[Federal Register Volume 70, Number 53 (Monday, March 21, 2005)]
[Notices]
[Pages 13451-13453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-5553]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-841]


Notice of Final Determination of Sales at Less Than Fair Value: 
Bottle-Grade Polyethylene Terephthalate (PET) Resin From India

AGENCY: Important Administration, International Trade Administration, 
Department of Commerce.
    Final Determination: We determine that bottle-grade PET resin from 
India is being, or is likely to be, sold in the United States at less 
than fair value, as provided in section 735 of the Tariff Act of 1930, 
as amended (the Act). The final weighted-average dumping margins are 
listed below in the Continuation of Suspension of Liquidation section 
of this notice.

DATES: Effective Date: March 21, 2005.

FOR FURTHER INFORMATION CONTACT: Daniel O'Brien or Saliha Loucif, AD/
CVD Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone (202) 482-
1376 and (202) 482-1779, respectively.

Background

    Since the publication of the preliminary determination of this 
investigation (see Notice of Preliminary Determination of Sales at Less 
Than Fair Value: Bottle-Grade Polyethylene Terephthalate (PET) Resin 
from India, 69 FR 62856, dated October 28, 2004. Preliminary 
Determinary), the following events have occurred:
    In October and November 2004, we verified the questionnaire 
response of South Asian Petrochem, Ltd. (SAPL). The cost and sales 
verification reports were issued on January 10, 2005, and January 12, 
2005, respectively. See Memorandum from Mark Todd, Senior Accountant, 
to Neal M. Halper, Director, Office of Accounting, Re: Verification of 
the Cost of Production and Constructed Value Data Submitted by South 
Asian Petrochem Ltd. (SAPL) in the Investigation of Bottle-Grade PET 
Resin from India, dated January 10, 2005, and Memorandum from Daniel 
O'Brien and Saliha Loucif, International Trade Compliance Analysts, to 
Susan Kuhbach, Director, Office 1, Re: Verification of the Sales 
Response of SAPL in the Investigation of Bottle-Grade PET Resin from 
India, dated January 12, 2005. These reports are on file in the Central 
Records Unit, Room B-099 of the main Department building (CRU).

[[Page 13452]]

    On January 24, 2005, we received case briefs from the United States 
Bottle-Grade PET Resin Producers Coalition (the petitioner), and SAPL. 
On January 31, 2005, we received rebuttal briefs from the petitioner 
and SAPL. The petitioner requested a hearing on November 16, 2004, but 
withdrew its request on February 3, 2005. Consequently, no hearing was 
held.

Scope of Investigation

    The merchandise covered by this investigation is bottle-grade 
polyethylene terephthalate (PET) resin, defined as having an intrinsic 
viscosity of at least 0.68 deciliters per gram but not more than 0.86 
deciliters per gram. The scope includes bottle-grade PET resin that 
contains various additives introduced in the manufacturing processes. 
The scope does not include post-consumer recycle (PCR) or post-
industrial recycle (PIR) bottle-grade PET resin; however, included in 
the scope is any bottle-grade PET resin blend of virgin PET bottle-
grade resin and recycled PET (RPET). Waste and scrap PET are outside 
the scope of the investigation. Fiber-grade PET resin, which has an 
intrinsic viscosity of less than 0.68 deciliters per gram, is also 
outside the scope of the investigations.
    The merchandise subject to this investigation is properly 
classified under subheading 3907.60.0010 of the Harmonized Tariff 
Schedule of the United States (HTSUS); however, merchandise classified 
under HTSUS subheading 3907.60.0050 that otherwise meets the written 
description of the scope is also subject to this investigation. 
Although the HTSUS subheadings are provided for convenience and customs 
purposes, the written description of the merchandise under 
investigation is dispositive.

Period of Investigation

    The period of investigation (POI) is January 1, 2003, through 
December 31, 2003. This period corresponds to the four most recent 
fiscal quarters prior to the filing of the petition on March 24, 2004.

Facts Otherwise Available

    In the Preliminary Determination, we based the dumping margin for 
the mandatory respondent, Reliance Industries, Ltd. (Reliance), on 
adverse facts available pursuant to sections 776(a) and 776(b) of the 
Act. The use of adverse facts available was warranted in this 
investigation because Reliance withdrew from the investigation on 
September 22, 2004. See Preliminary Determination. Nothing has changed 
since the Preliminary Determination was issued that would affect the 
Department's selection and application of facts available.
    Reliance's withdrawal from the investigation significantly impeded 
this proceeding since the Department cannot accurately determine a 
margin for Reliance. Therefore, we maintain that Reliance has failed to 
cooperate by not acting to the best of its ability. In assigning a 
facts available rate, we have continued to use the corroborated margin 
from the Preliminary Determination, pursuant to section 776(c) of the 
Act. See Memorandum Regarding Corroboration of Data Contained in the 
Petition for Assigning Facts Available Rate, dated October 20, 2004. A 
complete explanation of both the selection and application of facts 
available can be found in the Preliminary Determination.

Verification

    As provided in section 782(i) of the Act, we conducted verification 
of the sales and cost information submitted by SAPL. We used standard 
verification procedures, including examination of the relevant sales, 
cost, and financial records.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this review are addressed in the Issues and Decision Memorandum from 
Barbara E. Tillman, Acting Deputy Assistant Secretary for Import 
Administration, to Joseph A. Spetrini, Acting Assistant Secretary for 
Import Administration, dated March 14, 2005 (Decision Memorandum), 
which is hereby adopted by this notice. Attached to this notice as an 
appendix is a list of the issues which parties have raised and to which 
we have responded in the Decision Memorandum. Parties can find a 
complete discussion of all issues raised in this review and the 
corresponding recommendations in this public memorandum which is on 
file in the Department's CRU. In addition, a complete version of the 
Decision Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/frn/index.html. The paper copy and electronic version of 
the Decision Memorandum are identical in content.

Changes Since the Preliminary Determination

    Based on our findings at verification and our analysis of comments 
received, we have made adjustments to the preliminary determination 
calculation methodologies in calculating the final dumping margin for 
SAPL. These adjustments are discussed in the  Decision Memorandum.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we are 
directing U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all imports of subject merchandise from India 
that are entered, or withdrawn from warehouse, for consumption on or 
after the date of publication of this notice in the Federal Register. 
CBP shall continue to require a cash deposit or the posting of a bond 
equal to the amount by which the normal value exceeds the EP less the 
amount of the countervailing duty determined to constitute an export 
subsidy in the companion countervailing duty investigation. While we 
note that in the Preliminary Determination we indicated that we would 
reduce the ``All Others'' rate by the amount of SAPL's export 
subsidies, we have now determined that it is more appropriate to reduce 
the ``All Others'' rate by the amount of export subsidies found for the 
``All Others'' in the companion countervailing duty investigation 
because it reflects the experiences of more than one company and is, 
therefore, more likely to reflect the actual experience of the non-
investigated companies. These suspension-of-liquidation instructions 
will remain in effect until further notice. The weighted-average 
dumping margins are as follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                   Exporter/manufacturer                        margin
                                                              percentage
------------------------------------------------------------------------
SAPL.......................................................        21.05
Reliance...................................................        52.54
All Others.................................................        21.05
------------------------------------------------------------------------

ITC Notification

    In accordance with section 735(d) of the Act, we have notified the 
International Trade Commission (ITC) of our determination. The ITC will 
determine, within 45 days, whether imports of subject merchandise from 
India are causing material injury, or threaten material injury, to an 
industry in the United States. If the ITC determines that material 
injury or threat of material injury does not exist, this proceeding 
will be terminated and all securities posted will be refunded or 
canceled. If the ITC determines that such injury does exist, the 
Department will issue an antidumping duty order directing CBP officials 
to assess antidumping duties on all imports of the subject merchandise 
entered, or withdrawn from warehouse for

[[Page 13453]]

consumption on or after the effective date of the suspension of 
liquidation.
    This notice also serves as the only reminder to parties subject to 
the administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3), which continues to govern 
business proprietary information in this segment of the proceeding. 
Timely written notification of return/destruction of APO material or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulation and the terms of an APO is a sanctionable 
violation.
    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act

    Dated: March 14, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary, for Import Administration.

Appendix I--List of Comments in the Issues and Decision Memorandum

Comment 1: Unreported Home Market Transactions
Comment 2: Date of Payment for Home Market Transactions
Comment 3: Home Market Sales Traces
Comment 4: Indirect Selling Expenses
Comment 5: Bank Charges for U.S. Sales
Comment 6: Cash Deposit Rate for Non-Selected Producer
Comment 7: Treatment of Non-Dumped Sales
Comment 8: Ministerial Error Allegations
Comment 9: Incorrectly Stated Amount for the Pre-operative Period
Comment 10: Imputed Depreciation for the Trial-Run Period
Comment 11: Miscellaneous Tax
Comment 12: Duty Drawback
Comment 13: Start-Up Costs
Comment 14: G&A and Financial Expense Ratio Denominators
Comment 15: Purchased Technical Services
Comment 16: Fixed Overhead Costs for Depreciation

[FR Doc. 05-5553 Filed 3-18-05; 8:45 am]
BILLING CODE 3510-DS-M