[Federal Register: February 10, 2003 (Volume 68, Number 27)]
[Notices]
[Page 6710-6712]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr10fe03-45]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-853]
Bulk Aspirin from the People's Republic of China; Final Results
of Antidumping Duty Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of Final Results of Antidumping Duty Review.
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SUMMARY: On August 7, 2002, the Department of Commerce published the
preliminary results of the administrative review of the antidumping
duty order on bulk aspirin from the People's Republic of China. We gave
interested parties an opportunity to comment on the preliminary
results. Based upon our analysis of the comments received, we have made
changes to the margin calculations presented in the final results of
the review. We find that bulk aspirin from the People's Republic of
China was not sold in the United States below normal value during the
period of review.
EFFECTIVE DATE: February 10, 2003.
FOR FURTHER INFORMATION CONTACT: Julie Santoboni or Cole Kyle, Import
Administration, International Trade Administration, U.S. Department of
Commerce, 14th and Constitution Avenue, NW, Washington, DC 20230;
telephone (202) 482-4194 or (202) 482-1503, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 7, 2002, the Department of Commerce (``the Department'')
published in the Federal Register the preliminary results of its
administrative review of bulk acetylsalicylic acid, commonly referred
to as bulk aspirin, from the People's Republic of China (``PRC'') (Bulk
Aspirin from the People's Republic of China: Preliminary Results of
Antidumping Duty Administrative Review and Changed Circumstances
Review, 67 FR 51167 (August 7, 2002) (``Preliminary Results'')).
Since the Preliminary Results, the following events have occurred:
We received a case brief from the petitioner, Rhodia, Inc.
(``petitioner''), on September 6, 2002. We received rebuttal briefs
from the respondents, Shandong Xinhua Pharmaceutical Co., Ltd.
(``Shandong'') and Jilin Henghe Pharmaceutical Company Ltd.
(``Jilin''), on September 13, 2002. On October 25, 2002, the Department
of Commerce published the final results of the changed circumstances
review of bulk aspirin from the PRC, finding that Jilin Henghe
Pharmaceutical is the successor-in-interest to Jilin Pharmaceutical
Company Ltd. and Jilin Pharmaceutical Import and Export Corporation
(see Bulk Aspirin from the People's Republic of China: Final Results of
Changed Circumstances Review, 67 FR 65537 (October 25, 2002)).
The Department has now completed this antidumping duty
administrative review in accordance with section 751 of the Tariff Act
of 1930, as amended (the ``Act'').
Scope of Order
The product covered by this review is bulk acetylsalicylic acid,
commonly referred to as bulk aspirin, whether or not in pharmaceutical
or compound form, not put up in dosage form (tablet, capsule, powders
or similar form for direct human consumption). Bulk aspirin may be
imported in two forms, as pure ortho-acetylsalicylic acid or as mixed
ortho-acetylsalicylic acid. Pure ortho-acetylsalicylic acid can be
either in crystal form or granulated into a fine powder (pharmaceutical
form). This product has the chemical formula C[bdi9]H[bdi8]O[bdi4]. It
is defined by the official monograph of the United States Pharmacopoeia
(``USP'') 23. It is classified under the Harmonized Tariff Schedule of
the United States (``HTSUS'') subheading 2918.22.1000.
Mixed ortho-acetylsalicylic acid consists of ortho-acetylsalicylic
acid combined with other inactive substances such as starch, lactose,
cellulose, or coloring materials and/or other active substances. The
presence of other active substances must be in concentrations less than
that specified for particular nonprescription drug combinations of bulk
aspirin and active substances as published in the Handbook of
Nonprescription Drugs, eighth edition, American Pharmaceutical
Association. This product is classified under HTSUS subheading
3003.90.0000. Although the HTSUS subheadings are provided for
convenience and customs purposes, the written description of the
merchandise under investigation is dispositive.
[[Page 6711]]
Period of Review
The period of review (``POR'') is July 6, 2000 through June 30,
2001.
Comparisons
We calculated export price and normal value based on the same
methodology used in the Preliminary Results with the following
exceptions:
[sbull] We have valued certain inputs using domestic prices in India
rather than import prices;
[sbull] We are no longer using Indian Chemical Weekly (``ICW'') import
prices in our calculation of factor values;
[sbull] We adjusted the valuation of certain surrogate inputs in order
to make them contemporaneous with the POR;
[sbull] We relied solely on the overhead and SG&A ratios from the
Indian surrogate producer Alta Laboratories;
[sbull] We have recalculated Shandong's overhead ratio as a percentage
of materials and energy, rather than materials, energy and labor;
[sbull] Pursuant to section 351.408(c)(3) of the Department's
regulations, we valued labor using the recently updated regression-
based wage rate for the PRC published by Import Administration on its
website. The revised PRC estimated average hourly wage rate for 2000 is
$0.84 per hour. See www.ia.ita.doc.gov/wages/00wages/00wages.htm;
[sbull] For Jilin, we revised reported payment dates, imputed credit
expenses, and quantities, where appropriate, for certain U.S. sales;
and
[sbull] We corrected a ministerial error.
For a complete discussion of these changes see the February 3,
2003, ``Issues and Decision Memorandum for the Final Results of the
Antidumping Duty Administrative Review of Bulk Aspirin from the
People's Republic of China'' (``Decision Memorandum''), the February 3,
2003, company-specific calculation memorandum, and the February 3,
2003, Factors of Production Memorandum.
Analysis of Comments Received
All issues raised in the petitioner's case brief are addressed in
the Decision Memorandum which is hereby adopted by this notice.
Attached to this notice as an appendix is a list of the issues which
the petitioner has raised and to which we have responded in the
Decision Memorandum. Parties can find a complete discussion of all
issues raised in this review and the corresponding recommendations in
this public memorandum which is on file in the Central Records Unit,
Room B-099 of the Department. In addition, a complete version of the
Decision Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/frn/summary/list.htm.
The paper copy and electronic
version of the Decision Memorandum are identical in content.
Final Results of Review
We determine that the following dumping margins exist for the
period July 6, 2000, through June 30, 2001:
------------------------------------------------------------------------
Weighted-
[chyph]average
Exporter/manufacture [chyph]margin
[chyph]percentage
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Shandong Xinhua [chyph]Pharmaceutical Co., Ltd....... 0.00
Jilin Henghe Pharmaceutical Company Ltd.............. 0.04 [chyph](de
minimis)
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Assessment Rates
In accordance with 19 CFR 351.212(b)(1), we have calculated
importer (or customer)-specific assessment rates for the merchandise
subject to this review. To determine whether the duty assessment rates
were de minimis, in accordance with the requirement set forth in 19 CFR
351.106(c)(2), we calculated importer (or customer)-specific ad valorem
rates by aggregating the dumping margins calculated for all U.S. sales
to that importer (or customer) and dividing this amount by the total
value of the sales to that importer (or customer). Where an importer
(or customer)-specific ad valorem rate was greater than de minimis, we
calculated a per unit assessment rate by aggregating the dumping
margins calculated for all U.S. sales to that importer (or customer)
and dividing this amount by the total quantity sold to that importer
(or customer).
All other entries of the subject merchandise during the POR will be
liquidated at the antidumping duty rate in place at the time of entry.
The Department will issue appropriate assessment instructions
directly to the Customs Service within 15 days of publication of these
final results of review.
Cash Deposit Requirements
The following deposit rates will be effective upon publication of
these final results for all shipments of bulk aspirin from the PRC
entered, or withdrawn from warehouse, for consumption on or after the
publication date of this notice, as provided for by section 751(a)(1)
of the Act:(1) for Shandong and Jilin, which have separate rates, no
antidumping duty deposit will be required; (2) for a company previously
found to be entitled to a separate rate and for which no review was
requested, the cash deposit rate will be the rate established in the
most recent review of that company; (3) for all other PRC exporters the
cash deposit rate will be 144.02 percent, the PRC-wide rate established
in the less than fair value investigation; and (4) for non-PRC
exporters of subject merchandise from the PRC, the cash deposit rate
will be the rate applicable to the PRC supplier of that exporter. These
deposit rates shall remain in effect until publication of the final
results of the next administrative review.
Notification to Importers
This notice also serves as a final reminder to importers of their
responsibility under 19 CFR 351.402(f) 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 doubled antidumping duties.
Notification Regarding APOs
This notice also serves as a reminder to parties subject to
administrative protective orders (``APO'') of their responsibility
concerning the return or destruction of proprietary information
disclosed under APO in accordance with 19 CFR 351.305, which continues
to govern business proprietary information in this segment of the
proceeding. 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 terms of an APO
is a violation which is subject to sanction.
We are issuing and publishing this determination and notice in
accordance with sections section 751(a)(3) and 777(i) of the Act.
Dated: February 3, 2003.
Faryar Shirzad,
Assistant Secretary for Import Administration.
APPENDIX
List of Comments in the Issues and Decision Memorandum
Comment 1: Use of Import Prices v. Domestic Prices in India to Value
Certain Inputs
Comment 2: Adjustment of Overhead and SG&A Ratios to Account for
Different Levels of Integration
Comment 3: Exclusion of Labor in the Calculation of the Overhead Ratio
and Reclassification of R&D Expenses
[[Page 6712]]
Comment 4: Removal of Excise Tax from Alta's Reported Material Costs
for the Calculation of Overhead and SG&A Ratios
Comment 5: Other Adjustments to the Overhead and SG&A Ratios
Comment 6: Inflation of Labor Rates
Comment 7: Valuation of a Proprietary Input for Shandong
Comment 8: Shandong's Usage of Acetic Anhydride
[FR Doc. 03-3284 Filed 2-7-03; 8:45 am]