[Federal Register Volume 77, Number 16 (Wednesday, January 25, 2012)]
[Notices]
[Pages 3731-3736]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-1558]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-552-812, A-583-849]


Steel Wire Garment Hangers From the Socialist Republic of Vietnam 
and Taiwan: Initiation of Antidumping Duty Investigations

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

DATES:  Effective Date: January 25, 2012.

FOR FURTHER INFORMATION CONTACT: Catherine Bertrand at (202) 482-3207 
(the Socialist Republic of Vietnam (``Vietnam'')), or Scot Fullerton at 
(202) 482-1386 (Taiwan), AD/CVD Operations, Office 9, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue NW., Washington, DC 
20230.

SUPPLEMENTARY INFORMATION: 

Petitions

    On December 29, 2011, the Department of Commerce (the 
``Department'') received antidumping duty (``AD'') petition concerning 
imports of steel wire garment hangers from Vietnam and Taiwan filed in 
proper form on behalf of M&B Metal Products Company, Inc.; Innovative 
Fabrication LLC/Indy Hanger; and US Hanger Company, LLC (collectively, 
``Petitioners'').\1\ \2\ On January 5, 2012, the Department 
issued a request for additional information and clarification of 
certain areas of the Petitions. On January 10, 2012, Petitioners filed 
a response with respect to general questions about information in the 
Petitions (``Supplement to the AD/CVD Petitions''). On January 11, 
2012, Petitioners also filed responses specific to the Vietnam and 
Taiwan AD Petition (hereinafter, ``Supplement to Vietnam Petition,'' 
and ``Supplement to the Taiwan Petition,'' respectively). On January 
11, 2012, Petitioners also filed a revision to the proposed scope 
language (``Second Scope Revision''). In accordance with section 732(b) 
of the Tariff Act of 1930, as amended (the ``Act''), Petitioners allege 
that imports of steel wire garment hangers from Vietnam and Taiwan are 
being, or are likely to be, sold in the United States at less than fair 
value, within the meaning of section 731 of the Act, and that such 
imports are materially injuring, or threatening material injury to, an 
industry in the United States.
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    \1\ See ``Petitions for the Imposition of Antidumping Duties on 
Steel Wire Garment Hangers from Taiwan and Antidumping and 
Countervailing Duties on Steel Wire Garment Hangers from the 
Socialist Republic of Vietnam,'' filed on December 29, 2011 (the 
``Petitions'').
    \2\ A countervailing duty (``CVD'') petition was also filed on 
steel wire garment hangers from Vietnam.
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    The Department finds that Petitioners filed the Petitions on behalf 
of the domestic industry because Petitioners are interested parties as 
defined in section 771(9)(C) of the Act and have demonstrated 
sufficient industry support with respect to the antidumping duty 
investigations that Petitioners are requesting that the Department 
initiate (see ``Determination of Industry Support for the Petitions'' 
section below).

Period of Investigation

    The period of investigation (``POI'') for the investigation 
involving Vietnam is April 1, 2011, through September 30, 2011. The POI 
for the investigation involving Taiwan is October 1, 2010, through 
September 30, 2011.\3\
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    \3\ See 19 CFR 351.204(b)(1).

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[[Page 3732]]

Scope of Investigations

    The product covered by these investigations is steel wire garment 
hangers from Vietnam and Taiwan. For a full description of the scope of 
the investigations, please see the ``Scope of the Investigations,'' in 
Appendix I of this notice.

Comments on Scope of Investigations

    During our review of the Petitions, we discussed the scope with 
Petitioners to ensure that it is an accurate reflection of the products 
for which the domestic industry is seeking relief. Moreover, as 
discussed in the preamble to the Department's regulations (Antidumping 
Duties; Countervailing Duties; Final Rule, 62 FR 27296, 27323 (May 19, 
1997)), we are setting aside a period for interested parties to raise 
issues regarding product coverage. The period of scope consultations is 
intended to provide the Department with ample opportunity to consider 
all comments and to consult with parties prior to the issuance of the 
preliminary determinations. The Department encourages all interested 
parties to submit such comments by February 7, 2012, twenty calendar 
days from the signature date of this notice. All comments must be filed 
on the records of Vietnam and Taiwan antidumping duty investigations as 
well as Vietnam countervailing duty investigation. Comments should be 
filed electronically using Import Administration's Antidumping and 
Countervailing Duty Centralized Electronic Service System (IA ACCESS). 
An electronically filed document must be received successfully in its 
entirety by the Department's electronic records system, IA ACCESS. 
Documents excepted from the electronic submission requirements must be 
filed manually (i.e., in paper form) with the APO/Dockets Unit in Room 
1870 and stamped with the date and time of receipt by the deadline 
noted above.

Comments on Product Characteristics for Antidumping Duty Questionnaires

    We are requesting comments from interested parties regarding the 
appropriate physical characteristics of steel wire garment hangers to 
be reported in response to the Department's antidumping questionnaires. 
This information will be used to identify the key physical 
characteristics of the subject merchandise in order to more accurately 
report the relevant factors and costs of production, as well as to 
develop appropriate product comparison criteria.
    Interested parties may provide any information or comments that 
they feel are relevant to the development of an accurate listing of 
physical characteristics. Specifically, they may provide comments as to 
which characteristics are appropriate to use as (1) general product 
characteristics and (2) the product comparison criteria. We note that 
it is not always appropriate to use all product characteristics as 
product comparison criteria. We base product comparison criteria on 
meaningful commercial differences among products. In other words, while 
there may be some physical product characteristics utilized by 
manufacturers to describe steel wire garment hangers, it may be that 
only a select few product characteristics that take into account 
commercially meaningful physical characteristics. In addition, 
interested parties may comment on the order in which the physical 
characteristics should be used in product matching. Generally, the 
Department attempts to list the most important physical characteristics 
first and the least important characteristics last.
    In order to consider the suggestions of interested parties in 
developing and issuing the antidumping duty questionnaires, we must 
receive comments by February 7, 2012. Additionally, rebuttal comments 
must be received by February 14, 2011. All comments must be filed on 
the records of the Vietnam and Taiwan antidumping duty investigations. 
All comments and submissions to the Department must be filed 
electronically using IA ACCESS, as referenced above.

Determination of Industry Support for the Petitions

    Section 732(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 732(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, the Department 
shall: (i) Poll the industry or rely on other information in order to 
determine if there is support for the petition, as required by 
subparagraph (A); or (ii) determine industry support using a 
statistically valid sampling method to poll the industry.
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers as a whole of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs the Department to look to producers and workers who produce the 
domestic like product. The International Trade Commission (``ITC''), 
which is responsible for determining whether ``the domestic industry'' 
has been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both the Department and 
the ITC must apply the same statutory definition regarding the domestic 
like product (see section 771(10) of the Act), they do so for different 
purposes and pursuant to a separate and distinct authority. In 
addition, the Department's determination is subject to limitations of 
time and information. Although this may result in different definitions 
of the like product, such differences do not render the decision of 
either agency contrary to law.\4\
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    \4\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp. v. United States, 688 F. Supp. 639, 
644 (CIT 1988)).
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    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
petition).
    With regard to the domestic like product, Petitioners do not offer 
a definition of domestic like product distinct from the scope of the 
investigations. Based on our analysis of the information submitted on 
the record, we have determined that steel wire garment hangers 
constitute a single domestic like product and we have analyzed industry 
support in terms of that domestic like product. For a discussion of the 
domestic like product analysis in this case, see ``Antidumping Duty 
Investigation Initiation Checklist: Steel Wire Garment Hangers from 
Taiwan'' (``Taiwan AD Checklist'') at Attachment II; ``Antidumping Duty 
Investigation Initiation Checklist: Steel Wire Garment Hangers from 
Vietnam'' (``Vietnam AD Checklist'') at Attachment II, on file 
electronically in the Central Records Unit (room 7046 at

[[Page 3733]]

Herbert C Hoover Building) via IA ACCESS.
    In determining whether Petitioners have standing under section 
732(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petitions with reference to the domestic like product 
as defined in the ``Scope of Investigations,'' in Appendix I of this 
notice. To establish industry support, Petitioners provided their 
production as well as supporters' production of the domestic like 
product in 2010, and compared this to the estimated total production of 
the domestic like product for the entire domestic industry. To estimate 
total 2010 production of the domestic like product, Petitioners used 
their own data and industry specific knowledge. We have relied upon 
data Petitioners provided for purposes of measuring industry support. 
For further discussion, see Taiwan AD Checklist at Attachment II and 
Vietnam AD Checklist at Attachment II.
    Our review of the information provided in the Petitions, 
supplemental submissions, and other information readily available to 
the Department indicates that Petitioners have established industry 
support. First, the Petitions established support from domestic 
producers accounting for more than 50 percent of the total production 
of the domestic like product and, as such, the Department is not 
required to take further action in order to evaluate industry support 
(e.g., polling).\5\ Second, the domestic producers have met the 
statutory criteria for industry support under section 732(c)(4)(A)(i) 
of the Act because the domestic producers who support the Petitions 
account for at least 25 percent of the total production of the domestic 
like product.\6\ Finally, the domestic producers have met the statutory 
criteria for industry support under section 732(c)(4)(A)(ii) of the Act 
because the domestic producers who support the Petitions account for 
more than 50 percent of the production of the domestic like product 
produced by that portion of the industry expressing support for, or 
opposition to, the Petitions.\7\ Accordingly, the Department determines 
that the Petitions were filed on behalf of the domestic industry within 
the meaning of section 732(b)(1) of the Act.\8\
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    \5\ See section 732(c)(4)(D) of the Act; see also Taiwan AD 
Checklist at Attachment II and Vietnam AD Checklist at Attachment 
II.
    \6\ See Taiwan AD Checklist at Attachment II and Vietnam AD 
Checklist at Attachment II.
    \7\ See id.
    \8\ See id.
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    The Department finds that the Petitioners filed the Petitions on 
behalf of the domestic industry because they are interested parties as 
defined in section 771(9)(C) of the Act and they have demonstrated 
sufficient industry support with respect to the antidumping duty 
investigations they are requesting the Department initiate.\9\
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    \9\ See id.
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Allegations and Evidence of Material Injury and Causation

    Petitioners allege that the U.S. industry producing the domestic 
like product is being materially injured, or is threatened with 
material injury, by reason of the imports of the subject merchandise 
sold at less than normal value (``NV''). In addition, Petitioners 
allege that subject imports exceed the negligibility threshold provided 
for under section 771(24)(A) of the Act.
    Petitioners contend that the industry's injured condition is 
illustrated by reduced market share, reduced shipments, reduced 
capacity, underselling and price depression or suppression, a decline 
in financial performance, lost sales and revenue, an increase in import 
penetration, and threat of future injury.\10\ We have assessed the 
allegations and supporting evidence regarding material injury, threat 
of material injury, and causation, and we have determined that these 
allegations are properly supported by adequate evidence and meet the 
statutory requirements for initiation.\11\
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    \10\ See Taiwan AD Checklist at Attachment III and Vietnam AD 
Checklist at Attachment III.
    \11\ See id.
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Allegations of Sales at Less Than Fair Value

    The following is a description of the allegations of sales at less 
than fair value upon which the Department based its decision to 
initiate these investigations of imports of steel wire garment hangers 
from Vietnam and Taiwan. The sources of data for the deductions and 
adjustments relating to the U.S. price, the factors of production 
(``FOPs'') (for Vietnam) and cost of production (``COP'') (for Taiwan) 
are also discussed in the country-specific initiation checklists.\12\
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    \12\ See Vietnam AD Checklist at 6-9 and Taiwan AD Checklist at 
6-8.
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Export Price

Vietnam

    For Vietnam, Petitioners calculated export price (``EP'') based on 
offers for sale of steel wire garment hangers by certain Vietnamese 
exporters/resellers and declarations of lost U.S. sales by U.S. 
producers during the POI, as identified in four ``Declarations 
Regarding Lost U.S. Sales.'' \13\ Based on the stated sales and 
delivery terms, Petitioners deducted adjustments, charges and expenses 
associated with exporting and delivering to the U.S. customer, where 
appropriate.\14\ Petitioners made no other adjustments.\15\
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    \13\ See Vietnam AD Checklist at 6; see also Volume III of the 
Petitions at III-5 and Exhibit III-4.
    \14\ See Vietnam AD Checklist at 6; see also Volume III of the 
Petitions at III-5 and Exhibit III-5, and Supplement to Vietnam 
Petition at Attachment III-9
    \15\ See Vietnam AD Checklist for additional details.
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Taiwan

    For Taiwan, Petitioners based U.S. EP on a declaration of lost U.S. 
sales of three major types of steel wire garment hangers by U.S. 
producers and the average unit value (``AUV'') for U.S. Harmonized 
Tariff Schedule (``USHTS'') 7326.20.0020, described as ``garment wire 
hangers of iron or steel,'' during the POI. The lost sales are 
supported by affidavits.\16\ Based on the stated sales and delivery 
terms, Petitioners deducted from these prices the adjustments, charges, 
and expenses associated with exporting and delivering the product to 
the U.S. customer, including ocean freight and insurance, U.S. duties 
and U.S. inland freight charges, and distributor mark-up, where 
appropriate.\17\
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    \16\ See Taiwan AD Checklist at 6; see also Volume II of the 
Petitions at II-4 and Exhibits II-4.
    \17\ See id.
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Normal Value

Vietnam

    Petitioners state that the Department has long treated Vietnam as a 
non-market economy (``NME'') country and this designation remains in 
effect today.\18\ In accordance with section 771(18)(C)(i) of the Act, 
the presumption of NME status remains in effect until revoked by the 
Department. The presumption of NME status for Vietnam has not been 
revoked by the Department and, therefore, remains in effect for 
purposes of the initiation of Vietnam investigation. Accordingly, the 
NV of the product for Vietnam investigation is appropriately based on 
FOPs valued in a surrogate market-

[[Page 3734]]

economy (``ME'') country in accordance with section 773(c) of the Act. 
In the course of the Vietnam investigation, all parties, including the 
public, will have the opportunity to provide relevant information 
related to the issue of Vietnam's NME status and the granting of 
separate rates to individual exporters.
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    \18\ See Volume III of the Petitions at III-1 through III-3; see 
also Circular Welded Carbon-Quality Steel Pipe From India, the 
Sultanate of Oman, the United Arab Emirates, and the Socialist 
Republic of Vietnam: Initiation of Antidumping Duty Investigations, 
76 FR 72164, 72167 (November 22, 2011); see also Certain Frozen 
Warmwater Shrimp From the Socialist Republic of Vietnam: Final 
Results and Final Partial Rescission of Antidumping Duty 
Administrative Review, 76 FR 56158, 56160 (September 12, 2011).
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    Petitioners claim that India is an appropriate surrogate country 
under 19 CFR 351.408(a) because it is an ME country that is at a 
comparable level of economic development to Vietnam and surrogate 
values data from India are available and reliable. Petitioners also 
believe that India is a significant producer of comparable merchandise. 
Petitioners are not aware of significant production of steel wire 
garment hangers among other potential surrogate countries, such as 
Bangladesh, the Philippines, Indonesia, Sri Lanka, and Pakistan.\19\ 
Based on the information provided by Petitioners, we believe that it is 
appropriate to use India as a surrogate country for initiation 
purposes. After initiation of the investigation, interested parties 
will have the opportunity to submit comments regarding surrogate 
country selection and, pursuant to 19 CFR 351.301(c)(3)(i), will be 
provided an opportunity to submit publicly available information to 
value FOPs within 40 days after the date of publication of the 
preliminary determination.
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    \19\ See Volume III of the Petitions at III-2 through III-3.
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    Petitioners calculated the NV and dumping margins for the U.S. 
price, discussed above, using the Department's NME methodology as 
required by 19 CFR 351.202(b)(7)(i)(C) and 19 CFR 351.408. Petitioners 
calculated NV based on consumption rates experienced by U.S. 
producers.\20\ Petitioners assert that, to the best of Petitioners' 
knowledge, the consumption rates of the domestic producers are very 
similar, if not identical, to the consumption of Vietnamese 
producers.\21\
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    \20\ See Volume III of the Petitions at III-3 through III-4.
    \21\ See Volume III of the Petitions at III-3 through III-4 and 
Exhibits III-2 and III-3, and Supplement to Vietnam Petition at 
(Supp-III)-4, Attachment III-3, and Attachment III-8.
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    Petitioners valued by-products and most FOPs based on reasonably 
available, public surrogate country data, specifically, Indian import 
statistics from the Global Trade Atlas (``GTA'').\22\ Petitioners 
excluded from these import statistics values from countries previously 
determined by the Department to be NME countries, and from Indonesia, 
the Republic of Korea and Thailand, as the Department has previously 
excluded prices from these countries because they maintain broadly 
available, non-industry-specific export subsidies. Finally, imports 
that were labeled as originating from an ``unspecified'' country were 
excluded from the average value, because the Department could not be 
certain that they were not from either an NME country or a country with 
generally available export subsidies.\23\ For valuing other FOPs, 
Petitioners used sources selected by the Department in recent 
proceedings involving Vietnam or publically available sources from 
India.\24\ In addition, Petitioners made Indian Rupee/U.S. dollar 
(``USD'') currency conversions using average exchange rates for the 
POI, based on Federal Reserve exchange rates.\25\
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    \22\ See Volume III of the Petitions at III-4 and Exhibit III-2; 
see also Supplement to Vietnam Petition at Petition at Attachment 
III-5.
    \23\ See, e.g., Polyethylene Terephthalate Film, Sheet, and 
Strip from the People's Republic of China: Preliminary Determination 
of Sales at Less Than Fair Value, 73 FR 24552, 24559 (May 5, 2008), 
unchanged in Polyethylene Terephthalate Film, Sheet, and Strip from 
the People's Republic of China: Final Determination of Sales at Less 
Than Fair Value, 73 FR 55039 (September 24, 2008) (``PET Film''); 
see also Volume III of the Petitions at III-4 and Exhibit III-2, and 
Supplement to Vietnam Petition at Attachment III-1.
    \24\ See Volume III of the Petitions at III-4 and Exhibit III-2; 
see also Supplement to Vietnam Petition at Attachment III-1.
    \25\ See Volume III of the Petitions at III-4 and Exhibit III-3, 
and Supplement to Vietnam Petition at (Supp-III)-2, and Attachment 
III-4.
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    Petitioners determined labor costs using the labor consumption 
rates derived from U.S. producers.\26\ Petitioners valued labor costs 
using the calculated wage rate in a recent review involving steel wire 
garment hangers from the People's Republic of China.\27\
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    \26\ See Volume III of the Petitions at Exhibit III-3.
    \27\ See Steel Wire Garment Hangers From the People's Republic 
of China: Preliminary Results and Preliminary Rescission, in Part, 
of the Second Antidumping Duty Administrative Review, 76 FR 66903, 
66910 (October 28, 2011) (citing Memorandum to the File through 
Catherine Bertrand, Program Manager, Office 9, from Bob Palmer, Case 
Analyst, Office 9 re: ``Second Administrative Review of Steel Wire 
Garment Hangers from the People's Republic of China: Surrogate 
Values for the Preliminary Results,'' dated October 24, 2011, at 1, 
Exhibit 12, and Exhibit 13); see also, See Supplement to Vietnam 
Petition at (Supp-III)-1, and Attachment III-1.
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    Petitioners determined electricity costs using the electricity 
consumption rates, in kilowatt hours, derived from one U.S. producer's 
experience.\28\ Petitioners valued electricity using the Indian 
electricity rate reported by the Central Electric Authority of the 
Government of India.\29\
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    \28\ See Volume III of the Petitions at Exhibit III-3, 
Supplement to Vietnam Petition at Attachment III-8.
    \29\ See Supplement to Vietnam Petition at Attachment III-1.
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    Petitioners determined water costs using the water consumption 
derived from one U.S. producer's experience.\30\ Petitioners valued 
water based on publically available information from the Maharashtra 
Industrial Development Corporation.\31\
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    \30\ See Volume III of the Petitions at Exhibit III-3, 
Supplement to Vietnam Petition at Attachment III-8.
    \31\ See Supplement to Vietnam Petition at Attachment III-1.
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    Petitioners determined natural gas costs using the natural gas 
consumption rates derived from one U.S. producer's experience.\32\ 
Petitioners valued natural gas costs using GTA import statistics.\33\
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    \32\ See Volume III of the Petitions at Exhibit III-3, 
Supplement to Vietnam Petition at Attachment III-8.
    \33\ See Volume III of the Petitions at Exhibit III-2 and 
Supplement to Vietnam Petition at Attachment III-6.
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    Petitioners based factory overhead, selling, general and 
administrative (``SG&A''), and profit on data from Sterling Tools 
Limited (``Sterling''), an Indian producer of comparable 
merchandise.\34\ Therefore, because Sterling is a producer of 
comparable merchandise, the Department finds that Petitioners' use of 
Sterling's financial ratios appropriate.\35\
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    \34\ See Volume III of the Petition at III-4 through III-5, 
Exhibit III-2, and Supplement to Vietnam Petition at Attachment III-
2.
    \35\ See 19 CFR 351.408(4).
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    Petitioners determined packing material costs using the consumption 
rates derived from U.S. producers' experience.\36\ Petitioners valued 
packing materials using GTA India import statistics.\37\
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    \36\ See Volume III of the Petition, at Exhibit III-1, 
Supplement to Vietnam Petition at Attachment III-8.
    \37\ See Volume III of the Petitions at Exhibit III-2.
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    Thus, the Department determines that the surrogate values used by 
Petitioners are reasonably available and, thus, acceptable for purposes 
of initiation.

Taiwan

NV Based on Constructed Value (``CV'')

    Petitioners used CV to estimate NV because home market or third 
country pricing was not reasonably available.\38\ When such information 
is unavailable the Department may use CV to estimate NV. In accordance 
with section 773(e)(1) of the Act, Petitioners based constructed value 
on actual consumption of direct materials, direct

[[Page 3735]]

labor, energy, overhead, and general expenses, plus amounts for profit 
and packing, for several major types of steel wire garment hangers.\39\
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    \38\ Petitioners documented its attempts to obtain such 
information. See Volume II of the Petition at II-2.
    \39\ See Taiwan AD Checklist at 7-8; see also Volume II of the 
Petition at II-2 though 4 and Exhibit II-1.
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    Petitioners assert that, according to the best available 
information, Taiwanese producers of hangers utilize similar production 
methods as U.S. producers to produce subject merchandise. As a result, 
Petitioners used the actual consumption rates of M&B Metal Products 
Inc., one of the Petitioners, to provide a reasonable basis from which 
to estimate the costs for the Taiwanese producers of hangers. No 
adjustments were made between Petitioners' production process and the 
process employed by Taiwanese producers because the production of steel 
wire garment hangers for both is very similar.\40\ Petitioners 
calculated raw materials, labor, energy, and packing based on its own 
production experience using publically available data.\41\ Petitioners 
provided financial statements from China Steel Corporation, a Taiwanese 
manufacturer of steel products, for the calculation of factory 
overhead, SG&A and profit.\42\
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    \40\ See Taiwan AD Checklist at 7; see also Volume II of the 
Petition at II-3 and Exhibit II-1.
    \41\ See Taiwan AD Checklist at 7-8; see also Volume II of the 
Petition at II-3 and Exhibit II-2 and Volume II Supplemental at 
Attachments II-2, II-3, and II-4.
    \42\ See Taiwan AD Checklist at 8; see also Volume II of the 
Petition at II-3 through 4 and Exhibit II-2 and Volume II 
Supplemental at Attachments II-7 and Attachments II-8.
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Fair Value Comparisons

    Based on the data provided by Petitioners, there is reason to 
believe that imports of steel wire garment hangers from Vietnam and 
Taiwan are being, or are likely to be, sold in the United States at 
less than fair value. Based on a comparison of EPs and NV calculated, 
in accordance with section 773(c) of the Act, the estimated dumping 
margins for steel wire garment hangers from Vietnam range from 117.48 
percent to 220.68 percent.\43\ Based on a comparison of EPs and CV 
calculated in accordance with section 773(a)(4) of the Act, the 
estimated dumping margins for steel wire garment hangers from Taiwan 
range from 18.90 percent to 125.43 percent.\44\
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    \43\ See Vietnam AD Checklist at 9 and Appendix V.
    \44\ See Taiwan AD Checklist at 9 and Attachment V; see also 
Volume II of Petitions, at II-5, and Exhibit II-4, and Volume II 
Supplemental at (Supp II)-6, and Attachment II-10.
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Initiation of Antidumping Investigations

    Based upon the examination of the Petitions on steel wire garment 
hangers from Vietnam and Taiwan, the Department finds that the 
Petitions meet the requirements of section 732 of the Act. Therefore, 
we are initiating antidumping duty investigations to determine whether 
imports of steel wire garment hangers from Vietnam and Taiwan are 
being, or are likely to be, sold in the United States at less than fair 
value. In accordance with section 733(b)(1)(A) of the Act and 19 CFR 
351.205(b)(1), unless postponed, we will make our preliminary 
determinations no later than 140 days after the date of these 
initiations.

Targeted Dumping Allegations

    On December 10, 2008, the Department issued an interim final rule 
for the purpose of withdrawing 19 CFR 351.414(f) and (g), the 
regulatory provisions governing the targeted dumping analysis in 
antidumping duty investigations, and the corresponding regulation 
governing the deadline for targeted dumping allegations, 19 CFR 
351.301(d)(5).\45\ The Department stated that ``{w{time} ithdrawal will 
allow the Department to exercise the discretion intended by the statute 
and, thereby, develop a practice that will allow interested parties to 
pursue all statutory avenues of relief in this area.'' \46\
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    \45\ See Withdrawal of the Regulatory Provisions Governing 
Targeted Dumping in Antidumping Duty Investigations, 73 FR 74930 
(December 10, 2008).
    \46\ See id., at 74931.
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    In order to accomplish this objective, if any interested party 
wishes to make a targeted dumping allegation in either of these 
investigations pursuant to section 777A(d)(1)(B) of the Act, such 
allegations are due no later than 45 days before the scheduled date of 
the country-specific preliminary determination.

Respondent Selection and Quantity and Value Questionnaire

Vietnam

    The Department will request quantity and value information from all 
known exporters and producers identified in the Petitions.\47\ The 
quantity and value data received from Vietnamese exporters/producers 
will be used as the basis to select the mandatory respondents. The 
Department requires that the respondents submit a response to both the 
quantity and value questionnaire and the separate-rate application by 
the respective deadlines in order to receive consideration for 
separate-rate status.\48\
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    \47\ See Volume I of Petitions, at Exhibit I-8.
    \48\ See Circular Welded Austenitic Stainless Pressure Pipe from 
the People's Republic of China: Initiation of Antidumping Duty 
Investigation, 73 FR 10221, 10225 (February 26, 2008); Initiation of 
Antidumping Duty Investigation: Certain Artist Canvas From the 
People's Republic of China, 70 FR 21996, 21999 (April 28, 2005).
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    In addition, the Department will post the quantity and value 
questionnaire along with the filing instructions on the Import 
Administration Web site (http://ia.ita.doc.gov/ia-highlights-and-news.html). Exporters and producers of steel wire garment hangers that 
do not receive quantity and value questionnaires but intend to submit a 
response can obtain a copy from the Import Administration Web site. The 
quantity and value questionnaire must be submitted by all Vietnamese 
exporters/producers no later than February 8, 2012, 21 days after the 
signature date of this Federal Register notice.

Taiwan

    Following standard practice in AD investigations involving ME 
countries, the Department intends to select respondents based on U.S. 
Customs and Border Protection (``CBP'') data for U.S. imports under the 
HTSUS numbers 7326.20.0020 and 7323.99.908. We intend to release the 
CBP data under Administrative Protective Order (``APO'') to all parties 
with access to information protected by APO within five days of 
publication of this Federal Register notice and make our decision 
regarding respondent selection within 20 days of publication of this 
notice. The Department invites comments regarding the CBP data and 
respondent selection within seven days of publication of this Federal 
Register notice.
    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. Instructions for filing such 
applications may be found on the Department's Web site at http://ia.ita.doc.gov/apo.

Separate Rates in the Vietnam Investigation

    In order to obtain separate-rate status in NME investigations, 
exporters and producers must submit a separate-rate status 
application.\49\ Based on our experience in processing the separate-

[[Page 3736]]

rate applications in previous antidumping duty investigations, we have 
modified the application for this investigation to make it more 
administrable and easier for applicants to complete.\50\ The specific 
requirements for submitting the separate-rate application in this 
investigation are outlined in detail in the application itself, which 
will be available on the Department's Web site at http://ia.ita.doc.gov/ia-highlights-and-news.html on the date of publication 
of this initiation notice in the Federal Register. The separate-rate 
application will be due 60 days after publication of this initiation 
notice. For exporters and producers who submit a separate-rate status 
application and subsequently are selected as mandatory respondents, 
these exporters and producers will no longer be eligible for 
consideration for separate rate status unless they respond to all parts 
of the questionnaire as mandatory respondents. As noted in the 
``Respondent Selection'' section above, the Department requires that 
Vietnam respondents submit a response to both the quantity and value 
questionnaire and the separate-rate application by the respective 
deadlines in order to receive consideration for separate-rate status. 
The quantity and value questionnaire will be available on the 
Department's Web site at http://ia.ita.doc.gov/ia-highlights-and-news.html on the date of the publication of this initiation notice in 
the Federal Register.
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    \49\ See Policy Bulletin 05.1: Separate-Rates Practice and 
Application of Combination Rates in Antidumping Investigations 
involving Non-Market Economy Countries (April 5, 2005) (``Separate 
Rates and Combination Rates Bulletin''), available on the 
Department's Web site at http://ia.ita.doc.gov/policy/bull05-1.pdf.
    \50\ See, e.g., Initiation of Antidumping Duty Investigation: 
Certain New Pneumatic Off-the-Road Tires From the People's Republic 
of China, 72 FR 43591, 43594-95 (August 6, 2007).
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Use of Combination Rates in the Vietnam Investigation

    The Department will calculate combination rates for certain 
respondents that are eligible for a separate rate in this 
investigation. The Separate Rates and Combination Rates Bulletin 
states:

    {w{time} hile continuing the practice of assigning separate 
rates only to exporters, all separate rates that the Department will 
now assign in its NME investigations will be specific to those 
producers that supplied the exporter during the period of 
investigation. Note, however, that one rate is calculated for the 
exporter and all of the producers which supplied subject merchandise 
to it during the period of investigation. This practice applies both 
to mandatory respondents receiving an individually calculated 
separate rate as well as the pool of non-investigated firms 
receiving the weighted-average of the individually calculated rates. 
This practice is referred to as the application of ``combination 
rates'' because such rates apply to specific combinations of 
exporters and one or more producers. The cash-deposit rate assigned 
to an exporter will apply only to merchandise both exported by the 
firm in question and produced by a firm that supplied the exporter 
during the period of investigation.\51\
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    \51\ See Separate Rates and Combination Rates Bulletin, at 6 
(emphasis added).
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Distribution of Copies of the Petitions

    In accordance with section 732(b)(3)(A) of the Act and 19 CFR 
351.202(f), copies of the public versions of the Petitions have been 
provided to the representatives of the Governments of Vietnam and 
Taiwan. Because of the large number of producers/exporters identified 
in the Petitions, the Department considers the service of the public 
version of the Petitions to the foreign producers/exporters satisfied 
by the delivery of the public versions of the Petitions to the 
Governments of Vietnam and Taiwan, consistent with 19 CFR 
351.203(c)(2).

ITC Notification

    We have notified the ITC of our initiations, as required by section 
732(d) of the Act.

Preliminary Determinations by the ITC

    The ITC will preliminarily determine, no later than February 12, 
2012, whether there is a reasonable indication that imports of steel 
wire garment hangers from Vietnam and Taiwan are materially injuring, 
or threatening material injury to a U.S. industry. A negative ITC 
determination with respect to any country will result in the 
investigation being terminated for that country; otherwise, these 
investigations will proceed according to statutory and regulatory time 
limits.

Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305(b). On January 22, 2008, the 
Department published Antidumping and Countervailing Duty Proceedings: 
Documents Submission Procedures; APO Procedures, 73 FR 3634 (January 
22, 2008). Parties wishing to participate in these investigations 
should ensure that they meet the requirements of these procedures 
(e.g., the filing of letters of appearance as discussed at 19 CFR 
351.103(d)).
    Any party submitting factual information in an AD/CVD proceeding 
must certify to the accuracy and completeness of that information.\52\ 
Parties are hereby reminded that revised certification requirements are 
in effect for company/government officials as well as their 
representatives in all segments of any AD/CVD proceeding initiated on 
or after March 14, 2011.\53\ The formats for the revised certifications 
are provided at the end of the Interim Final Rule and the Supplemental 
Interim Final Rule. The Department intends to reject factual 
submissions in any proceeding segments initiated on or after March 14, 
2011, if the submitting party does not comply with the revised 
certification requirements.
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    \52\ See section 782(b) of the Act.
    \53\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings: Interim Final Rule, 76 FR 7491 (February 10, 2011) 
(``Interim Final Rule'') (amending 19 CFR 351.303(g)(1) & (2)), as 
supplemented by Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings: Supplemental Interim Final Rule, 76 FR 54697 (September 
2, 2011) (``Supplemental Interim Final Rule'').
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    This notice is issued and published pursuant to section 777(i) of 
the Act.

    Dated: January 18, 2012.
Paul Piquado,
Assistant Secretary for Import Administration.

Appendix I--Scope of the Investigations

    The merchandise subject to these investigations is steel wire 
garment hangers, fabricated from carbon steel wire, whether or not 
galvanized or painted, whether or not coated with latex or epoxy or 
similar gripping materials, and/or whether or not fashioned with 
paper covers or capes (with or without printing) and/or nonslip 
features such as saddles or tubes. These products may also be 
referred to by a commercial designation, such as shirt, suit, strut, 
caped, or latex (industrial) hangers.
    Specifically excluded from the scope of these investigations are 
(a) wooden, plastic, and other garment hangers that are not made of 
steel wire; (b) steel wire garment hangers with swivel hooks; (c) 
steel wire garment hangers with clips permanently affixed; and (d) 
chrome plated steel wire garment hangers with a diameter of 3.4 mm 
or greater.
    The products subject to these investigations are currently 
classified under U.S. Harmonized Tariff Schedule (``USHTS'') 
subheadings 7326.20.0020 and 7323.99.9080. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the merchandise is dispositive.

[FR Doc. 2012-1558 Filed 1-24-12; 8:45 am]
BILLING CODE 3510-DS-P