Tariff 
Schedule of the United States subheadings listed in the ``Scope of the 
Investigations,'' in the appendix.
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    \30\ See Petitions at Volume I at 16 and Exhibit I-8; see also 
General Issues Supplement at 1.
    \31\ The petitioner states that it relied on its own market 
knowledge, company data from Descartes Datamyne, and internet 
research to identify producers and/or exporters of lemon juice in 
Brazil. See Petitions at Volume I at 16 n.39. The Petitions do not 
include supporting information from independent, third-party sources 
to support the petitioner's identification of the two Brazilian 
companies as the only known producers and/or exporters of lemon 
juice in Brazil. Accordingly, we intend to use CBP data to select 
mandatory respondents in the Brazil investigation.
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    On January 11 and 12, 2022, Commerce released CBP data on imports 
of lemon juice from South Africa and Brazil, respectively, under 
administrative protective order (APO) to all parties with access to 
information protected by APO and indicated that interested parties 
wishing to comment on the CBP data must do so within three business 
days after the publication date of the notice of initiation of these 
investigations.\32\ Commerce will not accept rebuttal comments 
regarding the CBP data or respondent selection.
---------------------------------------------------------------------------

    \32\ See Memoranda, ``Antidumping Duty Petition on Imports of 
Lemon Juice from South Africa: Release of U.S. Customs and Border 
Protection Data,'' dated January 11, 2022; and ``Antidumping Duty 
Petition on Imports of Lemon Juice from Brazil: Release of U.S. 
Customs and Border Protection Data,'' dated January 12, 2022.
---------------------------------------------------------------------------

    Comments on CBP data and respondent selection must be filed 
electronically using ACCESS. An electronically filed document must be 
received successfully in its entirety via ACCESS by 5:00 p.m. ET on the 
specified deadline. Interested parties must submit applications for 
disclosure under APO in accordance with 19 CFR 351.305(b). Instructions 
for filing such applications may be found on Commerce's website at 
https://enforcement.trade.gov/apo.

Distribution of Copies of the Petitions

    In accordance with section 732(b)(3)(A) of the Act and 19 CFR 
351.202(f), copies of the public version of the Petitions have been 
provided to the governments of Brazil and South Africa via ACCESS. To 
the extent practicable, we will attempt to provide a copy of the public 
version of the Petitions to each exporter named in the Petitions, as 
provided under 19 CFR 351.203(c)(2).

ITC Notification

    We will notify the ITC of our initiation, as required by section 
732(d) of the Act.

Preliminary Determinations by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the Petitions were filed, whether there is a reasonable 
indication that imports of lemon juice from Brazil and/or South Africa 
are materially injuring, or threatening material injury to, a U.S. 
industry.\33\ A negative ITC determination for any country will result 
in the investigation being terminated with respect to that country.\34\ 
Otherwise, these LTFV investigations will proceed according to 
statutory and regulatory time limits.
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    \33\ See section 733(a) of the Act.
    \34\ Id.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Section 351.301(b) of Commerce's 
regulations requires any party, when submitting factual information, to 
specify under which subsection of 19 CFR 351.102(b)(21) the information 
is being submitted \35\ and, if the information is submitted to rebut, 
clarify, or correct factual information already on the record, to 
provide an explanation identifying the information already on the 
record that the factual information seeks to rebut, clarify, or 
correct.\36\ Time limits for the submission of factual information are 
addressed in 19 CFR 351.301, which provides specific time limits based 
on the type of factual information being submitted. Interested parties 
should review the regulations prior to submitting factual information 
in these investigations.
---------------------------------------------------------------------------

    \35\ See 19 CFR 351.301(b).
    \36\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Particular Market Situation Allegation

    Section 773(e) of the Act addresses the concept of particular 
market situation (PMS) for purposes of CV, stating that ``if a 
particular market situation exists such that the cost of materials and 
fabrication or other processing of any kind does not accurately reflect 
the cost of production in the ordinary course of trade, the 
administering authority may use another calculation methodology under 
this subtitle or any other calculation methodology.'' When an 
interested party submits a PMS allegation pursuant to section 773(e) of 
the Act, Commerce will respond to such a submission consistent with 19 
CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists

[[Page 3772]]

under section 773(e) of the Act, then it will modify its dumping 
calculations appropriately.
    Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v), set 
a deadline for the submission of PMS allegations and supporting factual 
information. However, in order to administer section 773(e) of the Act, 
Commerce must receive PMS allegations and supporting factual 
information with enough time to consider the submission. Thus, should 
an interested party wish to submit a PMS allegation and supporting new 
factual information pursuant to section 773(e) of the Act, it must do 
so no later than 20 days after submission of a respondent's initial 
section D questionnaire response.

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by Commerce. In general, an extension request will 
be considered untimely if it is filed after the expiration of the time 
limit established under 19 CFR 351.301. For submissions that are due 
from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in a letter or memorandum of the 
deadline (including a specified time) by which extension requests must 
be filed to be considered timely. An extension request must be made in 
a separate, stand-alone submission; under limited circumstances we will 
grant untimely-filed requests for the extension of time limits. Parties 
should review Commerce's regulations concerning factual information 
prior to submitting factual information in these investigations.\37\
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    \37\ See 19 CFR 351.301; see also Extension of Time Limits; 
Final Rule, 78 FR 57790 (September 20, 2013), available at https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm.
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Certification Requirements

    Any party submitting factual information in an AD or countervailing 
duty (CVD) proceeding must certify to the accuracy and completeness of 
that information.\38\ Parties must use the certification formats 
provided in 19 CFR 351.303(g).\39\ Commerce intends to reject factual 
submissions if the submitting party does not comply with the applicable 
certification requirements.
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    \38\ See section 782(b) of the Act.
    \39\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to 
frequently asked questions regarding the Final Rule are available at 
https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
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Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. Parties wishing to participate 
in these investigations should ensure that they meet the requirements 
of 19 CFR 351.103(d) (e.g., by the filing a letter of appearance as 
discussed). Note that Commerce has temporarily modified certain of its 
requirements for serving documents containing business proprietary 
information, until further notice.\40\
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    \40\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
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    This notice is issued and published pursuant to sections 732(c)(2) 
and 777(i) of the Act, and 19 CFR 351.203(c).

    Dated: January 19, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigations

    The product covered by these investigations is certain lemon 
juice. Lemon juice is covered: (1) With or without addition of 
preservatives, sugar, or other sweeteners; (2) regardless of the GPL 
(grams per liter of citric acid) level of concentration, brix level, 
brix/acid ratio, pulp content, clarity; (3) regardless of the grade, 
horticulture method (e.g., organic or not), processed form (e.g., 
frozen or not-from-concentrate), the size of the container in which 
packed, or the method of packing; and (4) regardless of the U.S. 
Department of Agriculture Food and Drug Administration (FDA) 
standard of identity (as defined under 19 CFR 146.114 et seq.) 
(i.e., whether or not the lemon juice meets an FDA standard of 
identity).
    Excluded from the scope are: (1) Lemon juice at any level of 
concentration packed in retail-sized containers ready for sale to 
consumers; and (2) beverage products, such as lemonade, that contain 
20 percent or less lemon juice as an ingredient by actual volume. 
``Retail-sized containers'' are defined as lemon juice products sold 
in ready-for-sale packaging (e.g., clearly visible branding, 
nutritional facts listed, etc.) containing up to 128 ounces of lemon 
juice by actual volume.
    The scope also includes certain lemon juice that is blended with 
certain lemon juice from sources not subject to these 
investigations. Only the subject lemon juice component of such 
blended merchandise is covered by the scope of these investigations. 
Blended lemon juice is defined as certain lemon juice with two 
distinct component parts of differing country(s) of origin mixed 
together to form certain lemon juice where the component parts are 
no longer individually distinguishable.
    The product subject to these investigations is currently 
classifiable under subheadings 2009.31.4000, 2009.31.6020, 
2009.31.6040, 2009.39.6020, and 2009.39.6040 of the Harmonized 
Tariff Schedule of the United States (HTSUS). Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of these investigations is 
dispositive.
[FR Doc. 2022-01411 Filed 1-24-22; 8:45 am]
BILLING CODE 3510-DS-P

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