[Federal Register Volume 61, Number 148 (Wednesday, July 31, 1996)]
[Notices]
[Pages 39949-39950]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-19475]
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DEPARTMENT OF COMMERCE
[C-351-406]
Certain Agricultural Tillage Tools From Brazil; Preliminary
Results of Countervailing Duty Administrative Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of preliminary results of countervailing duty
administrative review.
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SUMMARY: The Department of Commerce (the Department) is conducting an
administrative review of the countervailing duty order on certain
agricultural tillage tools from Brazil. For information on the net
subsidy for the reviewed company, as well for all non-reviewed
companies, please see the Preliminary Results of Review section of this
notice. If the final results remain the same as these preliminary
results of administrative review, we will instruct the U.S. Customs
Service to assess countervailing duties as detailed in the Preliminary
Results of Review section of this notice. Interested parties are
invited to comment on these preliminary results.
EFFECTIVE DATE: July 31, 1996.
FOR FURTHER INFORMATION CONTACT: Gayle Longest or Anne D'Alauro, Office
of CVD/AD Enforcement, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, N.W., Washington, D.C. 20230; telephone: (202)
482-3338 or (202) 482-2786.
SUPPLEMENTARY INFORMATION:
Background
On October 22, 1985, the Department published in the Federal
Register (57 FR 10885) the countervailing duty order on certain
agricultural tillage tools from Brazil. On October 5, 1995, the
Department published a notice of ``Opportunity to Request an
Administrative Review'' (60 FR 52149) of this countervailing duty
order. We received a timely request for review, and we initiated the
review, covering the period January 1, 1994 through December 31, 1994
on November 16, 1995 (60 FR 57573).
In accordance with section 355.22(a) of the Department's Interim
Regulations, this review covers only those producers or exporters of
the subject merchandise for which a review was specifically requested
(see Antidumping and Countervailing Duties: Interim Regulations;
Request for Comments, 60 FR 25130 (May 11, 1995)) (Interim
Regulations). Accordingly, this review covers Marchesan Implementos
Argicolas, S.A. This review also covers 5 programs.
As explained in the memoranda from the Assistant Secretary for
Import Administration dated November 22, 1995, and January 11, 1996 (on
file in the public file of the Central Records Unit, Room B-099 of the
Department of Commerce), all deadlines were extended to take into
account the partial shutdowns of the Federal Government from November
15 through November 21, 1995, and December 15, 1995, through January 6,
1996. Therefore, the deadline for these preliminary results is no later
than July 31, 1996 and the deadline for the final results of this
review is no later than 120 days from the date on which these
preliminary results are published in the Federal Register.
Applicable Statute and Regulations
Unless otherwise indicated, all citations to the statute are
references to the provisions of the Tariff Act of 1930, as amended by
the Uruguay Round Agreements Act (URAA) effective January 1, 1995 (the
Act). The Department is conducting this administrative review in
accordance with section 751(a) of the Act.
Scope of the Review
Imports covered by this review are shipments of certain round
shaped agricultural tillage tools (discs) with plain or notched edge,
such as colters and furrow-opener blades. During the review period,
such merchandise was classifiable under item numbers 8432.21.00,
8432.29.00, 8432.80.00 and 8432.90.00 of the Harmonized Tariff Schedule
(HTS). The HTS item numbers are provided for convenience and Customs
purposes. The written description remains dispositive.
Verification
As provided in section 782(i) of the Act, we verified information
submitted by the Government of Brazil and Marchesan. We followed
standard verification procedures, including meeting with government and
company officials and examination of relevant accounting and financial
records and other original source documents. Our verification results
are outlined in the public versions of the verification reports, which
are on file in the Central Records Unit (Room B-099 of the Main
Commerce Building).
Analysis of Programs
I. Programs Preliminarily Determined To Be Not Used
We examined the following programs and preliminarily determine that
the producer and/or exporter of the subject merchandise did not apply
for or receive benefits under these programs during the period of
review:
A. Accelerated Depreciation for Brazilian-Made Capital Goods
B. Preferencial Financing for Industrial Enterprises by Banco do
Brasil (FST and EGF loans)
C. SUDENE Corporate Income Tax Reduction for Companies Located in
the Northeast of Brazil
D. Preferencial Financing under PROEX (formerly under Resolution 68
and 509 through FINEX)
E. Preferencial Financing under FINEP
Preliminary Results of Review
In accordance with section 355.22(c)(4)(ii) of the Department's
Interim Regulations, we calculated an individual subsidy rate for each
producer/exporter subject to this administrative review. For the period
January 1, 1994 through December 31, 1994, we preliminarily determine
the net subsidy for Marchesan to be zero percent ad valorem.
As provided for in the Act, any rate less than 0.5 percent ad
valorem in an administrative review is de minimis. Accordingly, no
countervailing duties will be assessed. If the final results of this
review remain the same as these preliminary results, the Department
intends to instruct the U.S. Customs Service to liquidate, without
regard to countervailing duties, shipments of the subject merchandise
from Marchesan
[[Page 39950]]
exported on or after January 1, 1994, and on or before December 31,
1994. Also, the cash deposit required for this company will be zero.
Because the URAA replaced the general rule in favor of a country-
wide rate with a general rule in favor of individual rates for
investigated and reviewed companies, the procedures for establishing
countervailing duty rates, including those for non-reviewed companies,
are now essentially the same as those in antidumping cases, except as
provided for in section 777A(e)(2)(B) of the Act. The requested review
will normally cover only those companies specifically named. Pursuant
to 19 C.F.R. Sec. 355.22(g), for all companies for which a review was
not requested, duties must be assessed at the cash deposit rate, and
cash deposits must continue to be collected, at the rate previously
ordered. As such, the countervailing duty cash deposit rate applicable
to a company can no longer change, except pursuant to a request for a
review of that company. See Federal-Mogul Corporation and The
Torrington Company v. United States, 822 F.Supp. 782 (CIT 1993) and
Floral Trade Council v. United States, 822 F.Supp. 766 (CIT 1993)
(interpreting 19 C.F.R. Sec. 353.22(e), the antidumping regulation on
automatic assessment, which is identical to 19 C.F.R. Sec. 355.22(g)).
Therefore, the cash deposit rates for all companies except those
covered by this review will be unchanged by the results of this review.
We will instruct Customs to continue to collect cash deposits for
non-reviewed companies at the most recent company-specific or country-
wide rate applicable to the company. Accordingly, the cash deposit
rates that will be applied to non-reviewed companies covered by this
order are those established in the most recently completed
administrative proceeding. See Certain Round-Shaped Agricultural
Tillage Tools from Brazil; Final Results of Countervailing Duty
Administrative Review, 57 FR 22461. These rates shall apply to all non-
reviewed companies until a review of a company assigned these rates is
requested. In addition, for the period January 1, 1994 through December
31, 1994, the assessment rates applicable to all non-reviewed companies
covered by this order are the cash deposit rates in effect at the time
of entry.
Public Comment
Parties to the proceeding may request disclosure of the calculation
methodology and interested parties may request a hearing not later than
10 days after the date of publication of this notice. Interested
parties may submit written arguments in case briefs on these
preliminary results within 30 days of the date of publication. Rebuttal
briefs, limited to arguments raised in case briefs, may be submitted
seven days after the time limit for filing the case brief. Parties who
submit argument in this proceeding are requested to submit with the
argument (1) a statement of the issue and (2) a brief summary of the
argument. Any hearing, if requested, will be held seven days after the
scheduled date for submission of rebuttal briefs. Copies of case briefs
and rebuttal briefs must be served on interested parties in accordance
with 19 C.F.R. Sec. 355.38.
Representatives of parties to the proceeding may request disclosure
of proprietary information under administrative protective order no
later than 10 days after the representative's client or employer
becomes a party to the proceeding, but in no event later than the date
the case briefs, under 19 C.F.R. Sec. 355.38, are due. The Department
will publish the final results of this administrative review including
the results of its analysis of issues raised in any case or rebuttal
brief or at a hearing.
This administrative review and notice are in accordance with
section 751(a)(1) of the Act (19 U.S.C. 1675(a)(1)).
Dated: July 19, 1996.
Robert S. LaRussa,
Acting Assistant Secretary for Import Administration.
[FR Doc. 96-19475 Filed 7-30-96; 8:45 am]
BILLING CODE 3510-DS-P
