[Federal Register Volume 84, Number 164 (Friday, August 23, 2019)]
[Notices]
[Pages 44279-44280]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-18148]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-893]
Initiation and Preliminary Results of Changed Circumstances
Review: Fine Denier Polyester Staple Fiber (PSF) From the Republic of
Korea
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) is initiating a changed
circumstances review (CCR) of the antidumping duty (AD) order on fine
denier polyester staple fiber (PSF) from the Republic of Korea (Korea)
and simultaneously issuing preliminary results finding Toray Advanced
Materials Korea, Inc. (TAK) to be the successor-in-interest to Toray
Chemical Korea, Inc. (TCK).
DATES: Applicable August 23, 2019.
FOR FURTHER INFORMATION CONTACT: Thomas Hanna, AD/CVD Operations,
Office IV, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-0835.
SUPPLEMENTARY INFORMATION:
Background
On July 20, 2018, Commerce published the AD Order on PSF from the
Republic of Korea in the Federal Register.\1\ TCK was excluded from the
AD Order.\2\ On May 23, 2019, Commerce received a request on behalf of
TAK for an expedited CCR to establish TAK as the successor-in-interest
to TCK with respect to the AD Order.\3\ On June 17, 2019, Commerce
informed TAK that it required additional information in order to
determine whether to initiate the requested CCR.\4\ On June 21, 2019,
TAK provided the requested information.\5\
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\1\ See Fine Denier Polyester Staple Fiber from the People's
Republic of China, India, the Republic of Korea, and Taiwan:
Antidumping Duty Orders, 83 FR 34545 (July 20, 2018) (AD Order).
\2\ Id.
\3\ See TAK's Letter, ``Changed Circumstances Review Request''
(May 23, 2019) (CCR Request).
\4\ See Commerce's Letter to TAK, dated June 17, 2019.
\5\ See TAK's Letter, ``Response Regarding Changed Circumstances
Review Request'' (June 21, 2019) (Response Regarding Changed
Circumstances Review Request).
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Scope of the AD Order
The merchandise covered by the order is fine denier polyester
staple fiber (fine denier PSF), not carded or combed, measuring less
than 3.3 decitex (3 denier) in diameter. The scope covers all fine
denier PSF, whether coated or uncoated. Fine denier PSF is classifiable
under the HTSUS subheading 5503.20.0025. Although the HTSUS subheadings
are provided for convenience and customs purposes, the written
description of the scope of the order is dispositive.\6\
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\6\ For a complete description of the scope of the AD Order, see
Memorandum, ``Initiation and Preliminary Results of Changed
Circumstances Review: Fine Denier Polyester Staple Fiber (PSF) from
the Republic of Korea,'' dated concurrently, with and hereby adopted
by, this notice (Preliminary Decision Memorandum). 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).
The signed and the electronic versions of the Preliminary Decision
Memorandum are identical in content.
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Initiation
Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended
(the Act), and 19 CFR 351.216(d), Commerce will conduct a CCR upon
receipt of information or a review request showing changed
circumstances sufficient to warrant a review of an order. Among other
things, Commerce has conducted CCRs to consider the applicability of
cash deposit rates after there have been changes in the name or
structure of a company, such as a merger or spinoff (``successor-in-
interest,'' or ``successorship,'' determinations). However, pursuant to
19 CFR 351.216(c), Commerce will not conduct a CCR in a proceeding
within 24 months of publication of the notice of final determination in
that proceeding without good cause.
The final determination that led to the AD Order was published on
May 30, 2018.\7\ Thus, the CCR request under consideration was filed
less than 24 months after the date of publication of the notice of
final determination in the PSF investigation. However, pursuant to 19
CFR 351.216(c), we find that good cause exists to initiate this CCR on
the grounds of fairness and ease of administration. Commerce has found
good cause on the basis of fairness and ease of administration in other
CCRs involving ``successor-in-interest.'' \8\
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\7\ See Fine Denier Polyester Staple Fiber from the Republic of
Korea: Final Affirmative Determination of Sales at Less Than Fair
Value, 83 FR 24743, 24744 (May 30, 2018), and accompanying Issues
and Decision Memorandum.
\8\ See Initiation and Preliminary Results of Changed
Circumstances Reviews: Antidumping Duty Orders on Crystalline
Silicon Photovoltaic Cells, Whether or Not Assembled Into Modules,
from the People's Republic of China and Antidumping Duty Order on
Certain Crystalline Silicon Photovoltaic Products from the People's
Republic of China, 82 FR 12558 (March 6, 2017), unchanged in
Antidumping Duty Orders on Crystalline Silicon Photovoltaic Cells,
Whether or Not Assembled Into Modules, from the People's Republic of
China and Antidumping Duty Orders on Certain Crystalline Silicon
Photovoltaic Products from the People's Republic of China: Final
Results of Changed Circumstances Reviews, 82 FR 17797 (April 13,
2017).
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Moreover, we find the information provided is sufficient to warrant
a CCR of the AD Order. Specifically, the information TAK provided
regarding TCK's merger into TAK and the fact that TCK was excluded from
the AD Order, but TAK is subject to the all-others dumping rate,
demonstrates changed circumstances sufficient to warrant a CCR with
respect to the order.
Therefore, in accordance with section 751(b)(1) of the Act and 19
CFR
[[Page 44280]]
351.216(d), we are initiating a CCR to determine whether TAK is the
successor-in-interest to TCK for purposes of the AD Order.
In addition, Commerce's regulations at 19 CFR 351.221(c)(3)(ii)
permit it to initiate a CCR and issue the preliminary results of that
CCR simultaneously if it concludes that expedited action is warranted.
We have on the record the information necessary to make a preliminary
finding and therefore we find that expedited action is warranted.\9\
Consequently, we are combining the initiation of the CCR described
above and our preliminary results in accordance with 19 CFR
351.221(c)(3)(ii).
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\9\ See, e.g., Notice of Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review: Certain Softwood
Lumber Products from Canada, 70 FR 50299, 50300 (August 26, 2005),
unchanged in Notice of Final Results of Antidumping Duty Changed
Circumstances Review: Certain Softwood Lumber Products from Canada,
70 FR 59721 (October 13, 2005).
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Preliminary Results
In determining whether one company is the successor to another for
AD purposes, Commerce examines a number of factors including, but not
limited to, changes in: (1) Management, (2) production facilities, (3)
suppliers, and (4) customer base.\10\ While no one, or several, of
these factors will necessarily provide a dispositive indication of
succession, Commerce will generally consider one company to be the
successor to another company if its resulting operations are
essentially the same as those of its predecessor.\11\ Thus, if the
evidence demonstrates that, with respect to the production and sale of
the subject merchandise, the company, in its current form, operates as
essentially the same business entity as the prior company, Commerce
will assign the new company the cash deposit rate of its
predecessor.\12\
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\10\ See Initiation and Preliminary Results of Antidumping Duty
Changed Circumstances Review: Multilayered Wood Flooring from the
People's Republic of China, 79 FR 48117, 48118 (August 15, 2014),
unchanged in Multilayered Wood Flooring from the People's Republic
of China: Final Results of Changed Circumstances Review, 79 FR 58740
(September 30, 2014).
\11\ Id.
\12\ Id.; see also Fresh and Chilled Atlantic Salmon from
Norway: Final Results of Changed Circumstances Antidumping
Administrative Review, 64 FR 9979, 9980 (March 1, 1999).
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TAK provided evidence \13\ that: (1) TCK merged into TAK in April
2019; (2) all of TCK's assets and liabilities were transferred to TAK,
and TCK ceased to exist; and (3) there were no significant changes to
management,\14\ production facilities,\15\ suppliers, or customer
base.\16\ Based on the foregoing, which is explained in greater detail
in the Preliminary Decision Memorandum, we preliminarily determine that
TAK is the successor-in-interest to TCK for purposes of the AD Order.
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\13\ See CCR Request.
\14\ Id.
\15\ See id. at 8 and Exhibit 9.
\16\ See id. at 8-9 and Exhibits 9 and 11.
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Should our final results of review remain the same as these
preliminary results of review, effective the date of publication of the
final results of review, we will instruct U.S. Customs and Border
Protection to apply TCK's exclusion from the AD Order to TAK.
Public Comment
Interested parties may submit case briefs not later than 14 days
after the date of publication of this notice.\17\ Rebuttal briefs,
which must be limited to issues raised in case briefs, may be filed not
later than seven days after the due date for case briefs.\18\ Parties
who submit case briefs or rebuttal briefs in this CCR are requested to
submit with each argument: (1) A statement of the issues; and (2) a
brief summary of the arguments with electronic versions included.
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\17\ Commerce is exercising its discretion under 19 CFR
351.309(c)(1)(ii) to alter the time limit for the filing of case
briefs.
\18\ Commerce is exercising its discretion under 19 CFR
351.309(d)(1) to alter the time limit for the filing of rebuttal
briefs.
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Any interested party may request a hearing within 14 days of
publication of this notice.\19\ 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 at the hearing will be limited to
issues raised in the briefs. If a request for a hearing is made,
parties will be notified of the time and date for the hearing to be
held at the U.S. Department of Commerce, 1401 Constitution Avenue NW,
Washington, DC 20230 in a room to be determined.\20\
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\19\ Commerce is exercising its discretion under 19 CFR
351.310(c) to alter the time limit for requesting a hearing.
\20\ See 19 CFR 351.310(d).
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All submissions, with limited exceptions, must be filed
electronically using ACCESS.\21\ An electronically filed document must
be received successfully in its entirety by 5 p.m. Eastern Time (ET) on
the due date. Documents excepted from the electronic submission
requirements must be filed manually (i.e., in paper form) with the APO/
Dockets Unit in Room 18022 and stamped with the date and time of
receipt by 5 p.m. ET on the due date.\22\
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\21\ ACCESS is available to registered users at https://access.trade.gov and available to all parties in the Central Records
Unit, Room B8024 of the main Commerce building.
\22\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011).
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Consistent with 19 CFR 351.216(e), we intend to issue the final
results of this CCR no later than 270 days after the date on which this
review was initiated or within 45 days if all parties agree to the
outcome of the review.
Notification to Interested Parties
We are issuing and publishing this initiation and preliminary
results notice in accordance with sections 751(b)(1) and 777(i)(1) of
the Act and 19 CFR 351.216 and 351.221(c)(3).
Dated: August 18, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2019-18148 Filed 8-22-19; 8:45 am]
BILLING CODE 3510-DS-P