[Federal Register Volume 66, Number 175 (Monday, September 10, 2001)]
[Notices]
[Pages 46995-46996]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-22651]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-557-805]


Extruded Rubber Thread From Malaysia; Notice of Court Decision 
and Suspension of Liquidation

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

SUMMARY: On August 9, 2001, in Heveafil Sdn. Bhd. and Filati Lastex 
Sdn. Bhd. v. United States, Court No. 98-04-00908, Slip. Op. 01-97 
(CIT), a lawsuit challenging the Department of Commerce's (the 
Department's) final results of administrative review of the antidumping 
order on extruded rubber thread from Malaysia, the Court of 
International Trade (CIT) affirmed the Department's remand 
determination and entered a judgment order. In its remand 
determination, the Department annulled all findings and conclusions 
made pursuant to the duty-absorption inquiry conducted for Heveafil 
Sdn. Bhd. (Heveafil) and Filati Lastex Sdn. Bhd. (Filati). As a result 
of the remand determination, the final antidumping duty rates for 
Heveafil and Filati were unchanged. However, the Court's decision was 
not in harmony with the Department's original final results. Consistent 
with the decision of the U.S. Court of Appeals for the Federal Circuit 
in Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 1990) 
(``Timken''), the Department will continue to order the suspension of 
liquidation of the subject merchandise until there is a ``conclusive'' 
decision in this case. If the case is not appealed, or if it is 
affirmed on appeal, the Department will instruct the Customs Service 
(Customs) to liquidate Heveafil's and Filati's entries of subject 
merchandise consistent with the Department's determination concerning 
the October 1, 1995, to September 30, 1996, period of review (POR).

EFFECTIVE DATE: September 10, 2001.

FOR FURTHER INFORMATION CONTACT: Irina Itkin, AD/CVD Enforcement Group 
I, Office II, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
0656.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the notice of its final results of the 
administrative review of the antidumping order on extruded rubber 
thread, on March 16, 1998. See Extruded Rubber Thread from Malaysia; 
Final Results of Antidumping Duty Administrative Review, 63 FR 312752 
(March 16, 1998) (Thread Final Results).
    Following publication of Thread Final Results, Heveafil and Filati, 
respondents in this case, filed a lawsuit with the CIT challenging the 
Department's determination on eleven issues. On February 27, 2001, the 
CIT issued a remand with respect to one issue and affirmed the 
Department on all other issues. Specifically, the Court remanded the 
case to the Department to annul all findings and conclusions made 
pursuant to the duty-absorption inquiry for Thread Final Results 
because it held that the Department lacked statutory authority under 
section 751(a)(4) of the Tariff Act of 1930, as amended, to conduct 
such an inquiry for Heveafil and Filati. See Heveafil Sdn. Bhd. and 
Filati Lastex Sdn. Bhd. v. United States, Court No. 98-04-00908, Slip. 
Op. 01-22, at page 16 (CIT February 27, 2001).
    On March 6, 2001, the Department issued its Final Results of 
Redetermination, in which it annulled all findings and conclusions made 
pursuant to the duty-absorption inquiry conducted in the subject review 
with respect to Heveafil and Filati. As a result of the remand 
determination, the final antidumping duty rates for Heveafil and Filati 
were unchanged.
    The CIT affirmed the Department's Final Results of Redetermination 
on August 9, 2001.See Heveafil Sdn. Bhd. and Filati Lastex Sdn. Bhd. v. 
the United States, Court No. 98-04-00908, Slip. Op. 01-97 (CIT).

Suspension of Liquidation

    The U.S. Court of Appeals for the Federal Circuit in Timken held 
that the Department must publish notice of a

[[Page 46996]]

decision of the CIT or the Federal Circuit which is not ``in harmony'' 
with the Department's final determination. Publication of this notice 
fulfills that obligation. The Federal Circuit also held that the 
Department must suspend liquidation of the subject merchandise until 
there is a ``conclusive'' decision in the case. Therefore, pursuant to 
Timken, the Department will continue to suspend liquidation pending the 
expiration of the period to appeal the CIT's August 9, 2001 decision 
or, if that decision is appealed, pending a final decision by the 
Federal Circuit. The Department will instruct Customs to liquidate 
Heveafil's and Filati's entries of subject merchandise during the POR, 
effective October 8, 2001, in the event that the CIT's ruling is not 
appealed.

    Dated: August 31, 2001.
Bernard T. Carreau,
Acting Assistant Secretary for Import Administration.
[FR Doc. 01-22651 Filed 9-7-01; 8:45 am]
BILLING CODE 3510-DS-P