[Federal Register Volume 79, Number 147 (Thursday, July 31, 2014)]
[Notices]
[Pages 44397-44399]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-18061]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-307-824]


Ferrosilicon From Venezuela: Final Determination of Sales at Less 
Than Fair Value

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (``the Department'') determines 
that ferrosilicon from Venezuela is being, or is likely to be, sold in 
the United States at less than fair value (``LTFV''), as provided in 
section 735 of the Tariff Act of 1930, as amended (``the Act''). The 
final weighted-average dumping margin is listed below in the section 
entitled ``Final Determination Margins.''

DATES: Effective Date: July 31, 2014.

FOR FURTHER INFORMATION: Kabir Archuletta, AD/CVD Operations, Office V, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-2593.

SUPPLEMENTARY INFORMATION:

Background

    On March 11, 2014, the Department published in the Federal Register 
the preliminary determination of sales at LTFV in the antidumping duty 
(``AD'') investigation of ferrosilicon from Venezuela.\1\ The following 
events occurred since we issued the Preliminary Determination.
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    \1\ See Ferrosilicon From Venezuela: Preliminary Determination 
of Sales at Less Than Fair Value and Postponement of the Final 
Determination, 79 FR 13619 (March 11, 2014) (``Preliminary 
Determination'') and accompanying Preliminary Decision Memorandum 
(``Preliminary Decision Memorandum'').
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    On February 24, 2014, FerroVen submitted comments regarding the 
security situation in Venezuela, explaining the risks posed to FerroVen 
staff and Department representatives by an on-site verification in 
Venezuela.\2\ FerroVen included in its comments news articles and the 
U.S. State Department's travel warnings regarding Venezuela, noting 
that the unrest was not limited to Caracas, but was also occurring in 
Puerto Ordaz, the location of FerroVen's facility.\3\ On March 7, 2014, 
we issued a letter to the mandatory respondent in this investigation, 
FerroAtlantica de Venezuela (``FerroVen''), in which we accepted its 
proposal to conduct the verification which would normally occur in 
Venezuela in Medina, Ohio, the location of FerroVen's U.S. affiliate, 
FerroAtlantica North America.\4\ Specifically, we stated that ``in 
light of the evolving security threat to an on-site verification 
conducted in a country in the midst of civil unrest, the Department has 
decided that such a threat would not be conducive to the efficient 
completion of an on-site verification or the safety of all persons 
involved.'' \5\
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    \2\ See Letter to the Secretary of Commerce from FerroVen 
``Letter Regarding Situation in Venezuela'' (February 24, 2014).
    \3\ Id.
    \4\ See Letter to FerroVen from Catherine Bertrand, Program 
Manager, Office V, regarding security situation in Venezuela (March 
7, 2014).
    \5\ Id.
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    On April 9, 2014, CC Metals and Alloys, LLC and Globe Specialty 
Metals, Inc. (``Petitioners'') filed pre-verification comments for the 
U.S. sales verification that occurred from April 21, 2014, through 
April 23, 2014.\6\ The Department conducted the home market sales 
verification from April 24, 2014, through April 30, 2014.\7\ On May 9, 
2014, Petitioners filed pre-verification comments \8\ for the cost 
verification that occurred from May 12, 2014, through May 16, 2014, in 
Madrid, Spain.\9\
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    \6\ See Letter from Petitioners ``Ferrosilicon From Venezuela; 
CC Metals and Alloys, LLC and Globe Specialty Metals, Inc. U.S. 
Sales Verification Comments'' (April 9, 2014); Letter to FerroVen 
from Catherine Bertrand, Program Manager, Office V ``CEP 
Verification Agenda'' (April 7, 2014).
    \7\ See Letter to FerroVen from Catherine Bertrand, Program 
Manager, Office V ``Verification Agenda'' (April 7, 2014).
    \8\ See Letter from Petitioners ``Ferrosilicon From Venezuela; 
CC Metals and Alloys, LLC and Globe Specialty Metals, Inc. Cost 
Verification Comments'' (May 9, 2014).
    \9\ See Letter to FerroVen from Michael Martin, Lead Accountant, 
Office of Accounting ``Antidumping Duty Investigation of 
Ferrosilicon from Venezuela'' (April 25, 2014).
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    On April 10, 2014, Petitioners and FerroVen requested that the 
Department hold a hearing in this investigation.\10\

[[Page 44398]]

On June 30, 2014, Petitioners and FerroVen withdrew their requests for 
a hearing.\11\
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    \10\ See Letter from Petitioners ``Ferrosilicon From Venezuela; 
Investigation; CC Metals and Alloys, LLC and Globe Specialty Metals, 
Inc. Request for Hearing'' (April 10, 2014); Letter to the Secretary 
of Commerce from FerroVen ``Ferrosilicon from Venezuela. Case No. A-
307-824: Request for Hearing'' (April 10, 2014).
    \11\ See Letter Commerce from Petitioners ``Ferrosilicon From 
Venezuela; Investigation; Withdrawal of Request for Hearing'' (June 
30, 2014); Letter from FerroVen ``Ferrosilicon from Venezuela. Case 
No. A-307-824: Withdrawal of Hearing Request'' (June 30, 2014).
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    The Department issued the home market and U.S. sales verification 
reports on June 4, 2014,\12\ and the cost verification report on June 
17, 2014.\13\ On June 26, 2014, Petitioners and FerroVen filed case 
briefs.\14\ On July 3, 2014, Petitioners and FerroVen filed rebuttal 
briefs.\15\
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    \12\ See Memorandum to the File from Kabir Archuletta, Senior 
International Trade Analyst, Office V, and Irene Gorelik, Senior 
International Trade Analyst, Office V, through Catherine Bertrand, 
Program Manager, Office V ``Verification of Home Market Sales of 
FerroAtlantica de Venezuela (`FerroVen') in the Antidumping Duty 
Investigation of Ferrosilicon from Venezuela'' (June 4, 2014) (``HM 
Verification Report''); Memorandum to the File from Kabir 
Archuletta, Senior International Trade Analyst, Office V, and Irene 
Gorelik, Senior International Trade Analyst, Office V, through 
Catherine Bertrand, Program Manager, Office V ``Verification of 
FerroAtlantica North America in the Antidumping Duty Investigation 
of Ferrosilicon from Venezuela'' (June 4, 2014) (``CEP Verification 
Report'').
    \13\ See Memorandum to the File from Laurens van Houten, Senior 
Accountant, through Michael Martin, Lead Accountant, and Neal 
Halper, Office Director ``Verification of the Cost Response Ferro 
Atlantica de Venezuela in the Antidumping Duty Investigation of 
Ferrosilicon from Venezuela'' (June 17, 2014) (``Cost Verification 
Report'').
    \14\ See Letter from Petitioners ``Ferrosilicon From Venezuela; 
Investigation; Case Brief of CC Metals and Alloys, LLC and Globe 
Specialty Metals, Inc.'' (June 26, 2014); Letter from FerroVen 
``Ferrosilicon from Venezuela, Case No. A-307-824: Case Brief'' 
(June 26, 2014).
    \15\ See Letter from Petitioners ``Ferrosilicon From Venezuela; 
Investigation; Rebuttal Brief of CC Metals and Alloys, LLC and Globe 
Specialty Metals, Inc.'' (June 26, 2014); Letter from FerroVen 
``Ferrosilicon from Venezuela, Case No. A-307-824: Rebuttal Brief'' 
(June 26, 2014).
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Period of Investigation

    The period of investigation (``POI'') is July 1, 2012, through June 
30, 2013.

Scope of the Investigation

    The merchandise covered by this investigation is all forms and 
sizes of ferrosilicon, regardless of grade, including ferrosilicon 
briquettes. Ferrosilicon is a ferroalloy containing by weight four 
percent or more iron, more than eight percent but not more than 96 
percent silicon, three percent or less phosphorus, 30 percent or less 
manganese, less than three percent magnesium, and 10 percent or less 
any other element. The merchandise covered also includes product 
described as slag, if the product meets these specifications.
    Ferrosilicon is currently classified under U.S. Harmonized Tariff 
Schedule (``HTSUS'') subheadings 7202.21.1000, 7202.21.5000, 
7202.21.7500, 7202.21.9000, 7202.29.0010, and 7202.29.0050. Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, the written description of the merchandise is dispositive.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Issues and Decision Memorandum 
\16\ which is hereby adopted by this notice. A list of the issues 
raised is attached to this notice as Appendix I. The Issues and 
Decision Memorandum is a public document and is on file electronically 
via Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (``IA ACCESS''). IA ACCESS is 
available to registered users at http://iaaccess.trade.gov and it 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 Issues and Decision Memorandum can be accessed directly at 
http://enforcement.trade.gov/frn/. The signed and electronic versions 
of the Issues and Decision Memorandum are identical in content.
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    \16\ See Memorandum to Paul Piquado, Assistant Secretary for 
Enforcement and Compliance, from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations 
``Issues and Decision Memorandum for the Antidumping Duty 
Investigation of Ferrosilicon from Venezuela'' dated concurrently 
with this notice (``Issues and Decision Memorandum'').
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations. For a 
discussion of these changes, see the ``Margin Calculations'' section of 
the Issues and Decision Memorandum.

Verification

    As provided in section 782(i) of the Act, in April and May 2014, we 
verified the sales and cost information submitted by FerroVen for use 
in our final determination. We used standard verification procedures 
including an examination of relevant accounting and production records, 
and original source documents provided by FerroVen.\17\
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    \17\ See HM Verification Report; CEP Verification Report; Cost 
Verification Report.
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Final Determination

    The weighted-average dumping margins are as follows:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Producer or exporter                        dumping
                                                                margin
                                                               (percent)
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FerroAtlantica de Venezuela \18\............................       22.84
All Others..................................................       22.84
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All Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated ``all 
others'' rate shall be an amount equal to the weighted average of the 
weighted-average dumping margins calculated for the producers or 
exporters individually examined, excluding rates that are zero, de 
minimis or determined entirely under section 776 of the Act. Since we 
calculated a weighted-average dumping margin for only one respondent 
that was not zero, de minimis, or determined entirely under section 776 
of the Act, we assigned to all other producers and exporters the rate 
calculated for FerroVen, 22.84 percent.
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    \18\ In this final determination, we determine that 
FerroAtlantica de Venezuela and FerroAtlantica, S.A., constitute a 
single entity. See Issues and Decision Memorandum at Comment 1, and 
Memorandum to the File from Kabir Archuletta, Senior International 
Trade Analyst, Office V, through Catherine Bertrand, Program 
Manager, Office V ``Calculations Performed for FerroAtlantica de 
Venezuela for the Final Determination in the Antidumping Duty 
Investigation of Ferrosilicon from Venezuela'' (July 24, 2014), at 
2-3.
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Disclosure

    We will disclose the calculations performed within five days of the 
date of publication of this notice to parties in this proceeding in 
accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, the Department 
will instruct U.S. Customs and Border Protection (``CBP'') to continue 
to suspend liquidation of all appropriate entries of ferrosilicon from 
Venezuela as described in the ``Scope of the Investigation'' section, 
which was entered, or withdrawn from warehouse, for consumption on or 
after March 11, 2014, the date of publication of the Preliminary 
Determination. CBP shall require a cash deposit equal to the estimated 
amount by which the normal value exceeds the U.S. price as follows: (1) 
The rate for FerroVen will be the rate we have determined in this final 
determination; (2) if the exporter is not a firm identified in this 
investigation but the producer is, the rate will be the rate 
established for the producer of the merchandise under consideration; 
(3) the rate for all other producers or

[[Page 44399]]

exporters will be 22.84 percent, as discussed in the ``All Others 
Rate'' section, above. These instructions suspending liquidation will 
remain in effect until further notice.

U.S. International Trade Commission (``ITC'') Notification

    In accordance with section 735(d) of the Act, we notified the U.S. 
International Trade Commission (``ITC'') of our final determination. As 
our final determination is affirmative, in accordance with section 
735(b)(2) of the Act the ITC will determine within 45 days whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports or sales (or the 
likelihood of sales) for importation of the merchandise under 
consideration. If the ITC determines that such injury does exist, the 
Department will issue an antidumping duty order directing CBP to 
assess, upon further instruction by the Department, antidumping duties 
on all imports of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the effective date of the 
suspension of liquidation.

Return or Destruction of Proprietary Information

    This notice will serve as the only reminder to parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the destruction 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.
    We are issuing and publishing this determination and notice in 
accordance with sections 735(d) and 777(i) of the Act.

    Dated: July 24, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Margin Calculations
V. Discussion of the Issues
    1. Whether FerroVen and FASA Should Be Treated as a Single 
Entity
    2. FerroVen's Purchases of Quartz
    3. FerroVen's HM Interest Rate
    4. U.S. Import Duties
    5. Tax Adjustment to Certain HM Sales Based on Verification 
Observations
    6. CEP Offset
    7. General and Administrative Expense
    8. Depreciation
    9. Financial Expense Ratio
    10. FASA's G&A Rate
VI. Recommendation

[FR Doc. 2014-18061 Filed 7-30-14; 8:45 am]
BILLING CODE 3510-DS-P