[Federal Register Volume 85, Number 226 (Monday, November 23, 2020)]
[Notices]
[Pages 74686-74688]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-25854]



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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-985]


Xanthan Gum From the People's Republic of China: Preliminary 
Results of the Antidumping Duty Administrative Review, and Partial 
Rescission; 2018-2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that the exporters under review did not make sales of subject 
merchandise at prices below normal value (NV) during the period of 
review July 1, 2018 through June 30, 2019. We invite interested parties 
to comment on these preliminary results.

DATES: Applicable November 23, 2020.

FOR FURTHER INFORMATION CONTACT: Aleksandras Nakutis or Abdul Alnoor, 
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) 482-3147 and (202) 
482-4554, respectively.

SUPPLEMENTARY INFORMATION:

Background

    This administrative review is being conducted in accordance with 
section 751(a) of the Tariff Act of 1930, as amended (the Act). On July 
1, 2019, Commerce published in the Federal Register a notice of 
opportunity to request an administrative review of the antidumping duty 
(AD) order on xanthan gum from the People's Republic of China 
(China).\1\ Commerce published the notice of initiation of this 
administrative review on September 9, 2019.\2\ On March 17, 2020, 
Commerce extended the deadline for the preliminary results of this 
review by a total of 120 days, to July 30, 2020.\3\ On April 24, 2020, 
and July 21, 2020, Commerce tolled all deadlines in administrative 
reviews by 50 days and 60 days respectively, thereby extending the 
deadline for these preliminary results of review until November 17, 
2020.\4\
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    \1\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity to Request Administrative 
Review, 84 FR 31295 (July 1, 2019).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 84 FR 47242 (September 9, 2019).
    \3\ See Memorandum to James Maeder, ``Antidumping Duty 
Administrative Review of Xanthan Gum from the People's Republic of 
China: Extension of Deadline for Preliminary Results of Antidumping 
Duty Administrative Review,'' dated March 17, 2020.
    \4\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews in Response to 
Operational Adjustments Due to COVID-19,'' dated April 24, 2020; see 
also Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
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Scope of the Order

    The product covered by the order includes dry xanthan gum, whether 
or not coated or blended with other products. Xanthan gum is included 
in this order regardless of physical form, including, but not limited 
to, solutions, slurries, dry powders of any particle size, or unground 
fiber.
    Merchandise covered by the scope of the order is classified in the 
Harmonized Tariff Schedule of the United States at subheading 
3913.90.20. This tariff classification is provided for convenience and 
customs purposes; however, the written description of the scope is 
dispositive. A full description of the scope of the order is contained 
in the Preliminary Decision Memorandum.\5\
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    \5\ See ``Decision Memorandum for the Preliminary Results in the 
Sixth Antidumping Duty Administrative Review of Xanthan Gum from the 
People's Republic of China,'' (Preliminary Decision Memorandum), 
dated concurrently with, and hereby adopted by, this notice.
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Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act. We calculated export prices for the mandatory 
respondent Meihua Group International Trading (Hong Kong) Limited, 
Langfang Meihua Biotechnology Co., Ltd., and Xinjiang Meihua Amino Acid 
Co., Ltd. (collectively Meihua) \6\ in accordance with section 772 of 
the Act. Because China is a non-market economy (NME) country within the 
meaning of section 771(18) of the Act, we calculated NV in accordance 
with section 773(c) of the Act.
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    \6\ Consistent with prior segments of this proceeding, we have 
continued to treat these companies as a single entity pursuant to 19 
CFR 351.401(f)(1)-(2). For additional information, see the 
Preliminary Decision Memorandum.
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    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 https://access.trade.gov. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed Preliminary Decision Memorandum 
and the electronic version of the Preliminary Decision Memorandum are 
identical in content. A list of topics included in the Preliminary 
Decision Memorandum is provided in the Appendix to this notice.

Partial Rescission of Administrative Review

    Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an 
administrative review, in whole or in part, if the party or parties 
that requested a review withdraws their request(s) within 90 days of 
the publication date of the notice of initiation of the requested 
review. Between September 15, 2019 and December 9, 2019, parties timely 
withdrew their requests for an administrative review of A.H.A. 
International Co., Ltd.; Deosen Biochemical (Ordos) Ltd./Deosen 
Biochemical Ltd.; Green Health International; Greenhealth International 
Co., Ltd. (Hong Kong); Hebei Xinhe Biochemical Co.; Inner Mongolia 
Jianlong Biochemical Co., Ltd./Jianlong Biotechnology Co., Ltd.; 
Neimenggu Fufeng Biotechnologies Co., Ltd. (aka Inner Mongolia Fufeng 
Biotechnologies Co., Ltd.)/Shandong Fufeng Fermentation Co., Ltd./
Xinjiang Fufeng Biotechnologies Co., Ltd.; and Shanghai Smart Chemicals 
Co., Ltd.\7\ Because all requests for reviews of these companies were 
timely withdrawn, in accordance with 19 CFR 351.213(d)(1), Commerce is 
rescinding this review of the AD order on xanthan gum from China with 
respect to these companies.
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    \7\ See Green Health International (GHI) and Green Health 
International Co., Ltd. (Hong Kong)'s Letter, ``Xanthan Gum from 
China,'' submitted September 15, 2019 (the document is dated July 
31, 2019); Petitioner's Letter, ``Xanthan Gum from the People's 
Republic of China: Petitioner's Withdrawal of Request for Review of 
Deosen Biochemical Ltd/Deosen Biochemical (Ordos) Ltd.,'' dated 
September 20, 2019; Deosen's Letter, ``Administrative Review of 
Antidumping Order on Xanthan Gum from the People's Republic of 
China: Withdrawal of Review Request and Request to Rescind Review,'' 
dated September 24, 2019; Petitioner's Letter, ``Xanthan Gum from 
the People's Republic of China: Petitioner's Rebuttal Comments on 
Respondent Selection and Withdrawal of Request for Review of 
Jianlong Biotechnology Co., Ltd. and Inner Mongolia Jianlong 
Biochemical Co. Ltd.,'' dated September 30, 2019; and Petitioner's 
Letter, ``Xanthan Gum from the People's Republic of China: 
Petitioner's Partial Withdrawal of Request for Administrative 
Review'' dated December 9, 2019.
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Separate Rates

    Commerce preliminary determines that the information placed on the

[[Page 74687]]

record by CP Kelco (Shandong) Biological Company Limited (CP Kelco 
Shandong) and Meihua, demonstrates that these companies are entitled to 
separate rate status. For additional information, see the Preliminary 
Decision Memorandum.

Dumping Margin for Non-Individually Examined Companies Granted a 
Separate Rate

    The statute and Commerce's regulations do not address what rate to 
apply to respondents not selected for individual examination when 
Commerce limits its examination in an administrative review pursuant to 
section 777A(c)(2) of the Act. Generally, Commerce looks to section 
735(c)(5) of the Act, which provides instructions for calculating the 
all-others rate in an investigation, for guidance when calculating the 
rate for non-selected respondents that are not examined individually in 
an administrative review. Section 735(c)(5)(A) of the Act states that 
the all-others rate should be calculated by averaging the weighted-
average dumping margins for individually-examined respondents, 
excluding rates that are zero, de minimis, or based entirely on facts 
available. Where the rates for the individually examined companies are 
all zero, de minimis, or based entirely on facts available, section 
735(c)(5)(B) of the Act provides that Commerce may use ``any reasonable 
method'' to establish the all others rate.
    We preliminarily calculated a zero percent dumping margin for 
Meihua, the sole mandatory respondent in this review and have assigned 
this rate (i.e., 0.00 percent) to CP Kelco Shandong. For additional 
information, see the Preliminary Decision Memorandum.

Preliminary Results of Review

    We are assigning the following dumping margin to the firms listed 
below for the period July 1, 2018 through June 30, 2019:

------------------------------------------------------------------------
                                                            Weighted-
                  Producers/exporters                    average dumping
                                                        margin (percent)
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Meihua Group International Trading (Hong Kong) Limited/             0.00
 Langfang Meihua Biotechnology Co., Ltd.,/Xinjiang
 Meihua Amino Acid Co., Ltd...........................
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   Review-Specific Average Rate Applicable to the Following Companies
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CP Kelco (Shandong) Biological Company Limited........              0.00
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Disclosure and Public Comment

    Commerce intends to disclose the calculations performed for these 
preliminary results of 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 to the Assistant 
Secretary for Enforcement and Compliance no later than 30 days after 
the publication of these preliminary results of review, unless the 
Secretary alters the time limit.\8\ Rebuttal briefs, limited to 
responding to issues raised in case briefs, may be submitted no later 
than seven days after the deadline for case briefs.\9\ Pursuant to 19 
CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or 
rebuttal briefs in this review 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. Case and rebuttal briefs 
should be filed using ACCESS.\10\ Note that Commerce has temporarily 
modified certain of its requirements for serving documents containing 
business proprietary information.\11\
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    \8\ See 19 CFR 351.309(c).
    \9\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \10\ See 19 CFR 351.303.
    \11\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 41363 (July 10, 2020).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce will announce the date and time of the hearing. Parties should 
confirm by telephone the date and time of the hearing two days before 
the scheduled hearing date.
    Unless otherwise extended, Commerce intends to issue the final 
results of this administrative review, which will include the results 
of our analysis of the issues raised in the case briefs, within 120 
days of publication of these preliminary results in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act.

Assessment Rates

    Upon issuance of the final results of review, Commerce will 
determine, and U.S. Customs and Border Protection (CBP) shall assess, 
antidumping duties on all appropriate entries covered by this 
review.\12\ Commerce intends to issue appropriate assessment 
instructions to CBP 15 days after the publication of the final results 
of this review. We will calculate importer-specific or customer-
specific assessment rates equal to the ratio of the total amount of 
dumping calculated for examined sales with a particular importer or 
customer to the total entered value of the sales in accordance with 19 
CFR 351.212(b)(1).\13\ Where either the respondent's ad valorem 
weighted-average dumping margin is zero or de minimis, or an importer-
specific or customer-specific ad valorem assessment rate is zero or de 
minimis,\14\ we will instruct CBP to liquidate the appropriate entries 
without regard to antidumping duties.
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    \12\ See 19 CFR 351.212(b)(1).
    \13\ We applied the assessment rate calculation method adopted 
in Antidumping Proceedings: Calculation of the Weighted-Average 
Dumping Margin and Assessment Rate in Certain Antidumping 
Proceedings: Final Modification, 77 FR 8101 (February 14, 2012).
    \14\ See 19 CFR 351.106(c)(2).
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    For the respondent that was not selected for individual examination 
in this administrative review but which qualified for a separate rate, 
the assessment rate will be equal to the weighted-average dumping 
margin

[[Page 74688]]

assigned to the respondent in the final results of this review.\15\
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    \15\ See Drawn Stainless Steel Sinks from the People's Republic 
of China: Preliminary Results of the Antidumping Duty Administrative 
Review and Preliminary Determination of No Shipments: 2014-2015, 81 
FR 29528 (May 12, 2016), and accompanying Preliminary Decision 
Memorandum at 10-11, unchanged in Drawn Stainless Steel Sinks from 
the People's Republic of China: Final Results of Antidumping Duty 
Administrative Review; Final Determination of No Shipments; 2014-
2015, 81 FR 54042 (August 15, 2016).
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    For entries that were not reported in the U.S. sales databases 
submitted by the company individually examined during this review, 
Commerce will instruct CBP to liquidate such entries at the China-wide 
rate.

Cash Deposit Requirements

    The following cash deposit requirements will be effective for all 
shipments of xanthan gum from China entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
notice of the final results of this administrative review, as provided 
for by section 751(a)(2)(C) of the Act: (1) For the companies listed 
above that have a separate rate, the cash deposit rate will be that 
rate established in the final results of this review (except, if the 
rate is zero or de minimis, then a cash deposit rate of zero will be 
required); (2) for previously investigated or reviewed China and non-
China exporters not listed above that received a separate rate in a 
prior segment of this proceeding, the cash deposit rate will continue 
to be the existing exporter-specific rate; (3) for all China exporters 
of subject merchandise that have not been found to be entitled to a 
separate rate, the cash deposit rate will be the rate for the China-
wide entity, which is 154.07 percent; and (4) for all non-China 
exporters of subject merchandise that have not received their own rate, 
the cash deposit rate will be the rate applicable to China exporter(s) 
that supplied that non-China exporter. These deposit requirements, when 
imposed, shall remain in effect until further notice.

Notification to Importers

    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 351.402(f) to file a certificate 
regarding the reimbursement of antidumping and/or countervailing duties 
prior to liquidation of the relevant entries during this review period. 
Failure to comply with this requirement could result in the Secretary's 
presumption that reimbursement of antidumping and/or countervailing 
duties occurred and the subsequent assessment of double antidumping 
duties.
    We are issuing and publishing these preliminary results of review 
in accordance with sections 751(a)(l) and 777(i)(l) of the Act and 19 
CFR 351.213.

    Dated: November 16, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Selection of Respondents
VI. Single Entity Treatment
VII. Discussion of Methodology
VIII. Recommendation

[FR Doc. 2020-25854 Filed 11-20-20; 8:45 am]
BILLING CODE 3510-DS-P