[Federal Register Volume 89, Number 178 (Friday, September 13, 2024)]
[Notices]
[Pages 74869-74871]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-20797]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-867]


Large Power Transformers From the Republic of Korea: Preliminary 
Results and Rescission, in Part, of Antidumping Duty Administrative 
Review, 2022-2023

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily finds 
that Iljin Electric Co., Ltd. (Iljin), and non-individually examined 
companies for which a review was requested, made sales of large power 
transformers from the Republic of Korea (Korea) at prices below normal 
value (NV) during the period of review (POR) of August 1, 2022, through 
July 31, 2023. Commerce also preliminarily finds that HD Hyundai 
Electric Co., Ltd. (Hyundai) did not make sales of large power 
transformers from Korea at prices below NV during the POR. 
Additionally, Commerce is rescinding this administrative review, in 
part, with respect Hyosung Heavy Industries Corporation (Hyosung) 
because Hyosung had no entries of subject merchandise during the POR. 
We invite interested parties to comment on these preliminary results.

DATES: Applicable September 13, 2024.

FOR FURTHER INFORMATION CONTACT: John Drury at (202) 482-0195 or Jinny 
Ahn at (202) 482-0339, AD/CVD Operations, Office VI, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Background

    Commerce published the antidumping duty order on large power 
transformers on August 31, 2012.\1\ Commerce provided an opportunity to 
request an administrative review on August 2, 2023.\2\ On August 31, 
2023, we received requests to conduct an administrative review from 
Iljin,\3\ Hyundai,\4\ and Hitachi Energy USA, Inc. and Prolec-GE 
Waukesha, Inc. (the petitioners).\5\ Commerce initiated this review on 
October 18, 2023.\6\ We selected two mandatory respondents in this 
review, Hyundai and Iljin. For a more detailed description of the 
events that followed the initiation of this review, see the Preliminary 
Decision Memorandum.\7\
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    \1\ See Large Power Transformers from the Republic of Korea: 
Antidumping Duty Order, 77 FR 53177 (August 31, 2012) (Order).
    \2\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity to Request Administrative 
Review, 88 FR 50840, (August 2, 2023).
    \3\ See Iljin's Letter, ``Request for Administrative Review,'' 
dated August 31, 2023.
    \4\ See Hyundai's Letter, ``Administrative Review Request,'' 
dated August 31, 2023.
    \5\ See Petitioners' Letter, ``Request for Administrative 
Review,'' dated August 31, 2023.
    \6\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 88 FR 71829, 71831 (October 18, 2023) 
(Initiation Notice).
    \7\ See Memorandum, ``Decision Memorandum for Preliminary 
Results of Antidumping Duty Administrative Review of Large Power 
Transformers from the Republic of Korea; 2022-2023,'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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Scope of the Order

    The scope of this Order covers large liquid dielectric power 
transformers having a top power handling capacity greater than or equal 
to 60,000 kilovolt amperes (60 megavolt amperes), whether assembled or 
unassembled, complete or incomplete.\8\
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    \8\ The full text of the scope of the Order is contained in 
Preliminary Decision Memorandum.
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Partial Rescission of Review

    Pursuant to 19 CFR 351.213(d)(3), it is Commerce's practice to 
rescind an administrative review of an antidumping duty order when 
there are no reviewable entries of subject merchandise during the POR 
for which liquidation is suspended.\9\ Normally, upon completion of an 
administrative review, the suspended entries are liquidated at the 
antidumping duty assessment rate calculated for the review period.\10\ 
Therefore, for an administrative review to be conducted, there must be 
at least one reviewable, suspended entry that Commerce can instruct CBP 
to liquidate at the antidumping duty assessment rate calculated for the 
review period.\11\ There were no entries of subject merchandise during 
the POR for

[[Page 74870]]

Hyosung.\12\ As a result, on August 22, 2024, Commerce notified all 
interested parties of its intent to rescind this review, in part, with 
respect to Hyosung and received no comments.\13\ Therefore, we are 
rescinding this administrative review with respect to Hyosung. The 
administrative review remains active with respect to the three other 
companies upon which we initiated this review.
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    \9\ See, e.g., Dioctyl Terephthalate from the Republic of Korea: 
Rescission of Antidumping Administrative Review; 2021-2022, 88 FR 
24758 (April 24, 2023); see also Certain Carbon and Alloy Steel Cut-
to-Length Plate from the Federal Republic of Germany: Recission of 
Antidumping Administrative Review; 2020-2021, 88 FR 4157 (January 
24, 2023).
    \10\ See 19 CFR 351.212(b)(1).
    \11\ See 19 CFR 351.213(d)(3).
    \12\ See Memorandum, ``Release of U.S. Customs and Border 
Protection Import Data,'' dated November 14, 2023.
    \13\ See Memorandum, ``Notice of Intent To Rescind Review, In 
Part,'' dated August 22, 2024.
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Methodology

    Commerce is conducting this review in accordance with section 
751(a)(2) of the Tariff Act of 1930, as amended (the Act). For a full 
description of the methodology underlying our conclusions, see the 
Preliminary Decision Memorandum. A list of the topics discussed in the 
Preliminary Decision Memorandum is included as the appendix to this 
notice. The Preliminary 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://access.trade.gov. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.

Rate for Non-Selected Respondents

    The statute and Commerce's regulations do not address the 
establishment of a rate to be applied to companies 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 a market 
economy investigation, for guidance when calculating the rate for 
companies which were not selected for individual examination in an 
administrative review. Under section 735(c)(5)(A) of the Act, the all-
others rate is normally ``an amount equal to the weighted average of 
the estimated weighted average dumping margins established for 
exporters and producers individually investigated, excluding any zero 
or de minimis margins, and any margins determined entirely {on the 
basis of facts available{time} .'' In this review, only one mandatory 
respondent (i.e., Iljin) has received a weighted-average dumping margin 
which is not that did not get a rate that is zero, de minims, or 
determined entirely on the basis of facts available. Accordingly, we 
have applied the rate calculated for Iljin, 10.61 percent, to the non-
selected companies.

Preliminary Results of Review

    We preliminarily determine the following estimated weighted-average 
dumping margins exist during the period August 1, 2022, through July 
31, 2023:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Producer/exporter                         dumping
                                                                margin
                                                               (percent)
------------------------------------------------------------------------
HD Hyundai Electric Co., Ltd................................        0.00
Iljin Electric Co., Ltd.\14\................................       10.61
LS Electric Co., Ltd........................................       10.61
------------------------------------------------------------------------

Disclosure and Public Comment
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    \14\ For the first administrative review of the Order, Commerce 
initiated the administrative review on multiple companies, including 
Iljin Electric Co., Ltd. and ILJIN. See Initiation of Antidumping 
and Countervailing Duty Administrative Reviews and Request for 
Revocation in Part, 78 FR 60834, 60836 (October 2, 2013). Commerce 
did not select either ILJIN or Iljin Electric Co., Ltd. for 
individual examination, but did assign margins for both entities. 
See Large Power Transformers from the Republic of Korea: Amended 
Final Results of Antidumping Duty Administrative Review; 2012-2013, 
80 FR 26001 (May 6, 2015). The current administrative review is the 
first review in which either Iljin Electric Co., Ltd. or ILJIN was 
selected for individual examination. Record evidence indicates that 
Iljin Electric Co., Ltd. is the only entity in Korea with the Iljin 
name that produces LPTs. See Iljin's Letter, ``Response to the 
Department's March 29 Supplemental Questionnaire,'' dated April 26, 
2024 (Iljin SAQR), at page 2. Therefore, we preliminarily find that 
ILJIN and Iljin Electric Co., Ltd. are the same entity. Parties are 
invited to comment for the final results.
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    Commerce intends to disclose its calculations and analysis 
performed to interested parties for these preliminary results 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).
    Pursuant to 19 CFR 351.309(c), interested parties may submit case 
briefs or other written comments to the Assistant Secretary for 
Enforcement and Compliance no later than 30 days after the date of 
publication of this notice. Rebuttal briefs, limited to issues raised 
in the case briefs, may be filed not later than five days after the 
date for filing case briefs.\15\ Interested parties who submit case 
briefs or rebuttal briefs in this proceeding must submit: (1) a table 
of contents listing each issue; and (2) a table of authorities.\16\
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    \15\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Service Final Rule).
    \16\ See 19 351.309(c)(2) and (d)(2).
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    As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this review, we instead request that 
interested parties provide at the beginning of their briefs a public, 
executive summary for each issue raised in their briefs.\17\ Further, 
we request that interested parties limit their executive summary of 
each issue to no more than 450 words, not including citations. We 
intend to use the executive summaries as the basis of the comment 
summaries included in the issues and decision memorandum that will 
accompany the final results in this administrative review. We request 
that interested parties include footnotes for relevant citations in the 
executive summary of each issue. Note that Commerce has amended certain 
of its requirements pertaining to the service of documents in 19 CFR 
351.303(f).\18\
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    \17\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \18\ See APO and Service Final Rule.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS. Requests should contain: (1) the party's name, address, and 
telephone number; (2) the number of participants; and (3) a list of 
issues to be discussed. Issues raised in the hearing will be limited to 
those raised in the respective case briefs. An electronically filed 
hearing request must be received successfully in its entirety by 
Commerce's electronic records system, ACCESS, by 5 p.m. Eastern Time 
within 30 days after the date of publication of this notice.

Assessment Rates

    Upon issuing the final results, Commerce shall determine, and CBP 
shall assess, antidumping duties on all appropriate entries. For any 
individually examined respondent whose weighted-average dumping margin 
is not zero or de minimis (i.e., less than 0.5 percent) in the final 
results of this review and the respondent reported entered values, we 
will calculate importer-specific ad valorem assessment rates for the 
merchandise based on the ratio of the total amount of dumping 
calculated for the examined sales made during the POR to each

[[Page 74871]]

importer and the total entered value of those same sales, in accordance 
with 19 CFR 351.212(b)(1). If the respondent has not reported entered 
values, we will calculate a per unit assessment rate for each importer 
by dividing the total amount of dumping calculated for the examined 
sales made to that importer by the total quantity associated with those 
transactions. Where an importer-specific ad valorem assessment rate is 
zero or de minimis in the final results of review, we will instruct CBP 
to liquidate the appropriate entries without regard to antidumping 
duties in accordance with 19 CFR 351.106(c)(2). If a respondent's 
weighted-average dumping margin is zero or de minimis in the final 
results of review, we will instruct CBP not to assess duties on any of 
its entries in accordance with the Final Modification for Reviews, 
i.e., ``{w{time} here the weighted-average margin of dumping for the 
exporter is determined to be zero or de minimis, no antidumping duties 
will be assessed.'' \19\
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    \19\ See Antidumping Proceedings: Calculation of the Weighted-
Average Dumping Margin and Assessment Rate in Certain Antidumping 
Proceedings; Final Modification, 77 FR 8101, 8103 (February 14, 
2012) (Final Modification for Reviews).
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    In accordance with Commerce's ``automatic assessment'' 
practice,\20\ for entries of subject merchandise during the review 
period produced by each respondent for which it did not know its 
merchandise was destined for the United States, we will instruct CBP to 
liquidate unreviewed entries at the all-others rate of 22.00 percent 
established in the investigation.\21\
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    \20\ See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003).
    \21\ See Large Power Transformers from the Republic of Korea: 
Final Determination of Sales at Less Than Fair Value, 77 FR 40857 
(July 11, 2012).
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    For the company which was not selected for individual review (i.e., 
LS Electric Co., Ltd.), we will assign an assessment rate based on the 
weighted average of the estimated dumping margins established for 
companies selected for mandatory review, excluding any zero and de 
minimis margins, and any margins determined based entirely on facts 
available.\22\ The final results of this review shall be the basis for 
the assessment of antidumping duties on entries of merchandise covered 
by the final results of this review and for future deposits of 
estimated duties, where applicable.\23\
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    \22\ See section 735(c)(5)(A) of the Act; see also Preliminary 
Decision Memorandum at Section VIII, ``Rate for Non-Selected 
Companies.
    \23\ See section 751(a)(2)(C) of the Act.
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    With respect to the company for which we have rescinded this review 
in part (i.e., Hyosung), Commerce intends to instruct CBP to assess 
antidumping duties on all appropriate entries at rates equal to the 
cash deposit rate of estimated antidumping duties required at the time 
of entry, or withdrawal from warehouse, for consumption, during the 
POR, in accordance with 19 CFR 351.212(c)(1)(i). Commerce intends to 
issue these rescission instructions to CBP no earlier than 35 days 
after the date of publication of this notice in the Federal Register.
    Commerce intends to issue assessment instructions to CBP no earlier 
than 35 days after the date of publication of the final results of this 
review in the Federal Register. If a timely summons is filed at the 
U.S. Court of International Trade, the assessment instructions will 
direct CBP not to liquidate relevant entries until the time for parties 
to file a request for a statutory injunction has expired (i.e., within 
90 days of publication). The final results of this administrative 
review shall be the basis for the assessment of antidumping duties on 
entries of merchandise under review and for future cash deposits of 
estimated antidumping duties, where applicable.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for all 
shipments of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication date of the 
final results of this administrative review, as provided by section 
751(a)(2)(C) of the Act: (1) the cash deposit rate for Iljin, Hyundai 
and other companies listed above will be equal to the weighted-average 
dumping margin established in the final results of this administrative 
review; (2) for previously reviewed or investigated companies not 
listed above, the cash deposit rate will continue to be the company-
specific rate published for the most recently completed segment of this 
proceeding in which they were reviewed; (3) if the exporter is not a 
firm covered in this review, a prior review, or in the investigation 
but the producer is, the cash deposit rate will be the rate established 
for the most recently completed segment of this proceeding for the 
producer of the merchandise; and (4) the cash deposit rate for all 
other producers or exporters will continue to be the all-others rate of 
22.00 percent, the rate established in the investigation of this 
proceeding.\24\ These cash deposit requirements, when imposed, shall 
remain in effect until further notice.
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    \24\ See Large Power Transformers from the Republic of Korea: 
Antidumping Duty Order, 77 FR 53177 (August 31, 2012).
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Final Results of the Review

    Unless the deadline is otherwise extended, Commerce intends to 
issue the final results of this administrative review, including the 
results of its analysis of issues raised by interested parties in the 
written briefs, no later than 120 days after the date of publication of 
this notice in the Federal Register, pursuant to section 751(a)(3)(A) 
of the Act and 19 CFR 351.213(h)(1).

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 and/or countervailing duties 
prior to liquidation of the relevant entries during this review period. 
Failure to comply with this requirement could result in Commerce's 
presumption that reimbursement of antidumping and/or countervailing 
duties occurred and the subsequent assessment of double antidumping 
duties, and/or an increase in the amount of antidumping duties by the 
amount of countervailing duties.

Notification to Interested Parties

    Commerce is issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act, 19 CFR 351.213(h)(2), and 
19 CFR 351.221(b)(4).

    Dated: September 6, 2024.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Deadline for Submission of Updated Sales and Cost Information
IV. Scope of the Order
V. Rescission of Review in Part
VI. Rate for Non-Selected Companies
VII. Discussion of the Methodology
VIII. Currency Conversion
IX. Recommendation

[FR Doc. 2024-20797 Filed 9-12-24; 8:45 am]
BILLING CODE 3510-DS-P