[Federal Register Volume 68, Number 5 (Wednesday, January 8, 2003)]
[Notices]
[Pages 1030-1031]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-348]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-838, C-122-839]


Certain Softwood Lumber From Canada: Notice of Initiation of 
Antidumping Duty New Shipper Review for the Period May 22, 2002, 
Through October 31, 2002; Notice of Initiation of Countervailing Duty 
New Shipper Review for the Period January 1, 2002, Through December 31, 
2002; and Rescission of Countervailing Duty Expedited Review

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

ACTION: Notice of initiation of antidumping and countervailing duty new 
shipper reviews and rescission of countervailing duty expedited review 
in certain softwood lumber from Canada.

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EFFECTIVE DATE: January 8, 2003.

SUMMARY: The Department of Commerce (the Department) has received 
requests to conduct new shipper reviews of the antidumping (AD) and 
countervailing duty (CVD) orders on certain softwood lumber from 
Canada. In accordance with section 751(a)(2)(B) of the Tariff Act of 
1930, as amended (the Act), and 19 CFR 351.214(d) (2002), we are 
initiating AD and CVD new shipper reviews for Scierie La Pointe & Roy 
Ltee.

FOR FURTHER INFORMATION CONTACT: Vicki Schepker or Keith Nickerson (AD 
review) at (202) 482-1756 and (202) 482-3813, respectively; Gayle 
Longest or Eric B. Greynolds (CVD review) at (202) 482-3338 and (202) 
482-0671, respectively; Group II, AD/CVD Enforcement, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 
20230.

Background

    On November 26, 2002, the Department received timely requests from 
Scierie La Pointe & Roy Ltee (La Pointe & Roy), in accordance with 19 
CFR 351.214(c) (2002), for new shipper reviews of the AD and CVD orders 
on certain softwood lumber from Canada, which have a May anniversary 
month.\1\
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    \1\ (See Certain Softwood Lumber Products from Canada, 67 FR 
36068, 36070 (May 22, 2002).
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    As required by 19 CFR 351.214(b)(2)(i), (ii), and (iii)(A), La 
Pointe & Roy certified that it did not export certain softwood lumber 
to the United States during the period of investigation (POI), and that 
it has never been affiliated with any exporter or producer which 
exported certain softwood lumber during the POI.\2\ Pursuant to 19 CFR 
351.214(b)(2)(iv), the company submitted documentation establishing the 
date on which it first shipped the subject merchandise to the United 
States, the date of entry of that first shipment, the volume of that 
and subsequent shipments, the date of the first sale to an unaffiliated 
customer in the United States, and that it has informed the Governments 
of Canada and Quebec, through counsel, that they will be required to 
provide a full response to the Department's questionnaire.\3\
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    \2\ See submission from Alston & Bird LLP to the Department, 
dated November 26, 2002, at Exhibits 1 and 2.
    \3\ See Id., at Exhibits 3, 4, and 5.
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    In accordance with section 751(a)(2)(B) of the Act, and 19 CFR 
351.214(b), and based on information on the record, we are initiating 
AD and CVD new shipper reviews for La Pointe & Roy.

Initiation of Reviews

    On December 12, 2002, the Coalition for Fair Lumber Imports 
Executive Committee (the petitioners) submitted comments regarding the 
new shipper review requests of La Pointe & Roy. The petitioners allege 
that La Pointe & Roy should not be considered a new shipper because it 
was allocated quota under the 1996 U.S./Canada Softwood Lumber 
Agreement. According to the petitioners, as a holder of quota, La 
Pointe & Roy had a strong incentive to sell subject merchandise to the 
United States either directly or indirectly.\4\
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    \4\ See submission from Dewey Ballantine LLP to the Department, 
dated December 12, 2002, at 5.
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    Furthermore, the petitioners assert that even if La Pointe & Roy 
did not export subject merchandise during the POI, there is no valid 
reason to initiate a CVD new shipper review, since the company has 
requested an expedited review. According to the petitioners, La Pointe 
& Roy is withdrawing its request for expedited review because the 
company did not export subject merchandise to the United States during 
the POI. The petitioners argue that a company does not have to export 
the

[[Page 1031]]

subject merchandise during the POI to be a part of the expedited review 
process and that a CVD new shipper review would have the same focus as 
a CVD expedited review--whether and to what extent a particular product 
benefitted from subsidies. Therefore, the petitioners assert that there 
is no reason for the Department to initiate a CVD new shipper review as 
the same result can be obtained through the expedited review process.
    On December 19, 2002, La Pointe & Roy submitted rebuttal comments 
to the issues raised by the petitioners; the petitioners responded on 
December 24, 2002. Although on December 19, 2002, La Pointe & Roy 
stated that transfer of its allocated quota during the POI was done 
without the specific knowledge of what the ultimate use of the quota 
would be by the customer, on December 27, 2002, it corrected its 
statement to indicate that, in fact, it ``was not allocated any quota 
by the Canadian government between April 1, 2000 and March 31, 2001,'' 
\5\ the POI.
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    \5\ See submission from Alston & Bird LLP to the Department on 
behalf of La Pointe & Roy, dated December 27, 2002.
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    In addition, on December 31, 2002, La Pointe and Roy clarified that 
the quota it received in 1998 and 1999 was transferred to other 
companies in 1998 and 1999 and was not carried over into the POI. 
Furthermore, the company stated that the transfers of quota described 
as occurring during the POI in its December 19, 2002, submission 
occurred prior to, not during, the POI.
    After reviewing the submissions of all parties, we have determined 
that La Pointe & Roy's certifications that during the POI (1) it did 
not export to the United States and (2) it did not receive any quota 
which would have allowed it to export to the United States, are 
sufficient, for purposes of initiation. Moreover, there is no conflict 
with any expedited review because La Pointe & Roy is withdrawing its 
request for expedited review on the grounds that it did not export 
during the POR, as stated in their November 26, 2002, submission. In 
sum, we have considered La Pointe & Roy's requests and find that they 
meet the requirements set forth in the Department's regulations. 
Therefore, in accordance with section 751(a)(2)(B)(ii) of the Act and 
19 CFR 351.214(d)(1), we are initiating new shipper reviews of the AD 
and CVD orders on certain softwood lumber from Canada. We intend to 
issue the preliminary results of these new shipper reviews not later 
than 180 days after initiation of these reviews. In addition, we are 
granting La Pointe & Roy's request to rescind the ongoing expedited 
review.

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      New shipper review proceeding            Period to be reviewed
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Scierie La Pointe & Roy Lt[eacute]e.....  05/22/02--
                                          10/31/02 (AD)
                                          01/01/02--
                                          12/31/02 (CVD)
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    We will instruct the Customs Service to allow, at the option of the 
importer, the posting, until the completion of the reviews, of a bond 
or security in lieu of a cash deposit for each entry of the subject 
merchandise from the above-listed company in accordance with 19 CFR 
351.214(e). Because La Pointe & Roy certified that it both produces and 
exports the subject merchandise, the sale of which was the basis for 
these new shipper review requests, we will apply the bonding privilege 
only to subject merchandise for which La Pointe & Roy is both the 
producer and exporter. Interested parties that need access to 
proprietary information in these new shipper reviews should submit 
applications for disclosure under administrative protective orders in 
accordance with 19 CFR 351.305 and 351.306.
    This initiation and notice are in accordance with section 751(a) of 
the Act (19 U.S.C. 1675(a)) and 19 CFR 351.214(d).

    Dated: December 31, 2002.
Bernard T. Carreau,
Deputy Assistant Secretary, Group II, Import Administration.
[FR Doc. 03-348 Filed 1-7-03; 8:45 am]
BILLING CODE 3510-DS-P