[Federal Register: November 22, 2004 (Volume 69, Number 224)]
[Notices]               
[Page 67890-67891]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr22no04-36]                         

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DEPARTMENT OF COMMERCE

International Trade Administration

(A-588-046)

 
Notice of Final Results of Antidumping Duty Changed Circumstances 
Review: Polychloroprene Rubber from Japan

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

ACTION: Notice of Final Results of Antidumping Duty Changed 
Circumstances Review.

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SUMMARY: On October 21, 2004, the Department of Commerce (the 
Department) published a notice of preliminary results of its changed 
circumstances review of the antidumping duty finding on polychloroprene 
rubber (PR) from Japan in which we preliminarily determined that Showa 
Denko K.K. (SDK) is not the successor-in-interest to the joint venture 
of Showa DDE Manufacturing K.K. (SDEM) and DDE Japan Kabushiki Kaisha 
(DDE Japan) (collectively, SDEM/DDE Japan joint venture). See Notice of 
Preliminary Results of Antidumping Duty Changed Circumstances Review: 
Polychloroprene Rubber from Japan, 69 FR 61796 (October 21, 2004) 
(Preliminary Results). We gave interested parties, SDK and DuPont Dow 
Elastomers L.L.C. (DuPont), the petitioner in this proceeding, the 
opportunity to comment on the Preliminary Results. We received a 
comment from the petitioner concurring with our preliminary results. No 
additional comments were received. Therefore, for these final results, 
the Department is adopting its preliminary determination that SDK is 
not the successor-in-interest to SDEM/DDE Japan joint venture.

EFFECTIVE DATE: November 22, 2004.

FOR FURTHER INFORMATION CONTACT: Zev Primor, AD/CVD Operations, Office 
4, Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue, NW, 
Washington, DC 20230; telephone (202) 482-4114.

SUPPLEMENTARY INFORMATION:

Background

    On December 6, 1973, the Department of Treasury published in the 
Federal Register (38 FR 33593) the antidumping finding on PR from 
Japan. On January 14, 2004, SDK submitted a letter stating that it is 
the successor-in-interest to the SDEM/DDE Japan joint venture and, as 
such, entitled to receive the same antidumping duty treatment 
previously accorded to the joint venture (i.e., zero cash deposit). See 
Notice of Final Changed Circumstances Antidumping Duty Administrative 
Review: Polychloroprene Rubber from Japan, 67 FR 58 (January 2, 2002), 
(Changed Circumstances). In that same letter, SDK explained that on 
November 1, 2002, the SDEM/DDE Japan joint venture was dissolved. Prior 
to the joint venture's dissolution, SDK and DuPont each owned 50 
percent of the joint venture. SDK, therefore, requested that the 
Department conduct an expedited changed circumstances review of the 
antidumping duty finding on PR from Japan pursuant to section 751(b)(1) 
of the Tariff Act (the Act), as amended, and 19 CFR 351.221(c)(3)(ii). 
However, because the submitted record supporting SDK's claims was 
deficient, the Department found that an expedited review was 
impracticable and, on March 1, 2004, issued a notice of initiation 
without the preliminary results. See Notice of Initiation of 
Antidumping Duty Changed Circumstances Review: Polychloroprene Rubber 
from Japan, 69 FR 9586 (March 1, 2004).
    In response to the Department's supplemental questionnaire, on 
March 10 and 19, 2004, SDK provided the Department with supplemental 
questionnaire responses. Additionally, on February 4 and May 3, 2004, 
DuPont notified the Department that it opposes SDK's request to be 
considered the successor-in-interest to the SDEM/DDE Japan joint 
venture. In particular, DuPont argued that differences between the 
corporate structures, distribution channels, price structure, and 
customer base preclude SDK from being considered the successor-in-
interest to the SDEM/DDE Japan joint venture.
    From August 25 through August 27, 2004, the Department conducted a 
verification of information in connection with this changed 
circumstances review at SDK's offices in Kawasaki, Japan. On September 
20, 2004, the Department issued its Verification Report. See Memorandum 
from Zev Primor to the File ``Antidumping Duty Changed Circumstances 
Review of Polychloroprene Rubber (PR) from Japan: Verification Report 
for Showa Denko K.K. (SDK) Regarding Successorship,'' September 20, 
2004 (Verification Report). On October 21, 2004, we preliminarily 
determined that given the totality of the considered factors, the 
record evidence demonstrates that SDK is a new entity that operates in 
a significantly different manner from the SDEM/DDE Japan joint venture. 
Consequently, we preliminarily determined that SDK should not be given 
the same antidumping duty treatment as the joint venture, i.e., zero 
percent antidumping duty cash deposit rate. Instead, SDK, as a new 
entity, should continue to be assigned as its cash deposit rate the 
``all others'' rate, which in this proceeding is 55 percent. See 
Preliminary Results. On October 28, 2004, DuPont submitted a letter to 
the Department stating that the Department's preliminary determination 
that SDK is not the successor-in-interest to the SDEM/DDE Japan joint 
venture is well-founded in both law and fact. On the same date, SDK 
filed a letter stating that it would not comment on the preliminary 
results nor participate further in the proceeding.

Scope of Review

    Imports covered by this review are shipments of PR, an oil 
resistant synthetic rubber also known as polymerized chlorobutadiene or 
neoprene, currently classifiable under items 4002.42.00, 4002.49.00, 
4003.00.00, 4462.15.21, and 4462.00.00 of the Harmonized Tariff 
Schedule of the United States (HTSUS). HTSUS item numbers are provided 
for convenience and customs purposes. The written description remains 
dispositive.

Final Results of Changed Circumstances Review

    DuPont's comment fully concurs with the Department's preliminary 
determination and raises no additional issues. For the reasons stated 
in the Preliminary Results, we continue to find that SDK is not the 
successor-in-interest to SDEM/DDE Japan joint venture. We will instruct 
U.S. Customs and Border

[[Page 67891]]

Protection to apply the cash deposit determination from this changed 
circumstances review to all entries of the subject merchandise entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of the final results of this changed circumstances review. 
See Granular Polytetrafluoroethylene Resin from Italy; Final Results of 
Antidumping Duty Changed Circumstances Review, 68 FR 25327 (May 12, 
2003). This deposit rate shall remain in effect until publication of 
the final results of the next administrative review in which SDK 
participates.
    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(a)(3). 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 notice is in accordance with sections 751(b)(1) and 777(i)(1) 
of the Act, and 19 CFR 351.216.

    Dated: November 15, 2004.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. E4-3276 Filed 11-22-04; 8:45 am]