[Federal Register Volume 63, Number 16 (Monday, January 26, 1998)]
[Notices]
[Pages 3703-3704]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-1805]


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DEPARTMENT OF COMMERCE

International Trade Administration
[A-580-807]


Polyethylene Terephthalate Film, Sheet and Strip From the 
Republic of Korea, Final Results of Changed Circumstances Antidumping 
Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of Final Results of Changed Circumstances Antidumping 
Duty Administrative Review.

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SUMMARY: On November 19, 1997, the Department of Commerce (the 
Department) published the notice of initiation and preliminary results 
of its changed circumstances administrative review concerning whether 
Saehan Industries, Inc. (Saehan) is the successor

[[Page 3704]]

firm to Cheil Synthetics Inc., (Cheil) and whether the revocation 
issued or Cheil should apply to Saehan. We have now completed that 
review. We have determined that Saehan is the successor firm to Cheil. 
As such, the revocation issued for Cheil applies to Saehan.

EFFECTIVE DATE: January 26, 1998.

FOR FURTHER INFORMATION CONTACT:
Michael J. Heaney at (202) 482-4475 or Linda Ludwig at (202) 482-3833, 
AD/CVD Enforcement Office Eight, Import Administration, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, N.W., Washington, DC 20230.

THE APPLICABLE STATUTE AND REGULATIONS: Unless otherwise indicated, all 
citations to the statute are references to the provisions effective 
January 1, 1995, the effective date of the amendments made to the 
Tariff Act by the Uruguay Round Agreement Act. In addition, unless 
otherwise indicated, all citations to the Department's regulations are 
to the regulations codified at 19 CFR part 351 (62 FR 27296).

SUPPLEMENTARY INFORMATION:

Background

    On September 29, 1997, Saehan requested that the Department conduct 
a changed circumstances administrative review pursuant to section 
751(b) of the Tariff Act to determine whether Saehan should properly be 
considered the successor firm to Cheil and if, as such, the revocation 
issued for Cheil should apply to Saehan. Saehan also requested the 
Department to publish the preliminary results concurrently with the 
notice of initiation, pursuant to 19 CFR 351.221(c)(3)(ii). In its 
request, Saehan notified the Department that on February 28, 1997, 
Cheil officially changed its corporate name to Saehan, and despite this 
change in corporate name, the management, production facilities, 
supplier relationships, and customer base of Saehan are virtually 
identical to those of the former Cheil. In support of its claim, Saehan 
submitted documentary evidence demonstrating that Saehan maintained 
essentially the same management, production facilities, supplier, and 
customer relationships as Cheil. Citing the Department's determinations 
in Sugars and Syrups from Canada; Initiation and Preliminary Results of 
Changed Circumstances Review, 61 FR 48885 (Sept. 17, 1996) and 
Industrial Phosphoric Acid from Israel; Preliminary Results of 
Antidumping Duty Changed Circumstances Review, 58 FR 59010 (Nov. 5, 
1993), Saehan claimed that the Department should determine that it is 
the successor-in-interest to Cheil.
    On November 19, 1997, the Department published in the Federal 
Register (62 FR 61801) the notice of initiation and preliminary results 
of its antidumping duty administrative review of the antidumping duty 
order of polyethylene terephthalate film, sheet, and strip from the 
Republic of Korea. We have now completed this changed circumstances 
review in accordance with section 751(b) of the Tariff Act, as amended 
(the Act).

Scope of the Review

    The merchandise subject to this antidumping duty order are 
shipments of all gauges of raw, pretreated, or primed polyethylene 
terephthalate, film, sheet, and strip, whether extruded or coextruded. 
The films excluded from this review are metallized films, and other 
finished films that have had at least one of their surfaces modified by 
the application of a performance-enhancing resinous or inorganic layer 
of more than 0.00001 inches (0.254 micrometers) thick. Roller transport 
cleaning film which has at least one of its surfaces modified by the 
application of SBR latex has also been ruled as not within the scope of 
the order.
    PET film is currently classifiable under Harmonized Tariff Schedule 
of the United States subheading 3920.62.00.00. The HTS subheading is 
provided for convenience and customs purposes. The written description 
of the scope of this order is dispositive.
    This changed circumstances administrative review covers Saehan.

Successorship

    In considering questions involving successorship, the Department 
examines several factors including, but not limited to, changes in (1) 
management, (2) production facilities, (3) supplier relationships, and 
(4) customer base. See e.g., Brass Sheet and Strip from Canada; Final 
Results of Antidumping Duty Administrative Review, 57 FR 20460 (May 13, 
1992). While no one or several of these factors will necessarily 
provide a dispositive indication, the Department will generally 
consider the new company to be the successor to the previous company if 
its resulting operation is essentially the same as its predecessor. See 
e.g., Industrial Phosphoric Acid from Israel, Final Results of Changed 
Circumstances Review, 59 FR 6944 (February 14, 1994). Thus, if evidence 
demonstrates that, with respect to the production and sale of the 
subject merchandise, the new company operates as the same entity as the 
former company, the Department will treat the successor company the 
same as the predecessor for purposes of antidumping liability, e.g., 
assign the same cash deposit rate, revocation, etc.
    We have examined the information provided by Saehan in its 
September 29, 1997 letter and determined that Saehan is the successor-
in-interest to Cheil. The management and organizational structure of 
the former Cheil has remained intact under Saehan, and there have been 
no changes in the production facilities, supplier relationships, or 
customer base. Therefore, we determine that Saehan has maintained the 
same management, production facilities, supplier relationships, and 
customer bases as did Cheil. Based upon the foregoing, we determine 
that the July 5, 1996 revocation issued for Cheil applies to Saehan.

Comments

    Although we gave interested parties an opportunity to comment on 
the preliminary results, none were submitted.

Final Results of Changed Circumstances Review

    We determine that Saehan is the successor-in-interest Cheil, and 
accordingly, the revocation issued for Cheil applies to Saehan. We will 
notify the U.S. Customs Service of our decision and instruct Customs to 
liquidate without regard to antidumping duties, merchandise produced by 
Saehan on or after February 28, 1997, the date on which the corporate 
name change was legally effected.
    This changed circumstances review and notice are in accordance with 
section 751(b) of the Act, as amended (19 U.S.C. 1675(b)), and 19 CFR 
351.216.

    Dated: January 16, 1998.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 98-1805 Filed 1-23-98; 8:45 am]
BILLING CODE 3510-PS-M