[Federal Register Volume 81, Number 206 (Tuesday, October 25, 2016)]
[Notices]
[Pages 73378-73379]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-25675]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-831]


Fresh Garlic From the People's Republic of China: Final 
Rescission of the Semiannual Antidumping Duty New Shipper Review of 
Jinxiang Huameng Imp & Exp Co., Ltd.

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (``the Department'') has conducted 
a new shipper review (``NSR'') of Jinxiang Huameng Imp & Exp Co., Ltd. 
(``Huameng'') regarding the antidumping duty order on fresh garlic from 
the People's Republic of China (``the PRC''). Based on our analysis of 
the comments received, we continue to find Huameng's sale is not bona 
fide. Consequently, the Department is rescinding this NSR.

DATES: Effective October 25, 2016.

FOR FURTHER INFORMATION CONTACT:  Sean Carey, AD/CVD Operations, Office 
VII, Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-3964.

SUPPLEMENTARY INFORMATION:

Background

    On May 25, 2016, the Department published the preliminary results 
of this new shipper review.\1\ The Department conducted a verification 
of Huameng's questionnaire responses from September 19 to September 23, 
2016, and issued a verification report on September 28, 2016.\2\ The 
review covers Huameng. The period of review (POR) is November 1, 2014, 
through April 30, 2015. A summary of the events that occurred since the 
Department published the Preliminary Results, as well as a full

[[Page 73379]]

discussion of the issues raised by parties for this final 
determination, are found in the Issues and Decision Memorandum, dated 
concurrently with, and hereby adopted by, this notice.\3\
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    \1\ See Fresh Garlic From the People's Republic of China: 
Preliminary Intent To Rescind the New Shipper Review of Jinxiang 
Huameng Imp & Exp Co., Ltd., 81 FR 33209 (May 25, 2016) (Preliminary 
Results) and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum to the File, ``Verification of the Sales and 
Factors Response of Jinxiang Huameng Import & Export Co., Ltd. in 
the New Shipper Review of Garlic from the People's Republic of 
China,'' dated September 28, 2016 (Huameng Verification Report), at 
6-7.
    \3\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
regarding ``Issues and Decision Memorandum for the Final Results of 
Antidumping Duty Semiannual New Shipper Review on Fresh Garlic from 
the People's Republic of China: Jinxiang Huameng Imp & Exp Co., 
Ltd.'' issued concurrently with this notice (Issues and Decision 
Memorandum).
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    The Issues and Decision Memorandum is a public document and is made 
available to the public via Enforcement and Compliance's Antidumping 
and Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at https://iaaccess.trade.gov, 
and is available to all parties in the Department's Central Records 
Unit, located in room B8024 of the main Department of Commerce 
building. In addition, a complete version of the Issues and Decision 
Memorandum can be found at http://enforcement.trade.gov/frn/. The 
signed and the electronic versions of the Issues and Decision 
Memorandum are identical in content.

Scope of the Order

    The merchandise covered by this order is all grades of garlic, 
whether whole or separated into constituent cloves. The subject 
merchandise is currently classifiable under the Harmonized Tariff 
Schedule of the United States (``HTSUS'') subheadings: 0703.20.0000, 
0703.20.0005, 0703.20.0010, 0703.20.0015, 0703.20.0020, 0703.20.0090, 
0710.80.7060, 0710.80.9750, 0711.90.6000, 0711.90.6500, 2005.90.9500, 
2005.90.9700, and 2005.99.9700. A full description of the scope of the 
order is contained in the Issues and Decision Memorandum.\4\ Although 
the HTSUS subheadings are provided for convenience and customs 
purposes, the written product description is dispositive.
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    \4\ See the Issues and Decision Memorandum.
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Final Rescission of New Shipper Review

    As explained in the Issues and Decision Memorandum and in the 
proprietary Huameng Bona Fides Memorandum \5\ issued with the 
Preliminary Results, due to the totality of circumstances, including 
the atypical nature of the product that was sold, i.e., single-clove 
garlic, the lack of proof of payment by Huameng's U.S. customer for 
payment of all its contractual expenses per the sales terms and for its 
subsequent purchase of non-subject merchandise, and, other 
circumstances indicating that Huameng's business operations were not 
profitable, we continue to find that Huameng's sale is not bona fide 
within the meaning of section 751(a)(2)(B)(iv) of the Tariff Act of 
1930, as amended (the Act). As a result, we are rescinding the new 
shipper review of Huameng.
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    \5\ See Memorandum to Edward Yang, Office Director, AD/CVD 
Operations, Office VII, ``Bona Fide Nature of the Sale in the 
Antidumping Duty New Shipper Review of Fresh Garlic from the 
People's Republic of China (PRC): Jinxiang Huameng Imp & Exp Co., 
Ltd.,'' dated May 17, 2016 (Bona Fide Memorandum).
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs are addressed in 
the Issues and Decision Memorandum. A list of the issues that are 
raised in the briefs and addressed in the Issues and Decision 
Memorandum is in the Appendix of this notice.

Cash Deposit Requirements

    Effective upon publication of the final rescission of the NSR of 
Huameng, the Department will instruct CBP to discontinue the option of 
posting a bond or security in lieu of a cash deposit for entries of 
subject merchandise by Huameng. Cash deposits will be required for 
exports of subject merchandise by Huameng entered, or withdrawn from 
warehouse, for consumption on or after the publication date, at the 
PRC-wide rate.

Assessment Instructions

    As the result of this rescission of the NSR of Huameng, the entries 
of Huameng covered by this NSR will be assessed at the cash deposit 
rate required at the time of entry, which is the PRC-wide rate.

Notification to Importers

    This notice serves as final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this POR. Failure to comply with this 
requirement could result in the Secretary of Commerce's presumption 
that reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.

Return or Destruction of Proprietary Information

    This notice serves as a reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of business proprietary information 
disclosed under the APO in accordance with 19 CFR 351.305(a)(3). We 
request timely written notification of return or destruction of APO 
materials or conversion to judicial protective order. Failure to comply 
with the regulations and the terms of an APO is a sanctionable 
violation.
    This notice is issued and published this notice in accordance with 
sections 751(a)(2)(B) and 777(i) of the Act and 19 CFR 351.214.

    Dated: October 14, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

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

1. Summary
2. Background
3. Scope of the Order
4. Discussion of the Issues
    Comment 1a: Whether the Price of Huameng's Garlic Was Indicative 
of a Bona Fide Sale
    Comment 1b: Evidence of Payment of Expenses Arising from the 
Transaction by Huameng's U.S. Customer
    Comment 1c: Whether the Transaction Was Made on an Arm's Length 
Basis
    Comment 1d: Whether Huameng's Business Operations Are Profitable
    Comment 1e: Whether the Sale of Single-Clove Garlic is Typical
    Comment 2: Whether Harmoni Qualifies as an Interested Party
    Comment 3: Whether Huameng is Entitled to a Separate Rate
    Comment 4: Whether Huameng Should Receive the PRC-Wide Cash 
Deposit Rate
    Comment 5: Whether Huameng is Eligible to Participate in the New 
Shipper Review
    5. Recommendation

[FR Doc. 2016-25675 Filed 10-24-16; 8:45 am]
 BILLING CODE 3510-DS-P