[Federal Register Volume 70, Number 222 (Friday, November 18, 2005)]
[Notices]
[Pages 69941-69942]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-22894]


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DEPARTMENT OF COMMERCE

International Trade Administration

A-570-846


Brake Rotors From the People's Republic of China: Final Results 
of Changed Circumstances Antidumping Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On September 20, 2005, the Department of Commerce (``the 
Department'') published the notice of preliminary results of its 
changed circumstances review examining whether Shandong Huanri Group 
Co., Ltd. (``Huanri Group'') is the successor-in-interest to Shandong 
Huanri Group General Company (``Huanri Group General'') for purposes of 
determining antidumping liability. See Brake Rotors From the People's 
Republic of China: Preliminary Results of Antidumping Duty Changed 
Circumstances Review, 70 FR 55107 (September 20, 2005) (``Preliminary 
Results''). In those Preliminary Results, the Department found that 
Huanri Group was the successor-in-interest to Huanri Group General.
    However, after consideration of factual information evaluated in 
the Department's seventh administrative review of brake rotors from the 
People's Republic of China (PRC), the Department finds that although 
Huanri Group remains the successor-in-interest to Huanri Group General, 
information in the above-referenced administrative review has led the 
Department to deny Huanri Group General a separate rate. See Comment 7 
of the Issues and Decision Memorandum for the Final Results in the 
2003/2004 Administrative Review of Brake Rotors from the People's 
Republic of China, to Stephen J. Claeys, Acting Assistant Secretary for 
Import Administration, from Edward Yang, Senior Enforcement Coordinator 
/ NME Unit, Import Administration (November 7, 2005) (``2003/2004 
Issues and Decision Memorandum''), which is on file in the Central 
Records Unit, Room B-099 of the main Department building. We have now 
completed this changed circumstances review in accordance with 19 CFR 
351.216 and 351.221(c)(3).

EFFECTIVE DATE: November 18, 2005.

FOR FURTHER INFORMATION CONTACT: Erin Begnal or Christopher Riker, AD/
CVD Operations, Office 9, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
1442 or (202) 482-3441, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On December 13, 2004, the Department initiated a changed 
circumstances review of Huanri Group's claim that it is the successor-
in-interest to Huanri Group General. See Brake Rotors from the People's 
Republic of China: Notice of Initiation of Changed Circumstances 
Review, 69 FR 75508 (December 17, 2004).
    On September 20, 2005, the Department published the preliminary 
results of its changed circumstances review. See Preliminary Results. 
In making such a successor-in-interest determination, 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 single factor or combination of these factors will 
necessarily provide a dispositive indication of a successor-in-interest 
relationship, the Department will generally consider the new company to 
be the successor to the previous company if the new company's resulting 
operation is not materially dissimilar to that of its predecessor. See, 
e.g., Industrial Phosphoric Acid from Israel: Final Results of Changed 
Circumstances Review, 59 FR 6944 (February 14, 1994); Canadian Brass, 
and Fresh and Chilled Atlantic Salmon from Norway: Initiation and 
Preliminary Results of Changed Circumstances Antidumping Duty 
Administrative Review, 63 FR 50880 (September 23, 1998). Thus, if the 
evidence demonstrates that, with respect to the production and sale of 
the subject merchandise, the new company operates as the same business 
entity as the former company, the Department will accord the new 
company the same antidumping treatment as its predecessor.
    In this case, data placed on the record and verified by the 
Department indicates that Huanri Group has the same management, 
production facilities, customer base, and supplier relationships as 
Huanri Group General.
    Although the Department found Huanri Group was the successor-in-
interest to Huanri Group General, the Department indicated in the 
Preliminary Results that it was currently conducting an administrative 
review regarding Huanri Group General. The Department preliminarily 
determined that Huanri Group General did not demonstrate that it was 
entitled to a separate rate under the Department's test. See Brake 
Rotors From the People's Republic of China: Preliminary Results and 
Partial Rescission of the Seventh Administrative Review and Preliminary 
Results of the Eleventh New Shipper Review, 70 FR 24382 (May 9, 2005). 
The Department informed the public that it would issue the final 
results of this changed circumstances review at the same time as the 
concurrent administrative review as both segments involve the company 
at issue, and that the separate rate issue will be decided in the 
context of the administrative review.

Scope of the Order

    The products covered by the order are brake rotors made of gray 
cast iron, whether finished, semifinished, or unfinished, ranging in 
diameter from 8 to 16 inches (20.32 to 40.64 centimeters)

[[Page 69942]]

and in weight from 8 to 45 pounds (3.63 to 20.41 kilograms). The size 
parameters (weight and dimension) of the brake rotors limit their use 
to the following types of motor vehicles: automobiles, all-terrain 
vehicles, vans, recreational vehicles under ``one ton and a half,'' and 
light trucks designated as ``one ton and a half.''
    Finished brake rotors are those that are ready for sale and 
installation without any further operations. Semi-finished rotors are 
those rotors which have undergone some drilling and on which the 
surface is not entirely smooth. Unfinished rotors are those which have 
undergone some grinding or turning.
    These brake rotors are for motor vehicles and do not contain in the 
casting a logo of an original equipment manufacturer (``OEM'') which 
produces vehicles sold in the United States (e.g., General Motors, 
Ford, Chrysler, Honda, Toyota, and Volvo). Brake rotors covered in this 
review are not certified by OEM producers of vehicles sold in the 
United States. The scope also includes composite brake rotors that are 
made of gray cast iron which contain a steel plate but otherwise meet 
the above criteria. Excluded from the scope of the order are brake 
rotors made of gray cast iron, whether finished, semifinished, or 
unfinished, with a diameter less than 8 inches or greater than 16 
inches (less than 20.32 centimeters or greater than 40.64 centimeters) 
and a weight less than 8 pounds or greater than 45 pounds (less than 
3.63 kilograms or greater than 20.41 kilograms).
    Brake rotors are classifiable under subheading 8708.39.5010 of the 
Harmonized Tariff Schedule of the United States (``HTSUS''). Although 
the HTSUS subheading is provided for convenience and customs purposes, 
the written description of the scope of the order is dispositive.

Successorship and Final Results

    The Department received no case or rebuttal briefs by parties to 
this changed circumstances review. On the basis of the record developed 
in this proceeding, we continue to determine that Huanri Group is the 
successor-in-interest to Huanri Group General for purposes of 
determining antidumping duty liability. We note that in the seventh 
administrative review of brake rotors from the PRC, we concluded that 
Huanri Group General is not entitled to a separate rate for purposes of 
the final results of that proceeding. See 2003/2004 Issues and Decision 
Memorandum.
    Therefore, effective as of the date of these final results, we will 
instruct CBP to assign Huanri Group the same antidumping duty cash-
deposit rate applicable to Huanri Group General. The cash-deposit 
requirement will be effective upon publication of this notice of final 
results of changed circumstances review for all shipments of the 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the publication date.
    This notice also serves as a final reminder to parties subject to 
administrative protective orders (``APOs'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Failure to timely notify 
the Department in writing of the return/destruction of APO material is 
a sanctionable violation.
    We are issuing and publishing this finding and notice in accordance 
with sections 751(b)(1) and 777(i)(1) of the Act and 19 CFR 
351.221(c)(3) and 19 CFR 351.216.

    Dated: November 7, 2005.
Stephen J. Claeys,
Acting Assistant Secretary for Import Administration.
[FR Doc. 05-22894 Filed 11-17-05; 8:45 am]
BILLING CODE 3510-DS-S