[Federal Register Volume 64, Number 238 (Monday, December 13, 1999)]
[Notices]
[Pages 69492-69493]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-32227]


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DEPARTMENT OF COMMERCE

International Trade Administration
[A-580-812]


Notice of Initiation of Changed Circumstances Antidumping Duty 
Administrative Review: Dynamic Random Access Memory Semiconductors From 
Korea

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

ACTION: Notice of Initiation of Changed Circumstances Antidumping Duty 
Administrative Review.

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SUMMARY: In accordance with 19 CFR 351.216, Micron Technology Inc. 
(``Micron''), a U.S. producer of dynamic random access memory 
semiconductors (``DRAMs'') and the petitioner in the less-than-fair-
value (``LTFV'') investigation of DRAMs from Korea, requested a changed 
circumstances review pursuant to section 751(b) of the Tariff Act of 
1930, as amended (``the Act''). In response to this request, the 
Department of Commerce (``the Department'') is initiating a changed 
circumstances review on DRAMs from Korea.

EFFECTIVE DATE: December 13, 1999.

FOR FURTHER INFORMATION CONTACT: Ron Trentham or Tom Futtner, AD/CVD 
Enforcement, Group II, Office 4, Import Administration, International 
Trade Administration, U.S. Department of Commerce, 14th and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
6320 or (202) 482-3814, respectively.
SUPPLEMENTARY INFORMATION:

Applicable Statute and Regulations

    Unless otherwise stated, all citations to the Act are references to 
the provisions as of January 1, 1995, the effective date of the 
amendments made to the Act by the Uruguay Round Agreements Act 
(``URAA''). In addition, unless otherwise indicated, all references to 
the regulations of the Department are to 19 CFR part 351 (1998).

Background

    On May 10, 1993, the Department published in the Federal Register 
(58 FR 27250) the antidumping duty order on DRAMs from Korea. On 
November 12, 1999, Micron submitted a letter stating that LG Semicon 
Co., Ltd., (``LG Semicon'') and Hyundai Electronics Industries Co., 
Ltd., (``Hyundai''), two Korean DRAMs producers, merged on October 14, 
1999, thus creating a new business entity--Hyundai MicroElectronics 
Co., Ltd. Micron further states that since both DRAM producers are 
subject to the DRAM antidumping duty order, the newly established 
entity should receive a blended cash deposit based on the weighed 
average dumping margins that the Department will establish for each of 
the respondents in the impending final results of the 1997-1998 (fifth) 
administrative review of the order.
    In its November 12, 1999 letter, the petitioner also requested that 
the Department issue the final results of the changed circumstances 
review on an expedited schedule, to coincide with release of the final 
results of the fifth administrative review of the order.

Scope of Review

    Imports covered by the review are shipments of DRAMs from Korea. 
Included in the scope are assembled and unassembled DRAMs. Assembled 
DRAMs include all package types. Unassembled DRAMs include processed 
wafers, uncut die, and cut die. Processed wafers produced in Korea, but 
packaged or assembled into memory modules in a third country, are 
included in the scope; wafers produced in a third country and assembled 
or packaged in Korea are not included in the scope.
    The scope of this review includes memory modules. A memory module 
is a collection of DRAMs, the sole function of which is memory. Modules 
include single in-line processing modules (``SIPs''), single in-line 
memory modules (``SIMMs''), or other collections of DRAMs, whether 
unmounted or mounted on a circuit board. Modules that contain other 
parts that are needed to support the function of memory are covered. 
Only those modules which contain additional items which alter the 
function of the module to something other than memory, such as video 
graphics adapter (``VGA'') boards and cards, are not included in the 
scope. The scope of this review also includes video random access 
memory semiconductors (``VRAMS''), as well as any future packaging and 
assembling of DRAMs; and, removable memory modules placed on 
motherboards, with or without a central processing unit (``CPU''), 
unless the importer of motherboards certifies with the Customs Service 
that neither it nor a party related to it or under contract to it will 
remove the modules from the motherboards after importation. The scope 
of this review does not include DRAMs or memory modules that are 
reimported for repair or replacement.
    The DRAMS and modules subject to this review are currently 
classifiable under subheadings 8471.50.0085, 8471.91.8085, 
8542.11.0024, 8542.11.8026, 8542.13.8034, 8471.50.4000, 8473.30.1000, 
8542.11.0026, 8542.11.8034, 8471.50.8095, 8473.30.4000, 8542.11.0034, 
8542.13.8005, 8471.91.0090, 8473.30.8000, 8542.11.8001, 8542.13.8024, 
8471.91.4000, 8542.11.0001, 8542.11.8024 and 8542.13.8026 of the 
Harmonized Tariff Schedule of the United States (``HTSUS''). Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, the Department's written description of the scope of this 
review remains dispositive.

Initiation of Changed Circumstances Antidumping Duty Review

    In accordance with section 751(b) of the Act, the Department is 
initiating a changed circumstances review to determine whether Hyundai 
MicroElectronics Co., Ltd., is the successor-in-interest to LG Semicon 
and Hyundai for purposes of determining antidumping duty liability. In 
making such a successor-in-interest determination, the Department 
typically examines several factors including, but not limited to, 
changes in: (1) Management; (2) production facilities; (3) supplier 
relationships; and (4) customer base. See Brass Sheet and Strip from 
Canada: Notice of Final Results of Antidumping Administrative Review, 
57 FR 20460 (May 13, 1992) (``Canadian Brass''). While no one or a 
combination of these factors will necessarily provide a dispositive 
indication, the Department will generally consider the new company to 
be the successor to a previous company if its resulting operation is 
not materially dissimilar to that of its predecessor. See Industrial 
Phosphoric Acid from Israel: Final Results of Changed Circumstances 
Review, 59 FR 6944 (February 14, 1994) and Canadian

[[Page 69493]]

Brass, 57 FR 20460. Thus, if the record evidence, subject to 
verification, 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 may assign the 
new company a cash deposit rate of its predecessor. See e.g. Fresh and 
Chilled Atlantic Salmon from Norway: Final Results of Changes 
Circumstances Antidumping Duty Administrative Review, 64 FR 9979, 9980 
(March 1, 1999). In addition, in the event that the Department 
concludes that expedited action is warranted, 19 CFR 351.221(c)(3)(ii) 
permits the Department to combine the notices of initiation and 
preliminary results.
    The Department concludes that it would be inappropriate to expedite 
this action pursuant to 19 CFR 351.221(c)(3)(ii) by issuing a 
preliminary determination prior to conducting an investigation in the 
instant case. The Department may need additional information regarding 
the Hyundai-LG Semicon merger which would make expedited action 
impracticable. Therefore, the Department is not issuing preliminary 
results of its changed circumstances antidumping duty administrative 
review at this time.
    The Department will publish in the Federal Register a notice of 
preliminary results of changed circumstances antidumping duty 
administrative review in accordance with 19 CFR 351.221(c)(3)(i), which 
will set forth the factual and legal conclusions upon which our 
preliminary results are based, and a description of any action proposed 
based on those results. Interested parties may submit comment for 
consideration in the Department's preliminary results not later than 20 
days after publication of this notice. Responses to those comments may 
be submitted no later than 10 days following submission of the 
comments. All written comments must be submitted in accordance with 19 
CFR 351.303, and must be served on all interested parties on the 
Department's service list in accordance with 19 CFR 351.303. The 
Department will publish in the Federal Register the final results of 
the changed circumstances review within 270 days after the date on 
which the changed circumstances review is initiated, in accordance with 
19 CFR 351.216(e). This initiation of review notice is in accordance 
with sections 751(b) and 777(i)(1) of the Act.

    Dated: December 6, 1999.
Richard W. Moreland,
Acting Assistant Secretary for Import Administration.
[FR Doc. 99-32227 Filed 12-10-99; 8:45 am]
BILLING CODE 3510-DS-P