[Federal Register Volume 76, Number 206 (Tuesday, October 25, 2011)]
[Notices]
[Pages 66036-66039]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-27576]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-868]


Folding Metal Tables and Chairs From the People's Republic of 
China: Final Results of Antidumping Duty Administrative Review and New 
Shipper Review, and Revocation of the Order in Part

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

SUMMARY: The Department of Commerce (``Department'') published its 
Preliminary Results of administrative review (``AR'') of the 
antidumping duty order, new shipper review (``NSR''), and intent to 
revoke order in part, on folding metal tables and chairs from the 
People's Republic of China (``PRC'') on June 20, 2011.\1\ The period of 
review (``POR'') for both reviews is June 1, 2009, through May 31, 
2010. We invited interested parties to comment on our Preliminary 
Results. Based on our analysis of the comments received, we have made 
changes to our margin calculations. Therefore, the final results differ 
from the preliminary results. The final dumping margins for these 
reviews are listed in the ``Final Results of Review'' section below.
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    \1\ See Folding Metal Tables and Chairs from the People's 
Republic of China: Preliminary Results of Antidumping Duty 
Administrative Review and New Shipper Review, and Intent to Revoke 
in Part, 76 FR 35832 (June 20, 2011) (``Preliminary Results'').

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DATES: Effective Date: October 25, 2011.

FOR FURTHER INFORMATION CONTACT: Lilit Astvatsatrian or Trisha Tran, 
AD/CVD Operations, Office 4, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
6412 or (202) 482-4852, respectively.

Background

    On June 20, 2011, the Department published its Preliminary Results. 
On July 11, 2011,\2\ Meco Corporation (``Meco''), a domestic producer 
of the like product and the petitioner in the underlying investigation, 
and Xinjiamei Furniture (Zhangzhou) Co., Ltd. (``Xinjiamei 
Furniture''), the new shipper in the NSR, provided new surrogate value 
information for the administrative review and NSR, respectively. On 
June 28, 2011, the Department announced its new wage rate methodology 
and invited comments from parties in both reviews. On July 5, 2011, the 
Department announced a minor revision to the exchange rate calculation 
methodology used to convert the surrogate wage rate.
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    \2\ The Department rejected Meco's July 11, 2011, surrogate 
value submission and Meco re-submitted it on August 9, 2011.
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    On July 20, 2011,\3\ Meco, New-Tec Integration (Xiamen) Co., Ltd. 
(``New-Tec''), a mandatory respondent in the administrative review, and 
Lifetime Hong Kong, Ltd. (``Lifetime''), a separate-rate respondent in 
the administrative review, submitted case briefs for the administrative 
review, and Xinjiamei Furniture submitted a case brief in the NSR.
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    \3\ The Department rejected Meco's July 20, 2011, case brief and 
Meco re-submitted it on August 9, 2011.
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    On July 25, 2011,\4\ the Department received rebuttal briefs in the 
administrative review from Meco, New-Tec, Feili Group (Fujian) Co., 
Ltd. and Feili Furniture Development Limited Quanzhou City 
(collectively, ``Feili''), a mandatory respondent in the administrative 
review, Lifetime, and Cosco Home and Office Products, an importer 
interested party, and from Meco for the NSR. On August 11, 2011, the 
Department held a public hearing on the administrative review.
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    \4\ The Department rejected Meco's original rebuttal brief 
submitted on July 25, 2011 for the NSR and Meco re-submitted it on 
August 2, 2011.
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    We have conducted these reviews in accordance with section 751 of 
the Tariff Act of 1930, as amended (``the Act''), 19 CFR 351.241, and 
19 CFR 351.213.

Scope of Order

    The products covered by the order consist of assembled and 
unassembled folding tables and folding chairs made primarily or 
exclusively from steel or other metal, as described below:
    (1) Assembled and unassembled folding tables made primarily or 
exclusively from steel or other metal (folding metal tables). Folding 
metal tables include square, round, rectangular, and any other shapes 
with legs affixed with rivets, welds, or any other type of fastener, 
and which are made most commonly, but not exclusively, with a hardboard 
top covered with vinyl or fabric. Folding metal tables have legs that 
mechanically fold independently of one another, and not as a set. The 
subject merchandise is commonly, but not exclusively, packed singly, in 
multiple packs of the same item, or in five piece sets consisting of 
four chairs and one table. Specifically excluded from the scope of the 
order regarding folding metal tables are the following:

Lawn furniture;
Trays commonly referred to as ``TV trays;''
Side tables;
Child-sized tables;
Portable counter sets consisting of rectangular tables 36'' high and 
matching stools; and, Banquet tables. A banquet table is a rectangular 
table with a plastic or laminated wood table top approximately 28'' to 
36'' wide by 48'' to 96'' long and with a set of folding legs at each 
end of the table. One set of legs is composed of two individual legs 
that are affixed together by one or more cross-braces using welds or 
fastening hardware. In contrast, folding metal tables have legs that 
mechanically fold independently of one another, and not as a set.

    (2) Assembled and unassembled folding chairs made primarily or 
exclusively from steel or other metal (folding metal chairs). Folding 
metal chairs include chairs with one or more cross-braces, regardless 
of shape or size, affixed to the front and/or rear legs with rivets, 
welds or any other type of fastener. Folding metal chairs include: 
those that are made solely of steel or other metal; those that have a 
back pad, a seat pad, or both a back pad and a seat pad; and those that 
have seats or backs made of plastic or other materials. The subject 
merchandise is commonly, but not exclusively, packed singly, in 
multiple packs of the same item, or in five piece sets consisting of 
four chairs and one table. Specifically excluded from the scope of the 
order regarding folding metal chairs are the following:

Folding metal chairs with a wooden back or seat, or both;
Lawn furniture;
Stools;
Chairs with arms; and
Child-sized chairs.

    The subject merchandise is currently classifiable under subheadings 
9401.71.0010, 9401.71.011, 9401.71.0030, 9401.71.0031, 9401.79.0045, 
9401.79.0046, 9401.79.0050, 9403.20.0018, 9403.20.0015, 9403.20.0030,

[[Page 66037]]

9403.60.8040, 9403.70.8015, 9403.70.8020, and 9403.70.8031 of the 
Harmonized Tariff Schedule of the United States (``HTSUS''). Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, the Department's written description of the merchandise is 
dispositive.

Analysis of Comments Received

    All issues raised in the post-preliminary comments by parties in 
these reviews are addressed in the memorandum from Gary Taverman, 
Acting Deputy Assistant Secretary for Antidumping and Countervailing 
Duty Operations, to Ronald K. Lorentzen, Deputy Assistant Secretary for 
Import Administration, ``Issues and Decision Memorandum for the 2009-
2010 Administrative Review of Folding Metal Tables and Chairs from the 
People's Republic of China'' (October 18, 2011) (``Issues and Decision 
Memorandum of the Administrative Review'') and the memorandum from Gary 
Taverman, Acting Deputy Assistant Secretary for Antidumping and 
Countervailing Duty Operations, to Ronald K. Lorentzen, Deputy 
Assistant Secretary for Import Administration, ``Issues and Decision 
Memorandum for the 2009-2010 New Shipper Review of the Antidumping Duty 
Order on Folding Metal Tables and Chairs from the People's Republic of 
China'' (October 18, 2011) (``Issues and Decision Memorandum of the 
NSR''), which are hereby adopted by this notice. Lists of the issues 
that parties raised and to which we responded in the Issues and 
Decision Memoranda are attached to this notice as an appendix. The 
Issues and Decision Memoranda are public documents and are on file 
electronically via Import Administration's Antidumping and 
Countervailing Duty Centralized Electronic Service System (``IA 
ACCESS''). Access to IA ACCESS is available in the Central Records Unit 
(``CRU''), room 7046 of the main Department of Commerce building. In 
addition, a complete version of the Issues and Decision Memoranda can 
be accessed directly on the Internet at http://www.trade.gov/ia/. The 
signed Issues and Decision Memoranda and the electronic versions of the 
Issues and Decision Memoranda are identical in content.

Changes Since the Preliminary Results

    Based on our analysis of comments received, we have made changes in 
the margin calculations for Feili and New-Tec in the administrative 
review and Xinjiamei Furniture in the NSR.
     With respect to New-Tec, we applied the Sigma freight cap 
to the factors of production (``FOP'') inputs where the reported 
distances from the domestic supplier to the factory were greater than 
the reported distance from the factory to the nearest port.\5\
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    \5\ See Issues and Decision Memorandum of the Administrative 
Review, at Comment 3.
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     With respect to New-Tec, we have deducted PHONEYCOMB1, 
(i.e., paper honeycomb reported as a direct material) in the total 
packing calculation and PHONEYCOMB2 (i.e., paper honeycomb reported as 
a packing material) in the total direct material calculation.\6\
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    \6\ See id., at Comment 4.
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     With respect to Xinjiamei Furniture, the Department 
corrected the program so that the calculated labor costs properly 
reflect the result of the reported direct labor, indirect labor, and 
packing labor FOPs multiplied by the labor surrogate value.\7\
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    \7\ See Issues and Decision Memorandum of the NSR, at Comment 2.
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     We have recalculated New-Tec's, Feili's, and Xinjiamei 
Furniture's surrogate values for the labor cost based on the 
methodology proposed in (1) Labor Methodologies,\8\ (2) Wage Rate Memo 
and NSR Memorandum: Industry-Specific Surrogate Wage Rate; \9\ and (3) 
Labor Cost Conversion Memo and NSR Memorandum: Labor Cost 
Conversion.\10\ As a result of the Department's newly-adopted, single-
country and industry-specific, labor cost calculation methodology and 
application of the daily exchange rate in the SAS program, we have 
changed the surrogate labor rate for New-Tec, Feili, and Xinjiamei 
Furniture to 50.36 Rs/Hrs.
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    \8\ Antidumping Methodologies in Proceedings Involving Non-
Market Economies: Valuing the Factor of Production: Labor, 76 FR 
36092 (June 21, 2011) (``Labor Methodologies'').
    \9\ See Memorandum to the File, entitled ``2009-2010 New Shipper 
Review of the Antidumping Duty Order on Folding Metal Tables and 
Chairs from the People's Republic of China: Industry-Specific 
Surrogate Wage Rate and Surrogate Financial Ratio Adjustments,'' 
dated June 28, 2011 (``NSR Memorandum: Industry-Specific Surrogate 
Wage Rate'') and Memorandum to the File, entitled ``2009-2010 
Administrative Review of the Antidumping Duty Order on Folding Metal 
Tables and Chairs from the People's Republic of China: Industry-
Specific Surrogate Wage Rate and Surrogate Financial Ratio 
Adjustments,'' dated June 28, 2011 (``Wage Rate Memo'').
    \10\ See Memorandum to the File, entitled ``2009-2010 New 
Shipper Review of the Antidumping Duty Order on Folding Metal Tables 
and Chairs from the People's Republic of China: Labor Cost 
Conversion,'' dated July 15, 2011 (``NSR Memorandum: Labor Cost 
Conversion'') and Memorandum to the File, entitled ``2009-2010 
Administrative Review of the Antidumping Duty Order on Folding Metal 
Tables and Chairs from the People's Republic of China: Labor Cost 
Conversion,'' dated July 15, 2011 (``Labor Cost Conversion Memo'').
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     For the final results of the AR and NSR, the Department 
relied on the ILO Yearbook Chapter 6A as its primary data source and 
revised the overhead financial ratio as set forth in Labor 
Methodologies, Wage Rate Memo, the NSR Memorandum: Industry-Specific 
Surrogate Wage Rate, Labor Cost Conversion Memo, and the NSR 
Memorandum: Labor Cost Conversion. As a result, the following 
individual identifiable labor costs in the surrogate financial 
statements were re-categorized in order to ensure that Chapter 6A labor 
costs, included in the ILO defined ``Labor cost'' and ``Compensation of 
employees,'' are not over-stated, as listed below: (1) Contribution to 
Provident Fund, EDLI Gratuity Etc. and (2) Staff & Labour Welfare. 
Based on the foregoing methodology, the revised surrogate overhead 
ratio to be applied for the final results is 4.92 percent for New-Tec 
Feili, and Xinjiamei Furniture.
     For the final results for Lifetime, we have applied the 
2.78 percent rate that was calculated for Xinjiamei Furniture, the 
respondent in the companion new shipper review, instead of the rate 
applied in the preliminary results, which was calculated for New Tec in 
a previous administrative review.\11\
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    \11\ See Issues and Decision Memorandum of the Administrative 
Review, at Comment 5.
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Final Results of Reviews

    We determine that the dumping margins for the POR are as follows:

 
------------------------------------------------------------------------
               Exporter                      Weighted-average margin
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Feili Group (Fujian) Co., Ltd., Feili   0.03 (de minimis)
 Furniture Development Limited
 Quanzhou City.
New-Tec Integration (Xiamen) Co., Ltd.  0.00%
Lifetime Hong Kong Ltd................  2.78%

[[Page 66038]]

 
Xinjiamei Furniture (Zhangzhou) Co.,    2.78%
 Ltd., Xinjiamei (Zhangzhou) Commodity
 Co., Ltd.
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Determination To Revoke Order, in Part

    The Department may revoke, in whole or in part, an antidumping duty 
order upon completion of a review under section 751 of the Act. While 
Congress has not specified the procedures that the Department must 
follow in revoking an order, the Department has developed a procedure 
for revocation that is described in 19 CFR 351.222. This regulation 
requires, inter alia, that a company requesting revocation must submit 
the following: (1) A certification that the company has sold the 
subject merchandise at not less than normal value (``NV'') in the 
current
    review period and that the company will not sell subject 
merchandise at less than NV in the future; (2) a certification that the 
company sold commercial quantities of the subject merchandise to the 
United States in each of the three years forming the basis of the 
request; and (3) an agreement to immediate reinstatement of the order 
if the Department concludes that the company, subsequent to the 
revocation, sold subject merchandise at less than NV.\12\ Upon receipt 
of such a request to revoke an order in part, the Department will 
consider: (1) Whether the company in question has sold subject 
merchandise at not less than NV for a period of at least three 
consecutive years; (2) whether the company has agreed in writing to its 
immediate reinstatement in the order, as long as any exporter or 
producer is subject to the order, if the Department concludes that the 
company, subsequent to the revocation, sold the subject merchandise at 
less than NV; and (3) whether the continued application of the 
antidumping duty order is otherwise necessary to offset dumping.\13\
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    \12\ See 19 CFR 351.222(e)(1).
    \13\ See 19 CFR 351.222(b)(2)(i) and Sebacic Acid From the 
People's Republic of China: Final Results of Antidumping Duty 
Administrative Review and Determination To Revoke Order in Part, 67 
FR 69719, 69720 (November 19, 2002).
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    We have determined that the request from New-Tec meets all of the 
criteria for revocation under 19 CFR 351.222. With regard to the 
criteria of 19 CFR 351.222(b)(2), our final margin calculations show 
that New-Tec sold folding metal tables and chairs at not less than NV 
during the current review period. In addition, New-Tec sold folding 
metal tables and chairs at not less than NV in the two previous 
administrative reviews (i.e., New-Tec's dumping margins were zero or de 
minimis).\14\ Also, we find that application of the antidumping duty 
order to New-Tec is no longer warranted. We base this partial 
revocation of the order with respect to New-Tec on three consecutive 
years of sales made in commercial quantities at not less than NV and on 
New-Tec's agreement to immediate reinstatement in the relevant 
antidumping order, if the Department concludes that it sold the subject 
merchandise at less than NV subsequent to revocation.\15\ Moreover, no 
party has contested the revocation analysis for New-Tec. Therefore, we 
continue to find that New-Tec qualifies for revocation, in part, of the 
antidumping duty order on folding metal tables and chairs from the PRC 
under 19 CFR 351.222(b)(2).
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    \14\ See Folding Metal Tables and Chairs from the People's 
Republic of China: Final Results of Antidumping Duty Administrative 
Review, 74 FR 3560 (January 21, 2009); and Folding Metal Tables and 
Chairs from the People's Republic of China: Final Results of 
Antidumping Duty Administrative Review, 74 FR 68568 (December 28, 
2009).
    \15\ See Memorandum to the File entitled, ``Analysis of 
Commercial Quantities for New-Tec's Request for Revocation,'' dated 
May 31, 2011.
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    Accordingly, we are revoking the order with respect to subject 
merchandise exported by New-Tec.

Effective Date of Revocation

    This revocation applies to all entries of subject merchandise that 
are exported by New-Tec, and are entered, or withdrawn from warehouse, 
for consumption on or after June 1, 2010. The Department will order the 
suspension of liquidation lifted for all such entries and will instruct 
U.S. Customer and Border Protection (``CBP'') to release any cash 
deposits or bonds. The Department will further instruct CBP to refund 
with interest any cash deposits on entries made on or after June 1, 
2010.

Assessment

    The Department will determine, and CBP shall assess, antidumping 
duties on all appropriate entries of subject merchandise in accordance 
with the final results of these reviews. For assessment purposes, we 
calculated exporter/importer- (or customer) specific assessment rates 
for merchandise subject to these reviews. Where appropriate, we 
calculated an ad valorem rate for each importer (or customer) by 
dividing the total dumping margins for reviewed sales to that party by 
the total entered values associated with those transactions. For duty-
assessment rates calculated on this basis, we will direct CBP to assess 
the resulting ad valorem rate against the entered customs values for 
the subject merchandise. Where appropriate, we calculated a per-unit 
rate for each importer (or customer) by dividing the total dumping 
margins for reviewed sales to that party by the total sales quantity 
associated with those transactions. For duty-assessment rates 
calculated on this basis, we will direct CBP to assess the resulting 
per-unit rate against the entered quantity of the subject merchandise. 
Where an importer- (or customer) specific assessment rate is de minimis 
under 19 CFR 351.106(c) (i.e., less than 0.50 percent), the Department 
will instruct CBP to assess that importer (or customer's) entries of 
subject merchandise without regard to antidumping duties. Because we 
have revoked the order with respect to subject merchandise exported by 
New-Tec, we will instruct CBP to terminate the suspension of 
liquidation for imports of such merchandise entered, or withdrawn from 
warehouse, for consumption on or after June 1, 2010, and to refund all 
cash deposits collected. The Department intends to issue appropriate 
assessment instructions directly to CBP 15 days after publication of 
the final results of these reviews.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for all 
shipments of the subject merchandise from the PRC entered, or withdrawn 
from warehouse, for consumption on or after the publication date, as 
provided for by section 751(a)(2)(C) of the Act: (1) For previously 
investigated or reviewed PRC and non-PRC exporters not listed above 
that have separate rates, the cash deposit rate will continue to be the 
exporter-specific rate published for the

[[Page 66039]]

most recent period; (2) for all PRC exporters of subject merchandise 
which have not been found to be entitled to a separate rate, the cash 
deposit rate will be the PRC-wide rate established in the final results 
of this review (i.e., 70.71 ercent); and (3) for all non-PRC exporters 
of subject merchandise which have not received their own rate, the cash 
deposit rate will be the rate applicable to the PRC exporters that 
supplied that non-PRC exporter. These deposit requirements, when 
imposed, shall remain in effect until further notice.

Notification to Interested Parties

    This notice serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during the review period. Pursuant to 19 CFR 
351.402(f)(3), failure to comply with this requirement could result in 
the Department's presumption that reimbursement of antidumping duties 
occurred and the subsequent assessment of doubled antidumping duties.
    This notice also serves as a reminder to parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO as explained in the administrative protective order itself. Timely 
written notification of the return/destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and the terms of an APO is a sanctionable 
violation.
    This notice of the final results of these reviews is issued and 
published in accordance with sections 751(a)(1) and 777(i) of the Act.

    Dated: October 18, 2011.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.

Appendix



List of Comments and Issues in the Issues and Decision Memorandum for 
the Administrative Review

Comment 1: Selection of the Primary Surrogate Country.
    A. Economic Comparability.
    B. Significant Production of Comparable Merchandise.
    C. Best Available Surrogate Value Information.
    1. Best Available Data.
    2. Labor Rate.
Comment 2: Surrogate Financial Statements.
    A. Use of Maximaa's Financial Statements.
    B. Use of Lion's Financial Statements.
Comment 3: Application of Sigma Cap in New-Tec's Supplier Distance 
Calculation.
Comment 4: Application of Paper Honey Comb in New-Tec's Direct and 
Packing Material Calculation.
Comment 5: Application of the Appropriate Margin to Lifetime.

List of Comments and Issues in the Issues and Decision Memorandum for 
the New Shipper Review

    Comment 1: Surrogate Value for Cold Rolled Steel Coil.
Comment 2: Calculation of Labor Costs.
Comment 3: Treatment of Overhead Surrogate Financial Ratio.

[FR Doc. 2011-27576 Filed 10-24-11; 8:45 am]
BILLING CODE 3510-DS-P