[Federal Register Volume 82, Number 234 (Thursday, December 7, 2017)]
[Notices]
[Pages 57718-57721]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-26378]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-831]


Fresh Garlic From the People's Republic of China: Preliminary 
Results, Preliminary Rescission, and Final Rescission, in Part, of the 
22nd Antidumping Duty Administrative Review and Preliminary Results of 
the New Shipper Reviews; 2015-2016

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

SUMMARY: The Department of Commerce (the Department) is conducting the 
22nd administrative review of the antidumping duty order on fresh 
garlic from the People's Republic of China (PRC) and two concurrent new 
shipper reviews. The period of review (POR) for the administrative and 
new shipper reviews is November 1, 2015, through October 31, 2016. The 
Department preliminarily determines that mandatory respondent, Shandong 
Jinxiang Zhengyang Import & Export Co., Ltd. (Zhengyang) sold subject 
merchandise to the United States at less than normal value (NV). We 
also preliminarily find that the review request made by the Coalition 
for Fair Trade in Garlic (the CFTG) was not valid, and accordingly have 
preliminarily rescinded the review with respect to seven companies, 
including the other mandatory respondent, Zhengzhou Harmoni Spice Co., 
Ltd. (Harmoni). The Department also preliminarily determines that the 
new shipper reviews respondents, Qingdao Joinseafoods Co., Ltd. and 
Join Food Ingredient Inc. (collectively, Join) and Zhengzhou Yudi 
Shengjin Agricultural Trade Co., Ltd. (Yudi), each made sales of 
subject merchandise at less than normal value. We invite interested 
parties to comment on these preliminary results.

DATES: Applicable December 7, 2017.

FOR FURTHER INFORMATION CONTACT: Kathryn Wallace or Alexander Cipolla, 
AD/CVD Operations, Office VII, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
6251 or (202) 482-4956.

Scope of the Order

    The merchandise covered by the order includes all grades of garlic, 
whole or separated into constituent cloves. Fresh garlic that are 
subject to the order are currently classified under the Harmonized 
Tariff Schedule of the United States (HTSUS) 0703.20.0010, 
0703.20.0020, and 0703.20.0090. Although the HTSUS numbers are provided 
for convenience and customs purposes, the written product description 
remains dispositive. For a full description of the scope of this order, 
please see ``Scope of the Order'' in the accompanying Preliminary 
Decision Memorandum.\1\
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    \1\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results, Preliminary Rescission, and Final Rescission, In Part, of 
the 2015-2016 Antidumping Duty Administrative Review and Preliminary 
Results of the New Shipper Reviews: Fresh Garlic from the People's 
Republic of China'' (November 30, 2017) (Preliminary Decision 
Memorandum).
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Partial Rescission of Administrative Review

    On January 13, 2017, the Department initiated a review of 35 
companies in this administrative review.\2\ On April 13, 2017, review 
requests were timely withdrawn for six companies.\3\ In addition, as 
discussed in the accompanying Issues and Decision Memorandum, one of 
the companies for which the review request was timely rescinded is a 
part of the QTF-Entity, which submitted a separate rate application. 
Accordingly, this company remains subject to review. Moreover, the 
Department inadvertently initiated a review of one company without a 
request. The Department is, therefore, partially rescinding this 
administrative review with respect to the companies listed in Appendix 
I, in accordance with 19 CFR 351.213(d)(1).
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    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 4294 (January 13, 2017) (Initiation 
Notice). For a list of the 35 companies, see 82 FR 4296-4297.
    \3\ See Petitioners' Letter, ``22nd Administrative Review of the 
Antidumping Duty Order on Fresh Garlic from the People's Republic of 
China--Petitioners' Withdrawal of Certain Requests for 
Administrative Review,'' (April 13, 2017).
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Preliminary Rescission of Administrative Review

    In addition, as discussed in depth at ``Preliminary Rescission of 
Administrative Review'' in the accompanying Preliminary Decision 
Memorandum, the Department has preliminarily determined that the review 
request from the CFTG was invalid, and is preliminarily rescinding the 
administrative review with respect to the companies listed in Appendix 
II.

Methodology

    The Department is conducting these reviews in accordance with 
section 751(a)(1)(B) and 751(a)(2)(B) of the Tariff Act of 1930, as 
amended (the Act) and 19 CFR 351.214. Export prices were

[[Page 57719]]

calculated in accordance with section 772(a) of the Act; constructed 
export prices were calculated in accordance with section 772(b) of the 
Act. Because the PRC is a non-market economy (NME) within the meaning 
of section 771(18) of the Act, NV has been calculated in accordance 
with section 773(c) of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum, which is hereby 
adopted by this notice. The Preliminary Decision Memorandum is a public 
document and is on file electronically via Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (ACCESS). ACCESS is available to registered users at http://access.trade.gov, and is available to all parties in the Central 
Records Unit, room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Preliminary Decision Memorandum 
can be accessed directly on the internet at http://enforcement.trade.gov/frn/. The signed Preliminary Decision Memorandum 
and the electronic versions of the Preliminary Decision Memorandum are 
identical in content.

Preliminary Determination of No Shipments

    As discussed at ``Preliminary Determination of No Shipments'' in 
the accompanying Preliminary Decision Memorandum, 14 companies timely 
filed ``no shipment'' certifications stating that they had no entries 
into the United States of subject merchandise during the POR. However, 
no review requests were submitted for five of these companies. 
Moreover, review requests were timely withdrawn for two of these 
companies. In addition, two of these companies are a part of the QTF-
entity, which filed a separate rate certification, as discussed at 
``Separate Rate Status of the QTF-Entity'' in the accompanying Issues 
and Decision Memorandum.
    Accordingly, the Department, consistent with its practice, 
requested that U.S. Customs and Border Protection (CBP) conduct a query 
of potential shipments made by the remaining five companies. Based on 
the certifications by the remaining companies and our analysis of CBP 
information, we preliminarily determine that the companies listed in 
Appendix IV did not have any reviewable transactions during the POR. In 
addition, the Department finds that consistent with its refinement to 
its assessment practice in NME cases, further discussed below, it is 
appropriate not to preliminarily rescind the administrative review, in 
part, in these circumstances, but rather to complete the administrative 
review with respect to these five companies, and issue appropriate 
instructions to CBP based on the final results of the administrative 
review.\4\
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    \4\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694, 65694-95 (October 24, 2011); see 
also ``Assessment Rates'' section below.
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Verification

    As provided in section 782(i) of the Act, we intend to verify the 
information provided by respondents using standard verification 
procedures, including on-site inspection of the producer's and 
exporter's facilities, and examination of relevant sales and financial 
records. Our verification results will be outlined in the verification 
report for the respective respondents after completion of the 
verification.

Preliminary Determination of Separate Rates for Non-Selected Companies

    In accordance with section 777A(c)(2)(B) of the Act, the Department 
employed a limited examination methodology, as it determined that it 
would not be practicable to examine individually all companies for 
which a review request was made.\5\ There were six exporters of subject 
merchandise from the PRC that have demonstrated their eligibility for a 
separate rate but were not selected for individual examination in this 
review. These six exporters are listed in Appendix III.
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    \5\ See Memorandum, ``Administrative Review of the Antidumping 
Duty Order on Fresh Garlic from the People's Republic of China: 
Respondent Selection Memorandum,'' dated March 7, 2017.
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    Neither the Act nor the Department's regulations address the 
establishment of the rate applied to individual companies not selected 
for examination where the Department limited its examination in an 
administrative review pursuant to section 777A(c)(2) of the Act. The 
Department's practice in cases involving limited selection based on 
exporters accounting for the largest volume of imports has been to look 
to section 735(c)(5) of the Act for guidance, which provides 
instructions for calculating the all-others rate in an investigation. 
Section 735(c)(5)(A) of the Act instructs the Department to use rates 
established for individually investigated producers and exporters, 
excluding any rates that are zero, de minimis, or based entirely on 
facts available in investigations. In the administrative review, 
Zhengyang is the only reviewed respondent that received a weighted-
average margin. Therefore, for the preliminary results, the Department 
has preliminarily determined to assign Zhengyang's margin to the non-
selected separate-rate companies.

PRC-Wide Entity

    The Department's policy regarding conditional review of the PRC-
wide entity applies to this administrative review.\6\ Under this 
policy, the PRC-wide entity will not be under review unless a party 
specifically requests, or the Department self-initiates, a review of 
the entity. Because no party requested, and the Department did not 
self-initiate, a review of the PRC-wide entity for this POR, the entity 
is not under review and the entity's rate (i.e., $4.71/kg) is not 
subject to change.\7\ Aside from the no shipments companies discussed 
below, and the companies for which the review is being rescinded, the 
Department considers all other companies for which a review was 
requested, and which did not preliminarily qualify for a separate rate, 
to be part of the PRC-wide entity. For additional information, see the 
Preliminary Decision Memorandum.
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    \6\ See Antidumping Proceedings: Announcement of Change in 
Department Practice for Respondent Selection in Antidumping Duty 
Proceedings and Conditional Review of the Nonmarket Economy Entity 
in NME Antidumping Duty Proceedings, 78 FR 65963 (November 4, 2013).
    \7\ See Fresh Garlic from the People's Republic of China: Final 
Results and Partial Rescission of the 13th Antidumping Duty 
Administrative Review and New Shipper Reviews, 74 FR 29174 (June 19, 
2009).
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Preliminary Results of Administrative Review

    The Department preliminarily determines that the following 
weighted-average dumping margins exist for the administrative review 
covering the period November 1, 2015, through October 31, 2016:

[[Page 57720]]



------------------------------------------------------------------------
                                                             Weighted-
                                                          average margin
                        Exporter                           (dollars per
                                                             kilogram)
------------------------------------------------------------------------
Shandong Jinxiang Zhengyang Import & Export Co., Ltd....            2.69
Jining Shunchang Import & Export Co., Ltd...............            2.69
Jinxiang Feiteng Import & Export Co., Ltd...............            2.69
Qingdao Sea-Line International Trading Co., Ltd.........            2.69
Shenzhen Bainong Co., Ltd...............................            2.69
Shenzhen Xinboda Industrial Co., Ltd....................            2.69
Weifang Hongqiao International Logistics Co., Ltd.......            2.69
------------------------------------------------------------------------

Preliminary Results of New Shipper Reviews

    The Department preliminarily determines that the following 
weighted-average dumping margins exist for the new shipper review 
covering the period November 1, 2015, through October 31, 2016:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                        Exporter                              margin
                                                           (dollars per
                                                             kilogram)
------------------------------------------------------------------------
Qingdao Joinseafoods Co., Ltd. and Join Food Ingredient             2.20
 Inc....................................................
Zhengzhou Yudi Shengjin Agricultural Trade Co., Ltd.....            3.19
------------------------------------------------------------------------

Disclosure, Public Comment and Opportunity To Request a Hearing

    The Department intends to disclose the calculations used in our 
analyses to parties in this review within five days of the date of 
publication of this notice in accordance with 19 CFR 351.224(b).
    Case briefs or other written comments may be submitted by 
interested parties no later than seven days after the date on which the 
final verification report is issued in these proceedings and rebuttal 
briefs, limited to issues raised in case briefs, may be submitted no 
later than five days after the deadline date for case briefs.\8\ 
Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case 
briefs or rebuttal briefs in this proceeding are encouraged to submit 
with each argument: (1) A statement of the issue; (2) a brief summary 
of the argument; and (3) a table of authorities.\9\ Any electronically 
filed document must be received successfully in its entirety by the 
Department's electronic records system, ACCESS, by the date and time it 
is due.
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    \8\ See 19 CFR 351.309. See also 19 CFR 351.303 (for general 
filing requirements).
    \9\ See 19 CFR 351.309(c)(2).
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    Pursuant to 19 CFR 351.310, any interested party may request a 
hearing within 30 days of publication of this notice. Hearing requests 
should contain the following information: (1) The party's name, 
address, and telephone number; (2) the number of participants; and (3) 
a list of the issues to be discussed. Oral presentations will be 
limited to issues raised in the case and rebuttal briefs. If a party 
requests a hearing, the Department will inform parties of the scheduled 
date for the hearing which will be held at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW., Washington, DC 20230, at a time 
and location to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing.
    The Department intends to issue the final results of these reviews, 
including the results of its analysis of the issues raised in any 
written briefs, not later than 120 days after the date of publication 
of this notice, pursuant to section 751(a)(3)(A) of the Act.

Assessment Rates

    Upon issuance of the final results, the Department will determine, 
and CBP shall assess, antidumping duties on all appropriate entries 
covered by this review, in accordance with 19 CFR 351.212(b). For the 
companies for which this review is rescinded, antidumping duties shall 
be assessed at rates equal to the cash deposit of estimated antidumping 
duties required at the time of entry, or withdrawal from warehouse, for 
consumption, in accordance with 19 CFR 351.212(c)(l)(i). The Department 
intends to issue appropriate assessment instructions with respect to 
the companies for which this review is rescinded to CBP 15 days after 
the publication of this notice. For the remaining companies subject to 
review, the Department will direct CBP to assess rates based on the 
per-unit (i.e., per kilogram) amount on each entry of the subject 
merchandise during the POR. The Department intends to issue assessment 
instructions to CBP 15 days after the publication date of the final 
results of review.
    Pursuant to the Department's assessment practice in NME cases, for 
merchandise that was not reported in the U.S. sales databases submitted 
by an exporter individually examined during this review, but that 
entered under the case number of that exporter (i.e., at the 
individually-examined exporter's cash deposit rate), the Department 
will instruct CBP to liquidate such entries at the NME-wide rate. In 
addition, if the Department determines that an exporter under review 
had no shipments of the subject merchandise, any suspended entries that 
entered under that exporter's case number (i.e., at that exporter's 
rate) will be liquidated at the PRC-wide rate.\10\
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    \10\ For a full discussion of this practice, see Non-Market 
Economy Antidumping Proceedings: Assessment of Antidumping Duties, 
76 FR 65694 (October 24, 2011).
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Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this review for shipments of the 
subject merchandise from the PRC entered, or withdrawn from warehouse, 
for consumption on or after the publication date, as provided by 
sections 751(a)(2) of the Act: (1) For the companies listed

[[Page 57721]]

above, the cash deposit rate will be the rate established in these 
final results of review (except, if the rate is zero or de minimis, 
then zero cash deposit will be required for that company); (2) for 
previously investigated or reviewed PRC and non-PRC exporters not 
listed above that have separate rates, the cash deposit rate will 
continue to be the exporter-specific rate published for the most recent 
period; (3) for all PRC exporters of subject merchandise which have not 
been found to be entitled to a separate rate, the cash deposit rate 
will be the PRC-wide rate of 4.71 U.S. dollars per kilogram; and (4) 
for all non-PRC exporters of subject merchandise which have not 
received their own rate, the cash deposit rate will be the rate 
applicable to the PRC exporter that supplied that non-PRC exporter. 
These requirements, when imposed, shall remain in effect until further 
notice.

Notification to Importers

    This notice serves as a preliminary 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 review period. Failure to comply 
with this requirement could result in the Department's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    We are issuing and publishing these preliminary results in 
accordance with sections 751(a)(1) and 777(i) of the Act, and 19 CFR 
351.213(h) and 351.221(b)(4).

    Dated: November 29, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary of Enforcement and Compliance.

Appendix I

Companies for Which Administrative Reviews Have Been Rescinded

1. Jining Alpha Food Co., Ltd.
2. Jining Yongjia Trade Co., Ltd.
3. Jinxiang Hejia Co., Ltd.
4. Qingdao Joinseafoods Co., Ltd. and Join Food Ingredient Inc.
5. Zhengzhou Yudi Shengjin Agricultural Trade Co., Ltd.
6. Jinxiang Shengtai Fruits & Vegetables Co., Ltd.

Appendix II

Companies for Which Administrative Reviews Have Been Preliminarily 
Rescinded

1. Jinxiang Jinma Fruits Vegetables Products Co., Ltd
2. Juxian Huateng Food Co., Ltd.
3. Qingdao Hailize (Sea-Line) International Trading Co., Ltd.
4. Qingdao Jiuyihongrun Foods Co., Ltd.
5. Qingdao Ritai Food Co., Ltd.
6. Zhengzhou Harmoni Spice Co. Ltd.
7. Zhonglian Nongchan Co., Ltd.

Appendix III

Non-Selected Separate Rate Companies

1. Jining Shunchang Import & Export Co., Ltd.
2. Jinxiang Feiteng Import & Export Co., Ltd.
3. Qingdao Sea-Line International Trading Co., Ltd.
4. Shenzhen Bainong Co., Ltd.
5. Shenzhen Xinboda Industrial Co., Ltd.
6. Weifang Hongqiao International Logistics Co., Ltd.

Appendix IV

Companies That Have Certified No Shipments

1. Jinan Farmlady Trading Co., Ltd.
2. Jining Shengtai Fruits & Vegetables Co., Ltd.
3. Jining Yifa Garlic Produce Co., Ltd.
4. Jinxiang Richfar Fruits & Vegetables Co., Ltd.
5. Shijiazhuang Goodman Trading Co., Ltd.

[FR Doc. 2017-26378 Filed 12-6-17; 8:45 am]
 BILLING CODE 3510-DS-P