96-27858. Steel Wire Rope From the Republic of Korea; Final Results of Antidumping Duty Administrative Review  

  • [Federal Register Volume 61, Number 211 (Wednesday, October 30, 1996)]
    [Notices]
    [Pages 55965-55970]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-27858]
    
    
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    DEPARTMENT OF COMMERCE
    [A-580-811]
    
    
    Steel Wire Rope From the Republic of Korea; Final Results of 
    Antidumping Duty Administrative Review
    
    AGENCY: Import Administration, International Trade Administration, 
    Department of Commerce.
    
    ACTION: Notice of Final Results of Antidumping Duty Administrative 
    Review.
    
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    SUMMARY: On May 6, 1996, the Department of Commerce (the Department) 
    published the preliminary results of its 1994-95 administrative review 
    of the antidumping duty order
    
    [[Page 55966]]
    
    on steel wire rope from Korea (61 FR 20233). The review covers 25 
    manufacturers/exporters for the period March 1, 1994, through February 
    28, 1995 (the POR). We have analyzed the comments received on our 
    preliminary results and have determined that no changes in the margin 
    calculations are required. The final weighted-average dumping margins 
    for each of the reviewed firms are listed below in the section entitled 
    ``Final Results of Review.''
    
    EFFECTIVE DATE: October 30, 1996.
    
    FOR FURTHER INFORMATION CONTACT: Thomas O. Barlow, Matthew Rosenbaum, 
    or Kris Campbell, Import Administration, International Trade 
    Administration, U.S. Department of Commerce, 14th Street and 
    Constitution Avenue, Washington, D.C. 20230; telephone: (202) 482-4733.
    
    SUPPLEMENTARY INFORMATION:
    
    The Applicable Statute
    
        Unless otherwise indicated, all citations to the Tariff Act of 
    1930, as amended (the Act), are references to the provisions effective 
    January 1, 1995, the effective date of the amendments made to the Act 
    by the Uruguay Round Agreements Act (URAA). In addition, unless 
    otherwise indicated, all citations to the Department's regulations are 
    to the current regulations, as amended by the interim regulations 
    published in the Federal Register on May 11, 1995 (60 FR 25130).
    
    Background
    
        On May 6, 1996, the Department published in the Federal Register 
    the preliminary results of its 1994-95 administrative review of the 
    antidumping duty order on steel wire rope from the Republic of Korea 
    (61 FR 20233) (Preliminary Results). We gave interested parties an 
    opportunity to comment on our preliminary results. We received case 
    briefs from the petitioner, the Committee of Domestic Steel Wire Rope 
    and Specialty Cable Manufacturers (the Committee), and rebuttal briefs 
    from six respondents including Chung-Woo Rope Co., Ltd. (Chung Woo), 
    Chun Kee Steel & Wire Rope Co., Ltd. (Chun Kee), Manho Rope & Wire Ltd. 
    (Manho), Kumho Wire Rope Mfg. Co., Ltd. (Kumho), Ssang Yong Steel Wire 
    Co., Inc. (Ssang Yong), and Sungjin Company (Sungjin). There was no 
    request for a hearing. The Department has conducted this review in 
    accordance with section 751 of the Act.
    
    Scope of Review
    
        The product covered by this review is steel wire rope. Steel wire 
    rope encompasses ropes, cables, and cordage of iron or carbon 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 the following Harmonized 
    Tariff Schedule (HTS) subheadings: 7312.10.9030, 7312.10.9060, and 
    7312.10.9090. Excluded from this review is stainless steel wire rope, 
    i.e., ropes, cables and cordage other than stranded wire, of stainless 
    steel, not fitted with fittings or made up into articles, which is 
    classifiable under HTS subheading 7312.10.6000. Although HTS 
    subheadings are provided for convenience and Customs purposes, our own 
    written description of the scope of this review is dispositive.
    
    Use of Facts Otherwise Available
    
        We have determined, in accordance with section 776(a) of the Act, 
    that the use of facts available is appropriate for Boo Kook Corp., 
    Dong-Il Steel Mfg. Co., Ltd., Hanboo Rope, Jinyang Wire Rope Inc., and 
    Seo Jin Rope because they did not respond to our antidumping 
    questionnaire. We find that these firms have withheld ``information 
    that has been requested by the administering authority.'' Furthermore, 
    we determine that, pursuant to section 776(b) of the Act, it is 
    appropriate to make an inference adverse to the interests of these 
    companies because they failed to cooperate by not responding to our 
    questionnaire.
        Where the Department must base the entire dumping margin for a 
    respondent in an administrative review on facts otherwise available 
    because that respondent failed to cooperate, section 776(b) of the Act 
    authorizes the use of an inference adverse to the interests of that 
    respondent in choosing the facts available. Section 776(b) of the Act 
    also authorizes the Department to use as adverse facts available 
    information derived from the petition, the final determination, a 
    previous administrative review, or other information placed on the 
    record. Section 776(c) of the Act provides that the Department shall, 
    to the extent practicable, corroborate that secondary information from 
    independent sources reasonably at its disposal. The Statement of 
    Administrative Action (SAA) provides that ``corroborate'' means simply 
    that the Department will satisfy itself that the secondary information 
    to be used has probative value. (See H.R. Doc. 316, Vol. 1, 103d Cong., 
    2d sess. 870 (1994).)
        To corroborate secondary information, the Department will, to the 
    extent practicable, examine the reliability and relevance of the 
    information to be used. However, unlike other types of information, 
    such as input costs or selling expenses, there are no independent 
    sources for calculated dumping margins. Thus, in an administrative 
    review, if the Department chooses as total adverse facts available a 
    calculated dumping margin from a prior segment of the proceeding, it is 
    not necessary to question the reliability of the margin for that time 
    period. With respect to the relevance aspect of corroboration, however, 
    the Department will consider information reasonably at its disposal as 
    to whether there are circumstances that would render a margin not 
    relevant. Where circumstances indicate that the selected margin is not 
    appropriate as adverse facts available, the Department will disregard 
    the margin and determine an appropriate margin (see, e.g., Fresh Cut 
    Flowers from Mexico; Final Results of Antidumping Duty Administrative 
    Review, 61 FR 6812 (Feb. 22, 1996), where the Department disregarded 
    the highest margin as adverse best information available (BIA) because 
    the margin was based on another company's uncharacteristic business 
    expense resulting in an unusually high margin).
        For a discussion of our application of facts available regarding 
    specific firms, see our response to Comment 1 below.
    
    Analysis of Comments Received
    
        Comment 1: The Committee argues that, for all uncooperative 
    respondents, the Department must apply a rate of 23.5 percent because 
    the rate of 1.51 percent used in the preliminary results undercuts the 
    cooperation-inducing purpose of the facts available provision. The 
    Committee contends that the Department is permitted to draw an adverse 
    inference where a party has not cooperated in a proceeding (citing the 
    SAA at 199). The Committee further asserts that the SAA (at 200) 
    directs the Department, in employing adverse inferences, to consider 
    the extent to which a party may benefit from its own lack of 
    cooperation.
        The Committee references the Department's policy of applying an 
    uncooperative rate based on the higher of (1) the highest of the rates 
    found for any firm for the same class or kind of merchandise in the 
    less than fair value (LTFV) investigation or prior administrative 
    reviews; or (2) the highest calculated rate in the current review for 
    any firm.1 The Committee
    
    [[Page 55967]]
    
    claims that the Department has used a higher rate than that established 
    under this practice where the uncooperative rate was not sufficiently 
    adverse to induce the respondents to submit timely, accurate and 
    complete questionnaire responses. The Committee cites Silicon Metal 
    From Argentina: Final Results of Antidumping Duty Administrative 
    Review, 58 FR 65336, 65337 (December 14, 1993) (Silicon Metal), and 
    Certain Malleable Cast Iron Pipe Fittings from Brazil; Final Results of 
    Antidumping Duty Administrative Review, 60 FR 41876 (August 14, 1995) 
    (Pipe Fittings) in support of its position that the Department must use 
    a sufficiently adverse uncooperative facts available rate to ensure 
    that the respondent does not obtain a more favorable result by failing 
    to cooperate. The Committee notes that, in these cases, the Department 
    used a higher rate than derived using the standard two-tiered approach 
    to derive the uncooperative rate. The Committee argues that the 
    Department should once again deviate from its standard uncooperative 
    rate determination practice since the dumping margin assigned to 
    uncooperative respondents in this steel wire rope proceeding (1.5 
    percent) has failed to induce the submission of questionnaire responses 
    by a majority of respondents.
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        \1\ The Committee refers to this standard as the first tier in 
    the Department's traditional two-tiered BIA methodology, but points 
    out that the Department has not yet explicitly applied the two-
    tiered methodology to administrative reviews initiated under the 
    URAA. We note that our practice regarding the derivation of the 
    dumping rate for uncooperative respondents has not changed for 
    reviews conducted pursuant to URAA procedures. (see Antifriction 
    Bearings (Other Than Tapered Roller Bearings) and Parts Thereof From 
    France, et al.: Preliminary Results of Antidumping Duty 
    Administrative Reviews, 61 FR 35713, 35715 (July 8, 1996)).
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        In calculating what it views as an appropriate facts available 
    rate, the Committee compared a price quotation of a single steel wire 
    rope product from a Korean steel wire rope producer subject to this 
    proceeding to the constructed value of this product, derived from 
    various industry sources. The Committee calculates a dumping rate of 
    23.5 percent using this approach and claims that this rate is a more 
    appropriate ``uncooperative'' rate than the 1.51 percent rate the 
    Department used in the preliminary results. The Committee cites Sodium 
    Thiosulfate from the People's Republic of China: Final Results of 
    Antidumping Duty Administrative Review, 59 FR 12934 (March 8, 1993) 
    (Sodium Thiosulfate), in support of calculating a revised facts 
    available rate in light of documented changes in manufacturing costs 
    and import prices. It contends that, from the first quarter of the 
    1992-94 POR to the last quarter of the 1994-95 POR, the manufacturing 
    costs of steel wire rope increased significantly, while the value of 
    imports of carbon steel wire rope declined. The Committee contends that 
    the increase in manufacturing costs is not reflected in the price of 
    steel wire rope exported to the United States and that this is 
    indicative of continuing sales of steel wire rope at less than fair 
    market value.
        Department's Position: We disagree with the Committee and find that 
    reliance on petitioner-supplied data as a basis for facts available 
    would be inappropriate in the context of this review. The Department 
    has broad discretion in determining what constitutes facts available in 
    a given situation. Krupp Stahl AG et al. v. United States, 822 F. Supp 
    789 (CIT 1993) at 792; see also Allied-Signal Aerospace Co. v. United 
    States, 996 F.2d. 1185 (Fed. Cir. 1993) at 1191, which states 
    ``[b]ecause Congress has `explicitly left a gap for the agency to fill' 
    in determining what constitutes the [best information available], the 
    ITA's construction of the statute must be accorded considerable 
    deference,'' citing Chevron U.S.A., Inc. v. Natural Resources Defense 
    Council, Inc., 467 U.S. 837, 833-44 (1984).
        In any given review, a respondent will have knowledge of the 
    antidumping rates from the investigation and past reviews but not of 
    the rates that will be established in the ongoing review. Because under 
    our facts available policy we consider the highest rate from the 
    current review as one possible source of facts available, potentially 
    uncooperative respondents will generally be less able to predict their 
    facts available rate as the number of participants in the ongoing 
    review increases. Thus, the facts available methodology induces 
    respondents to participate and receive their own known rates as opposed 
    to a potentially much higher unknown rate. Accordingly, this 
    uncertainty in the facts available margin rate which may be selected 
    satisfies the cooperation-inducing function of the facts available 
    provision in this case.
        In addition, respondents have an incentive to respond to our 
    request for information because of the possibility of eventual 
    revocation of the antidumping duty order with respect to the company. A 
    respondent that does not participate in the administrative review is 
    not eligible for revocation. Hence, a further reason the rate assigned 
    to the uncooperative respondents in this review may be considered 
    adverse is because it results in respondents remaining subject to the 
    order without eligibility for revocation.
        We recognize that there are instances in which the uncooperative 
    rate resulting from our standard methodology may not induce respondents 
    to cooperate in subsequent segments of the proceeding. The few cases in 
    which we have not relied on this approach have involved an extremely 
    limited number of participants, and therefore a consequently small 
    number of rates available for use as a basis for the uncooperative 
    rate.2 For instance, in Sodium Thiosulfate, we used information 
    supplied by the petitioner to establish the uncooperative rate for the 
    only respondent that had shipments of subject merchandise during the 
    POR. Similarly, in Silicon Metal, we resorted to petitioner-supplied 
    data where we had a calculated rate for only one firm: ``[i]n this 
    instance, we have only Andina's rate from the LTFV investigation * * *. 
    Because Andina's rate is also the `all other' rate, Silarsa would be 
    assured a rate no higher than Andina's, the only respondent who 
    cooperated fully with the Department in this administrative review. The 
    use of the uncooperative BIA methodology, in this instance, restricts 
    the field of potential BIA rates to the rate established for one 
    firm.'' Silicon Metal, at 65336 and 65337 (emphasis added).
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        \2\ As noted, although we have explained our practice in terms 
    of a two-tiered methodology in pre-URAA reviews, the cases where we 
    deviated from this approach, as cited by the Committee, involved 
    first-tier, uncooperative respondents, and our practice regarding 
    the derivation of the dumping margin assigned to uncooperative 
    companies has not changed.
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        Our determination in Pipe Fittings is a further example of a 
    situation in which the circumstances of the case clearly demonstrated 
    that the uncooperative rate was not sufficient to induce the respondent 
    to cooperate. In Pipe Fittings, we applied a petition-based rate to a 
    non-responsive company that was the only company to have ever been 
    investigated or reviewed: ``[we] have only calculated one margin, which 
    was in the less-than-fair-value (LTFV) investigation. Due to the 
    unusual situation, we have determined to use as BIA the simple average 
    of the rates from the petition * * *. In not responding to our requests 
    for information, Tupy could be relying upon our normal BIA practice to 
    lock in a rate that is capped at its LTFV rate'' (see Pipe Fittings at 
    41877-78).
        The concern in such cases with respect to the uncooperative rate 
    methodology is that the lack of past rates, as well as the small number 
    of participants in the current review, could allow a respondent in such 
    a review to
    
    [[Page 55968]]
    
    manipulate the proceeding by choosing not to comply with our requests 
    for information. In such cases the cooperation-inducing function of the 
    facts available provision of the Act may not be achieved by use of the 
    uncooperative rate methodology, in which case the Department will 
    resort to alternative sources in determining the appropriate rate for 
    uncooperative respondents.
        The cases cited by the Committee in support of its position 
    establish only that we will consider, on a case-by-case basis as 
    appropriate, petitioner-supplied data in situations involving a number 
    of calculated rates insufficient to induce cooperation by respondents 
    in the proceeding. In those cases, we did not have rates for more than 
    one company and therefore determined that the use of a BIA rate higher 
    than the highest rate in the history of the case was appropriate to 
    encourage future cooperation.
        Because we have calculated rates from three companies in the LTFV 
    final determination, eight companies in the first review, and six 
    companies in this review, the concern over potential manipulation of 
    antidumping rates cited in Sodium Thiosulfate, Silicon Metal, and Pipe 
    Fittings does not exist in the present case. The lack of alternative 
    information and the substantial amount of primary information on the 
    record lead us to conclude that the Committee's information is inferior 
    to the primary information. Therefore, we are satisfied that selection 
    of the highest of these rates is appropriate for facts available for 
    this review, is consistent with our practice, and is sufficiently 
    adverse.
        Comment 2: The Committee contends that the Department failed to 
    adjust Ssang Yong's home market price for ``other bank charges'' and 
    differences in merchandise (DIFMER). The Committee also contends that 
    the Department failed to deduct international freight and marine 
    insurance in calculating Ssang Yong's U.S. price (USP).
        Department's Position: We disagree with the Committee. We 
    appropriately adjusted for other bank charges and differences in 
    merchandise in calculating normal value and for international freight 
    and marine insurance in calculating USP. When disclosing the materials 
    used in the preliminary results, we inadvertently attached Sung Jin's 
    cover page to Ssang Yong's computer program. Although we did not make 
    these adjustments in Sun Jin's program (because they were not 
    appropriate for that company), we did make such adjustments in Ssang 
    Yong's program.
        Comment 3: The Committee states that the Department correctly 
    rejected claims by Chung Woo, Ltd., Kumho and Ssang Yong for duty 
    drawback because these companies did not demonstrate the requisite 
    connection between imports for which they paid duties and exports of 
    steel wire rope. The Committee argues that these respondents failed to 
    meet the requirements of the Department's two-pronged test for 
    determining whether a party is entitled to an adjustment to USP for 
    duty drawback because they have not shown that: (1) The import duty and 
    the rebate received under the ``simplified'' Korean drawback program 
    are directly linked, and (2) there were sufficient raw material inputs 
    to account for duty drawback received on exports of steel wire rope. 
    The committee claims that this test has been upheld by the Court of 
    International Trade, citing Far East Machinery Co. v. United States, 12 
    CIT 972, 699 F. Supp. 309 (1988).
        Respondents argue that the duty drawback amount received is tied 
    directly to the amount of the export sales on which it is based and 
    that this amount constitutes the rebate of a tax imposed directly upon 
    the foreign like product, with in the meaning of Section 773(a)(6)(iii) 
    of the Act. Respondents urge the Department to adjust USP for their 
    claimed duty drawback amounts.
        Department's Position: We agree with the Committee and have not 
    granted the adjustment for the simplified duty drawback amounts 
    received by Chung Woo, Kumho, and Ssang Yong. As we stated in the 
    preliminary results, we did not adjust the USP for duty drawback for 
    respondents that reported it using the simplified method.
        As noted by the Committee, we apply a two-pronged test to determine 
    whether a respondent has fulfilled the statutory requirements for a 
    duty drawback adjustment (see Antifriction Bearings (Other Than Tapered 
    Roller Bearings) and Parts Thereof From France, et al.: Final Results 
    of Antidumping Duty Administrative Reviews, 60 FR 10900, 10950 
    (February 28, 1995)). Section 772(c)(1)(B) of the Act provides for an 
    upward adjustment to USP for duty drawback on import duties which have 
    been rebated (or which have not been collected) by reason of the 
    exportation of the subject merchandise to the United States. In 
    accordance with this provision, we will grant a duty drawback 
    adjustment if we determine that (1) import duties and rebates are 
    directly linked to and are dependent upon one another, and (2) the 
    company claiming the adjustment can demonstrate that there are 
    sufficient imports of raw materials to account for the duty drawback 
    received on exports of the manufactured product. The CIT consistently 
    has accepted this application of the law. See Far Eastern Machinery, 
    688 F. Supp. at 612, aff'd. on remand, 699 F. Supp. at 311; Carlisle 
    Tire & Rubber Co. v. United States, 657 F. Supp. 1287, 1289 (1987); 
    Huffy Corp. v. United States, 10 CIT 215-216, 632 F. Supp.
        The Department's two-pronged test meets the requirements of the 
    statute. The first prong of the test requires the Department ``to 
    analyze whether the foreign country in question makes entitlement to 
    duty drawback dependent upon the payment of import duties.'' Far East 
    Machinery, 699 F. Supp. at 311. This ensures that a duty drawback 
    adjustment will be made only where the drawback received by the 
    manufacturer is contingent on import duties paid or accrued. The second 
    prong requires the foreign producer to show that it imported a 
    sufficient amount of raw materials (upon which it paid import duties) 
    to account for the exports, based on which it claimed rebates. Id.
        The respondents that reported duty drawback under the Korean 
    simplified method fail both prongs of this test. With respect to the 
    first criterion, these respondents stated in their rebuttal brief that 
    the Korean government determines the simplified drawback amount using 
    average import duties paid by companies that claimed duty drawback 
    through the individual reporting method. (Companies that claim drawback 
    using the individual, not simplified, reporting method must provide 
    information to the government regarding actual import duties paid on 
    inputs used in the production of the exported merchandise for which 
    they claim drawback.) Accordingly, unlike companies that claimed 
    drawback using the individual reporting method (see Comment 4, below), 
    the companies that used the simplified reporting method were unable to 
    demonstrate a connection between payment of import duties and receipt 
    of duty drawback on exports of steel wire rope. Such companies also 
    fail the second prong of our test because they did not demonstrate that 
    they had sufficient imports of raw materials to account for the duty 
    drawback received on exports of the manufactured product. Therefore we 
    have not adjusted USP for drawback claimed by Chung Woo, Kumho, and 
    Ssang Yong.
        Comment 4: The Committee argues that the Department should not 
    adjust the USP for duty drawback claimed by Chun Kee and Manho. It 
    claims that, even though these companies claim that
    
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    they use the individual duty drawback method, neither company 
    demonstrated that it has fulfilled the second prong of the Department's 
    test by showing that there were sufficient imports of raw materials to 
    account for the duty drawback received on the exports of the subject 
    merchandise. The Committee contends that the Department's questionnaire 
    requires respondents to explain how duty drawback is calculated and to 
    provide worksheets in support of the narrative response. The Committee 
    claims that neither respondent made any attempt to demonstrate that 
    there were sufficient raw material imports to account for the duty 
    drawback received on the exports of the manufactured product, nor did 
    respondents provide any calculations in support of their claimed 
    adjustment aside from listing the amount of duty drawback received.
        Respondents contend that the Department verified in a prior review 
    the system under which duty drawback was received and that they 
    accurately responded to the Department's questionnaires in the present 
    review. They claim that they answered all of the questions regarding 
    duty drawback, and, if the Committee believed that the responses of 
    both companies were inadequate, the Committee should have raised the 
    issue prior to the issuance of the preliminary results of review.
        Department's Position: We disagree with the Committee. We are 
    satisfied that, under the individual method of applying for duty 
    drawback, Korean companies are required to provide adequate information 
    that shows that they had sufficient imports of raw materials to account 
    for the duty drawback received on exports of the manufactured product. 
    This satisfies the second prong of the duty drawback test as mentioned 
    above and is consistent with our practice in the preliminary and final 
    results of the first review. See Preliminary Results at 14421, 14422 
    and Steel Wire Rope From the Republic of Korea; Final Results of 
    Antidumping Duty Administrative Review, 60 FR 63499, 63506 (December 
    11, 1995). In addition, we are satisfied that under the individual duty 
    drawback method Korea makes entitlement to duty drawback dependent upon 
    the payment of import duties, which satisfies the first prong of the 
    duty drawback test.
        Comment 5: The Committee contends that the Department should not 
    adjust Sung Jin and Ssang Yong's home market prices for credit 
    expenses. The Committee claims that Sung Jin failed to provide adequate 
    documentation in response to the Department's initial and supplemental 
    requests for information regarding this expense. Specifically, the 
    Committee provides three reasons to support its argument that Sung 
    Jin's response was insufficient to support the claimed adjustment, as 
    follows: (1) Sung Jin failed to provide any documentary support for the 
    balance of short-term borrowing for October 1994 as required by the 
    Department; (2) the sample documents provided by Sung Jin in support of 
    the interest paid refer to only one of the banks to which Sung Jin paid 
    interest; and (3) there is no documentary evidence in support of the 
    interest paid or the balance of short-term borrowing except for one 
    month in 1994.
        The Committee claims that Ssang Yong failed to: (1) Provide any 
    documentary support for its cumulative daily balance; (2) provide 
    worksheets describing how it calculated each customer-specific 
    collection period; and (3) report the average collection period for 
    certain home market customers for which a home market credit expense 
    was claimed. The Committee cites Sonco Steel Tube Div., Ferrum, Inc. v. 
    United States, 12 CIT 745, 751, 694 F. Supp. 959, 964 (1988), quoted in 
    NSK Ltd. v. United States, 17 CIT 1185, 1188, 837 F. Supp. 437 (1993), 
    in support of its argument that the burden of demonstrating entitlement 
    to a circumstance-of-sale adjustment is on the party requesting the 
    adjustment.
        Respondents assert that both Sung Jin and Ssang Yong responded 
    fully to the Department's questionnaire and that the Department decided 
    correctly that the responses were adequate. They claim that they gave 
    details concerning their home market credit expense as requested and 
    that the Department acknowledged their validity implicitly by accepting 
    the information provided and using it in its preliminary results of 
    review.
        Department's Position: We disagree with the Committee and have 
    accepted respondents claims for an adjustment to home market prices for 
    credit expenses. Both companies responded adequately to our initial and 
    supplemental questionnaires regarding this expense.
        Our initial questionnaire requested an explanation of the 
    calculation of the credit expense, including the source of the short-
    term interest rates used in this calculation. Sung Jin provided a 
    general explanation of the credit expense and, regarding the short-term 
    interest used in this calculation, provided the loan balance and 
    interest payments for each month of 1994 (Sung Jin calculated its POR-
    average short-term rate by dividing interest paid over loans received). 
    In our supplemental questionnaire, we asked Sung Jin to provide further 
    information regarding the source of the interest rates used in 
    calculating this expense. Sung Jin provided a sample of source 
    documentation to back up its calculation of the short-term interest 
    rate. Specifically, the company provided the names of the banks from 
    which they borrowed during one of the POR months (October 1994), as 
    well as a sample bank statement.
        We consider this information provided by Sung Jin to be responsive 
    to our requests for information. We did not ask Sung Jin to provide all 
    backup documentation to support its calculation of its short-term 
    interest rate but instead requested that the company provide the source 
    of its calculated rate. In Sung Jin's case, this source is the monthly 
    loan balances and interest payments made by the company during 1994. 
    Sung Jin appropriately provided each monthly loan balance and interest 
    payment, and it provided source documentation regarding one of the POR 
    months. In addition, Sung Jin adequately explained its overall 
    calculation of its credit expense.
        For Ssang Yong, we are also satisfied that it provided adequate 
    information regarding the calculation of its credit expense. While, as 
    the Committee argued, Ssang Yong did not provide source documents 
    regarding its cumulative daily loan balance and interest incurred 
    (which Ssang Yong used to calculate its short-term interest rate), we 
    did not ask for backup documentary support for its cumulative daily 
    balance but instead asked for the source of the interest rate, which it 
    did provide. With respect to the customer-specific average collection 
    period, Ssang Yong provided such periods for most of its customers and 
    provided a detailed breakout of the calculation of this period for one 
    customer. The calculation methodology Ssang Yong used was the same for 
    each customer. We are satisfied that Ssang Yong provided accurate 
    responses to our requests for information.
        Comment 6: The Committee contends that the Department erred in 
    indicating that Myung Jin had no individual rate from any prior segment 
    of this proceeding. It claims that, in the course of assigning Myung 
    Jin a no-shipments rate, the Department mistakenly stated that Myung 
    Jin has no individual rate from any segment of this proceeding. The 
    Committee asserts that Myung Jin has a prior rate of 1.51 percent from 
    the 1992-1994 administrative review and that, in accordance with 
    Department precedent, a respondent with no shipments during the POR 
    should receive the same rate that it most recently received in a 
    previously completed segment of the proceeding.
    
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        Department's Position: We agree with the Committee that Myung Jin 
    previously received a rate of 1.51 percent. This is the rate assigned 
    to it in the 1992-1994 administrative review and remains the rate 
    applicable to Myung Jin, given that it did not make shipments of 
    subject merchandise to the United States during the POR.
    
    Final Results of Review
    
        We determine the following percentage weighted-average margins 
    exist for the period March 1, 1994, through February 28, 1995:
    
    ------------------------------------------------------------------------
                                                                    Margin  
                        Manufacturer/exporter                      (percent)
    ------------------------------------------------------------------------
    Atlantic & Pacific..........................................        1.51
    Boo Kook Corporation........................................        1.51
    Chun Kee Steel & Wire Rope Co., Ltd.........................        0.01
    Chung Woo Rope Co., Ltd.....................................        0.04
    Dae Heung Industrial Co.....................................       (\1\)
    Dae Kyung Metal.............................................        1.51
    Dong-Il Metal...............................................        1.51
    Dong-Il Steel Manufacturing Co., Ltd........................        1.51
    Dong Young Rope.............................................        1.51
    Hanboo Wire Rope, Inc.......................................        1.51
    Jinyang Wire Rope, Inc......................................        1.51
    Korea Sangsa Co.............................................       (\1\)
    Korope Co...................................................        1.51
    Kumho Rope..................................................        0.01
    Kwang Shin Ind..............................................        1.51
    Kwangshin Rope..............................................        1.51
    Manho Rope & Wire, Ltd......................................        0.00
    Myung Jin Co................................................  (\2\) 1.51
    Seo Hae Ind.................................................        1.51
    Seo Jin Rope................................................        1.51
    Ssang Yong Steel Wire Co., Ltd..............................        0.06
    Sung Jin....................................................        0.00
    Sungsan Special Steel Processing Inc........................       (\1\)
    TSK (Korea) Co., Ltd........................................       (\1\)
    Yeonsin Metal...............................................   0.18(\2\)
    ------------------------------------------------------------------------
    \1\ No shipments subject to this review. The firm has no individual rate
      from any segment of this proceeding.                                  
    \2\ No shipments subject to this review. Rate is from the last relevant 
      segment of the proceeding in which the firm had shipments/sales.      
    
        The Department shall determine, and the Customs Service shall 
    assess, antidumping duties on all appropriate entries. Individual 
    differences between export price and normal value may vary from the 
    percentages stated above. The Department will issue appraisement 
    instructions on each exporter directly to the Customs Service.
        Furthermore, the following deposit requirements will be effective 
    for all shipments of the subject merchandise entered, or withdrawn from 
    warehouse, for consumption on or after the publication date of these 
    final results of this administrative review, as provided by section 
    751(a)(1) of the Act: (1) The cash deposit rates for the reviewed 
    companies will be those rates established above (except that, if the 
    rate for a firm is de minimis, i.e., less than 0.5 percent, a cash 
    deposit of zero will be required for that firm); (2) for previously 
    reviewed or investigated companies not listed above, the cash deposit 
    rate will continue to be the company-specific rate published for the 
    most recent period; (3) if the exporter is not a firm covered in this 
    review, a prior review, or the original LTFV investigation, but the 
    manufacturer is, the cash deposit rate will be the rate established for 
    the most recent period for the manufacturer of the merchandise; and (4) 
    if neither the exporter nor the manufacturer is a firm covered in this 
    or any previous review or the original investigation, the cash deposit 
    rate will be 1.51 percent, the ``All Others'' rate established in the 
    LTFV Final Determination (58 FR 11029).
        These deposit requirements shall remain in effect until publication 
    of the final results of the next administrative review.
        This notice also serves as a final reminder to importers of their 
    responsibility under 19 CFR 353.26 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 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 disposition of proprietary information disclosed under 
    APO in accordance with 19 CFR 353.34(d)(1). 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 the terms of an APO is a sanctionable violation.
        This administrative review and notice are in accordance with 
    section 751(a)(1) of the Tariff Act (19 U.S.C. 1675(a)(1)) and 19 CFR 
    353.22.
    
        Dated: October 22, 1996.
    Robert S. LaRussa,
    Acting Assistant Secretary for Import Administration.
    [FR Doc. 96-27858 Filed 10-29-96; 8:45 am]
    BILLING CODE 3510-DS-P
    
    
    

Document Information

Effective Date:
10/30/1996
Published:
10/30/1996
Department:
Commerce Department
Entry Type:
Notice
Action:
Notice of Final Results of Antidumping Duty Administrative Review.
Document Number:
96-27858
Dates:
October 30, 1996.
Pages:
55965-55970 (6 pages)
Docket Numbers:
A-580-811
PDF File:
96-27858.pdf