[Federal Register Volume 86, Number 41 (Thursday, March 4, 2021)]
[Notices]
[Pages 12625-12627]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-04417]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-588-879]


Methionine From Japan: Preliminary Affirmative Determination of 
Sales at Less Than Fair Value, Preliminary Affirmative Determination of 
Critical Circumstances and Postponement of Final Determination and 
Extension of Provisional Measures

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that methionine from Japan is being, or is likely to be, sold in the 
United States at less than fair value (LTFV). The period of 
investigation is July 1, 2019, through June 30, 2020. Interested 
parties are invited to comment on this preliminary determination.

DATES: Applicable March 4, 2021.

FOR FURTHER INFORMATION CONTACT: Robert Scully, AD/CVD Operations, 
Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0572.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on August 25, 
2020.\1\ On December 14, 2020, Commerce postponed the preliminary 
determination of this investigation, and the revised deadline is now 
February 24, 2021.\2\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\3\ A list of topics included in the Preliminary 
Decision Memorandum is included as Appendix II to 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 
and the electronic versions of the Preliminary Decision Memorandum are 
identical in content.
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    \1\ See Methionine from France, Japan and Spain: Initiation of 
Less-than-Fair-Value Investigations, 85 FR 52324 (August 25, 2020) 
(Initiation Notice).
    \2\ See Methionine from France, Japan and Spain: Postponement of 
Preliminary Determinations in the Less-Than-Fair-Value 
Investigations, 85 FR 80774 (December 14, 2020).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of 
Methionine from Japan,'' dated concurrently with, and hereby adopted 
by this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are methionine from 
Japan. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ No interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. Commerce is not preliminarily modifying the 
scope language as it appeared in the Initiation Notice. See the scope 
in Appendix I to this notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce has calculated constructed export 
prices in accordance with section 772(a) of the Act. Normal value is 
calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying the preliminary 
determination, see the Preliminary Decision Memorandum.

Preliminary Affirmative Determination of Critical Circumstances

    In accordance with section 733(e) of the Act and 19 CFR 351.206, 
Commerce preliminarily finds that critical circumstances exist for 
Sumitomo Chemical Company, Ltd. (Sumitomo Chemical), and for all other 
producers and exporters in Japan. For a full description of the 
methodology and results of Commerce's critical circumstances analysis, 
see the Preliminary Decision Memorandum.

All-Others Rate

    Section 733(d)(1)(A)(ii) of the Act provides that in the 
preliminary determination Commerce shall determine an estimated all-
others rate for all exporters and producers not individually examined. 
Pursuant to section 735(c)(5)(A) of the Act, this rate shall be an 
amount equal to the weighted average of the estimated weighted-average 
dumping margins established for exporters and producers individually 
investigated, excluding any zero and de minimis margins, and any 
margins determined entirely under section 776 of the Act.
    Commerce calculated an individual estimated weighted-average 
dumping margin for Sumitomo Chemical. Therefore, for purposes of 
determining the all-others rate, and pursuant to section 735(c)(5)(A) 
of the Act, we are using the dumping margin calculated for Sumitomo 
Chemical, which is not zero, de minimis, or determined entirely under 
section 776 of the Act. For a full description of the methodology 
underlying Commerce's analysis, see the Preliminary Decision 
Memorandum.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                               Estimated
                                                               weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
------------------------------------------------------------------------
Sumitomo Chemical Company, Ltd..............................      135.10
All Others..................................................      135.10
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register. Further, pursuant 
to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), where 
appropriate, Commerce will instruct CBP to require a cash deposit equal 
to the estimated weighted-average dumping margin or the estimated all-
others rate, as follows: (1) The cash deposit rate for the respondent 
listed above will be equal to the company-specific estimated weighted-
average dumping margins determined in this preliminary determination; 
(2) if the exporter is not a respondent identified above, but the

[[Page 12626]]

producer is, then the cash deposit rate will be equal to the company-
specific estimated weighted-average dumping margin established for that 
producer of the subject merchandise; and (3) the cash deposit rate for 
all other producers and exporters will be equal to the all-others 
estimated weighted-average dumping margin.
    Section 733(e)(2) of the Act provides that, given an affirmative 
determination of critical circumstances, any suspension of liquidation 
shall apply to unliquidated entries of subject merchandise entered, or 
withdrawn from warehouse, for consumption on or after the later of: (a) 
The date which is 90 days before the date on which the suspension of 
liquidation was first ordered; or (b) the date on which notice of 
initiation of the investigation was published. As noted above, Commerce 
preliminarily finds that critical circumstances exist for imports of 
subject merchandise produced and exported by Sumitomo Chemical and all 
other exporters and producers from Japan. In accordance with section 
733(e)(2)(A) of the Act, the suspension of liquidation shall apply to 
unliquidated entries of shipments of subject merchandise from Sumitomo 
Chemical and all other exporters and producers from Japan that were 
entered, or withdrawn from warehouse, for consumption on or after the 
date which is 90 days before the publication of this notice.
    These suspension of liquidation instructions will remain in effect 
until further notice.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of this 
notice in accordance with 19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination. 
Normally, Commerce verifies information using standard procedures, 
including an on-site examination of original accounting, financial, and 
sales documentation. However, due to current travel restrictions in 
response to the global COVID-19 pandemic, Commerce is unable to conduct 
on-site verification in this investigation. Accordingly, we intend to 
verify the information relied upon in making the final determination 
through alternative means in lieu of an on-site verification.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance. A timeline for the 
submission of case briefs and written comments will be announced at a 
later date. Rebuttal briefs, limited to issues raised in these case 
briefs, may be submitted no later than seven days after the deadline 
date for case briefs.\6\ Commerce has modified certain of its 
requirements for serving documents containing business proprietary 
information until further notice.\7\ Pursuant to 19 CFR 351.309(c)(2) 
and (d)(2), parties who submit case briefs or rebuttal briefs in this 
investigation 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.
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    \6\ See 19 CFR 351.309; and 19 CFR 351.303 (for general filing 
requirements).
    \7\ See Temporary Rule Modifying AD/CVD Service Requirements Due 
to COVID-19; Extension of Effective Period, 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 intends to hold the hearing at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioner. Section 351.210(e)(2) of Commerce's regulations 
requires that a request by exporters for postponement of the final 
determination be accompanied by a request for extension of provisional 
measures from a four-month period to a period not more than six months 
in duration.
    On February 9, 2021, pursuant to 19 CFR 351.210(e), Sumitomo 
Chemical requested that Commerce postpone the final determination and 
that provisional measures be extended to a period not to exceed six 
months.\8\ In accordance with section 735(a)(2)(A) of the Act and 19 
CFR 351.210(b)(2)(ii), because: (1) The preliminary determination is 
affirmative; (2) the requesting exporter accounts for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, Commerce is postponing the final 
determination and extending the provisional measures from a four-month 
period to a period not greater than six months. Accordingly, Commerce 
will make its final determination no later than 135 days after the date 
of publication of this preliminary determination, pursuant to section 
735(a)(2) of the Act.
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    \8\ See Sumitomo Chemical's Letter, ``Methionine from Japan 
Request to Extend the Deadline for the Final Determination,'' dated 
February 9, 2021.
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International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its preliminary 
determination. If the final determination is affirmative, then the ITC 
will determine before the later of 120 days after the date of this 
preliminary determination or 45 days after the final determination 
whether imports of methionine from Japan are materially injuring, or 
threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act, and 19 CFR 351.205(c).

    Dated: February 24, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation is methionine and 
dl-Hydroxy analogue of dl-methionine, also known as 2-Hydroxy 4-
(Methylthio) Butanoic acid (HMTBa), regardless of purity, particle 
size, grade, or physical form. Methionine has the chemical formula 
C5H11NO2S, liquid HMTBa has the 
chemical formula C5H10O3S, and dry 
HMTBa has the chemical formula 
(C5H9O3S)2Ca.

[[Page 12627]]

    Subject merchandise also includes methionine processed in a 
third country including, but not limited to, refining, converting 
from liquid to dry or dry to liquid form, or any other processing 
that would not otherwise remove the merchandise from the scope of 
this investigation if performed in the country of manufacture of the 
in-scope methionine or dl-Hydroxy analogue of dl-methionine.
    The scope also includes methionine that is commingled (i.e., 
mixed or combined) with methionine from sources not subject to this 
investigation. Only the subject component of such commingled 
products is covered by the scope of this investigation.
    Excluded from this investigation is United States Pharmacopoeia 
(USP) grade methionine. In order to qualify for this exclusion, USP 
grade methionine must meet or exceed all of the chemical, purity, 
performance, and labeling requirements of the United States 
Pharmacopeia and the National Formulary for USP grade methionine.
    Methionine is currently classified under subheadings 
2930.40.00.00 and 2930.90.46.00 of the Harmonized Tariff Schedule of 
the United States (HTSUS). Methionine has the Chemical Abstracts 
Service (CAS) registry numbers 583-91-5, 4857-44-7, 59-51-8 and 922-
50-9. While the HTSUS subheadings and CAS registry number are 
provided for convenience and customs purposes, the written 
description of the scope of this investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Scope Comments
VI. Preliminary Critical Circumstances Determination
VII. Discussion of the Methodology
VIII. Currency Conversion
IX. Recommendation

[FR Doc. 2021-04417 Filed 3-3-21; 8:45 am]
BILLING CODE 3510-DS-P