[Federal Register: August 31, 2005 (Volume 70, Number 168)]
[Notices]
[Page 51751-51753]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr31au05-51]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-848]
Notice of Rescission of Antidumping Duty New Shipper Review:
Freshwater Crawfish Tail Meat from the People's Republic of China
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: On November 3, 2004, in response to requests from Dafeng
Shunli Import & Export Co., Ltd., and Shanghai Blessing Trade Co. Ltd.,
the Department of Commerce (``the Department'') initiated new shipper
reviews of the antidumping duty order on freshwater crawfish tail meat
from the People's Republic of China. The period of review is September
1, 2003, through August 31, 2004. For the reasons discussed below, we
are rescinding these new shipper reviews.
[[Page 51752]]
EFFECTIVE DATE: August 31, 2005.
FOR FURTHER INFORMATION CONTACT: Scot Fullerton or Bobby Wong, AD/CVD
Operations, Office 9, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
1386 and (202) 482-0409, respectively.
SUPPLEMENTARY INFORMATION:
Scope of the Order
The product covered by this antidumping duty order is freshwater
crawfish tail meat, in all its forms (whether washed or with fat on,
whether purged or unpurged), grades, and sizes; whether frozen, fresh,
or chilled; and regardless of how it is packed, preserved, or prepared.
Excluded from the scope of the order are live crawfish and other whole
crawfish, whether boiled, frozen, fresh, or chilled. Also excluded are
saltwater crawfish of any type, and parts thereof. Freshwater crawfish
tail meat is currently classifiable in the Harmonized Tariff Schedule
of the United States (HTS) under subheadings 1605.40.10.10 and
1605.40.10.90, which are the new HTS subheadings for prepared
foodstuffs, indicating peeled crawfish tail meat and other, as
introduced by the U.S. Customs Service in 2000, and HTS subheadings
0306.19.00.10 and 0306.29.00, which are reserved for fish and
crustaceans in general. The HTS subheadings are provided for
convenience and customs purposes only. The written description of the
scope of this order is dispositive.
Background
On September 15, 2004, and September 30, 2004, the Department
received requests for new shipper reviews from Shanghai Blessing Trade
Co., Ltd. (``Shanghai Blessing'') and Dafeng Shunli Import & Export
Co., Ltd. (``Dafeng Shunli'') respectively. On November 3, 2004, the
Department initiated both new shipper reviews for the period of review
(``POR'') September 1, 2003, through August 31, 2004. See Freshwater
Crawfish Tail Meat from the People's Republic of China: Initiation of
Antidumping New Shipper Review, 69 FR 64028 (November 3, 2004). On
November 9, 2004, we issued a questionnaire to Shanghai Blessing and
Dafeng Shunli. In addition to Sections A, C, and D, the Department's
questionnaire to both respondents included questions regarding each
respondent's importer. On December 27, 2004, and January 5, 2005, we
received Shanghai Blessing and Dafeng Shunli's respective responses to
Sections A, C, and D of the Department's questionnaire, including a
response regarding each respondent's importer.
We issued and received supplemental questionnaires from Shanghai
Blessing and Dafeng Shunli in February, March, and April 2005. On March
23, 2005, the Department extended the time limit for the completion of
the preliminary results of review by 66 days from the original April
25, 2005 deadline, in accordance with section 751(a)(2)(B)(iv) of the
Tariff Act of 1930, as amended (``the Act''), and section 351.214(i)(2)
of the Department's regulations. See Notice of Extension of the
Preliminary Results of New Shipper Antidumping Duty Reviews: Crawfish
Tail Meat from the People's Republic of China, 70 FR 14648 (March 23,
2005). On June 23, 2005, the Department further extended the time limit
for the completion of the preliminary results of review until August
23, 2005. See Notice of Extension of the Preliminary Results of New
Shipper Antidumping Duty Reviews: Crawfish Tail Meat from the People's
Republic of China, 70 FR 37327 (June 29, 2005).
On June 8, 2005, and July 19, 2005, respectively, the Department
completed its preliminary bona fides analysis for both Dafeng Shunli
and Shanghai Blessing's single sales to the United States and stated
the Department's preliminary intention to rescind the new shipper
reviews of both companies. See Memorandum from James C. Doyle to
Barbara E. Tillman: The Bona Fides Analysis for Dafeng Shunli Import &
Export Co., Ltd.'s Sale in the New Shipper Review of Freshwater
Crawfish Tail Meat from the People's Republic of China, (``DF Bona
Fides Analysis Memo''), and Memorandum from James C. Doyle to Barbara
E. Tillman: The Bona Fides Analysis for Shanghai Blessing Trade Co.,
Ltd.'s Sale in the New Shipper Review of Freshwater Crawfish Tail Meat
from the People's Republic of China, (``SB Bona Fides Analysis Memo'').
The Department allowed interested parties an opportunity to provide
comments on the Department's bona fides analysis memos, as well as the
new factual information placed on the record of review as attachments
to the memo. Dafeng Shunli provided comments on the Department's DF
Bona Fides Analysis Memo on June 24, 2005, and the Louisiana Crawfish
Processors Alliance provided rebuttal comments on June 30, 2005.
Shanghai Blessing provided comments on the Department's SB Bona Fides
Analysis Memo on August 2, 2005, and the Louisiana Crawfish Processors
Alliance provided rebuttal comments on August 5, 2005.
Rescission of Review
Concurrent with this notice, we are issuing two memoranda detailing
our analysis of the bona fides of both Shanghai Blessing and Dafeng
Shunli's U.S. sales and our decision to rescind the reviews for both
companies based on the totality of the circumstances. See Memorandum
from James C. Doyle, Director, Office 9, to Barbara E. Tillman, Acting
DAS for Operations: Bona Fides Analysis and Rescission of New Shipper
Review of Freshwater Crawfish Tail Meat from the People's Republic of
China for Dafeng Shunli Import & Export Co., Ltd., dated August 23,
2005 (``DF Rescission Memo'') and Memorandum from James C. Doyle,
Director, Office 9, to Barbara E. Tillman, Acting DAS for Operations:
Bona Fides Analysis and Rescission of New Shipper Review of Freshwater
Crawfish Tail Meat from the People's Republic of China for Shanghai
Blessing Co., Ltd., dated August 23, 2005 (``SB Rescission Memo'').
In evaluating whether or not a single sale in a new shipper review
is commercially reasonable, and therefore bona fide, the Department has
considered, inter alia, such factors as (1) the timing of the sale; (2)
the price and quantity; (3) the expenses arising from the transaction;
(4) whether the goods were resold at a profit; and (5) whether the
transaction was at an arms-length basis. See Tianjin Tiancheng
Pharmaceutical Co., Ltd. v. U.S., Slip Op. 05-29, at 9 (CIT Mar. 9,
2005) (``TTPC''), citing Am. Silicon Techs. v. U.S., 110 F. Supp. 2d
992, 995 (CIT 2000). However, the analysis is not limited to these
factors alone. The Department examines a number of factors, all of
which may speak to the commercial realities surrounding the sale of
subject merchandise. While some bona fides issues may share
commonalities across various Department cases, each one is company-
specific and may vary with the facts surrounding each sale. See Certain
Preserved Mushrooms From the People's Republic of China: Final Results
and Partial Rescission of the New Shipper Review and Final Results and
Partial Rescission of the Third Antidumping Duty Administrative Review,
68 FR 41304 (July 11, 2003) and accompanying Issues and Decision
Memorandum, at 20. The weight given to each factor investigated will
depend on the circumstances surrounding the sale. See TTPC, at 39.
As discussed in detail in the Department's DF Rescission Memo, the
[[Page 51753]]
Department has determined that the new shipper sale made by Dafeng
Shunli was not bona fide because of, (1) the inconsistencies in the
import documentation; (2) the circumstances surrounding payment for the
single POR sale; (3) the aberrantly low quantity of the single sale, in
comparison with other shipments from China; (4) the inconsistencies and
irregularities regarding the information provided regarding Dafeng
Shunli's importer as compared to information obtained by the
Department; (5) information gaps regarding the actual capital investors
in Dafeng Shunli; and (6) an unreported relationship between Dafeng
Shunli and Yancheng Yaou Seafood Co., Ltd. As discussed in detail in
the Department's SB Rescission Memo, the Department has determined that
the new shipper sale made by Shanghai Blessing was not bona fide
because, (1) the circumstances obscuring the identity of the producer
of the subject merchandise; (2) the circumstances surrounding Shanghai
Blessing's knowledge of the ultimate customer; (3) the atypical
quantity of the single sale in comparison with other shipments during
the POR and Shanghai Blessing's post-POR shipments; (4) the decreases
in the entered value and sales price for post-POR shipments; (5) the
inconsistencies and irregularities regarding the affiliations of the
majority owner of Shanghai Blessing's producer; and (6) the incomplete
and inaccurate responses in the information provided to the Department.
Since the Department is rescinding the new shipper reviews, we are not
making a determination as to whether Dafeng Shunli and Shanghai
Blessing qualify for separate rates. Therefore, Shanghai Blessing and
Dafeng Shunli will remain part of the PRC-wide entity.
Notification
The Department will notify the U.S. Customs and Border Protection
that bonding is no longer permitted to fulfill security requirements
for shipments by Shanghai Blessing and Dafeng Shunli of freshwater
crawfish tail meat from the PRC entered, or withdrawn from warehouse,
for consumption in the United States on or after the publication of
this rescission notice in the Federal Register, and that a cash deposit
of 223.01 percent ad valorem should be collected for any entries
exported by Shanghai Blessing and Dafeng Shunli.
This notice also serves as the only reminder to parties subject to
administrative protective orders (``APO'') of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of the return/destruction of APO material or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and terms of an APO is a violation which is subject to
sanctions.
We are issuing and publishing this determination and notice in
accordance with sections 751(a)(2)(B) and 777(i) of the Act.
Dated: August 23, 2005.
Barbara E. Tillman,
Acting Deputy Assistant Secretary for Import Administration.
[FR Doc. E5-4768 Filed 8-30-05; 8:45 am]
BILLING CODE 3510-DS-S