[Federal Register Volume 64, Number 90 (Tuesday, May 11, 1999)]
[Notices]
[Pages 25276-25277]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-11886]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-122-814]
Pure Magnesium From Canada; Preliminary Results of Antidumping
Duty Administrative Review and Notice of Intent Not To Revoke Order in
Part
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of preliminary results of 1997-1998 administrative
review and intent not to revoke.
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SUMMARY: The Department of Commerce is conducting an administrative
review of the antidumping duty order on pure magnesium from Canada. The
period of review is August 1, 1997 through July 31, 1998. This review
covers imports of pure magnesium from one producer/exporter.
We have preliminarily found that sales of subject merchandise have
not been made below normal value. Further, we intend not to revoke the
order with respect to pure magnesium from Canada produced by Norsk
Hydro Canada Inc. If these preliminary results are adopted in our final
results, we will instruct the Customs Service not to assess antidumping
duties.
Interested parties are invited to comment on these preliminary
results. We will issue the final results not later than 120 days from
the date of publication of this notice.
EFFECTIVE DATE: May 11, 1999.
FOR FURTHER INFORMATION CONTACT: Zak Smith or Melani Miller, Import
Administration, International Trade Administration, U.S. Department of
Commerce, 14th Street and Constitution Avenue, N.W., Washington D.C.
20230; telephone (202) 482-0189 or (202) 482-0116, respectively.
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. In addition, unless otherwise
indicated, all citations to the Department of Commerce's (``the
Department's'') regulations refer to the regulations, codified at 19
CFR part 351 (62 FR 27399, May 19, 1997).
Background
The Department published an antidumping duty order on pure
magnesium from Canada on August 31, 1992 (57 FR 39390). On August 11,
1998, the Department published a notice of ``Opportunity to Request an
Administrative Review'' of the antidumping duty order on pure magnesium
from Canada (63 FR 42821). On August 25, 1998, Magnesium Corporation of
America (the ``petitioner'') requested an administrative review of
imports of the subject merchandise produced by Norsk Hydro Canada Inc.
(``NHCI'') during the period August 1, 1997, through July 31, 1998.
NCHI made a similar request for review on August 28, 1998. In
accordance with 19 CFR 351.221, we initiated the review on September
29, 1998. The Department is now conducting this administrative review
in accordance with section 751 of the Act.
Scope of Review
The product covered by this review is pure magnesium. Pure
unwrought magnesium contains at least 99.8 percent magnesium by weight
and is sold in various slab and ingot forms and sizes. Granular and
secondary magnesium are excluded from the scope currently classifiable
under subheading 8104.11.0000 of the Harmonized Tariff Schedule
(``HTS''). The HTS item number is provided for convenience and for
customs purposes. The written description remains dispositive.
Export Price
For sales to the United States, we used export price (``EP'') as
defined in section 772(a) of the Act because the merchandise was sold
directly to the first unaffiliated purchaser in the United States prior
to importation. The use of constructed export prices was not warranted
based on the facts of the record. EP was based on the packed,
delivered, duties unpaid price to unaffiliated purchasers in the United
States. We made a deduction for movement expenses in accordance with
section 772(c)(2)(A) of the Act; this included the foreign and U.S.
inland freight expenses.
[[Page 25277]]
Normal Value
We compared the aggregate quantity of home market and U.S. sales
and determined that the quantity of the company's sales in its home
market was more than five percent of the quantity of its sales to the
U.S. market. Consequently, pursuant to section 773(a)(1) of the Act, we
based normal value (``NV'') on home market sales.
We made adjustments for differences in packing in accordance with
sections 773(a)(6)(A) and B(i) of the Act. We also made adjustments for
movement expenses, consistent with section 773(a)(6)(B)(ii) of the Act,
for inland freight. In addition, we made adjustments for differences in
circumstances of sale (``COS'') in accordance with section
773(a)(6)(C)(iii) of the Act and 19 CFR 351.410. We made COS
adjustments by deducting direct selling expenses incurred on home
market sales (credit expenses) and adding U.S. direct selling expenses
(credit expenses).
Revocation
Pursuant to 19 CFR 351.222(b)(2), NHCI requested revocation of the
antidumping duty order, in part. In accordance with 19 CFR 351.222(e),
the request was accompanied by certifications that NHCI had not sold
the subject merchandise at less than normal value during the current
period of review and would not do so in the future. NHCI further
certified that it sold the subject merchandise to the United States in
commercial quantities for a period of at least three consecutive years.
NHCI also agreed to immediate reinstatement of the antidumping duty
order, as long as any exporter or producer is subject to the order, if
the Department concludes that NHCI, subsequent to the revocation, sold
the subject merchandise at less than normal value.
We must determine, as a threshold matter, in accordance with 19 CFR
351.222, whether the company requesting revocation sold the subject
merchandise in commercial quantities in each of the three years forming
the basis of the request. See Pure Magnesium From Canada; Final Results
of Antidumping Duty Administrative Review and Determination Not to
Revoke Order in Part, 64 FR 12977, 12978 (March 16, 1999) (``Fifth
Review''). In the Fifth Review, we determined that NHCI did not sell
the subject merchandise in the United States in commercial quantities
in any of the three years cited by NHCI to support its request for
revocation. Two of those three years have been cited by NHCI in support
of its current request for revocation. Based on our findings in the
Fifth Review, we preliminarily find that NHCI does not qualify for
revocation of the order on pure magnesium because it does not have
three consecutive years of sales in commercial quantities at not less
than normal value, as provided for in 19 CFR 351.222(b) and (e)(1)(ii).
Therefore, we do not need to address the issue of whether NHCI's sales
in the current review period were in commercial quantities.
Preliminary Results of the Review
As a result of this review, we preliminarily determine that NHCI's
margin for the period August 1, 1997, through July 31, 1998, is zero.
Any interested party may request a hearing within 30 days of
publication. Any hearing, if requested, will be held 42 days after the
publication of this notice, or the first workday thereafter. Issues
raised in the hearing will be limited to those raised in the respective
case and rebuttal briefs. Interested parties may submit case briefs
within 30 days of the date of publication of this notice. Rebuttal
briefs, which must be limited to issues raised in the case briefs, may
be filed not later than 35 days after the date of publication of this
notice.
Parties who submit case briefs or rebuttal briefs in this
proceeding are requested to submit with each argument (1) a statement
of the issue and (2) a brief summary of the argument with an electronic
version included. The Department will publish the final results of this
administrative review subsequently, including the results of its
analysis of issues raised in any such written briefs or hearing. The
Department will issue final results of this review within 120 days of
publication of these preliminary results.
Furthermore, the following deposit requirements will be effective
upon completion of the final results of this administrative review for
all shipments of pure magnesium from Canada 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 Act: (1) The cash deposit rate for the reviewed
company will be the rate established in the final results of this
administrative review (except no cash deposit will be required for the
company if its weighted-average margin is de minimis, i.e., less than
0.5 percent); (2) for merchandise exported by manufacturers or
exporters not covered in this review but covered in the original less
than fair value investigation or a previous review, the cash deposit
will continue to be the most recent rate published in the final
determination or final results for which the manufacturer or exporter
received an individual rate; (3) if the exporter is not a firm covered
in this review, the previous review, or the original 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; and
(4) if neither the exporter nor the manufacturer is a firm covered in
this or any previous reviews, the cash deposit rate will be 21 percent,
the ``all others'' rate established in Pure Magnesium from Canada;
Amendment of Final Determination of Sales At Less Than Fair Value and
Order in Accordance With Decision on Remand (58 FR 62643, November 29,
1993).
This notice serves as a preliminary reminder to importers of their
responsibility 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.
We are issuing and publishing these results in accordance with
sections 751(a)(1) and 777(i)(1) of the Act.
Dated: May 3, 1999.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 99-11886 Filed 5-10-99; 8:45 am]
BILLING CODE 3510-DS-P