[Federal Register Volume 68, Number 151 (Wednesday, August 6, 2003)]
[Notices]
[Pages 46580-46582]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-20045]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-831]


Fresh Garlic From the People's Republic of China: Partial 
Rescission of Antidumping Duty Administrative Review

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

ACTION:  Notice of partial rescission of the antidumping duty 
administrative review of fresh garlic from the People's Republic of 
China.

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SUMMARY:  In response to requests from interested parties, the 
Department of Commerce is conducting an administrative review of the 
antidumping duty order on fresh garlic from the People's Republic of 
China. One company named in the initiation of this review, Fook Huat 
Tong Kee Pte., Ltd., had no exports or sales of the subject merchandise 
during the period of review and, consequently, we are rescinding the 
review of this company. In addition, the review requests for Clipper 
Manufacturing Ltd., Huaiyang Hongda Dehydrated Vegetable Company, 
Golden Light Trading Company, Ltd., Good Fate International, Phil-Sino 
International Trading Inc., and Mai Xuan Fruitex Co., Ltd., were 
withdrawn subsequent to the initiation of the administrative review 
and, therefore, we are rescinding the review of these six companies.

EFFECTIVE DATE: August 6, 2003.

FOR FURTHER INFORMATION CONTACT:  Brian Ellman or Minoo Hatten, AD/CVD 
Enforcement 3, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, N.W., Washington, D.C. 20230; telephone: (202) 
482-4852 and (202) 482-1690, respectively.

SUPPLEMENTARY INFORMATION:

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).

[[Page 46581]]

 Although the HTSUS subheadings are provided for convenience and 
customs purposes, the 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.

Background

    On November 1, 2002, the Department of Commerce (the Department) 
published a notice of opportunity to request an administrative review 
of the antidumping duty order on fresh garlic from the People's 
Republic of China (PRC). See Antidumping or Countervailing Duty Order, 
Finding, or Suspended Investigation; Opportunity to Request 
Administrative Review, 67 FR 66612. With the exception of Huaiyang 
Hongda Dehydrated Vegetable Company (Hongda), the period of review 
(POR) is November 1, 2001, through October 31, 2002. For Hongda, the 
POR is May 1, 2002, through October 31, 2002, because on June 19, 2003, 
we issued the final results for the new shipper review of Hongda 
covering the period from November 1, 2001, through April 30, 2002. See 
Fresh Garlic From the People's Republic of China: Final Results of 
Antidumping Duty New Shipper Review, 68 FR 36767 (June 19, 2003). We 
received three requests for an administrative review. For two 
companies, Jinan Yipin Corporation, Ltd. (Jinan Yipin), and Shandong 
Heze International Trade and Developing Company (Shandong Heze), the 
petitioners (the Fresh Garlic Producers Association and its individual 
members) and the respondents requested a review of sales of subject 
merchandise to the United States during the POR. In addition to these 
two respondents, the petitioners requested a review of the sales of 
eleven other companies. Two of the companies for which an 
administrative review was requested also requested that the Department 
initiate new shipper reviews. Based upon our initial examination of 
their new shipper review requests, we conditionally determined that 
they were new shippers of subject merchandise and subsequently 
initiated new shipper reviews.
    On December 26, 2002, we published in the Federal Register the 
Notice of Initiation of Antidumping and Countervailing Duty 
Administrative Reviews (67 FR 78772) in which we initiated the 
administrative review of the antidumping duty order on fresh garlic 
from the PRC.
    On January 17, 2003, the petitioners withdrew their request for 
review for Clipper Manufacturing, Ltd (Clipper). As this withdrawal was 
made before the 90-day deadline established by 19 CFR 351.213(d)(1), we 
found it to be submitted in a timely manner and subsequently informed 
Clipper that it need not respond to our antidumping questionnaire. See 
letter from Laurie Parkhill to Clipper, dated January 31, 2003.
    On February 3, 2003, the Department received a letter from Fook 
Huat Tong Kee Pte., Ltd. (FHTK), certifying that it had no entries, 
exports, or sales of the subject merchandise during the POR. Our review 
of import data from the Bureau of Customs and Border Protection 
supports the claim that there were no entries of subject merchandise 
produced by FHTK during the POR. We issued a memorandum notifying the 
parties of our intent to rescind the administrative review of FHTK. See 
Memorandum from Analyst to the File, dated July 21, 2003. On July 23, 
2003, the petitioners responded, indicating that they had no comments 
on the preliminary rescission with respect to FHTK. See Memorandum from 
Analyst to the File, date July 23, 2003.
    On April 28, 2003, the petitioners submitted a letter withdrawing 
their review request for Hongda and on June 10, 2003, the petitioners 
submitted a letter withdrawing their request for a review of four other 
companies Golden Light Trading Company, Ltd. (Golden Light), Good Fate 
International (Good Fate), Phil-Sino International Trading Inc. (Phil-
Sino), and Mai Xuan Fruitex Co., Ltd. (Mai Xuan).
    On July 29, 2003, Hongda and several importers of subject 
merchandise submitted comments in opposition to the potential 
rescission of the administrative review of Hongda. Hongda argues that 
it was the victim of identity theft and concomitant fraud during the 
POR. Accordingly, Hongda asserts, the Department should continue with 
the review to determine which imports under Hongda's name were 
legitimate. Similarly, the importers argue that fraudulent import 
schemes in recent years have been used to avoid antidumping duties, 
threatening to shut down completely the U.S. market for Chinese 
agricultural products, and that these schemes have been used against 
Hongda on entries during the POR. Thus, as a matter of policy, the 
importers contend that the Department should continue its review of 
Hongda to learn more about these alleged schemes and develop effective 
administrative techniques to counter such schemes.

Partial Rescission of Administrative Review

    Because FHTK had no entries, exports, or sales of the subject 
merchandise, pursuant to 19 CFR 351.213(d)(3) we are rescinding the 
review with respect to FHTK.
    With respect to the petitioners' withdrawal of their review request 
for Clipper, as stated above, we find the petitioners' withdrawal was 
submitted in a timely manner, pursuant to 19 CFR 351.213(d)(1), and we 
are rescinding the review of Clipper.
    With respect to the petitioners' withdrawal of their review request 
for Hongda, Golden Light, Good Fate, Phil-Sino, and Mai Xuan, although 
the petitioners withdrew their review request for these five companies 
after the 90-day deadline, the Department's regulations at 19 CFR 
351.213(d)(1) permit an extension of the deadline if ``it is reasonable 
to do so.'' We have not committed significant resources to date to the 
review of Hongda, Golden Light, Good Fate, Phil-Sino, and Mai Xuan. 
Furthermore, the petitioners were the only party to request an 
administrative review of these companies.
    We have received no submissions opposing the withdrawal of the 
petitioners' requests as they pertain to Golden Light, Good Fate, Phil-
Sino, and Mai Xuan. Although Hongda and several importers expressed 
concerns pertaining to the rescission of the administrative review of 
Hongda, the arguments they presented pertain to allegations involving 
fraud. The investigation of alleged fraudulent activities is within the 
statutory purview of the Bureau of Immigration and Customs Enforcement 
(ICE). See 19 USC 1592. Thus, we will refer Hongda's and the importers' 
allegations of inappropriate conduct to ICE.
    For the above reasons, we determine that it is reasonable to extend 
the deadline for withdrawal of the requests for review of Hongda, 
Golden Light, Good Fate, Phil-Sino, and Mai Xuan, and we are rescinding 
the review of the antidumping duty order on fresh garlic from the PRC 
with respect to these companies. This administrative review will 
continue with respect to Jinan Yipin, Shandong Heze, Top Pearl Ltd., 
and Wo Hing (H.K.) Trading Co.
    This notice is published in accordance with section 751 of the 
Tariff Act of 1930, as amended, and 19 CFR 351.213(d)(4).


[[Page 46582]]


    Dated: July 31, 2003.
Joseph A. Spetrini,
Acting Assistant Secretary
[FR Doc. 03-20045 Filed 8-5-03; 8:45 am]
BILLING CODE 3510-DS-S