[Federal Register Volume 85, Number 30 (Thursday, February 13, 2020)]
[Notices]
[Pages 8247-8249]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-02910]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-791-824]
Acetone From the Republic of South Africa: Final Determination of
Sales at Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that imports
of acetone from the Republic of South Africa (South Africa) are being,
or are likely to be, sold in the United States at less than fair value
(LTFV). The period of investigation (POI) is January 1, 2018 through
December 31, 2018. For information on the estimated dumping margins of
sales at LTFV, see the ``Final Determination'' section of this notice.
[[Page 8248]]
DATES: Applicable February 13, 2020.
FOR FURTHER INFORMATION CONTACT: Charlotte Baskin-Gerwitz, AD/CVD
Operations, Office VII, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-4880.
SUPPLEMENTARY INFORMATION:
Background
This final determination is made in accordance with section 735 of
the Tariff Act of 1930, as amended (the Act). On September 24, 2019,
Commerce published the Preliminary Determination of this antidumping
duty (AD) investigation, in which we also postponed the final
determination to February 6, 2020.\1\ The petitioner in this
investigation is the Coalition for Acetone Fair Trade (the
petitioner).\2\ The mandatory respondent in this investigation is Sasol
South Africa Limited (SSA). Shortly prior to publication of the
Preliminary Determination, on September 23, 2019, SSA informed Commerce
that it would not participate in Commerce's planned verifications of
SSA's questionnaire responses.\3\ A complete summary of the events that
occurred since publication of the Preliminary Determination, as well as
a full discussion of the issues raised by parties for this final
determination, may be found in the Issues and Decision Memorandum.\4\
The Issues and Decision Memorandum is a public document and is
available electronically via Enforcement and Compliance's Antidumping
and Countervailing Duty Centralized Electronic Service System (ACCESS).
Access is available to registered users at http://access.trade.gov, and
to all parties in the Central Records Unit, Room B-8024 of Commerce's
main building. In addition, a complete version of the Issues and
Decision Memorandum can be accessed at http://enforcement.trade.gov/frn/. The signed and electronic versions of the Issues and Decision
Memorandum are identical in content.
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\1\ See Acetone from the Republic of South Africa: Preliminary
Affirmative Determination of Sales at Less Than Fair Value,
Postponement of Final Determination, and Extension of Provisional
Measures, 84 FR 49984 (September 24, 2019) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum.
\2\ The members of the Coalition for Acetone Fair Trade are
AdvanSix Inc., Altivia Petrochemicals, LLC, and Olin Corporation.
\3\ See SSA's Letter, ``Acetone from South Africa: Notification
Regarding Verification Participation,'' dated September 23, 2019.
\4\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination in the Antidumping Duty
Investigation of Acetone from the Republic of South Africa,'' dated
concurrently with, and hereby adopted by, this notice (Issues and
Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is acetone from South
Africa. Commerce did not receive any scope comments and has not updated
the scope of the investigation since the Preliminary Determination. For
a complete description of the scope of this investigation, see Appendix
I to this notice.
Analysis of Comments Received
The issues raised in the case and rebuttal briefs submitted by
interested parties in this investigation are discussed in the Issues
and Decision Memorandum. For a list of the issues raised by parties and
responded to by Commerce in the Issues and Decision Memorandum, see
Appendix II to this notice.
Verification
Because SSA stated prior to the Preliminary Determination that it
would not participate in verification, we did not conduct a
verification of SSA's information.
Use of Adverse Facts Available (AFA)
In making this final determination, Commerce relied on facts
available. As discussed in the Issues and Decision Memorandum,\5\ we
determine that, because SSA withdrew its participation in verification,
SSA significantly impeded the investigation, submitted information that
could not be verified, and failed to cooperate by not acting to the
best of its ability in responding to Commerce's requests for
information. Therefore, we are drawing adverse inferences in selecting
from among the facts otherwise available.\6\ For further information,
see the ``Use of Facts Otherwise Available and Adverse Inferences''
section in the Issues and Decision Memorandum.
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\5\ See Issues and Decision Memorandum at 2-9.
\6\ See sections 776(a) and (b) of the Act.
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Changes Since the Preliminary Determination
Based on our analysis of the comments received and our application
of facts available with an adverse inference to SSA, we revised the
margin calculation for SSA since the Preliminary Determination. These
changes are discussed in the Issues and Decision Memorandum.
All-Others Rate
Sections 735(c)(1)(B)(i)(II) and 735(c)(5)(A) of the Act provide
that Commerce shall determine an estimated all-others rate for all
exporters and producers not individually examined. This rate shall be
an amount equal to the weighted average of the estimated weighted-
average dumping margins established for exporters and producers
individually investigated, excluding any zero and de minimis margins,
and any margins determined entirely under section 776 of the Act.
However, when the estimated weighted-average dumping margins for all
exporters and producers individually investigated are zero or de
minimis, or determined under section 776 of the Act, section
735(c)(5)(B) of the Act provides that Commerce shall use any reasonable
method to establish the all-others rate, including averaging the
estimated weighted-average dumping margins for the exporters and
producers individually investigated.
In this investigation, Commerce based SSA's rate entirely on facts
otherwise available. Accordingly, we will use any reasonable method to
establish the estimated all-others rate. Commerce's practice in such
situations is to base the all-others rate on a simple average of the
petition rates.\7\ Therefore, as the all-others rate we are assigning a
simple average of the margins alleged in the petition, which is 314.51
percent. For a full description of the methodology underlying
Commerce's analysis, see the Issues and Decision Memorandum.
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\7\ See, e.g., Notice of Preliminary Determinations of Sales at
Less Than Fair Value: Sodium Nitrite from the Federal Republic of
Germany, 73 FR 21909, 21912 (April 23, 2008), unchanged in Notice of
Final Determination of Sales at Less Than Fair Value: Sodium Nitrite
from the Federal Republic of Germany, 73 FR 38986, 38987 (July 8,
2008), and accompanying Issues and Decision Memorandum at Comment 2;
see also Notice of Final Determination of Sales at Less Than Fair
Value: Raw Flexible Magnets from Taiwan, 73 FR 39673, 39674 (July
10, 2008); Steel Threaded Rod from Thailand: Preliminary
Determination of Sales at Less Than Fair Value and Affirmative
Preliminary Determination of Critical Circumstances, 78 FR 79670,
79671 (December 31, 2013), unchanged in Steel Threaded Rod from
Thailand: Final Determination of Sales at Less Than Fair Value and
Affirmative Final Determination of Critical Circumstances, 79 FR
14476, 14477 (March 14, 2014); and Polyethylene Terephthalate Resin
from Pakistan: Final Determination of Sales at Less Than Fair Value,
83 FR 48281, 48282 (September 24, 2018).
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Final Determination
Pursuant to section 735 of the Act, Commerce determines the
estimated dumping margins to be:
[[Page 8249]]
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Estimated
Exporter or producer dumping margin
(percent)
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Sasol South Africa Limited.............................. 414.92
All Others.............................................. 314.51
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Disclosure
Because Commerce applied AFA to SSA, and the AFA rate is based
solely on the petition, there are no calculations to disclose for this
final determination pursuant to 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
In accordance with section 735(c)(1)(B) of the Act, Commerce will
instruct U.S. Customs and Border Protection (CBP) to continue to
suspend liquidation of all appropriate entries of acetone from South
Africa, as described in Appendix I of this notice, which were entered,
or withdrawn from warehouse, for consumption on or after September 24,
2019, the date of publication of the Preliminary Determination in the
Federal Register.
Pursuant to section 735(c)(l) of the Act and 19 CFR 351.210(d),
Commerce will instruct CBP to require cash deposits equal to the
estimated dumping margins indicated in the table above as follows: (1)
The cash deposit rate for SSA will be equal to the estimated dumping
margin determined in this final determination; (2) if the exporter is
not a respondent identified above, but the producer is, then the cash
deposit rate will be equal to the company-specific estimated weighted-
average dumping margin established for that producer of the subject
merchandise; and (3) the cash deposit rate for all other producers and
exporters will be 314.51 percent, the all-others estimated weighted-
average dumping margin. These suspension of liquidation and cash
deposit instructions will remain in effect until further notice.
International Trade Commission Notification (ITC)
In accordance with section 735(d) of the Act, we will notify the
ITC of the final affirmative determination of sales at LTFV. Because
the final determination in this proceeding is affirmative, in
accordance with section 735(b)(2) of the Act, 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 acetone from South Africa no later than 45 days
after our final determination. If the ITC determines that material
injury or threat of material injury does not exist, the proceeding will
be terminated and all cash deposits will be refunded. If the ITC
determines that such injury does exist, Commerce will issue an AD order
directing CBP to assess, upon further instruction by Commerce,
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, as discussed above in the
``Continuation of Suspension of Liquidation'' section.
Notification Regarding Administrative Protective Orders
This notice serves as the only reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely 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 violation subject to sanction.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).
Dated: February 6, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation is all grades of
liquid or aqueous acetone. Acetone is also known under the
International Union of Pure and Applied Chemistry (IUPAC) name
propan-2-one. In addition to the IUPAC name, acetone is also
referred to as [beta]-ketopropane (or beta-ketopropane), ketone
propane, methyl ketone, dimethyl ketone, DMK, dimethyl carbonyl,
propanone, 2-propanone, dimethyl formaldehyde, pyroacetic acid,
pyroacetic ether, and pyroacetic spirit. Acetone is an isomer of the
chemical formula C3H6O, with a specific
molecular formula of CH3COCH3 or
(CH3)2CO.
The scope covers both pure acetone (with or without impurities)
and acetone that is combined or mixed with other products,
including, but not limited to, isopropyl alcohol, benzene, diethyl
ether, methanol, chloroform, and ethanol. Acetone that has been
combined with other products is included within the scope,
regardless of whether the combining occurs in third countries.
The scope also includes acetone that is commingled with acetone
from sources not subject to this investigation.
For combined and commingled products, only the acetone component
is covered by the scope of this investigation. However, when acetone
is combined with acetone components from sources not subject to this
investigation, those third country acetone components may still be
subject to other acetone investigations.
Notwithstanding the foregoing language, an acetone combination
or mixture that is transformed through a chemical reaction into
another product, such that, for example, the acetone can no longer
be separated from the other products through a distillation process
(e.g., methyl methacrylate (MMA) or Bisphenol A (BPA)), is excluded
from this investigation.
A combination or mixture is excluded from these investigations
if the total acetone component (regardless of the source or sources)
comprises less than 5 percent of the combination or mixture, on a
dry weight basis.
The Chemical Abstracts Service (CAS) registry number for acetone
is 67-64-1.
The merchandise covered by this investigation is currently
classifiable under Harmonized Tariff Schedule of the United States
(HTSUS) subheadings 2914.11.1000 and 2914.11.5000. Combinations or
mixtures of acetone may enter under subheadings in Chapter 38 of the
HTSUS, including, but not limited to, those under heading
3814.00.1000, 3814.00.2000, 3814.00.5010, and 3814.00.5090. The list
of items found under these HTSUS subheadings is non-exhaustive.
Although these HTSUS subheadings and CAS registry number are
provided for convenience and customs purposes, the written
description of the scope of this investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Scope of the Investigation
IV. Use of Facts Otherwise Available and Adverse Inferences
V. Discussion of the Issues
Comment 1: Whether to Rely on Total AFA for SSA's Margin
VI. All-Others Rate
VII. Recommendation
[FR Doc. 2020-02910 Filed 2-12-20; 8:45 am]
BILLING CODE 3510-DS-P