[Federal Register Volume 69, Number 65 (Monday, April 5, 2004)]
[Notices]
[Pages 17643-17644]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-7644]


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

DEPARTMENT OF COMMERCE

International Trade Administration

A-427-009, A-428-803, A-580-805, A-588-812, A-570-802, and A-412-803


Industrial Nitrocellulose from France, Germany, Korea, Japan, the 
People's Republic of China, and the United Kingdom: Notice of 
Initiation of Changed Circumstances Reviews and Consideration of 
Revocation of the Antidumping Duty Orders

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

ACTION: Notice of initiation of changed circumstances reviews.

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

SUMMARY: On February 12, 2004, in accordance with 19 CFR 351.216(b), 
Wolff Cellulosics GmbH (Wolff), a German manufacturer of industrial 
nitrocellulose (INC), filed a request for a changed circumstances 
review of the antidumping duty order on INC from Germany. On March 9, 
2004, the Valspar Corporation (Valspar), an importer of INC and an 
interested party in multiple proceedings, filed requests for changed 
circumstances reviews of the antidumping duty orders on INC from 
France, Germany, Korea, Japan, the People's Republic of China (PRC), 
and the United Kingdom (UK), as described below. In response to these 
requests, the Department of Commerce (the Department) is initiating 
changed circumstances reviews of the antidumping duty orders on INC 
from France, Germany, Korea, Japan, the PRC, and the UK.

EFFECTIVE DATE: April 5, 2004.

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

SUPPLEMENTARY INFORMATION:

Background

    On August 10, 1983, the Department published in the Federal 
Register the antidumping duty order on INC from France. See 48 FR 36303 
(August 10, 1983). On July 10, 1990, the Department

[[Page 17644]]

published in the Federal Register the antidumping duty orders on INC 
from Germany, Korea, Japan, the PRC, and the UK. See 55 FR 28266-28271 
(July 10, 1990).
    On February 12, 2004, Wolff requested that the Department revoke 
the antidumping duty order on INC from Germany through a changed 
circumstances review. According to Wolff, revocation is warranted 
because there is no longer any producer of the domestic like product. 
Specifically, Wolff asserts that Green Tree Chemical Technologies, Inc. 
(Green Tree), the sole producer of the domestic like product, has 
ceased production and no longer maintains the capacity to produce INC. 
See Wolff's February 12, 2004, letter at Exhibits A and B.
    On March 9, 2004, Valspar requested that the Department initiate a 
changed circumstances review and revoke the antidumping duty orders on 
INC from France, Germany, Korea, Japan, the PRC, and the UK. Valspar 
claims that in November 2003, without prior announcement, Green Tree 
closed its INC production facility. According to Valspar, the alleged 
cessation of production of the domestic like product by the sole U.S. 
producer inherently constitutes ``lack of interest'' by the domestic 
industry in the continuation of the antidumping duty orders. See 
Valspar's March 9, 2004, letter, Request for Initiation of Changed 
Circumstances Review Seeking Revocation of the Antidumping Duty Order 
on Industrial Nitrocellulose from France, at pages 1-2.

Scope of the Orders

    The product covered by these orders are shipments of INC from 
France, Germany, Japan Korea, the PRC and the UK. INC is a dry, white, 
amorphous synthetic chemical with a nitrogen content between 10.8 and 
12.2 percent and is produced from the reaction of cellulose with nitric 
acid. INC is used as a film-former in coatings, lacquers, furniture 
finishes, and printing inks. The scope of the orders does not include 
explosive grade nitrocellulose, which has a nitrogen content of greater 
than 12.2 percent. INC is currently classified under Harmonized Tariff 
Schedule (HTS) subheading 3912.20.00. The HTS item number is provided 
for convenience and customs purposes only. The written description 
above remains dispositive as to the scope of the product coverage.

Initiation of Changed Circumstances Reviews

    Pursuant to sections 751(d) and 782(h)(2) of the Tariff Act of 
1930, as amended (the Act), the Department may revoke an antidumping or 
countervailing duty order based on a review under section 751(b) of the 
Act (i.e., a changed circumstances review) if the Department determines 
that producers accounting for substantially all of the production of 
that domestic like product have expressed a lack of interest in the 
continuance of an order. Section 751(b)(1) of the Act requires that a 
changed circumstances review be conducted upon receipt of a request for 
a review which shows changed circumstances sufficient to warrant a 
review. The Department's regulations at 19 CFR 351.222(g) provide that 
the Department may revoke an order (in whole or in part) if it 
determines that producers accounting for substantially all of the 
production of the domestic like product to which the order (or the part 
of the order to be revoked) pertains have expressed a lack of interest 
in the order, in whole or in part, or if other changed circumstances 
sufficient to warrant revocation exist.
    In this case, the Department finds that the information submitted 
provides sufficient evidence of changed circumstances to warrant a 
review. Given Wolff's and Valspar's assertions, we will consider 
whether there is interest in continuing the orders on the part of the 
U.S. industry.
    Interested parties may submit comments which the Department will 
take into account in the preliminary results of these reviews. Parties 
who submit comments are requested to submit with the comments (i) a 
statement of the issues, and (ii) a brief summary of the arguments. The 
due date for filing any such comments is no later than 20 days after 
publication of this notice. Any rebuttals to those comments may be 
submitted not later than five 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(f).
    On February 19, 2004, the Department initiated, on similar grounds, 
a changed circumstances review of the antidumping order on INC from 
Brazil. See Industrial Nitrocellulose From Brazil: Notice of Initiation 
of Changed Circumstances Review and Consideration of Revocation of the 
Antidumping Duty Order, 69 FR 8626 (February 25, 2004). Because these 
seven orders are affected by the same circumstances pertaining to the 
domestic industry, the Department plans to publish in the Federal 
Register a combined notice of preliminary results of changed 
circumstances reviews of the antidumping duty orders on INC from 
Brazil, France, Germany, Korea, Japan, the PRC, and the UK. In 
accordance with 19 CFR 351.221(c)(3)(I), the notice will set forth the 
factual and legal conclusions upon which our preliminary results are 
based and a description of any action proposed based on these results. 
The Department will also issue its final results of reviews within 270 
days of February 19, 2004, the date of initiation of the changed 
circumstances review of the antidumping duty order on INC from Brazil, 
in accordance with 19 CFR 351.216(e), and will publish these results in 
the Federal Register.
    While the changed circumstances reviews are underway, the current 
requirement for a cash deposit of estimated antidumping duties on all 
subject merchandise will continue to be in force, unless and until it 
is modified pursuant to the final results of the changed circumstances 
reviews.
    This notice is in accordance with section 751(b)(1) of the Act and 
19 CFR 351.216, 351.221(B)(i), and 351.222.

    Dated: March 29, 2004.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. 04-7644 Filed 4-4-04; 8:45 am]
BILLING CODE 3510-DS-S