[Federal Register Volume 66, Number 40 (Wednesday, February 28, 2001)]
[Notices]
[Pages 12759-12761]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-4895]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-819, A-570-859, A-557-810]


Notice of Final Determinations of Sales at Less Than Fair Value: 
Steel Wire Rope From India and the People's Republic of China; Notice 
of Final Determination of Sales at Not Less Than Fair Value: Steel Wire 
Rope From Malaysia

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

EFFECTIVE DATE: February 28, 2001.

ACTION: Notice of final determinations of sales at less than fair value 
and notice of sales at not less than fair value.

-----------------------------------------------------------------------

FOR FURTHER INFORMATION CONTACT: Keir Whitson or Gabriel Adler, at 
(202) 482-1777 or (202) 482-3813, respectively; AD/CVD Enforcement, 
Office 5, Group II, Import Administration, Room 1870, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, 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 of 1930 (the Act) by the 
Uruguay Round Agreements Act (URAA). In addition, unless otherwise 
indicated, all citations to Department of Commerce (Department) 
regulations refer to the regulations codified at 19 CFR part 351 (April 
2000).

Final Determinations

    We determine that steel wire rope from India and the People's 
Republic of China (PRC) is being sold, or is likely to be sold, in the 
United States at less than fair value (LTFV), as provided in section 
735 of the Act. We also determine that steel wire rope from Malaysia is 
not being sold in the United States at LTFV. The estimated margins of 
sales at LTFV are shown in the Continuation of

[[Page 12760]]

Suspension of Liquidation section of this notice.

Case History

    The preliminary determinations in these investigations were issued 
on September 25, 2000. See Notice of Preliminary Determinations of 
Sales at Less Than Fair Value: Steel Wire Rope from India and the 
People's Republic of China; Notice of Preliminary Determination of 
Sales at Not Less Than Fair Value: Steel Wire Rope from Malaysia, 65 FR 
58736 (October 2, 2000) (Steel Wire Rope Preliminary Determinations).
    In the India investigation, we conducted verification of the cost 
and sales information submitted by respondent Usha Martin Industries, 
Ltd. (Usha) from October 16 through October 20, 2000, and from November 
6 through November 10, 2000, respectively. In addition, we conducted a 
verification of Usha's constructed export price (CEP) information on 
December 13 and 14, 2000. The petitioner \1\ requested a hearing in 
this case on October 30, 2000, and withdrew this request on January 17, 
2000. No other interested party requested a hearing. Usha and the 
petitioner submitted case briefs on January 10, 2001. The petitioner 
submitted a rebuttal brief on January 16, 2001; Usha did not submit a 
rebuttal brief.
---------------------------------------------------------------------------

    \1\ The petitioner in these investigations is the Committee of 
Domestic Steel Wire Rope and Specialty Cable Manufacturers.
---------------------------------------------------------------------------

    In the PRC investigation, we conducted verification of the sales 
and factors of production information submitted by respondents Nantong 
Zhongde (Nantong), and Fasten Group Import and Export Co., Ltd. 
(Fasten) from October 9 through October 13, 2000, and October 16 
through October, 20, 2000, respectively. In addition, we conducted a 
verification of Fasten USA's CEP information on October 23 and October 
24, 2000. Counsel to Nantong and the petitioner requested a hearing on 
October 27 and October 30, 2000, respectively. Nantong, Fasten, Dragon 
Trading, Inc. (an interested party), and the petitioner submitted case 
briefs on December 15, 2000. On December 21, 2000, Fasten submitted to 
the Department an allegation that certain portions of the petitioner's 
case brief contained new factual information. Dragon Trading, Inc. 
submitted a rebuttal brief on December 22; Nantong, Fasten, and the 
petitioner submitted rebuttal briefs on December 27, 2000. On January 
5, 2001, the Department held a public hearing in the PRC investigation. 
On January 9, 2001, the Department rejected certain pages in the 
petitioner's case brief containing new factual information. See 
Memorandum to the File (January 9, 2001).
    In the Malaysia investigation, we conducted verification of the 
cost and sales information submitted by respondent Kiswire SDN.BHD 
(Kiswire) from October 23 through October 26, 2000, and October 30 
through November 2, 2000, respectively. In addition, we conducted a 
verification of Kiswire's CEP information on November 14, 2000. Kiswire 
and the petitioner requested a hearing in this case on October 24, 
2000, and October 30, 2000, respectively. Both parties submitted case 
briefs on December 21, 2000, and rebuttal briefs on January 4, 2001. 
Kiswire and the petitioner withdrew their requests for a hearing on 
January 9 and January 10, 2001, respectively.

Scope of Investigations

    For purposes of these investigations, the product covered is steel 
wire rope. Steel wire rope encompasses ropes, cables, and cordage of 
iron or carbon or stainless steel, other than stranded wire, not fitted 
with fittings or made up into articles, and not made up of brass-plated 
wire. Imports of these products are currently classifiable under 
subheadings: 7312.10.6030, 7312.10.6060, 7312.10.9030, 7312.10.9060, 
and 7312.10.9090 of the Harmonized Tariff Schedule of the United States 
(HTSUS). Although HTSUS subheadings are provided for convenience and 
Customs Service purposes, the written description of the scope of these 
investigations is dispositive.

Period of Investigations

    The period of the investigations (POI) is January 1, 1999, through 
December 31, 1999, for India and Malaysia, and July 1, 1999, through 
December 31, 1999, for the PRC.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
these antidumping proceedings are listed in the Appendix to this notice 
and addressed in the Decision Memorandum for each of the instant 
investigations, dated February 14, 2001, which are hereby adopted by 
this notice. The Decision Memorandum for each case is on file in room 
B-099 of the main Department of Commerce building. In addition, a 
complete version of the Decision Memorandum for each investigation can 
be accessed directly on the World Wide Web at www.ita.doc.gov/import_admin/records/frn. The paper and electronic versions of each 
Decision Memorandum are identical in content.

Changes Since the Preliminary Determinations

    Based on our findings at verification, and analysis of comments 
received, we have made adjustments to the preliminary determination 
calculation methodologies in calculating the final dumping margins in 
these proceedings. These adjustments are discussed in the case-specific 
Decision Memorandum for each of the instant investigations.

Critical Circumstances

    Section 735(a)(3) of the Act provides that the Department will 
determine that critical circumstances exist if: (A)(i) there is a 
history of dumping and material injury by reason of dumped imports in 
the United States or elsewhere of the subject merchandise, or (ii) the 
person by whom, or for whose account, the merchandise was imported knew 
or should have known that the exporter was selling the subject 
merchandise at less than its fair value and that there would be 
material injury by reason of such sales, and (B) there have been 
massive imports of the subject merchandise over a relatively short 
period. Section 351.206(h)(1) of the Department's regulations provides 
that, in determining whether imports of the subject merchandise have 
been ``massive,'' the Department normally will examine: (i) The volume 
and value of the imports; (ii) seasonal trends; and (iii) the share of 
domestic consumption accounted for by the imports. In addition, section 
351.206(h)(2) of the Department's regulations provides that an increase 
in imports of 15 percent or more during the ``relatively short period'' 
of time may be considered ``massive.''
    Section 351.206(i) of the Department's regulations defines 
``relatively short period'' as normally being the period beginning on 
the date the proceeding begins (i.e., the date the petition is filed) 
and ending at least three months later. The regulations also provide, 
however, that if the Department finds that importers, exporters, or 
producers, had reason to believe, at some time prior to the beginning 
of the proceeding, that a proceeding was likely, the Department may 
consider a period of not less than three months from that earlier time.
    On August 25, 2000, the petitioner made allegations that critical 
circumstances exist with respect to imports of steel wire rope from 
India and the PRC.\2\ In the Steel Wire Rope

[[Page 12761]]

Preliminary Determinations, we found preliminarily that critical 
circumstances existed with respect to both countries.
---------------------------------------------------------------------------

    \2\ There was no allegation of critical circumstances in the 
Malaysia case.
---------------------------------------------------------------------------

    Since the preliminary determinations, we have received comments on 
the issue of critical circumstances from Usha, Fasten, Nantong, Dragon 
Trading Inc., and the petitioner. After consideration of these 
comments, which are discussed in detail in the respective Decision 
Memorandum for each case, we find that critical circumstances exist in 
the India case for both Usha and all other Indian producer/exporters of 
subject merchandise. We also find that critical circumstances exist in 
the PRC case for Nantong, the six companies which received an ``all 
others'' \3\ rate, and all non-responsive companies, which are included 
in the ``PRC-wide'' category. Finally, we find that critical 
circumstances do not exist for Fasten because Fasten's final dumping 
margin is de minimis. These determinations are discussed in detail in 
the Decision Memorandum for each case.
---------------------------------------------------------------------------

    \3\ The ``all others'' category in a non-market economy 
proceeding, unlike the ``all others'' category in a market-economy 
investigation, only includes companies that demonstrated entitlement 
to separate rates and expressed a willingness to participate in the 
proceeding, but whose responses were not examined due to limited 
Department resources.
    We note that the ``all others'' rate for this final 
determination is the rate assigned to Nantong, the only investigated 
respondent with a rate above de minimis. This is consistent with our 
methodology of setting the ``all others'' rate in NME cases on the 
weighted average of calculated margins, excluding rates that are de 
minimis, based entirely on facts available, or calculated for 
voluntary respondents. See Notice of Final Determination of Sales at 
Less Than Fair Value: Certain Non-Frozen Apple Juice Concentrate 
from the People's Republic of China. 65 FR 19873 (April 13, 2000).
---------------------------------------------------------------------------

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we are 
directing the Customs Service to continue to suspend liquidation of all 
entries of steel wire rope exported from India and the PRC, with the 
exception of merchandise produced by Fasten Co., Ltd. and exported by 
Fasten Group Import and Export Co., Ltd., that are entered, or 
withdrawn from warehouse, for consumption on or after July 4, 2000, (90 
days prior to the date of publication of the preliminary determinations 
in the Federal Register). The Customs Service shall continue to require 
a cash deposit or the posting of a bond based on the estimated 
weighted-average dumping margins shown below. Because we have 
determined that steel wire rope produced by Fasten Co., Ltd. and 
exported by Fasten Group Import and Export Co., Ltd., in the PRC is not 
being sold at LTFV, we are not directing the Customs Service to suspend 
liquidation of this merchandise. The suspension of liquidation 
instructions will remain in effect until further notice.
    Because we have determined that steel wire rope from Malaysia is 
not being sold at LTFV, we are not directing the Customs Service to 
suspend liquidation of steel wire rope exported from Malaysia.
    We determine that the following weighted-average dumping margins 
for India, the PRC, and Malaysia exist:

------------------------------------------------------------------------
                                                                Margin
                   Manufacturer/exporter                      (percent)
------------------------------------------------------------------------
India:
  Usha Martin Industries, Ltd..............................        38.63
  All Others...............................................        38.63
People's Republic of China:
  Fasten Group Import and Export Co., Ltd..................     \2\ 0.02
  Haicheng Greatx Industry Co. Ltd.\1\.....................        42.23
  Henan Baoi Wire Rope Factory \1\.........................        42.23
  Jiangsu COFCO \1\........................................        42.23
  Jiangsu Guo Tai \1\......................................        42.23
  Liaoning Metals & Minerals Import & Export Corp.\1\......        42.23
  Nantong Wire Rope Company \1\............................        42.23
  Nantong Zhongde..........................................        42.23
  PRC-Wide Rate............................................        58.00
Malaysia:
  Kiswire SDN.BHD..........................................     \2\ 0.26
  All Others...............................................    \2\ 0.26
------------------------------------------------------------------------
\1\ All others.
\2\ De minimis.

    The PRC-wide rate applies to all entries of the subject merchandise 
except for entries from exporters/factories that are identified 
individually above.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we have notified the 
International Trade Commission (ITC) of our determinations. As our 
final determinations are affirmative for India and the PRC, the ITC 
will determine, within 45 days, whether imports of subject merchandise 
from India and the PRC are causing material injury, or threaten 
material injury, to an industry in the United States. If the ITC 
determines that material injury or threat of injury does not exist, the 
proceedings will be terminated and all securities posted will be 
refunded or canceled. If the ITC determines that such injury does 
exist, the Department will issue antidumping orders directing Customs 
Service officials to assess antidumping duties on all imports of the 
subject merchandise entered, or withdrawn from warehouse for 
consumption on or after the effective date of the suspension of 
liquidation.
    These determinations are issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act.

    Dated: February 14, 2001.
Timothy J. Hauser,
Acting Under Secretary for International Trade.

Appendix

Issues Covered in Decision Memorandum for India

1. Facts Available
2. Major Input Rule
3. Financial Expense Ratio
4. Duty Drawback
5. Home Market Credit Expense
6. Home Market Warehousing Expense
7. Critical Circumstances
8. Treatment of Negative Margins
9. Ministerial Errors

Issues Covered in Decision Memorandum for the PRC

1. Surrogate Value for Wire Rod
2. Surrogate Value for Fiber Cores
3. Surrogate Value for Wood Pallets
4. Surrogate Value for Sulphuric Acid
5. Surrogate Value for Nuts and Bolts
6. Surrogate Value for Hydrochloric Acid
7. Surrogate Value for Lead
8. Surrogate Value for Electricity
9. Surrogate Value for Zinc Nitrate
10. Use of a Market Economy Rate for Ocean Freight
11. Critical Circumstances
12. Correction of Ministerial Error for Valuing International 
Freight
13. Correction of Ministerial Error for the Conversion Factor of 
Wood Reels

Issues Covered in Decision Memorandum for Malaysia

1. Mandatory Respondents and ``All Others'' Rate
2. Cost Reporting for Grade and Lay of Rope
3. Model Match Hierarchy
4. Adjustments to Home Market and U.S. Market Short-Term Borrowing 
Rates
5. Treatment of Negative Margins
6. General and Administrative Expense
7. Financial Expense Ratio

[FR Doc. 01-4895 Filed 2-27-01; 8:45 am]
BILLING CODE 3510-DS-P