83_FR_28310 83 FR 28193 - Ripe Olives From Spain: Final Affirmative Determination of Sales at Less Than Fair Value

83 FR 28193 - Ripe Olives From Spain: Final Affirmative Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 117 (June 18, 2018)

Page Range28193-28195
FR Document2018-12991

The Department of Commerce (Commerce) determines that ripe olives from Spain are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is April 1, 2016, through March 31, 2017.

Federal Register, Volume 83 Issue 117 (Monday, June 18, 2018)
[Federal Register Volume 83, Number 117 (Monday, June 18, 2018)]
[Notices]
[Pages 28193-28195]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-12991]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-469-817]


Ripe Olives From Spain: Final Affirmative 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 ripe 
olives from Spain are being, or are likely to be, sold in the United 
States at less than fair value (LTFV). The period of investigation 
(POI) is April 1, 2016, through March 31, 2017.

DATES: Applicable June 18, 2018.

FOR FURTHER INFORMATION CONTACT: Catherine Cartsos, Bryan Hansen or 
Peter Zukowski, AD/CVD Operations, Office I, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: 
(202) 482-1757, (202) 482-3683 or (202) 482-0189, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On January 26, 2018, Commerce published the Preliminary 
Determination of this LTFV investigation in which Commerce found that 
ripe olives from Spain were sold at LTFV.\1\ For a summary of the 
events that have occurred since Commerce published the Preliminary 
Determination, as well as a full discussion of the issues raised by 
parties for this final determination, see the Issues and Decision 
Memorandum.\2\
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    \1\ See Ripe Olives from Spain: Preliminary Affirmative 
Determination of Sales at Less Than Fair Value, Postponement of 
Final Determination, and Extension of Provisional Measures, 83 FR 
3677 (January 26, 2018) and accompanying Preliminary Decision 
Memorandum (Preliminary Decision Memorandum) (collectively, 
Preliminary Determination).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less than Fair Value 
Investigation of Ripe Olives from Spain,'' 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 ripe olives from 
Spain. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\3\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope). No interested party 
commented on the scope of the investigation as it appeared in the 
Initiation Notice during the scope comment period.\4\ In the context of 
supplemental questionnaire responses, two of the three mandatory 
respondents in the LTFV investigation reported sales of cocktail mixes 
but stated that they believe cocktail mixes are not within the scope of 
the investigation. In response, the petitioner \5\ commented that the 
respondents cannot unilaterally determine whether cocktail mixes are 
outside the scope. For the Preliminary Determination, we did not modify 
the scope language as it appeared in the Initiation Notice. We included 
all sales of cocktail mixes and their associated costs in our margin 
calculations, and solicited further information from parties concerning 
cocktail mixes for purposes of the final determination. In the April 3, 
2018, post-preliminary analysis we issued with respect to the scope of 
the investigation, we found that: (i) Ripe olives contained in cocktail 
mixes are in the scope, but that the remaining ingredients are not in 
the scope, and (ii) we clarified the scope by adding language 
concerning ripe olives contained in cocktail mixes.\6\ As a result of 
our analysis of comments received in response to this post-preliminary 
analysis, we have modified the scope of this investigation for this 
final determination. For a summary of the product coverage comments and 
rebuttal responses submitted to the record for this final 
determination, and accompanying discussion and analysis of all comments 
timely received, see the Issues and Decision Memorandum.\7\
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    \3\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \4\ See Ripe Olives from Spain: Initiation of Less-Than-Fair-
Value Investigation, 82 FR 33054 (July 19, 2017) (Initiation 
Notice).
    \5\ The Coalition for Fair Trade on Ripe Olives.
    \6\ See Memorandum, ``Ripe Olives from Spain: Post-Preliminary 
Scope Clarification Decision Memorandum,'' dated April 3, 2018.
    \7\ See Issues and Decision Memorandum at Comment 1.
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Verification

    As provided in section 782(i) of the Act, in February and March 
2018, we conducted verification of the information reported by the 
mandatory respondents Aceitunas Guadalquivir S.L. (AG), Agro Sevilla 
Aceitunas S.COOP Andalusia (Agro Sevilla),\8\ and Angel Camacho 
Alimentacion S.L. (Camacho) for use in our final determination. We used 
standard verification procedures, including an examination of relevant 
accounting and production records and original source documents 
provided by the respondents.
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    \8\ In the Preliminary Determination the company name was 
spelled incorrectly as Agro Sevilla Aceitunas S.COOP Anndalusia. The 
correct spelling of the company name is Agro Sevilla Aceitunas 
S.COOP Andalusia.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs that were 
submitted by parties in this investigation are addressed in the Issues 
and Decision Memorandum. A list of these issues is attached to this 
notice as Appendix II. The Issues and Decision Memorandum is a public 
document and is on file electronically via Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (ACCESS). ACCESS is available to registered users at https://access.trade.gov, and to all parties in the Central Records Unit, room 
B8024 of the main Department of Commerce building. In addition, a 
complete version of the Issues and Decision Memorandum can be accessed 
directly at http://enforcement.trade.gov/frn/.

Changes Since the Preliminary Determination and Use of Partial Adverse 
Facts Available

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations for 
AG, Agro Sevilla and Camacho.\9\ In addition, we revised the margin 
calculations for Camacho to reflect the application of partial facts 
available with an adverse inference pursuant to section 776(b) of

[[Page 28194]]

the Act. For a discussion of these changes, see the Issues and Decision 
Memorandum. We have also revised the estimated weighted-average dumping 
margin for all-other producers or exporters (the all-others rate).
---------------------------------------------------------------------------

    \9\ See the ``Discussion of the Issues'' section of the Issues 
and Decision Memorandum and the company-specific analysis memoranda 
dated concurrently with, and hereby incorporated by, this notice.
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All-Others Rate

    Section 735(c)(5)(A) of the Act provides that in the final 
determination Commerce shall determine an estimated weighted-average 
dumping margin for all exporters or 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 or producers individually examined, excluding any rates that 
are zero, de minimis or determined entirely under section 776 of the 
Act. In this investigation, we calculated estimated weighted-average 
dumping margins for the individually examined respondents that are not 
zero, de minimis, or based entirely on facts otherwise available. 
Because there are three estimated weighted-average dumping margins and 
doing so would not reveal business proprietary information, we 
calculated the all-others rate using a weighted-average of the 
estimated weighted-average dumping margins calculated for the examined 
respondents using each company's business proprietary data for the 
merchandise under consideration.\10\
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    \10\ For a complete analysis of the data, see Memorandum, 
``Less-Than-Fair-Value Investigation of Ripe Olives from Spain: 
Calculation of the All-Others Rate in the Final Determination,'' 
dated concurrently with this notice.
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Final Determination

    We determine that the following estimated weighted-average dumping 
margins exist:


------------------------------------------------------------------------
                                                 Estimated
                                                 weighted-  Adjusted for
                                                  average      export
             Exporter or producer                 dumping     subsidies
                                                  margin      (percent)
                                                 (percent)      \11\
------------------------------------------------------------------------
Aceitunas Guadalquivir S.L. \12\..............       17.46    \13\ 17.45
Agro Sevilla Aceitunas S.COOP Andalusia \14\..       25.50    \15\ 25.39
Angel Camacho Alimentacion....................       16.88    \16\ 16.83
S.L...........................................
All-Others....................................       20.04         19.98
------------------------------------------------------------------------

Disclosure

    We intend to disclose to interested parties the calculations and 
analysis performed in this final determination within five days of any 
public announcement or, if there is no public announcement, within five 
days of the date of publication of this notice in accordance with 19 
CFR 351.224(b).
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    \11\ The cash deposit rate is equal to the calculated estimated 
weighted-average dumping margin adjusted for the appropriate export 
subsidy offset(s). See final countervailing duty (CVD) 
determination, ``Ripe Olives from Spain: Final Affirmative 
Countervailing Duty Determination,'' signed concurrently with this 
notice.
    \12\ In the companion CVD investigation, this company's name is 
spelled as Aceitunas Guadalquivir S.L.U.
    \13\ See Memorandum, ``Final Determination Calculations for 
Aceitunas Guadalquivir, S.L.U.,'' dated concurrently with this 
notice.
    \14\ In the companion CVD investigation, this company's name is 
spelled as Agro Sevilla Aceitunas S.Coop.And.
    \15\ See Memorandum, ``Final Determination Calculations for Agro 
Sevilla Aceitunas S.Coop.And.,'' dated concurrently with this 
notice.
    \16\ See Memorandum, ``Final Determination Calculations for 
Angel Camacho Alimentacion S.L.,'' dated concurrently with this 
notice.
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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 ripe olives from 
Spain as described in Appendix I of this notice, which were entered, or 
withdrawn from warehouse, for consumption on or after January 26, 2018, 
the date of publication of the Preliminary Determination of this 
investigation in the Federal Register.
    Pursuant to section 735(c)(1)(B) of the Act and 19 CFR 351.210(d), 
Commerce will instruct CBP to require a cash deposit as follows: (1) 
The cash deposit rate for the respondents listed above under Final 
Determination will be equal to their respondent-specific estimated 
weighted-average dumping margin; (2) if the exporter is not a 
respondent identified above, but the producer is, then the cash deposit 
rate will be equal to the respondent-specific estimated weighted-
average dumping margin established for that producer of the subject 
merchandise; (3) for all other producers or exporters of ripe olives to 
the United States, the cash deposit rate will be equal to the all-
others rate.
    Further, Commerce will instruct CBP to require a cash deposit equal 
to the estimated amount by which the normal value (NV) exceeds the U.S. 
price as shown above, adjusted where appropriate for export subsidies 
found in the final determination of the companion CVD investigation. 
Consistent with Commerce's practice, where the product under 
investigation is also subject to a concurrent CVD investigation, 
Commerce instructs CBP to require a cash deposit equal to the estimated 
weighted-average dumping margin, less the amount of the CVD determined 
to constitute an export subsidy.\17\ Therefore, in the event that a CVD 
order is issued and suspension of liquidation is resumed in the 
companion CVD investigation on ripe olives from Spain,\18\ Commerce 
will instruct CBP to require cash deposits adjusted by the amount of 
export subsidies, as appropriate. These adjustments are reflected in 
the final column of the rate chart, above. Until such suspension of 
liquidation is resumed in the companion CVD investigation, and so long 
as suspension of liquidation continues under this antidumping duty 
investigation, the cash deposit rates for this antidumping duty 
investigation will be the rates identified in the estimated weighted-
average dumping margin column in the rate chart, above.
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    \17\ See, e.g., Welded Line Pipe from the Republic of Turkey: 
Final Determination of Sales at Less Than Fair Value, 80 FR 61362, 
61364 (October 13, 2015); Notice of Final Determination of Sales at 
Less Than Fair Value and Negative Critical Circumstances 
Determination: Bottom Mount Combination Refrigerator-Freezers From 
the Republic of Korea, 77 FR 17413, 17417 (March 26, 2012).
    \18\ The provisional measures for the CVD investigation of ripe 
olives from Spain have currently expired (i.e., exceeded the maximum 
four-month period), and, therefore, no adjustment for countervailed 
export subsidies is warranted.
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    These suspension of liquidation instructions will remain in effect 
until further notice.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its final determination. 
Because the final determination in this proceeding is affirmative, in 
accordance with section 735(b)(2)(B) 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 ripe olives from Spain no later than 45 days after 
Commerce's final determination. If the ITC determines that material 
injury or threat of material injury does not exist, the proceeding will 
be terminated and all securities posted will be refunded or canceled. 
If the ITC determines that such injury does exist, Commerce will issue 
an antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on appropriate imports of 
the subject merchandise entered, or withdrawn from warehouse, for

[[Page 28195]]

consumption on or after the effective date of the suspension of 
liquidation.

Notification to Interested Parties

    This notice serves as a 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 written 
notification of the return or 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 violation 
subject to sanction.
    This determination and this notice are issued and published 
pursuant to sections 735(d) and 777(i)(1) of the Act.

    Dated: June 11, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The products covered by this investigation are certain processed 
olives, usually referred to as ``ripe olives.'' The subject 
merchandise includes all colors of olives; all shapes and sizes of 
olives, whether pitted or not pitted, and whether whole, sliced, 
chopped, minced, wedged, broken, or otherwise reduced in size; all 
types of packaging, whether for consumer (retail) or institutional 
(food service) sale, and whether canned or packaged in glass, metal, 
plastic, multilayered airtight containers (including pouches), or 
otherwise; and all manners of preparation and preservation, whether 
low acid or acidified, stuffed or not stuffed, with or without 
flavoring and/or saline solution, and including in ambient, 
refrigerated, or frozen conditions.
    Included are all ripe olives grown, processed in whole or in 
part, or packaged in Spain. Subject merchandise includes ripe olives 
that have been further processed in Spain or a third country, 
including but not limited to curing, fermenting, rinsing, oxidizing, 
pitting, slicing, chopping, segmenting, wedging, stuffing, 
packaging, or heat treating, or any other processing that would not 
otherwise remove the merchandise from the scope of the investigation 
if performed in Spain.
    Subject merchandise includes ripe olives that otherwise meet the 
definition above that are packaged together with non-subject 
products, where the smallest individual packaging unit (e.g., can, 
pouch, jar, etc.) of any such product--regardless of whether the 
smallest unit of packaging is included in a larger packaging unit 
(e.g., display case, etc.)--contains a majority (i.e., more than 50 
percent) of ripe olives by net drained weight. The scope does not 
include the non-subject components of such product.
    Excluded from the scope are: (1) Specialty olives \19\ 
(including ``Spanish-style,'' ``Sicilian-style,'' and other similar 
olives) that have been processed by fermentation only, or by being 
cured in an alkaline solution for not longer than 12 hours and 
subsequently fermented; and (2) provisionally prepared olives 
unsuitable for immediate consumption (currently classifiable in 
subheading 0711.20 of the Harmonized Tariff Schedule of the United 
States (HTSUS)).
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    \19\ Some of the major types of specialty olives and their 
curing methods are:
     ``Spanish-style'' green olives: Spanish-style green 
olives have a mildly salty, slightly bitter taste, and are usually 
pitted and stuffed. This style of olive is primarily produced in 
Spain and can be made from various olive varieties. Most are stuffed 
with pimento; other popular stuffings are jalapeno, garlic, and 
cheese. The raw olives that are used to produce Spanish-style green 
olives are picked while they are unripe, after which they are 
submerged in an alkaline solution for typically less than a day to 
partially remove their bitterness, rinsed, and fermented in a strong 
salt brine, giving them their characteristic flavor.
     ``Sicilian-style'' green olives: Sicilian-style olives 
are large, firm green olives with a natural bitter and savory 
flavor. This style of olive is produced in small quantities in the 
United States using a Sevillano variety of olive and harvested green 
with a firm texture. Sicilian-style olives are processed using a 
brine-cured method, and undergo a full fermentation in a salt and 
lactic acid brine for 4 to 9 months. These olives may be sold whole 
unpitted, pitted, or stuffed.
     ``Kalamata'' olives: Kalamata olives are slightly 
curved in shape, tender in texture, and purple in color, and have a 
rich natural tangy and savory flavor. This style of olive is 
produced in Greece using a Kalamata variety olive. The olives are 
harvested after they are fully ripened on the tree, and typically 
use a brine-cured fermentation method over 4 to 9 months in a salt 
brine.
     Other specialty olives in a full range of colors, 
sizes, and origins, typically fermented in a salt brine for 3 months 
or more.
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    The merchandise subject to this investigation is currently 
classifiable under subheadings 2005.70.0230, 2005.70.0260, 
2005.70.0430, 2005.70.0460, 2005.70.5030, 2005.70.5060, 
2005.70.6020, 2005.70.6030, 2005.70.6050, 2005.70.6060, 
2005.70.6070, 2005.70.7000, 2005.70.7510, 2005.70.7515, 
2005.70.7520, and 2005.70.7525 HTSUS. Subject merchandise may also 
be imported under subheadings 2005.70.0600, 2005.70.0800, 
2005.70.1200, 2005.70.1600, 2005.70.1800, 2005.70.2300, 
2005.70.2510, 2005.70.2520, 2005.70.2530, 2005.70.2540, 
2005.70.2550, 2005.70.2560, 2005.70.9100, 2005.70.9300, and 
2005.70.9700. Although HTSUS subheadings are provided for 
convenience and US Customs purposes, they do not define the scope of 
the investigation; rather, the written description of the subject 
merchandise is dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Scope Comments
V. Discussion of the Issues
    Comment 1: Clarify Scope to Include Ripe Olives Contained in 
Cocktail Mixes
    Comment 2: Particular Market Situation Allegation
    Comment 3: Whether Commerce Should Apply its Differential 
Pricing Methodology
    Comment 4: Agro Sevilla's and Camacho's Constructed Export Price 
Indirect Selling Expenses
    Comment 5: Camacho Corrections Presented at Verification
    Comment 6: Camacho Ministerial Error Regarding Mixed Currencies
    Comment 7: Camacho Cost Verification Findings
    Comment 8: Camacho Purchases of Olives from Affiliated Parties
    Comment 9: Camacho's Plantilla Price Adjustments
    Comment 10: Camacho's CEP Offset
    Comment 11: Camacho's Home Market Credit Expense
    Comment 12: Camacho's Revised Control Number
    Comment 13: Camacho's U.S. Sales of Merchandise Manufactured by 
an Unaffiliated Party
    Comment 14: Camacho's Margin Should Be Based on Adverse Facts 
Available
    Comment 15: AG Minor Corrections Presented During Sales and Cost 
Verifications
    Comment 16: AG Home Market Commission Expenses
    Comment 17: AG Freight Credit
    Comment 18: AG Whether Local Taxes should be included in the 
General and Administrative (G&A) Expenses
    Comment 19: AG Unexplained Cost Reconciliation Difference
    Comment 20: Whether Commerce Should Adjust AG's Reported Cost of 
Raw Materials to Reflect Consumption Costs versus POI Purchases
    Comment 21: Classification of Machinery Depreciation Expense
    Comment 22: Agro Sevilla Corrections Presented During Sales 
Verifications
    Comment 23: Agro Sevilla's Pick-Up Adjustment Expense
    Comment 24: Agro Sevilla's Unreported Pallet Revenues
    Comment 25: Agro Sevilla's Total Cost of Manufacturing
    Comment 26: Agro Sevilla's Financial Expenses
    Comment 27: Agro Sevilla's Affiliated Purchases
VI. Recommendation

[FR Doc. 2018-12991 Filed 6-15-18; 8:45 am]
 BILLING CODE 3510-DS-P



                                                                             Federal Register / Vol. 83, No. 117 / Monday, June 18, 2018 / Notices                                                        28193

                                              containing at least 10.5 percent chromium by            published the Preliminary                              rebuttal responses submitted to the
                                              weight and less than 1.2 percent carbon by              Determination, as well as a full                       record for this final determination, and
                                              weight), aluminum, or composite fiber                   discussion of the issues raised by parties             accompanying discussion and analysis
                                              material. Composite fiber material is material          for this final determination, see the                  of all comments timely received, see the
                                              consisting of the mechanical combination of
                                              two components: fiber (typically glass,
                                                                                                      Issues and Decision Memorandum.2                       Issues and Decision Memorandum.7
                                              carbon, or aramid (synthetic polymer)) and a            Scope of the Investigation                             Verification
                                              matrix material (typically polymer resin,
                                              ceramic, or metallic).                                    The product covered by this                            As provided in section 782(i) of the
                                                The merchandise subject to this                       investigation is ripe olives from Spain.               Act, in February and March 2018, we
                                              investigation is properly classified under              For a complete description of the scope                conducted verification of the
                                              statistical reporting numbers 7311.00.0060              of this investigation, see Appendix I.                 information reported by the mandatory
                                              and 7311.00.0090 of the Harmonized Tariff                                                                      respondents Aceitunas Guadalquivir
                                              Schedule of the United States (HTSUS).                  Scope Comments                                         S.L. (AG), Agro Sevilla Aceitunas
                                              Although the HTSUS statistical reporting                  In accordance with the preamble to                   S.COOP Andalusia (Agro Sevilla),8 and
                                              numbers are provided for convenience and                Commerce’s regulations,3 the Initiation                Angel Camacho Alimentacion S.L.
                                              customs purposes, the written description of            Notice set aside a period of time for                  (Camacho) for use in our final
                                              the merchandise is dispositive.
                                                                                                      parties to raise issues regarding product              determination. We used standard
                                              [FR Doc. 2018–12998 Filed 6–15–18; 8:45 am]             coverage (i.e., scope). No interested                  verification procedures, including an
                                              BILLING CODE 3510–DS–P                                  party commented on the scope of the                    examination of relevant accounting and
                                                                                                      investigation as it appeared in the                    production records and original source
                                                                                                      Initiation Notice during the scope                     documents provided by the
                                              DEPARTMENT OF COMMERCE                                  comment period.4 In the context of                     respondents.
                                                                                                      supplemental questionnaire responses,
                                              International Trade Administration                                                                             Analysis of Comments Received
                                                                                                      two of the three mandatory respondents
                                              [A–469–817]                                             in the LTFV investigation reported sales                  All issues raised in the case and
                                                                                                      of cocktail mixes but stated that they                 rebuttal briefs that were submitted by
                                              Ripe Olives From Spain: Final                           believe cocktail mixes are not within the              parties in this investigation are
                                              Affirmative Determination of Sales at                   scope of the investigation. In response,               addressed in the Issues and Decision
                                              Less Than Fair Value                                    the petitioner 5 commented that the                    Memorandum. A list of these issues is
                                                                                                      respondents cannot unilaterally                        attached to this notice as Appendix II.
                                              AGENCY:   Enforcement and Compliance,
                                                                                                      determine whether cocktail mixes are                   The Issues and Decision Memorandum
                                              International Trade Administration,
                                                                                                      outside the scope. For the Preliminary                 is a public document and is on file
                                              Department of Commerce.
                                                                                                      Determination, we did not modify the                   electronically via Enforcement and
                                              SUMMARY: The Department of Commerce                                                                            Compliance’s Antidumping and
                                              (Commerce) determines that ripe olives                  scope language as it appeared in the
                                                                                                      Initiation Notice. We included all sales               Countervailing Duty Centralized
                                              from Spain are being, or are likely to be,                                                                     Electronic Service System (ACCESS).
                                              sold in the United States at less than fair             of cocktail mixes and their associated
                                                                                                      costs in our margin calculations, and                  ACCESS is available to registered users
                                              value (LTFV). The period of                                                                                    at https://access.trade.gov, and to all
                                              investigation (POI) is April 1, 2016,                   solicited further information from
                                                                                                      parties concerning cocktail mixes for                  parties in the Central Records Unit,
                                              through March 31, 2017.                                                                                        room B8024 of the main Department of
                                                                                                      purposes of the final determination. In
                                              DATES: Applicable June 18, 2018.                                                                               Commerce building. In addition, a
                                                                                                      the April 3, 2018, post-preliminary
                                              FOR FURTHER INFORMATION CONTACT:                        analysis we issued with respect to the                 complete version of the Issues and
                                              Catherine Cartsos, Bryan Hansen or                      scope of the investigation, we found                   Decision Memorandum can be accessed
                                              Peter Zukowski, AD/CVD Operations,                      that: (i) Ripe olives contained in cocktail            directly at http://enforcement.trade.gov/
                                              Office I, Enforcement and Compliance,                   mixes are in the scope, but that the                   frn/.
                                              International Trade Administration,                     remaining ingredients are not in the                   Changes Since the Preliminary
                                              U.S. Department of Commerce, 1401                       scope, and (ii) we clarified the scope by              Determination and Use of Partial
                                              Constitution Avenue NW, Washington,                     adding language concerning ripe olives                 Adverse Facts Available
                                              DC 20230; telephone: (202) 482–1757,                    contained in cocktail mixes.6 As a result
                                              (202) 482–3683 or (202) 482–0189,                       of our analysis of comments received in                  Based on our analysis of the
                                              respectively.                                           response to this post-preliminary                      comments received and our findings at
                                                                                                      analysis, we have modified the scope of                verification, we made certain changes to
                                              SUPPLEMENTARY INFORMATION:
                                                                                                      this investigation for this final                      the margin calculations for AG, Agro
                                              Background                                              determination. For a summary of the                    Sevilla and Camacho.9 In addition, we
                                                On January 26, 2018, Commerce                         product coverage comments and                          revised the margin calculations for
                                              published the Preliminary                                                                                      Camacho to reflect the application of
                                              Determination of this LTFV                                2 See Memorandum, ‘‘Issues and Decision              partial facts available with an adverse
                                              investigation in which Commerce found                   Memorandum for the Final Affirmative                   inference pursuant to section 776(b) of
                                                                                                      Determination in the Less than Fair Value
                                              that ripe olives from Spain were sold at                Investigation of Ripe Olives from Spain,’’ dated          7 See Issues and Decision Memorandum at
                                              LTFV.1 For a summary of the events that                 concurrently with, and hereby adopted by, this         Comment 1.
                                              have occurred since Commerce                            notice (Issues and Decision Memorandum).                  8 In the Preliminary Determination the company
amozie on DSK3GDR082PROD with NOTICES1




                                                                                                        3 See Antidumping Duties; Countervailing Duties,
                                                                                                                                                             name was spelled incorrectly as Agro Sevilla
                                                 1 See Ripe Olives from Spain: Preliminary            Final Rule, 62 FR 27296, 27323 (May 19, 1997).         Aceitunas S.COOP Anndalusia. The correct spelling
                                                                                                        4 See Ripe Olives from Spain: Initiation of Less-
                                              Affirmative Determination of Sales at Less Than                                                                of the company name is Agro Sevilla Aceitunas
                                              Fair Value, Postponement of Final Determination,        Than-Fair-Value Investigation, 82 FR 33054 (July       S.COOP Andalusia.
                                              and Extension of Provisional Measures, 83 FR 3677       19, 2017) (Initiation Notice).                            9 See the ‘‘Discussion of the Issues’’ section of the
                                                                                                        5 The Coalition for Fair Trade on Ripe Olives.
                                              (January 26, 2018) and accompanying Preliminary                                                                Issues and Decision Memorandum and the
                                              Decision Memorandum (Preliminary Decision                 6 See Memorandum, ‘‘Ripe Olives from Spain:          company-specific analysis memoranda dated
                                              Memorandum) (collectively, Preliminary                  Post-Preliminary Scope Clarification Decision          concurrently with, and hereby incorporated by, this
                                              Determination).                                         Memorandum,’’ dated April 3, 2018.                     notice.



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                                              28194                              Federal Register / Vol. 83, No. 117 / Monday, June 18, 2018 / Notices

                                              the Act. For a discussion of these                          performed in this final determination                    to require a cash deposit equal to the
                                              changes, see the Issues and Decision                        within five days of any public                           estimated weighted-average dumping
                                              Memorandum. We have also revised the                        announcement or, if there is no public                   margin, less the amount of the CVD
                                              estimated weighted-average dumping                          announcement, within five days of the                    determined to constitute an export
                                              margin for all-other producers or                           date of publication of this notice in                    subsidy.17 Therefore, in the event that a
                                              exporters (the all-others rate).                            accordance with 19 CFR 351.224(b).                       CVD order is issued and suspension of
                                              All-Others Rate                                             Continuation of Suspension of                            liquidation is resumed in the
                                                                                                          Liquidation                                              companion CVD investigation on ripe
                                                 Section 735(c)(5)(A) of the Act                                                                                   olives from Spain,18 Commerce will
                                              provides that in the final determination                       In accordance with section                            instruct CBP to require cash deposits
                                              Commerce shall determine an estimated                       735(c)(1)(B) of the Act, Commerce will                   adjusted by the amount of export
                                              weighted-average dumping margin for                         instruct U.S. Customs and Border                         subsidies, as appropriate. These
                                              all exporters or producers not                              Protection (CBP) to continue to suspend                  adjustments are reflected in the final
                                              individually examined. This rate shall                      liquidation of all appropriate entries of                column of the rate chart, above. Until
                                              be an amount equal to the weighted                          ripe olives from Spain as described in                   such suspension of liquidation is
                                              average of the estimated weighted-                          Appendix I of this notice, which were                    resumed in the companion CVD
                                              average dumping margins established                         entered, or withdrawn from warehouse,                    investigation, and so long as suspension
                                              for exporters or producers individually                     for consumption on or after January 26,                  of liquidation continues under this
                                              examined, excluding any rates that are                      2018, the date of publication of the                     antidumping duty investigation, the
                                              zero, de minimis or determined entirely                     Preliminary Determination of this                        cash deposit rates for this antidumping
                                              under section 776 of the Act. In this                       investigation in the Federal Register.                   duty investigation will be the rates
                                              investigation, we calculated estimated                         Pursuant to section 735(c)(1)(B) of the               identified in the estimated weighted-
                                              weighted-average dumping margins for                        Act and 19 CFR 351.210(d), Commerce                      average dumping margin column in the
                                              the individually examined respondents                       will instruct CBP to require a cash                      rate chart, above.
                                              that are not zero, de minimis, or based                     deposit as follows: (1) The cash deposit                    These suspension of liquidation
                                              entirely on facts otherwise available.                      rate for the respondents listed above                    instructions will remain in effect until
                                              Because there are three estimated                           under Final Determination will be equal                  further notice.
                                              weighted-average dumping margins and                        to their respondent-specific estimated
                                              doing so would not reveal business                          weighted-average dumping margin; (2) if                  International Trade Commission
                                              proprietary information, we calculated                      the exporter is not a respondent                         Notification
                                              the all-others rate using a weighted-                       identified above, but the producer is,                      In accordance with section 735(d) of
                                              average of the estimated weighted-                          then the cash deposit rate will be equal                 the Act, Commerce will notify the
                                              average dumping margins calculated for                      to the respondent-specific estimated                     International Trade Commission (ITC) of
                                              the examined respondents using each                         weighted-average dumping margin                          its final determination. Because the final
                                              company’s business proprietary data for                     established for that producer of the                     determination in this proceeding is
                                              the merchandise under consideration.10                      subject merchandise; (3) for all other                   affirmative, in accordance with section
                                              Final Determination                                         producers or exporters of ripe olives to                 735(b)(2)(B) of the Act, the ITC will
                                                                                                          the United States, the cash deposit rate                 make its final determination as to
                                                We determine that the following                           will be equal to the all-others rate.                    whether the domestic industry in the
                                              estimated weighted-average dumping                             Further, Commerce will instruct CBP                   United States is materially injured, or
                                              margins exist:                                              to require a cash deposit equal to the                   threatened with material injury, by
                                                                                                          estimated amount by which the normal                     reason of imports of ripe olives from
                                                                         Estimated                        value (NV) exceeds the U.S. price as
                                                                         weighted-       Adjusted for                                                              Spain no later than 45 days after
                                                  Exporter or             average          export         shown above, adjusted where                              Commerce’s final determination. If the
                                                   producer              dumping          subsidies       appropriate for export subsidies found                   ITC determines that material injury or
                                                                           margin        (percent) 11     in the final determination of the                        threat of material injury does not exist,
                                                                         (percent)                        companion CVD investigation.                             the proceeding will be terminated and
                                                                                                          Consistent with Commerce’s practice,                     all securities posted will be refunded or
                                              Aceitunas Gua-
                                                 dalquivir
                                                                                                          where the product under investigation                    canceled. If the ITC determines that
                                                 S.L. 12 ............         17.46           13 17.45    is also subject to a concurrent CVD                      such injury does exist, Commerce will
                                              Agro Sevilla                                                investigation, Commerce instructs CBP                    issue an antidumping duty order
                                                 Aceitunas                                                                                                         directing CBP to assess, upon further
                                                 S.COOP An-                                               adjusted for the appropriate export subsidy offset(s).   instruction by Commerce, antidumping
                                                 dalusia 14 .......           25.50           15 25.39    See final countervailing duty (CVD) determination,
                                                                                                          ‘‘Ripe Olives from Spain: Final Affirmative              duties on appropriate imports of the
                                              Angel Camacho
                                                                                                          Countervailing Duty Determination,’’ signed              subject merchandise entered, or
                                                 Alimentacion ..
                                              S.L. ...................        16.88           16 16.83    concurrently with this notice.                           withdrawn from warehouse, for
                                                                                                             12 In the companion CVD investigation, this
                                              All-Others ..........           20.04              19.98    company’s name is spelled as Aceitunas                     17 See, e.g., Welded Line Pipe from the Republic
                                                                                                          Guadalquivir S.L.U.                                      of Turkey: Final Determination of Sales at Less
                                              Disclosure                                                     13 See Memorandum, ‘‘Final Determination
                                                                                                                                                                   Than Fair Value, 80 FR 61362, 61364 (October 13,
                                                                                                          Calculations for Aceitunas Guadalquivir, S.L.U.,’’       2015); Notice of Final Determination of Sales at
                                                We intend to disclose to interested                       dated concurrently with this notice.                     Less Than Fair Value and Negative Critical
                                              parties the calculations and analysis
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                                                                                                             14 In the companion CVD investigation, this
                                                                                                                                                                   Circumstances Determination: Bottom Mount
                                                                                                          company’s name is spelled as Agro Sevilla                Combination Refrigerator-Freezers From the
                                                10 For a complete analysis of the data, see               Aceitunas S.Coop.And.                                    Republic of Korea, 77 FR 17413, 17417 (March 26,
                                              Memorandum, ‘‘Less-Than-Fair-Value Investigation               15 See Memorandum, ‘‘Final Determination              2012).
                                              of Ripe Olives from Spain: Calculation of the All-          Calculations for Agro Sevilla Aceitunas                    18 The provisional measures for the CVD
                                              Others Rate in the Final Determination,’’ dated             S.Coop.And.,’’ dated concurrently with this notice.      investigation of ripe olives from Spain have
                                              concurrently with this notice.                                 16 See Memorandum, ‘‘Final Determination              currently expired (i.e., exceeded the maximum four-
                                                11 The cash deposit rate is equal to the calculated       Calculations for Angel Camacho Alimentacion              month period), and, therefore, no adjustment for
                                              estimated weighted-average dumping margin                   S.L.,’’ dated concurrently with this notice.             countervailed export subsidies is warranted.



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                                                                             Federal Register / Vol. 83, No. 117 / Monday, June 18, 2018 / Notices                                                       28195

                                              consumption on or after the effective                   The scope does not include the non-subject                 II. Background
                                              date of the suspension of liquidation.                  components of such product.                                III. Scope of the Investigation
                                                                                                         Excluded from the scope are: (1) Specialty              IV. Scope Comments
                                              Notification to Interested Parties                      olives 19 (including ‘‘Spanish-style,’’                    V. Discussion of the Issues
                                                 This notice serves as a reminder to                  ‘‘Sicilian-style,’’ and other similar olives) that            Comment 1: Clarify Scope to Include Ripe
                                                                                                      have been processed by fermentation only, or
                                              parties subject to an administrative                                                                               Olives Contained in Cocktail Mixes
                                                                                                      by being cured in an alkaline solution for not
                                              protective order (APO) of their                         longer than 12 hours and subsequently                         Comment 2: Particular Market Situation
                                              responsibility concerning the                           fermented; and (2) provisionally prepared                        Allegation
                                              disposition of proprietary information                  olives unsuitable for immediate consumption                   Comment 3: Whether Commerce Should
                                              disclosed under APO in accordance                       (currently classifiable in subheading 0711.20                    Apply its Differential Pricing
                                              with 19 CFR 351.305(a)(3). Timely                       of the Harmonized Tariff Schedule of the                         Methodology
                                              written notification of the return or                   United States (HTSUS)).                                       Comment 4: Agro Sevilla’s and Camacho’s
                                              destruction of APO materials, or                           The merchandise subject to this                               Constructed Export Price Indirect Selling
                                              conversion to judicial protective order,                investigation is currently classifiable under                    Expenses
                                                                                                      subheadings 2005.70.0230, 2005.70.0260,                       Comment 5: Camacho Corrections
                                              is hereby requested. Failure to comply
                                                                                                      2005.70.0430, 2005.70.0460, 2005.70.5030,
                                              with the regulations and the terms of an                                                                                 Presented at Verification
                                                                                                      2005.70.5060, 2005.70.6020, 2005.70.6030,
                                              APO is a violation subject to sanction.                                                                               Comment 6: Camacho Ministerial Error
                                                                                                      2005.70.6050, 2005.70.6060, 2005.70.6070,
                                                 This determination and this notice are               2005.70.7000, 2005.70.7510, 2005.70.7515,                        Regarding Mixed Currencies
                                              issued and published pursuant to                        2005.70.7520, and 2005.70.7525 HTSUS.                         Comment 7: Camacho Cost Verification
                                              sections 735(d) and 777(i)(1) of the Act.               Subject merchandise may also be imported                         Findings
                                                                                                      under subheadings 2005.70.0600,                               Comment 8: Camacho Purchases of Olives
                                                Dated: June 11, 2018.
                                                                                                      2005.70.0800, 2005.70.1200, 2005.70.1600,                        from Affiliated Parties
                                              Gary Taverman,                                          2005.70.1800, 2005.70.2300, 2005.70.2510,                     Comment 9: Camacho’s Plantilla Price
                                              Deputy Assistant Secretary for Antidumping              2005.70.2520, 2005.70.2530, 2005.70.2540,                        Adjustments
                                              and Countervailing Duty Operations,                     2005.70.2550, 2005.70.2560, 2005.70.9100,                     Comment 10: Camacho’s CEP Offset
                                              performing the non-exclusive functions and              2005.70.9300, and 2005.70.9700. Although                      Comment 11: Camacho’s Home Market
                                              duties of the Assistant Secretary for                   HTSUS subheadings are provided for                               Credit Expense
                                              Enforcement and Compliance.                             convenience and US Customs purposes, they
                                                                                                                                                                    Comment 12: Camacho’s Revised Control
                                                                                                      do not define the scope of the investigation;
                                              Appendix I—Scope of the Investigation                   rather, the written description of the subject                   Number
                                                 The products covered by this investigation           merchandise is dispositive.                                   Comment 13: Camacho’s U.S. Sales of
                                              are certain processed olives, usually referred                                                                           Merchandise Manufactured by an
                                              to as ‘‘ripe olives.’’ The subject merchandise          Appendix II—List of Topics Discussed                             Unaffiliated Party
                                              includes all colors of olives; all shapes and           in the Issues and Decision                                    Comment 14: Camacho’s Margin Should Be
                                              sizes of olives, whether pitted or not pitted,          Memorandum                                                       Based on Adverse Facts Available
                                              and whether whole, sliced, chopped, minced,             I. Summary                                                    Comment 15: AG Minor Corrections
                                              wedged, broken, or otherwise reduced in                                                                                  Presented During Sales and Cost
                                              size; all types of packaging, whether for                  19 Some of the major types of specialty olives and            Verifications
                                              consumer (retail) or institutional (food                their curing methods are:                                     Comment 16: AG Home Market
                                              service) sale, and whether canned or                       • ‘‘Spanish-style’’ green olives: Spanish-style               Commission Expenses
                                              packaged in glass, metal, plastic,                      green olives have a mildly salty, slightly bitter taste,      Comment 17: AG Freight Credit
                                              multilayered airtight containers (including             and are usually pitted and stuffed. This style of
                                                                                                                                                                    Comment 18: AG Whether Local Taxes
                                              pouches), or otherwise; and all manners of              olive is primarily produced in Spain and can be
                                              preparation and preservation, whether low               made from various olive varieties. Most are stuffed              should be included in the General and
                                              acid or acidified, stuffed or not stuffed, with         with pimento; other popular stuffings are jalapeno,              Administrative (G&A) Expenses
                                              or without flavoring and/or saline solution,            garlic, and cheese. The raw olives that are used to           Comment 19: AG Unexplained Cost
                                                                                                      produce Spanish-style green olives are picked while              Reconciliation Difference
                                              and including in ambient, refrigerated, or
                                                                                                      they are unripe, after which they are submerged in
                                              frozen conditions.                                      an alkaline solution for typically less than a day to         Comment 20: Whether Commerce Should
                                                 Included are all ripe olives grown,                  partially remove their bitterness, rinsed, and                   Adjust AG’s Reported Cost of Raw
                                              processed in whole or in part, or packaged              fermented in a strong salt brine, giving them their              Materials to Reflect Consumption Costs
                                              in Spain. Subject merchandise includes ripe             characteristic flavor.                                           versus POI Purchases
                                              olives that have been further processed in                 • ‘‘Sicilian-style’’ green olives: Sicilian-style          Comment 21: Classification of Machinery
                                              Spain or a third country, including but not             olives are large, firm green olives with a natural
                                                                                                      bitter and savory flavor. This style of olive is
                                                                                                                                                                       Depreciation Expense
                                              limited to curing, fermenting, rinsing,
                                                                                                      produced in small quantities in the United States             Comment 22: Agro Sevilla Corrections
                                              oxidizing, pitting, slicing, chopping,
                                              segmenting, wedging, stuffing, packaging, or            using a Sevillano variety of olive and harvested                 Presented During Sales Verifications
                                                                                                      green with a firm texture. Sicilian-style olives are          Comment 23: Agro Sevilla’s Pick-Up
                                              heat treating, or any other processing that             processed using a brine-cured method, and undergo
                                              would not otherwise remove the                                                                                           Adjustment Expense
                                                                                                      a full fermentation in a salt and lactic acid brine
                                              merchandise from the scope of the                       for 4 to 9 months. These olives may be sold whole             Comment 24: Agro Sevilla’s Unreported
                                              investigation if performed in Spain.                    unpitted, pitted, or stuffed.                                    Pallet Revenues
                                                 Subject merchandise includes ripe olives                • ‘‘Kalamata’’ olives: Kalamata olives are slightly        Comment 25: Agro Sevilla’s Total Cost of
                                              that otherwise meet the definition above that           curved in shape, tender in texture, and purple in                Manufacturing
                                              are packaged together with non-subject                  color, and have a rich natural tangy and savory
                                                                                                                                                                    Comment 26: Agro Sevilla’s Financial
                                                                                                      flavor. This style of olive is produced in Greece
                                              products, where the smallest individual                                                                                  Expenses
                                                                                                      using a Kalamata variety olive. The olives are
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                                              packaging unit (e.g., can, pouch, jar, etc.) of         harvested after they are fully ripened on the tree,           Comment 27: Agro Sevilla’s Affiliated
                                              any such product—regardless of whether the              and typically use a brine-cured fermentation                     Purchases
                                              smallest unit of packaging is included in a             method over 4 to 9 months in a salt brine.                 VI. Recommendation
                                              larger packaging unit (e.g., display case,                 • Other specialty olives in a full range of colors,
                                              etc.)—contains a majority (i.e., more than 50                                                                      [FR Doc. 2018–12991 Filed 6–15–18; 8:45 am]
                                                                                                      sizes, and origins, typically fermented in a salt
                                              percent) of ripe olives by net drained weight.          brine for 3 months or more.                                BILLING CODE 3510–DS–P




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Document Created: 2018-06-18 15:50:26
Document Modified: 2018-06-18 15:50:26
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
DatesApplicable June 18, 2018.
ContactCatherine Cartsos, Bryan Hansen or Peter Zukowski, AD/CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-1757, (202) 482-3683 or (202) 482-0189, respectively.
FR Citation83 FR 28193 

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