[Federal Register Volume 63, Number 184 (Wednesday, September 23, 1998)]
[Notices]
[Pages 50880-50881]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-25436]


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DEPARTMENT OF COMMERCE

International Trade Administration
[A-403-801]


Fresh and Chilled Atlantic Salmon from Norway; Initiation and 
Preliminary Results of Changed Circumstances Antidumping Duty 
Administrative Review

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

ACTION: Notice of initiation and preliminary results of changed 
circumstances antidumping duty administrative review.

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SUMMARY: The Department of Commerce has received information sufficient 
to warrant initiation of a changed circumstances administrative review 
of the antidumping order on fresh and chilled Atlantic salmon from 
Norway. Based on this information, we preliminarily determine that Kinn 
Salmon AS is the successor-in-interest to Skaarfish Group AS for 
purposes of determining antidumping liability.
    Interested parties are invited to comment on these preliminary 
results.

EFFECTIVE DATE: September 23, 1998.

FOR FURTHER INFORMATION CONTACT:
Todd Peterson or Thomas Futtner, Office of AD/CVD Enforcement, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 
20230; telephone (202) 482-4195.

SUPPLEMENTARY INFORMATION:

The Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute are 
references to the provisions effective January 1, 1995, the effective 
date of the amendments made to the Tariff Act of 1930 (the Act) by the 
Uruguay Round Agreements Act (URAA). In addition, unless otherwise 
indicated, all citations to the Department of Commerce's regulations 
refer to the regulations, codified at 19 CFR part 351, April 1998.

Background

    On April 12, 1991, the Department of Commerce (the Department) 
published in the Federal Register (56 FR 14920) an antidumping duty 
order on fresh and chilled Atlantic salmon from Norway. On March 2, 
1998, Kinn Salmon AS (Kinn) submitted a letter stating that Kinn is the 
successor-in-interest to Skaarfish Group AS (Skaarfish), and that Kinn 
should receive the same antidumping duty treatment as is accorded 
Skaarfish.

Scope of the Review

    The merchandise covered by this review is fresh and chilled 
Atlantic salmon (salmon). It encompasses the species of Atlantic salmon 
(Salmo salar) marketed as specified herein; the subject merchandise 
excludes all other species of salmon: Danube salmon; Chinook (also 
called ``king'' or ``quinnat''); Coho (``silver''); Sockeye 
(``redfish'' or ``blueback''); Humpback (``pink''); and Chum (``dog''). 
Atlantic salmon is whole or nearly whole fish, typically (but not 
necessarily) marketed gutted, bled, and cleaned, with the head on. The 
subject merchandise is typically packed in fresh water ice (chilled). 
Excluded from the subject merchandise are fillets, steaks, and other 
cuts of Atlantic salmon. Also excluded are frozen, canned, smoked or 
otherwise processed Atlantic salmon. Fresh and chilled Atlantic salmon 
is currently provided for under Harmonized Tariff Schedule (HTS) 
subheading 0302.12.00.02.09. The HTS item number is provided for 
convenience and Customs purposes. The written description remains 
dispositive.

Initiation and Preliminary Results of Review

    In a letter dated March 2, 1998, Kinn advised the Department that 
on July 1, 1997, the former Skaarfish reorganized to form two firms, 
Skaarfish Pelagisk AS and Kinn Salmon AS. The salmon activities of 
Skaarfish including processing, marketing and exporting were 
transferred to Kinn Salmon AS. Skaarfish Pelagisk AS oversees the 
processing, marketing and exporting activities of all other types of 
fish. Kinn stated that its operations are a direct continuation of the 
salmon related activities performed by Skaarfish. While the board of 
directors has changed, the officers and management of Kinn are

[[Page 50881]]

virtually identical to the officers and management of Skaarfish. Kinn 
stated that the address, telephone numbers and telefax numbers are the 
same as those of Skaarfish. Furthermore, it operates the same 
facilities in Floro, Norway that were operated by Skaarfish for the 
processing of salmon and conducts business operations at the same 
executive offices used by Skaarfish. It provided documentation showing 
that the customer list for Kinn and the supplier list to Kinn is the 
same as the customer and supplier lists for Skaarfish. Kinn submitted a 
copy of The Certificates of Registration of Skaarfish, Skaarfish 
Pelagisk AS, and Kinn Salmon AS.
    Thus, in accordance with section 751(b) of the Act, the Department 
is initiating a changed circumstances review to determine whether Kinn 
is the successor-in-interest to Skaarfish for purposes of determining 
antidumping duty liability. In making such a successor-in-interest 
determination, the Department examines several factors including, but 
not limited to, changes in: (1) management; (2) production facilities; 
(3) supplier relationships; and (4) customer base. See, e.g., Brass of 
Antidumping Duty Administrative Review, 57 FR 20460 (May 13, 1992) 
(Canadian Brass). While no one or several of these factors will 
necessarily provide a dispositive indication, the Department will 
generally consider the new company to be the successor to the previous 
company if its resulting operation is similar to that of its 
predecessor. See, e.g., Industrial Phosphoric Acid from Israel: Final 
Results of Changed Circumstances Review, 59 FR 6944 (February 14, 1994) 
and Canadian Brass. This, if the evidence demonstrates that, with 
respect to the production and sale of the subject merchandise, the new 
company operates as the same business entity as the former company, the 
Department will assign the new company the cash deposit rate of its 
predecessor.
    We preliminarily determine that Kinn Salmon AS is the successor-in-
interest to Skaarfish Group AS. Skaarfish Group AS has reorganized to 
form two firms Skaarfish Pelagisk AS and Kinn Salmon AS. Kinn's 
management is virtually identical to Skaarfish's. Kinn's business 
operation, with respect to the subject merchandise are identical to the 
salmon operations of Skaarfish. Kinn's production facilities are 
unchanged as are its customer and supplier lists. Thus, Kinn Salmon AS 
should receive the same antidumping duty treatment as the former 
Skaarfish Group AS, i.e., a 2.30 percent antidumping duty cash deposit 
rate.
    Interested parties are invited to comment on these preliminary 
results. Any written comments may be submitted no later than 30 days 
after date of publication of this notice. Rebuttal briefs, limited to 
arguments raised in case briefs, are due five days after the case brief 
deadline. Case briefs and rebuttal briefs must be served on interested 
parties in accordance with 19 CFR 351.309. The Department will publish 
the final results of the changed circumstances review including the 
results of any such comments.
    This initiation of review, preliminary results of review and notice 
are in accordance with sections 751(b) and 777(i)(1) of the Act.

    Dated: September 15, 1998.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 98-25436 Filed 9-22-98; 8:45 am]
BILLING CODE 3510-DS-M