[Federal Register Volume 79, Number 158 (Friday, August 15, 2014)]
[Notices]
[Pages 48121-48123]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-19401]



[[Page 48121]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-475-818, C-475-819]


Certain Pasta From Italy: Initiation and Preliminary Results of 
Antidumping Duty and Countervailing Duty Changed Circumstances Reviews, 
and Intent To Revoke Orders, In Part

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: Pursuant to section 751(b) of the Tariff Act of 1930, as 
amended (the Act), and 19 CFR 351.216(b), Grandi Pastai Italiani, Inc. 
and Grandi Pastai Italiani S.pA. (together, GPI) filed a request for an 
expedited changed circumstances review of the antidumping duty (AD) and 
countervailing duty (CVD) orders on certain pasta from Italy \1\ to 
revoke the Orders with respect to certain cheese- and/or vegetable-
filled (stuffed) ravioli and tortellini pasta (stuffed ravioli and 
tortellini pasta). The Department of Commerce (the Department) is 
initiating a changed circumstances review to be conducted on an 
expedited basis and issuing a notice of preliminary intent to revoke, 
in part, the Orders. Interested parties are invited to comment on these 
preliminary results.
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    \1\ See Notice of Countervailing Duty Order and Amended Final 
Affirmative Countervailing Duty Determination: Certain Pasta From 
Italy, 61 FR 38544 (July 24, 1996) and Notice of Antidumping Duty 
Order and Amended Final Determination of Sales at Less Than Fair 
Value: Certain Pasta From Italy, 61 FR 38547 (July 24, 1996) 
(collectively, the Orders).

DATES: Effective Dates: July 1, 2012 for AD order A-475-818 and January 
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1, 2012 for CVD order C-475-819

FOR FURTHER INFORMATION CONTACT: Chris Siepmann at (202) 482-7958; AD/
CVD Operations, Office I, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230.

Background

    On July 24, 1996, the Department published in the Federal Register 
the Orders on certain pasta from Italy. On May 16, 2014, in accordance 
with sections 751(b) and 751(d)(1) of the Act, 19 CFR 351.216(b), and 
19 CFR 351.222(g)(1), GPI, an importer of subject merchandise, 
requested revocation, in part, of the Orders with respect to its 
Italian stuffed ravioli and tortellini pasta, filled with cheese and/or 
vegetables, as part of a changed circumstances review. GPI requested 
that the Department conduct the changed circumstances review on an 
expedited basis pursuant to 19 CFR 351.221(c)(3)(ii). On July 15, 2014, 
the Department extended the deadline for initiation of this review 
request by 30 days until August 13, 2014.

Scope of the Orders

    Imports covered by these Orders are shipments of certain non-egg 
pasta in packages of five pounds four ounces or less, whether or not 
enriched or fortified or containing milk or other optional ingredients 
such as chopped vegetables, vegetable purees, milk, gluten, diastasis, 
vitamins, coloring and flavorings, and up to two percent egg white. The 
pasta covered by this scope is typically sold in the retail market, in 
fiberboard or cardboard cartons, or polyethylene or polypropylene bags 
of varying dimensions.
    Excluded from the scope of these Orders are refrigerated, frozen, 
or canned pastas, as well as all forms of egg pasta, with the exception 
of non-egg dry pasta containing up to two percent egg white. Also 
excluded are imports of organic pasta from Italy that are accompanied 
by the appropriate certificate issued by the Instituto Mediterraneo Di 
Certificzione, by QC&I International Services, by Ecocert Italia, by 
Consorzio per il Controllo dei Prodotti Biologici, by Associazion 
Italiana per l'Agricoltra Biologica, by Ambientale.\2\ Effective July 
1, 2008, gluten-free pasta is also excluded from the AD order.\3\ 
Effective January 1, 2009, gluten-free pasta is also excluded from the 
scope of the CVD order.\4\
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    \2\ See Memorandum from Yasmin Nair to Susan Kuhbach, entitled 
``Recognition of EU Organic Certifying Agents for Certifying Organic 
Pasta from Italy'' (October 10, 2012), which is on file in the 
Department's Central Records Unit (``CRU'') in Room 7046 of the main 
Department building.
    \3\ See Certain Pasta from Italy: Notice of Final Results of 
Antidumping Duty Changed Circumstances Review and Revocation, in 
Part, 74 FR 41120 (August 14, 2009).
    \4\ See Final Results of Countervailing Duty Changed 
Circumstances Review and Revocation, In Part, 76 FR 27634 (May 12, 
2011) (Pasta from Italy CVD CCR).
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    The merchandise subject to these Orders is currently classifiable 
under items 1901.90.9095 and 1902.19.20 of the Harmonized Tariff 
Schedule of the United States (HTSUS). Although the HTSUS subheadings 
are provided for convenience and customs purposes, the written 
description of the merchandise subject to the description of the 
merchandise subject to the Orders is dispositive.

Scope Rulings

    The Department has issued the following scope rulings to date:
    (1) On August 25, 1997, the Department issued a scope ruling 
finding that multicolored pasta, imported in kitchen display bottles of 
decorative glass that are sealed with cork or paraffin and bound with 
raffia, is excluded from the scope of the Orders.\5\
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    \5\ See Memorandum from Edward Easton to Richard Moreland, dated 
August 25, 1997, which is on file in the CRU.
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    (2) On July 30, 1998, the Department issued a scope ruling finding 
that multipacks consisting of six one-pound packages of pasta that are 
shrink-wrapped into a single package are within the scope of the 
Orders.\6\
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    \6\ See Letter from Susan H. Kuhbach to Barbara P. Sidari, dated 
July 30, 1998, which is on file in the CRU.
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    (3) On October 26, 1998, the Department self-initiated a scope 
inquiry to determine whether a package weighing over five pounds as a 
result of allowable industry tolerances is within the scope of the 
Orders. On May 24, 1999, we issued a final scope ruling finding that, 
effective October 26, 1998, pasta in packages weighing or labeled up to 
(and including) five pounds four ounces is within the scope of the 
Orders.\7\
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    \7\ See Memorandum from John Brinkman to Richard Moreland, dated 
May 24, 1999, which is on file in the CRU.
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    (4) On April 27, 2000, the Department self-initiated an anti-
circumvention inquiry to determine whether Pastificio Fratelli Pagani 
S.p.A.'s importation of pasta in bulk and subsequent repackaging in the 
United States into packages of five pounds or less constitutes 
circumvention with respect to the Orders pursuant to section 781(a) of 
the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.225(b).\8\ 
On September 19, 2003, we published an affirmative finding in the anti-
circumvention inquiry.\9\
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    \8\ See Certain Pasta From Italy: Notice of Initiation of Anti-
Circumvention Inquiry on the Antidumping and Countervailing Duty 
Orders, 65 FR 26179 (May 5, 2000).
    \9\ See Anti-Circumvention Inquiry of the Antidumping and 
Countervailing Duty Orders on Certain Pasta from Italy: Affirmative 
Final Determinations of Circumvention of Antidumping and 
Countervailing Duty Orders, 68 FR 54888 (September 19, 2003).
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    (5) On July 18, 2013, the Department issued a scope ruling finding 
that Valdigrano di Flavio Pagani S.r.L. product which is made from a 
dough that contains 2.5 percent egg white, by weight, is within the 
scope of the Orders.\10\
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    \10\ See Memorandum from Joseph Shuler to Christian Marsh, dated 
July 18, 2013, which is on file in the CRU.

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[[Page 48122]]

Initiation and Preliminary Results of Changed Circumstances Review, and 
Consideration of Revocation of the Order In Part

    Section 782(h)(2) of the Act and 19 CFR 351.222(g)(1)(i) provide 
that the Department may revoke an order (in whole or in part) if it 
determines that producers accounting for substantially all of the 
production of the domestic like product have no further interest in the 
order, in whole or in part. In addition, in the event the Department 
determines that expedited action is warranted, 19 CFR 351.221(c)(3)(ii) 
permits the Department to combine the notices of initiation and 
preliminary results.
    On May 16, 2014, GPI requested the Department conduct the changed 
circumstances review on an expedited basis. On the same day, 
Petitioners \11\ filed a letter in support of GPI's changed 
circumstances review request. Petitioners stated that, as producers 
accounting for substantially all of the production of the domestic like 
product in support of the Orders, they have no interest in including 
ravioli and tortellini filled with cheese and/or vegetables in the 
scope of the Orders.\12\
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    \11\ Petitioners in this proceeding include A. Zerega's Sons, 
Inc., American Italian Pasta Company, Dakota Growers Pasta Company, 
New World Pasta Company, Philadelphia Macaroni Company, and ST 
Specialty Foods.
    \12\ See Letter from Petitioners, ``Changed Circumstances Review 
Request--Certain Pasta from Italy,'' dated May 16, 2014. In its 
administrative practice, the Department has interpreted 
``substantially all'' to mean at least 85 percent of the total 
production of the domestic like product covered by the order. See, 
e.g., Pasta from Italy CVD CCR, 76 FR at 27635.
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    Therefore, at the request of GPI and in accordance with sections 
751(b)(1) and 751(d)(1) of the Act, 19 CFR 351.216, 19 CFR 
351.222(g)(1), and 19 CFR 351.221(c)(3)(ii), we are initiating this 
changed circumstances review of ravioli and tortellini filled with 
cheese and/or vegetables from Italy to determine whether partial 
revocation of the Orders is warranted with respect to this product. In 
addition, we determine that expedited action is warranted. In 
accordance with 19 CFR 351.222(g)(1), we find that Petitioners' 
affirmative statements of no interest constitutes good cause for the 
conduct of this review. Additionally, our decision to expedite this 
review pursuant to 19 CFR 351.221(c)(3)(ii) stems from the domestic 
industry's lack of interest in applying the Orders to ravioli and 
tortellini filled with cheese and/or vegetables.
    Based on the expression of no interest by Petitioners and absent 
any objections by other domestic interested parties, we preliminarily 
determine that substantially all of the domestic producers have no 
interest in the continued application of the Orders on pasta from Italy 
to the merchandise that is subject to GPI's request. Therefore, we are 
notifying the public of our intent to revoke, in part, the Orders as 
they relate to imports of ravioli and tortellini filled with cheese 
and/or vegetables from Italy. This partial revocation would be 
retroactively applied to entries of ravioli and tortellini filled with 
cheese and/or vegetables, entered or withdrawn from warehouse, for 
consumption, on or after July 1, 2012 for the antidumping duty order 
and January 1, 2012 for the countervailing duty order, which are the 
day after the last day of the most recently completed administrative 
reviews under each order.\13\ We intend to modify the scope of the AD 
order to read as follows:

    \13\ See, e.g., Wooden Bedroom Furniture from the People's 
Republic of China: Final Results of Changed Circumstances Review and 
Determination to Revoke Order in Part, 74 FR 8506 (February 25, 
2009) (retroactively revoking an order, in part, to unliquidated 
entries not subject to a final determination by the Department).
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    Imports covered by these orders are shipments of certain non-egg 
pasta in packages of five pounds four ounces or less, whether or not 
enriched or fortified or containing milk or other optional 
ingredients such as chopped vegetables, vegetable purees, milk, 
gluten, diastasis, vitamins, coloring and flavorings, and up to two 
percent egg white. The pasta covered by this scope is typically sold 
in the retail market, in fiberboard or cardboard cartons, or 
polyethylene or polypropylene bags of varying dimensions.
    Excluded from the scope of these orders are refrigerated, 
frozen, or canned pastas, as well as all forms of egg pasta, with 
the exception of non-egg dry pasta containing up to two percent egg 
white. Also excluded are imports of organic pasta from Italy that 
are accompanied by the appropriate certificate issued by the 
Instituto Mediterraneo Di Certificzione, by QC&I International 
Services, by Ecocert Italia, by Consorzio per il Controllo dei 
Prodotti Biologici, by Associazion Italiana per l'Agricoltra 
Biologica, by Ambientale.\14\ Effective July 1, 2008, gluten-free 
pasta is also excluded from the AD order.\15\ Effective January 1, 
2009, gluten-free pasta is also excluded from the scope of the CVD 
order.\16\ Effective July 1, 2012, ravioli and tortellini filled 
with cheese and/or vegetables are also excluded from the scope of 
the AD order. Effective January 1, 2012, ravioli and tortellini 
filled with cheese and/or vegetables are also excluded from the 
scope of the CVD order.
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    \14\ See Memorandum from Yasmin Nair to Susan Kuhbach, entitled 
``Recognition of EU Organic Certifying Agents for Certifying Organic 
Pasta from Italy'' (October 10, 2012), which is on file in the 
Department's Central Records Unit (``CRU'') in Room 7046 of the main 
Department building
    \15\ See Certain Pasta from Italy: Notice of Final Results of 
Antidumping Duty Changed Circumstances Review and Revocation, in 
Part, 74 FR 41120 (August 14, 2009).
    \16\ See Pasta from Italy CVD CCR.
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    The merchandise subject to these orders is currently 
classifiable under items 1901.90.9095 and 1902.19.20 of the HTSUS. 
Although the HTSUS subheadings are provided for convenience and 
customs purposes, the written description of the merchandise subject 
to the description of the merchandise subject to the orders is 
dispositive.

Public Comment

    Interested parties are invited to comment on these preliminary 
results. Written comments may be submitted no later than 14 days after 
the date of publication of these preliminary results. Rebuttals to 
written comments, limited to issues raised in such comments, may be 
filed no later than 21 days after the date of publication of these 
preliminary results. Consistent with 19 CFR 351.309, parties who submit 
written comments or rebuttal comments in this proceeding are requested 
to submit with each argument (1) a statement of the issue and (2) a 
brief summary of the argument (no longer than five pages, including 
footnotes). Pursuant to 19 CFR 351.310(c), any interested party may 
request a hearing within 10 days of the date of publication of this 
notice. Further, any hearing, if requested, will be held no later than 
25 days after the date of publication of this notice, or the first 
business day thereafter. All written comments and/or hearing requests 
must be filed electronically using Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (IA ACCESS).\17\ An electronically filed document must be 
received successfully in its entirety by the Department's electronic 
records system, IA ACCESS, by 5 p.m. Eastern Time of the deadlines set 
forth in this notice.
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    \17\ See, generally, 19 CFR 351.303.
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    We will issue our final results of this changed circumstances 
review as soon as practicable following the above comment period, but 
not later than 270 days after the date on which we initiated the 
changed circumstances review or within 45 days if all parties agree to 
our preliminary results, in accordance with 19 CFR 351.216(e).
    If final revocation occurs, we will instruct U.S. Customs and 
Border Protection to end the suspension of liquidation for the 
merchandise covered by the revocation on the effective dates of the 
notice of revocation and to release any cash deposit or bond. The 
current requirement for a cash deposit of estimated AD and CVD duties 
on all subject merchandise will continue

[[Page 48123]]

unless and until it is modified pursuant to the final results of this 
changed circumstances review.
    This initiation and preliminary results of review notice is 
published in accordance with sections 751(b)(1) and 777(i)(1) of the 
Act and 19 CFR 351.216, 351.221(b)(1), (4), and 351.222(g).

    Dated: August 8, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2014-19401 Filed 8-14-14; 8:45 am]
BILLING CODE 3510-DS-P