[Federal Register Volume 74, Number 82 (Thursday, April 30, 2009)]
[Notices]
[Pages 19934-19935]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-9998]



[[Page 19934]]

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DEPARTMENT OF COMMERCE

International Trade Administration

A-570-904


Certain Activated Carbon From the People's Republic of China: 
Notice of Initiation of Changed Circumstances Review

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

SUMMARY: The Department of Commerce (``Department'') has received 
information sufficient to warrant initiation of a changed circumstances 
review of the antidumping duty order on certain activated carbon from 
the People's Republic of China (``PRC''). Based upon a request filed by 
Hebei Foreign Trade and Advertising Corporation (``Hebei Foreign''), 
the Department is initiating a changed circumstances review to 
determine whether Hebei Shenglun Advertising and Exhibit Corporation 
(``Hebei Shenglun'') is the successor-in-interest to Hebei Foreign, a 
separate-rate respondent in the original investigation and first 
administrative review.

EFFECTIVE DATE: April 30, 2009.

FOR FURTHER INFORMATION CONTACT: Katie Marksberry, AD/CVD Operations, 
Office 9, Import Administration, International Trade Administration, 
U.S. Department of Commerce, 1401 Constitution Avenue, NW, Washington, 
DC 20230; telephone: 202-482-7906.

SUPPLEMENTARY INFORMATION:

Background

    On April 27, 2007, the Department published in the Federal Register 
an antidumping duty order on certain activated carbon from the PRC. See 
Notice of Antidumping Duty Order: Certain Activated Carbon from the 
People's Republic of China, 72 FR 20988 (April 27, 2007) (``PRC Carbon 
Order''). As part of the antidumping duty order on certain activated 
carbon from the PRC, Hebei Foreign received a separate rate of 67.14 
percent. Id. at 20989. On February 24, 2009, Hebei Foreign filed a 
submission requesting that the Department conduct a changed 
circumstances review of the antidumping duty order on certain activated 
carbon from the PRC to confirm that Hebei Shenglun is the successor-in-
interest to Hebei Foreign.\1\ In its submission, Hebei Foreign provided 
information on the events leading to the creation of Hebei Shenglun and 
the transfer of assets from Hebei Foreign to Hebei Shenglun. Hebei 
Foreign also provided documentation relating to the agreement between 
Hebei Foreign and Hebei Shenglun to transfer assets. In addition, Hebei 
Foreign provided narrative explanation and some limited documentation 
relating to the ownership structure and management, organizational 
structure, customer base, supplier relationships and locations of both 
Hebei Foreign and Hebei Shenglun. As part of its February 24, 2009, 
submission, Hebei Foreign requested that the Department conduct an 
expedited review.\2\
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    \1\ See Letter from Garvey Schubert Barer, to the Department, 
regarding Certain Activated Carbon from the People's Republic of 
China; Request for Changed Circumstances Review (Case No. A-570-904) 
(February 24, 2009) (``Hebei Foreign's CCR Request'').
    \2\ Hebei Foreign filed a request for changed circumstances on 
November 7, 2008. The Department rejected that request because it 
did not contain sufficient evidence to initiate a changed 
circumstances review.
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Scope of the Order

    The merchandise subject to this order is certain activated carbon. 
Certain activated carbon is a powdered, granular, or pelletized carbon 
product obtained by ``activating'' with heat and steam various 
materials containing carbon, including but not limited to coal 
(including bituminous, lignite, and anthracite), wood, coconut shells, 
olive stones, and peat. The thermal and steam treatments remove organic 
materials and create an internal pore structure in the carbon material. 
The producer can also use carbon dioxide gas (CO2) in place 
of steam in this process. The vast majority of the internal porosity 
developed during the high temperature steam (or CO2 gas) 
activated process is a direct result of oxidation of a portion of the 
solid carbon atoms in the raw material, converting them into a gaseous 
form of carbon.
    The scope of this order covers all forms of activated carbon that 
are activated by steam or CO2, regardless of the raw 
material, grade, mixture, additives, further washing or post-activation 
chemical treatment (chemical or water washing, chemical impregnation or 
other treatment), or product form. Unless specifically excluded, the 
scope of this order covers all physical forms of certain activated 
carbon, including powdered activated carbon (``PAC''), granular 
activated carbon (``GAC''), and pelletized activated carbon.
    Excluded from the scope of the order are chemically activated 
carbons. The carbon-based raw material used in the chemical activation 
process is treated with a strong chemical agent, including but not 
limited to phosphoric acid, zinc chloride sulfuric acid or potassium 
hydroxide, that dehydrates molecules in the raw material, and results 
in the formation of water that is removed from the raw material by 
moderate heat treatment. The activated carbon created by chemical 
activation has internal porosity developed primarily due to the action 
of the chemical dehydration agent. Chemically activated carbons are 
typically used to activate raw materials with a lignocellulosic 
component such as cellulose, including wood, sawdust, paper mill waste 
and peat.
    To the extent that an imported activated carbon product is a blend 
of steam and chemically activated carbons, products containing 50 
percent or more steam (or CO2 gas) activated carbons are 
within this scope, and those containing more than 50 percent chemically 
activated carbons are outside this scope. This exclusion language 
regarding blended material applies only to mixtures of steam and 
chemically activated carbons.
    Also excluded from the scope are reactivated carbons. Reactivated 
carbons are previously used activated carbons that have had adsorbed 
materials removed from their pore structure after use through the 
application of heat, steam and/or chemicals.
    Also excluded from the scope is activated carbon cloth. Activated 
carbon cloth is a woven textile fabric made of or containing activated 
carbon fibers. It is used in masks and filters and clothing of various 
types where a woven format is required.
    Any activated carbon meeting the physical description of subject 
merchandise provided above that is not expressly excluded from the 
scope is included within this scope. The products subject to the order 
are currently classifiable under the Harmonized Tariff Schedule of the 
United States (``HTSUS'') subheading 3802.10.00. Although the HTSUS 
subheading is provided for convenience and customs purposes, the 
written description of the scope of this order is dispositive.

Initiation of Changed Circumstances Review

    Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended 
(``Act''), the Department will conduct a changed circumstances review 
upon receipt of information concerning, or a request from an interested 
party for a review of, an antidumping duty order, which shows changed 
circumstances sufficient to warrant a review of the order. 
Additionally, section 751(b)(4) of the Act and 19 CFR 351.216(c) state 
that the Department shall not conduct a review

[[Page 19935]]

less than 24 months after the date of publication of the determination, 
in the absence of good cause. As noted above, Hebei Foreign filed its 
request for a changed circumstances review on February 24, 2009, over 
36 months after the publication of the amended final determination and 
order. See PRC Carbon Order.
    In accordance with 19 CFR 351.216(d), the Department has determined 
that the information submitted by Hebei Foreign constitutes sufficient 
evidence to conduct a change circumstances review. In a changed 
circumstances review involving a successor-in-interest determination, 
the Department typically examines several factors including, but not 
limited to, changes in: (1) management; (2) production facilities; (3) 
supplier relationships; and (4) customer base. See Certain Cut-to-
Length Carbon Steel Plate from Romania: Initiation and Preliminary 
Results of Changed Circumstances Antidumping Duty Administrative 
Review, 70 FR 22847 (May 3, 2005). While no single factor or 
combination of factors will necessarily be dispositive, the Department 
generally will consider the new company to be the successor to the 
predecessor if the resulting operations are essentially the same as 
those of the predecessor company. See, e.g., Notice of Initiation of 
Antidumping Duty Changed Circumstances Review: Certain Forged Stainless 
Steel Flanges from India, 71 FR 327 (January 4, 2006). Thus, if the 
record demonstrates that, with respect to the production and sale of 
the subject merchandise, the new company operates as the same business 
entity as the predecessor company, the Department may assign the new 
company the cash deposit rate of its predecessor. See, e.g., Fresh and 
Chilled Atlantic Salmon From Norway: Final Results of Changed 
Circumstances Antidumping Duty Administrative Review, 64 FR 9979, 9980 
(March 1, 1999).
    Based on the information provided in its submission, Hebei Foreign 
has provided sufficient evidence to warrant a review to determine if 
Hebei Shenglun is the successor-in-interest to Hebei Foreign. 
Therefore, pursuant to section 751(b)(1) of the Act and 19 CFR 
351.216(d), we are initiating a changed circumstances review. Although 
Hebei Foreign submitted documentation related to the transfer of assets 
to Hebei Shenglun and some limited information and documentation 
regarding the four factors that the Department considers in its 
successor-in-interest analysis, it did not provide complete supporting 
documentation or conclusive evidence for the four elements listed 
above. Accordingly, the Department has determined that it would be 
inappropriate to expedite this action by combining the preliminary 
results of review with this notice of initiation. See 19 CFR 
351.221(c)(3)(ii). Thus, the Department is not issuing the preliminary 
results of its antidumping duty changed circumstances review at this 
time. See, e.g., Notice of Initiation of Antidumping Duty Changed 
Circumstances Review: Certain Pasta From Turkey, 74 FR 681 (January 7, 
2009).
    The Department will issue questionnaires requesting additional 
information for the review and will publish in the Federal Register a 
notice of the preliminary results of the antidumping duty changed 
circumstances review, in accordance with 19 CFR 351.221(b)(2) and (4), 
and 19 CFR 351.221(c)(3)(i). That notice will set forth the factual and 
legal conclusions upon which our preliminary results are based and a 
description of any action proposed. Pursuant to 19 CFR 
351.221(b)(4)(ii), interested parties will have an opportunity to 
comment on the preliminary results of review. In accordance with 19 CFR 
351.216(e), the Department will issue the final results of its 
antidumping duty changed circumstances review not later than 270 days 
after the date on which the review is initiated.
    During the course of this antidumping duty changed circumstances 
review, we will not change the cash deposit requirements for the 
merchandise subject to review. The cash deposit will only be altered, 
if warranted, pursuant to the final results of this review.
    This notice is published in accordance with sections 751(b)(1) and 
777(i) of the Act and 19 CFR 351.216.

    Dated: April 21, 2009.
John M. Andersen,
Acting Deputy Assistant Secretary for Antidumping and Countervailing 
Duty Operations.
[FR Doc. E9-9998 Filed 4-29-09; 8:45 am]
BILLING CODE 3510-DS-S