[Federal Register Volume 70, Number 7 (Tuesday, January 11, 2005)]
[Notices]
[Pages 1868-1869]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-39]


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DEPARTMENT OF COMMERCE

International Trade Administration

A-570-506


Porcelain-on-Steel Cooking Ware from the People's Republic of 
China: Rescission of Antidumping Duty New Shipper Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: In response to a request from Shanghai Watex Metal Products, 
Co., Ltd., the Department of Commerce initiated a new shipper review of 
the antidumping duty order on porcelain-on-steel cooking ware from the 
People's Republic of China. The period of review is December 1, 2003, 
through May 31, 2004. For the reasons discussed below, this new shipper 
review is being rescinded.

EFFECTIVE DATE: January 11, 2005.

FOR FURTHER INFORMATION CONTACT: Anya Naschak or Benjamin Kong, AD/CVD 
Operations, Office 9, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC, 20230; telephone: (202) 482-
6375 and (202) 482-7907, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On September 16, 2004, the Department of Commerce (``the 
Department'') initiated a new shipper review of Shanghai Watex Metal 
Products, Co., Ltd. (``Watex'') under the antidumping duty order on 
porcelain-on-steel cooking ware (``POS'') for the period December 1, 
2003, through May 31, 2004. See Certain Porcelain-On-Steel Cookware 
from the People's Republic of China: Initiation of New Shipper 
Antidumping Duty Review, 69 FR 55795 (September 16, 2004) (``Initiation 
Notice''). The Department's initiation of a new shipper review of Watex 
was based on, among other things, Watex's certification that it was 
both the exporter and producer of the subject merchandise for which it 
requested new shipper review. See 19 CFR 351.214(b)(i) and Initiation 
Notice. Relying on the certification provided by Watex, the Department 
issued instructions to US. Customs and Border Protection (``CBP'') in 
accordance with section 751(a)(2)(B) of the Tariff Act of 1930, as 
amended (``the Act''), which allowed, at the option of the importer, 
the posting, until completion of the review, of a bond or security in 
lieu of a cash deposit for each entry of the subject merchandise for 
which Watex was both the producer and exporter.
    On October 25, 2004, Watex submitted its Section A, C and D 
Questionnaire\1\ response (``Response'') to the Department. In this 
response, Watex reported for the first time that another company, 
Shanghai Ping An Enamel Products Co. (``Ping An''), actually produced 
the subject merchandise that Watex exported to the United States. See 
Response, at page A-2.
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    \1\ Section A of the questionnaire requests general information 
concerning a company's corporate structure and business practices, 
the merchandise under this investigation that it sells, and the 
manner in which it sells that merchandise in all of its markets. 
Section B requests a complete listing of all home market sales, or, 
if the home market is not viable, of sales in the most appropriate 
third-country market (this section is not applicable to respondents 
in non-market economy (NME) cases). Section C requests a complete 
listing of U.S. sales. Section D requests information on the factors 
of production of the merchandise under investigation. Section E 
requests information on further manufacturing.
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    On November 12, 2004, Columbian Home Products, LLC (``Petitioner'') 
submitted a letter to the Department requesting that the Department 
rescind the new shipper review of Watex because Watex failed to provide 
the proper certification as required by 19 CFR 251.214(b)(2). 
Petitioner based its rescission request on Watex's incorrect statement 
in its initial request that it was both the exporter and producer of 
the subject merchandise and its failure to provide certifications from 
Ping An in its initial request for a new shipper review. On November 
24, 2004, Watex submitted its response to Petitioner's November 12, 
2004, request. Watex claimed that it unintentionally omitted the 
certification from Ping An in its request for review. Watex further 
stated that the delayed certification neither materially impacted nor 
prejudiced any party in the review. On November 29, 2004, Petitioner 
responded to Watex's November 24, 2004, comments, noting that the 
essential question is not whether the delayed certification had a 
material impact or prejudiced any party to this case, but rather 
whether the regulatory requirements for initiating

[[Page 1869]]

the new shipper review were met, and in this case they were not.
    On December 6, 2004, the Department notified parties of its intent 
to rescind the review with respect to Watex because Watex failed to 
provide in its new shipper review request the necessary certification 
from the producer or supplier of the subject merchandise. The 
Department also determined that Watex provided misleading statements in 
its request for new shipper review and in its certification suggesting 
it was both the producer and exporter when it in fact was not. Based on 
these findings, the Department determined that it did not have a 
sufficient basis to initiate the new shipper review of Watex. See 
``Memorandum to the File: Antidumping New-Shipper Review of Certain 
Porcelain-on-Steel Cookware from the People's Republic of China: 
Notification of Intent to Rescind,'' dated December 6, 2004 (``Intent 
to Rescind''). The Department requested comments from interested 
parties on this issue no later than December 10, 2004. No parties filed 
any comments in response to the Department's Intent to Rescind of 
December 6, 2004.

Scope of the Order

    Imports covered by this order are shipments of POS, including 
teakettles, which do not have self-contained electric heating elements. 
All of the foregoing are constructed of steel and are enameled or 
glazed with vitreous glasses. The merchandise is currently classifiable 
under the Harmonized Tariff Schedule (``HTS'') item number 7323.94.00. 
The HTS item number is provided for convenience and customs purposes; 
the written description of the scope remains dispositive.

Rescission of Review

    The Department is rescinding the new shipper review with respect to 
Watex. As noted above, Watex did not provide the proper certification, 
pursuant to 19 CFR 351.214(b)(2)(ii)(B), to meet the minimum 
requirements for entitlement to a new shipper review. In order to meet 
the minimum requirements for entitlement to a new shipper review, a 
company that is the exporter but not the producer of the subject 
merchandise for which it requests review must provide, among other 
things, (1) a certification that it did not export subject merchandise 
to the United States during the POI and (2) a certification from the 
person or company which produced or supplied the subject merchandise 
that the producer or supplier did not export the subject merchandise to 
the United States during the POI. See 19 CFR 351.214(2)(ii)(A) and (B).
    Watex did not provide a certification in accordance with 19 CFR 
351.214(b)(2)(ii)(B), in its initial request, from the producer of 
subject merchandise that Watex sold or exported to the United States 
during the POR. Specifically, Watex was required to provide in its 
review request a certification from Ping An because Ping An produced 
the merchandise subject to this review, as confirmed by information 
contained in Watex's Response. Therefore, Watex did not meet the 
minimum certification requirements for initiation of a new shipper 
review. A certification from the producer is fundamental to the 
Department's initiation decision. Since Watex did not provide the 
certification, the Department has determined that Watex failed to 
provide all necessary certifications required to initiate and conduct a 
new shipper review. For these reasons and in accordance with our 
precedent, the Department is rescinding the new shipper review of the 
antidumping duty order on POS from the People's Republic of China 
(``PRC'') with respect to Watex pursuant to 19 CFR 351.214(b)(2). See, 
e.g., Certain Preserved Mushrooms from the People's Republic of China: 
Intent to Rescind Antidumping Duty New Shipper Review, 68 FR 45792 
(August 4, 2003); Fresh Garlic from the People's Republic of China: 
Partial Rescission of Antidumping Duty New Shipper Review, 67 FR 65782 
(October 28, 2002).

Cash Deposits

    Bonding is no longer permitted to fulfill security requirements for 
shipments from Watex of POS from the PRC entered, or withdrawn from 
warehouse, for consumption in the United States on or after the 
publication of this notice of rescission of antidumping duty new 
shipper review in the Federal Register. Further, effective upon 
publication of this notice for all shipments of the subject merchandise 
exported by Watex and entered, or withdrawn from warehouse, for 
consumption, the cash-deposit rate will be the PRC-wide rate, which is 
66.65 percent.

Notification to Interested Parties

    This notice serves as a reminder to importers of their 
responsibility under 19 CFR 351.402(f) to file a certificate regarding 
the reimbursement of antidumping duties prior to liquidation of the 
relevant entries during this review period. Failure to comply with this 
requirement could result in the Secretary's presumption that 
reimbursement of antidumping duties occurred and subsequent assessment 
of double antidumping duties.This rescission notice is published in 
accordance with sections 751(a)(2)(B) and 777(i) of the Act and 19 CFR 
351.214.

    Dated: January 3, 2005.
James J. Jochum,
 Assistant Secretary for Import Administration.
[FR Doc. E5-39 Filed 1-10-05; 8:45 am]
BILLING CODE 3510-DS-S