[Federal Register Volume 60, Number 190 (Monday, October 2, 1995)]
[Notices]
[Pages 51455-51456]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-24435]



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DEPARTMENT OF COMMERCE
[A-475-031]


 Large Power Transformers From Italy; Preliminary Results of 
Antidumping Administrative Reviews

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of preliminary results of antidumping duty 
administrative review.

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SUMMARY: In response to requests by the petitioner, ABB Power T&D Co., 
Inc. (ABB), and by Tamini Costruzioni Elettromeccaniche (Tamini), a 
manufacturer/exporter of transformers, the Department of Commerce (the 
Department) is conducting an administrative review of the antidumping 
finding on large power transformers from Italy.
    The review covers exports of subject merchandise by Tamini to the 
United States during the period from June 1, 1993, through May 31, 
1994. As a result of the review, the Department has preliminarily 
determined that Tamini did not make sales at prices below foreign 
market value (FMV). Interested parties are invited to comment on these 
preliminary results.

EFFECTIVE DATE: October 2, 1995.

FOR FURTHER INFORMATION CONTACT: Andrea Chu, Kris Campbell, or Michael 
R. Rill, Office of Antidumping Compliance, International Trade 
Administration, U.S. Department of Commerce, Washington, DC 20230; 
telephone: (202) 482-4733.

SUPPLEMENTARY INFORMATION:

Background

    On June 7, 1994, the Department published a notice of ``Opportunity 
to Request Administrative Review'' (59 FR 29411). ABB and Tamini 
requested administrative reviews on June 29, 1994, and June 30, 1994, 
respectively. We initiated the review on July 15, 1994 (59 FR 36160), 
covering the period June 1, 1993, through May 31, 1994. The Department 
is conducting this review in accordance with section 751 of the Tariff 
Act of 1930, as amended (the Tariff Act).

Scope of the Review

    Imports covered by the review are shipments of large power 
transformers (LPTs); that is, all types of transformers rated 10,000 
kVA (kilovolt-amperes) or above, by whatever name designated, used in 
the generation, transmission, distribution, and utilization of electric 
power. The term ``transformers'' includes, but is not limited to, shunt 
reactors, autotransformers, rectifier transformers, and power rectifier 
transformers. Not included are combination units, commonly known as 
rectiformers, if the entire integrated assembly is imported in the same 
shipment and entered on the same entry and the assembly has been 
ordered and invoiced as a unit, without a separate price for the 
transformer portion of the assembly. This merchandise is currently 
classifiable under the Harmonized Tariff Schedule (HTS) item numbers 
8504.22.00, 8504.23.00, 8504.34.33, 8504.40.00, and 8504.50.00. The HTS 
item numbers are provided for convenience and Customs purposes. The 
written description remains dispositive.
    The review covers shipments of transformers by Tamini during the 
period June 1, 1993, through May 31, 1994.

Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute and to the 
Department's regulations are references to the provisions as they 
existed on December 31, 1994.

Verification

    In accordance with section 776 of the Act, we conducted a 
verification of the information submitted by Tamini to the Department 
at Tamini's headquarters in Melegnano, Italy, from May 22-26, 1995.

United States Price

    In calculating U.S. price (USP), the Department used purchase price 
as defined in section 772(b) of the Tariff Act. We calculated purchase 
price based on the packed price to the U.S. customer. We made 
adjustments to USP for transportation expenses and duty drawback.

Foreign Market Value

    For the purposes of the preliminary results, we determined that, 
due to the highly customized nature of the products under review, the 
LPTs sold in the United States could not reasonably be compared to any 
other LPTs sold by 

[[Page 51456]]
Tamini. Therefore, in accordance with section 773(a)(2) of the Tariff 
Act, we calculated foreign market value based on constructed value of 
the model sold in the United States.
    In accordance with section 773(e) of the Tariff Act, the 
constructed value includes the costs of materials and fabrication, 
general expenses, profit, and packing for shipment to the United 
States. Home market selling expenses were used pursuant to section 
773(e)(1)(B) of the Tariff Act. Since the profit submitted by Tamini 
exceeded the statutory eight percent profit, we applied the submitted 
profit to the cost of production.
    We made circumstance-of-sale adjustments for differences in credit 
expenses, direct bank charges, warranty expenses, and technical service 
expenses. Since commissions were granted only in the home market, we 
offset the commission adjustment by adding U.S. indirect selling 
expenses to the constructed value. Based on information contained in 
Tamini's questionnaire responses and on our verification of this 
information, we have determined that Tamini did not report all of its 
U.S. indirect selling expenses. Therefore, we offset the full amount of 
the commission adjustment as best information available.

Preliminary Results of Review

    As a result of our comparison of USP to foreign market value, we 
preliminarily determine that a weighted-average margin of zero percent 
exists for sales of LPTs made to the United States by Tamini during the 
period June 1, 1993 through May 31, 1994.
    Parties to this proceeding may request disclosure within 5 days of 
publication of this notice and may request a hearing within 10 days of 
publication. Any hearing, if requested, will be held 44 days after the 
date of publication or the first business day thereafter. Case briefs 
and/or written comments from interested parties may be submitted not 
later than 30 days after the date of publication of this notice. 
Rebuttal briefs and rebuttals to written comments, limited to issues 
raised in those comments, may be filed not later than 37 days after the 
date of publication of this notice. Service of all briefs and written 
comments must be in accordance with 19 CFR 353.38(e). The Department 
will publish the final results of the administrative review, including 
the results of its analysis of any such comments or hearing.
    The Department shall determine, and the Customs Service shall 
assess, antidumping duties on all appropriate entries. The Department 
will issue appropriate appraisement instructions directly to the 
Customs Service upon completion of this review.
    Furthermore, the following deposit requirements will be effective 
for all shipments of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication date of the 
final results of this administrative review, as provided by section 
751(a)(1) of the Tariff Act: (1) The cash deposit rate for Tamini will 
be the rate established in the final results of this administrative 
review; (2) for previously reviewed or investigated companies not 
listed above, the cash deposit rate will continue to be the company-
specific rate published for the most recent period; (3) if the exporter 
is not a firm covered in this review, a prior review, or the original 
less-than-fair-value (LTFV) investigation, but the manufacturer is, the 
cash deposit rate will be the rate established for the most recent 
period for the manufacturer of the merchandise; (4) the cash deposit 
rate for all other manufacturers or exporters will be 92.47 percent, 
which is the ``new shipper'' rate established in the first final 
results of review of this finding. See Large Power Transformers from 
Italy: Notice of Final Results of Administrative Review, 49 FR 31313 
(August 6, 1984). For a further explanation of our policy concerning 
the cash deposit rate in this case, see Large Power Transformers from 
Italy: Notice of Final Results of Administrative Review, 59 FR 48851 
(September 23, 1994). These deposit requirements, when imposed, shall 
remain in effect until publication of the final results of the next 
administrative review.
    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 353.26 to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in the Secretary's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    This administrative review and notice are in accordance with 
section 751(a)(1) of the Tariff Act (19 U.S.C. 1675(a)(1)) and 19 CFR 
353.22(c)(5).

    Dated: September 20, 1995.
Paul L. Joffe,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 95-24435 Filed 9-29-95; 8:45 am]
BILLING CODE 3510-DS-P