[Federal Register Volume 78, Number 117 (Tuesday, June 18, 2013)]
[Notices]
[Pages 36524-36525]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-14538]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-855]


Diamond Sawblades and Parts Thereof From the Republic of Korea: 
Final Results of Antidumping Duty Administrative Review, 2010-2011

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On December 10, 2012, the Department of Commerce (the 
Department) published the preliminary results of the administrative 
review of the antidumping duty order on diamond sawblades and parts 
thereof (diamond sawblades) from the Republic of Korea (Korea). The 
period of review (POR) is November 1, 2010, through October 23, 2011. 
For the final results, we continue to find that certain companies 
covered by this review made sales of subject merchandise at less than 
normal value.

DATES: As of June 18, 2013.

FOR FURTHER INFORMATION CONTACT: Sergio Balbontin or Yasmin Nair, AD/
CVD Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington DC 20230; telephone (202) 482-6478 
and (202) 482-3813, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On December 10, 2012, the Department published the Preliminary 
Results of the administrative review of the antidumping duty order on 
diamond sawblades from Korea.\1\ On January 16, 2013, we received case 
briefs with respect to the Preliminary Results from the Diamond 
Sawblades Manufacturers Coalition (Petitioner), Ehwa Diamond Industrial 
Co., Ltd. (Ehwa), and Shinhan Diamond Industrial Co., Ltd. and SH 
Trading, Inc. (collectively, Shinhan). On January 23, 2013, we received 
rebuttal briefs from these same parties.
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    \1\ See Diamond Sawblades and Parts Thereof From the Republic of 
Korea: Preliminary Results of Antidumping Duty Administrative 
Review; 2010-2011, 77 FR 73420 (December 10, 2012) (Preliminary 
Results).
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    On April 5, 2012, the Petitioner alleged that Hyosung Diamond 
Industrial Co., Ltd., Western Diamond Tools Inc., and Hyosung D&P Co., 
Ltd. (collectively, Hyosung); Ehwa and Shinhan, and their respective 
Chinese subsidiaries, Weihai Xiangguang Mechanical Industrial Co., Ltd. 
and Qingdao Shinhan Diamond Industrial Co., Ltd., sold diamond 
sawblades into the United States bearing false country of origin 
designations.
    On March 19, 2013, we issued a post-preliminary memorandum finding 
that the information submitted by Ehwa and Shinhan is reliable for the 
final results of the review.\2\ We allowed parties the opportunity to 
comment but did not receive comments.
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    \2\ See Memorandum to Paul Piquado, Assistant Secretary for 
Import Administration, entitled ``Administrative Review of the 
Antidumping Duty Orders on Diamond Sawblades and Parts Thereof from 
the Republic of Korea for the 2010-2011 Period: Post-Preliminary 
Analysis'' dated March 19, 2013 (Post-Preliminary Analysis 
Memorandum).
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    We extended the due date for the final results of review to April 
30, 2013,\3\ and then to June 10, 2013.\4\
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    \3\ See Department Memorandum, ``Diamond Sawblades and Parts 
Thereof from the Republic of Korea and the People's Republic of 
China: Extension of Time Limits for the Final Results of the 
Antidumping Duty Administrative Reviews'' dated March 22, 2013.
    \4\ See Department Memorandum, ``Diamond Sawblades and Parts 
Thereof from the Republic of Korea and the People's Republic of 
China: Extension of Deadline for Final Results of Antidumping Duty 
Administrative Reviews'' dated April 29, 2013.
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    We have conducted this administrative review in accordance with 
section 751 of the Tariff Act of 1930, as amended (the Act).

Fraud Allegations

    We continue to find the information Ehwa and Shinhan submitted in 
this review to be reliable for the final results of review.\5\ The 
Final Decision Memorandum is a public document and is on file 
electronically via Import Administration's Antidumping and 
Countervailing Duty Centralized Electronic Service System (IA ACCESS). 
Access to IA ACCESS is available to registered users at http://iaaccess.trade.gov and is available to all parties in the Central 
Records Unit, room 7046 of the main Department of Commerce building. In 
addition, a complete version of the Final Decision Memorandum can be 
accessed directly on the Internet at http://www.trade.gov/ia/. The 
signed Final Decision Memorandum and the electronic versions of the 
Final Decision Memorandum are identical in content.
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    \5\ See Memorandum to Paul Piquado, Assistant Secretary for 
Import Administration, entitled ``Issues and Decision Memorandum for 
the Final Results in the Second Antidumping Duty Order 
Administrative Review of Diamond Sawblades and Parts Thereof from 
the Republic of Korea'' dated concurrently with this notice (Final 
Decision Memorandum) at Comment 2.
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Scope of the Order

    The merchandise subject to the order is diamond sawblades. The 
diamond sawblades subject to the order are currently classifiable under 
subheadings 8202 to 8206 of the Harmonized Tariff Schedule of the 
United States (HTSUS), and may also enter under 6804.21.00. The HTSUS 
subheadings are provided for convenience and customs purposes. A full 
description of the scope of the order is contained in the Final 
Decision Memorandum. The written description is dispositive.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs are addressed in 
the Final Decision Memorandum. A list of the issues raised is attached 
to this notice as Appendix I.

Changes Since the Preliminary Results

    Based on our analysis of the comments received, we changed our 
calculation methodology for Ehwa's and Shinhan's dumping margins. We 
modified the model-match methodology to ensure only products with the 
same physical form matched. For Ehwa, we corrected currency conversions 
for expenses reported by Ehwa, adjusted certain programming language 
related to Ehwa's level of trade (LOT), and recalculated Ehwa's 
variable cost of manufacturing and production interest expense.\6\
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    \6\ See Final Decision Memorandum, and Department Memoranda, 
``Final Results Calculation for Ehwa Diamond Industrial Co., Ltd. in 
the Second Review of Diamond Sawblades and Parts Thereof from the 
Republic of Korea,'' and ``Final Results Calculation for Shinhan 
Diamond Industrial Co., Ltd. in the Second Review of Diamond 
Sawblades and Parts Thereof from the Republic of Korea'' dated 
concurrently with this notice for a complete explanation of the 
changes to the dumping margin calculations.
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Use of Adverse Facts Available

    Consistent with the Preliminary Results, we determine that the 
failure of Hyosung to provide requested information necessary to 
calculate accurate dumping margins warrants the use of facts otherwise 
available with an adverse inference. Consequent to the changes from the 
Preliminary Results identified above, the final margin for Hyosung is 
120.90 percent.\7\
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    \7\ For further discussion, see Department Memorandum, ``Final 
Adverse Facts Available Rate for Hyosung'' dated concurrently with 
this notice.
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Cost of Production

    As discussed in the Preliminary Results, we conducted an 
investigation to determine whether Ehwa and

[[Page 36525]]

Shinhan made home market sales of the foreign like product during the 
POR at prices below their costs of production within the meaning of 
section 773(b) of the Act. For these final results, we performed the 
cost test following the same methodology as discussed in the 
Preliminary Results. In accordance with sections 773(b)(1) and (2) of 
the Act, we disregarded certain of Ehwa's and Shinhan's sales in the 
home market that were made at below-cost prices. Because Hyosung failed 
to provide responses, we were unable to conduct a sales below cost 
investigation for Hyosung.

Final Results of the Review

    As a result of the administrative review, we determine that the 
following weighted-average dumping margins exist for the period 
November 1, 2010, through October 23, 2011:

------------------------------------------------------------------------
                                                                Margin
                   Exporter/Manufacturer                      (percent)
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Ehwa Diamond Industrial Co., Ltd...........................         1.45
Hyosung Diamond Industrial Co., Ltd, Western Diamond Tools        120.90
 Inc., and Hyosung D&P Co., Ltd............................
Shinhan Diamond Industrial Co., Ltd. and SH Trading, Inc...         0.00
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Assessment Rates

    The Department shall determine, and U.S. Customs and Border 
Protection (CBP) will assess, antidumping duties on all appropriate 
entries in accordance with 19 CFR 351.212(b)(1). On October 24, 2011, 
the U.S. Court of International Trade preliminarily enjoined 
liquidation of entries that are subject to the final determination.\8\ 
Accordingly, the Department will not instruct CBP to assess antidumping 
duties pending resolution of the associated litigation.
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    \8\ See Notice of Final Determination of Sales at Less Than Fair 
Value and Final Determination of Critical Circumstances: Diamond 
Sawblades and Parts Thereof from the Republic of Korea, 71 FR 29310 
(May 22, 2006).
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    Pursuant to 19 CFR 351.212(b)(1), for all sales made by the 
respondents for which they have reported the importer of record and the 
entered value of the U.S. sales, we have calculated importer-specific 
assessment rates based on the ratio of the total amount of antidumping 
duties calculated for the examined sales to the total entered value of 
those sales. Where the respondent did not report the entered value for 
U.S. sales to an importer, we have calculated importer-specific 
assessment rates for the merchandise in question by aggregating the 
dumping margins calculated for all U.S. sales to each importer and 
dividing this amount by the total quantity of those sales.
    To determine whether the duty assessment rates were de minimis, in 
accordance with the requirement set forth in 19 CFR 351.106(c)(2), the 
Department calculated importer-specific ad valorem ratios based on the 
entered value or the estimated entered value, when entered value was 
not reported. Pursuant to 19 CFR 351.106(c)(2), we will instruct CBP to 
liquidate without regard to antidumping duties any entries for which 
the assessment rate is de minimis (i.e., less than 0.50 percent).
    The Department clarified its ``automatic assessment'' regulation on 
May 6, 2003.\9\ This clarification will apply to entries of subject 
merchandise during the POR produced by Ehwa and Shinhan for which these 
companies did not know that their merchandise was destined for the 
United States. In such instances, we will instruct CBP to liquidate 
unreviewed entries at the all-others rate if there is no rate for the 
intermediate involved in the transaction. For a full discussion of this 
clarification, see Assessment Policy Notice.
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    \9\ See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003) 
(Assessment Policy Notice).
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Cash Deposit Requirements

    Effective October 24, 2011, the Department revoked the antidumping 
duty order on diamond sawblades from Korea, pursuant to a proceeding 
under section 129 of the Uruguay Round Agreements Act to implement the 
findings of the World Trade Organization dispute settlement panel in 
United States--Use of Zeroing in Anti-Dumping Measures Involving 
Products from Korea (WTIDS402/R) (January 18, 2011).\10\ Consequently, 
no cash deposits are required on imports of subject merchandise.
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    \10\ See Notice of Implementation of Determination Under Section 
129 of the Uruguay Round Agreements Act and Revocation of the 
Antidumping Duty Order on Diamond Sawblades and Parts Thereof From 
the Republic of Korea, 76 FR 66892 (October 28, 2011), and 
accompanying Issues and Decision Memorandum.
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Notification to Interested Parties

    This notice serves as the only reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of 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.
    These final results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: June 10, 2013.
Paul Piquado,
Assistant Secretary for Import Administration.

Appendix I--Issues in Decision Memorandum

General Issues

Comment 1: Whether the Petitioner's Targeted Dumping Allegations are 
Timely
Comment 2: Fraud Allegations and the Reliability of Respondents' 
Submissions
Comment 3: Product-Matching
Comment 4: Treatment of U.S. Repacking Expenses

Ehwa-Specific Issues

Comment 5: Treatment of Indirect Selling Expenses and Inventory 
Costs
Comment 6: Treatment of Level of Trade
Comment 7: Calculation of Variable Cost of Manufacture and Double-
Counting G&A and Production Interest Expenses

Shinhan-Specific Issues

Comment 8: Treatment of Duty Drawback Adjustment

[FR Doc. 2013-14538 Filed 6-17-13; 8:45 am]
BILLING CODE 3510-DS-P