[Federal Register Volume 67, Number 49 (Wednesday, March 13, 2002)]
[Notices]
[Pages 11283-11284]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-6076]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-831]


Fresh Garlic From the People's Republic of China: Final Results 
of Antidumping Administrative Review and Rescission of New Shipper 
Review

AGENCY: Import Administration, International Trade Administration, 
Commerce.

ACTION: Notice of final results of antidumping administrative review 
and rescission of new shipper review.

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SUMMARY: On August 24, 2001, the Department of Commerce published the 
preliminary results of the new shipper review and the administrative 
review of the antidumping duty order on fresh garlic from the People's 
Republic of China. The periods of review are June 1, 2000, through 
November 30, 2000, and November 1, 1999, through October 31, 2000, 
respectively. The two reviews have been aligned at the request of the 
petitioner and the agreement of the new shipper. The new shipper review 
concerns one new shipper and the administrative review covers four 
producers/exporters of subject merchandise.
    We invited interested parties to comment on our preliminary 
results. Based on our analysis of the comments received, we have made 
changes to our analysis for the new shipper review. We have made no 
changes to the margin determined for the administrative review. The 
final dumping margins for the administrative review are listed in the 
section entitled ``Final Results of the Review.''

EFFECTIVE DATE: March 13, 2002.

FOR FURTHER INFORMATION CONTACT: Hermes Pinilla or Mark Ross, Office of 
Antidumping/Countervailing Duty Enforcement 3, Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue, NW, Washington, DC 20230; telephone 
(202) 482-3477 or (202) 482-4794, respectively, for information 
concerning the new shipper review. For information concerning the 
administrative review, please contact Edythe Artman or Mark Ross at the 
same address; telephone (202) 482-3931 for Edythe Artman.

SUPPLEMENTARY INFORMATION:   

The Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the Tariff Act of 
1930, as amended (the Act), are references to the provisions effective 
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 citations to the Department of Commerce's (the 
Department's) regulations are at 19 CFR Part 351 (2001).

Background

    On August 24, 2001, the Department published the preliminary 
results of the new shipper and administrative review of the antidumping 
duty order on fresh garlic from the People's Republic of China (the 
PRC). See Fresh Garlic from the People's Republic of China; Preliminary 
Results of Antidumping New Shipper Review, Preliminary Results of 
Antidumping Duty Administrative Review, and Partial Rescission of 
Administrative Review, 66 FR 44596 (August 24, 2001) (Preliminary 
Results). We invited parties to comment on our preliminary results. 
With respect to the new shipper review, we received comments from the 
petitioner and the new shipper, Clipper Manufacturing Ltd. (Clipper). 
We received comments from the petitioner and one of the respondents, 
Fook Huat Tong Kee Pte., Ltd., and Taian Fook Huat Tong Kee Foods Co., 
Ltd. (collectively FHTK), that pertained to the administrative review.
    We have conducted these reviews in accordance with section 751 of 
the Act and 19 CFR 351.213 and 351.214.

Scope of the Order

    The products covered by this antidumping duty order are all grades 
of garlic, whole or separated into constituent cloves, whether or not 
peeled, fresh, chilled, frozen, provisionally preserved, or packed in 
water or other neutral substance, but not prepared or preserved by the 
addition of other ingredients or heat processing. The differences 
between grades are based on color, size, sheathing, and level of decay.
    The scope of this order does not include the following: (a) Garlic 
that has been mechanically harvested and that is primarily, but not 
exclusively, destined for non-fresh use; or (b) garlic that has been 
specially prepared and cultivated prior to planting and then harvested 
and otherwise prepared for use as seed.
    The subject merchandise is used principally as a food product and 
for seasoning. The subject garlic is currently classifiable under 
subheadings 0703.20.0010, 0703.20.0020, 0703.20.0090, 0710.80.7060, 
0710.80.9750, 0711.90.6000, and 2005.90.9700 of the Harmonized Tariff 
Schedule of the United States (HTSUS). Although the HTSUS subheadings 
are provided for convenience and customs purposes, our written 
description of the scope of this order is dispositive. In order to be 
excluded from the antidumping duty order, garlic entered under the 
HTSUS subheadings listed above that is (1) mechanically harvested and 
primarily, but not exclusively, destined for non-fresh use or (2) 
specially prepared and cultivated prior to planting and then harvested 
and otherwise prepared for use as seed must be accompanied by 
declarations to the Customs Service to that effect.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to the 
administrative review are addressed in the ``Issues and Decision 
Memorandum for the Administrative Review of Fresh Garlic from the 
People's Republic of China'' (Decision Memo) from Richard W. Moreland, 
Deputy Assistant Secretary, to Faryar Shirzad, Assistant Secretary, 
dated March 6, 2002, which is hereby adopted by this notice. All issues 
raised by parties concerning the bona fides of Clipper's sale and the 
Department's decision to rescind the new shipper review are addressed 
in the ``Issues and Decision Memorandum: New Shipper Review of Clipper 
Manufacturing Ltd.'' (Clipper Decision Memo) from Richard W. Moreland, 
Deputy Assistant Secretary, to Faryar Shirzad, Assistant Secretary, 
dated March 6, 2002, which is hereby adopted by this notice. A list of 
the issues which parties raised and to which we responded in the 
Decision Memo and Clipper Decision Memo is attached to this notice as 
an Appendix. The Decision Memo and Clipper Decision Memo are public 
documents and are on file in the Central Records Unit (CRU), Main 
Commerce Building, Room B-099, and are accessible on the Web at 
ia.ita.doc.gov. The paper copies and electronic versions of both 
memoranda are identical in content.

Separate Rates

    In our preliminary results, we found that Clipper and FHTK met the 
criteria for the application of separate antidumping duty rates. 
Because we are rescinding the new shipper review, we are not making a 
final determination as to whether Clipper is entitled to a separate 
rate at this time. With respect to FHTK, we have not received any

[[Page 11284]]

other information since our preliminary results that warrants 
reconsideration of our separate-rate determination (see the Preliminary 
Results, 66 FR at 44597). Therefore, we find that FHTK should be 
assigned an individual dumping margin.

Use of Facts Otherwise Available

    In our preliminary results of the new shipper review, we applied 
adverse facts available to Clipper and assigned it a rate of 376.67 
percent for shipments during the period of review. Because we are 
rescinding the review covering Clipper, the use of facts otherwise 
available for Clipper is no longer an issue. For a detailed description 
of our analysis, see the Clipper Decision Memo.
    In our preliminary results of the administrative review, we 
assigned a rate of 376.67 percent, based on the use of adverse facts 
available, to FHTK, Rizhao Hanxi Fisheries and Comprehensive 
Development Co., Ltd., Zhejiang Materials Industry, and Wo Hing (H.K.) 
Trading Co. For a detailed discussion of our application of the facts 
otherwise available, see the Preliminary Results, 66 FR at 44599-600, 
and the ``Memorandum from Edythe Artman to Laurie Parkhill'' regarding 
the use of facts otherwise available and the corroboration of secondary 
information (August 14, 2001), on file in the CRU.

Changes Since the Preliminary Results

    Based on our analysis of comments received, we have made changes 
concerning Clipper in the new shipper review. See ``Rescission of New 
Shipper Review'' below. We have not made revisions that changed our 
analysis for the administrative review.

Final Results of the Administrative Review

    We determine that a margin of 376.67 percent exists for all 
shipments of subject merchandise produced or exported by FHTK for the 
period November 1, 1999, through October 31, 2000. For Rizhao Hanxi 
Fisheries and Comprehensive Development Co., Ltd., Zhejiang Materials 
Industry, Wo Hing (H.K.) Trading Co., and all other Chinese producers 
and exporters of the subject merchandise for the period November 1, 
1999, through October 31, 2000, we determine that a PRC-wide margin of 
376.67 percent exists. The Department shall determine, and the Customs 
Service shall assess, antidumping duties on all appropriate entries. 
The Department will issue appraisement instructions directly to the 
Customs Service.

Rescission of New Shipper Review

    For the reasons detailed in the Clipper Decision Memo, we determine 
that Clipper's sale was not a bona fide sale as required by 19 CFR 
351.214(b)(2)(iv)(C), although there was indeed an ``entry'' of the 
merchandise, as referenced in 19 CFR 315.214(b)(2)(iv)(A) of the 
regulations. Because we have no bona fide sale upon which to base a 
margin calculation, we are hereby rescinding the new shipper review 
with respect to Clipper. With this rescission, the PRC-wide margin of 
376.67 percent applies to Clipper's entries during the period of 
review.
    In response to the preliminary results, we received comments from 
Clipper objecting to the use of facts otherwise available in the 
calculation of its rate for the preliminary results. Clipper argued 
that the Department should issue it a supplemental questionnaire to 
resolve the remaining issues regarding garlic growing costs.
    Because we are rescinding the new shipper review, we have not 
addressed Clipper's comments concerning the use of facts otherwise 
available. Comments by the petitioner and Clipper concerning the bona 
fides of Clipper's transaction are addressed in the Clipper Decision 
Memo.

Cash-Deposit Requirements

    The following deposit rates will be effective upon publication of 
this notice of final results of administrative review for all shipments 
of fresh garlic from the PRC entered, or withdrawn from warehouse, for 
consumption on or after the publication date, as provided for by 
section 751(a)(2)(C) of the Act: (1) For FHTK, the cash-deposit rate 
will be 376.67 percent; (2) for PRC exporters, including Clipper, which 
have not been found to be entitled to a separate rate, the cash-deposit 
rate will be 376.67 percent; and (3) for all non-PRC exporters of 
subject merchandise from the PRC, the cash-deposit rate will be the 
rate applicable to the PRC supplier of that exporter. These deposit 
requirements shall remain in effect until publication of the final 
results of the next administrative review.
    This notice serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during these review periods. Failure to comply 
with this requirement, pursuant to 19 CFR 351.402(f)(3), could result 
in the Department's presumption that reimbursement of antidumping 
duties occurred and the subsequent assessment of doubled antidumping 
duties.
    This notice also serves as a reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305. Timely written notification of 
the return/destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and the terms of an APO is a sanctionable violation.
    We are issuing and publishing this determination and notice in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.210(c).

    Dated: March 6, 2002.
Faryar Shirzad,
Assistant Secretary for Import Administration.

Appendix

Decision Memo

    1. Use of Facts Available for FHTK.
    2. Miscellaneous.

Clipper Decision Memo

    Bona Fides of the Sale.

[FR Doc. 02-6076 Filed 3-12-02; 8:45 am]
BILLING CODE 3510-DS-P