[Federal Register Volume 73, Number 184 (Monday, September 22, 2008)]
[Notices]
[Pages 54561-54563]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-22109]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-929]


Small Diameter Graphite Electrodes from the People's Republic of 
China: Amended Preliminary Determination of Sales at Less Than Fair 
Value

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

EFFECTIVE DATE: September 22, 2008.
SUMMARY: On August 21, 2008, the Department of Commerce (the 
Department) published the preliminary determination of sales at less 
than fair value (LTFV) in the antidumping investigation of small 
diameter graphite electrodes (graphite electrodes) from the People's 
Republic of China (PRC). See Small Diameter Graphite Electrodes From 
the People's Republic of China: Preliminary Determination of Sales at 
Less Than Fair Value, Postponement of Final Determination, and 
Affirmative Preliminary Determination of Critical Circumstances, in 
Part, 73 FR 49408 (August 21, 2008) (Preliminary Determination). We are 
amending our Preliminary Determination to correct certain ministerial 
errors with respect to the antidumping duty margin calculation for the 
Fangda Group.\1\ The corrections to the Fangda Group's margin also 
affect the margin applied to companies receiving a separate rate.
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    \1\ The Fangda Group consists of Fangda Carbon New Material Co., 
Ltd., Beijing Fangda Carbon Tech Co., Ltd., Fushun Carbon Co., Ltd., 
and Chengdu Rongguang Carbon Co., Ltd.

FOR FURTHER INFORMATION CONTACT:  Magd Zalok or Drew Jackson, AD/CVD 
Operations, Office 4, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC, 20230; telephone: (202) 482-
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4162 or (202) 482-4406, respectively.

SUPPLEMENTARY INFORMATION: On August 21, 2008, the Department published 
in the Federal Register the preliminary determination that graphite 
electrodes from the PRC are being, or are likely to be, sold in the 
United States at LTFV, as provided in section 733 of the Tariff Act of 
1930, as amended (the ``Act''). See Preliminary Determination.
    On August 25, 2008, the Fangda Group, as well as SGL Carbon LLC and 
Superior Graphite Co. (collectively ``petitioners'') filed timely 
allegations of ministerial errors in the Department's preliminary 
calculation of the Fangda Group's dumping margin. On August 26, 2008, 
petitioners submitted a ministerial error allegation with respect to 
Fushun Jinly Petrochemical Carbon Co., Ltd. (Fushun Jinly). On August 
28, 2008, per the Department's request, petitioners submitted 
information regarding the affect the alleged errors have on the dumping 
margin calculated for the Fangda Group.
    After reviewing the allegations, we have determined that the 
Preliminary Determination included significant ministerial errors. 
Therefore, in accordance with section 351.224(e) of the Department's 
regulations, we have made changes, as described below, to the 
Preliminary Determination.

Period of Investigation

    The period of investigation (POI) is July 1, 2007, through December 
31, 2007. This period corresponds to the two most recent fiscal 
quarters prior to the month of the filing of the petition, January 
2008. See section 351.204(b)(1) of the Department's regulations.

[[Page 54562]]

Scope of Investigation

    The merchandise covered by this investigation includes all small 
diameter graphite electrodes of any length, whether or not finished, of 
a kind used in furnaces, with a nominal or actual diameter of 400 
millimeters (16 inches) or less, and whether or not attached to a 
graphite pin joining system or any other type of joining system or 
hardware. Small diameter graphite electrodes are most commonly used in 
primary melting, ladle metallurgy, and specialty furnace applications 
in industries including foundries, smelters, and steel refining 
operations. Small diameter graphite electrodes subject to this 
investigation are currently classified under the Harmonized Tariff 
Schedule of the United States (HTSUS) subheading 8545.11.0000. The 
HTSUS number is provided for convenience and customs purposes, but the 
written description of the scope is dispositive.

Significant Ministerial Error

    Ministerial errors are defined in section 735(e) of the Act as 
``errors in addition, subtraction, or other arithmetic function, 
clerical errors resulting from inaccurate copying, duplication, or the 
like, and any other type of unintentional error which the administering 
authority considers ministerial.'' Section 351.224(e) of the 
Department's regulations provides that the Department ``will analyze 
any comments received and, if appropriate, correct any significant 
ministerial error by amending the preliminary determination . . . .'' A 
significant ministerial error is defined as a ministerial error, the 
correction of which, singly or in combination with other errors, would 
result in (1) a change of at least five absolute percentage points in, 
but not less than 25 percent of, the weighted-average dumping margin 
calculated in the original (erroneous) preliminary determination, or 
(2) a difference between a weighted-average dumping margin of zero or 
de minimis and a weighted-average dumping margin of greater than de 
minimis or vice versa. See section 351.224(g) of the Department's 
regulations.

Ministerial Error Allegations

    The petitioners allege that, with respect to the Fangda Group, the 
Department: (1) did not deduct marine insurance from U.S. prices and 
used the wrong surrogate value for marine insurance; (2) incorrectly 
excluded packing costs from normal value and used the wrong surrogate 
value for wooden boards (a packing material); (3) deducted from U.S. 
prices only a truncated value, not the complete value, of foreign 
brokerage and handling expenses; (4) incorrectly relied on Indian 
import data for the period July 1, 2007 through December 1, 2007, 
instead of July 1, 2007 through December 31, 2007; (5) did not include 
the cost of self-produced calcined petroleum coke in direct material 
costs, and (6) incorrectly classified the baking scrap and graphite 
scrap that were reused in the production process as by-product offsets, 
rather than direct materials. With respect to Fushun Jinly, petitioners 
reiterated their allegation that the Department incorrectly relied on 
Indian import data for the period July 1, 2007 through December 1, 
2007, instead of July 1, 2007 through December 31, 2007. The Fangda 
Group alleges that the Department inadvertently assigned raw petroleum 
coke the surrogate value for calcined petroleum coke and failed to 
convert this surrogate value from rupees to U.S. dollars.

Amended Preliminary Determination

    We have determined that the Department made certain ministerial 
errors in calculating the preliminary dumping margin for the Fangda 
Group by failing to: (1) properly deduct marine insurance and brokerage 
and handling expenses from U.S. prices, (2) properly include the cost 
of packing and raw petroleum coke in normal value, and (3) properly 
treat the cost of baking and graphite scrap. These ministerial errors, 
in combination, qualify as significant ministerial errors pursuant to 
section 351.224(g) of the Department's regulations because they result 
in a change of more than five absolute percentage points to the Fangda 
Group's dumping margin. Accordingly, we have corrected errors alleged 
by petitioners and the Fangda Group. We found no ministerial errors 
with respect to Fushun Jinly. See Memorandum to Abdelali Elouaradia 
from Magd Zalok and Drew Jackson, Analysts, Allegation of Ministerial 
Errors, dated concurrently with this Federal Register notice.
    As a result of correcting the above errors in the Fangda Group's 
dumping margin calculation, the dumping margin for the companies 
granted separate-rate status must also be revised because the dumping 
margin for those companies was partially derived from the Fangda 
Group's dumping margin.
    As a result of corrections of ministerial errors, the revised 
weight-average dumping margins are as follows:

------------------------------------------------------------------------
            Exporter & Producer                Weighted-Average Margin
------------------------------------------------------------------------
Fushun Carbon Co., Ltd....................                        48.20%
        Produced by: Fushun Carbon Co.,
         Ltd..............................
Fangda Carbon New Material Co., Ltd.......                        48.20%
        Produced by: Fangda Carbon New
         Material Co., Ltd................
Beijing Fangda Carbon Tech Co., Ltd.......                        48.20%
        Produced by: Chengdu Rongguang
         Carbon Co., Ltd.; Fangda Carbon..
        New Material Co., Ltd.; or Fushun
         Carbon Co., Ltd..................
Chengdu Rongguang Carbon Co., Ltd.........                        48.20%
        Produced by: Chengdu Rongguang
         Carbon Co., Ltd..................
Jilin Carbon Import and Export Company....                        90.50%
        Produced by: Sinosteel Jilin
         Carbon Co., Ltd..................
Guanghan Shida Carbon Co., Ltd............                        90.50%
        Produced by: Guanghan Shida Carbon
         Co., Ltd.........................
Nantong River-East Carbon Joint Stock Co.,                        90.50%
 Ltd......................................
        Produced by: Nantong River-East
         Carbon Co., Ltd.; or Nantong.....
        Yangzi Carbon Co., Ltd............
Xinghe County Muzi Carbon Co. Ltd.........                        90.50%
        Produced by: Xinghe County Muzi
         Carbon Co., Ltd..................
Brilliant Charter Limited.................                        90.50%
        Produced by: Nantong Falter New
         Energy Co., Ltd.; or Shanxi......
        Jinneng Group Co., Ltd............
Shijiazhuang Huanan Carbon Factory........                        90.50%
        Produced by: Shijiazhuang Huanan
         Carbon Factory...................

[[Page 54563]]

 
Shenyang Jinli Metals & Minerals Imp & Exp                        90.50%
 Co., Ltd.................................
        Produced by: Shenyang Jinli Metals
         & Minerals Imp. & Exp. Co., Ltd..
Shanghai Jinneng International Trade Co.,                         90.50%
 Ltd......................................
        Produced by: Shanxi Jinneng Group
         Datong Energy Development Co.,
         Ltd..............................
Dalian Thrive Metallurgy Import and Export                        90.50%
 Co., Ltd.................................
        Produced by: Linghai Hongfeng
         Carbon Products Co., Ltd.;
         Tianzhen.........................
        Jintian Graphite Electrodes Co.,
         Ltd.; Jiaozuo Zhongzhou Carbon
         Products Co., Ltd.; Heilongjiang
         Xinyuan Carbon Products Co.,
         Ltd.;............................
        Xuzhou Jianglong Carbon
         Manufacture Co., Ltd.; or Xinghe
         Xinyuan Carbon Products Co., Ltd.
GES (China) Co., Ltd......................                        90.50%
        Produced by: Shanghai GC Co.,
         Ltd.; Fushun Jinli Petrochemical
         Carbon Co., Ltd.; Xinghe County
         Muzi Carbon Plant and Linyi
         County Lubei Carbon Co., Ltd.
         Shandong Province................
Qingdao Haosheng Metals & Minerals Imp &                          90.50%
 Exp Co., Ltd.............................
        Produced by: Sinosteel Jilin
         Carbon Co., Ltd..................
------------------------------------------------------------------------

    The weight-average dumping margins for Fushun Jinly and the PRC-
wide entity have not changed from the margins determined in the 
original preliminary determination. Those margins are as follows:

------------------------------------------------------------------------
            Exporter & Producer                Weighted-Average Margin
------------------------------------------------------------------------
Fushun Jinly Petrochemical Carbon Co.,                           132.80%
 Ltd......................................
        Produced by: Fushun Jinly
         Petrochemical Carbon Co., Ltd....
PRC-Wide Rate.............................                       159.34%
------------------------------------------------------------------------

Retroactive Application of Amended Preliminary Determination Margins

    For the Fangda Group and the separate rate applicants, we will 
instruct U.S. Customs and Border Protection (CBP) to require a cash 
deposit or the posting of a bond equal to the applicable weighted-
average margins indicated above, for all entries of subject merchandise 
entered, or withdrawn from warehouse, for consumption on or after 90 
days prior to the publication date of the Preliminary Determination, 
August 21, 2008. For Fushun Jinly and the PRC-wide entity, we will 
instruct CBP to require a cash deposit or the posting of a bond equal 
to the applicable weighted-average margins indicated above, for all 
entries of subject merchandise entered, or withdrawn from warehouse, 
for consumption on or after the publication date of the Preliminary 
Determination.

International Trade Commission Notification

    In accordance with section 733(f) of the Act, we have notified the 
International Trade Commission (``ITC'') of our amended preliminary 
determination. If our final determination is affirmative, the ITC will 
make its final determination as to whether the domestic industry in the 
United States is materially injured, or threatened with material 
injury, by reason of imports of graphite electrodes, or sales (or the 
likelihood of sales) for importation, of the merchandise under 
investigation, within 45 days of our final determination.
    This determination is issued and published in accordance with 
sections 733(f), 735(a)(2), and 777(i) of the Act and sections 
351.210(g) and 351.224(e) of the Department's regulations.

    Dated: September 15, 2008.
Stephen J. Claeys,
 Acting Assistant Secretary for Import Administration.
[FR Doc. E8-22109 Filed 9-19-08; 8:45 am]
BILLING CODE 3510-DS-S