[Federal Register: June 18, 2004 (Volume 69, Number 117)]
[Notices]
[Page 34128-34130]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr18jn04-59]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-557-813]
Notice of Final Determination of Sales at Less Than Fair Value:
Polyethylene Retail Carrier Bags From Malaysia
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: June 18, 2004.
SUMMARY: On January 26, 2003, the Department of Commerce published its
preliminary determination of sales at less than fair value of the
investigation on polyethylene retail carrier bags from Malaysia. The
period of investigation is April 1, 2002, through March 31, 2003. The
investigation covers six manufacturers/exporters.
We invited interested partes to comment on our preliminary
determination of sales at less than fair value. Based on our analysis
of the comments received, we have made changes to our calculations. The
final dumping margins for this investigation are listed in the ``Final
Determination Margins'' section below.
FOR FURTHER INFORMATION CONTACT: David Dirstine (Bee Lian Plastic
Industries Sdn. Bhd.) or Catherine Cartsos (Teong Chuan Plastic and
Timber Sdn. Bhd.), Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
4033 or (202) 482-1757, respectively.
Final Determination
We determine that polyethylene retail carrier bags (PRCBs) from
Malaysia are being, or are likely to be, sold in the United States at
less than fair value, as provided in section 735 of the Tariff Act of
1930, as amended (the Act). The estimated margins of sales at less than
fair value (LTFV) are shown in the AFinal Determination Margins'
section of this notice.
Case History
The preliminary determination of sales at LTFV in this
investigation was issued on January 21, 2004. See Notice of Preliminary
Determination of Sales at Less Than Fair Value and Postponement of
Final Determination: Polyethylene Retail Carrier Bags from Malaysia, 69
FR 35557 (January 26, 2004) (Preliminary Determination).
Since the Preliminary Determination the following events have
occurred. Pursuant to section 782(i) of the Act, we conducted
verification of the questionnaire responses of the sole responsive
exporter in this case, Bee Lian Plastic Industries Sdn. Bhd. (Bee
Lian), in March 2004. We gave interested parties an opportunity to
comment on the Preliminary Determination. In April 2004, we received
case and rebuttal briefs from the Polyethylene Retail Carrier Bag
Committee and its individual members, PCL Packaging, Inc., Hilex Poly
Co. LLC, Superbag Corp., Vanguard Plastics, Inc., and Interplast Group,
Ltd. (the petitioners), and Bee Lian. We also received a case brief
from the Malaysian Plastic Manufacturers Association. The Department
held a public hearing on April 23, 2004, at the request of the
petitioners.
Period of Investigation
The period of investigation (POI) is April 1, 2002, through March
31, 2003, which corresponds to the four most recent fiscal quarters
prior to the June 20, 2003, filing of the petition.
Scope of Investigation
The merchandise subject to this investigation is polyethylene
retail carrier bags, which may be referred to as t-shirt sacks,
merchandise bags, grocery bags, or checkout bags. The subject
merchandise is defined as non-sealable sacks and bags with handles
(including drawstrings), without zippers or integral extruded closures,
with or without gussets, with or without printing, of polyethylene film
having a thickness no greater than .035 inch (0.889 mm) and no less
than .00035 inch (0.00889 mm), and with no length or width shorter than
6 inches (15.24 cm) or longer than 40 inches (101.6 cm). The depth of
the bag may be shorter than 6 inches but not longer than 40 inches
(101.6 cm).
PRCBs are typically provided without any consumer packaging and
free of charge by retail establishments (e.g., grocery, drug,
convenience, department, specialty retail, discount stores, and
restaurants) to their customers to package and carry their purchased
products. The scope of the investigation excludes (1) polyethylene bags
that are not printed with logos or store names and that are closeable
with drawstrings made of polyethylene film and (2) polyethylene bags
that are packed in consumer packaging with printing that refers to
specific end-uses other than packaging and carrying merchandise from
retail establishments (e.g., garbage bags, lawn bags, trash-can
liners).
Imports of the subject merchandise are classified under statistical
category 3923.21.0090 of the Harmonized Tariff Schedule of the United
States (HTSUS). This subheading also covers products that are outside
the scope of this investigation. Furthermore, although the HTSUS
subheading is provided for convenience and customs purposes, our
written description of the scope of this investigation is dispositive.
Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties to
this antidumping investigation are addressed in the ``Issues and
Decision Memorandum'' (Decision
[[Page 34129]]
Memorandum) from Jeffrey May, Deputy Assistant Secretary, Import
Administration, to James J. Jochum, Assistant Secretary for Import
Administration, dated June 9, 2004, which is hereby adopted by this
notice. A list of the issues which parties have raised and to which we
have responded, all of which are in the Decision Memorandum, is
attached to this notice as an appendix. Parties can find a complete
discussion of all issues raised in this investigation and the
corresponding recommendations in this public memorandum which is on
file in the Central Records Unit, room B-099 of the main Department of
Commerce building. In addition, a complete version of the Decision
Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/.
The paper copy and electronic version of the Decision
Memorandum are identical in content.
Use of Facts Otherwise Available
As explained in the Preliminary Determination, because some
companies failed to respond, wholly or in part, to our request for
information, we have found that they failed to cooperate to the best of
their ability. Therefore, pursuant to section 776(b) of the Act, we
have used an adverse inference in selecting from the facts available
for the margins for these companies. See Memorandum from Laurie
Parkhill to Jeffrey May, dated January 16, 2004, ``Determination to
Apply Adverse Facts Available and the Calculation of the Adverse Facts-
Available Rate'' (AFA Memo).
As adverse facts available, we have examined the margins that the
petitioners alleged in their June 30, 2003, response to our June 25,
2003, letter requesting supplemental information with respect to the
petition and selected the higher of the two margins; that rate is
101.74 percent.
Section 776(c) of the Act provides that the Department shall, to
the extent practicable, corroborate secondary information used for
facts available by reviewing independent sources reasonably at its
disposal. Information from the petitioners constitutes secondary
information. The Statement of Administrative Action accompanying the
Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1, at 870 (1994)
(SAA), provides that the word ``corroborate'' means that the Department
will satisfy itself that the secondary information to be used has
probative value.
As discussed in the AFA Memo, we found that the export-price and
normal-value information in the supplemental petition was reasonable
and, therefore, we preliminarily determined that the information had
probative value. Accordingly, we find that the highest margin based on
that information, 101.74 percent, is corroborated within the meaning of
section 776(c) of the Act.
Furthermore, there is no information on the record that
demonstrates that the rate we have selected is an inappropriate total
adverse facts--available rate for the companies in question. Therefore,
we consider the selected rate to have probative value with respect to
the firms in question and to reflect the appropriate adverse inference.
Accordingly, we have applied a margin of 101.74 percent to Branpak
Industries Sdn. Bhd., Gants Pac Industries, Sido Bangun, Zhin Hin/Chin
Hin, and Teong Chuan.
Currency Conversion
We made currency conversions into U.S. dollars, in accordance with
section 773A(a) of the Act, based on the exchange rates in effect on
the dates of the U.S. sales, as certified by the Federal Reserve Bank.
Verification
As provided in section 782(i) of the Act, we verified the
information submitted by the respondent for use in our final
determination. We used standard verification procedures, including
examination of relevant accounting and production records, as well as
original source documents provided by the respondent.
Changes Since the Preliminary Determination
Based on our analysis of comments received, we have made certain
changes to the margin calculations. For a discussion of these changes,
see Memorandum to the File from David Dirstine, dated June 9, 2004,
Final Determination Analysis Memorandum for Bee Lian Plastic Industries
Sdn. Bhd. (Bee Lian)--Polyethylene Retail Carrier Bags from Malaysia.
Continuation of Suspension of Liquidation
Pursuant to section 735(c)(1)(B) of the Act, we will instruct
Customs and Border Protection (CBP) to continue to suspend liquidation
of all imports of subject merchandise from Malaysia (except for entries
of Bee Lian because this company has a de minimis margin) entered, or
withdrawn from warehouse, for consumption on or after January 26, 2004,
the date of the publication of our preliminary determination. The CBP
shall continue to require a cash deposit or the posting of a bond equal
to the estimated amount by which the normal value exceeds the U.S.
price as shown below. These instructions suspending liquidation will
remain in effect until further notice.
Final Determination Margin
The weighted-average dumping margins are as follows:
------------------------------------------------------------------------
Weighted-
average
Exporter or producer percent
margin
------------------------------------------------------------------------
Bee Lian Plastic Industries Sdn. Bhd....................... 00.91
Teong Chuan Plastic and Timber Sdn. Bhd.................... 101.74
Brandpak Industries Sdn. Bhd............................... 101.74
Gants Pac Industries....................................... 101.74
Sido Bangun Sdn. Bhd....................................... 101.74
Zhin Hin/Chin Hin Plastic Manufacturer Sdn. Bhd............ 101.74
All Others................................................. 84.94
------------------------------------------------------------------------
All Others
All companies that we examined have either a de minimis margin or
rates based on total adverse facts available. Therefore, for purposes
of determining the all-others rate and pursuant to section 735(c)(5)(B)
of the Act, we have calculated a simple average of the six margin rates
we have determined in the investigation. See All-Others Rate
Calculation Memorandum from Laurie Parkhill to Jeffrey May, dated
January 16, 2004.
The Department will disclose calculations performed within five
days of publication of this notice to parties in this proceeding in
accordance with 19 CFR 351.224(b).
International Trade Commission Notification
In accordance with section 735(d) of the Act, we have notified the
International Trade Commission (ITC) of our final determination of
sales at LTFV. As our final determination is affirmative and in
accordance with section 735(b)(2) of the Act the ITC will, within 45
days, determine whether the domestic industry in the United States is
materially injured, or threatened with material injury, by reason of
imports, or sales (or the likelihood of sales) for importation, of the
subject merchandise. If the ITC determines that material injury or
threat of material injury does not exist, the proceeding 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 an antidumping duty order directing the CBP to assess antidumping
duties on all imports of the subject merchandise
[[Page 34130]]
entered, or withdrawn from warehouse, for consumption on or after the
effective date of the suspension of liquidation (i.e., January 26,
2004).
Notification Regarding APO
This notice also serves as a reminder to parties subject to
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305. Timely notification of return/
destruction of APO materials or conversion to judicial protective order
is hereby requested. Failure to comply with the regulations and the
terms of an APO is a sanctionable violation.
This determination is issued and published in accordance with
sections 735(d) and 777(i)(1) of the Act.
Dated: June 9, 2004.
James J. Jochum,
Assistant Secretary for Import Administration.
Appendix--Issues in the Decision Memorandum
1. All-Others Rate
2. Rejection of Bee Lian's Response and Application of Total Adverse
Facts Available
3. Determination of Production and Sales Quantities
4. Offset to Cost of Manufacturing (COM) for the Sale of Recycled
Resin Produced from Scrap and Misprinted Bags
5. Value of Recycled Resin Used in Production
6. Average Resin Cost by Type
7. Application of Auditors Year-End Adjustments
8. General, Administrative and Financial Expenses of Affiliated
Companies
9. Treatment of Glue Spots as Cost of Materials Instead of Packing
Cost
10. Billing Adjustments
11. Affiliation of Bee Lian and Certain U.S. Customers
[FR Doc. 04-13816 Filed 6-17-04; 8:45 am]
BILLING CODE 3510-DS-P