[Federal Register Volume 70, Number 177 (Wednesday, September 14, 2005)]
[Notices]
[Pages 54355-54358]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-18175]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-867]


Automotive Replacement Glass Windshields From the People's 
Republic of China: Final Results of Administrative Review

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

SUMMARY: The Department of Commerce (``the Department'') published its 
preliminary results of administrative review of the antidumping duty 
order on automotive replacement glass (``ARG'') windshields from the 
People's Republic of China (``PRC'') on May 9, 2005. See Automotive 
Replacement Glass Windshields from the People's Republic of China: 
Preliminary Results of Antidumping Duty Administrative Review 70 FR 
24373 (May 9, 2005) (``Preliminary Results''). The period of review 
(``POR'') is April 1, 2003, through March 31, 2004. We invited 
interested parties to comment on our preliminary results. Based on our 
analysis of the comments received, we have made certain changes to our 
calculations. The final dumping margins for this review are listed in 
the ``Final Results of Review'' section below.

EFFECTIVE DATE: September 14, 2005.

FOR FURTHER INFORMATION CONTACT: Will Dickerson or Jon Freed, AD/CVD 
Operations, Office 8, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
1778 and (202) 482-3818, respectively.

Background

    On April 4, 2002, the Department published in the Federal Register 
the antidumping duty order on ARG windshields from the PRC. See 
Antidumping Duty Order: Automotive Replacement Glass Windshields from 
the People's Republic of China, 67 FR 16087 (April 4, 2002). On April 
1, 2004, the Department published a notice of opportunity to request an 
administrative review of the antidumping duty order on ARG windshields 
from the PRC for the period April 1, 2003, through March 31, 2004. See 
Antidumping or Countervailing Duty Order, Finding, or Suspended 
Investigation: Opportunity to Request Administrative Review, 69 FR 
17129 (April 1, 2004). On April 21, 2004, Pilkington North America, 
Inc. (``PNA''), an importer of subject merchandise during the POR, 
requested an administrative review of Changchun Pilkington Safety Glass 
Company Limited and Wuhan Yaohua Pilkington Safety Glass Company 
Limited (collectively ``the Pilkington JVs''), producers from which it 
imported the subject merchandise (with PNA, collectively 
``Pilkington''). On April 24, 2004, Dongguan Kongwan Automobile Glass, 
Ltd. (``Dongguan Kongwan'') and Peaceful City, Ltd. (``Peaceful City'') 
requested an administrative review of their sales to the United States 
during the POR. On April 26, 2004, Fuyao Glass Industry Group Company, 
Ltd. (``Fuyao'') requested an administrative review of its sales to the 
United States during the POR. On April 29, 2004, Shenzhen CSG 
Automotive Glass Co., Ltd. (``CSG'') requested an administrative review 
of its sales to the United States during the POR.\1\ No other 
interested parties submitted requests for review. On May 27, 2004, the 
Department published in the Federal Register a notice of the initiation 
of the antidumping duty administrative review of ARG windshields from 
the PRC for the period April 1, 2003, through March 31, 2004. See 
Initiation of Antidumping and Countervailing Duty Administrative 
Reviews and Request for Revocation in

[[Page 54356]]

Part, 69 FR 30282 (May 27, 2004) (``Initiation Notice'').
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    \1\ CSG also listed the following variations of the company 
names that may have been used to represent it during the POR: 
Shenzhen CSG Automotive Glass Co., Ltd.; Shenzhen Benxun AutoGlass 
Co., Ltd.; Shenzhen Benxun Automotive Glass Co., Ltd.; Shenzhen 
Benxun Automotive Co., Ltd.; Shenzhen Benxun AutoGlass Co., Ltd., d/
b/a Shenzhen CSG Automotive Glass Co., Ltd.; Shenzhen CSG Automotive 
Glass Co., Ltd. (Shenzhen Benxun Automotive Co., Ltd.); and Shenzhen 
CSG Automotive Glass Co., Ltd. (Shenzhen Benxun Automotive Glass 
Co., Ltd.). Subsequent to CSG's request for an administrative 
review, the Department determined that CSG is a successor-in-
interest to Shenzhen Benxun Automotive Glass Co., Ltd., which 
received a separate rate in the investigation of this proceeding. 
See Notice of Final Results of Antidumping Duty Changed 
Circumstances Review: Automotive Replacement Glass Windshields From 
the People's Republic of China, 69 FR 43388 (July 20, 2004).
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    On October 12, 2004, the Department published a notice of partial 
rescission, which rescinded the administrative review with regard to 
the following companies: Dongguan Kongwan, Fuyao, and Peaceful City. 
See Certain Automotive Replacement Glass Windshields From the People's 
Republic of China: Notice of Partial Rescission of the Antidumping Duty 
Administrative Review, 69 FR 60612 (October 12, 2004). On December 3, 
2004, the Department published a notice in the Federal Register 
extending the time limit for the preliminary results of review from 
December 31, 2004, to March 31, 2005. See Extension of Time Limit for 
the Preliminary Results of the Antidumping Duty Administrative Review: 
Automotive Replacement Glass Windshields from the People's Republic of 
China, 69 FR 70224 (December 3, 2004). Additionally, on March 22, 2005, 
the Department published a notice in the Federal Register further 
extending the time limit for the preliminary results of review to May 
2, 2005. See Extension of Time Limit for the Preliminary Results of the 
Antidumping Duty Administrative Review: Automotive Replacement Glass 
Windshields from the People's Republic of China, 70 FR 14445 (March 22, 
2005).The Department published the preliminary results on May 9, 2005. 
See Preliminary Results, 70 FR at 24373.
    We invited parties to comment on our preliminary results. See 
Preliminary Results, 70 FR at 24381. On June 8, 2005, the Department 
received a case brief from CSG. We did not receive a case brief from 
PNA or any other interested party. In addition, we did not receive any 
rebuttal comments. On August 18, 2005, we issued a memorandum to all 
interested parties requesting comments regarding a change in the 
Department's calculated regression-based wage rate methodology. See 
Memorandum from Will Dickerson to the File: Automotive Replacement 
Glass Windshields from the People's Republic of China--New Non-Market 
Economy Wage Rates (August 18, 2005). No parties provided comments. We 
have conducted this administrative review in accordance with Section 
751 of the Tariff Act of 1930, as amended (``the Act''), and 19 CFR 
351.213.

Scope of Order

    The products covered by this order are ARG windshields, and parts 
thereof, whether clear or tinted, whether coated or not, and whether or 
not they include antennas, ceramics, mirror buttons or VIN notches, and 
whether or not they are encapsulated. ARG windshields are laminated 
safety glass (i.e., two layers of (typically float) glass with a sheet 
of clear or tinted plastic in between (usually polyvinyl butyral)), 
which are produced and sold for use by automotive glass installation 
shops to replace windshields in automotive vehicles (e.g., passenger 
cars, light trucks, vans, sport utility vehicles, etc.) that are 
cracked, broken or otherwise damaged.
    ARG windshields subject to this order are currently classifiable 
under subheading 7007.21.10.10 of the Harmonized Tariff Schedules of 
the United States (HTSUS). Specifically excluded from the scope of the 
order are laminated automotive windshields sold for use in original 
assembly of vehicles. While HTSUS subheadings are provided for 
convenience and customs purposes, our written description of the scope 
of the order is dispositive.

Analysis of Comments Received

    All issues raised in the post-preliminary comments by parties in 
this review are addressed in the Issues and Decision Memorandum, dated 
September 6, 2005, (``Decision Memo'') which is hereby adopted by this 
notice. A list of the issues which parties raised and to which we 
responded in the Decision Memo is attached to this notice as an 
appendix. The Decision Memo is a public document which is on file in 
the Central Records Unit (``CRU'') in room B-099 in the main Department 
building, and is accessible on the Web at http://www.ia.ita.doc.gov/. 
The paper copy and electronic version of the memorandum are identical 
in content.

Partial Facts--Available

    In the preliminary results, the Department used facts otherwise 
available in conducting its analysis of certain U.S. sales which were 
not reported by CSG. Sections 776(a)(2)(A) and 776(a)(2)(B) of the Act 
provide that the Department shall use facts available when an 
interested party withholds information that has been requested by the 
Department or when an interested party fails to provide the information 
requested in a timely manner and in the form requested. During 
verification, the Department discovered that CSG had failed to provide 
information regarding certain U.S. sales of subject merchandise by the 
deadline for submitting such information. See Preliminary Results, 70 
FR at 24377. Consequently, the Department lacked information necessary 
to conduct a complete and accurate analysis of these U.S. sales of 
subject merchandise and determined to use facts otherwise available for 
the U.S. sales which were not reported by CSG. See sections 776(a)(1) 
and 776(a)(2)(B) of the Act.
    Section 776(b) of the Act provides that the Department may use 
adverse inferences when an interested party has failed to cooperate by 
not acting to the best of its ability to comply with the Department's 
request for information. In applying facts available to the unreported 
sales, the Department determined that adverse inferences were warranted 
because CSG failed to cooperate by not acting to the best of its 
ability to comply with the Department's requests to report all U.S. 
sales in a timely manner. CSG had numerous opportunities to present 
complete and accurate information regarding its U.S. sales but failed 
to do so. See Preliminary Results, 70 FR at 24377. Because the 
administrative record was incomplete with regard to these unreported 
U.S. sales, the Department applied the PRC-wide rate from the petition 
as adverse facts available (``AFA''), in accordance with Section 776(b) 
of the Act. See Preliminary Results, 70 FR at 24377. There have been no 
arguments submitted to cause us to reconsider our decision in the 
preliminary results in this respect. Therefore, we have determined that 
the application of partial facts available continues to be appropriate 
for certain U.S. sales which were not reported by CSG.

Corroboration of Adverse Facts Available

    Section 776(c) of the Act provides that, when the Department relies 
on secondary information rather than on information obtained in the 
course of an investigation or review as facts available, it must, to 
the extent practicable, corroborate that information from independent 
sources reasonably at its disposal. Secondary information is defined in 
the Statement of Administrative Action (``SAA'') as ``information 
derived from the petition that gave rise to the investigation or 
review, the final determination concerning the subject merchandise, or 
any previous review under section 751 concerning the subject 
merchandise.'' See SAA at 870. The SAA provides that to ``corroborate'' 
means simply that the Department will satisfy itself that the secondary 
information to be used has probative value. See SAA at 870. The SAA 
also states that independent sources used to corroborate may include, 
for example, published price lists, official import statistics and 
customs data, and information obtained from interested parties during 
the particular investigation or review. See

[[Page 54357]]

SAA at 870. As noted in Tapered Roller Bearings and Parts Thereof, 
Finished and Unfinished, from Japan, and Tapered Roller Bearings, Four 
Inches or Less in Outside Diameter, and Components Thereof, from Japan; 
Preliminary Results of Antidumping Duty Administrative Reviews and 
Partial Termination of Administrative Reviews, 61 FR 57391, 57392 
(November 6, 1996), to corroborate secondary information, the 
Department will, to the extent practicable, examine the reliability and 
relevance of the information used.
    In the preliminary results, we corroborated the petition rate that 
was applied as AFA to CSG's unreported sales. See Preliminary Results, 
70 FR at 24378; see also Memorandum from Will Dickerson to Robert 
Bolling: Corroboration of the PRC-Wide Adverse Facts-Available Rate, 
dated May 2, 2005 (``Second Review Preliminary Corroboration Memo''). 
The Department explained that the reliability of the petition rate was 
determined in the investigation and that no information in the current 
review was presented that challenges the reliability of this 
information. See Second Review Preliminary Corroboration Memo at 2. 
Since the preliminary results, no parties have placed arguments on the 
record to cause us to reconsider the reliability of the petition rate. 
Thus, the Department continues to find that the information is 
reliable.
    In the preliminary results, the Department found the petition rate 
to be relevant because the record of this administrative review 
contained margins within the range of the petition margin, although we 
stated that we would reexamine its relevancy by considering all margins 
on the record at the time of the final results. See Preliminary 
Results, 70 FR at 24378. In these final results, the Department 
compared the final margin calculations in this administrative review 
with the rate of 124.5 percent from the original petition to assess the 
relevancy of the partial AFA rate it has chosen. We find that the 
highest dumping margins for both CSG and PNA exceed the petition rate 
of 124.5 percent. See Memorandum from Will Dickerson to Robert Bolling: 
Corroboration of the PRC-Wide Adverse Facts--Available Rate, dated 
September 6, 2005, at Attachment 1. Therefore, the PRC-wide rate 
continues to be within the range of the highest margins we have 
determined in this administrative review. Since the record of this 
administrative review contains margins within the range of the petition 
margin, we determine that the rate from the petition continues to be 
relevant for use in this administrative review. Further, the rate used 
is currently applicable to all exporters subject to the PRC-wide rate.
    As the petition rate is both reliable and relevant, we determine 
that it has probative value. As a result, the Department determines 
that the petition rate is corroborated, to the extent practicable, for 
the purposes of this administrative review and may reasonably be 
applied to CSG as a partial AFA rate. Accordingly, we determine that 
the highest rate from any segment of this administrative proceeding 
(i.e., the rate of 124.5 percent) is corroborated in accordance with 
the requirement under section 776(c) of the Act (i.e., has probative 
value), and we have assigned this rate to CSG's unreported sales.

Changes Since the Preliminary Results

    Based on our analysis of comments received, we have made changes in 
the margin calculations for CSG. See Decision Memo at 6. In the 
preliminary results, the Department inadvertently made a currency 
conversion error with respect to certain unreported sales of CSG. For 
the final results, the Department corrected the currency conversion 
error.
    Additionally, for these final results, the Department has modified 
its regression-based PRC wage rate. The specific calculation changes 
can be found in CSG Final Analysis Memo and Final Results of Review of 
the Order on Automotive Replacement Glass Windshields from the People's 
Republic of China: Pilkington North America Program Analysis for the 
Final Results of Review Memorandum from Will Dickerson, Case Analyst, 
through Robert Bolling, Program Manager, Office VIII to the File, dated 
September 6, 2005 (``PNA Final Analysis Memo'').

Final Results of Review

    We determine that the following percentage margins exist on exports 
of ARG windshields from the PRC for the period April 1, 2003, through 
March 31, 2004:

          Automotive Replacement Glass Windshields From the PRC
------------------------------------------------------------------------
                                                             Weighted-
                                                              average
            Producer/Manufacturer/  Exporter                  margin
                                                             (percent)
------------------------------------------------------------------------
CSG.....................................................            0.93
Pilkington..............................................            0.91
------------------------------------------------------------------------

Assessment Rates

    The Department will issue appraisement instructions directly to 
U.S. Customs and Border Protection (``CBP'') within 15 days of 
publication of these final results of administrative review. In 
accordance with 19 CFR 351.212(b)(1), we have calculated importer-
specific assessment rates for merchandise subject to this review. For 
CSG, we divided the total dumping margins of its reviewed sales by the 
total entered value of its reviewed sales for each applicable importer 
to calculate ad-valorem assessment rates. Because Pilkington did not 
report entered value, we divided the total dumping margins of its 
reviewed sales by the total quantity (measured in square meters) of 
subject merchandise sold to each applicable importer during the POR to 
calculate a per-unit assessment amount. We will direct CBP to assess 
the resulting assessment rates against the entered customs values for 
the subject merchandise on each importer's entries under the relevant 
order during the POR.
    To determine whether the duty assessment rates were de minimis, in 
accordance with the requirement set forth in 19 CFR 351.106(c)(2), we 
calculated importer-specific ad valorem rates. For CSG, we aggregated 
the dumping margins calculated for all U.S. sales to each importer and 
divided this amount by the entered value of the sales to each importer. 
For further details see CSG Final Analysis Memo. For Pilkington, we 
divided the total dumping margins for each importer by a constructed 
entered value of the sales to each importer, as Pilkington did not 
report entered value. For further details see PNA Final Analysis Memo. 
Where an importer-specific ad valorem rate is de minimis, we will order 
CBP to liquidate appropriate entries without regard to antidumping 
duties.

Cash Deposit Requirements

    The following deposit requirements will be effective upon 
publication of this notice of final results of administrative review 
for all shipments of ARG windshields from the PRC entered, or withdrawn 
from warehouse, for consumption on or after the date of publication, as 
provided by Section 751(a)(1) of the Act: (1) The cash deposit rates 
for the reviewed companies will be the rates shown above, except that 
the Department shall require no deposit of estimated antidumping duties 
for firms whose weighted-average margins are less than 0.5 percent and 
therefore de minimis; (2) for previously reviewed or investigated 
companies not listed above

[[Page 54358]]

that have separate rate, the cash deposit rate will continue to be the 
company-specific rate published for the most recent period; (3) the 
cash deposit rate for all other PRC exporters will be 124.5 percent, 
the current PRC-wide rate; and (4) the cash deposit rate for all non-
PRC exporters will be the rate applicable to the PRC exporter that 
supplied that exporter. These deposit requirements, when imposed, shall 
remain in effect until publication of the final results of the next 
administrative review.

Notification of Interested Parties

    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping 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 the antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    This notice also serves as a reminder to parties subject to 
administrative protective orders (``APOs'') of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305, which continues 
to govern business proprietary information in this segment of the 
proceeding. Timely written notification of the return/destruction of 
APO materials or conversion to judicial protective order is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.
    We are issuing and publishing this determination and notice in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: September 6, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.

Appendix 1--Issues in the Decision Memorandum

Shenzhen CSG's Comments

Comment 1: Currency Used to Value Certain Unreported Sales of CSG
Comment 2: Treatment of the By-Product Offset in Normal Value

[FR Doc. 05-18175 Filed 9-13-05; 8:45 am]
BILLING CODE 3510-DS-P