[Federal Register Volume 72, Number 44 (Wednesday, March 7, 2007)]
[Notices]
[Pages 10148-10150]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-4068]


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DEPARTMENT OF COMMERCE

International Trade Administration

A-570-848


Freshwater Crawfish Tail Meat from the People's Republic of 
China: Preliminary Notice of Intent to Rescind New Shipper Reviews

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (``the Department'') is conducting 
new shipper reviews of the antidumping duty order on freshwater 
crawfish tail meat from the People's Republic of China (``PRC'') in 
response to requests from Nanjing Merry Trading Co., Ltd. (``Nanjing 
Merry''), Leping Lotai Foods Co., Ltd. (``Leping Lotai''), Weishan 
Hongrun Aquatic Food Co., Ltd. (``Weishan Hongrun''), and Shanghai 
Strong International Trading Co., Ltd. (``Shanghai Strong''). The 
period of review (``POR'') is September 1, 2005, through February 28, 
2006. Because the sale(s) made by Weishan Hongrun were not bona fide, 
and neither Leping Lotai, Nanjing Merry, nor Shanghai Strong have 
demonstrated that they qualify for a separate rate, we have 
preliminarily determined that each of these new shipper reviews should 
be rescinded. Interested parties are invited to comment on this 
preliminary notice of intent to rescind.

EFFECTIVE DATE:  March 7, 2007.

FOR FURTHER INFORMATION CONTACT: Scot Fullerton or P. Lee Smith, 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-
1386 or (202) 482-1655, respectively.

SUPPLEMENTARY INFORMATION:

Background

    Pursuant to section 751(a)(2)(B) of the Tariff Act of 1930, as 
amended (``the Act''), and in accordance with 19 CFR 351.214(c), the 
Department received timely requests for new shipper reviews from 
Shanghai Strong on March 24, 2006, from Nanjing Merry and Leping Lotai 
on March 27, 2006, and from Weishan Hongrun on March 31, 2006. See 
Notice of Amendment to Final Determination of Sales at Less than Fair 
Value and Antidumping Duty Order: Freshwater Crawfish Tail Meat from 
the People's Republic of China, 62 FR 48218 (September 15, 1997).
    The Department determined that the requests made by Nanjing Merry, 
Leping Lotai, and Weishan Hongrun met the requirements stated in 
section 351.214 of the Department's regulations. On May 5, 2006, the 
Department published its initiation of these new shipper reviews for 
the period September 1, 2005, through February 28, 2006. See Freshwater 
Crawfish Tail Meat From the People's Republic of China: Initiation of 
Antidumping Duty New Shipper Reviews, 71 FR 26453 (May 5, 2006) (``May 
5, 2006, Initiation Notice''). On May 1, 2006, pursuant to 19 CFR 
351.302(b), the Department extended the time limit to initiate the new 
shipper review of Shanghai Strong by 30 days in order to provide the 
respondent with an opportunity to explain certain information in the 
entry documentation. On May 31, 2006, the Department determined that 
Shanghai Strong's request also met the requirements stated in section 
351.214 of the Department's regulations, and published its initiation 
of this new shipper review. See Freshwater Crawfish Tail Meat From the 
People's Republic of China: Initiation of Antidumping Duty New Shipper 
Review, 71 FR 30866 (May 31, 2006) (``May 31, 2006, Initiation 
Notice'').
    The Department received section A questionnaire responses from 
Leping Lotai on June 3, 2006; Weishan Hongrun on June 5, 2006; Nanjing 
Merry on June 6, 2006; and from Shanghai Strong on June 15, 2006. The 
Department issued a supplemental section A questionnaire to Leping 
Lotai on June 16, 2006, and received a response on June 28, 2006. The 
Department also received section C and D questionnaire responses from 
Weishan Hongrun on June 22, 2006; from Leping Lotai and Nanjing Merry 
on June 27, 2006; and from Shanghai Strong on June 30, 2006.
    On July 7, 2006, the Department issued a supplemental section A 
questionnaire to Shanghai Strong, and received a response from the 
company on July 20, 2006. On July 26, 2006, the Department issued a 
supplemental section A, C, and D questionnaire to Nanjing Merry, and 
received the company's response on August 22, 2006. On August 1, 2006, 
the Department issued a supplemental section C and D questionnaire to 
Shanghai Strong and Leping Lotai, to which both companies submitted a 
response on August 10, 2006. Additionally, on August 4, 2006, the 
Department issued a supplemental section A, C and D questionnaire to 
Weishan Hongrun, to which both companies submitted responses on 
September 1, 2006.
    On September 25, 2006, Nanjing Merry submitted a letter in which it 
stated it would no longer participate in

[[Page 10149]]

the new shipper review and would not permit the verification of the 
information it had already placed on the record of its new shipper 
review. On October 2, 2006, Shanghai Strong and Leping Lotai also 
submitted letters indicating that neither company would permit the 
verification of the information each placed on the record of its new 
shipper review.
    On October 11, 2006, the Department extended the due date for the 
preliminary results of the Leping Lotai, Nanjing Merry, and Weishan 
Hongrun new shipper reviews by 90 days from the original October 25, 
2006, deadline. In addition, the Department extended the deadline for 
the preliminary results of the Shanghai Strong new shipper review by 65 
days from the original November 19, 2006, deadline. Therefore, the 
preliminary results for all four of the above-referenced new shipper 
reviews were extended until January 23, 2007. See Notice of Extension 
of the Preliminary Results of New Shipper Antidumping Duty Reviews: 
Freshwater Crawfish Tail Meat from the People's Republic of China, 71 
FR 59738 (October 11, 2006). Moreover, On October 11, 2006, the 
Department issued a second supplemental questionnaire to Weishan 
Hongrun, to which the Department received a response on November 1, 
2006.
    On November 3, 2006, the Department issued a third supplemental 
questionnaire to Weishan Hongrun. On November 22, 2006, the Department 
rejected Weishan Hongrun's November 21, 2006, response based on certain 
filing inadequacies, but provided the company with an opportunity to 
correct the submission by November 27, 2006. On November 27, 2006, 
Weishan Hongrun submitted its response to question number 17 of the 
Department's November 3, 2006, supplemental questionnaire, and on 
November 28, 2006, Weishan Hongrun submitted its response to the 
remaining questions. On November 28, 2006, the Department issued its 
fourth supplemental questionnaire to Weishan Hongrun requesting, in 
part, that the company submit information which had been previously 
requested by the Department. On December 8, 2006, Weishan Hongrun 
submitted its response to the Department's November 28, 2006, 
supplemental questionnaire.
    On December 15, 2006, the Department further extended the deadline 
for the preliminary results of the Leping Lotai, Nanjing Merry, Weishan 
Hongrun and Shanghai Strong new shipper reviews by an additional 30 
days from the January 23, 2007, deadline until February 22, 2007. See 
Notice of Extension of the Preliminary Results of New Shipper 
Antidumping Duty Reviews: Freshwater Crawfish Tail Meat from the 
People's Republic of China, 71 FR 75502 (December 15, 2006).

Scope of the Antidumping Duty Order

    The product covered by this order is freshwater crawfish tail meat, 
in all its forms (whether washed or with fat on, whether purged or 
unpurged), grades, and sizes; whether frozen, fresh, or chilled; and 
regardless of how it is packed, preserved, or prepared. Excluded from 
the scope of the order are live crawfish and other whole crawfish, 
whether boiled, frozen, fresh, or chilled. Also excluded are saltwater 
crawfish of any type, and parts thereof. Freshwater crawfish tail meat 
is currently classifiable in the Harmonized Tariff Schedule of the 
United States (HTSUS) under item numbers 1605.40.10.10 and 
1605.40.10.90, which are the new HTSUS numbers for prepared foodstuffs, 
indicating peeled crawfish tail meat and other, as introduced by the 
U.S. Customs Service in 2000, and HTSUS items 0306.19.00.10 and 
0306.29.00, which are reserved for fish and crustaceans in general. The 
HTSUS subheadings are provided for convenience and Customs purposes 
only. The written description of the scope of this order is 
dispositive.

Preliminary Intent to Rescind

    Concurrent with this notice, we are issuing our memoranda detailing 
our analysis of the bona fides of Weishan Hongrun's U.S. sale and our 
preliminary decision to rescind based on the totality of the 
circumstances of the sale. See Memorandum to James C. Doyle, Director, 
AD/CVD Operations, Office 9, Import Administration, through Christopher 
D. Riker, Program Manager, AD/CVD Operations, Office 9, from Scot 
Fullerton, Senior Case Analyst, AD/CVD Operations, Office 9, regarding 
2005/2006 Antidumping Duty New Shipper Review of the Antidumping Duty 
Order on Freshwater Crawfish Tail Meat from the People's Republic of 
China: Bona Fide Analysis of the Sale(s) Reported by Weishan Hongrun 
Aquatic Food Co., Ltd. (February 22, 2007) (``Weishan Hongrun Memo''). 
Although much of the information relied upon by the Department to 
analyze the issues is business proprietary, the Department based its 
determination that the new shipper sale made by Weishan Hongrun was not 
bona fide on the following: 1) the quantity and price of Hongrun's 
single sale; 2) the unreported business relationships/potential 
affiliations between Hongrun and other crawfish tail meat producers; 3) 
Hongrun's failure to establish the source of the initial investment 
capital used to form Hongrun; and finally, 4) the lack or regular 
commercial interest in the subject merchandise, and the circumstances 
surrounding the resale of the single POR sale.
    Because the Department has found Weishan Hongrun's sale to be non-
bona fide, it is not subject to review. See Weishan Hongrun Memo. 
Weishan Hongrun only made a single, non-bona fide sale during the POR. 
Therefore, the Department intends to rescind its new shipper review 
because there are no reviewable sales during the POR. See e.g., Tianjin 
Tiancheng Pharmaceutical Co., Ltd. v. United States, 366 F. Supp. 2d 
1246, 1249 (CIT 2005).
    Additionally, as referenced above, Leping Lotai, Nanjing Merry, and 
Shanghai Strong all submitted letters to the Department indicating they 
would not permit verification of the information placed on the record 
of the reviews. By not permitting the Department to verify the accuracy 
of the information each submitted to the Department, Leping Lotai, 
Nanjing Merry, and Shanghai Strong each failed to establish that they 
qualify for a separate rate. See Memorandum to James C. Doyle, 
Director, AD/CVD Operations, Office 9, from Scot T. Fullerton and 
Prentiss Lee Smith, Case Analysts, through Christopher D. Riker, 
Program Manager, regarding Freshwater Crawfish Tail Meat from The 
People's Republic of China: Intent to Rescind the New Shipper Review of 
Leping Lotai Foods Co. (February 22, 2007); Memorandum to James C. 
Doyle, Director, AD/CVD Operations, Office 9, from Scot T. Fullerton 
and Prentiss Lee Smith, Case Analysts, through Christopher D. Riker, 
Program Manager, regarding Freshwater Crawfish Tail Meat from The 
People's Republic of China: Intent to Rescind the New Shipper Review of 
Nanjing Merry Trading Co., Ltd. (February 22, 2007); Memorandum to 
James C. Doyle, Director, AD/CVD Operations, Office 9, from Scot T. 
Fullerton and Prentiss Lee Smith, Case Analysts, through Christopher D. 
Riker, Program Manager, regarding Freshwater Crawfish Tail Meat from 
The People's Republic of China: Intent to Rescind the New Shipper 
Review of Shanghai Strong International Trading Co., Ltd. (February 22, 
2007).
    To establish whether a company operating in a non market economy 
(``NME'') is sufficiently independent from the Government to be 
eligible for a separate rate, the Department analyzes each exporting 
entity under the test

[[Page 10150]]

established in the Final Determination of Sales at Less Than Fair 
Value: Sparklers from the People's Republic of China, 56 FR 20588 (May 
6, 1991) (``Sparklers''), as amplified by the Final Determination of 
Sales at Less Than Fair Value: Silicon Carbide from the People's 
Republic of China, 59 FR 22585 (May 2, 1994). Under the separate-rates 
criteria, the Department assigns separate rates in NME cases only if 
the respondent can demonstrate the absence of both de jure and de facto 
governmental control over export activities.
    By failing to allow the Department to verify the accuracy of their 
submissions, Leping Lotai, Nanjing Merry, and Shanghai Strong, have not 
demonstrated they are free of government control and are therefore not 
eligible to receive a separate rate. In the Notices of Initiation, the 
Department stated that an exporter unable to demonstrate the company's 
eligibility for a separate rate does not meet the requirements of 19 
CFR 351.214(b)(2)(iii) and its new shipper review will be rescinded. 
See May 5, 2006, Initiation Notice at 26454; see also May 31, 2006, 
Initiation Notice at 30866. Therefore, the Department is preliminarily 
rescinding the new shipper reviews of Leping Lotai, Nanjing Merry, and 
Shanghai Strong. See, e.g., Notice of Preliminary Results of 
Antidumping Duty New Shipper Review and Rescission of New Shipper 
Reviews: Freshwater Crawfish Tail Meat from the People's Republic of 
China, 69 FR 53669 (September 2, 2004); see also Brake Rotors From the 
People's Republic of China: Rescission of Second New Shipper Review and 
Final Results and Partial Rescission of First Antidumping Duty 
Administrative Review, 64 FR 61581 (November 12, 1999).

Schedule for Final Results of Review

    Unless otherwise notified by the Department, interested parties may 
submit case briefs within 30 days of the date of publication of this 
notice in accordance with section 351.309(c)(ii) of the Department's 
regulations. As part of the case brief, parties are encouraged to 
provide a summary of the arguments not to exceed five pages and a table 
of statutes, regulations, and cases cited. Rebuttal briefs, which must 
be limited to issues raised in the case briefs, must be filed within 
five days after the case brief is filed.
    Any interested party may request a hearing within 30 days of 
publication of this notice in accordance with section 351.310(c) of the 
Department's regulations. Any hearing would normally be held 37 days 
after the publication of this notice, or the first workday thereafter, 
at the U.S. Department of Commerce, 14th Street and Constitution Avenue 
N.W., Washington, DC 20230. Individuals who wish to request a hearing 
must submit a written request within 30 days of the publication of this 
notice in the Federal Register to the Assistant Secretary for Import 
Administration, U.S. Department of Commerce, Room 1870, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230. Requests for a public 
hearing should contain: (1) the party's name, address, and telephone 
number; (2) the number of participants; and, (3) to the extent 
practicable, an identification of the arguments to be raised at the 
hearing. If a hearing is held, an interested party must limit its 
presentation only to arguments raised in its briefs. Parties should 
confirm by telephone the time, date, and place of the hearing 48 hours 
before the scheduled time.
    The Department will issue the final results of this new shipper 
review, which will include the results of its analysis of issues raised 
in the briefs, within 90 days from the date of the preliminary results, 
unless the time limit is extended.

Notification

    This notice serves as the only reminder to parties subject to 
administrative protective orders (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return/destruction of APO material or conversion to 
judicial protective order is hereby requested. Failure to comply with 
the regulations and terms of an APO is a violation which is subject to 
sanctions.
    These new shipper reviews and this notice are published in 
accordance with sections 751(a)(2)(B) and 777(i)(1) of the Act.

    Dated: February 22, 2007.
David M. Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E7-4068 Filed 3-6-07; 8:45 am]
BILLING CODE 3510-DS-S